A Step-By-Step Guide To Invest In Crypto – Dubai’s Guide
Assuming that you have landed on this page, you’re itching to invest your hard-earned money in cryptocurrency in Dubai. But, have you done your homework, do you know how to invest in cryptocurrency while sitting in Dubai?
Investing in cryptocurrency is different from traditional investment in real estate, stock trading, etc. Though by no means it’s a complex process, you can buy coins anytime from your nearest exchange.
But you must learn how crypto works, how to choose an exchange, and where to invest before you jump on the bandwagon.
This article will serve as your step-by-step guide for investing in crypto in Dubai.
So, what’s the very first step?
- Do Your Research
Today, we have more than 4000 cryptocurrencies in the market. Who knows how many we’ll have in the next few months. For an amateur, this can be a challenge to decide which cryptocurrency to buy.
To make the best choice you must do your research. Like the trends of different coins you’re considering, which coins are going up and how much they have fluctuated in the past, their popularity, etc.
Most new investors know only about bitcoin and consider it a get-rich-quick scheme. Though this has been true to some extent in the past, Bitcoin reached its all-time high price of $63,729.5 in April 2021, but every day brings new surprises in the crypto world.
Consider your options with your budget and objectives in mind. How much are you willing to invest and how long can you afford to keep it in the wallet?
And don’t think of Bitcoin as the only profitable cryptocurrency. Maybe some other coin would prove a better option than Bitcoin based on its improving graph. Find the latest Financial News here.
Do some research and learn about the popular cryptocurrencies in Dubai. So, in case you get the option to sell and buy in crypto, you have the same currency that’s being used in Dubai.
- Choose An Exchange
Finding a crypto exchange in Dubai is not a big deal. Once you have selected the coin you’re going to buy, your next step is to find a currency exchange. These exchanges are similar to traditional currency exchanges, however, they only deal in cryptocurrencies.
You will find many crypto exchanges in Dubai, but not all of them might have the currency you are looking for.
And there are various other factors to consider when you’re choosing an exchange. These include:
- Customer reviews
- The credibility of the exchange
- Token security
- Speed of transaction
- Fees of transaction
- Transparency
Ideally, you should look for an exchange that deals in all major currencies. So if you switch to another coin or want to invest in multiple coins, you don’t have to look for another exchange.
- Choose a Wallet
One of the perks of cryptocurrency is you can perform instant transactions on a single tap. And for that, you need to store your coins somewhere — in cryptocurrency, you choose a wallet for this purpose.
There are two types of wallets: Hot wallet and Cold wallet.
Hot Wallet
A Hot wallet is a mobile and desktop wallet designed to store small values. These values are quite safe for short-term investments and come in handy for instant transactions.
Cold Wallet
A cold wallet is not proactively connected to the internet for security reasons. It is used to store high values for a long period. These are mostly used by investors buying coins in bulk.
- Secure Your Currency
Security is an essential part of your cryptocurrency investment, especially when you have a huge value stored in a cold wallet.
Here are some of the key points to remember regarding the security of your coins:
- Always use a secure internet connection.
- Create multiple wallets so you don’t put all your eggs in one basket.
- Change your wallet passwords regularly.
- Use a VPN while accessing your wallets.
- Secure your personal device.
- Avoid opening suspicious links while doing transactions.
Normally, blockchain is considered secure for online transactions. But you should not be complacent about the security of your wallet. It’s like your bank. And you know what would happen if there’s no security outside and inside a bank to stop unwelcome guests?
- Follow the Data!!!
Let’s be honest, investing in cryptocurrency entails risk. No matter how many Bitcoin investors you have seen turned millionaires overnight, you will feel anxious. And it’s normal.
People with past trading experience can relate to this. It’s all about patience, luck, and decision-making at crucial moments.
But remember, some of the crypto billionaires featured in Forbes had made their investments way back in 2011. They bore 10 years of patience, ups and downs, doubts over crypto, and much more to reach this moment.
With that being said, crypto trading is all about investing wisely and playing sensibly. Know your capacity and trust your fate.
