Adding to the list of the hardest thing to do in recent times is to convince someone to start investing in crypto. Everyone seems to have their fears and worries about it, mainly due to little or no understanding of what cryptocurrencies are. To individuals who are curious to know why they should trade with crypto, this article will provide you with answers. Before we go on to look at the reasons why you should start trading crypto in 2021, let's first give a quick definition of cryptocurrency.
Cryptocurrency (sometimes shortened as crypto) is a virtual or digital currency that is secured by what is called "cryptography". Cryptography is what makes it hard to have a crypto counterfeit or double-spend it. Most cryptos are designed using a technology called blockchain – a decentralized network that theoretically immune them from the manipulation and interference of the government or anybody that looks to centralize the usage
Having define what crypto is, let’s now consider the reasons to start trading crypto in 2021.
Reasons to Start Trading Crypto in 2021
1. The Growth in its Demand: After the invent of the first-ever crypto a little more than a decade ago, the existence of crypto has been normalized which make way for how individuals, businesses, and organization are already accepting it as their mode of payment for goods and services. The advent of crypto has changed the traditional financial system. Apart from the fact that the user has full control and significant liberty over their finances, there is also no need to rely on banks. Crypto is here to stay. Its demand keeps increasing and so, it is a good idea for you to invest in it if you’ve not already done so.
2. Bright Future of Cryptocurrencies: The overall future of crypto is bright. This is another reason why you should consider investing in it this year. Even though cryptocurrency is considered to be very volatile from time to time, it is still a safe and promising investment you can make.
3. Potentially Great Returns: The essence of investing is to make a profit and by investing in cryptocurrency, there is a high possibility that you'll make profits. The potential return on crypto investment is higher compared to the investment on stock and other traditional types of investments. Though cryptocurrency is highly volatile, there is a great possibility of you making high returns from a single trade.
4. Accessibility: For some other investments, most often, you'll need a huge amount of money to get started. However, you can get started with crypto trading with a few bucks. Also, entrance to crypto does not require you to deal with any bank, institution, or sign any kind of papers. To get started, all you need to do is to set up an account. After setting up your account, you can invest as much as you want to and start monitoring your asset with no stress whatsoever.
5. No Mediators: One of the reasons you should consider investing in crypto is that it has a level of independence. When you keep your money in the bank, for example, you are at the mercy of the bank and the people working there. Although the money is yours, you’ll have limited access to it if the bank is closed. The bank can also get robbed or bankrupted. With cryptocurrency, you won’t have to rely on any financial institution to keep or transfer your money. Also, cryptocurrency helps you avoid those bank fees which are quite high at times.
We've just mentioned a few reasons why you should consider trading cryptocurrency in this year 2021. There are other reasons like the high liquidity in the world of crypto trading. Crypto is here to stay - it is not going anywhere. There’s no reason for you not to participate in the crypto market considering the potentials it holds. Crypto investment is a long-term investment that will do you more good than harm.
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