Pickyreads

Pickyreads

Cryptocurrency Investing for Dummies  Summary – Fabruary 2022

Author: Kiana Danial

Short Summary
Cryptocurrency Investing for Dummies (2019), is a comprehensive guide that takes the mystery out of digital currencies and teaches you how to begin trading them. You’ll learn about the different types of digital currencies and how to pick the right ones for your investment portfolio. You’ll also find out how to place a trade using a broker and discover the benefits of cryptocurrency investing. With cryptocurrency investing for dummies, you’ll be able to get started in this exciting and rapidly growing market.
cryptocurrency investing for dummies
Source: amazon.com

Detailed Summary

Cryptocurrencies are all the rage right now, and for good reason! Their value has been on the rise for a while now, and it seems like they’re only going to become more popular in the future. If you want to get in on the action, but you’re not sure where to start, don’t worry – Cryptocurrency Investing For Dummies is here to help!

Bitcoin, the first and most well-known cryptocurrency, was created in 2009. Ethereum, Litecoin, and Ripple are some of the other most popular cryptocurrencies.

Cryptocurrencies are here to stay, so there’s no better time to learn more about this topic than now. Why? Because people are becoming more and more interested in decentralized payment systems instead of banks, in user-centric platforms instead of the admin-based ones, or in paying for things online faster and with minimum commissions.

What are cryptocurrencies? Cryptocurrencies are digital or virtual tokens that use cryptography to secure their transactions and to control the creation of new units. Cryptocurrencies are decentralized, meaning they are not subject to government or financial institution control.

Why should invest in cryptocurrencies? There can be many reasons to invest in cryptocurrencies but the most important is its diversification from different classes of assets and uncovering a portfolio to form the new capital.

How to protect ourselves from the risks?

  • Firstly, get the education and knowledge about the fundamentals of cryptocurrency before investing in it.
  • Get to know how much risk you can tolerate and invest in cryptocurrencies if they match your tolerance level.
  • Don’t get hyper and only focus on your strategy and goal.
  • Don’t invest in cryptocurrency if you can’t handle or bear the loss.

Cryptocurrency Investing for Dummies Key Points

Emotionally prepare yourself because crypto investing is very risky

When investing in cryptocurrencies, it’s important to remember that their prices can be incredibly volatile. Over a single day, their value can change drastically – and sometimes that volatility can last for weeks or months. So before you invest, it’s important to assess the risk and be ready to handle any sudden drops in price.

That’s why it’s also important to have an emergency fund on hand, so you’re not forced to sell your cryptocurrencies at a loss if the market takes a turn for the worse. By planning and being mindful of the risks involved, you can help protect yourself against potential losses and ensure that you’re in a position to benefit from any future price increases.

Blockchain- a smart technology that resolves the real problems

Blockchain technology is one of the most important inventions of our time. It has the potential to change the way we live and do business. The blockchain is a distributed database that allows for secure, transparent, and tamper-proof transactions. It is this security and transparency that makes the blockchain so powerful.

The blockchain has already been used to create successful cryptocurrencies such as Bitcoin and Ethereum. But the potential for the blockchain goes far beyond just digital currencies. The blockchain can be used to create smart contracts. Smart contracts are contracts that are written in code and executed on the blockchain. They are trustless and tamper-proof, which makes them very desirable.

The blockchain has the potential to solve many real-world problems. It can be used to create a more transparent and efficient government, secure our data, and create trustless transactions. The blockchain is a game-changer and it is here to stay.

Usage of diversification is very useful

It can be tough to know which investments are the right ones to make, especially when you’re just starting. One way to minimize your risk is to diversify your portfolio. By investing in a variety of different assets, you reduce the chances that all of your investments will tank at the same time. So if one investment falls short, you still have others that are doing well to offset the loss.

Diversification is a great way to protect your investments and it can be a useful tool for any investor, regardless of experience level. Keep in mind that no strategy is foolproof, but by spreading your risk across a variety of different assets, you can give yourself the best chance for success.

Using diversification to your advantage is one of the smartest things you can do with your investments. By buying different types of assets, and even more assets within the same category, you reduce the risk that all of them will fall at the same time. So if one investment falls short, you still have others that are doing well to offset the loss.

For example, if you invest in stocks, bonds, and real estate, and one of those investments loses money, the others may make up for the loss. By diversifying your portfolio, you can protect yourself from major losses and continue investing in the future.

The cryptocurrency investing for dummies quotes

“Learning how cryptocurrency works is like learning a new language. It is incredibly difficult at the beginning, but once it clicks it will stick with you forever.” Kiana Daniel

“Blockchain is so wide that you cannot know everything – you are just a few moments away from meeting a geek who knows so much then do.” Kiana Daniel

The cryptocurrency investing for dummies reviews

“Better organized, better edited, better info. Current and best of 4 books I’ve read on Crypto. Admittedly, I’ve only read about 1/2 of the book so far, but this is the one I would recommend over others.” Labie

“I didn’t know anything about cryptocurrency or investing… this book is a perfect start and opened my eyes to so many opportunities.” Nathalie

To whom I would recommend The cryptocurrency investing for dummies

The passionate young ones who are planning to invest in new technologies and existing finance managers who want to expand their portfolios by investing in cryptocurrencies but don’t know the fundamentals of it or anyone who wants to diversify their investments.