How To Invest In Crypto For Beginners
Until you saw this, you are super for more now, but you dont know how to invest in crypto. Then you saw this Music according to a report by gemini, sidley and coin market cap. It was found that about 33 percent of singaporeans do not invest in crypto, mainly because of lack of knowledge and understanding. Some feel that cryptos is super volatile. Others feel that is too risky. So in this video i will tell you everything you need to know to start investing in crypto stuff like whats. Actually crypto is investing in crypto risky. Then i will tell you how to buy crypto, how many percent of your portfolio should be in crypto? Where should you keep it all the good stuff? But before i start, i would greatly appreciate if you could have to tap the like button, because it would help out with your channel a lot in return. I will show you a cute shiba inu. Alright lets not waste any time and lets start right now. Before i talk about crypto, i want to make a quick disclaimer. Crypto is obviously a very risky investment and theres a chance that you will lose everything if you anyhow invest. So this video is definitely not financial advice and its only for entertainment purposes. Only yeah with that being said, lets continue so whats cryptocurrency. Basically crypto is just a digital currency. You can see it, but you cannot touch it sort of like, like the xiaolongbao at the taiphon window.
You can see them making salon pang, but you cannot touch it. Something like that, but heres a very special thing about crypto. It is decentralized im sure some of you will be like huh. What decentralized can eat one. Let me try the debate example. So this is our singapore dollars right guess who issues the singapore dollar? No, its not your boss, even though its your boss, who pays you money, the singapore dollar, is actually issued by mas. So ms actually controls the singapore dollar. If suddenly, tomorrow, ms say lets print more money until it looks like we have to infinite money, cheap code, our singapore dollars will go down so much until hgd1 equals rm3 becomes rn1 equals sgd3. True story that wont happen in singapore, hopefully, but this is actually happening in some third world countries, for example, venezuela and sudan, where the inflation rate looks like its trying to compete with gamestop and amc so that centralization, where the currency is controlled by the government. On the other hand, crypto is decentralized, meaning that theres no one controlling it, instead, its managed by a network of crypto miners. There are a lot of benefits to this. The most obvious one is that your crypto wont go down value just because the government decides to happy happy pre money. Another benefit is lower transaction fees and faster transfers. If you want to send your money overseas through the bank, the bank will first eat up a bit of your money through commissions and currency exchange trade.
On top of that, it takes like two to four working days for the money to arrive, but for cryptos the transfer fee is super low. For example, finance charges are about eight dollars flat if you transfer busd via erc20 network. Meanwhile, gemini dont even charge any fee to transfer your crypto, and also the transfer will arrive within a few minutes. So you dont have to wait super long for a crypto to arrive. Another benefit is that crypto is globally accepted, like you can transfer your crypto from singapore to someone in iceland super easy, barely an inconvenience. There are a lot more benefits like better privacy. The government cannot come and just take away your crypto and so on. Speaking of cryptos, if you want free bitcoin, i have a super good lowbank for you right now, since able has partnered with silly to run a credit card promotion, if you sign up for an american express through cashback card, using my link down below then spend 500 Within 30 days, you receive 265 worth of bitcoin. On top of that, if you are the first, two thousand people who sign up youll be getting extra one hundred dollars worth of bitcoin. This deal is valid till 10th october. Some good info about the car. You will get three percent cash back up to 150 dollars for the first six months, which is really high. To be honest, after that, you will be 1.5 cashback. So if you want some free bitcoin go sign up with my link down below alright lets get back to the video.
So now you roughly know whats crypto. If you look back at the survey. The second reason people dont, invest in crypto is because it is volatile, like super volatile, if tesla drops four percent, everyone will be like, and the news will go on the front page. Meanwhile, crypto drops four percent and be like first time. If you check the bitcoin chart, which is one of the less volatile cryptos out there in just one year, it is going up and down like 10 20 every other week. However, i invest found that crypto has become less and less volatile over the years. In the past, the volatility of bitcoin used to go past 10, but now its only like seven to eight percent. The reason is simple: more and more people are starting to believe in bitcoin, for example, companies like microstrategy tesla square hold bitcoin in their balance sheet to hedge against inflation. El salvador makes bitcoin legal tender and more and more people are holding onto bitcoin instead of trading. It the next reason people dont invest into cryptos is because they feel that cryptos are risky. They feel that crypto dont have intrinsic value or crypto could possibly go down to zero thats true, but only for lousy. Cryptos crypto is like stocks, they are good ones and theyre bad ones. Firstly, if you invest in some work, critters like this or these, then of course they are risky because they dont serve any purpose other than to let people to speculate and what big, big, but good cryptos have a much lower risk because they have a purpose.
For example, bitcoin was created to let people send money over the internet as well as store of value. Then maybe you press x to dark and be like sure, not maybe next time bitcoin will be replaced by some other crypto like doggy coin. That will happen so easily because of network effect. For example, most of us use facebook because our friends also use facebook. You will suddenly say: hey whats, your friends to account. I add you there. That wont happen because no one is using friendster now thats the same thing: bitcoin is widely accepted and because bitcoin is so popular, you wont be easy to replace bitcoin and thus cryptos, like bitcoin, have a much lower risk. Okay, now youll be like great. I want to invest in crypto, probably which crypto is the best which one you make me. What big big personally i dont know. If i know this channel would be called calvin crypto guru already, but i can give you a tip on which crypto to start with, if you check the stocks, you will notice that good stocks tend to have higher market cap, because the higher the market cap is The more valuable the stock is so this is the same with cryptos theres a website called coin market cap. Here you can see a lot of cryptos, but if you want to choose the top cryptos you can stop by market cap. You can see that the top three cryptos are bitcoin, ethereum and cardano, so this means these three cryptos are currently more valuable compared to the rest.
Each of these cryptos have their own story and purpose. For example, bitcoin lets people send money around and also store up value. Think of it like digital go and judging by how more and more people are holding bitcoin bitcoin is achieving that goal. Second in place is ethereum. Ethereum is different from bitcoin because you can actually code on it. Trust me im a programmer just go youtube and youll find all the ethereum programming tutorial. So ethereum was created to allow developers to build and publish programs and applications. For example dai. Another crypto was built on the ethereum or digital art, called nfts were created on the ethereum tool or asi infinity. The latest game which lets you earn crypto has ethereum technology. Also, third on the list is cardano. Cardano is like ethereum, but better. It is much more energy efficient than ethereum because of proof of stake system, which i will not go into this, because its a whole topic on its own colonel has a much faster transfer, speed and lower transfer fee compared to ethereum and unlike ethereum, which has unlimited Supply, i dont know has a fixed supply at 45 billion. If you want to find out more about each cryptos, you can click into the crypto to see their story, which is super duper useful. So now you roughly know which crypto you could possibly start with. I will quickly tell you how to invest in it. There are a lot of crypto exchanges in singapore, like binance.
com finance, sg, gemini, crypto.com, to name a few, its like mcdonalds, burger, kfc, burger, ramen burger. All of them are burgers, but they only taste a bit different same for crypto exchanges. If youre buying just a small amount, they dont really have much difference in terms of fee, but if youre a beginner, i think that finance sg is the easiest to use. The downside is that it only has a few cryptos and they have cardano or doggy coins. If you need a change, theres a lot of creatures and support a lot of cryptos, then you can use binance.com, but they dont allow you to fund with sgd, so its a little bit, not so straightforward to use. Anyway, i have a bunch of tutorials on how to use these exchanges, so you can check that out if you are interested as for how much of your portfolios should be encrypted. According to the study, most people have less than five percent of crypto in their portfolio and different experts will suggest different numbers. Some say two to five percent, some say one to four percent: some say up to one percent but theres one common advice among all of them. You should earn some cryptos, but not too much anime below five percent should be all right. If its too much, then your portfolio will fluctuate very well and youll be bad for your health. Personally, my wrist appetite is slightly higher, so i have about 10 percent in cryptos.
Okay, after you have bought your cryptos theres a few places, you can keep it the first one is obviously let me see in your crypto exchange and do nothing like lazy, bum bum. Second, you can transfer it to another account to earn interest, for example, in binance.com thats finance earned. The interest of bitcoin in binance.com is super low at only 0.5 percent, but for cardano. If you keep in there for 60 days, you can earn 7.79 interest. If you transfer your bitcoin and ethereum to hold or not, you can earn a high interest on it. However, theres risk of keeping your crypto online first, the exchange could get hacked and your cryptos will get stolen. For example, finance was had in 2019 and the hacker stole 40 million dollars worth of crypto. Luckily, finance was able to refund the users. Second, the platforms can just close up or take your cryptos and run away, and you cannot do anything about it. Mas has already made it clear that they will help you if anything happens, to the exchange or your cryptos. They be like you, lose the money in crypto or be good uh. So those are the risks of keeping your cryptos in online platforms. If you dont want to have this risk, then you can transfer your crypto to something called cold storage. No, no, not the cost arranged where others people buy broccoli, but this cold storage. This device is legendary, which looks like a usb thumb driver and because this device is not connected to the internet, the hackers cannot hack it and steal your cryptos.
So, do you want to keep your cryptos online to earn some interest, or do you prefer to transfer your crypto offline and keep it safe? It totally depends on your risk appetite. Personally, i keep my bitcoin and ethereum in honduran because they give a high interest and cardinal in violence. All in all, you need to remember that investing in crypto is much riskier than investing in stocks, so only invest what you can afford to lose. Yeah and thats. All for today are you planning to invest into crypto.