When you decide to purchase digital assets and become a trader or an investor, you should understand that this market has many pitfalls to consider. So before deciding, you should know:
- The cryptocurrency market is highly volatile. The rates may change daily.
- Crypto assets open the door to unique and innovative projects that are growing and developing. Only a tiny percentage of them become unicorns. Many crypto projects fail before reaching any success. So you should analyze every project, who stands behind it, and what its essence is.
- There are crypto assets like coins, tokens, stablecoins, NFTs, etc. Make sure you understand the difference.
- Pick where to buy cryptocurrency. The market offers numerous services to buy crypto with fiat and exchange cryptocurrency. You can do it on a centralized or decentralized platform. We strongly recommend a centralized exchange because it is suitable for beginners and provides maximum safety. Besides, fiat to crypto exchange is possible only in a centralized service.
- Before purchasing an asset, you should understand what your next steps are. Are you supposed to hold it or exchange and trade it?
- You should learn trading strategies and practice them. The WhiteBIT platform allows using a demo account to practice trading without losing money.
- Make sure you don’t sacrifice your money for a living. Do not invest your last savings. To succeed in trading, you should always maintain a cool head, otherwise emotions will push you to make wrong decisions.
Pick a Wallet – the Next Step to Buy Crypto with Fiat
Once you choose a digital asset, it’s time to choose a wallet. Crypto purses can be cold and hot. Cold (offline) purses are devices connected to your PC or laptop when you work with your assets and reconnected when you finish your work. Most of the time, your funds are stored offline, so no one can steal them. Offline storage is the safest option to keep your investments secure. It is good for significant investments for the long term, when you buy, for example, Bitcoin, and forget about it for some years until it boosts, bringing you a fortune.
Another type is a hot purse. That is a program on your phone, laptop, or tablet – any device with the internet. Online purses are suitable for everyday trading.
You can buy digital assets with fiat on the WhiteBIT exchange. To learn how exactly to do it, check out the guide on the blog WhiteBIT.