With Cryptocurrencies on the rise, and looking like they aren’t slowing down any time soon, people from all around the world are looking to get in on the action. There are multiple ways to do this, but which one is right for you?
Depending on why you’re looking to invest in Ethereum, we’ve put together a little guide on whether you should buy actual coins, or just trade on them.
1 – You Believe in the Tech
This is the main reason that most people are placing their money in Ethereum. Boasting impressive new features such as smart contracts and a blockchain that isn’t just for currency, Ethereum has room to mature into a really strong piece of technology.
If you believe in the tech, it’s worthwhile buying the actual coins – this is a long term strategy, as currently there isn’t much opportunity to use Ethereum for real-world transactions.
2 – It’s Still Affordable
And by cheap, we don’t mean $0.002, but Ethereum is still in the price range that if you wanted to actually own a few coins, you could. BitCoin has ramped up to thousands per coin, and no one wants to own 0.2 coins. Ethereum is still growing, and is still affordable (but not too cheap) enough to actually own a couple of coins for yourself.
As these prices are so volatile, you can take advantage of this fact with CFD trading. Buying actual coins takes a bit of time and is currently unregulated, so if you want a less risky way to make a quick buck off of Ethereum, CFD trading is probably your best bet.
3 – Adoption Has Been Strong
Ethereum isn’t just a currency. Ether is the currency of the Ethereum blockchain.
This is the key difference between BitCoin and Ethereum, as BitCoin is solely a currency. Because of this, the technology behind Ethereum has been picked up by other industries & governments, with everyone using its blockchain for different reasons. The adoption of the tech will help Ethereum grow and mature quickly as people will already understand how to implement into the Ethereum blockchain.
If you’re looking to invest in Ethereum to hold onto, ready for when the mainstream take note – then buying coins is a good idea.
4 – Great Tech PRospects
With further upcoming developments and other teams working on decentralized apps, we’re going to see Ethereum grow and grow. banks, crowdfunders, eCommerce websites and other tech companies are all getting a piece of the Ethereum blockchain, and they’ll all be using Ether as their currency of choice.
As more announcements are made, you could invest in CFD trading, buying just as an announcement is made and then looking to sell once it hits a peak. You’ll need to be quick though, and make sure to monitor the crypto news constantly.
5 – The Market Is Still Volatile
Although this might sound like a reason to not invest, savvy investors know that markets that quickly move up and down are easy to make money from. Overall, we expect Ethereum to really grow in the long term, so investing in coins for this is a great idea. However, with such quick market shifts, it’s also worth jumping on a CFD platform and trading on the highs and lows.
Overall, Ethereum is a really strong piece of tech and it continues to make huge gains in the market – making it the perfect cryptocurrency to get involved with today. Either buying coins or trading with CFDs will end up making you money, but if you believe heavily in the tech (like we do), buying coins for the future will definitely help support Ethereum in the long run.