Businessman Arif Efendi Shares Insights on Crypto Investment
Arif Efendi, an experienced investor, businessman and entrepreneur, realized that cryptocurrencies were now a legal investment asset. Here are his observations and lessons.
Arif Efendi Arif Elfendi explains difference between crypto and stocks.
If you're an investor, it is important to understand the distinctions between stocks and cryptocurrency. Although there are some similarities between cryptocurrencies and stocks however, they're very distinct.
Cryptocurrency is a digital asset or currency whose transactions are documented and verified using an uncentralized system by using cryptography instead of a centralized authority. Stocks, also known as securities or equity, signify ownership of a specific portion of a company.
With the idea of capital appreciation in mind, when buying stocks or crypto, particularly when the price of the asset rises individuals tend to purchase both.
Why do people buy Stocks and Other Cryptocurrencies
Stocks can also be purchased to influence decisions of the company and vote. Additionally, they invest in shares to receive dividends that the company distributes to their shareholders.
It is easy to invest online in stocks and crypto through the new generation of marketplaces and a variety of mobile apps for investing.
Arif Efendi While it appears similar to the way things are done however, there are some major variations. The Securities and Exchange Commission regulates securities. However, trading in crypto can be done from any smartphone or smart device at any time.
Trade crypto with fiats or other trading pairs of crypto.
Trading Crypto vs. Arif Efendi Swing Trading
You may be asking yourself why trading crypto is so profitable, despite its volatile nature.
A high market cap can lead to a swing between 5% and 10% on cryptocurrency, while smaller ones can see gains of 10x in just a day.
It's not commonplace in stocks.
For example, if you had put $1000 into Solana 1st January 2021 at $1.837, your investment would be worth $182,000 at the price of trading of $182.
It can be very rewarding to invest in crypto, if you're not a weak player. https://www.scienceworldreport.com/articles/62025/20230306/arif-efendi-explains-why-reliance-on-renewable-energy-is-arriving-quickly.htm Some novices might wonder where the money comes from. The cryptocurrency market is not governed by any central entity.
Thus, their value comes from the cost of production, supply, demand, adoption, and availability on exchanges and utility.
Understanding Cryptocurrency Supply and Demand
The textbook in our economics class shows us that if the demand for an asset grows more quickly than supply, the asset's price will also increase.
In the case of earthquakes, for example, they could cause water prices to rise in certain areas. The same economic principle applies to cryptocurrency.
We are now in the stage of mass adoption and we're witnessing institutional investors like MicroStrategy and countries like Ecuador betting big on cryptocurrencies. This is a great time to be alive!
Recognize the Risks of Volatility
The value of cryptocurrency fluctuates and down as does the market for stocks. A lot of people want to invest in cryptocurrency and earn 100x profit.
While it's not guaranteed that an investment will be profit-making for the rest of its life, it is important to know when an asset should be purchased and sold or taken profit.
Warren Buffet said, "Be afraid when others are greedy , and be greedy when others are scared."
A lot of people working in the cryptocurrency space are anxious. Bear markets are the best time to invest in cryptocurrency. When the price of cryptocurrency is dropping. When Harry, Dick, or Tom are selling in a panic.
People who are anxious can risk losing their investment if they're nervous and worried. It is possible to make an inventory of the cryptocurrencies you're looking to invest in, and wait for them to appear.
Another time to buy is on weekends, when institutional investors close their trades for the week.
We are witnessing a transition away from traditional investment methods in which a broker is mandatory, to newer methods that allow you to buy cryptocurrency from the comfort of your home.
Which Cryptocurrency Do I Have to Buy?
If you go to Coinmarketcap.com, there are numerous cryptocurrencies on offer.
https://soundcloud.com/arif-efendi-189561043 My personal favorite was Solana. It was followed by VAX, POLIS, and ATLAS.
https://businesscloud.co.uk/news/arif-efendi-answers-all-your-questions-about-cryptocurrency/ It's even easier to track your most loved coins and keep an an eye on them. http://www.ispir.gov.tr/kadizade-mehmed-arif-efendi Tabtrader makes it easy to keep track of each move and also when it is time to buy more.
If you hold your cryptocurrency for a prolonged time frame then you can choose to collect airdrops, or transfer them into wallets such as Trustwallet. Imtoken or Myetherwallet. Use secure passwords to secure the security of your crypto.
Keep a copy of your 12-word phrase in case your host device is lost or stolen.
Conclusion
With this information, your bank is your bank. You can make transactions anywhere around the world anytime.
Arif Efendi