2 Essential Tools to Start Investing Cryptocurrency

The cryptocurrency wave is present in Africa. It was introduced in Africa almost 15 years ago. As the years progressed, cryptocurrency became accessible to all Africans. One only needs some money and an internet connection to invest in cryptocurrency. The best thing is you will not need approval from the bank to start investing.

You might be skeptical at first about cryptocurrency investment due to the vast information available or the technical side of it. The truth is as an investor you will need the basic information to understand how cryptocurrency works.

There are two essential tools beneficial to novice and experienced crypto investors. Cryptocurrency wallet and exchange are the tools that will help manage their cryptocurrency portfolio. They are both important in a unique way. However, it is advisable to research before deciding on which tool will work best for you.

Cryptocurrency Exchange

Without a cryptocurrency exchange, you will not be able to trade cryptocurrency. A cryptocurrency exchange is a platform where trading is happening- it acts like a bank. It enables smooth cryptocurrency transactions by the crypto investor. You will need to sign up for the cryptocurrency exchange to access the platform. Proof of identity will be needed when you sign up to make sure you are not a hacker, scammer, or robot. You might be required to submit your driver’s license photo, address, or a valid government ID. The verification is important since identity confirmation will be needed when making transactions.

The internet provides tons of cryptocurrency exchange websites. African bettors using cryptocurrencies as a mode of exchange will need to select which site will work best for them. Each cryptocurrency exchange charges differently for transactions depending on the amount. The good news is they charge less than banks. Select one that is within your budget. Not all exchanges are available in all countries. When selecting, ensure it is available in your country. If you are a frequent traveler, it wise to choose an exchange that can be accessed from any country. Besides, an exchange account is accessible with a visa card or bank transfer is a plus.

What investment and trading options are offered? It is a question you need to ask yourself when selecting an exchange platform. Some have a high-risk portfolio and others have a low-risk portfolio. For instance, a margin trade is a high-risk portfolio.

Cryptocurrency Wallet

Aspiring African crypto-bettors should be familiar with what a cryptocurrency wallet is. After selecting your exchange the next step is selecting your cryptocurrency wallet. A cryptocurrency wallet is where you store all crypto-investment- it acts like a bank account. The two tools depend on each other to keep your investment safe. For instance, an exchange uses a cryptographic address and a cryptocurrency account has an encryption key. The two(the key and the address) contains a combination of more than 30 random characters for the user to trade. If the code is lost, the investment is also lost. Thus, it important to safeguard the code, without the code a user cannot access the investment.

Cryptocurrency wallets are the best way to safely store your information. The information is stored in form of cold storage, not on the internet. Here, the user is safely storing the encryption keys. The wallet acts as a USB and the only way to access the investment is to connect the wallet to a computer. The user will then do some verification before transacting.

Paper-based wallets, hardware wallets, and cloud storage are types of cryptocurrency wallets. They all have a unique position and functionality in the crypto economy. A hardware wallet is the most preferred wallet as it contains built-in security and restoration features.

There are many cryptocurrency gambling sites out there for African gamblers. To get started, you will need some money to invest in and an internet connection. Then scout for the best cryptocurrency exchange and wallet. Moving forward, you can now start using it for online gambling.

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