https://lh5.googleusercontent.com/XSYkj5iKi7vNkBni_PIrOYV3N6GFR299mU2NS8CaRQj8TjbVM_1O8aSK7KLlwAkgsAfx2-j5wQBA5zpM7Hnb5uVYYtBduD-R68euO0ScrqJMiGmY1kKgqlcf4N47zzbUn_S591Dg

How can I “invest” in cryptocurrency? Which coins should I choose? What is a good portfolio distribution…? Where to start…?

Getting into “cryptocurrency investing” is not easy, it requires time and effort to read through blogs, documents, trading platforms… and set-up the infrastructure. Everybody does it a bit differently. In this text I’ll describe why and how to invest in crypto currencies.

Why invest/speculate?

First and foremost it’s important to mention that crypto investing is speculation, as most tokens develop (for now) extremely volatile and unpredictable. Therefore, you should always be prepared to lose all of the money you invest into it. Hopefully obviously this does not happen — but — you should be prepared for it.

However, people usually have three main motivations to buy fungible tokens:

• Financial gain: fungible tokens (e.g. Ethereum, Energy Web Token,…) can have extreme financial benefits of up to 10…x% — it’s a high risk, high return game.
• Using it as “digital cash” to buy projects (e.g.NFTs…): In order to buy e.g. NFTs, tokens such as Ethereum, Solana,… are required.
• Education/Entertainment: Learning about the space, trying the investment process,…and understanding how the tokens develop.

How to buy the first currency?

You’re ready to start but you don’t know how? Congrats — you’re up to something new, let’s make sure it works. In general, buying the first currency requires a 4-step process:

1. Define what to buy (e.g. Ethereum, Bitcoin,...)
2. Create the “set-up” (getting the wallet,…)