Cryptocurrency is a digital asset that uses blockchain technology to assign ownership to each unit. The value of cryptocurrency is determined by the cryptocurrency market’s supply and demand. It is a volatile asset, and a high-risk investment and investors should proceed only after thoroughly researching the financials.
Still, you can earn healthy APY (Upto 17%) on your top cryptos by using the HODL strategy in the Carret platform.
Learning how to invest in cryptocurrency is simple. Open an account with Carret, India’s most secure cryptocurrency investment platform.
What are the Different Types of Cryptocurrency Investing?
When considering investing in cryptocurrency, you may consider purchasing and holding one or more crypto coins. Buying cryptocurrency directly is probably the most common way to add crypto exposure to your portfolio, but there are a few different ways to invest in cryptocurrency:
Buy cryptocurrency directly:
You have the option of directly purchasing and storing one or more cryptocurrencies. Your options include the most well-known digital currencies, such as Ethereum and Bitcoin, as well as 100+ cryptos in the Carret Platform.
Users can easily purchase Bitcoin, Ethereum, and other cryptocurrencies using a variety of payment methods such as bank transfer, debit card, and UPI. Carret now accepts payments from Indian cryptocurrency investors. To provide you with a secure and seamless crypto-buying experience, we only work with verified and trusted partners.
Invest in cryptocurrency companies:
You can invest in businesses that have a partial or complete focus on cryptocurrency. Cryptocurrency mining companies, mining hardware manufacturers, and companies like Robinhood Markets Inc. are among your options. You can also invest in companies with large amounts of cryptocurrency on their balance sheets, such as MicroStrategy Inc. (MSTR).
Invest in cryptocurrency-focused funds:
A cryptocurrency mutual fund is a grouping of cryptocurrency assets sold as a single investment.
Mutual funds, for those who are unfamiliar, are professionally managed portfolios of stocks, bonds, and other securities. Mutual funds are investments in which investors pool their funds. Investors benefit from a diverse portfolio in a single investment because these funds contain a variety of assets.
The expense ratio of each mutual fund represents the fee for investing in it. The expense ratio is calculated as a percentage of the managed assets. Cryptocurrency mutual funds function similarly to traditional mutual funds. The distinction is that they are specifically designed to invest in cryptocurrencies and cryptocurrency-related assets.
There are also exchange-traded funds (ETFs) such as index funds and futures funds, as well as cryptocurrency investment trusts.