The financial market offers numerous investment opportunities. It has been a long time since the share was the only trading product. The currency market, which is also called Forex - Foreign Exchange Market - is becoming more and more popular. Different currencies are traded in pairs and their price. The newest part of the currency market are the crypto currencies. These have been freely available on the market since 2009 and have caused great turmoil in the financial world since day one. The first crypto currency was the Bitcoin. Meanwhile, like the currencies of nations, there are many different of them. However, the crypto currencies have special trading advantages over other currencies and are now traded more frequently again after the value of the Bitcoin fell sharply last year. The following article explains why crypto currencies are again in the spotlight, especially in Russia, and what advantages a crypto currency has in trading.
The term crypto currency explains
Before going into the advantages of trading, we will first explain the basics of the latest currency. A crypto currency is a digital means of payment. In the beginning the payment options were still very limited, but soon it was possible on online platforms to pay for a product, service or a performance with the Bitcoin. The most obvious difference to normal currencies is that a crypto currency has no coins or notes. It is only online in a device to see how many crypto currencies you have at what value. Thus the currency is theft-proof and is also not subject to inflation, with which the currency can be reprinted as often as desired. Thus it is above all safer for investors and therefore a gladly traded financial product. Before the advantages of crypto currencies in trading are clarified, we will briefly explain why crypto currencies are experiencing a new hype in Russia.
The white list
Already forgotten or suppressed by many, crypto currencies are experiencing a new upswing in Russia. After the value of Bitcoin fell from almost 20,000 US dollars to less than 10,000 US dollars at the end of the last calendar year, no one dared to invest in this crypto currency. That is more than understandable, also because many people invested only after crossing the 10,000 US Dollar border and, instead of making the hoped for big money, even made minus. But the Bitcoin has caught itself and is slowly but surely rising again. So it's fitting that Russia, or rather the Russian Association of Cryptocurrencies and Blockchain, has published a white list. This list includes all trusted companies that work with crypto currencies. Furthermore, Russia is a country that is working hard to make the crypto market more regulated and secure. Criminal activity or fraud should be a thing of the past. Foreign traders, traders and investors can also access the white list and use their crypto currencies securely.
Trading in crypto currencies on the financial market
Payments with a crypto currency are faster and more secure. These are completed in the same second in which they were made. This makes trading with them as interesting as it is varied. Because a crypto currency can be traded in two ways. This in turn makes it easier for investors, since they do not have to decide on a trading route. On the one hand, trading functions similarly to a stock, on the other hand, crypto currencies can be traded like other currencies with binary options. Here is a brief explanation. With a share, the shareholder buys the security and assumes an increase in value. This happens with a share by successful business activities at the market. If the value of the share then rises, the holder of the security is able to sell his shares profitably to other market participants. The same procedure is also possible with crypto currencies. For example, there were many investors who bought Bitcoins at a value of a few hundred euros. Later they earned by the sales, after the enormous increase in value, which went up to the five-digit range, a net yield, of which other investors can only dream.
But crypto currencies can do more than that. As with other currency pairs, it is possible to trade exclusively on price performance. This works by betting on a rising or falling rate. This makes it possible to still generate a return without shares in a certain crypto currency. In addition, when trading binary options, the yields, which average 80 percent, are also very attractive and trading periods of one minute and shorter are selectable. Thus it is possible to place several trades within a few minutes. Crypto currencies are the only financial product that allow both. Both investors, who buy shares, and traders, who do without shares and only want to bet on price developments, can trade with crypto currencies.
Trading on the financial market
The financial market is a complex construct with traders from all over the world, countless products and trades within seconds. Despite the risks, the financial market is no longer reserved for experts or trained brokers. Because the market is now open to everyone and accessible via the Internet, traders from all walks of life can be found today. It is now a normal hobby, both in Germany and in other countries, which has the positive side effect of yields. In addition, the market is no longer a niche. There are several hundred brokers on the Internet who make it possible for anyone with an Internet connection and a technical device to place trades. Betting.org lists the online brokers who offer trading in crypto currencies.
The risks of trading in crypto currencies
As already mentioned, the financial market is a complex trading place where ill-considered purchases quickly end in loss. In order to minimize the risk when trading crypto currencies and on the other hand to increase the security as well as the chance of profits, a comprehensive analysis of the market must take place. Fortunately, in these fast and modern times, it is no longer necessary to do this yourself. Analysis tools provided by online brokers can help. They analyse the chart and calculate trends for the future. However, for a successful trader it is one of his daily tasks to deal with the financial market. This includes researching, knowing and evaluating influences from politics, society and other financial developments.