The Crypto Investment Markets
The majority of people buy cryptocurrencies as an investment. Similar to stocks, cryptocurrency prices rise and fall. Prices are determined by demand and supply. The more people that buy a cryptocurrency, the higher its price will increase. And vice versa when people sell.
This means that investors can make or lose money, so it’s important to consider the risks. The investment process itself works much the same as any other asset. For example, investors first need to choose which cryptocurrency to buy. They can then open an account with a cryptocurrency exchange, deposit some funds, and buy their chosen digital asset.
The best cryptocurrency exchanges are regulated. After buying a cryptocurrency, the investor will hope its value increases. If it does, and the investor sells, they will make a profit. Cryptocurrencies can be sold back to ‘real’ money at any time.
