If you’ve been keeping up with financial news, there’s a good chance you’ve heard the term, ‘cryptocurrencies’. Basically, these are relatively new types of currencies, such as Bitcoin, that exist only in digital form. While Bitcoin’s creator intended it to be an alternative, decentralized currency, it soon became an investment option due to its high volatility and rapid price movements. Over the years, numerous other cryptocurrencies were created, currently numbering more than 850.
However, investing in these currencies is not an easy task. In order to directly purchase them, you must open an account with an exchange (a rigorous process by itself), transfer them to an electronic wallet, choose a strong password and never lose it. Because if you do, there’s no way to recover it and your digital coins are lost forever. Luckily, there are other ways to invest in these currencies, which are less challenging.
The Crypto CopyFund
Several online platforms offer cryptocurrency trading, however, only eToro offers a financial instrument that enables online investment in several currencies at the same time. eToro, the world’s largest social trading network, created CopyFunds, which are investment tools that either group together various investors or offer an investment opportunity in several financial assets following a predetermined strategy. The most recent addition to eToro’s CopyFund offering is the Crypto CopyFund, which offers a professionally managed portfolio of six leading currencies.
As opposed to trying your luck with buying and holding individual currencies, tracking the markets and constantly buying and selling, the Crypto CopyFund presents an option that enables you to take less of a “hands on” approach. It is managed by eToro’s Investment Committee and rebalances every month. This means that each month, a team of professionals reevaluates the composition of the CopyFund and makes changes if necessary.
Getting started
Signing up for eToro is quite simple. Of course, since it is a regulated and secure platform, you will have to go through a verification process (which keeps hackers and other malicious entities from using the platform). Once you’ve signed up and made your first deposit, you can start exploring the various features of the platform. You could invest in the Crypto CopyFund, explore other CopyFunds, find other assets to trade and invest in, and even copy other traders, replicating everything they do in real time. You will soon learn why more than six million people worldwide choose eToro to manage their online trading and investing portfolio.
Therefore, whether you want to invest in cryptocurrencies or experiment with other forms of trading, eToro might just be the platform for you. You can even get started with a $100,000 virtual money account, which you could use to hone your trading skills before using real money.
eToro’s Crypto CopyFund enables anyone, anywhere, to invest in cryptocurrencies in a straightforward and intuitive way. So what are you waiting for?
Cryptocurrencies can fluctuate widely in prices and are therefore not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Your capital is at risk.