Cryptocurrency makes up a huge segment of the investor headspace in the current age of commodity trading. The Crypto marketplace is teeming with new and innovative coin designs and decentralized, peer-to-peer trading applications, and best of all, the marketplace is always open.
Since of the decentralized nature of cryptocurrencies more generally, there is no real regulatory body, like with a fiat currency (government-issued cash assets), and traders in all major US cities, and cities around the world can interact with one another 24/7 to place trades and purchase services with the help of this equitable currency vehicle.
Cryptocurrency as a Currency Vehicle
Cryptocurrencies act first and foremost as a currency. They can be used to securely purchase assets like gold or services like a cup of coffee. Many vendors are now accepting Bitcoin, Ethereum, and other crypto-assets as an equally recognizable commodity to Dollars or Pounds. Because of this, many investors are buying cryptocurrencies as a way to securely make payments for services rendered.
The decentralized nature of the coins themselves and the transactions they are used for mean that anonymity and personal data protection are built into the commodity exchange, whereas the average purchase in-store with a fiat currency is made with a credit card, providing the vendor, bank, and government with important personal details that would otherwise be shielded.
Investments make up the secondary function of the crypto marketplace. People all over the world are turning toward the crypto market to create their trading income. In many cases, the crypto market offers a unique customer experience and offers a hedge against the stock market which can be overly driven by Wall Street speculation.
While the traditional markets are seeing increased turmoil as a result of the long effects of Covid-19, cryptocurrencies have become a fantastic alternative. When paired with a physical commodity — like with any other trading strategy — crypto holdings offer a significant advantage over their competition (for more on cryptocurrency trading education see: www.cryptocurrencyhelp.com).
Bolster your holdings with physical assets too.
Utilizing cryptocurrency as an unrealized profit is a great way to create movement in your portfolio. But the best investors all over the world know that these unrealized profits must be backed up with physical assets that offer tangible value as well. The greatest of these options is perhaps the real estate market.
Whether you are looking for properties situated within apartment communities or a commercial piece of real estate, buying into your local property market is a great way to create a well-rounded portfolio that’s underpinned by your speculative crypto commodities. Approaching a local realtor such as those at Venterra Realty can help you get started in the property marketplace. Looking for assets to diversify your holdings can be a significant challenge, especially for those who are new to the marketplace. This is where the expertise and professionalism of a realtor come into play.
A realtor can help you target properties within your price range while eliminating real estate that might require extensive work in order to begin seeing a return on your investment. Real estate holdings are great for investors who are looking to create monthly dividend income in the form of tenant rent checks. Alongside rising prices in the market as a whole, rental income makes for great long-term stability that can boost your cash flow now and provide you with the funding you need to pay off a mortgage and then some.
You might even consider pumping the majority of these dividends back into your crypto portfolio in order to take advantage of a new price surge, like the one that saw Bitcoin double in price in January, 2021. Pairing physical and digital commodities alongside one another is a great way to capitalize on market movement. Make sure you take advantage of all that the marketplace has to offer.