There are many reasons to believe that buying Zcash or Bitcoin is a good investment. Both coins have gone up in value significantly, and there are signs indicating that prices could go up even further. There is much to consider before making an investment decision. One of the things to regard is finding a good exchange to conduct transactions. There are many exchanges out there, and this quick guide points out the benefits of each exchange and provides some easy-to-read investment advice.
There are several things to consider when choosing an exchange. Transparency is the most important aspect of choosing a platform. The site should provide detailed information about itself and its developers, and it should have responsive customer service that ensures direct and prompt responses to questions. Everything else is subjective. Each exchange has specific features and benefits designed to serve different customers with unique needs and demands.
Godex is one of the premier services for people who value speed and discretion. Customers do not have to register an account to trade, and the transactions usually take five to thirty minutes to complete. Additionally, Godex keeps very little information about its customers. Other benefits include access to dozens of cryptocurrencies, free information about the crypto market, and fixed exchange rates. You can complete a ZEC to BTC exchange quickly, efficiently, and anonymously. Godex’s only disadvantage is that it does not allow fiat currency trading.
Etoro is an exchange that allows users to trade Bitcoin, Ethereum, Litecoin, and several other cryptocurrencies. One of the platform’s top highlights is that it allows traders to follow the trading decisions of other traders so that they can make the best possible trades. Another pro is that the site is well-structured and easy to navigate. It only takes a few days to create a verified account, and American users only have to deposit $50 to start trading.
There are a few downsides. First, users have to meet a $200 minimum to copy a trade. Second, a minimum of $25 has to be put down to open a single cryptocurrency position. This makes it very hard for people in low-income brackets to diversify their portfolios.
There are many reasons to like Kraken and a few more that will scare potential customers away. Kraken offers spot and margin trading for experienced users. It also offers over-the-counter services and account managers for high-volume traders. Kraken accepts seven fiat currencies, including dollars, euros, and pounds. However, deposits and withdrawals are made via SEPA and SWIFT, which are notoriously slow. This exchange supports 56 cryptocurrencies.
What will frighten people away is the litany of horror stories about them on TrustPilot. They have a two-star rating, and 70 percent of those ratings rank them as one star out of five.
Binance is one of the fastest-growing exchanges on the market. Its most prominent benefits are: users can buy crypto via peer-to-peer trading, with a card, and SEPA/Wire transfers; it supports spot and margin trading; it issues a Visa card that automatically converts cryptocurrency to fiat when used at any terminal. They also have Binance Futures, which allow users to speculate on several cryptocurrencies. The site’s drawbacks are its slow customer service and its complicated two-factor authentication.
Zcash will not buy a lot of Bitcoin. Bitcoin is hovering around $55,000 and Zcash is just under $150. A better decision would be to hold it or use a portion of one’s Bitcoins to buy Zcash. The number one rule of investing is to buy low and sell high. Bitcoin’s price is astronomically high, and while Zcash’s price is higher than what it was a few months ago, it is still significantly lower compared to Bitcoin.
In the long run, Bitcoin’s price could go higher due to major institutional demand. In the short run, it could go into a bear market once governments open up their economies and people start converting their Bitcoin into dollars and other fiat currencies. If someone invests in Bitcoin now, they could experience significant losses. The same could happen by investing in Zcash, but the losses would not be as significant.
Whatever one plans on doing, it is always good to invest conservatively and have an exit strategy for when prices go down. Cryptocurrency prices are very volatile and anything could trigger a bear market. Do not invest all of your savings in cryptocurrencies and put money in other investments like stocks, precious metals, and commodities, too. Be sure to have enough fiat on hand to make it through a year of unemployment.
Choosing the right exchange to make transactions should be a central part of anyone’s investment strategy. Not all exchanges are the same, so be sure to take a thorough look at the exchanges listed in this article and other platforms out there.