Bitcoin is a type of cryptocurrency. It is not like other currencies which are issued and regulated by the central banks in a country. Instead, it is a digital currency that is decentralized. This currency has the potential to make a world without international borders. The concept of auto investing in bitcoin has also changed the whole arena of SIPs and recurring deposits or RDs.
The main attraction of bitcoin is the fact that it has grown exponentially in its value. It was launched in 2009 with a value of $1 per coin, but today it has a value of almost $63,000 per coin.
How To Invest In Bitcoin?
In the first way to invest in a bitcoin, you need to choose an exchange that deals with them. You cannot purchase it via traditional brokers. Several apps have been developed that serve as a broker and help you buy the coins or a fraction of the coin. Several apps like Relai, Bitaroo and Cash App allow auto investing in bitcoin too.
- One of the most important things that must be kept in mind while buying Bitcoin is that you need a wallet to store and hold all the Bitcoin. Supply your bank details to the exchange and get your wallet ready; you are good to go.
- The second way to invest in a bitcoin is investing through crypto stocks. , this means that investing in the companies that accept their payments in the form of bitcoin. Recently, Tesla issued a statement allowing payments in the form of Bitcoin. There are other companies too. This form of investment is safer because it provides a cushion to fall on in high fluctuation in the bitcoin rates. The principal value of the stock will depend on the performance of the company.
- The third way is to mine Bitcoin. In this method, once you connect your computer to a Bitcoin network, you will be given a puzzle to solve. If you solve the puzzle, a new block will be formed, and you will get a few bitcoins in return. People in groups are increasingly using this method. People in groups solve the puzzle together and later share Bitcoins.
You can choose the method which suits your needs and resources. But if you want to invest systematically and over a more extended period, you must go for auto investing in bitcoin. It ensures maximum returns.