Welcome to Vaultavo’s second section of our beginner trading guide! We will be covering all the cryptocurrency basics within the academy and this should guide you to the ideal start when it comes to buying your first digital assets.
The idea of digital cash used online is not that complex in itself. After all, in today’s day and age we should all be familiar with online payments or transferring cash from one online bank account to another. How to fund crypto trading accounts is not much different. However, join us on our beginner trading guide and receive some light on all your questions regarding how to fund your crypto trading account and more!
What is cryptocurrency?
So what is crypto? First you need to understand the meaning of “Cryptocurrency” as a digital currency maintained by a decentralized system rather than a centralized monetary authority such as banks. The markets tend to be unaffected by the numerous political and economical factors compared to the traditional currencies across the globe. Instead, the movement of the cryptocurrency markets are mainly powered according to the supply and demand.
Cryptocurrency has received the name based on the encryption used to verify transactions. Crypto transactions are digital entries recorded to a public ledger known as blockchain. The aim of this encryption is to make all crypto transactions public in order to provide safety and security. There are also additional methods to protect crypto such as biometric authentication.
Transferring funds to your crypto trading account should be safe and easy, similar to making online payments or transferring funds from one online bank to another. In order to ensure that is the case, be sure to continue on our beginners trading guide, how to fund crypto trading accounts.
Things to consider before funding your account?
Choose your storage method
Whether your crypto trading platform is offering a crypto storage service, you should still explore all the best crypto storage mediums the industry has got to offer. The most common storage is as expected the most convenient. The reason for the convenience and the friendly usability of the hot or web wallets is largely due to it being online and that you trust the custodian service to secure your private and public keys. However even though all leading hot or web wallets are built on the basis of state-of-the-art security, they would always face the risk of cyber threats due to its online nature.
Cold wallets however are the popular storage method among those who rather stand by the motto “rather safe than sorry”. By using cold wallets the owner has full control over their digital assets, it is secured offline with the use of a physical medium such as USB-devices known as hard wallets. Opting for this storage device also carries its own risks, once you lose the hardware wallet you won’t see your digital assets again unless you’re using an HSM crypto service. So keep it safe! Overall cold wallets are highly secure storage options, however they are inconvenient for regular crypto users.
Finding the best crypto exchange or broker
Thinking about how to fund crypto trading before exploring the best beginner trading platforms to start your venture with, is most certainly within the spectrum of jumping the gun. Finding a crypto exchange or broker is a critical step to ensure that your digital asset trading endeavor turns out successful, for many platforms do not accommodate the average trader.
As a beginner, you would want to focus on trading platforms that offer low transaction and withdrawal fees, especially if you are opting to utilize a third party storage service. Later when you gain more knowledge and experience in the crypto trading world you should opt for a platform with high trading volume. The higher the volume the faster the transaction order will be filled, which is critical in the highly volatile crypto market.
Head on over to our beginner trading guide on opening an account to trade crypto to find out more about the aspects you should take into account when choosing your preferred crypto custody service.
How much should you deposit?
Whenever you start a new venture in an unfamiliar field, be hesitant with your abilities. For crypto trading beginners it is best to start with a small trading kitty and slowly increase your funds as you gain more confidence and experience in the crypto world. Keep in mind that arguably all platforms implement a minimum deposit crypto requirement that varies across the different services. Try opting for the platforms that offer low digital currencies deposit amounts, for many deposit crypto requirements are simply too high for your average trader.
However, most importantly, only trade or invest the amount of cash you can afford to lose. Always keep in mind that money is never guaranteed when trading crypto. This does not mean that you would end up losing all your funds, but it would be prudent to start your trading venture with that underlying idea. Overall, “better safe than sorry” is definitely the more advisable outlook.
How to fund crypto trading
Once you have picked your preferred crypto trading platform, you are one step away from starting your thrilling journey of crypto trading. How to fund crypto trading accounts is fairly simple.
First you will have to create a fiat wallet on your preferred exchange to which you will deposit your crypto funds. Most, if not all, crypto exchanges accept crypto purchases using fiat currencies such as US dollar, British Pound and Euros by using credit or debit cards. Even though the transaction processing time via credit card is close to instant, it is best to avoid depositing on credit due to the risk of going into debt, the cryptocurrency markets are highly volatile which could prove costly when things go south.
AVH transfers and wire transfers are also popular crypto wallet payments which could take up to three to five business days for your funds to reach your account. Bear in mind that the transaction processing time varies between the different crypto custody platforms. Once you have received funds in your fiat wallet, you are ready to deposit crypto whether you are trading or investing.
Note that you would most likely not be able to further deposit or withdraw funds if your banking account details do not match your previously completed user verification. If you are unfamiliar with this process be sure to head over to our beginners guide to lean how to protect crypto.
What is Vaultavo and how does it work?
Over the past decade we have seen a meteoric rise of the crypto scene with a market cap of over two trillion dollars. The crypto train has become more than just a bubble and has become an ideal investment option with correct trading strategies. So if you are in fact a crypto holder, thinking about how to keep it safe should be of utmost importance.
For a long time crypto traders and investors had to choose whether to opt for high-level storage security or accessibility and convenience, for it is very rare for a storage service to offer both. To recap, hot wallets offer a convenient storage service for its accessibility, however it lacks security due to it being online. Cold wallets however are the opposite, they offer extensive security but accessibility to your crypto stash is of high nuisance.
Vaultavo however, brings you the first SaaS crypto custody service which has filled the void and solved the dilemma of having to choose between security or accessibility. We offer you the world’s first biometric authentication digital asset custody smart card combined with our Hardware Security module (HSM crypto) that guarantees beyond bank grade security along with the convenient transacting that has never been easier.
There is no need to place your private and public keys in the hands of an online storage service or being scared of losing your hardware wallet. Because unlike other storage methods, your finger is the key. The Vaultavo card contains a fingerprint reader to ensure safe and secure transacting via biometrics. Losing your card is also not a problem for any card that can easily be re-issued.
How to get started
For simple, safe and easy crypto storage and transacting sign up with Vaultavo today by visiting our “Contact Us” section on our home page. Fill in your details and we will get you started as soon as possible.
After paying the signup fee we will courier you your personal Vaultavo smart card, perform the secure biometric enrollment procedure on the card and set your relevant transaction rules. Quite simple. For more information head over to our homepage or check out the rest of our beginner trading guide.
Overall, funding your online trading account is an easy step for starting your crypto trading endeavor. Basically it is all about doing the extra little effort in making sure you start off your trading on the right foot, the crypto trading scene holds great opportunities for you to capitalize on. Just remember that easy money is more a pipe dream than reality, so be prudent and trade with money that you can afford to lose.
If you are looking to gain more knowledge on cryptocurrencies, be sure to check out the rest of our beginner trading guide as well as the newsroom. See you on the next one!
Funding your account FAQ
What is the best crypto trading platform?
In recent years we witnessed one of the fastest growing industries take shape. With a market cap of a couple trillion dollars, arguably everyone is considering jumping in on the cryptocurrency bandwagon. But which trading platform do you opt for? That entirely depends on you and your personal goals. Go check out the Vaultavo beginner trading guide, for our team of experts have compiled all the necessary information and details needed for anyone that is looking to dip their toes in the crypto world.
How much funds do I need to start trading crypto?
It is perfectly normal to feel hesitant or experiencing second thoughts before delving into a new field, for you are most certainly not alone. That is why we offer you our Vaultavo beginner trading guide to help you gain more confidence to tackle the crypto market head on. Most importantly, it is your funds and you are in control, therefore the amount needed to start trading crypto is ultimately up to you and the platform you prefer to start your venture. Join our beginner trading guide to find out which platforms suit you best.
What are the best payment methods to fund a crypto trading account?
In today’s day and age there are many great crypto wallet payments available for you to use to fund your crypto trading account, however in the same breath there are several we do not recommend. Most of us opt for the most reliable and fastest payment options, so come check out our Vaultavo beginner trading guide to find out what our experts recommend.
How much money can you make trading crypto?
The fate of your funds lies entirely in your hands. Trading crypto is not easy money, however we are all aware of the sky high potential of crypto when you play your cards right. In the end, it is all about eliminating risk and maximizing profit. Follow our Vaultavo beginner trading guide for more tips and tricks, whether you are a beginner or an experienced investor exploring extra trading options.
What cryptocurrencies are the best for beginner traders?
Simply put, there is no perfect cryptocurrency for beginners to start trading with, for each coin provides its own range of risks and benefits to traders. Ultimately, it’s about understanding which crypto coin suits your trading characteristics and goals best. Head over to our beginner trading guide to learn the ins and outs of the crypto markets. Or find out how to buy crypto and the best coins that would fit your trading demands.