IQ Option offers perfect conditions for cryptocurrency traders in Pakistan: assets variety, leverage, informational support, user-friendliness, etc – get an account now
At present time, the world economy is rather dependent on multiple events and news.
Economic collapses in various countries are considered as something ordinary therefore alternative financial systems come to the fore. Digital currencies are indicated foremost. Their popularity is rising rapidly while the functions of crypto assets are being increased as well.
What do cryptocurrencies mean in simple terms?
Cryptocurrency is a digital asset that is created and transferred with the help of cryptographic methods, mostly based on blockchain.
Coins are released in digital form according to certain mathematical calculations. Thus, digital currencies can be understood as ones that have no physical form.
The first digital asset, Bitcoin, appeared in 2009 but the term ‘cryptocurrency’ had been primarily used in 2011 in the ‘Forbes’ magazine.
The main characteristics of digital currencies
Among the main characteristics of those assets, the following ones should be indicated:
- Decentralization. Crypto is not controlled by the governments or private institutions therefore assets are understood as the alternative financial system.
- Backed by nothing. Fiat currencies are backed by gold while digital ones are backed by nothing. Altcoins are the exception. Those assets may be backed by fiat currencies, precious metals, shares, etc.
- Transactions inconvertibility. Blockchain means a system of chains where transactions are understood as links. When a transaction is confirmed, it cannot be reversed therefore such system excludes frauds. A person is able to download the history of all transactions made within a certain digital asset.
- Anonymity of transactions. In fact, transactions are anonymous therefore personal data are protected but on the other hand, the majority of exchanges and other services are able to connect digital addresses with their owners following to the principles of ‘KYC’ (know your client) and anti-money laundering.
Ways of getting digital assets
There are several ways to obtain digital currencies:
- Mining. Earning an asset through using computational power of your devices.
- Exchange. Users are able to buy digital currencies on special platforms and change them to other cryptocurrency of to fiat assets.
- Sell goods and services. People may offer different goods and service for digital assets. Crypto currencies are adopted as payment instruments in many countries.
- Trading. Such way is frequently understood as the most widespread one that implies speculating. Users buy crypto by lower prices and then sell the assets by higher prices.
Cryptocurrency trading in 2020: pros and cons
The market of crypto trading is characterized by both pros and cons therefore beginners should comprehend the industry before starting to invest in it.
Among the main advantages of the industry the following ones are indicated:
- High volatility. Newcomers are frequently afraid of the volatility but professional traders understand the more volatile asset is, the more profits are expected. For instance, an average daily volatility of fiat currencies is some 0.5-1% while for crypto such index is equaled to more than 5%. That means, digital assets are 5-10 times more volatile than traditional ones.
- 24/7 market availability. Fiat currencies can be speculated 5 days per week while the market of digital assets never closes. Traders are invited to speculate around the clock 7 days per week.
- Rising popularity. The market of digital assets is international and attracts more and more participants therefore users are available to get experts’ evaluations, numerous tutorials and instruments for better analyzing of the market.
- Enormous array of assets. At present time there exist more than 5 100 digital currencies that can be bought and sold. On the other hand, some top-30 are recommended for speculating as the most reliable ones.
- Leverage trading. Many platforms offer different multiplier coefficients that increase your profits. For instance, trading Bitcoin with x100 multiplier, a trader may purchase about 0.11 BTC by $10 instead of getting 0.0011. As a result, in case of prices growing, profits are higher.
Pros are numerous while cons exist as well. Among the disadvantages of crypto trading the following ones are distinguished:
- Bags and failures of platforms. Such technical reasons may lead to unsuccessful deals.
- Decentralization. Crypto prices are hard to analyze because there exist numerous factors that influence rates of digital assets.
- Higher risks. Volatility is connected with profits on the one hand but on the other hand, much higher risks are implied.
Our platform IQ Option is able to minimize those risks offering users the best conditions for crypto trading.
Top advantages for crypto traders
Our platform offers the following advantages for crypto currency speculating:
- Variability of crypto assets. There suggested more than 20 digital currencies for speculating.
- Different multipliers. Multiplier coefficients vary from 3 to 100 that is convenient for both new entries and professionals.
- Traders are able to find out basic information about a particular crypto asset and to compare price changes for the last: 5 minutes, 60 minutes, 1 day, 1 month and even 1 year. The latest news and trading conditions are indicated for each asset as well.
- Due to the Web GL technology, the platform is 5 times more rapid than analogues ones therefore all deals are being made and closed instantly.
- There exist apps for all devices offering even more functions for effective speculating.
Moreover, our platform is several times awarded for user-friendliness and constant development.
How to open an account for crypto trading?
An account opening on the platform is rather simple and takes just several minutes of your time.
The following steps are required:
- Visit an official website.
- Press the button ‘Sign Up’.
- Insert all necessary information or use alternative variants (Facebook and Google profiles).
- Confirm ‘Terms and Conditions’ and your 18+ age.
- Click in ‘Open an account’.
To avoid withdrawal problems, verification is recommended being made as soon as possible.
Getting an account, traders are able to start practice speculating through a demo account or deposit a real account and start earning money from crypto speculating.
How to make a deal for crypto assets?
Being logged in the platform, follow the simple steps:
- Pick up ‘+’ for opening a new asset for speculating.
- Select ‘Crypto’ from the offered categories.
- Click in an asset you wish to speculate. Pay attention that some assets are suggested with several multiplier coefficients. Moreover, some assets are available for holding while others have expiration time. That aspect should be taken into account as well.
- Indicate amount to invest in a certain crypto.
- Press ‘Buy’ or ‘Sell’ depending on your analysis.
- Professional traders often use auto purchase and auto close options to save their times. Indicating particular rates the platform may open and close deals automatically.
Traders are free to open several assets and then control them in ‘Total portfolio’.
Cryptocurrency trading FAQ
Why do digital assets become more popular all over the world?
There exist multiple reasons for such assets’ popularity rising. Foremost, crypto assets can be purchased by everybody with the help of a laptop and the Internet access. Transactions are simple and protected, being made without third parties. Those payment instruments are understood as independent and therefore safe.
What does affect prices of digital currencies?
In fact, numerous factors influence the price. Among the most prominent ones the following factors are distinguished: supply of an asset, status, recent news, investments’ interests, basic technology, applicability, etc. Moreover, the experts indicate that crisis in traditional economy frequently moves the price of digital currencies higher.
How can I analyze the crypto market?
To understand the further movement of the crypto market, traders should be well-informed about the latest news concerning the industry. Positive ones move the prices higher and vice versa. Moreover, the activity of major players called pumpers affects the market as well.
How to pick up crypto assets for speculating?
Among the diversity of digital assets, traders are expected to select 1-2 currencies for speculating otherwise failure is inevitable. Analyzing numerous assets simultaneously is not a good idea. While picking up assets the following criteria should be taken into account: · an asset position in the ranking (top-10 cryptocurrencies by market capitalization are recommended for speculating foremost); · a project (coins are released within particular projects and the more technological a project is, the more reliable a digital asset is expected to be); · support by exchanges and platforms (being offered by numerous trading platforms and exchanges, an asset is characterized by high supply).
Where can I purchase digital assets?
There exist two ways of purchasing digital assets: either special crypto exchange or trading platforms. The first solution is recommended for assets hodling mostly while platforms are indicated for speculating offering the best conditions for this process.
How much should I invest in cryptocurrencies?
Referring to our platform, the amount of deposit starts with $10 therefore having 10 USD, users are able to open an account and purchase crypto for speculating. Pay attention that the minimal deal amount is just $1.
How can I achieve success in crypto trading?
According to the statistics, the majority of newcomers lose their money because of inappropriate comprehension of the market. Success is mostly based on profound technical analysis and experience. The more you practice and develop skills, the more successful you are expected to be. Moreover, our platform offers video tutorials, chats and other instruments to minimize your risks and losses.
Can I trade digital currencies on weekends?
In fact, there exist no limitations because of decentralization. Those markets that are controlled by financial institutions are closed on weekends. Crypto assets may be speculated 7 straight days. Conditions are totally the same during the whole week.
Which time is the best for crypto speculating?
On the one hand, there exist no closure periods concerning the market but on the other hand, there can be distinguished three sessions: American, Asian and European. The Asian session is marked by the highest trading activity and therefore by the highest volatility. Professional traders prefer this session for speculating expecting the highest profits. The European session is characterized by the lowest trading activity and therefore suitable for newcomers mostly.
How much time should I spend for the market learning?
Such question is rather controversial. Foremost, crypto speculating is truly understood as occupation therefore professionalism should be developed constantly. Everything may depend on your education, previous experience, etc. Thus, some traders understood some 1-2 hours per day as enough time while others need some 5 hours or even more to achieve success.
Are cryptocurrencies legal?
The status of digital assets is not defined in the majority of countries but contemporary governments are rather favorable towards those assets. One after another governments accept digital currencies understanding them as alternative financial instruments. Referring to those countries where such assets are illegal due to different reasons, the list includes just some 10 countries: Bolivia, Nepal, North Korea, etc.
Are crypto assets legal in Pakistan?
At present time cryptocurrency in Pakistan is forbidden for institutions and organizations while citizens regard digital assets speculating as rather profitable investing instrument. Many users of our platform represent Pakistan. On the other hand, the government is ready to adopt digital assets in the nearest future selecting the course towards digitalization of the country.
Should I pay taxes from crypto trading in Pakistan?
Getting profits from digital assets speculating traders are obliged to pay income taxes. Referring to Pakistan the rate varies from 0% to 7.5% depending on the annual profits therefore income taxes are among the most favorable in the world.
H What is the future of digital assets?
This question has no exact answer. Some experts predict the crisis of the industry while others are waiting for Bitcoin price up to $100 000. Digital assets are more and more adopted and widespread. In some countries people are able to pay for cafes, hotels and other goods and service by digital assets therefore crypto currencies are expected to be more and more popular.