How to invest in crypto using Binance: a starter’s guide on opportunities and assets
As the world of cryptocurrency continues to grow, platforms like Binance have become essential hubs for investors of all levels. Binance offers a variety of investment opportunities, making it an excellent starting point for beginners who want to explore crypto assets.
This guide will walk you through the main investment opportunities available on Binance, providing you with the knowledge needed to make informed decisions.
Spot Trading
Spot trading involves buying and selling cryptocurrencies directly on the market. You own the asset outright and can hold or sell it at any time.
How it works on Binance: choose from hundreds of cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), and more.
Trade pairs like BTC/USDT, ETH/BTC, or any other available pairs.
Utilize market, limit, or stop-limit orders to execute trades.
Best for: beginners who want to start simple by holding cryptocurrencies for potential long-term growth.
Futures Trading
Futures trading allows you to speculate on the future price of cryptocurrencies without owning the underlying asset. It’s more advanced but offers opportunities for higher leverage.
How it works on Binance: use the Binance Futures platform to trade contracts for Bitcoin, Ethereum, and other cryptos.
Leverage up to 125x, but be cautious as higher leverage increases risks.
Explore USDT-margined or coin-margined futures contracts.
Best for: experienced investors with a higher risk tolerance looking to amplify their gains.
Binance Earn
Binance Earn is a suite of investment products that allow you to grow your crypto holdings passively. Options available:
- Savings:
Flexible Savings: Earn interest on crypto you can withdraw anytime.
Locked Savings: Earn higher interest by locking your funds for a fixed period.
- Staking:
Locked Staking: Stake your crypto in blockchain networks to earn rewards.
ETH 2.0 Staking: Participate in Ethereum’s transition to proof-of-stake.
- Launchpool:
Stake BNB, BUSD, or other tokens to earn new project tokens for free.
Best for: those looking for passive income opportunities in crypto.
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Binance Launchpad
Binance Launchpad allows you to participate in token sales of new blockchain projects.
How it works:
- Hold BNB to gain eligibility
- Commit your BNB to a token sale pool during the subscription period
- Receive new tokens proportionate to your BNB commitment.
Best for: investors seeking high-potential projects early in their lifecycle.
Liquidity Farming (Binance Liquid Swap)
Liquidity farming lets you provide liquidity to trading pairs in decentralized finance (DeFi). In return, you earn a share of trading fees and other rewards.
How it works on Binance:
- Provide liquidity to pools like BUSD/USDT or BTC/ETH
- Earn interest based on the trading activity in the pool.
Best for: investors interested in exploring DeFi with lower technical barriers.
Dual Investment
A non-guaranteed yield investment product that offers high returns by combining crypto investment with a target price.
How it works:
- Deposit a cryptocurrency like BTC or USDT
- Earn returns depending on whether the settlement price is above or below the target price.
Best for: experienced investors who want to hedge their crypto assets and earn additional returns.
Auto-Invest
Auto-Invest is a systematic investment plan for crypto, allowing you to dollar-cost average (DCA) into the market.
How it works:
- Choose a cryptocurrency and set a schedule (daily, weekly, or monthly)
- The system automatically buys the asset for you at regular intervals.
Best for: beginners who want a hands-off approach to investing.
NFTs on Binance
Non-Fungible Tokens (NFTs) are unique digital assets representing art, collectibles, and other digital goods.
How it works on Binance: explore the Binance NFT Marketplace to buy, sell, or create NFTs; participate in NFT drops and auctions.
Best for: creative investors and collectors interested in digital art and unique assets.
More crypto..
Binance Card Cashback
A crypto debit card that lets you spend crypto while earning cashback. All you have to do is link your Binance account to the Binance Card.
Earn up to 8% cashback in BNB for every purchase.
Best for: crypto enthusiasts who want to integrate crypto into their daily spending.
Copy Trading with Binance CopyTrade (if available)
Copy trading allows you to follow and replicate the trades of experienced investors. Browse the profiles of top traders on Binance and copy their trades directly to your account.
Best for: beginners who want to learn by observing experts.
Tips for beginners in crypto investment
- Start small
Begin with small investments to minimize risks while learning.
- Do your research
Understand each opportunity and the associated risks before committing funds.
- Diversify
Spread your investments across different products to manage risk.
- Stay updated
Follow Binance’s blog, news, and updates to keep track of new opportunities.
- Use Binance Academy
Binance offers free educational resources to help you understand the crypto world.
Binance provides a diverse range of investment opportunities suitable for beginners and experienced investors alike. Whether you’re interested in simple spot trading or advanced products like futures and staking, there’s something for everyone. By taking the time to learn and explore, you can find the right opportunities to grow your crypto portfolio.
Happy investing!
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Automated sheet for bitcoin investments over time
Do you want to register and follow your own set of bitcoin buys over a period of time?
Here’s an automated spreadsheet you can download do track your investment and its results. It’s programmed just like our record: you can add increments over time, and log your gains as time and bitcoin exchange rate go by.
When you download it, you’ll be granted access to a Microsoft Excel version as well as a Google Sheets version, to make use of it the best way you’d like. You’ll also receive a set of instructions on how to use it and support channel after your download.
Once your order has been completed, you will receive a ZIP file with both versions of the spreadsheet and usage instructions on the e-mail used for the transaction.
If you didn’t receive your material, please, send an e-mail to contact@littitude.com and we will send you the files directly.
