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Top 7 Questions To Ask Before Investing in Any Cryptocurrency

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The Cryptocurrency market, just like any other investment market, is full of risks and uncertainty. In order to minimize the risk and to be able to invest in a good, high potential cryptocurrency, each investor must ask these 7 questions to the company/team behind the project in which they are looking to invest.

1. How is your cryptocurrency different from the existing cryptocurrencies like Bitcoin, Ethereum, etc.?

Bitcoin, Ethereum, Litecoin, etc. are some of the most popular cryptocurrencies out there. Bitcoin is one of the first. It is a digital currency that can be sent or received worldwide without any centralized or trusted third-party like a bank.

A new cryptocurrency must be somewhat unique and different from the existing coins in order to be eligible for your investment. For instance, Titan coin is a digital currency, which is more secure and faster than any of the existing cryptocurrencies because of its hybrid PoS/PoW blockchain.

2. How is your cryptocurrency created?

Just like bitcoin are created through mining, each cryptocurrency has its own creation mechanism. Some currencies are pre-mined while others are mined later on by the network users. The mining of Titan coins is performed through staking (PoS).

3. How does the value of your cryptocurrency change?

The value of a cryptocurrency is determined by whatever project or entity it supports. Generally, the value of new cryptos and altcoins is defined based on the value of existing, popular coins such as Bitcoin and ETH. The cryptocurrency value changes according to its demand and popularity in the market. You can check the current value of any cryptocurrency at websites like coinmarketcap.com.

4. How do I buy your cryptocurrency?

In general, most of the new cryptocurrencies are sold via a dedicated sale event (named ICO, STO, IEO, among others) as a way to raise funds for the underlying project. To buy Titan coins, you can visit popular exchanges like P2PB2B, ESCODEX, etc.

5. Why should you buy or invest in your cryptocurrency?

This is one of the most important questions to ask. How a cryptocurrency will provide you profits or how it benefits its investors/users is the first thing you should know before getting involved with it. Each of the cryptocurrencies has specific uses. For instance, Bitcoin is used for digital payments and money transfer, etc.

Titan coin will benefit its investors in multiple ways, including high trading profits, secure and low-cost digital payments, access to titan projects, and more.

6. What is cryptocurrency staking or mining?

Cryptocurrency staking is different from cryptocurrency mining. Cryptocurrency mining is the process through which new coins are created in a network. It involves validating and recording the transactions performed by the network users, for which miners get rewarded with new coins.

Staking is a similar concept, except for the fact that miners are chosen based on their staking capabilities. The more stakes you have in the network, the more new coins you can mine. Titan coin is based on a hybrid (PoS/PoW) consensus which supports both mining and staking of cryptocurrencies.

7. What are the risks?

Of course, there will be risks with crypto investment. Cryptocurrency is a volatile industry, where the prices keep shifting very frequently. The more volatile a cryptocurrency, the higher the risks. This is why it is wise to invest in a more stable cryptocurrency like Titan coin, whose volatility is controlled by its varied uses in digital payments and in-house apps.

Edited by shalinimittal

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This is a good and interesting topic.  I just would like to add another questions because I came across with the problem of having invested in a coin that was very very promising according all the twitter gurus and all the information related about the questions doing here but..... this:

8. Who are the Developers? 

Do they really exists, are the names related to the project really in the project?  Team is very important

This happened to me when I invested in COVA coin where I later found that the names of team in the site were fake.  The do really exist in real life as prominent people in the ecosystem but they were never together to create such project.  

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From my experience i would say that the most important is only the team behind. 

The truth is that i've seen coins without exchange for 2 years and the coin went on one of top 100, development is what matters, and the technology. That is what will change the world

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