trading websites

Trading Websites: A Solution to Challenges

Business Finance

Tracing the evolution of cryptocurrencies becomes important in the financial sector because the advent of these digital currencies altered the global financial and investment strategies. Cryptocurrency was introduced in January 2009 and has rapidly grown in terms of value and popularity in the last 12 years.

This digitally innovative way of investing made many investors millionaires and billionaires which inculcated the seed of interest among many other people. The user base of cryptocurrencies began growing. There were a number of challenges that the fresh investors faced on showing interest in trading or buying these currencies. The emergence of special trading websites occurred due to these challenges. It is essential that we know the challenges to understand the importance of the advent and evolution of specially designed trading websites. For more information you can visit YuanPay Group

Challenges Faced by Investors

  • Where to start: The primary challenge faced by the fresh or newly interested investors were about where to start. The most frequently asked question was- are there agencies (like in the instance of share market or mutual fund investments) which would notify the investor about rise, fall and difference in value and work on behalf of a number of investors? Since the concept was a new one and the available information was limited, the investors were not sure about who to go to for initiating the process.
  • The concept of digital currency: People are generally very possessive about their hard-earned money and it is difficult to explain to them the concept and existence of a digital currency that exists in the cloud space. The inability to prove a real-time existence of people’s money becomes difficult for an investor. It is also difficult to make them understand the concept of blockchains which are primarily based on mathematical codes and the ability to crack those codes.
  • Resistance to change: One of the most common consumer behaviours is resistance to change. The age-old tradition of stocking money for later use has been pushed to deeply in the DNA of people. It has almost become like a common human instinct with all these years of practice. Therefore, people would hardly want to invest in a concept which is new and vague for them. It is also difficult to make the concept of digital currency stored in the cloud space, palpable for investors and create interest in them to invest in the same.
  • Fear of fraud: The digital spaces have not earned the complete trust of people in terms of security of money. People still fear losing their money in fraudulent activities and tricks by computing experts and hackers. To avoid falling prey to the same, people are reluctant to invest in cryptocurrencies. If there were guaranteed and secured medium or platform for the investment, the investors could trust better.
  • Lack of subject matter experts: The world of cryptocurrencies is so new that there are not enough subject matter exerts who can provide enough information to the common people so that they can go ahead to invest in the same.

Trading Websites as a Solution:

  • Involvement of the common people: Previously only geeks, tycoons in business, technology freak or start-up owners had access to the world of cryptocurrencies. Not enough information about it percolated to the common masses. With the advent of websites, trading has become more user-friendly, accessible and easy for the common people.
  • Security: Trading websites use unique passwords, codes and multiple-level locks and do not allow the entry of any third-party sites who could steal an investor’s private information for fraudulent uses. This has made the common people trust the world of digital currencies.
  • Independence: There is no centralized force that controls the money and its value in the case of cryptocurrencies. These are assets independent of any governing force. Separate websites and apps for trading has helped maintain this independence without interference.
  • A-Z solutions provided: There is no necessity of a separate subject matter expert to be invested behind a group of investors. These curated and specially designed websites help a new investor from scratch. All necessary information is provided in the websites itself.

Conclusion

With the advent of trading websites, the challenges associated with investment and trading of cryptocurrencies have been massively addressed and mitigated to some extent. This has in turn helped in the rise of the user-base of cryptocurrencies. The growth of the value and strategies of digital currency rests in the growing user-base of the same.

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