Crypto trading is a fairly popular way to receive a profit for those who understand how the market of digital assets works. There are some popular crypto trading strategies, varying by the intensiveness of buying and selling crypto:
- Daily trading
- Swing trading
- Buy and hold
- and others.
The less risky of all the trading strategies is the “buy and hold” strategy. Is it profitable enough, or are there better options for how to treat coins? In this article will discuss the benefits of holding assets and crypto staking.
Table of Contents
What is Crypto Hodl?
The word “hodl” is a changed (misspelled) “hold”. The term means buying crypto assets and holding them despite any market fluctuations and volatility. That is, no matter where the market moves, you hold your coins and do not sell them. Why “hodl”? – this misspelled word comes from a crypto forum where one user made a typo of the word “hold”. Now many crypto enthusiasts buy and “hodl” their assets with the hope for a market boost somewhere in the future. That is, they hold assets for years without selling them. There is an alternative to holding – crypto staking.
What is Crypto Staking?
Unlike crypto coins held in the long term, staked crypto brings income here and now. Locking your crypto assets in staking is like a bank deposit – you hold your assets on an exchange wallet for a certain period of time and receive interest (additional coins) in return. When the staking plan expires, you receive initially invested coins (body) and a percentage for staking on top of that.
It is clear that staking crypto is much more beneficial than “hodling” coins. Any businessman knows that money should make money, and when they just lay idle, they do not bring any benefit. It is up to you to decide – you can buy and “hodl”, or you can try crypto staking. If you are looking for a quality staking platform, check out the WhiteBIT crypto exchange. It offers about 40 smart staking plans with various coins, different periods of locking and thus, different income levels.