Home General Investments How to buy Cronos (CRO) – Forbes Advisor Canada

How to buy Cronos (CRO) – Forbes Advisor Canada

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How to buy Cronos (CRO) – Forbes Advisor Canada

Crypto.com has become a prominent player in the cryptocurrency world, gaining name recognition from celebrity endorsements like Matt Damon and buying the naming rights to the former Staples Center in Los Angeles. This publicity blitz has sparked renewed interest in Cronos (CRO), the native token of Crypto.com.

How to buy CRO

CRO works on Crypto.com block chain, also called Cronus. The CRO token is quite easy to buy, here’s how to get started:

1. Open an account with a cryptocurrency exchange

You need an account with a cryptocurrency exchange that supports CRO. If you don’t have an account yet, it may be easier to use the Crypto.com Exchange.

If you prefer a different, beginner-friendly platform Coinbase can be a great starting point.

2. Link your payment source

You have several ways to buy CRO, depending on what is available with your exchange. The easiest way is to transfer fiat currency, like Canadian dollars, to your exchange which you can then use to buy CRO directly. If you already have some crypto, you may be able to transfer those coins to the exchange and then exchange them directly for Cronos tokens.

You may also be able to fund purchases with a debit or credit card, although this is probably the most expensive way to buy crypto. Not only will you pay higher fees than you otherwise would on the exchange, but you’ll also likely incur fees from your credit card company, which will make such purchases expensive and risky.

3. Buy CRO

Once you fund your account or set up a payment method, you can then buy CRO. The exchange you use should give you the ability to search for CRO, decide how much you want to buy, and then display the cost of buying it.

Once you click buy, the coins will be available in your exchange account.

An important point to keep in mind: it will generally be much cheaper to buy any crypto from a crypto exchange’s trading platform compared to its beginner’s platform or its quick buy/purchase options. instantaneous. For example, the fees for Coinbase are considerably higher than they are for performing the same transaction on Coinbase Pro, its advanced trading platform which is also free.

4. Transfer CRO to a Wallet

This last step is not mandatory but can be a good idea if you plan to keep your CRO for the long term. By moving your coins from one exchange to another crypto wallet, you help to better protect your investments. Not only does this reduce your risk if your exchange of choice is hacked, but if you choose a “cold” or offline wallet, your crypto becomes virtually impossible to hack, although you usually have to pay a small withdrawal fee to move your coins . out of the exchange.

If you only plan to hold your CRO for a short period of time or just don’t want to bear the hassle of withdrawing your crypto, you can hold your crypto on the exchange you buy it from. The vast majority of reputable exchanges now store most client assets offline and have insurance to cover coins lost to hacks.

Benefits of buying CRO

  • Strong growth potential. CRO could have great potential thanks to the extensive marketing campaigns of its parent company. “The CRO is a cryptocurrency still in its infancy, although it has seen strong growth since its launch in 2018 and is currently ranked 23rd overall by market capitalization,” notes Shaun Heng, Vice President of Growth and Operations at CoinMarketCap, a price tracking website for crypto assets. If Crypto.com’s name recognition remains strong, so could its token’s future growth.
  • Reduced trading fees on Crypto.com. If you hold CRO in your Crypto.com account, you can benefit from lower trading fees. This is especially useful for high volume traders.
  • CRO refund. The Crypto.com Visa Debit Card is now available virtually in Canada and it offers very generous rewards, like 5% back in CRO on spend, access to the LoungeKey airport lounge and up to 100% discounts for Spotify, Netflix and Amazon Prime monthly subscriptions. There are no annual or monthly fees. The more CRO you stake with your Crypto.com wallet, the more rewards you receive.

Risks of buying CRO

  • Very volatile. Like most other cryptocurrencies, the price of CRO can fluctuate significantly in any given week. Cryptos can be high-risk, high-reward investments, so investors should be prepared for losses, especially in the short term.
  • Vulnerable to negative publicity surrounding Crypto.com. Since CRO is the native token of Crypto.com, its success is tied to that of the exchange. For example, in January 2022, Crypto.com faced a hack where $42 million ($33 million) was stolen, which also led to a drop in the market value of CRO.
  • The rewards depend on locking in your investment. To enjoy higher rewards with Crypto.com, you need to stake your CRO with them for six months at a time. As a result, you cannot cash out quickly. You can also only claim the best reward rates by wagering more than $514,000 (US$400,000).

Should you buy a CRO?

CRO has a number of advantages over typical cryptocurrency, especially given Crypto.com’s substantial marketing resources.

If you are already using the Crypto.com exchange, CRO might be worth buying and holding, as it will give your account additional benefits, such as lower trading fees and the ability to earn CRO through the company debit card.

Since CRO can have large price fluctuations, it may be best to follow a average purchase in dollars strategy, where you make multiple purchases spread over several months rather than all at once. Also, keep in mind that you shouldn’t dedicate a substantial portion of your investment holdings to just one cryptocurrency to begin with.

Buying any cryptocurrency comes with risk, and even if you’re the biggest Lakers fan in the world, you should only invest money you can afford to lose with Crypto.com.

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