What's the best investment for you? Shares, cryptocurrency, or NFTs?

Investing can be daunting, especially if you’re just starting out or have been burnt by bad financial decisions in the past. However, investing also comes with many opportunities to generate wealth and make your money work harder.

In this article, we’ll take an in-depth look at what investments are available, what to consider when deciding between them, and how to get started without the risk of being fleeced along the way. First things first: what are the three major types of investment?

 

Cryptocurrency

While most people think of bitcoin when they hear about cryptocurrency, there are now over 2,000 different digital coins out there. While each one claims to offer unique benefits and features that might set it apart from its peers, in reality, many digital currencies are copies of past versions with minor tweaks to improve their marketing pitch.

For investors looking for stability and control over their money, it can be hard to see through all of these buzzwords and choose what a good fit is. If your investing goal is to make large amounts of money quickly without taking too much risk (and without government interference), cryptocurrency could be a good option.

But if your goal is long-term savings and retirement planning—especially if you’re a beginner—we recommend sticking with more traditional investments like stocks. The fact is, many cryptocurrencies will likely never live up to their promise and won't have a real impact on society.

Even some of today's biggest cryptocurrencies have little more than the speculative value at best. At worst, they're nothing but elaborate scams created by hackers looking to take advantage of naive investors who don't know any better.

The upside: Investing in stock markets allows you to build wealth slowly over time while controlling how much risk you want to take on personally.

 

Exchanging your crypto for fiat currency

If you’re new to crypto and have not built up an emergency fund of cash that would cover at least 6 months of expenses for your family in case something goes wrong in your work (like being laid off), then I would advise staying out of cryptos.

I know that if it’s such a great investment, why wouldn’t you stay invested as long as possible? The truth is that cryptos are extremely volatile in nature; there is always a high-risk factor with them. Think about it: If all your money was on the stock market and one day Microsoft crashed 50%, your portfolio will be significantly impacted!

So if all your assets were in crypto during the 2017 bull run, do you really think all those gains will stick around? Of course not. You need fiat currency as a safety net so that when things go south, you can use fiat currency to support yourself and your family.

You never want to get into a situation where you are forced to sell your cryptocurrencies at low prices just because you don’t have any cash left.

This is especially true if you live in countries like Venezuela or Zimbabwe where the inflation rate is very high and people need hard currency just to survive through everyday life.

But even in developed countries like US and Canada, we should keep some amount of fiat currencies saved away just in case we lose our jobs or something happens where we cannot access our cryptocurrencies anymore due to government regulations, etc...

Remember: Crypto doesn't solve every problem nor does it provide financial freedom overnight.

 

Investing in digital assets

A Guide to Getting Started & Choosing What is Best For You: It’s easy to get lost in all of the different options when it comes to investing in digital assets. There are hundreds of cryptocurrencies available to purchase and initial coin offerings (ICOs) litter your newsfeed daily.

How do you choose which coins are worth investing in? This guide will walk you through your options when it comes to choosing a particular coin or token that has value to its holders and how it may be different from fiat currency investments.

Once you have chosen an asset, learn more about why some people prefer non-fungible tokens (NFTs). Non-fungible tokens can represent real-world items such as artwork, collectibles, or even real estate and can make buying and selling these items easier than ever before.

In addition to being highly sought after by investors looking for exposure to alternative asset classes, there are also plenty of other reasons why these types of tokens can be so beneficial to an individual investor. 

 

Buying non-fungible tokens

A non-fungible token (NFT) is a crypto token that can represent one of a fixed set of unique things. For example, an individual share of Apple stock would be considered fungible since they are all identical and interchangeable.

However, your rare and signed picture of Kanye West would be considered non-fungible because it is both singular and irreplaceable. Non-fungible tokens can provide valuable digital scarcity which makes them ideal for representing digital ownership of anything from land titles to in-game items.

Because they are so versatile, non-fungible tokens have quickly become one of my favorite asset classes to own as an investor. In fact, I recently released a course called Crypto Investing with Crypto Collectibles where I teach people how to make money by investing in non-fungible tokens.

Conclusion

It really depends on your endgame. If you are looking to make quick money with a chance of long-term gains, then investing in shares would be your best bet.

If you are looking to use cryptocurrencies as an alternative form of payment (instead of fiat currency), then it’s probably good to start off with a small amount of Bitcoin because it’s by far one of the most widely accepted forms of cryptocurrency.

And if you're interested in in-game items like weapons and armor that hold value over time, then non-fungible tokens could be an excellent choice. The truth is, there isn't just one answer to what's better; there are many different kinds of investments out there depending on what you want from them.

At the end of the day, it all comes down to how much risk you're willing to take and how much time you have.