Contents
eToro, our favorite option for purchasing Zcash from Egypt
Why do we recommend it?
- It is possible to invest in thousands of other goods
- eToro allows leverage
- User-friendly and straightforward
- You are able to learn from other investment moves
- Accepts “shorting” or short-selling
Main site: www.etoro.com/zcash
In case you are considering buying Zcash from Egypt, eToro may be the best option.
eToro is famous for making “social trading” fashionable. Social trading is a revolutionary way of investing in which traders can repeat the strategies of other investors who have been generating profits over time.
If you are a novice user or do not have much experience in investments, eToro is great for you, because it automatizes your investment by emulating moves from those who have been doing it for years. And for those skilled investors willing to share their techniques with the community, eToro pays for it.
Another thing to mention is how intuitive the interface is, which turns out perfect for new users that are learning all about Zcash.
Can you trust eToro?
eToro is very meticulous with the information about past performances from users, and its integrity has been tested several times times by independent organizations.
Legally, eToro fulfills all the strict regulations required by the European Union. Specifically, its head office is in Cyprus, where it is approved by the Cyprus Securities Market Commission (known as CySEC), which can cover up to € 20,000 of the debts that its clients may have with creditors (those from Egypt included).
eToro is backed by the European Financial Instruments Market or MiFID in Europe, and by the Financial Conduct Authority or FCA in the United States of America. You should also know that it has a trajectory of fifteen years, with more than 20 million users around the globe. So, yes, it is a safe broker.
Their customer service functions perfectly. You can use the online chat, and they also have a phone number available for assistance.
eToro payment methods
When it comes to payment on eToro, there is not much to say, since it is really straightforward. Just click “Deposit funds”, set an amount, and choose the payment option you prefer. You can pay with PayPal, bank transfer, credit card (Visa, MasterCard, Diners, Visa Electron and Maestro), Skrill, or Neteller.
Remember that for security policies, you must be the owner of the credit card or the account.
The minimum amount required is $ 200, and there is a maximum limit for unverified accounts. Thus, if you aim to trade with much more, you should contact Support to verify your account.
You can make the payment in any currency and eToro will automatically convert it to USD. However, we suggest depositing directly in USD since the platform charges a fee for the conversion.
Futures Vs CFD
What are the main differences between Futures and CFDs?
- Counterparties
- Futures: operations are made with another investor.
- CFDs: the counterparty is the brokerage platform (eToro).
- Date of expiry:
- Futures: there is a date of expiry. Once the contract expires, it is closed and can't be reopened.
- CFDs: on the contrary, they do not have an expiry date. It is possible to wait until you are in a good shape to close.
- Options for trading:
- Futures: there are limited options for investment
- CFDs: there is an enormous amount of possibilities
- Minimum investment amount or “trade size”:
- Futures: minimum investment is higher
- CFDs: you can start with a lower trade size
- Cost of trading and fees:
- Futures: costs are usually lower
- CFDs: higher (although they are not excessively high either)
- Leverage:
- Futures: there is no leverage leverage
- CFDs: it is always possible to leverage
How to use eToro
As we have mentioned among the positive aspects of eToro, the best thing about this platform is its extraordinary simplicity: anyone can invest without having to read endless explanations.
You won't have any problems with the interface if you have used any other social network.
We will explain the registration steps and the different tabs that you will see on eToro.
When you register, you will have to fill in your personal data.
Additionally, you will have to answer some questions about your experience as an investor.
But don't feel intimidated, there is no right or wrong answer. They only intend to find out about your previous experience and knowledge to determine which financial instruments to recommend for you.
Let's get to know the different sections of the page.
“Set Price Alerts” allows you to set alerts on the price of certain assets. It is a very useful tool for when you are after an asset that is falling, but it seems to you that it has not finished falling yet.
The section “News Feed” allows users to interact and share their experiences and knowledge.
“Discover” includes the tabs “Instruments”, “People” and “CopyPortfolios”. And we already talked about the different financial instruments that are available on eToro:
- Cryptocurrencies
- ETFs
- Shares
- Commodities
- Forex
- Index funds
The term “social trading” makes sense in the section “People”: there, you can replicate the trading strategies of any user you choose with just one click.
In this section, you will be able to search and find users according to your interests. When you select an investor and indicate the amount you want to invest, eToro will automatically replicate their movements, in proportion. If you invest $ 1000 and the user puts 20% of their funds in an asset, the platform will also invest 20% of your money in the same asset, in this case, $ 200.
Lastly, you will also see the CopyPortfolios divided into three main categories: “Top Trader”, “Market” and “Partner”.
In some cases, it might be preferable to copy from CopyPortfolios than to individuals, since the former offer more diversity. The portfolios are identified so you can recognize them easily: one about gaming, another about large drone companies, another about pharmacy … You think that a certain industry is going to have success in the future? Then you will surely find a CopyPortfolio about it.
Investment strategies
There are different methods or ways for crypto trading, such as buying and holding or day trading (and using price fluctuation in your favor), for naming just a few.
My suggestion for those who are beginning to invest is going halfway between the two options: placing a dynamic stop-loss (15-20% under the highest price) and wait for it to work on its own.
For instance, if you buy a cryptocurrency when it is worth $ 15, it rises up to $ 25 and decreases again to $17, the stop-loss will close your position at $ 21 or $ 22. Thus, you will obtain a fine profit.
You may be wondering: why not selling when the price is at its maximum? But that would only work for a psychic or a fortune-teller. The mentioned method is more down-to-earth and can work out perfectly.
Eventually, you will be prepared for using more advanced trading strategies, like using leverage or going short to make money from bear markets.
Virtual portfolio: How does it work?
If you do not have much experience investing, the possibility to operate in “demo” mode may be helpful. You only need to set the “virtual” option and your operations will be carried out with “imaginary” funds.
This can be a great way of practicing before trading with real funds. The platform will give you an amount of $ 100.000 (“fake” or virtual, of course) to begin with, and you can trade with a variety of assets in your portfolio, not just with Zcash.
If your first attempts don't go well and you go back to zero, you can always ask the platform to replenish $ 100k of virtual funds. You'll probably do better on the second attempt.
Nevertheless, remember that you need to be prudent for trading, and using a demo account can have an adverse effect. It is not the same to risk your own money than to do operations with a fake balance that you don't mind losing.
And of course, if you are going to invest in the medium or long-term, with earnings almost assured just by duplicating a strategy, it doesn't make sense that you waste years investing with a demo account. On the contrary, you may be interested in the virtual mode if you want to practice with short and medium-term investments.