Hello everyone...
In the world of cryptocurrencies saving is a very important part of what is done here, besides being something that is constantly promoted to get better results in the short, medium, or long term. That's why there are many investment vehicles with different characteristics that can be very beneficial for any holder, for example, Yield farming, staking, buying crypto in the long term, etc...
But as the crypto space is a constantly growing place with many people arriving every day, there is a constant need for more and better ways of investing that help new people see the benefits of investing in cryptocurrencies from the start, Binance has been at the forefront of these investment methods and has recently launched a new way to constantly invest passively, using a system called Auto invest where you can invest in cryptocurrencies regularly without the need for you to get frustrated about which coin in the market is the best option.
Auto Invest
The main features of this product are:
Automatic investment in major market cryptocurrencies BTC, ETH, BNB.
Manage volatile market conditions and take the guesswork out of keeping your finger on the pulse of the market to steadily expand your portfolio.
Accumulate cryptocurrencies effortlessly.
Invest fixed amounts of money using DCA at regular intervals ignoring the price at the time of purchase.
You can withdraw your funds at any time.
Earn APY
Why is it useful?
Keeping up with the market is extremely difficult even for the most experienced traders, so no one can 100% guarantee is the best time to enter or exit the market. Therefore, to minimize risk, it is necessary to use market timing to your advantage to eliminate the guesswork and mitigate the risks of an ill-timed investment.
A simple but effective strategy is Dollar Cost Averaging, which involves buying fixed amounts at regular intervals ignoring the market price at that time. By applying this strategy your investment is largely unaffected by the impact of market volatility, and you slowly but surely expand your portfolio by making investments in different assets, while smoothing out the ups and downs of the market.
Just as there are many ways to invest in cryptocurrencies, there are also smart ways to invest in cryptocurrencies where you can guarantee to reduce the risk of loss, so if you are new as well as someone who has been investing in cryptocurrencies for a long time, think about the benefits of Auto Invest as you will have more exposure and reduce the risk of market volatility.
My Opinion
I think that this Binance tool is a very useful way to invest in crypto assets without the need to search through so many projects, as it focuses mainly on the 3 largest coins in the market. Also, the feature of reducing the volatility of the market is very useful, since it is better to invest $100 in equal parts in BTC, ETH, and BNB instead of investing it all in a single currency and be anxious about a down cycle, and finally this has another advantage that one can invest that money you do not use and instead of spending it on a liability that will not generate any return of any kind is much better to invest it in something that generates a return even if it is minimal.
Not financial advice