by Johnson Temiloluwa | Feb 14, 2022 | Business & Finance
2021 was a year that hit the world in all aspects including finance, and a lot of people confessed that their pockets suffered a dip; even their savings had dents in them. It was supposed to be a year of recovery from the Covid 19 virus, but the emergence of the new strains threw the world into mild chaos. A lot of people went through this except investors. Investment is one of the best ways to save your and grow it over time so while a lot of us were walking into the New Year broke or with our savings in the red, investors were busy making profits. This article seeks to inform you on the best things to invest your money in 2022
To prevent a remake of that from happening, we have put together a list of the best things to invest your money in this year and despite the threat of new strains looming above us, these investment options are to keep your money floating.
They are recent and the top five out of all other options; in no particular order though.
Best Things to Invest Your Money in 2022
1. Index Fund
Investing in index funds is commonly considered as one of the smartest moves to make as an investor. Index fund refers to a type of investment that lets you monitor the market index, and gives you access to broad segments of the market with just a single fund. This means that your investment is spread across a number of assets and not just one stock.
In addition, Index Funds are low costs, affordable, and have risk control to a certain level so that even if one company crashes, you won’t lose all of your investment with it. Furthermore, Index Funds are a great way to start your investment journey if you are just starting.
Check the types of index funds that you must own.
2. Real Estate
This is an investment scheme that hardly gets old or outdated. People will always need homes. The type of home which they will need varies.. Air BnB’s have been on the rise for a while now, a large number of people no longer want to lodge hotel rooms when they travel, preferring instead to rent homes, which is where you come in as a homeowner. If you are not interested in owning a property just yet, you can decide to be a flipper. This means that you buy properties at a low price, fix or renovate them and sell at a higher price. Though this could take a long period of time and sometimes, flippers don’t make as large returns as expected.
You can also decide to invest in a real estate investment trust where the trust you invest in, uses your money and that of other investors to purchase and operate properties that produce income. There are different ways you can invest in real estate, each coming with its own pros and cons so you can do further research and select the one you’d prefer after due consideration.
3. Stocks
Among the best things, you should invest your money in 2022 is stock. This is an old-time investment option that has been around for a very long time and from the look of things, does not appear to be going off anytime soon. Stock provides growth and income to your investment; it is also considered to have the greatest potential for returns among all other options by a lot of people. You can either invest in small-cap stock or blue-chip stock.
A Small-Cap Company refers to a company that has a market capitalization of less than $2 billion. Their stocks are less expensive to purchase than larger companies. They have high growth potential even though it has low liquidity with high risk and it is time-consuming too. You need to have patience if you are investing in small-cap companies due to the time it may take the company to grow enough to make substantial returns.
Blue Chip Stocks, on the other hand, can be referred to as the opposite of Small-Cap Stocks. Blue Chip generally refers to large and well-known companies such as Amazon, Disney, etc. Due to their being well established and well known, purchasing stocks in such companies have high returns that are steady and dependable and have low risk.
In addition, investing in stocks means you are buying a part of a company, or ownership shares, and the returns that you get back depending on the quantity of stock you buy, the company’s market value, among other factors.
A lot of companies ranging from technology, health, finance, and others, have had their stocks go up despite the pandemic so investing in stocks is a guaranteed success, provided you choose the stocks wisely and monitor closely.
4. Land
This is another investment option you can almost never go wrong with and this is because while the demand for it is high and continues to hike up every day, the supply is low. Researchers say that every day, the population of the world increases by hundreds and so, therefore, the need for more homes directly translates to the need for land.
There will always be real estate owners, individuals, companies, and even the government who are on the constant look for land to acquire. Even as a small investor or as one who is just starting, owning a raw piece of land is sure to bring in high returns when you are ready to sell and make returns.
Furthermore, a good reason why buying land is considered a good investment scheme is that there is almost no risk at all. Once you have purchased it and have the important documents, you can just let it be without any work or further spending for as long as you want. It could be weeks, months, or even years but one thing that’s constant is that whenever you are ready to sell, you will always make profits.
5. Cryptocurrency
Even if you are someone who has never invested before, we are sure you must have heard of various cryptocurrencies and forex market trading, among others, from a lot of people. Your friends, family, strangers on the internet, and sometimes, even ads that pop up while you’re browsing.
Although cryptocurrency was first launched in 2009, it rocketed to popularity in 2010 but even then, it was received with mixed reviews because a lot of people believed it would fail. Nearly 12 years now, cryptocurrency has not only risen to fame but has become so popular that it makes headlines in financial news. Understanding cryptocurrency can be stressful but this course dissects it bit by bit for you.
Investing in cryptocurrency has a high level of risk because it could crash or fall at any time, profit yields may decline, and if you fall into the wrong hands, it is very easy to get scammed. It also requires high levels of tolerance and patience due to its unreliability. There are different cryptocurrencies that you can invest in, including Bitcoin, Binance coin, Ethereum, etc.
Conclusion
The above-mentioned things are surely the best things to invest your money in 2022. Investment is an important way of stashing your money and having a backup fund for when you are in need or have an emergency to deal with. These are not the only investment options, but these are the top five out of all the options that we have looked at – in fact, the top ones to aim at investing in.
Remember that investment is a big deal and involves risking your own money no matter how little. So make sure you carry out lots of research and ask questions before you place an investment.
While you are trying to invest your money in things that will yield you more, check out 5 free businesses that you can start online without money.
Now you know the best things to invest your money in, Good luck!
by Editorial Staff | Feb 2, 2022 | Facts
Cryptocurrency is designed for digital transactions and it’s based on blockchain technology. However, in recent times crypto is being traded and used as a means of generating money. Sadly, this means of digital trade has not been embraced or deemed legal by many countries. Oftentimes, it’s because of the high risk surrounding the entire process. But those who seem to be making profits from it testify that it’s worth the time, energy, and effort. So, we compiled 100 facts about crypto to help you understand what exactly it means.
What Everyone Needs to Know About Fintech
Interesting Facts About Cryptocurrency
1. A cryptocurrency uses an online ledger with strong cryptography to secure online transactions— Ledger is a record-keeping system while cryptography is a secure communications technique.
2. Currently, there are more than 7,300 cryptocurrencies in existence.
3. According to Bitcoin protocol the limit is set at 21 million.
4. Blockchain is a decentralized technology spread across many computers that manage and record transactions.
5. Did you know that Ethereum fees are called gas? This is simply the cost necessary to perform a transaction on Ethereum.
6. Did you know that crypto kitties are one of the first blockchain games?
7. Recently, Dogecoin is one of the money-generating cryptocurrencies in the market, it had high returns as well as the high risk involved.
8. Surprisingly, the creator of Bitcoin remains anonymous— Satoshi Nakamoto is the pseudonym who penned the original Bitcoin whitepaper, however, his true identity isn’t known.
9. Elon Musk has impacted the world of cryptocurrency more than anyone else— He is the founder, CEO and Chief Engineer at SpaceX and more. He has over a 55million followers on Twitter, hence, his positive tweets about cryptocurrencies influence the market positively and vice versa.
10. Cryptocurrencies have been banned by most countries like turkey. This is because it’s under no supervision by any legal company.
11. The leading cryptocurrency mining country is China.
12. The price of cryptocurrency is extremely volatile— This minute it’s high and the next it falls low beyond expectations.
13. Oftentimes, cryptocurrency miners pay taxes for every crypto gained. These are certain fees paid to the government other than transaction fees.
14. If you happen to lose the private key to your crypto wallet, the chances of getting it back are close to never. A Crypto wallet is where your coins are stored and only you have the access to it.
15. Although cryptocurrency is secured, it’s still exposed to crypto scammers. Hence, beware.
16. The introduction of new cryptocurrencies is on the increase.
17. Anyone can create a crypto token using an existing blockchain like Ethereum.
18. The creation of crypto coins requires a new blockchain— This is a system that maintains records of transactions in cryptocurrencies.
19. ICO stands for “initial coin offering”
20. ICO is a fundraising method, utilized by companies who want to offer products and services. It’s related to cryptocurrencies and blockchain space.
21. The Bitcoin whitepaper was released on 31 October 2008 by an anonymous person or group that goes by the pseudonym ‘Satoshi Nakamoto’
22. The popularly known Bitcoin cryptocurrency came into existence in 2009.
23. Initially, Bitcoin was launched as an alternative to traditional banks following the 2008/9 economic crisis, which affected the economy negatively.
24. Bitcoin is the most popular cryptocurrency mined today.
25. Surprisingly, you can buy a fraction of Bitcoin— 0.00000001 BTC.
Fun Facts About Cryptocurrency
26. Cryptocurrency transactions are more secure than traditional payment systems. This is because it makes use of the ledger record system.
27. The smallest unit of account for Bitcoin is known as ‘a Satoshi’ or ‘SAT’— Named after Satoshi Nakamoto, the creator of the protocol used in Bitcoin cryptocurrency.
28. Interestingly, anyone can contribute to the development of Bitcoin—it’s an open system.
29. Did you know that the Bitcoin blockchain has never been hacked? This is because it had a tight security system.
30. Anyone with internet access can mine Bitcoin irrespective of the government bans— Bitcoin may be banned physically but not digitally.
31. The addition of newly processed blocks to the previous chain of transactions is the term “Blockchain”.
32. Those who process block networks are called miners.
33. What you receive after mining is a crypto coin.
34. Majority of cryptocurrency came into existence through mining— A process of generating cryptocurrency.
35. The amount of Bitcoin reward per block is cut in half every 210,000 blocks, which happens roughly every four years.
36. Sadly, once the 21 million Bitcoin limit is reached, no more Bitcoin will exist— Generally, 21 million is the limit for Bitcoin.
37. The largest Bitcoin wallet belongs to Huobi Exchange with an estimated value of $2.2billion— It’s a Seychelles-based cryptocurrency exchange founded in China and has branches in other countries.
38. BTC represents Bitcoin Core’s ticker symbol, better still an abbreviated form of Bitcoin.
39. Did you know that the first commercial Bitcoin transaction was for pizza? On May 22, 2010, Florida-based Laszlo Hanyecz traded his Bitcoins to get two pizzas from a local pizza store.
40. Profit is the main reason many trade cryptocurrencies— Oftentimes, crypto has high returns.
41. Ethereum is beyond a coin, it can be used to execute smart contracts— Smart contracts are designed with terms of the agreement between buyer and seller. Its code exists across the decentralized blockchain.
42. More than 15,000 different cryptocurrencies are traded publicly.
43. Interestingly, many view cryptocurrencies like Bitcoin as the currency of the future. In other words, they believe it will be legalized someday.
44. Central banks can’t regulate cryptocurrencies supply— Central banks are banks owned by the government of a country.
45. 0.00000001 BTC is the smallest account for Bitcoin.
46. To buy cryptocurrencies, you’ll need a “wallet,” an online app that can hold your currency.
47. Real money can be used to buy cryptocurrencies.
48. Cryptocurrencies operate on software networks, where myriad computers run separate copies of the same program.
49. Networks of computers running separate copies of the same program in bitcoin parlance, it’s a “decentralized” network.
50. There is no middle man practice in cryptocurrencies— Crypto transactions are between a buyer and the seller only.
51. Cryptocurrencies are used for asset transfer— assets are valuable property.
52. Transactions using cryptocurrencies are more confidential— Secret!
53. In cryptocurrency each transaction you make is a unique exchange bet. This is achieved because it’s decentralized and offers a large amount of anonymity.
54. In cryptocurrency you are the sole owner of your wallet, with no interference.
55. There are currently over 1200 unique cryptocurrencies or altcoins in circulation worldwide.
56. Cryptocurrencies transactions are highly secured. Hence, fraudulent activity is minimized.
57. Cryptocurrencies transaction charges are less compared with the traditional financial system.
58. Digital data transfer and the internet are the media facilitating the exchange in cryptocurrencies.
59. By using cryptocurrencies, cross-border transactions can be carried out without complications— It has no specific country currency attached.
60. Cryptocurrencies transaction systems are transparent. This implies that it shows you detailed information about every transaction.
surprising Facts About Cryptocurrency
61. Did you know that If you want to entrust the responsibility of maintaining your crypto wallet to a third party, you must pay for the service?
62. To some extent one cryptocurrency price influences another and vice versa.
63. Did you know that when you perform a transaction in cryptocurrency, you cannot reverse it? That’s the way it was designed. However, it can only be refunded by the person receiving the funds.
64. Decentralization in cryptocurrencies involves only two parties in the transaction—the sender and receiver.
65. Cryptocurrencies have high transaction speed when compared with traditional banks that take up to 3 working days.
66. Oftentimes, cryptocurrencies are subjected to cyber security breaches— This is a hack method that leads to unauthorized access to computer data, applications, networks or devices.
67. Cryptocurrencies lack inherent values, therefore subjected to frequent changes— Their prices aren’t fixed.
68. There is a high risk involved in cryptocurrency because it isn’t under any regulations.
69. Recently, lots of businesses are beginning to accept cryptocurrencies as a form of payment.
70. To carry our payment using Bitcoin you must have a corresponding wallet app on your smartphone beforehand.
71. Cryptocurrencies make it easier for users to manage, access, and transact money.
72. Transactions using cryptocurrencies are flexible and easy to carry out. Anyone can mine cryptocurrency following the laid rules.
73. Blockchain technology is behind cryptocurrency security— A record of past and current transactions.
74. Certain cryptocurrencies are quite expensive to purchase— This includes Ethereum (ETH), Maker (MKR), PAX Gold (PAXG), and Binance Coin (BNB).
75. The continuity of cryptocurrency isn’t guaranteed, although we hope for the best. This means it can crash at any time.
76. Cryptocurrencies are said to encourage criminal activities due to the anonymity involved.
77. According to the experts of cryptocurrency, there is no buyer protection or other legal claims and protections around its transaction.
78. To avoid great loss, have a motive for engaging each trade—greed shouldn’t be a motivator in cryptocurrency.
79. Cryptocurrencies trade isn’t always a win-win trade, there are also losses involved.
80. In cryptocurrency trade, your gain can multiple within minutes, similar to your loss. Hence, be mindful of your trade decisions.
Fascinating Facts About Cryptocurrency
81. Cryptocurrencies gain is a gradual process. It’s never a quick money scheme.
82. You must be knowledgeable about the cryptocurrency network to be able to carry out a successful transaction.
83. Your investment should be based upon affordability, not cheap price.
84. High return equates to high risk— It’s a 50/50 trading principle.
85. The higher the daily trading volume, the more suitable an asset is for long-term investments.
86. Long-term investment cryptocurrencies include Ethereum(ETH), Factor (FCT), Monero (XRM), and Dash.
87. Cryptocurrencies are unpredictable!
88. It’s always advisable that you trade with more than one cryptocurrency, because if one crypto coin price falls you can be sure of another.
89. Many investors are attracted to ICOs because of high returns.
90. Always have a strategy for trading cryptocurrencies. For instance, it’s wrong to trade with all your funds.
91. To make it again, learn from other investors’ mistakes. You can’t succeed alone. Therefore, always check out the mistakes of others and learn.
92. Set a limit to the amount you invest in cryptocurrency.
93. As a beginner be careful how you trade with bots. Oftentimes, there are just scams in disguise.
94. Always carry out a background check before investing in any cryptocurrencies opportunity.
95. You can buy and sell your cryptocurrency.
96. Reliable crypto wallets include Ledger, Trezor, Exodus, or MetaMask.
97. Emails persuading you to click on links or install spyware on your computer might be a scam in disguise. Ensure you verify!
98. It’s risky to invest too much in one single cryptocurrency— Diversify!
99. As a beginning, ensure you get a mentor to put you through to avoid making irreversible mistakes.
100. Trading cryptocurrency for gain isn’t all that easy. It takes practice with time to achieve meaningful gains.
by Umar Farouk Kabir | Feb 1, 2022 | Tech & Innovation
Have you heard of fintech? I bet you have, but if you haven’t, this is the perfect place to get yourself properly acquainted. So, what is fintech?
Fintech is simply a fancy word that stands for financial technology. Financial technology, or fintech for short, describes the technology that seeks to upgrade and automate the use of financial services.
Fintech describes any firm or organization that provides automated financial services through software or other pieces of technology. This includes mobile payment apps and cryptocurrency.
Many fintech services are designed to link users’ finances with any technology that creates ease of use in any financial transaction. Fintech is now a global phenomenon seeing as how it has entirely changed the way customers access and use their finances. People are now able to pay tuition fees, pay bills, invest, and buy properties all online from the comfort of their homes using nothing but a laptop or mobile device with an internet connection.
Understanding Fintech
It is used to help organizations, business owners, and consumers to manage their financial operations better by employing software and algorithms that are used on computers and smartphones.
Fintech came into light in the early 21st century; the term was at the time, applied to the back-end systems of banking institutions. The paradigm has shifted since then. Now what you see is a more customer-oriented service. To name a few, the technology now includes various sectors like academia, retail banking, crowdfunding, and investment management.
Fintech also supports cryptocurrencies such as bitcoin.
Generally, financial technology can apply to any innovation in how people transact business. An example is the advent of digital money and mobile banking apps.
Fintech Users
There are generally four major categories of users for fintech:
- B2B for banks
- B2B and Business clients
- B2C for small business establishments
- Consumers
Mobile banking trends, increased information, data, more accurate analytics, and decentralization of access will create opportunities for all four groups to interact in heretofore unprecedented ways.
Does Age Have a Role to Play in Fintech?
The answer is yes! Customer-oriented fintech is mostly targeted toward millennials given a huge size and rising earning potential margins of that segment. The younger you are, the more likely it will be that you are conversant with what fintech is, and probably its inner workings.
Most Popular Ways Finetech is Being Used
Below are some of the most popular ways fintech is being used:
Companies like GoFundMe, Patreon, and others showcase the range of fintech outside of traditional banking.
Crowdfunding platforms allow internet connection and app users to send or receive money to one another on the platform and have allowed individuals or businesses to accumulate funding from a variety of sources all in the same place.
Look at it this way; nowadays, instead of going to banks to seek out loans and other financial support, some people go to investors for such support. They present their projects and get the necessary backing. The rapid increase in crowdfunding platforms is a testament to its success.
2. Blockchain and Cryptocurrency
Cryptocurrency is a unique type of fintech with the potential to change the financial sector globally. Cryptocurrencies provide a more liquid, fast, secure, and seamless medium of exchange. With the fast pace rise of fintech, it will be a thing of wonder to see how digital currencies and their blockchain technology further evolve in the following years.
3. Mobile Payments
It is not farfetched to say that nearly everyone in today’s world owns a smartphone. With the increased sophistication of smartphones, fintech is able to take advantage of this more smoothly.
Did you know that according to statista data, the global mobile payment market has surpassed the $1 trillion mark set back in 2019?
There are very popular online mobile payment services these days such as Venmo and Apple Pay.
4. Insurance
Yes, Fintech has managed to make inroads in the world of insurance! In fact, it is now being called insuretech, cheeky right? Insuretech covers everything from car insurance to home and data protection.
5. B2B (Business to Business)
Before the introduction of customer-oriented fintech, businesses sought out loans and other financing aids through banks directly. But now, businesses can easily go get loans or other financial services through mobile technology.
Furthermore, cloud-based platforms and customer-relationship management services like salesforce provide B2B services that allow companies to utilize financial data to help improve their services.
6. B2C (Business to Client)
It only makes sense that fintech has many business-to-client or ‘B2C’ applications. Applications that allow clients or users to transfer money via the internet or mobile technology such as PayPal, Venmo, and Apple Pay are widely used and trusted around the world. Then you have finance budgeting apps like Mint which allows customers to manage their finances and expenses.
Regulation of Fintech
Financial services are one of the most heavily regulated sectors globally. It is not a shock that regulation has arisen as the primary concern among governments as fintech companies slowly take over.
As technology is being integrated into financial services processes, regulatory issues for such companies have increased in number. In some cases, the problems are a result of the technology itself. In others, they are a reflection of the tech industry’s impatience to disrupt finance.
For instance, automation of processes and digitization of data makes fintech vulnerable to cyberattacks. Recent instances of hacks at credit card companies showcase the ease with which bad cybercriminals can gain access to systems and cause irreparable damage. The most important questions to ask for consumers in such cases will pertain to the responsibility for such attacks as well as misuse of personal information and important financial data.
Check out how you can protect your devices from cybercriminals.
Conclusion
Now that you’ve learned what fintech is all about, I am sure you now realize that it isn’t so difficult to grasp. Basically, it’s something that you and I have been using for quite some time now, and it provides so much comfort and efficiency. As technology advances, so will fintech. In the not-so-distant future, we are indeed bound to witness fintech blossom in its diversity and practical uses.
Fintech is indeed the future of finance, and the future is here!
Be sure to leave a comment down below to tell us what your thoughts are on fintech.
If you like this article, you will also like the 10 Best Expense Tracker Apps In 2022!
