<sup>Authored by: @hetty-rowan</sup>
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![cryptocoins.jpg](https://images.hive.blog/DQmcZhecwQFQJnyctcpb8DJA1EMe8s5aajFMSh9knKn3gCU/cryptocoins.jpg)
<sup>**[SOURCE](https://www.pexels.com/photo/four-assorted-cryptocurrency-coins-843700/)**</sup>

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Let me start by kicking in an open door. We all want to make money, preferably a little more than a few bucks! Now you can contradict me, but the fact that you are reading this blog says it all. LOL. Don't worry, the social aspect is also important yes, absolutely. But because we all want to make money, we ended up here, and in particular, we ended up in crypto. If there were the same opportunities in the fiat world, most people probably wouldn't even have made this leap.
 
Nowadays, you can earn money in countless ways. But because this blog is focused on crypto and everything around it, this time the question is not about HOW you can do that. No, we all know that by now. But I thought it would be fun to look at a statement. Is it better to trade crypto coins, or should you trade NFTs? Where are the most opportunities, and what has the most risks? Are you curious?
 
# What is crypto?
Since you are reading this blog on Leofinance, I can assume that you are familiar with crypto. But still I will give a brief definition.
 
> **Cryptocurrency is a type of digital currency, which is often used as an alternative money system for regular currencies. The world's most famous cryptocurrency is bitcoin. The extent to which cryptocurrency is actually money is controversial.**

In the Netherlands, for example, bitcoin has the legal status of a medium of exchange, but not that of money
 
This is the definition according to Wikipedia.
 
For this blog, I assume that you are in possession of crypto. It doesn't matter how you got it. But what you can do with it. We're going to talk about that. You can of course choose to buy an x ​​number of coins once, keep them, but you can also sell them at a point that your coin has increased in value.
Now suppose you buy Bitcoin for $1,000, and you sell it three months later when the value is $1,250, then you have $250 profit. So right now, you are trading.
 
# What is crypto trading?
Very briefly, buying and selling crypto, hoping to make a profit. To get that profit you sometimes have to be lucky, sometimes have a lot of patience, not be afraid, dare to take risks, and use your common sense. Then don't start with buy high and sell low because then you play a stretch game. To trade well, you also need knowledge of trading, there is more to it than you would initially suspect.
 
Which coins you will trade is up to you. And the choice is huge! There are a lot of coins on the market these days, of which there are also a lot of shitcoins. Yes, we all know… Whether this is bad by definition is another story. You can also earn a nice amount with shitcoins if you play it smart enough.
 
# The risks and rewards of trading crypto
Trading in crypto is never without risks. That is why you always hear: trade with money that you can afford to lose. You never know if things will go well and there is always a risk. Yet, trading one currency is riskier than another. That is one thing that you will have to delve into beforehand, and which you should therefore research carefully. Because of playing a REKT game, none of us are interested in that, I assume.

# Stable projects
Bitcoin has actually become indispensable, even people who have nothing to do with crypto have heard of Bitcoin. More and more companies are investing in Bitcoin or even Ethereum. Bitcoin has also become legal tender in some places. So you see an increasing acceptance of Bitcoin in several places in the world. But of course we all know that Bitcoin is not the only one, nor is it the most stable crypto in the list. We also have stablecoins. Take our own HBD as an example. However, to trade you should think more of a coin like USDT or USDC because it will be available on every exchange, and we can't say that about HBD. You do not trade in these stablecoins, but you often need them to trade. Think of BTC/USDT for example.
 
What do you do when you make a profit? Here, too, the choice is huge nowadays. You can reinvest the profits, put it on a crypto credit card or have it written directly to your bank account. (Your governance will thank you with their tax). If you take your profits in time, there does not have to be a lot of risk. I sometimes hear it said that one of the best trading strategies is that with 100% profit, you always take your profit. You can then no longer suffer a loss with this money. Sounds logical!
 
To make a choice BEFORE you trade, and to know WHAT you are going to trade, it is of course important to start with DYOR! And this is not just a cursory read on the homepage of a project. You do a thorough investigation by reading the Whitepaper, looking at the team behind a project, and if possible you make a technical and fundamental analysis. If you do this, you limit the risks for yourself as much as possible.

# Bull market & bear market
Of course, we all want those green candles, but be aware that there is always a period with mainly red candles. And while nobody likes to see their portfolio fall in value, a bear market is not as negative as you expect. All the coins on sale is not a bad thing by definition.
 
In the bull market, you sell, take your profits, and position yourself to shop the sellout in the irrevocable bear market. This will grow your portfolio and put you in a good position for the next bull market to take even more profits.

# FOMO and emotions
Trading crypto can be heart-pounding. The crypto market is extremely volatile. This means that the value of coins is constantly in flux. The value of the coins that you have purchased can therefore experience a huge plummet in no time, even outside the bull and bear market. And then it's time to squeeze the butt. Advice? Never sell at a loss. You only really lose if you actually take your loss. Are you down? Then wait quietly, inhale and exhale, and only take action as soon as the coin rises in value again.

Emotions can also be a risk when trading crypto when things are going well. If you see everyone around you taking profits, you could be experiencing FOMO: Fear Of Missing Out. In other words: you also want to buy that coin that is rising so fast at that moment. Again, inhale, exhale, and wait for the peak to pass. Buy the coin at a later time when the price is more favorable. If you buy at the peak, it will also take much longer before you can sell at a profit.

# Shitcoins
It is fantastic that more and more promising projects are coming along, but this development also has a downside. You see more and more shitcoins passing by. Shitcoins are coins that have no project, roadmap or technology, but are completely hyped by the media or the team. This makes people buy like crazy, which increases the value. At the highest point, the team behind the shitcoin sells all the coins, making the team take all the winnings. This is known as pump & dump. The buyers who have fallen for the hype are left with a coin with no value.

# Scams
Unfortunately. Scams and crypto are no exception. There are several ways to deal with scams. Think, for example, of the shitscoins, but also of crypto trading platforms that empty your wallet as soon as you have put money on it. So always research the exchange, the currency and never click on links that you do not trust. **Never, ever pass on your Metamask seedphrase to anyone**.
 
If you did everything right, then yes… it is certainly possible to make money with crypto trading. A lot of money! 

But is this the fastest way? Is this the way for you? Or does the following suit you more?

# Trading NFTs
NFTs are hot & happening. NFT stands for Non-Fungible Token and is a digital, unique asset. NFTs are a huge hype at the moment, and we can't ignore the fact that this generates a lot of money. Just like trading crypto, you can also trade NFTs.

# Trading NFTs
On various platforms, you can purchase an NFT for a certain price and sell it again for a higher price. Just like the 'regular crypto'
It may sound simple: trading in NFTs, but you shouldn't just start doing this if you don't know anything about it. Behind every project is a team of developers, a specific technology and a future plan. It is therefore important to do research so that you purchase a good and valuable NFT.
 
# The Risks and Rewards of Trading NFTs
As with crypto trading, there are also benefits, but also risks associated with trading NFTs. Let's start with the benefits.

# Awareness of NFTs
NFT trading is becoming increasingly well known and is increasingly being brought to the attention of big names. You probably heard the story of Elon Musk and Dogecoin? After he tweeted about this, the value of the coin exploded. Elon Musk and many other celebrities have also delved into and spoken out about NFTs. This also ensures that NFTs are becoming increasingly popular. More and more famous people are joining NFT communities.

# NFTs in games
NFTs are now more than just a piece of digital art. NFTs are widely used in games, music and more and more in the Metaverse. In games you need certain NFTs, where you can also add parts of NFTs to make your position in the game stronger. So you can actually use the NFTs. YouTube also wants to start using NFTs. Something that sometimes still feels elusive is being used in more and more places.
scams

Unfortunately, we also deal with scams with NFTs. For example, there are more and more fake NFT websites or sofind cial media accounts. So be alert to this and here too the following applies: **do your own research**.

# Copy cats
NFTs are worth so much money because they are unique. Others like to abuse that. Some projects are copied almost one-to-one, which may make you think you're purchasing a valuable, unique NFT. Afterwards this turns out to be an (almost) copy of the project you actually had in mind. The purchased NFT is worthless, you can no longer sell it and you have lost your money. Bad luck. You accidentally bought a counterfeit NFT.

# NFT Traders Success Stories
Buying and selling NFTs can make you a millionaire overnight if you're lucky. And on February 14 this year (2022), it was even tweeted that the most expensive NFT of almost €21 million has been sold. This is an NFT of CryptoPunks. It seems to be true, but I still doubt whether it was a Valentine's promotion after all. It remains difficult to imagine that someone seriously pays almost 21 million euros for a CryptoPunk. **Anyway, I'll hold onto my HivePunks for a while...**
 
A success story of an NFT millionaire is the story of Sultan Ghozali? This young college student decided to take selfies for five years and sell them as NFT. With success, because in no time his meaningless selfies were worth over 314 ETH. This is converted over one million dollars.
 
Are you trying to become the next success story, or do you prefer the certainty of trading cryptocurrencies?

# Conclusion
Is it better to trade crypto or NFTs? An unequivocal answer cannot be given here. It requires both knowledge, time and experience! It is important to know where your interests and focus lie.
 
At the moment we seem to be in a downward trend when it comes to crypto trading and more money is being made with NFTs. But this could also be the other way around in a few weeks or months, or there might be something completely new that turns the entire crypto market upside down.

### **Every choice has pros and cons and comes with risks. The most important message is that you determine for yourself which course you want to sail and what you want to delve into.**

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