Coinbase launches an interactive crypto tutorial
Source: TechMeru

Amid the current challenging times sparked by the global pandemic COVID-19 when cash flow is stagnant, digital asset exchange Coinbase developed a new tutorial on its app in a bid to encourage people to implement dollar-cost averaging (DCA) into their investment strategy.

The firm believes that creating an open financial system is essential therefore people must be aware of how they can make investments in crypto. 

In a blog post, Product Manager Rhea Kaw said that inevitably timing a highly volatile market is impossible. 

For instance, cryptocurrencies such as Bitcoin has experienced massive price volatility in the past with values swinging double-digit percentage points in a single day. In fact, on May 1, the price of Bitcoin surged by more than $1,500, reaching as high as $9,400 therefore taking the cryptocurrency to its highest value since February.

“By investing the same amount on a regular basis, you buy more crypto when the dollar value is lower, and you buy less when the dollar value is higher. Over time, the investment costs average out,” Kaw explained. 

Describing how recurring buys and DCA can make investments more streamlined, Kaw also added that people who are new to the concept of crypto can easily get a guided tutorial on its app

Coinbase Launches an Interactive Crypto Tutorial

In the past, Coinbase has stressed on how DCA and recurring buys can potentially make crypto market volatility work in the investor’s favor. In an earlier post it said:

“DCA can be an effective way to own crypto without the anxiety of committing a significant amount of capital at a fixed price at a particular moment in time. Not to mention, doing this provides the added benefit of adjusting this amount up or down as you go.”

Indeed, with the aim to “to create an open financial system for the world,” Coinbase is sure to go from strength to strength. “A key part of accomplishing this is giving customers the information they need to begin investing in crypto,” Kaw concluded.