Why invest in Enjin? What are Enjin Token investment pros and challenges? Here is everything you need to know about ENJ investing.
Enjin is based on the idea that using blockchain technology for managing in-game items is an effective way to reduce the high transfer fees and risks that now characterize virtual collectibles and goods.
This use case is significant, especially among game developers, as the protocol now empowers them to leverage the Ethereum blockchain for managing virtual products. Enjin’s developer team is also working on some impressive features which might impact the coin’s price in the marketplace.
Looking at this project, you might be interested in making an investment. If that’s the case, but you’re unsure of where to start, this How to Invest in Enjin guide will offer you an extensive explanation of the process, the strategies you can leverage, and some background information on the project itself.
If you want to invest in Enjin quickly and easily, with 0% Commission, check out eToro Exchange!
How To Invest In Enjin (ENJ) In 5 Easy Steps
The process of investing in Enjin is pretty straightforward. It doesn’t matter if this is your first time dealing with cryptocurrencies.
We have created this overview to explain the investment process to you in five easy steps.
- Step 1: Choose a cryptocurrency broker to buy Enjin from.
- Step 2: Set up your investment account with the chosen brokerage.
- Step 3: Select Enjin from the list of cryptocurrencies provided by the chosen broker.
- Step 4: Create your Enjin order by inputting the amount you intend to invest.
- Step 5: Confirm your order and store your Enjin tokens safely.
Consequently, you’ll have to consider how to store your Enjin tokens safely until you’re ready to sell them. This is something that requires diligence because it can be difficult getting the right wallet to store your Enjin tokens.
With that said, eToro allows you to securely store your investment in your online portfolio at no extra cost. This prevents to need to obtain a private wallet.
How Does Investing In Enjin (ENJ) Work?
It’s safe to say we’re in the era of cryptocurrencies. Everywhere you turn, especially on social media, there’s an ongoing discourse concerning one token or the other. As such, if you’re interested in Enjin, you must learn how to invest in the coin accordingly.
In simple terms, when you want to invest in Enjin, your goal is to buy the token when the price is low and sell at a higher value. This is how you get to make a profit on your Enjin investment.
In the same manner, the cryptocurrency market may not go as you predict. This is due to the volatility of the market, which causes price alterations. In such an instance, you’ll likely incur a loss on your Enjin investment.
This makes it important to inquire about the possibility of knowing if Enjin’s price will rise or not. This is a question many investors seek to understand because the answer can influence their purchasing decision.
For a token like Enjin, numerous factors determine its price movement. These include market news, competition, regulation, and even the technology backing the coin. Based on these factors, Enjin’s price will constantly fluctuate.
Therefore, if many investors are looking to purchase Enjin, the coin’s price will witness an increase. In the same manner, if investors are of the opinion that the coin’s price will drop, they’ll be motivated to sell their Enjin tokens, which will cause a price decline.
This makes it important to always engage in thorough research because that’s how you can hedge your risks. Knowing enough about the coin’s trajectory will help you make informed decisions. It will also position you to maximize your returns when investing in Enjin.
All that being said, let’s consider an Enjin investment in a real market scenario:
- On 20 February 2021, Enjin was priced at $0.60.
- Suppose you assess the market, and you speculate that the value of Enjin will go up.
- Based on that, you made a $200 investment in the token.
- By 20 August 2021, the coin rose to $1.50, representing an increase of over 150%.
- You decide to cash out, so you sell your ENJ tokens. That way, you’d have made a profit of $300 on your original $200 investment.
From the example above, you held your Enjin coins for about six months and made an impressive profit on them.
During this period, Enjin’s price would have fluctuated. If you had sold your investment in those instances, you might have made a smaller profit or even incurred a loss. This is what makes it important to have a clear investment plan before you kickstart your journey.
As such, you should always do thorough research before investing in Enjin to determine whether the coin fits with your wider portfolio.
Why Invest In Enjin (ENJ)?
When considering how to invest in Enjin, you should assess the coin’s trajectory in line with your financial goals. You should also consider your own financial situation and do adequate research on the token’s potential.
As such, always rely on verifiable data before you invest in Enjin. Here are some of the things you may consider before investing in this exciting digital asset.
Enjin has Numerous Use Cases
A token’s use case is an important factor to consider when contemplating an investment. When a coin has many use cases, there are chances that it might be a good buy for a long-term plan. Enjin happens to have several use cases that contribute to the coin’s value.
In fact, companies have now started integrating some of the coin’s use cases into their own operations.
- For instance, in the gaming industry, Enjin has partnered with Atari, a leading video game franchise.
- This gaming use case is significant because the industry continues to integrate blockchain technology at a fast pace.
- With Enjin, gamers can now monetize their characters and even transform them into NFTs that they can put up for sale.
Furthermore, Enjin has also become relevant in big tech. This accounts for why Microsoft now uses Enjin to monetize the company’s social rewards program known as Azure Heroes. Similarly, Samsung has leveraged Enjin to develop its S10 wallet.
Still on this, the protocol has found a use case in the auto industry - as BMW now uses it to monetize the company’s coin reward points.
Enjin Is Backed By an Excellent Team of Developers
The developer team behind a blockchain project is an effective way to know if its token is worthy of an investment. When the team is active, there’s an incentive to use the coin because investors will have some trust in the project.
Based on this metric, Enjin can be said to be one of the leading blockchain projects. The developer team continues to create impressive features that will drive traction to the coin and impact its growth.
For instance, in March 2021, the team worked on Efinity, a blockchain project targeted at optimizing NFT transfers. The project also introduced numerous exciting functionalities.
Additionally, the team launched JumpNet in June 2021. This project operates to ensure a seamless transfer of NFTs among different blockchains, especially Enjin and Ethereum.
Enjin Has an Active Community of Users
You should also consider the community behind a cryptocurrency project when evaluating its potential. The bigger the community backing Enjin, the higher the possibility of the token doing impressive numbers in the open marketplace.
Enjin has a large community of developers and investors who constantly work towards growing the project. As such, the project now has over 2 million active wallets. Even more impressive is the fact that more than 1.1 billion assets have been created on its blockchain.
When you consider this alongside the coin’s average trading volume at over $100 million, you’ll realize the token is widely supported in the market. As such, if you’re looking to invest in Enjin, the community’s impact is something you may want to consider.
How To Invest in Enjin (ENJ) - Various Options Available
If you’re new to the cryptocurrency market, you have to be careful when choosing a trading platform. This is because the choice you make defines your experience during the entire journey.
As such, making a bad decision in this regard might affect both your convenience while investing and your potential returns as well. Therefore, when thinking about how to invest in Enjin, you have to choose an exchange or broker.
Here are some things you should consider before making your choice.
Cryptocurrency exchanges are platforms through which you can invest in Enjin. To invest in the token through these exchanges, you’ll have to buy the coin from another trader.
Now, there are numerous exchanges you can use for this purpose. However, upon careful scrutiny, you’d realize that many of these trading platforms do not have a friendly interface. In most cases, those exchanges are often built for experienced cryptocurrency traders and market speculators.
Even if you find a beginner-friendly exchange, it often comes at a high cost. More so, most of these exchanges only permit crypto-to-crypto exchanges. This means that before you can start investing in Enjin, you must have first bought another digital asset.
Most importantly, these exchanges are often unregulated. As such, they often cannot offer you adequate protection on your funds, which you would otherwise get from licensed brokers. Therefore, if any compromise happens on these exchanges, there’s no safety net to cover your funds.
So, while you might choose an exchange like OKEx and Binance for investing in Enjin, they are certainly not the best options for you.
On the other hand, regulated brokers allow you to invest in Enjin in a seamless manner. A leading example is eToro, which provides you with a simple user interface and makes it effortless for beginners to learn how to invest in Enjin easily.
There are many advantages of using a regulated broker. For instance, you can fund your Enjin investments using fiat money. This is due to the fact these brokers are regulated by reputable financial authorities.
For example, the FCA is the regulatory authority in the UK, while ASIC operates in Australia. You then have FINRA and the SEC in the US. There are numerous other financial authorities across different jurisdictions.
The function of these regulatory authorities is to ensure that brokers have a set of guidelines they are to follow. That way, registered investors can enjoy a safe trading environment.
If you are thinking about how to invest in Enjin through a broker, here are some advantages you may want to consider:
- Financial authorities mandate these brokers to stay within their service description.
- You can make deposits in your account through fiat currencies.
- Regulated brokers such as eToro come with an in-built wallet for storing your Enjin tokens.
- Most of these regulated brokers have a low-fee structure. A platform like eToro is even commission-free.
From the above, you can see that investing in Enjin through a regulated broker is both secure and cost-effective.
How To Choose A Platform To Invest In Enjin (ENJ)
Although you might understand the importance of choosing a regulated broker, getting the right one can be pretty challenging. If you’re a novice, you’ll need to understand the things you should look out for when choosing an Enjin broker.
To help you through this process, we have identified some of the key factors you need to consider.
Licensing and Credibility
A licensed broker tends to have more credibility. This is because the aim of the regulatory authorities that license these brokers is to protect investors and create a safe financial climate. Thus, when you invest in Enjin with a regulated broker, you can rest assured that you’re doing so with a legitimate platform.
To ensure fairness and transparency, these financial authorities often set some rules that the brokers must follow.
- Separation of funds: Regulated brokers supporting Enjin are mandated to keep your funds and theirs in different accounts. This means that you can always gain access to your money.
- Anti-money laundering: Investing in Enjin with a regulated broker means you have to complete a Know Your Customer (KYC) process. Here, you’ll need to submit your personal details and also upload proof of address.
With these factors, you can see why licensing and compliance are key things to consider when thinking about the broker where you’d invest in Enjin.
Fees to Invest in Enjin
When you invest in a token through a broker, there are certain fees you’d likely incur. Therefore, it is important to consider how much your Enjin investment will cost you.
Essentially, this is because brokers charge varying fees in this regard. Furthermore, you should also know the type of fees brokers can possibly charge you.
- Fees for Account Creation: Setting up your investment account can be done for free on most brokers.
- Deposits and Withdrawals: You may be charged a fee for any of these two. That is, when you make a deposit or process a withdrawal, you may incur a fee based on the payment method you’ve chosen.
- Commission: This is a fee you pay at the time you place your investments in Enjin as well as when you decide to sell. Often, the commission you pay will be based on your transaction size.
- Token Transfers: You might have to pay a fee for moving your Enjin tokens from an external wallet to your broker.
Let’s put all of this in context:
- Let’s assume you intend to invest in Enjin. So, you deposit $1,000 into your investment account, and you decide to use your debit card as the payment option.
- For debit card transactions, your broker charges a 5% fee, meaning that you’ll pay $50 on your investment.
- Additionally, suppose your broker charges a 2.5% commission on Enjin investments. This means you’d pay $25 on your $1,000 purchase.
- At the point you decide to cash out, your investment is now worth $5,000. You’d also have to pay a 2.5% commission on it, which is equivalent to $125.
Altogether, you have paid $200 in fees during the course of this Enjin investment.
Depending on your budget and financial situation, you might think this overall fee is small in relation to the Enjin investment returns. However, there are times you won’t make a profit on your investment, or you’d make too little that such a fee would have a significant effect.
This is why you should consider brokers that have a low-fee structure. At a platform like eToro, you are not charged any fee for making USD deposits. You will not pay commission on your Enjin investments either.
Moreover, eToro the platform provides you with an in-built wallet that allows you to store your Enjin coins. This saves you the trouble of moving your tokens across different platforms.
Therefore, eToro allows you to invest in a cost-effective manner. Investing in Enjin with such a platform is a smart way to maximize potential your returns.
Minimum Enjin Investment and Payments
Most brokers have a minimum investment requirement. This means that you have to invest a certain amount before you gain access to the cryptocurrency markets. However, this amount often varies across brokers.
For some platforms, they don’t even have such a requirement. Crucially, there are brokers like eToro, which allows you to invest from as little as $25. It will also be smart to check the payment methods supported by your broker.
Always look out for debit/credit card and e-wallet options. These are the fastest ways to make your Enjin investments. While wire transfer is also an option, it often takes a long time before the funds arrive in your brokerage account.
Therefore, if you’re looking to make a swift and timely Enjin investment, wire transfer is not your best option.
Storing your Enjin Tokens and Cashing Out
In the process of learning how to invest in Enjin, you may forget to consider the importance of storage. This is more important if you’re a beginner, as you need to know where you should store your Enjin tokens to keep them safe.
You can keep them safe in different ways. It’s either you choose an external wallet or select a broker that offers one in-house. Selecting an external wallet exposes you to the risk that comes with moving your tokens from one platform to the other.
However, when you choose a broker like eToro, you can conveniently invest in Enjin and store your tokens on the trading platform accordingly. This way, when you’re ready to sell your Enjin tokens, you can do so seamlessly and directly.
How To Invest In Enjin (ENJ) Today - Step-by-Step Walkthrough
By now, you have learned from our How to Invest in Enjin Guide that choosing the right broker is one of the most important things when purchsing this token. Once you sort that out, the next thing is to set up your account.
But before you do that, you should create an investment strategy. This will help you make informed decisions instead of using your instincts to invest.
Once you’ve done all that, you can use a credible broker like eToro to begin your investment process.
Step 1: Open an Account
Head over to your desired broker’s website to set up your account. You can do this on eToro by simply providing your personal details. This includes your full name, date of birth, home address, and contact details.
Step 2: Provide your ID
Before you can start using your account to invest in Enjin, you must upload some supporting documents for identity verification. This is referred to as the KYC process, and it’s a standard requirement with regulated brokers like eToro.
Although these KYC requirements may differ across brokers, here are the things that are generally required:
- A valid ID card issued by the government. This can be your driver’s license or passport.
- A supporting document that validates your address. This can be a bank statement or utility bill.
Once you submit these documents, your account will become operative in a few minutes.
Step 3: Make a Deposit
You can only invest in Enjin when you have enough funds in your account. As such, you have to make a deposit into your investment account accordingly, and you can do this through any of the supported payment methods.
With eToro, you have the debit/credit card and e-wallet options for this purpose.
Step 4: Search for Enjin
Following your deposit, the next thing is to search for Enjin. Simply locate the search bar and enter ENJ into it. Suppose you’re using eToro, you can also search for Enjin in the listed cryptocurrencies under “Trade Markets.”
Step 5: Finalize Your Enjin Investment
Here, you simply need to enter the amount you’d like to invest in Enjin and place your order. If you’re doing this through eToro, you can start investing from $25.
Once you’ve completed the process - you can store your Enjin tokens directly on the broker.
Step 6: Cash Out Your Enjin Investment
Under normal circumstances, when you’re ready to sell Enjin, you’ll need to get your tokens back to the broker.
However, with eToro, you can sell your Enjin tokens straight from your portfolio. Once you complete your sale, the funds will be made available to you through the same method by which you made the investment.
How To Invest In Enjin (ENJ) - The Bottom Line
Enjin has been in the cryptocurrency market for a while. However, the project’s use cases have become more pronounced in recent months. While this might be an indication that now is a good time to enter the Enjin market, you must exercise some care.
You need to take the necessary precautions when investing in Enjin. A smart option is to invest small amounts but in a consistent manner. Furthermore, it is crucial to choose the right broker that will offer you a seamless experience while investing in Enjin. This is why we suggest looking at eToro.
This regulated broker allows you to invest in Enjin without paying commissions. It also comes with an in-built wallet that allows you to store your ENJ tokens safely until you believe it’s time to sell.
eToro – Best Platform To Buy Enjin
eToro have proven themselves trustworthy within the crypto industry over many years – we recommend you try them out.
Virtual currencies are highly volatile. Your capital is at risk.
Is Enjin a good investment?
A key driver of Enjin’s growth is the developer team’s effort to create traction around the token. This is done by continuously developing impressive projects to make the protocol’s use cases attractive in the cryptocurrency market. Regardless, whether or not Enjin is a good buy depends on your investment goals and tolerance for risk.
What is the highest price of Enjin?
Enjin hit an all-time high of $4.85 on 25 November 2021.
How much can I invest in Enjin?
This is based on your budget and investment goals. You simply need to consider your financial situation and determine the amount you want to invest in the token. Regardless, it is important to consider the minimum investment policy of your broker. With eToro, the minimum investment requirement is just $25.
How can I store Enjin?
You need to store your Enjin in a secure wallet. You can do this by searching for viable wallets or simply use a regulated broker like eToro. The latter comes with an in-built wallet that allows you to store your Enjin tokens safely.
How to invest in Enjin?
The most efficient method to invest in Enjin is to do so through a regulated broker like eToro. With this broker, you gain access to the cryptocurrency markets without paying commissions.