How To Invest In IoTeX (IOTX) In 2022

Investing in IoTeX (IOTX) : A Step-by-Step Guide

Last Updated March 25th 2022
22 Min Read

Why invest in IoTeX? What are IoTeX Token investment pros and challenges? Here is everything you need to know about IOTX investing.

IoTeX is a privacy-centric blockchain that aims to link numerous internet-connected devices, otherwise known as the Internet of Things. The network has identified a few issues that hinder the mass deployment of IoT and subsequently aims to solve this. 

This utility of the IoTeX ecosystem has put it on the map, turning the heads of crypto investors across the world. If you want to invest in this next-generation IoT-focused platform, it might be best to enter the market sooner than later.

In this How to invest in IoTeX guide, we will look at what makes IoTeX a potentially good investment for your portfolio and the different ways you can purchase this digital asset.

If you want to invest in IoTeX quickly and easily, check out eToro! 

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

How To Invest In IoTeX (IOTX) In 5 Easy Steps

For those looking for a direct solution of how to invest in IoTeX, we have prepared a simple five-step process that you can follow:

  • Step 1: Find a cryptocurrency platform that allows you to buy IoTeX. 
  • Step 2: Create your investment account with your chosen provider by inputting your personal details. 
  • Step 3: Find IoTeX from the list of supported assets offered by the crypto platform. 
  • Step 4: Place your IoTeX investment by entering how much you want to stake on this digital token, and confirm your order. 
  • Step 5: Once your investment is complete, you can withdraw your newly bought IoTeX coins to a secure digital wallet. 

All you need to do is follow these steps in order to make your first IoTeX investment. However, if you are new to the cryptocurrency markets, we suggest that you read our How to Invest in IoTeX Guide in its entirety to learn about the entire process in greater detail. 

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

How Does Investing In IoTeX (IOTX) Process Work?

With the advent of online trading platforms, the process of investing has become easier than ever. Today, you can open a cryptocurrency investment account at a brokerage site and buy IoTeX in less than 10 minutes. 

But before we go further, let us take a closer look at IoTeX as an investment opportunity. As you might know already, the phenomenon of IoT is growing rapidly as we speak. 

From smartphones and wearables to connected homes and renewable energy, the Internet of Things has impacted the way we interact with the world. 

However, today, this sector is largely operated by centralized corporations that return no value to its users. IoTeX was designed to offer an alternate scenario, where anybody can own and control their devices and data. 

To be precise, IoTeX is a full-stack blockchain platform that enables the use of real-world data in decentralized apps. As you can imagine, such a concept is one that appears to have a lot of potential in the future. 

This core utility aside, IoTeX behaves like any other tradable asset. To elaborate, when thinking of how to invest in IoTeX, you will be buying this digital coin with the hope that it will gain in value over time. 

As such, being an investor, you want to keep track of the many factors that can influence the price of IoTeX. This could be anything from the growth of IoT, competition from other similar projects, and so on.

That said, all these aspects will boil down to the supply and demand of IOTX in the market. 

If there is a higher demand when compared to the supply, then the value of this digital asset will go up. When the inverse happens, the price of IoTeX will drop. Consequently, if IoTeX gains more value after you have made the investment, you will be able to make a profit. 

Let us help you understand this better with an example:

  • Suppose that IoTeX is trading at $0.075. 
  • You make an IoTeX investment worth $1,000 at this price. 
  • You decide to hold on to your IoTeX coins in the long term, waiting for their value to appreciate. 
  • In a couple of years, the price of IoTeX has increased to $1.5 per token. 
  • This translates to a gain of 1,900% on your investment. 

In this example, you are able to make huge gains on your investment in IoTeX in a matter of two years. Such impressive gains are quite common across cryptocurrencies, primarily due to their highly volatile nature. 

However, this also means that the market can move against your favour at any point, leading to losses. This is why you will want to carefully consider your financial standing and risk only small amounts on this digital asset. 

Reasons To Invest In IoTeX (IOTX)

Before you put your hard-earned money into an asset, it is crucial that you study the market. IoTeX being a cryptocurrency, you will need to analyze the current landscape of this digital token, keeping in mind its inherent volatility. 

If you are wondering whether IoTeX has long-term potential, you can start by considering the following aspects that are currently in favour of this digital token. 

IoTeX has a Unique Architecture

As we mentioned earlier, IoTeX intends to change the status quo of the IoT framework. It aims to provide flexibility and scalability through a unique Proof-of-Stake consensus mechanism. 

Let us simplify this. The core idea of the IoTeX protocol circles around the separation of duties within its blockchain. Essentially, for every function, a new side chain will be created, and each of these will also be able to interact with others. 

This will reduce the chances of ‘bloat’ that usually occurs when several devices are connected to the network at the same time. 

Add to this the use of ring signature for transactions and a lightweight address system; you have a nifty privacy-centric cryptocurrency network. These aspects make IoTeX an interesting digital asset currently circulating in this marketplace. 

IoTeX Rallied In 2021

IoTeX was originally founded in 2017. However, its concept of building the Internet of Trusted Things appears to have gained more attention in 2021. With its recent listing on Coinbase, the popular cryptocurrency exchange, the value of the digital token has seen a sudden surge. 

IoTeX had been moving sideways more or less until August 2021. But then, seemingly out of nowhere, the price of the digital asset exploded in a matter of a few days. 

In fact, there has been an increase of over tenfold in the value of this digital currency, providing substantial gains for its holders. 

If IoTeX is to continue this bullish market, then 2022 might be a suitable entry point for investors to buy this asset. 

IoTeX has Rolled out Some Serious Updates

Another reason that IoTeX is expected to perform well is due to the upgrades it has executed over the past few months. One of them is its unique real-world data oracle that does not use any existing providers. 

Instead, it plans to build a database that sources information from trusted devices for the entire blockchain industry.  

Additionally, IoTeX is developing an asset-tracking device, the first of its kind, called the Pebble Tracker. This is a milestone in the IoT industry. Alongside, the platform is also pioneering in the NFT space, allowing builders to collect data from trusted objects.  

These innovations certainly add more value to IoTeX in the market. Given its use cases in the real world and its recent upgrade developments, IoTeX positions itself as one of the most promising digital tokens of 2022. 

That said, if there is one thing that is certain in the cryptocurrency markets, then it is the fact that this asset class is extremely volatile. 

As such, we want to reiterate that before you invest in IoTeX, you should always weigh the potential risks and only put in amounts that you can realistically afford to lose.

Don't Miss: IoTeX Price Predictions

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

How To Invest In IoTeX (IOTX) - Various Options Available

It is not at all uncommon for beginner investors to feel uncertain about how to invest in IoTeX, especially when considering the countless options on the table. 

In fact, not only are there different types of cryptocurrency providers to choose from, but each category will have dozens of platforms featuring a wide variety of options. Your ease and convenience of making IoTeX investments will vary widely depending on which site you go with. 

Upon searching the internet, you will find that crypto providers are largely classified into two - exchanges and brokers. For the novices here, we will start by explaining the differences between these two platform types.

IoTeX Exchanges  

IoTeX has recently found its way to some of the most popular cryptocurrency exchanges in the market. These exchanges act as intermediaries, facilitating the purchase and sale of IoTeX between different investors. 

The lion’s share of the most reputable cryptocurrency exchanges allow you to buy IoTeX directly by paying with fiat currency, like British pounds or US dollars. Alternatively, you can also swap another digital token in order to get your hands on IoTeX. 

Once you complete the purchase, you will need to transfer your IOTX coins to an external digital wallet for long-term storage. 

Now, this is where it gets tricky. After you have bought the IoTeX coins, the safety of your tokens is then up to you. If you misplace the private key of your wallet, then you can practically bid farewell to your IOTX investment. 

Moreover, although cryptocurrency exchanges are a common choice among investors, you might find yourself dealing with a higher range of fees. 

Beyond all this, the main drawback of IoTeX exchanges is the lack of regulation. This means that if a security breach occurs, recovering your funds would be a hassle - if at all possible. 

As such, if you are considering investing large amounts of money into IoTeX, you will want a safer solution that can cater to all your needs. 

IoTeX Brokers

Online brokers offer an alternative space for investors by filling in some of the gaps possessed by traditional cryptocurrency exchanges - the most important one being regulation. 

This will ensure that you are dealing with a platform that adheres to standard norms and acts in your best interest. Another notable benefit of using a regulated IoTeX broker is the ease of making investments. 

Depending on the specific crypto platform you choose, you will be able to purchase IOTX tokens directly using your preferred payment method. 

Once you have completed the purchase, some brokers even give you the option to store your IOTX coins on the platform itself at no additional cost. This means that cashing out your IoTeX investment can be a facile and unproblematic process, one that you can do directly from the trading site. 

Moreover, regulated IoTeX brokers are also likely to charge relatively lower fees when compared to cryptocurrency exchanges. 

In fact, you might be able to find a platform that allows you to buy and sell IOTX at a 0% commission rate, which can help you cut the investment costs involved. 

That said, you should bear in mind that not every IoTeX broker will offer you the same level of service. In fact, to the untrained eye, it can be quite challenging to figure out which platform is the best fit for your level of investment experience. 

With this in mind, let us consider how you can find an IoTeX provider that will help make your investment process the most convenient. 

Read Also: Could IoTeX (IOTX) Be A Millionaire-Maker Coin

How To Choose A Platform To Invest In IoTeX (IOTX)

To continue from the previous section, finding the most suitable platform to make your IOTX investment is not an easy job, especially if you are a beginner. In order to make the right choice, you will first need to know what to look for in an IoTeX broker. 

In this section of our How to Invest in IoTeX Guide, we will discuss the most crucial features that you need to look for during your search for a brokerage platform that can facilitate your IOTX investments. 

Licensing and Reputation

As you know by now, the main aspect that differentiates IoTeX exchanges and brokers is regulation. Let us offer you little clarity on this. 

There are several regulatory bodies across the world that are designed to protect investors and traders from unlawful practices. These financial bodies enforce stringent rules that all registered brokers are required to follow. 

To offer you a quick glimpse - if your chosen IoTeX broker is regulated, it means that the trading platform has to keep your funds in separate bank accounts, submit their records for audits, and be transparent about the risks associated with cryptocurrency and other investments. 

One thing to note is that these conditions could vary depending on the specific jurisdiction and financial body. Some of the most reputable regulatory agencies in the crypto brokerage world include ASIC in Australia, FSA in Japan, FCA in the UK, SEC in the US, CySEC in Cyprus, and more. 

It is always best to choose an IoTeX broker with a valid license from one of these or any other respectable financial authority. This will offer you investor protection that is not available at unregulated cryptocurrency exchanges. 

Moreover, you will be able to invest in IoTeX knowing the fact that you are dealing with a crypto broker that takes investor protection seriously.  

Fees to Invest in IoTeX

For those unaware, when thinking of how to invest in IoTeX, you will also be charged a variety of fees by your chosen broker. In fact, if not careful, these fees can add up and eat quickly into your profits. 

As such, when you are searching for the ideal IoTeX broker - you will want to take time to go through the fee structure to understand what charges you are paying for and why. 

In this section of our guide, we will introduce you to the most common types of IoTeX investment fees. 

Commissions 

The commission is typically charged by IoTeX brokers for facilitating your investments. This is considered a direct fee, which will be calculated based on the amount of money you are putting into this digital asset. 

For example, let’s say you are investing $1,000 into IoTeX, and your chosen broker charges you a commission of 5%. Meaning, you will end up paying $50 to the platform. 

Now, over the years - how brokers charge this fee has also evolved. Today, you might find that some platforms have different commission rates for various levels of investment. For instance, your trading site might charge you a lower rate if you are investing higher amounts into IoTeX. 

Additionally, you will also find online IoTeX brokers that impose absolutely no commission - regardless of the amount you are investing. This can certainly be of advantage; however, you will want to be aware of any other fees that could affect your profits when using such platforms.

Deposits and Withdrawals

Besides commissions, your broker might also charge you for each deposit and withdrawal you make on the platform. This can vary widely depending on the type of payment method you choose to make your IoTeX investment. 

For example, you can expect transactional fees on the deposits you make if you are processing this via a debit or credit card. On the other hand, there is the distinct advantage that your payment will be speedily processed. 

If you are paying via a bank transfer, the fees might be lower, but you might have to wait for a few days for the funds to arrive. Alternatively, some IoTeX brokers also facilitate payments through e-wallets like PayPal or Neteller.

Regardless of which IoTeX broker you choose, you will want to make sure that the platform supports your preferred payment method at a reasonable cost. 

Minimum IoTeX Investment and Payments

If you are thinking about how much you should inject into IoTeX, the first thing you should check is whether your chosen brokerage has set a minimum investment amount. 

For instance, some brokers will allow you to buy IoTeX only if you make a minimum investment of a certain amount - say $50. This requirement could be widely different across competing platforms. While some trading sites will need you to put up a large sum, others might have no such condition at all.

Needless to say, it would be best if your broker has a low minimum investment amount required for cryptocurrencies like IoTeX. This will give you the opportunity to gain exposure to the market without having to risk large sums. 

Storage and Cashing Out

Once you have completed the purchase of IoTeX, then you will need to store your coins somewhere. Cryptocurrencies like IOTX are stored in a digital wallet - usually available via an app or desktop software. 

Your wallet will come with a private key that serves as your password. You will need this code to access your IoTeX coins and any other digital assets you have stored. 

However, there is another alternative that is much easier. You can choose a regulated IoTeX broker that offers an in-built wallet service. This means that you can store your IoTeX coins on the platform without having to transfer them to an external storage facility. 

The key is to make sure that your chosen IoTeX brokerage is regulated, so you can be sure that your coins will be kept in a secure space. Additionally, this also gives you the benefit of being able to cash out your IoTeX investment directly via your trading platform. 

You will only need to find IoTeX in the portfolio of your chosen crypto broker and place a sell order. The earnings from the sale can be withdrawn to the original payment method you used. 

Don't Miss: Is IoTeX Worth Investing?

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

How To Invest In IoTeX (IOTX) Today - Step-by-Step Walkthrough

As we already covered in the earlier part of this guide, investing in IoTeX is easier than ever. That is - if you choose the right regulated broker for your IoTeX investment. 

Not to worry, if you follow our criteria, you will be able to find a reputable broker that can cater to all your IoTeX investment needs. Once you have decided which provider you want to choose, you can follow the steps outlined below to get started with your account. 

Step 1: Open an Account

After choosing a brokerage site that best fits your requirements, you can start with creating an investment account. 

Like most other websites, you can register on a brokerage platform by simply providing your email address, and creating a password. However, after that, you will need to fill in your personal information such as your name, date of birth, and other contact details. 

Depending on your chosen broker, you might also need to respond to a questionnaire so that the provider can understand your current level of experience with investing. This will enable the platform to offer you services that are more in alignment with your expertise. 

Step 2: Provide Some ID

If your chosen IoTeX broker is regulated, then the platform will ask you to complete a KYC process. This means that you will need to provide documentary proof to authenticate your identity. 

You can get verified by offering a copy of your passport or driver's license. In addition, your broker will also require you to submit proof of address - in which case, a utility bill or bank statement would suffice. 

Step 3: Deposit Funds

On most regulated IoTeX brokers, you will be able to make investments only after you deposit funds. This can be done by paying through a debit card, credit card, or a wire transfer, as we discussed earlier. 

Depending on your chosen IoTeX broker, you might also have access to e-wallets such as PayPal, Skrill, or Neteller. One thing to note is that while most payment types process transactions immediately, bank transfers might take longer to complete. 

Step 4: Search for IoTeX

The next thing you need to do is find the trading page of IoTeX on your chosen brokerage platform. You can do this by simply searching for ‘IOTX’ or ‘IoTeX’ on the site. You will then be redirected to the trading page of the digital token. 

Step 5: Complete IoTeX Investment

In order to place your IoTeX investment, you will need to indicate to your broker that you want to purchase the digital token. You can do this by placing a buy order. 

You will then have to specify the amount you want to invest in this asset. Once these details have been entered, you can confirm your order. 

Your IoTeX investment will be processed immediately, and you will be able to gain access to your IOTX coins without delay. You can then withdraw the tokens to an external wallet or decide to store them within the brokerage platform itself - if such an option is available.

Step 6: Cash Out Your IoTeX Investment

When your IoTeX investment has hit your target profit level, you can sell the digital tokens with the same ease and convenience. If you have your IOTX coins stored on your brokerage site, you can simply head over to your portfolio and sell the asset from there. 

In case you have your IoTeX in an extremal wallet, you will be required to move the digital coins to your chosen broker in order to be able to cash them out. Once the sell order has been processed, you will be able to withdraw the proceeds to your preferred payment method. 

Check Out: Is It Too Late To Buy IOTeX?

How To Invest In IoTeX (IOTX) Today - Step-by-Step Walkthrough

As you can see from our How to Invest in IoTeX Guide, buying and holding this digital asset is virtually effortless. Moreover, with a regulated crypto broker by your side, you will be able to make and cash out your investments from the comfort of your home. 

That said, before you put your money into IoTeX, it is suggested that you take some time to read up on this digital asset, its future potential, and the risks involved. 

If you are only getting started with online crypto investments, it would be in your best interest to only purchase small amounts into this volatile asset. 

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Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

FAQs

What is IOTX?

IOTX is the native crypto token of the IoTeX blockchain ecosystem. Its mission is to promote the adoption of the Internet of Things (IoT).    

Where can I buy IoTeX coins?

IoTeX coins can be purchased directly from a cryptocurrency exchange or via a regulated online broker.    

How much money should I invest into IoTeX?

The amount you invest into IoTeX will depend on your financial standing and risk appetite. It will also be determined by the minimum investment required by your chosen crypto broker.    

How should I store my IoTeX tokens?

IoTeX is a cryptocurrency that needs to be kept in a digital wallet. You can either look for an external app for this purpose or a regulated broker with an in-house storage option.    

How can I cash out my IoTeX investment?

You can sell your IoTeX coins directly from your brokerage platform. The proceeds will then be available to you to withdraw. 

Read More:

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