I’d never even heard of cryptocurrency until about four years ago when the 2017 Bitcoin boom made it virtually the only topic of discussion at my family’s Christmas gathering that year. I bought in because I was curious and willing to take a risk. But there are many others who still aren’t willing to invest, despite some popular coins hitting record highs this year. And that’s totally OK. 

If you’re wary about losing money, there is a way you can profit off of cryptocurrency’s success without actually taking a huge gamble on this still largely speculative technology.

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Nothing exists in a bubble

We tend to group investments into distinct categories — financial stocks are different from energy stocks and consumer staples stocks are different from industrial stocks. But there’s a degree of interdependence there. For example, as consumers began purchasing more of their everyday essentials online during the COVID-19 pandemic, online retailers made a huge profit. But so did companies like UPS and FedEx that were responsible for delivering a lot of those packages.

Cryptocurrency experiences this same type of interdependence. You purchase cryptocurrency through dedicated cryptocurrency exchanges, and some popular digital payment platforms offer crypto trading now as well. And if you intend to mine cryptocurrency, you need a lot of computing power. It’s virtually impossible to invest in cryptocurrency without relying upon businesses in other sectors, and that’s the secret you can use to capitalize on cryptocurrency’s potential success without actually investing in it.