- Bamboo crypto investment app is the latest addition in the world of cryptos with an advantage of micro investments
- Bamboo allows users to choose between crypto assets and precious metals or go for a mixed bag
- Regular investments can bring the benefits of dollar cost averaging for crypto enthusiasts
The cryptocurrency investment space is becoming more competitive. Players with their unique offerings are finding patronage. Non-fungible token (NFT) space is gaining traction, and Coinbase NFT has come to compete with OpenSea, which claims to be the first and biggest NFT exchange.
A lot more is happening. The latest is an investment app, Bamboo, which enables small investments into crypto assets as well as precious metals including gold and silver.
What is bamboo crypto?
Bamboo invests a tiny amount of money, usually the amount in cents linked to any purchase by the user in the real world. For example, if the user has a charge of US$3.5 on their bank account for a cup of coffee, bamboo will invest 50 cents. Doing this, it creates a versatile portfolio for the user without putting a lot of burden.
Bamboo claims to provide dollar cost averaging (DCA), which is a famous investment strategy. Here, the investor parks money in any asset at regular intervals. This periodic investment occurs regardless of the market price of the asset. Doing this, volatility during any given period can be avoided. For example, if a person chooses to invest regularly in Bitcoin (BTC), sporadic ups and downs in BTC price will have little impact on the portfolio.
Though some crypto assets are priced very high – for example BTC is priced at US$62,000 apiece as of now – a small fraction can be bought. This refers to micro-investing in cryptos.
The Bamboo crypto investment app aims to make micro-investing mainstream for retail investors. It claims to make the ‘confusing enough’ world of cryptos ‘effortless’ for retail investors. It allows the users to decide the quantum and timing of their investment, besides allowing even very small amounts of investments. Bamboo also lets users earn rewards when they compound their returns.
What is Bamboo app? How does it work?
Bamboo is projecting itself as ‘security savings plan’. Users can ‘set and forget’ their investment quantum and the reason that they are always an active participant can minimize any losses on account of volatility.
To start with, Bamboo seeks approval to connect the user’s bank account with the app. Then, the user has the option to decide where regular investments go, whether in cryptos or gold or in a mixture of all assets.
Also read: Top 5 NFT disruptors of 2021
Cryptocurrency investment is not as easy as it seems. Deciding the quantum and timing of investment is a very trick aspect in cryptos. Bamboo crypto investment app claims to allow tiny investments at regular intervals to provide the benefits of dollar cost averaging. Besides, the users can set a target and leave it on the app to undertake investment. Regular parking of money can likely prevent a crypto investor from the volatility that can severely impact the price of any crypto during a very short interval.