Assalamu Alaikum. Today , I am going to teach you how you can invest in cryptocurrency. This is a beginner’s guide. If you want to step into cryptocurrency, or if you have only heard the name and don’t know what it is, then you will get everything summed up here. Insha’Allah, you will be able to start working in cryptocurrency.
My name is Daniyal jacob . And if you want to join our online paid earning courses, where we offer different programs, you can visit our website Daniyaljacob.com .
What is Cryptocurrency?
Let’s first talk about what cryptocurrency is, why it has so much hype, and why it’s being regulated in Pakistan now. Basically, cryptocurrency is a digital currency.
Unlike paper currency (the notes we use in hand to buy things), cryptocurrency exists in your mobile wallet. You can transfer it, make online payments, and you can also trade it. That means you can do business with it, earn profits, or face losses—both things are possible.
Coins in Cryptocurrency
Inside cryptocurrency, there are different coins. Just like the Pakistani currency has 500 and 1000 rupee notes, cryptocurrency has Bitcoin, Ethereum, and Altcoins.
For example:
- Bitcoin (BTC)
- Ethereum (ETH)
- Meme coins (like Dogecoin, Trump-themed coins)
- Many other altcoins such as ENA, etc.
You trade these coins by buying at a lower price and selling at a higher price.
Types of Trading in Crypto
There are two types of trading:
- Spot Trading – This is considered halal (permissible).
- Futures Trading – This is considered haram (impermissible).
Spot Trading means you simply buy coins and then sell them when their market price rises.
Futures Trading involves leverage (borrowing money from the exchange), predicting whether the market will go up or down. Since it involves uncertainty and fees resembling interest, most scholars say it is not allowed in Islam.
So, as beginners, we will only focus on spot trading.
Best Exchange for Trading
For trading, you need a crypto exchange. The best and most widely used exchange worldwide (and in Pakistan) is Binance.
On Binance, you:
- Create an account
- Complete KYC verification
- Deposit funds
- Start trading
How Much to Invest in Crypto?
This is the most important part—how much should you invest?
The rule is simple: only invest the amount you can afford to lose.
Example:
- If your salary is Rs. 30,000 and your monthly expenses are Rs. 25,000, you save Rs. 5,000.
- If losing Rs. 5,000 won’t disturb your life, you can invest that in crypto.
Most beginners make the mistake of investing too much, like Rs. 1–2 lakh in the beginning. That’s risky.
👉 I recommend starting with just $20 (around Rs. 5,000–6,000 PKR). Even $10 is fine to start learning.
Rule of 25%
Always follow the 25% rule:
- Never invest all your money at once in a single coin.
- Divide your capital and invest in parts.
Example: If you have $20, invest only $10 in one coin, and wait for market movements before investing the rest.
Buying in the Dip
If the market price goes down, never panic sell. Instead, buy more in the dip.
Example:
- You bought BTC at $95,000.
- It drops to $90,000. Don’t sell! Instead, buy more.
- If it falls further to $85,000, buy again.
This way, your average buying price decreases, and when the price rises again, you reach profit faster.
This strategy is called “buying the dip.”
Important Guidelines for Beginners
- Don’t quit your job or main business just for crypto.
- In the beginning, treat crypto as a side income, not a full-time career.
- With years of experience (3–4 years), you may consider it as a career, but even then, always have other income sources.
- Personally, I also do YouTube, freelancing, business, and other things alongside crypto.
Following News & Analysis
Crypto depends heavily on the market and global news. Always:
- Follow crypto news channels daily.
- Don’t invest blindly. Check whether the news is positive or negative for coins.
There are two types of analysis:
- Fundamental Analysis – Based on news, regulations, and global updates (most important).
- Technical Analysis – Based on price charts and patterns (less important for beginners).
Focus more on fundamentals in the beginning.
Final Words
To start your journey, I recommend using Binance Exchange. I personally use it too.
What is cryptocurrency?
Ans:Cryptocurrency is a digital currency that exists in your mobile wallet. Unlike paper money, it can be transferred online, used for payments, and traded for profit or loss.
What are crypto coins?
Ans:Just like rupees have notes of 500 or 1000, cryptocurrency has coins such as Bitcoin (BTC), Ethereum (ETH), Dogecoin (DOGE), and many other altcoins. Each coin has its own value and market.
What is the difference between Spot Trading and Futures Trading?
Ans:Spot Trading: You buy coins at a lower price and sell them at a higher price. This is considered halal.
Futures Trading: You borrow money from the exchange, predict market movements, and trade with leverage. This involves uncertainty and is considered haram in Islam.
Which is the best crypto exchange for beginners?
Ans:The most reliable and widely used exchange is Binance. It allows you to create an account, complete KYC, deposit funds, and start trading.
How much should I invest in cryptocurrency as a beginner?
Ans:Only invest the money you can afford to lose. A good starting point is $10–$20 (around Rs. 5,000–6,000 PKR).