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Invest in THETA in 2022

Last updated 22nd Sep 2022
Disclosure

THETA is essentially software specifically developed to incentivize a network of computers to operate a decentralized video streaming platform. The main reason behind its development is that many centralized content delivery platforms cannot keep up with the increased demand for high-quality streams with their existing infrastructure. THETA was founded in 2017 by Mitch Liu, and THETA is the governance coin designed to help manage the blockchain, as well as its future development, while TFUEL is used for executing transactions.

If you are thinking about investing in THETA yourself, it is essential that you commit the time and research this project first. With all of that in mind, today we will discuss everything you need to know about THETA, from how it functions to the platforms through which you can invest in the coin.

Best way to invest in THETA in 2022

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What Is THETA?

THETA was created to allow a global pool of users to relay videos by offering their spare bandwidth and spare computing resources, where they are rewarded for doing so. As more users join this THETA network, more bandwidth becomes available. This in turn, improves the streaming quality of videos within the network and enables more efficient operation in the network as a whole.

THETA has two native cryptocurrency coins. The first is THETA, which is used to make votes on the changes to the protocol, and the other is TFUEL, which is used to execute transactions. THETA was first valued on January 24, 2018. Its price has increased more than 2947.67% since the coin was listed.

Pros

THETA utilizes the Multi-Level BFT Proof-of-Stake (PoS) consensus mechanism, which makes it more eco-friendly than Proof-of-Work (PoW) projects.
THETA has smart contract functionality, which facilitates reward distribution and collection.
THETA is supported by a solid team of developers and a solid community.

Cons

THETA is a relatively young project and has to prove its potential.
It has low liquidity.

How does THETA work?

THETA.tv is the network's streaming service, where users can view and post their videos. THETA as a network operates through three types of participants that handle each operation. There are the Enterprise Validator nodes, where companies that stake THETA coins have the right to process transactions on the network. You also have the guardians, users who perform work to ensure that the transaction blocks proposed by the enterprise validator nodes are accurate. Additionally, you have the edge node, where users that share their bandwidth get a return of TFUEL.

In terms of the consensus mechanism used here, THETA introduced its own form of Proof-of-Stake known as Multi-Level BFT. Here, the validator and the guardians can participate in the consensus mechanism, which adds an extra layer of security to the protocol, and they can also vote on changes.

Validator nodes have to stake 10,000,000 THETA coins, while guardian nodes only have to stake 100,000 THETA coins. The voting power is then determined by the amount of staked THETA coins. That said, the supply of THETA coins is limited to 1 billion.

Ways to buy THETA

If you decide to buy the THETA coin, you will essentially have full ownership over the THETA. You can use them for anything that you want, and it is recommended that you store them in an off-exchange wallet for the highest level of security. THETA can be bought using a variety of different methods.

The main methods to look for include exchanges, peer-to-peer (P2P) marketplaces, and in-person trading.

Cryptocurrency exchanges:

  • These are exchanges that will let you buy THETA coins within the open market. All you really need to do is find a cryptocurrency exchange that fully supports the THETA coin and has a high level of liquidity. Then you must analyze the fees and deposit methods, and you should be good to go.

Peer-to-Peer (P2P) marketplaces:

  • These are essentially marketplaces that directly connect you with sellers of the THETA coin. As long as there’s someone selling THETA, you can buy it in these markets through direct transactions with them.

In-person trading:

  • This is a payment process in which you arrange a meeting with THETA coin sellers at a physical location and transact on the spot after coming to an agreement regarding the price.

When you are ready to buy THETA, you follow a set of steps:

Step 1: Find a cryptocurrency exchange
Step 2: Confirm your identity
Step 3: Fund your account
Step 4: Buy your THETA coins

How to trade THETA

Alternatively, you can just trade THETA coins. This is essentially a type of investment in which you buy the underlying assets with the end goal of profiting, which is directly based on the market's movements. However, you do not have direct ownership over the THETA coins.

Your main strategy here is to buy the coin while it's at a lower market price and sell it when its value goes up.

You can utilize short-term and long-term trading. There are even advanced users who utilize margin and leverage trading strategies and even set entry orders, stop losses, profit-limit orders, or utilize other risk-management methods.

You can trade THETA through a cryptocurrency brokerage.

This is the go-to option for a lot of beginners as the process itself is streamlined tremendously through a simple-to-use user interface.

To trade THETA you must follow a different set of steps, and we are here to guide you throughout each one.

Step 1: Find a broker
Step 2: Verify your account
Step 3: Fund your account
Step 4: Choose your trade
Step 5: Buy the THETA assets

Is it safe to invest in Theta right now?

If you buy THETA on a reputable platform, one which has security measurements in place, a solid community behind it, and some level of insurance, you should be safe.

You can even check to see if the platform stores their crypto in cold storage devices for the highest level of security.

However, you must keep in mind that cryptocurrencies are popular targets of hackers, scammers, and other cybercriminals.

To keep yourself and your cryptocurrency as protected as possible, you must follow some steps, including:

Step 1: Enable Two-Factor Authentication (2FA)
Step 2: Research Common Scam Types
Step 3: Read Platform Reviews
Step 4: Store Your Coins in a Private Wallet
Step 5: Be Careful Where You Request Assistance
Amala Pillai

Amala Pillai

Amala is custom content and news editor based in London. She is a former financial journalist based in Singapore with 7 years of experience covering a range of business and financial topics. Now she focuses on crypto and macro-economics. She has also covered feature profiles, tech, business politics and ESG— she was the Environment Editor for the Solutions Newspaper, 2016 and worked in an editorial capacity at both News corp (Dow Jones) and JBN. She also has experience as a content creator, strategist and brand editor for various financial institutions and banks.