Should I Invest in NEO Cryptocurrency?

Many crypto investors around the globe(mostly from China) have already been starting to invest in NEO cryptocurrency. If you do not know what NEO is, then this article is going to be for you. We will be explaining to you what NEO is and how it works. At the same time, we will also share with you why investors want to purchase NEO cryptocurrency and what options you have in buying NEO cryptocurrency.

Disclaimer: All the information in this guide should be considered as educational content and not financial advice. We are not responsible for any action you make following this guide or the things written in it.

What is the current price of NEO cryptocurrency

Below is the table that shares all actual data of the NEO cryptocurrency. First and foremost, it will give you the actual price(updated once every 24 hours), also it will give you some extra specifics about the network including total market cap and circulation supply of coins.

Actual NEO price(24 hours)

NEO price	$8.47(0.22%)
Total market cap	$597,565,730
Circulating supply of coins	70,538,831 NEO
Maximum supply of coins	100,000,000 NEO
CMC ranking	63

*CMC ranking: Ranking of the NEO project on Coinmarketcap website

What is the NEO cryptocurrency?

The NEO cryptocurrency is one of the largest virtual currencies in the world. Launched in 2014 as AntShares, the digital currency changed its name to NEO in 2017. This cryptocurrency is attracting a larger number of investors in 2024 as new developments take place on the network.

Da HongFei and Erik Zhang, the founder of the NEO cryptocurrency aim at creating the so-called “smart economy” using blockchain technology and virtual currencies. NEO was able to attract a large number of projects, mostly from China.

Although most of its development is currently taking place in China – it is also known as the Chinese Ethereum – the name of the cryptocurrency, NEO, makes reference to the fictional character of The Matrix science fiction action film from the United States.

NEO aims at offering better solutions for crypto projects and developers than Ethereum, Cardano (ADA) and Tron (TRX), among other blockchain networks in the market. This is one of the reasons why many traders are considering to invest in NEO cryptocurrency.

What is NEO Cryptocurrency used for?

The NEO cryptocurrency can be used for a wide range of things. Users can invest in NEO cryptocurrency and speculate with its price. As reported by CoinMarketCap, NEO registered an all-time high in early 2018 when its price skyrocketed to $194 per coin.

Using the NEO network, developers and firms can automate their processes and make the management of their assets more efficient. The NEO cryptocurrency can also be used to send and receive payments in the NEO smart economy. This is why we can consider NEO the digital asset that powers the Smart Economy of blockchain technology and smart contracts.

It is worth mentioning that developers can easily tie tokens to real-world identities and helping firms be compliant with their KYC and AML regulations. This is specifically true for the Chinese market where the government has large control over the population. NEO is one of the few crypto projects allowed to operate in China.

Is NEO Dead Crypto?

NEO is currently the 19th largest cryptocurrency. With more than 7,000 digital assets released all over the world, reaching the 19th position gives recognition to NEO. Since it was released to the market through an Initial Coin Offering (ICO), NEO registered an ROI of over 9,000%. That means that this is not a dead crypto. Nonetheless, it is worth mentioning the virtual currency is still over 90% down from its all-time high.

There are several altcoins that were not able to recover from their all-time highs after falling during the last few years. Other ICO tokens and projects have already died and NEO remains as the 19th largest virtual currency in the world. Thus, this shows a large number of market participants buy NEO cryptocurrency as an investment.

Is NEO Cryptocurrency a Good Investment?

As we are not financial advisors and all the content should be considered for educational purposes we cannot give you a direct answer. The NEO cryptocurrency could be considered a good investment if you were lucky enough to buy when its price was low (close to its ICO or before the 2017 bull run).

There are many positive developments that are taking place on the NEO network that make us think that it may be possible for the virtual currency to continue expanding in the future. If you are wondering whether to purchase the NEO cryptocurrency remember to never invest more than what you are able to lose and to ask information to your professional financial advisor.

At current prices, NEO still has a growth potential of over 935% if it wants to reach its all-time high from January 2018. Nevertheless, we cannot affirm this is going to happen. Trading digital assets is a risky activity that must be done carefully.

Will NEO Go Up?

As we have mentioned in the previous point, we cannot be sure about what will happen with NEO in the future. If you buy NEO cryptocurrency or you invest in NEO cryptocurrency, take into consideration that your funds are at risk.

If a bull market starts for the whole crypto ecosystem, then we could suppose NEO would follow the trend. Nevertheless, if the market falls as it has happened in recent weeks, then it may be somehow more difficult for NEO to go up.

Who Owns NEO?

NEO, as most of the blockchain networks around the world, is a decentralized cryptocurrency that has no single owner. There are large holders and companies with a large stake in the NEO ecosystem, however, the network is not centralized.

NEO is owned by all the users and investors that purchase NEO cryptocurrency. NEO holders are the real owners of the network and the virtual currency. Thus, if you hold NEO you can be considered part of the NEO ecosystem and a small owner of the network.

Despite that, a large number of NEO holders and companies working on this network are operating from China. This is one of the main critics that this digital asset and blockchain network receives from the media.

How Can I Invest in NEO?

There are different ways to invest in NEO cryptocurrency. You can do so by opening an account in a cryptocurrency exchange, depositing funds, and exchanging them for NEO. Another way to acquire NEO is by buying it from another person that holds it. If your friend is holding NEO, you can then easily buy it from him with cash, a bank transfer, or in any way you’d like.

There are different exchanges that are now supporting NEO and that will allow users to get access to this popular cryptocurrency.

Is NEO on Coinbase?

At the time of writing this article, NEO is not on Coinbase. However, there are many other exchanges all over the world that would allow you to buy NEO cryptocurrency. There is no information on why Coinbase is not allowing users to acquire NEO using this platform.

What is NEO Gas?

The NEO ecosystem is powered by a two-token scheme in which both the NEO digital asset and the GAS virtual currency play an important role for developers and companies using the network.

GAS is a cryptocurrency that is distributed to users that hold NEO cryptocurrency in their wallets. GAS is necessary to power transactions of NEO tokens. That means that if you want to send NEO, you will need to have some GAS.

This is similar to how Ethereum works. While Ethereum works with ETH, NEO works with GAS. If you want to send Ethereum, you will have to pay a small amount of ETH to process the transfer. The same happens with NEO but instead of using a small part of the NEO digital asset, it is necessary to use GAS.

How do I Get NEO Gas?

If you want to get NEO GAS, you will have to buy it in some exchanges – yes some platforms are selling GAS to users. Another way to get GAS is by holding and staking your NEO coins.

This could be a great way to invest in NEO cryptocurrency. You can earn GAS passive income with your NEO coins if you hold a relatively large portion of coins. This could be a great strategy to diversify your portfolio in the crypto market.

Can You Mine NEO?

The answer to this question is no. You cannot mine NEO tokens, even if you want to do so, the NEO ecosystem does not work with a Proof-of-Stake (PoS) consensus algorithm. NEO works with a dBFT (Delegated Byzantine Fault Tolerant) algorithm that aims at making transactions and the whole operations on the NEO network much more efficient than using Bitcoin (BTC), which is based on a PoW consensus algorithm.

You can hold NEO and get rewarded in GAS tokens for your effort in helping the network. Thus, you will not have to be worried about acquiring NEO mining equipment, computers, or any other material to mine NEO. It is simply not possible.

Why Should I Invest in NEO?

Besides the bold ambitions of the founders of this project by challenging Ethereum, are there any fundamentals-based upon this? In other words, what are the reasons for me as an investor to buy NEO cryptocurrency?

Notably, below I’ll give 3 reasons why investing in NEO will be a good idea, however, I’ll also encourage you to do your research as well!

Reasons to invest in NEO cryptocurrency

1. The maximum supply of NEO tokens – ‘Only’ 100.000.000 NEO tokens will ever come into circulation which is quite low. For example, Ethereum(ETH) has already 110.000.000 ETH in circulation and will continue to expand in the years to come. Also, it’s good to know that only 50% of these NEO tokens will ever be available for trading. The other 50% is owned by the NEO Council(the long term HOLDERS of NEO cryptocurrency).
2. NEO project is well funded – Back in 2016, when the ICO was launched, a total of 6119 BTC was being raised which is valued at $267 million at current BTC price($43500). Moreover, this kind of funds will give the team decent ammunition to deal with all technical issues being around.
3. Excellent technological foundation – With the launch of NEO3 later on in 2024, a ‘full-package’ blockchain network will de released. Additionally, this launch will have all essential parts; including oracles, decentralized storage(IPFS), and a decentralized identity solution. More on this here.

Should I Invest in NEO: Cryptocurrency wallets

As explained above, the NEO blockchain as a network is considerred reliable and secure, however, it’s wise to take some additional measures to protect yourself. For instance, when your consider buying Litecoin on an cryptocurrency exchange don’t leave it there. Instead, withdraw the funds to your local wallet on mobile or desktop or even better on a hardware device that can be taken offline immediately. How does this work?

Hardware wallet

The safest way to invest in NEO cryptocurrency is to store your crypto on a hardware wallet. So why do you need a hardware wallet? First, let me explain what a hardware wallet exactly is. To keep your private key safe, there are currently two options: software wallets and hardware wallets. The definition of a hardware wallet :

“A hardware wallet is a special type of cryptocurrency wallet which stores the user’s private keys in a secure hardware device. They have major advantages over standard software wallets: private keys are often stored in a protected area of a microcontroller, and cannot be transferred out of the device in plaintext.”

In other words, a hardware wallet stores your private keys offline on a device that is disconnected from the internet.

To keep your NEO private keys safe I’ll advise you to use the Ledger Nano hardware devices. Below an example of Ledger Nano X.

Invest in NEO: Buy NEO cryptocurrency with Credit card

Finally, if you have decided to make a NEO investment, the next step would be actually buying NEO with a credit card. At the time of writing acquiring NEO with fiat currency is a lot easier compared with the early days of Bitcoin. Also, it totally depends on what kind of investor you are, but in general, there are two options.

Option 1: Buy NEO at a cryptocurrency exchange

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This is the most common option in the process of buying new NEO crypto as an investment. Moreover, with this option, you don’t need to own a cryptocurrency wallet, because this platform will generate one for you. At first glance, this sounds very tempting because you don’t have to set-up your own wallet and store your private keys(explained above).

However, most cryptocurrency enthusiasts don’t like this option because you don’t really own the NEO as the private keys are managed at the platform. This is a very fundamental issue and therefore many crypto investors favor the option to lock down their own private keys. Of course, if you are a trader and want to buy and sell, a centralized platform offers value. In fact, to be safe from hackers I would advise you to use Kucoin(US residents!) because of their easy signup rules and overall liquidity. Also, if you are not from the US and still favor an exchange above setting up your hardware wallet, Binance cryptocurrency exchange will do fine as well.

Option 2: Buy NEO without a centralized exchange

Another option in investing in NEO cryptocurrency is at a platform that doesn’t store your private keys after the purchase. In other words, buying at these platforms is only possible if you already own a cryptocurrency wallet. As explained above there are a lot of crypto investors that favor this option to be in full control over their assets. Besides, buying at a centralized cryptocurrency exchange could be limited to certain countries.

However, if you want to invest in NEO at platforms like Coinswitch or Changelly you can do it from anywhere in the world. Additionally, this doesn’t only go for buying NEO or any other crypto. For instance, it’s also possible to sell NEO and receive money by SEPA or SWIFT.

Conclusion

To enumerate, now that we have given you an answer in the question “Should I invest in NEO”, you are maybe the proud owner of some NEO cryptocurrency, so what’s next?

As a ‘Bitcoin veteran’ in this new and growing industry, we would advise you to never sell for fiat-currency(if possible). Moreover, over the years Bitcoin and also NEO have witnessed many boom-bust cycles but overall the trend has always been upwards. Also, in the future, it’s a big chance that cryptocurrencies are a way to acquire goods and services online. Therefore, the need to sell(or convert back) to fiat currencies like USD and EUR will become less necessary.