There are many things to consider when making a first transition from investing in traditional wealth assets such as gold, to more modern ones like digital currencies such as Bitcoin.

Being informed of the major differences is highly important, so here are some beginner notes.

Key Differences:
The most significant ones are that traditional assets such as gold have a long history as a store of value, whereas digital currencies like Bitcoin have a much shorter track record as a new technology.

Gold is a tangible physical asset compared to Bitcoin (an intangible digital asset), and gold tends to have a relatively stable value over long periods of time while Bitcoin’s price has a much higher short-term volatility.

Risks and Benefits:
Crypto has global transferability on a 24/7 basis and potential for high returns, but also comes with cybersecurity threats, extreme price volatility and varying levels of regulatory uncertainty depending on territory.

How to Transition Smoothly:
There are several measures to make the first steps as seamless as possible. Starting small with an allocated percentage of your portfolio, thorough research and understanding of the tech and risks, use of reputable exchanges with strong security, and remaining informed and up-to-date are all essential.

Other Considerations:
There are also tax implications, so consulting with a tax professional who has experience with crypto is advisable, and maintaining a long-term outlook that involves periodic reviews based on your risk tolerance is also important.

The descriptions provided above are all based on publicly available information, and cannot be considered as financial advice or encouragement to invest. Sources of information used in this post include Investopedia. All transactions involving digital assets involve certain risks, which you should familiarize yourself with prior to any investment.