When investing, you need some handy tools to track your progress. Traditionally, this has been the spreadsheet. A versatile tool that evolved. When looking at current spreadsheet functionality, it is possible to even add real-time stock data through a function. However, it also comes with major limitations. For example, when you have new transactions or dividend payments, this is not automatically reflected. You need to manually enter it into the spreadsheet. This brings us to the question: are there more innovative ways to track all your assets?
Stock tracking technology
If you are investing, you probably have multiple brokers that you are using. With a stock tracker application, you can combine all those holdings in a single overview. Using Application Programming Interfaces (APIs), you can select the brokers you are working with. The information is then shared securely and safe using protocols defined by the broker. This allows for a real-time overview of the holdings across brokers, and also reflects changes due to dividend payments and transactions.
Tracking other asset groups such as cryptocurrency
Not only does such a tracker application include stocks, but it also includes crypto. You can integrate your crypto holdings using the Public Key of your wallets. This is the preferred method, as you can continue to stake and participate in consensus mechanisms. It is also a safe method: none of your private or secure information is shared, it only uses publicly available information to show you the value of your holdings.
Keeping holdings in wallets is safe
Using wallets and a crypto tracker is preferred as you have your holdings secure in your wallet. In contrast, when you have your holdings inside an exchange they belong to the exchange. When looking at the blockchain, the owner is the exchange which then allocates a portion of it to you in their database. Thus, when funds get stolen or the exchange hacked, you lose your holdings. This is also what happened to the Japanese exchange Mt. Gox.
Grow the portfolio
Not only are wallets safer, but they also provide you with the opportunity to grow your holdings. There are two potential ways to do so: staking and consensus participation. Many wallets nowadays offer the option of staking. This means that you lend out (part of) your holdings to other wallet owners and earn a yield on it, similar to a bank. If you prefer a safer option, you can also grow your portfolio through consensus. By validating transactions (e.g., in a Proof of Stake environment), you get a reward that is added to your wallet. This is also automatically reflected in your tracker.
Learn more about stock tracking
Do you want to learn more about stock tracking? There are many applications out there you could check out. A good example is a leader in the field, Delta.app. This application allows you to combine all sorts of asset types, and even integrates directly with brokers and Public Keys. They also show the transaction fees that apply to a specific stock, which allows you to show the best broker.
Thanks for reading this article. If you're new here, why don't you subscribe for regular updates via RSS feed or via email. You can also subscribe by following @techsling on Twitter or becoming our fan on Facebook. Thanks for visiting!
