What are common risks involved in crypto?

[taufik123]

-snip-
It is better for every cryptocurrency investor to first make researches about what they are investing in, read lots of contents on cryptocurrency, best wallet to store your earnings and cyber security tips. Don't stop reading and asking questions because ignorance is very risky.

Yes, every beginner investor should implement this kind of thing to keep their investment safe.
After all, the crypto market is risky and unpredictable.
Many dangers will threaten the assets we have, and even professional people are not spared from these dangers.

See how people who have been in crypto for a long time lose their money very easily in crypto due to hacking.

[labid846]

The common risks in crypto is lacks concrete financial metrics ,making valuation ambiguous , some  common risks , regulatory risks, volatility complexity risks ,liquidity risks , market, black mailing  scams, security, fake crypto exchanges , operational risks and many more.

[Ember madison]

 Common risks in cryptocurrency include market volatility, security vulnerabilities leading to hacking and theft, regulatory uncertainty, liquidity issues, technology flaws, adoption challenges, operational disruptions, scam and fraud schemes, and the risk of losing access to funds. It's crucial for investors to understand and manage these risks effectively when participating in the cryptocurrency market.

[Sevi]

There's a lot of common risk involved in crypto maybe include the market volatility, fake crypto exchange, regulatory supplies, adoption challenges and those risk lets be consider.

[erus]

The general risk in cryptocurrency is our own responsibility because I am sure that looking at how cryptocurrency works, it is absolutely all within ourselves, losing money or being hacked will all be up to ourselves.
Not to mention the very rapid rise and fall in prices and this means that we will definitely experience a decline in portfolio and that is absolutely within our own control.

[Bhigdaddyjr]

As you become involved in the new digital monetary system known as cryptocurrency, it doesn't take long to recognize there's risk involved in these transactions.
Many investors today had faced many challenges as a result of their ignorance of the cyber thefts. And most are not willing to share their ugly experiences from thier omen. Of which I have experienced during my short stay as an investor.
      Here are some common risks one could encounter during their process of stay in the crypto and Blockchain ecosystem.

1. As the world globally grow everyday digitally, so is the brain of a good scammer, here some scammers send you some email and it appears exactly as tho it was sent by a legitimate crypto currency company,.. don't be in a haste to invest with them, don't even try to click on the links in their message, try check if the logo of the company is identical and there's no slight difference or better still confirm from the help centers of the particular Blockchain using their websites.

2. What wallets do you use to store up your treasure?
So many fake wallets are in existence today, and these apps were created by scammers as a trap to withdraw every single coin you have stored into it. Watch the type of DExs of CExs wallets you use to store up your coins.

There are so many others everywhere, feel free to share some to get everyone especially the newbies aware of them and how not to fall for them. Thank you..

The value of a cryptocurrency might fluctuate greatly and continuously. A thousand dollars' worth of investment now might only be worth a hundred dollars tomorrow. There's no assurance that the value will climb again if it drops. Cryptocurrencies are not a risk-free investment because of anything.

[bayu7adi]

The value of a cryptocurrency might fluctuate greatly and continuously. A thousand dollars' worth of investment now might only be worth a hundred dollars tomorrow. There's no assurance that the value will climb again if it drops. Cryptocurrencies are not a risk-free investment because of anything.

Hmmm... that is indeed a risk too, but it is a risk from the market, not a risk from the existence of cryptocurrency in general.. what I mean is that with cryptocurrency, someone could experience losses or become a victim of crime... be it fraud, or hacking... this is a more general risk regarding cryptocurrency without linking to market conditions or investment.

Some suggestions that might need to be considered are, when you find out that your important data has been hacked, it means that there is something unsafe for everything around you... whether the device you are using has been hacked, or maybe someone close to you is trying to do something to your property... so, make sure not to interact too often with your sensitive data on the internet, it is really something dangerous.

[albon]

For new crypto users, the amount of such risk will be high. Investing in cryptocurrencies may seem attractive to new investors who want to make easy profits with little risk. However the simple investments in cryptocurrencies can be high in risk. Many have profited even become millionaires from investing in cryptocurrencies, but the volume of that story is small. I think most newbies are more prone to scamming in crypto. Since there is no regulatory authority for cryptocurrencies, many new investors fall into scams and lose everything.

[Doovla]

At the beginning, I was looking for popular wallets, exactly as they are presented, with of course a search about them before I start using them, however, it turned out to be quite easy for hackers, they waited and managed to steal from me. Now I am in what is the choice of a smaller wallet that is enough to be an extension to the Internet browser, I have been using it longer than the stolen one that works and functions at such a good level of security. There is a risk in sending and receiving both from the wallet and from any exchange office, but the problem is in the wallet, which is marked for theft by them.

[Dzwaafu11]

I don't know why some people don't first try to analyze the risk involved in cryptocurrency before going into it, they most especially use to have a different perception far from what the digital network is all about, another thing is that they don't also make research on any crypto before investment, i don't know maybe its all about their laziness or the way they least place value on their crypto asset.

Exactly, and this is the reason why many people get scammed or lose their money in the name of investment because they lack the knowledge of how the coin they invested works; they don’t care to know the fact that about that coin all they want is profit from their investment; they forget that it won’t work that way.

However, this is not laziness but the way they least value things, even when they know that this is crypto and everything can happen to your money if you try any careless move. They don’t care how it goes; all they want is to make money. 

[Hyphen(-)]

I don't know why some people don't first try to analyze the risk involved in cryptocurrency before going into it, they most especially use to have a different perception far from what the digital network is all about, another thing is that they don't also make research on any crypto before investment, i don't know maybe its all about their laziness or the way they least place value on their crypto asset.

Exactly, and this is the reason why many people get scammed or lose their money in the name of investment because they lack the knowledge of how the coin they invested works; they don’t care to know the fact that about that coin all they want is profit from their investment; they forget that it won’t work that way.

However, this is not laziness but the way they least value things, even when they know that this is crypto and everything can happen to your money if you try any careless move. They don’t care how it goes; all they want is to make money.

Falling victim of such scam is common for beginners who are very lazy to learn or do research about cryptocurrency. Sometimes, FOMO is another cause of getting scammed or losing money in cryptocurrency because most of our newbies are after quick profit, and they will be after what any coin that is trending, and they will just invest in the coin regardless of the outcome, they don't care about doing research on any project, which is very wrong.
For newbies with the aim of getting quick money, they should consider learning crypto trading tat they can gain always if they have good knowledge and great strategy.

[bitterguy28]

However, this is not laziness but the way they least value things, even when they know that this is crypto and everything can happen to your money if you try any careless move. They don’t care how it goes; all they want is to make money.

it’s still both laziness and greed imo

they are so greedy and want to get rich quickly i mean who doesn’t but these people are so desperate to get money but too lazy to actually put in the effort of learning people seem to think that money grows on trees or falls from the sky

there is no easy money and if you are too lazy to make hard work then don’t even expect to get rich

[TomPluz]

For new crypto users, the amount of such risk will be high. Investing in cryptocurrencies may seem attractive to new investors who want to make easy profits with little risk. However the simple investments in cryptocurrencies can be high in risk. Many have profited even become millionaires from investing in cryptocurrencies, but the volume of that story is small.

New users will usually look at the potential profit and not the possible risks hence we have new investors who lost money with memecoins that they think will soar in value but instead went to grave. Yes, only a small percentage of investors with risky new coins do make big money and since they are making headlines more and more new investors are thinking they can experience the same. There are many opportunities in the cryptocurrency market but at the same time there will always be big risks involved especially if one is not really careful...there are so many scams and frauds going around aside from possible hack one may experience in one's wallet. Right now, we are still in the Wild Wild West era of cryptocurrency so one must educate himself to separate the wheat from the chaff. With one has experienced being scammed, one will surely learn a lot.

[Faisal2202]

New users will usually look at the potential profit and not the possible risks hence we have new investors who lost money with memecoins that they think will soar in value but instead went to grave. Yes, only a small percentage of investors with risky new coins do make big money and since they are making headlines more and more new investors are thinking they can experience the same. There are many opportunities in the cryptocurrency market but at the same time there will always be big risks involved especially if one is not really careful...there are so many scams and frauds going around aside from possible hack one may experience in one's wallet. Right now, we are still in the Wild Wild West era of cryptocurrency so one must educate himself to separate the wheat from the chaff. With one has experienced being scammed, one will surely learn a lot.

You said well, we must have enough knowledge that we could separate the wheat from the chaff, as it doesn't ensure you will be safe from hacks and scams as only we will be responsible for our mistakes, like if we click on some spam link even have the necessary knowledge, but in hurry, we clicked on it or downloaded some pirated or malicious program on our device can also lead to such scams.

The era of crypto at the moment is so wild that hackers hack the accounts of celebrities and they share some news about "Investing in some X coin" that X coins go high and the scammers rug pull the X project when getting enough liquidity or they ask followers to connect their wallets to receive some NFT (like happened with Vitalik's account).

[Gurujebs]

For new crypto users, the amount of such risk will be high. Investing in cryptocurrencies may seem attractive to new investors who want to make easy profits with little risk. However the simple investments in cryptocurrencies can be high in risk. Many have profited even become millionaires from investing in cryptocurrencies, but the volume of that story is small. I think most newbies are more prone to scamming in crypto. Since there is no regulatory authority for cryptocurrencies, many new investors fall into scams and lose everything.

For the newbies, I agree with what you said because newbies loves to hear crypto that gives crazy profits, they are obsessed with any coin that can make them millionaires and that's why you see them hanging around altcoins all the time, they just want to make money and in the process of making the money, they invest into something that is very bad.

Now that crypto is full of meme trends, rate at which people are losing money into meme is crazy because the profits some of them has made for some people is unbelievable just for buying meme coins but that doesn't mean if another person tried it meme coin investment is going to work