Benefits and risks of investing in cryptocurrencies

[Celph]

Before investing in cryptocurrencies and making investment decisions,i think it's important to be aware of both the benefits attached while investing in cryptocurrencies and the risks involved while investing in cryptocurrencies also.
Cryptocurrencies likewise other investments and bussiness brings benefit and good profits as well but alot of risks are also attached.All investments are risk attached,your bussiness might fall,or it might boom positively as well.
Crypto investing is basically for:
•Risk-takers
•Long term thinkers
•Block chain enthusiasists among others..
   When an investor can't meet up with any of this,it is literally advisable not to engage yourself in crypto or invest in crypto.know that losses are also inevitable It is not a fully safe haven unless you make it one.

The benefits and the advantages which are the joy of investing in cryptocurrencies are:
•Huge returns i.e profit maximisation is high.(If you time it right)
•There is limited supply which can literally drive up demand.Take for example bitcoin with an average supply of 21 million Bitcoins..this basically drives up demand.
•Fast and efficient global transactions which means you can send and receive money and assets without the use of intermediaries and the rest among others...
This alone are little of the benefits involved in investing in cryptocurrencies.
Some risks involved while investing in cryptocurrencies are:
•Loss is inevitable:Else you make the right investment choices,loss is basically inevitable.
•Theft:Loosing private keys or password can result in irreversible losses .
•Security risks:Wallets,exchanges and transactions are basically vulnerable to hacking.
•Volatility:Markets basically fluctuates rapidly and losses might be made.
This are some of the risk involved in investing in Bitcoin among others.

Anyways,there are also some ways you can mitigate this risks such as:
-Diversification.
-Investing what you can afford to loose
-Making researches and having due intelligence.
-Staying informed and alot more.

It is also advisable that before investing,it is important to ,
Understand blockchain technologies,
Research cryptocurrencies
Consult financial advisors..and also,
Set clear goals.

Remember, investing in cryptocurrencies carries and pertains risks..Therefore,educate yourself and invest responsibly.
Stay safe comrades.

[Sim_card]

You don't need a financial adviser for you to be able to invest in bitcoin, and become a long-term hodler. I will say that newbies should focus only on investing in bitcoin, and hodli for long because that's the best way to limit the risk of investing in bitcoin and make profit in the long run. The reason is that bitcoin price increases overtime. Investing in altcoins or staking your bitcoin is a very risky move, so avoid such and don't trade when you don't understand much about it. If you must diversify, let it be to a different investment that is not cryptocurrency.

[Hinata]

Because there is risk and loses in cryptocurrency doesn't mean you can't go into cryptocurrency. There are risk management plan that can help you thrive in the market.
 There is much excitement in profit making in cryptocurrency so as pain when loses occur. But this is why when going into  cryptocurrency it is advisable to be mentally prepared for the bad days cause they would definitely come. I always say invest what you can afford to lose in crypto so this won't have a severe impact on your financial status also buy more when the market is bad so when the market bounces back you are definitely getting more 

[Bobcrypto]

You don't need a financial adviser for you to be able to invest in bitcoin, and become a long-term hodler. I will say that newbies should focus only on investing in bitcoin, and hodli for long because that's the best way to limit the risk of investing in bitcoin and make profit in the long run. The reason is that bitcoin price increases overtime. Investing in altcoins or staking your bitcoin is a very risky move, so avoid such and don't trade when you don't understand much about it. If you must diversify, let it be to a different investment that is not cryptocurrency.

You have well spoken, newbie investors should start their investment on Bitcoin because Bitcoin has a long term  potential to rise on the long term.
Now some of the advantages of Bitcoin is as as follow:
1. Scarcity, the total supply of Bitcoin is 21 million, there is already about 19 million mined, and the current circulating supply is about the same figure. Scarcity drives demand, and an increase in demand will always increase prices over times.

2. Decentralized, the concept of Bitcoin is decentralization, that is, no Centra authority controls it existence, it is completely driven by the community.

3.Demand/ supply, because the total number of Bitcoin that must exist is 21 million, if this number is fully mined and distributed over times, the demand for Bitcoin will rise in near future, and that will cause a higher demand with a potential price increase because there is minimal supply.

[Celph]

Because there is risk and loses in cryptocurrency doesn't mean you can't go into cryptocurrency. There are risk management plan that can help you thrive in the market.
 There is much excitement in profit making in cryptocurrency so as pain when loses occur. But this is why when going into  cryptocurrency it is advisable to be mentally prepared for the bad days cause they would definitely come. I always say invest what you can afford to lose in crypto so this won't have a severe impact on your financial status also buy more when the market is bad so when the market bounces back you are definitely getting more 

Topic tittled benefits and risks of investing in cryptocurrencies do not pose as a means to shy away investors and newbies from investing in crypto at all for the sole reason that there are risks attached while investing in crypto.
The main point is trying to make investors and newbies mostly aware that there are  alot of benefits and risks while investing in cryptocurrencies.
This is meant to create an awareness,not shy away investors or newbies.
Stay safe.

[MUGNIA]

As we know, all investments have risks and require in-depth research, especially crypto, if we take the wrong steps, our money will be lost without a trace, seeing the benefits of crypto is indeed good but it takes enough time to get the benefits, it's actually not instant,
I agree with you if we want to invest in crypto at least we look for data, information first, don't just follow fomo and temporary trends that are misleading in my opinion

[0t3p0t]

You don't need a financial adviser for you to be able to invest in bitcoin, and become a long-term hodler. I will say that newbies should focus only on investing in bitcoin, and hodli for long because that's the best way to limit the risk of investing in bitcoin and make profit in the long run. The reason is that bitcoin price increases overtime. Investing in altcoins or staking your bitcoin is a very risky move, so avoid such and don't trade when you don't understand much about it. If you must diversify, let it be to a different investment that is not cryptocurrency.

I agree, newcomers to crypto just think it is the easiest investment as they indiscriminately buy everything without even thinking once about the use case of the said coin. For me it is all good to invest in Altcoins as long as you better understand what you are doing. It needs time to get all necessary knowledge and ideas about crypto and became profitable with it.

[Hatchy]

Literally all investment comes with a risk and so cryptocurrency is as well inclusive. Ome thing that anyone should know about an investment plane before taking action is his profits and loss that comes along side the investment.. yes cryptocurrency can be risky due to its high volatility but most times why people do loss in crypto is their inability to minimize their risk and store their coins properly. Most people don't actually know how to properly store their coins, which is one risk any cryptocurrency investor should be aware of.

[yhiaali3]

In any investment, whether crypto or otherwise, there are gains and risks, but some investments have gains that outweigh the risks and some have the opposite, so the decision is ultimately up to the investor to enter into the investment that suits him.

In general, any investor must have risk management so that he studies the ratios of potential risks to potential gains and makes the right decision on this basis, otherwise he will inevitably face very bad results for his investment that may lead to the loss of his money.

[TomPluz]

Remember, investing in cryptocurrencies carries and pertains risks. Therefore, educate yourself and invest responsibly.
Stay safe...

Actually, investing on anything can be risky and this risk is very much magnified in the cryptocurrency market since this is still relatively new and there are things that still resemble the idea of the Wild, Wild West. Now, the other side of risks can be the possible rewards presented by opportunities which can be found anywhere here...just like the gold rush experienced in the past eras of humanity. to contain and minimize the real risks on our face, we have to learn, to be educated because knowledge and information can be powerful allies as we are wading in this expanding industry. We also have to be safe by making sure we can recognized possible red flags so we will never be scammed and be victimized by evil people who are taking residence in the crypto paradise.

[bayu7adi]

You don't need a financial adviser for you to be able to invest in bitcoin, and become a long-term hodler. I will say that newbies should focus only on investing in bitcoin, and hodli for long because that's the best way to limit the risk of investing in bitcoin and make profit in the long run. The reason is that bitcoin price increases overtime. Investing in altcoins or staking your bitcoin is a very risky move, so avoid such and don't trade when you don't understand much about it. If you must diversify, let it be to a different investment that is not cryptocurrency.

it's just a suggestion and not a primary requirement... considering the position of a financial advisor or perhaps a professional investor is usually also important in giving advice to newbies... that's what makes a newbie grow faster, if there is no financial advisor or professional investor, the newbie will still run, but in a longer time because he will go through more failures before reaching a point that makes him more settled.

even though it's a simple decision, like holding only... it still requires advice from a professional, right? because even holding can put us in a state of loss if it turns out that we are late in making a decision.

[Hatchy]

it still requires advice from a professional, right? because even holding can put us in a state of loss if it turns out that we are late in making a decision.

Sometimes it's best to do research on your own and so that you will not end up learning the wrong thing from some who calls himself a gig but actually just wants to take peoples money. There's nothing wrong in having one but you still have to go out on your own to pursue your target. Again some people get into more risk by purchasing some shit coins as give to them by their advisor, more reasons why you don't need them. Cryptocurrency is risky but it becomes safer when you know the right thing to do.

[Baki202]

As we know, all investments have risks and require in-depth research, especially crypto, if we take the wrong steps, our money will be lost without a trace, seeing the benefits of crypto is indeed good but it takes enough time to get the benefits, it's actually not instant,
I agree with you if we want to invest in crypto at least we look for data, information first, don't just follow fomo and temporary trends that are misleading in my opinion

Entrepreneurship is the process of investing, launching and running a business venture it involves risk, investment, profit and loss and cryptocurrency can be related to that. Crypto involves investment and there can't be investment without risk; every wrong risk is a loss and once you're making the right steps it's a benefit which account to profit.
As we all know the number one benefit of cryptocurrency is decentralization, the fact that the crypto currency is not regulated by anyone and it operates independently is like a big time benefit in this platform. The lower transactional cost is another benefit of cryptocurrency, the cryptocurrency often have lesser and lower fees than financial institutions or systems especially for international transactions. Cryptocurrency has one of the fastest speed of transfer which can be processed within minutes both international or across the borders. These benefits have led to crypto currency being reliable and a significant focus of innovation in finance and technology.

Cryptocurrencies carry several risks that can impact investors, users, and the broader financial system. Cryptocurrencies are highly volatile, with values fluctuating drastically over short periods. This can result in losses for investors. While block chain technology is generally secure, individual users and exchanges can be hacked. If a wallet is compromised, it is almost impossible to recover the funds. Although the acceptance of cryptocurrency has grown, it is still not universally accepted for goods and services and it hasn't been accepted in some countries. This limits its practical use and liquidity in the everyday economy. These risk makes it essential for individuals to approach cryptocurrency with caution, education and adequate knowledge of what cryptocurrency is all about before making investments and adopting it's use.

[bitcoin-shark]

The risks in investing in the world of crypto are more or less the same as investing in forex or any other sector, however the benefits in my opinion are greater because the crypto market is truly volatile, unstable and large profits can be made, and then there is more privacy, fewer controls, more freedom of movement

[Asiska02]

You don't need a financial adviser for you to be able to invest in bitcoin, and become a long-term hodler. I will say that newbies should focus only on investing in bitcoin, and hodli for long because that's the best way to limit the risk of investing in bitcoin and make profit in the long run. The reason is that bitcoin price increases overtime. Investing in altcoins or staking your bitcoin is a very risky move, so avoid such and don't trade when you don't understand much about it. If you must diversify, let it be to a different investment that is not cryptocurrency.

Newbies most times are been given some wrong information or maybe an information that is true but passed to them in the wrong way. Telling them that cryptocurrency is a get rich quick scheme and if they focus more on bitcoin, they may not have that big money they wish for when they joined the crypto market. Bitcoin is a very powerful cryptocurrency than any other crypto and it’s the best they can have their investment on with minimal risk as compared to the big risk experienced by many other cryptocurrencies. They can get rich through cryptocurrency but if they have the wrong information and invested into the wrong coin, they’ll have a very big loss in their investment. Knowledge and understanding it are very important in crypto and if you fail to honour and work on that, you’ll lose big and hate having investing in crypto in the first place.