Possibly, you would be hating everything crypto by now if you had invested in it at the wrong time or followed the news and trendings because you might have made a huge loss. You must have heard the common fallacy that crypto can make you a millionaire overnight and bought in the idea, yes it is possible but maybe not for you. It takes more than luck to flourish in the crypto space and it all revolves around getting the right information about the particular asset at hand. Thus, it is important to distill the information crucial to aid your investment and determine whether you’ve got the most genuine information.
It all boils down to satisfying your curiosity, doing enough research to determine if the risk is worth taking. Undoubtedly, investing your money into crypto is a risk you should access and evaluate the risk before making an investment decision.
The bad/good news is that the market has become a battlefield between big cooperations, smart investors, smart traders, as well as noobs. You get what you deserve regardless of whichever category you fall into.
You must not forget the two most rewarding attitudes in the crypto marketing rewards smartness and patience. It is always best to have a general understanding of investing in financial markets such as the crypto space so you can know your way around it even in unforeseen situations.
Now, this is what you should know before investing in any cryptocurrency
It has been a subject of debate whether crypto is a good investment or not, personally, I believe it is a good investment if you consider where our economic trend has evolved up to since time immemorial in regards to how the way money works has changed. So considering economic factors, human and tech revolution, and where we are right now as a generation, if you understand how money works, the value of money and inflation, the current financial market is sinking slowly. We have evolved from barter trading to using cowries, to silver and gold, and now papers(fiat). Everything that affects us socioeconomically, involves the internet now and inflation is slowly killing the world economic system because fiat currencies are just backed by the legislation of the government. It will keep getting worse so far as the government uses machines to print money anyhow when you know these papers are only worth what the government says it is.
Before you think about the worth of crypto, understand money is worth what people say it is. It is a tender for the exchange of goods and services because we all agree it is, even though it is most influenced by the government. Now, so far as crypto dominates and we have people using it, it is worth what the people using it says it is; free from government’s manipulations and it is by the people, for the people. At the moment, bitcoin or crypto in general has utility, so far as it is decentralized, so far as it does not limit anyone in the world, regardless of social status, race, or religion and on the internet its dominance is inevitable. It simply bridges the gap between people worldwide who want to transact business of any sort. With all these been said, take your time to understand anything you are putting your money into before you make a horrible mess.
One may ask about the volatility of cryptocurrencies such as Bitcoin and other alternative coins which is a very laudable inquiry to make because before putting your money in any crypto project or startup you should know that cryptocurrencies are subjected to high volatility and as an emerging financial market you could lose your money. Yeah, the keyword here ”could” should be noticed. There are a lot of ups and downs when it comes to the crypto market and that you should know how volatile the market can be and if you are down with it you will get used it that. It is still a risk you will have to take yet it is advised to invest an amount you can afford to lose if you are to take that risk.
What about possible financial manipulation? As a new emerging market, I believe the market has already proven itself that it has come to stay. But likewise, other financial markets, say currency market, the stock market, all get manipulated along the line and you should know there is a possibility the crypto market could be manipulated in a certain way.
Another interesting subject of debate has been on which one of these two is more advantageous over the other; Crypto Market and The traditional market, the former or the latter? I understand very well this new emerging market will disrupt the current financial system, and what I mean by traditional market is anything that is regulated by the world governments. Understand crypto is not regulated in most parts of the world and that it faces regulation issues most of the time. Being it a project, an exchange or anything related to cryptocurrency and blockchain technology faces regulations issues most of the time, it is good that you know about how things work wherever you find yourself and wants to invest in crypto.
It is a good thing if you are already thinking about the safety of your earnings and investments; where to store/keep your Investment in Crypto is not a problem at all. There are tons of choices, running from keeping it on a hardware wallet, paper wallets, offline and online wallets, web wallets, Crypto exchangers. It is important to know how each choice you make works and be informed about the risks associated with it. For example, most wallets where you can store your cryptos are categorized as custodial and no custodial. Get well versed with your choice because that is another risk you will have to take.
The last thing I want to address is your entry and exit strategy, knowing the good time to invest in crypto and the time to stay off the market. If you are trading, investing this a very important puzzle piece you will have to put together if you want to be successful in this space.
I Am Cryptoras.