Topic: WHAT IS RISK IN INVESTING IN CRYPTOCURRENCY - page 2. (Read 2470 times)

to lose more than 90 percent of your deposit in six months - here is an example of risk because it happened with almost all market participants in 2018

The biggest risk I would mention is that you can loose everything you invested. So the best advice is not to use your last savings

The risk is simply the possibility of losing profit due to the nature of market volatility. The market value of cryptos are not stable and as such, changes on the prices do always occur including the backdrops which would result to partial loss. It simply means that it won't always be profit when it comes to cryptos.

As you look in market,actually no constant price day by day and the risks is everywhere because this market is unpredictable and can encountered hype .So make some move to avoid loss of earning.

Price fluctiations, scam projects, no development, fake or incompetent  teams, fake promises in WP , no product,
copycat ICO, strong competition are only some of the risks when investing in Crypto. The entire market is associated
with risk, so it would be better to know what is not risk when investing in crypto.

Cryptocurrency has an amazing future and will succeed. What about investment risks, you can choose bad or scam projects and lose all. Invest wisely and be careful with your profit.

You could stand the chance of loosing all your investment if things doesn't go your way, that is while the market is volatile. You also stand the chance of been hacked and loosing all your coins if you don't take good care of your  electronic wallet.

I always feel happy and always think positive because life is too short to be wasted upon thinking of negative things in life.

Instability of cryptocurrency brings the biggest risk to its investors. You can be reach today but you can become poor tomorrow.

This high volatility if you don't understand it would really hurt your investment and put your money at risk, we never knew what can be the possible value of our holdings after 24hrs, aside  from scam projects and being victimized by pumped and dumped traders, we must fully understand all those things before we engage our self inside this business.

When you invest in crypto you will have the classic risks with a few specific additions.

1. Economic risk
    Obviously with any investment, you will risk yielding low returns, if not even making losses. The crypto market is highly volatile, so while you might
    you're having a great week, all of your gains could diminish within one day.

2. Default risk
    While default risks usually apply to banks giving out loans, it also applies to crypto currencies in the way, that developers could just drop a currency
    that isn't performing in the way they anticipated. That could lead to your asset practially diminishing.

3. Political risk
    This could also fall within Economic Risk, as it will influence the performance of the currency. Politics love to meddle with the crypto market, by
    announcing possible bans or restrictions. While this would be mostly out of the hand of the developers, it could affect the market as a whole. With
    traditional investments, political risks would have lower effects on the market, if at all.

4. ICO scams
    Be generally catious when participating in an ICO. While you could never be 100% sure that you won't be scammed, try and be as sure as possible, by
    getting as many infos about the currency, and most importantly, the tech and purpose behind it.

Hope this helps, good luck with your investments! BTC

Any business that has the capacity of giving huge profit is risky, the major risk associated with Cryptocurrency is its volatility, as an investor you can't determine market swing per time.

The main risk would be the market volatility. You never know when the prices are going to rise or fall. Today you can be rich, tomorrow you can loose everything due to a bad investment.
Scams also present a high risk when it comes to crypto

The main risk of investing in cryptocurrency is the difficulty of predicting the fall and rise in exchange rates.
The fact is that the market is affected by many factors from the opening or closing of exchanges, or problems in their work to hacker attacks.
It is also important to follow the global news in the field of legislation and the general circulation of cryptomonet - prohibitions and strict controls, restrictions on use in this area have a negative impact on the course.
It is worth considering what cryptocurrency is attached to and what events affect its fluctuations before investing your money.
Miners who invest a lot of money in the extraction of a currency buying equipment for mining and paying overhead costs, do not risk recouping investments for the extraction of any currency when the exchange rate fluctuates and, in fact, are also very dependent on market trends , from news that can negatively affect the course.

the first thing you should know is that cryptocurrency has a considerable risk, but of course it is comparable to the benefits you can get. this depends on how you put yourself and look for opportunities in everything. So the most important point is that you must seek knowledge first.

The main risk in investing in crypto is you might get scammed. If you are newbie, just do your own research about the project you are investing. Second Risk is the ROI, you are not sure when it hits exchange if that will be above or below the ICO price.

There are a lot of risks. You can lose a lot of money. If you are not careful and selective enough, you would invest your money into a garbage coin during a pump. Within 24 hours you can lose a lot. But crypto space offers also a lot of chances to get rich.

If the market has crashed, there will be a great problem for all of us. And this unknown situation is the reason of risks. I think so because this reason is actual even for the lack pf joining people.

Sure, there is a possible risk to lose everything, if you are using trading and margin trading. Short term investment is also very risky. Long term investment is great, because you can invest 1k USD, in a year, it worths 100 USD and within 2 years 10.000 USD

Investing always has a risk of not be returned in money for investors so they are afraid of loss of money. Other problems are not so importnat I think.