The Risks and Rewards of Cryptocurrencies

[AliMan]

Bitcoin has outperformed other traditional assets in term of ROI this year by huge margin.
It has given returns of 200% over the investment. If you had sold at high of this year, the returns would have been 300%. No other asset came even near to it. So, rewards are pretty high in cryptos. I would like to talk about risk. BTC isn't as risky as many stocks or shares. It has decent marketcap and it isn't going to go extinct in a jiffy. Volatility could be problem. But that could be managed. So risk rewards is oretty good in Bitcoin at least.

Traditional assets are nothing in front of bitcoin. Golds and diamonds have existed with us for centuries now while it has hardly been a decade for bitcoin to be with us and yet the later one has produced millionaires and physical assets failed pathetically in this matter. Bitcoin is not risky at all. Just because it is volatile, does not mean it can be doubted. It is altcoins that can be a risky investment.

Well we have different opinion since even though bitcoins bring good fortunes to the people who can't afford much physical assets but still they are good passed be investment since there's no doubt that value of gold's and diamonds will became more expensive as years goes by and we cannot really know if bitcoins will stay on ecosystem since we all know that any funds can kill the price of the Bitcoin we experience that for so many times and for sure that is the fear of all Bitcoin holder since if bad volatility or price dump strikes for sure many people will get broke.

Many times we've been broke to that disappointing situations, but I wonder why these people who have been there for bitcoin prefers to stay behind and never left the system which Bitcoin belongs to. Indeed volatility made worst market fall upon it's undertakings, strong holders stayed on their principles, and never lose hope that someday bitcoin will be back at the top most peak of its value. I just don't care on those physical asset,  I'm only focused with digital currency this time as bright future awaits for us.

[logicgate]

BBC recently did a interview around the volatility of cryptocurrencies. I think we are still so early in this industry but I would love to know your thoughts about where we are going and how you think the landscape will change.

People in the podcast include:

Marc Warne, Founder, Bittylicious
Jemima Kelly, reporter, FT Alphaville
Dave Jevans, CEO, CipherTrace


https://www.bbc.co.uk/sounds/play/m000676m

The volatility of cryptocurrency add ups both excitement and fear for the investors. You can consider it as a risk already from the very beginning you enter the crypto world and invest on it. Its volatility can be a source of fear whenever the price is going down continuously and has a high gap from the former price but you can consider it also as a source of excitement whenever the price is starting to grow while you have high holdinhs and bought  it for a really low price. Just stay careful here in crypto always to make sure you make the most from it.

risks and rewards, two sides that are always thought of by cryptocurrency users. everyone knows that with crypto people can benefit, and with crypto people can get rewards when they want to work. but we must never forget one side of the other, that is the risk that will certainly always be in cryptocurrency. crytocurrency volatility will always be discussed, because volatility can make crypto users happy when prices soar, and will make someone panic when prices fall. and I'm sure the future of crypto will definitely be bright, because more and more people are using it.

Risks and rewards in the world of crypto currencies totally depend on the crypto coin chosen for investment. Choosing the right coin in aspects of potential, security, anonymity and support is the first thing to do. For avoiding risk, an investor should choose bitcoin. Volatility, in my point of view, is not anything like risk. The whole reason why bitcoin produced millionaire was its high volatility.

   There are thousands of crypto currencies in the market and present all over the exchanges. I will not disagree with the fact that the most important aspect of making huge money through digital currencies is simply by choosing potential coin for investments. Bitcoin has the maximum number of happy investors and record of generating unbelievable revenues. It is the best choice for long term trading.

[Darooghe]

Risks could be as a volatile investment, if you buy close to all time high and sell low, then you can loose a lot of money. and Rewards could be make money easy if you are patient, buy at the right time and invest only what you can afford to loose.

However, What most people don’t get is that the maximum risk is losing $500 and the reward is getting $20,000 or even $40,000 with some smart investments. Simply, don’t invest more than you can lose. If you're a bitcoin maximalist and are 1000% sure it will break ATH sometime again, sure just keep increasing your coin count. the downside is very small and contained, the upside is very big. That’s definitely a good opportunity to invest.

[AicecreaME]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

[JC btc]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

That's why Bitcoin considered as a good source of income compared to gold which will just give you less profit, and you cannot do things that you can do in Bitcoin. As Bitcoin has a lot of function and advantages that gold cannot do, so it is somewhat called the hidden gem nowadays.

We are already aware of the risk and rewards, we should be able to overcome our fear if we really want to take the risk in investing, be smart, never stop learning and keep yourself updated all the time.

[Silberman]

That's why Bitcoin considered as a good source of income compared to gold which will just give you less profit, and you cannot do things that you can do in Bitcoin. As Bitcoin has a lot of function and advantages that gold cannot do, so it is somewhat called the hidden gem nowadays.

We are already aware of the risk and rewards, we should be able to overcome our fear if we really want to take the risk in investing, be smart, never stop learning and keep yourself updated all the time.

Not only that, while I like gold and I think it is a good investment those that are fanatics of gold leave many of its defects out of the picture, one of the greatest problems of gold is that governments can confiscate it and it is difficult to move from one place to the other especially if you try to move it between different countries, but this is not really an issue with bitcoin you can always bring your bitcoin with you in any electronic device and if things get so bad that all electronic devices are monitored you can always remember your seed words and bring nothing with you.

[Eugenar]

It can considered risk if one is providing their identity over the network which will impose threats in some reasons. Even in providing identities to exchanges as it is proven that exchanges can work even without the use of identities. On the other hand, thinking about the rewards of cryptocurrencies are mountains of opportunities for people to earn and to learn as well. One main example of rewards is being open to the world news and updates because of cryptocurrencies situation. Thus, learning allot in terms of economic aspects.

[horrifiedx1]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

I don't think you can be called a coward. many investors diversify risk on several levels. ranging from large risks to small risks. with the aim of their assets will be safer and accelerate its growth. therefore depends on the comfort of investors to choose which level of risk

[Finestream]

I don't think you can be called a coward. many investors diversify risk on several levels. ranging from large risks to small risks. with the aim of their assets will be safer and accelerate its growth. therefore depends on the comfort of investors to choose which level of risk

There is no such thing as being coward when it comes to investing in crypto as this is not a battle or a competition.
We are investing for one reason, we believe that crypto is the future and as it progresses we also like to get the benefit when its value will grow.

Also, we have our own strategy on how to use the money to give us a positive return, so it should be based on our idea only, and it doesn't matter if its a high risk or low risk that we are taking, as long as we are comfortable with it, we should do it.

[meliodas]

I don't think you can be called a coward. many investors diversify risk on several levels. ranging from large risks to small risks. with the aim of their assets will be safer and accelerate its growth. therefore depends on the comfort of investors to choose which level of risk

There is no such thing as being coward when it comes to investing in crypto as this is not a battle or a competition.
We are investing for one reason, we believe that crypto is the future and as it progresses we also like to get the benefit when its value will grow.

Also, we have our own strategy on how to use the money to give us a positive return, so it should be based on our idea only, and it doesn't matter if its a high risk or low risk that we are taking, as long as we are comfortable with it, we should do it.

I agree with that. As long as you know what you are doing then you are fine and you don't need to listen to other people's opinion. Their opinions doesn't matter because you know yourself better than others and you are knowledgeable enough to handle any consequences of your action. It is all about taking risks and then trying again once you fail until you reach the success that you want.

[Zeke_23]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

I don't think you can be called a coward. many investors diversify risk on several levels. ranging from large risks to small risks. with the aim of their assets will be safer and accelerate its growth. therefore depends on the comfort of investors to choose which level of risk

It has similarities as being a coward, we can also call it as minimizing the risk out of their investment.
Without facing the risk, there will be no progress that will happen.
Investors are becoming more cautious day by day, they invest depends on the level of risk, they can't blame them but more likely becoming a coward in the long run.

[NewRanger]

I don't think you can be called a coward. many investors diversify risk on several levels. ranging from large risks to small risks. with the aim of their assets will be safer and accelerate its growth. therefore depends on the comfort of investors to choose which level of risk

There is no such thing as being coward when it comes to investing in crypto as this is not a battle or a competition.
We are investing for one reason, we believe that crypto is the future and as it progresses we also like to get the benefit when its value will grow.

Also, we have our own strategy on how to use the money to give us a positive return, so it should be based on our idea only, and it doesn't matter if its a high risk or low risk that we are taking, as long as we are comfortable with it, we should do it.

I agree with that. As long as you know what you are doing then you are fine and you don't need to listen to other people's opinion. Their opinions doesn't matter because you know yourself better than others and you are knowledgeable enough to handle any consequences of your action. It is all about taking risks and then trying again once you fail until you reach the success that you want.

decision back to us again ,no one could intervene what decision we will take for our life or trading..we have different purpose that we have to achieved,and also our experience totally different with other people,and we could not generalize it.with different purpose ofcourse we will take strategy that suitable and  easy to do.maybe risk and reward ratio will adjusted with our trading plan.

[Webetcoins]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

That's why Bitcoin considered as a good source of income compared to gold which will just give you less profit, and you cannot do things that you can do in Bitcoin. As Bitcoin has a lot of function and advantages that gold cannot do, so it is somewhat called the hidden gem nowadays.

We are already aware of the risk and rewards, we should be able to overcome our fear if we really want to take the risk in investing, be smart, never stop learning and keep yourself updated all the time.

Gold, in terms of profits is nothing ads compare to bitcoin. No asset in the world, whether physical or digital, can be as beneficial as bitcoin. the digital market does not even have a poor copycat of this coin. Honestly, there are no more risks involved in investing in bitcoin. We have left that point far behind us where trusting bitcoin was not an easy task. Now we all know how bright a future this digital coin holds.

[Memminger]

btc might able to surpass it when it comes to value but when it comes to security
and assurance then those traditional assets is still preferable.

Not just in Value, even in security, and assurance, bitcoin surpass traditional assets, these two only differ in our likes or taste. With bitcoin, or other cryptocurrencies, the risk is high but the return is even higher, unlike to traditional assets that has low volatility, meaning, you have to wait two times longer than waiting when you have cryptocurrency as your investment.

It is safer because it is more likely stable, but, that's just for cowards, I mean not risk taker people.

That's why Bitcoin considered as a good source of income compared to gold which will just give you less profit, and you cannot do things that you can do in Bitcoin. As Bitcoin has a lot of function and advantages that gold cannot do, so it is somewhat called the hidden gem nowadays.

We are already aware of the risk and rewards, we should be able to overcome our fear if we really want to take the risk in investing, be smart, never stop learning and keep yourself updated all the time.

Gold, in terms of profits is nothing ads compare to bitcoin. No asset in the world, whether physical or digital, can be as beneficial as bitcoin. the digital market does not even have a poor copycat of this coin. Honestly, there are no more risks involved in investing in bitcoin. We have left that point far behind us where trusting bitcoin was not an easy task. Now we all know how bright a future this digital coin holds.

There’s nothing sure in the cryptoworld if your long enough. Though if we look at long term then we could see that it would be beneficial but if we were looking for short term then there are many unexpected things that would arise. We should always think rationally i.e. beyond our emotions especially when you want to venture in trading which would definitely give you profit as long as you educate yourself by taking advantages of the high volatility of the cryptomarket.

[juperos]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

[Webetcoins]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

After a decade of crypto currencies with us, if still some people think that these can be risky investments then I would advise this kind to do some research on their own. It will be best for all of us. For instance, questioning the strength of bitcoin in the beginning makes sense but now after witnessing how people became millionaire due to bitcoin, still doing the same thing just means we are being ignorant.

[Google+]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

I think wherever you are and whatever you do you will have risks while the risk depends on how courage you face the risks that exist, if you can face all kinds of risks and can think calmly then there are many benefits that you can get, whereas in the world of cryptocurrency the risk is more high because cryptocurrency price movements no one can predict it.

[lumeire]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

I think wherever you are and whatever you do you will have risks while the risk depends on how courage you face the risks that exist, if you can face all kinds of risks and can think calmly then there are many benefits that you can get, whereas in the world of cryptocurrency the risk is more high because cryptocurrency price movements no one can predict it.

The thing is that the crypto market works on basic principles like supply and demand, fear and greed etc. So this is the sole reason why the market shows sudden movements in very small intervals of time.
This implies that one day you can be a winner and other day you can also loose half of your savings in Crypto.

[Colt81]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

I think wherever you are and whatever you do you will have risks while the risk depends on how courage you face the risks that exist, if you can face all kinds of risks and can think calmly then there are many benefits that you can get, whereas in the world of cryptocurrency the risk is more high because cryptocurrency price movements no one can predict it.

The thing is that the crypto market works on basic principles like supply and demand, fear and greed etc. So this is the sole reason why the market shows sudden movements in very small intervals of time.
This implies that one day you can be a winner and other day you can also loose half of your savings in Crypto.

Indeed. So before you start to adopt cryptocurrency, you should be ready for it's risk because this risk will definitely pull you down that you always feel anxious or worried when the market goes down that makes you to sell it and have losses. But always remember that this risks could lead you to success, so you better continue to trade and invest in crypto to earn huge profit and get rich.

[cutesgirl]

Like everyone else's point of view I hate listening to a podcast and analyzing it, I'd rather read an article. In terms of risk, risk is everywhere in your life. Going to the street or staying at home is also a risk.
If you want to be rich or win when investing in cryptocurrencies, you must take risks and manage it well. Because the greater the risk, the higher the profit, it all depends on yourself.

I think wherever you are and whatever you do you will have risks while the risk depends on how courage you face the risks that exist, if you can face all kinds of risks and can think calmly then there are many benefits that you can get, whereas in the world of cryptocurrency the risk is more high because cryptocurrency price movements no one can predict it.

The thing is that the crypto market works on basic principles like supply and demand, fear and greed etc. So this is the sole reason why the market shows sudden movements in very small intervals of time.
This implies that one day you can be a winner and other day you can also loose half of your savings in Crypto.

Indeed. So before you start to adopt cryptocurrency, you should be ready for it's risk because this risk will definitely pull you down that you always feel anxious or worried when the market goes down that makes you to sell it and have losses. But always remember that this risks could lead you to success, so you better continue to trade and invest in crypto to earn huge profit and get rich.

When you have started investing with bitcoin and altcoin maybe you have know how much you can increase your money with bitcoin and altcoin investing, after you have ready for investing you know with how to faced with big result for investing in bitcoin with higher price on the top, many investor like with bitcoin as investing assets for the future.