How safe it is to invest in cryptocurrency

[stomachgrowls]

Cryptocurrency is a risky investment because of its high volatility and also very profitable, but not all investment in crypto is risky in as much as you do your research thoroughly and invest in the right coin, people might complain about pump and dump in crypto but it's actually being done also in stock market, so this doesn't mean that crypto is not really safe

Even with volatility, investment in crypto is not a day-to-day operation. That's day trading and it's akin to gambling with built in risk incurred by the trader. Long term investing also has built in risk, but it's fairly minimal and you'd have to actually try to lose value on your assets over the long term (or make some terribly unfortunate investments). What's risky is leaving your finances in traditional currencies which have a built in mechanism of inflation, targeted at 2 percent yearly. Seeing current trends, the real numbers they're willing to admit to are easily 5%+ depending on the currency.

Everything would really be depending on projects potential on which even just on a year duration basis then 5% increase would really be just minimal or already conservative kind of approach speaking

with yearly gains but not all would really be that patient and selection of coins that we would be dealing on would really be varying on each person thats why outcome couldnt really be just the same.
Safe is something a word that doesnt really fit out on this market because even good coins do plummets on a year time so its not really giving out some assurance.

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[kro55]

Cryptocurrency is a risky investment because of its high volatility and also very profitable, but not all investment in crypto is risky in as much as you do your research thoroughly and invest in the right coin, people might complain about pump and dump in crypto but it's actually being done also in stock market, so this doesn't mean that crypto is not really safe

Even with volatility, investment in crypto is not a day-to-day operation. That's day trading and it's akin to gambling with built in risk incurred by the trader. Long term investing also has built in risk, but it's fairly minimal and you'd have to actually try to lose value on your assets over the long term (or make some terribly unfortunate investments). What's risky is leaving your finances in traditional currencies which have a built in mechanism of inflation, targeted at 2 percent yearly. Seeing current trends, the real numbers they're willing to admit to are easily 5%+ depending on the currency.

I don't know what you tell it day trading or long trading. After opening a trade I never sell at loss. I wait until the price reached a minimum profitable stage per day. if my target is filled within a day then it's good I close the trade, If the target is not filled on the first day I wait for a couple of days but I don't sell at loss anymore. I do follow this way when the market shows a boring stable stage like the past couple of months market showed a boring movement between 30K to 40K. But when it started to give a bullish signal I like to keep holding for long term, like now the market is giving potential bullish signals, I paused my short trading and open a long trade from 40K.

[Gyfts]

Cryptocurrency is a risky investment because of its high volatility and also very profitable, but not all investment in crypto is risky in as much as you do your research thoroughly and invest in the right coin, people might complain about pump and dump in crypto but it's actually being done also in stock market, so this doesn't mean that crypto is not really safe

Even with volatility, investment in crypto is not a day-to-day operation. That's day trading and it's akin to gambling with built in risk incurred by the trader. Long term investing also has built in risk, but it's fairly minimal and you'd have to actually try to lose value on your assets over the long term (or make some terribly unfortunate investments). What's risky is leaving your finances in traditional currencies which have a built in mechanism of inflation, targeted at 2 percent yearly. Seeing current trends, the real numbers they're willing to admit to are easily 5%+ depending on the currency.

Everything would really be depending on projects potential on which even just on a year duration basis then 5% increase would really be just minimal or already conservative kind of approach speaking

with yearly gains but not all would really be that patient and selection of coins that we would be dealing on would really be varying on each person thats why outcome couldnt really be just the same.
Safe is something a word that doesnt really fit out on this market because even good coins do plummets on a year time so its not really giving out some assurance.

5% is still significant. Keep in mind this is essentially a regressive tax. Inflation hits the lower class the hardest, so if the purchasing power can't be at least maintained, it surely should not be reduced, let alone reduced by design. If the rate was kept at 2% and central banks were okay with inflating the currency at that rate in order to maintain economic activity, I'd still say crypto (bitcoin in particular) would be "safer" without regression built in by design. Bitcoin's deflationary, it could theoretically only get more valuable if the market decided that it holds value as the total potential supply gets lower. Currency is targeted at 2 percent but they don't maintain those goals year over year, at least not post-COVID.

I don't know what you tell it day trading or long trading. After opening a trade I never sell at loss. I wait until the price reached a minimum profitable stage per day. if my target is filled within a day then it's good I close the trade, If the target is not filled on the first day I wait for a couple of days but I don't sell at loss anymore. I do follow this way when the market shows a boring stable stage like the past couple of months market showed a boring movement between 30K to 40K. But when it started to give a bullish signal I like to keep holding for long term, like now the market is giving potential bullish signals, I paused my short trading and open a long trade from 40K.

That's fair, but my point is geared towards the idea of relative risk between a long term investor and a day-to-day trader. Day trading incurs more risk, generally speaking. That's not true for everyone, of course.

[Finestream]

Nowadays investing in bitcoin and other cryptos is way safer and simpler than years ago. Before it was a huge bet, the whole system could've failed any moment, now we have even big companies and banks investing in cryptos. Of course there still are a lot of scams and price volatility, it's something that mustn't be forget, but in the long run we should be fine.

There are no investments that would mean safe from losses these days. But investing in bitcoin has become safer today because its now starting to be more recognized and even big institutional investors are already investing in it. However, if you want to take advantage of the market despite of its price volatility, having good knowledge and skills in the crypto market will help you manage the risk and increase your chances to be more profitable and become successful in your investments.

[lombok]

Bitcoin and cryptocurrencies have entered the category of safe haven assets such as gold because of their scarcity, or entered into commodities, some even call cryptocurrencies as utility tokens.

How safe this cryptocurrency investment is depends on the crypto project itself. Is the project viable, able to be useful as technology develops or not, able to become an alternative or can they become mainstream. And most importantly how do we store it safely.

So far, Bitcoin has received the title of the best investment, which is able to provide returns of tens of thousands of percent in a matter of years. Whether or not it is safe to invest in Bitcoin depends on how we store our bitcoins.

[Vaculin]

In times of war, Bitcoin is a much better option for you to keep your wealth intact. Not only will you be controlling your funds even in the middle of destruction, you will also be making sure that your wealth's value is not affected by the economic repercussions of the war. However, given that shops and stores are still not accepting Bitcoin, it is always best to have a good amount of cash in your possession, an amount which you could easily carry across international borders should the necessity arise.

Fiat is now starting to lose its power and value in times of war but having bitcoin is a good option to store your wealth without losing its value despite of the destructions caused by the war. The current war has served an eye opener for us that storing most of your wealth in fiat is never a safe and secured option. But with bitcoin, it will always be safe. However, as most of the countries are still favoring fiat as their only currency, then we should always have good amount of cash in our own pocket.

[Questat]

So far, Bitcoin has received the title of the best investment, which is able to provide returns of tens of thousands of percent in a matter of years. Whether or not it is safe to invest in Bitcoin depends on how we store our bitcoins.

AFAIK, it said was one of the growing investments but it is also one of the riskiest investments. Well, we know the risk in investing but crypto is quite different and we consider the scam issue that changes and ruin its reputation.
if we only just talking about Bitcoin, therefore, it was obviously the best but since OP is mentioning cryptocurrency, in general, which is literally a risky investment.

https://www.fool.com/investing/stock-market/market-sectors/financials/cryptocurrency-stocks/is-cryptocurrency-good-investment/

[AmoreJaz]

So far, Bitcoin has received the title of the best investment, which is able to provide returns of tens of thousands of percent in a matter of years. Whether or not it is safe to invest in Bitcoin depends on how we store our bitcoins.

AFAIK, it said was one of the growing investments but it is also one of the riskiest investments. Well, we know the risk in investing but crypto is quite different and we consider the scam issue that changes and ruin its reputation.
if we only just talking about Bitcoin, therefore, it was obviously the best but since OP is mentioning cryptocurrency, in general, which is literally a risky investment.

https://www.fool.com/investing/stock-market/market-sectors/financials/cryptocurrency-stocks/is-cryptocurrency-good-investment/

one should know the risks involved even if we are talking BTC here. the volatility factor is still one of the factors to consider if you are storing it long-term. however, as compared to other alts, BTC has very good foundation that we all know won't disappear without a warning. whereas most alts have no reason to exist, hence, a lot of of them are disappearing into thin air.
we can't assure the safety of crypto investments, but we can lessen our potential losses if we will keep ourself updated with its market.

[arwin100]

In times of war, Bitcoin is a much better option for you to keep your wealth intact. Not only will you be controlling your funds even in the middle of destruction, you will also be making sure that your wealth's value is not affected by the economic repercussions of the war. However, given that shops and stores are still not accepting Bitcoin, it is always best to have a good amount of cash in your possession, an amount which you could easily carry across international borders should the necessity arise.

Fiat is now starting to lose its power and value in times of war but having bitcoin is a good option to store your wealth without losing its value despite of the destructions caused by the war. The current war has served an eye opener for us that storing most of your wealth in fiat is never a safe and secured option. But with bitcoin, it will always be safe. However, as most of the countries are still favoring fiat as their only currency, then we should always have good amount of cash in our own pocket.

Inflation getting much higher when price of oil rise, it triggers the inflation rate to soar up this is why we see the fiat buying power lessen. But it doesn't mean that we need to have bitcoin since as far as we know bitcoin is so volatile and its really bad for newbies to have this without proper knowledge since they will end up losing a value and get affected by major manipulation that happen sometimes in crypto. But if we think about investment and put it on hold for much longer time then we can say that its really worth since the value of it rise over years if there's a good news or adoption happen.

[tabas]

Bitcoin and cryptocurrencies have entered the category of safe haven assets such as gold because of their scarcity, or entered into commodities, some even call cryptocurrencies as utility tokens.

Although crypto can't skip the definition of not being safe due to the volatility. And the risk is higher than gold and other commodities and that's why crypto can't be categorized for being safe in risk.
But if it's about safety that your money is at good hands, the definition and understanding changes there so the technical definition is set aside and people are saying that they've safely invested to bitcoin because it's the best crypto asset.

[Franctoshi]

There is no asset in the whole world that is 100% safe , there are various ways to classify the safetines of a digital asset
 
1.In terms of security ( when you talk about hackings)
2.Volatility or fluctuations ( instability in the price of that asset)
3 safe in terms of regulation. ( In terms of Government ban)
If a digital asset has these 3 above mentioned aspect I think I will say that asset is safe investment but bringing it to crypto all this point is yet to be guaranteed so it's somewhat safe and not totally safe.

[verita1]

Investing in bitcoin is a risk due to volatility. But the risk of loss occurs when you decide to sell for a lower price than you bought. As long as you don't sell you can save your investment and make a profit.
On the other hand, sometimes we stop to see the risks of investing in bitcoin without taking into account the times we have won.
Bitcoin is invaluable, it is the pioneer digital asset to cross borders to reach the hands of many and provide them with solutions that governments and banks did not dare. When you send bitcoin to pay bills outside your borders, you contribute to the economy of any country.
My best experience in bitcoin was at the beginning of the pandemic when its price fell due to uncertainty and it exceeded all that time and the same is happening now. Bitcoin is a safe investment and with the risks that we are willing to bear.

[Slow death]

You wrote a lot and I confess I didn't understand anything, what exactly do you want?

1 - every investment has its risks and bitcoin is no exception

2 - bitcoin is a high risk investment and obviously people before investing need to do research to avoid comparing at one point and then the price drops and they regret and sell and then the price recovers again, these are questions that you should study hard before investing

[fuguebtc]

In times of war, Bitcoin is a much better option for you to keep your wealth intact. Not only will you be controlling your funds even in the middle of destruction, you will also be making sure that your wealth's value is not affected by the economic repercussions of the war. However, given that shops and stores are still not accepting Bitcoin, it is always best to have a good amount of cash in your possession, an amount which you could easily carry across international borders should the necessity arise.

I agree with you in battle, bitcoin and crypto are better choice than fiat money because we can control our entire assets. Storing them is also quite simple and convenient with no frills like fiat and gold.

But speaking of unaffected property values, I don't think so. Bitcoin and cryptocurrencies are considered highly volatile assets, so it cannot guarantee the value of the asset intact if we are in a bear market.

[lienfaye]

Every investment has risk and there's no such thing as safe because there's no guarantee that you'll gain if you invest. However if you invest in Bitcoin, the chances to gain from it is high as long as you're not impatient and can bear seeing the market turning up and down.

Thats why before investing, we should fill our mind with knowledge of what we're getting into to prepare ourselves incase something went wrong. Even many investors are believing Bitcoin can make them rich, it is still a must to only invest what you can afford to lose and much better to have less expectation.

[19Nov16]

Always do a lot of analysis before investing, when we get to know bitcoin and cryptocurrencies the first thing we do is use spare money to invest, don't use main money because the market is unpredictable, I hear a lot of people stress and commit suicide because of debt and lose assets because of investing in bitcoin in 2017 and when 2018 the market dropped and this became an important lesson for us.

[sumant]

Every investment we make to take good profits from that venture. Crypto is one of big investment projects. If we look at history of cryptocurreny so many coins go to many times high so reason behind is people investment. We also will serach and analysis about this cryptocurreny and then go for investment. It will more be safer if all nation can make some regulations about that but now at this point it is safe but in prices ups down it is very risky

[leea-1334]

I think Ethereum is also among the alts the one with the most decentralization,,, and this comes from me a person who used to think it was not. To be fair, no coin can be decentralized from the beginning, and no coin can claim 100% decentralization but Bitcoin is the only one and with Ethereum catching up,,, that can be said to be in control of no single person.

Ethereum is not very decentralized. PoS will make it even less decentralized because then the richer you are, the more power over the network you have. In Bitcoin no one has more power over anyone else, no matter how rich you are. And most important thing is that Ethereum has Vitalik and co. running everything, no matter how decentralized it would be otherways. They can make decisions to affect the whole network. So it is a big red flag regarding decentralization.

One more thing is premine. Bitcoin had zero coins premined. Ethereum just gave millions at the start to their founders and their friends. Again, huge red flag.

I know all about the premine and all about the DAO,,, which is why I felt for many years Ethereum was actually just a total scam. I changed my mind and yes I agree PoS is worse for it and all that,,, but Ethereum to me is going in a direction of development that is less and less centralized.

Hence why they are always slow and delayed in updates. If they were centralized as before decisions would happen immediately.

My thoughts anyway

That is also questionable. Remember the DAO hack from 2016 when Vitalik & co decided to rollback the network in order to negate $50 million worth of exploit? By the way I am not saying that ETH is shitcoin, but in all things that really matter it can't compare to Bitcoin, especially if you look at it from the long term hold point of view.

The DAO event and all that was the main reason I was absolutely against Ethereum for so long, I have to go back to my history to see exactly which years or which time I became less against them.

I totally agree ETH cannot compare to Bitcoin, it is number 2 and far away from number 1. And honestly, number 3 is also very far away,,, I have no number 3 in mind.

[riso2015]

Actually, market volatility can't be predicted, in my opinion, investing in crypto will have ups and downs, but crypto currency is still safe to invest in, it can't be denied because currently crypto is the investment most interested in by millennials in all countries, although sometimes the price drops like rain, but that doesn't mean that investment is not safe, but that's how the system invests, sometimes it's up, sometimes it's down.

[wiss19]

It is safe to say that cryptocurrency could be the riskiest investment of anyone’s life if they do not know what they are doing. Doesn't mean that it should be that way forever, but it could be very risky if you are not well versed in how that works. I know so many people who got scammed, who sent money to wrong places, who lost in wrong trading information, who lost it in leverage in a second because of not understanding how the system works.

All in all, there are plenty of ways that you could lose your money in crypto and unlike fiat world, there is no reversal here so you can't just press charges, that money will be forever gone. So, you need to be veeeeery careful when you are first starting.