My friend's investment in Bitcoin

[Dr.Bitcoin_Strange]

He's for sure gonna be working on that in the process while holding.

Do you forget that there are people who also depend on spoon-fed information because they are too lazy to do research themselves? Even if you send them a couple of materials to read or videos to watch, they might not have the zeal to do so as they see it as boring to them. It's just good that the OP should at least give his friend all the possible knowledge they need to know about Bitcoin at this early stage? It can really help his friend to have a healthy investment without having to go through the trouble of both holding his asset and also making security a priority.

[uneng]

I tell him Bitcoin has been around for 14 years. I give him more idea about Bitcoin. At one point he expressed his interest in investing in bitcoin, I told him that there is a possibility of not only profit but also loss from investment.To invest you have to take risk. My friend invests in bitcoin knowing profit loss. He works for a salary of about $400 per month. He invested about $500 in Bitcoins. I didn't show my friend interest in investing in bitcoin. He himself knowingly invested in bitcoin. 
Did I give my friend the right advice?

By your report I think you did the right thing. You explained about the risks of losing money when investing in BTC, due to the volatility of the market, right? And aware about the risks, your friend still wished to invest in Bitcoin, so he made his own decision, and from that moment on, all the responsability was on his shoulders. You were simply a source of information and knowledge for him, even if in a very basic proportion.

Now he has to seek for more knowledge by himself on his own. That is the natural course of the journey of every Bitcoin adopters. We are firstly introduced by someone, but as soon as the introduction is over, we have to walk by ourselves. Mistakes are part of the process, and in case your friend commit any, you shouldn't feel guilty about that, if you gave him the right advice!

[coinerer]

One of my close friends his name is Naher. He came to visit my house. Once while discussing with him, I mentioned the name of bitcoin. He wanted to know what bitcoin is? I was telling him that bitcoin is a digital cryptocurrency coin launched in 2009 by a man named satoshi. I tell him Bitcoin has been around for 14 years. I give him more idea about Bitcoin. At one point he expressed his interest in investing in bitcoin, I told him that there is a possibility of not only profit but also loss from investment.To invest you have to take risk. My friend invests in bitcoin knowing profit loss. He works for a salary of about $400 per month. He invested about $500 in Bitcoins. I didn't show my friend interest in investing in bitcoin. He himself knowingly invested in bitcoin. 
Did I give my friend the right advice?

It is admirable if your friend invests in Bitcoin and knows both its pros and cons but is still interested in Bitcoin. $500 as his first bitcoin investment is a huge amount for him. Advise him to use a non-custodial wallet to hold his bitcoins as it will keep his bitcoins safe. and if he wants to invest more then he should buy a hardware wallet and store it there. and remind him one more thing he invested in bitcoins it's not bad but he must hold them for long time to get any good out of it.

[demonica]

You probably know your friend's attitude right? Since you've mentioned the risks of losing and winning, as long as he won't blame you if he lost then it wouldn't be a problem. It's great that you've mentioned the possibilities and risks he might encounter when investing, but since he still decided to invest then perhaps he's fine with it. You still gave him the right advice so there's no need to worry.

But don't forget to remind your friend to do his research and what to avoid. You can give him a lot of advice since there's still a lot to learn about Bitcoin.

[imamusma]

It is admirable if your friend invests in Bitcoin and knows both its pros and cons but is still interested in Bitcoin. $500 as his first bitcoin investment is a huge amount for him. Advise him to use a non-custodial wallet to hold his bitcoins as it will keep his bitcoins safe. and if he wants to invest more then he should buy a hardware wallet and store it there. and remind him one more thing he invested in bitcoins it's not bad but he must hold them for long time to get any good out of it.

We can identify the OP's friend's interest in bitcoin solely because he sees the potential for profit, so it's possible for him not to care too much about the risks. Basically the risk of losing money on a bitcoin investment is not only about its price volatility, but also about the security risk of the wallet that the user uses. I agree about the hardware wallet advice for the best experience in increasing asset security, but only if the OP's friends are experienced in their use and anticipate all risks of error.

But to be honest, $500 to start with is probably worth the investment plan. He probably has more savings in fiat or other assets, so $500 might not be that big. But about the OP's question, I think he has done a good job, but don't be responsible for other people's gains and losses on his investment because whoever invests will not be guaranteed to make a profit. Profits will be generated naturally due to market volatility, so you don't need to guarantee it.

[inthelongrun]

There is nothing wrong with that, so long as you did not try hard to convince him to invest in bitcoin. There's always the risk when it comes to investing. For newbies, it is easy to say it is extra money but many of them became emotional when the price of bitcoin drops 10% or even more. If I were your friend, I would divide the $500 into 5 and buy bitcoin monthly with just $100. After 5 months and all of the capital is used, he can withdraw it from the exchange and keep his bitcoins thru a non-custodial wallet.

Tell your friend to create an account here at Bitcointalk.org. It will help him a lot.

[n0ne]

Investment in bitcoin hadn't come by compulsion. The friend have known about bitcoin and invested. Each and everything have got risk associated with it. With cryptocurrencies we can experience it even high. With rest of the investment we don't have the profit for the risk we have take. With bitcoin we have the advantage of bigger profit based on the risk we take. Some feel lucky to make big profits in a short time period. Following them one shouldn't expect the same to happen for them. Here it looks like the friend have opted for a better earning that could help him grow.

[lalabotax]

....I told him that there is a possibility of not only profit but also loss from investment.To invest you have to take risk. 

The point is here. as long as you have told that investing in Bitcoin is not only about earning money from profits but also the risk of losing the money, you did the good explanantion. Moreover you didn't promise him about the big profits that he may probably earn from Bitcoin. it has been wise and enough, because you don't also promise him many things.
if he decided to make such investment or not, it will become his responsibility, at least we have told the posiitive and negative sides  So, he should be able to manage it for himself.

[Yamifoud]

Assuming OP that you have told him all the things you know about Bitcoin, then I would think that your friend knows already what will happen you his money. What he did now and with that $500 capital investment was his choice, he really be thinking that investing in Bitcoin is safe and profitable. You have nothing worried about as you did it right, there is no need to spoon-feed your friend and control his decision, and he should be thankful to you.
But I was worried about having such start-up capital when you are just about to earn $400 per month. He is supposed to start in small amounts and see what will happen. Well, I hope it works well for him.

[freedomgo]

One of my close friends his name is Naher. He came to visit my house. Once while discussing with him, I mentioned the name of bitcoin. He wanted to know what bitcoin is? I was telling him that bitcoin is a digital cryptocurrency coin launched in 2009 by a man named satoshi. I tell him Bitcoin has been around for 14 years. I give him more idea about Bitcoin. At one point he expressed his interest in investing in bitcoin, I told him that there is a possibility of not only profit but also loss from investment.To invest you have to take risk. My friend invests in bitcoin knowing profit loss. He works for a salary of about $400 per month. He invested about $500 in Bitcoins. I didn't show my friend interest in investing in bitcoin. He himself knowingly invested in bitcoin. 
Did I give my friend the right advice?

Well, I can say that you did the right thing for telling your friend that there's a bitcoin and other cryptocurrency. But hopefully, what you wrote here in this discussion is also exactly what happened and it's not that you're almost forcing your friend to invest into bitcoin because $500 is a huge sum and if things get worse, you could be blamed because you're the one who told him to invest. Don't forget that our purpose is just to give them some ideas and let them know the existence of cryptocurrency, now if they are interested then they should be the ones who will take the next step.

[Sanitough]

Did I give my friend the right advice?

When in the context of discussions and talking about it and deciding to be in bitcoin then indeed I think it's pretty good, but in this case I would prefer to emphasize that things like this are not as easy as they seem. Telling bitcoin is indeed a pretty good step towards greater adoption of course, but on the other hand we also have to emphasize that even if it's good but nothing is certain in this case and your friend should research more about it.
Even if nothing is in vain in the end when talking about bitcoin, but your friend is a beginner, it would be better to find information and learn more than to invest directly here because of course we know that the risk is also quite large.

You have done your part OP, now it’s time for your friend to do his own due diligence in researching. He must have gained more knowledge first and read reviews about bitcoin before he decided to invest. Also, the amount he put in the first place is quite big, I don’t think he can afford it losing when his investment does not work out like he expect it to be. But maybe let’s just admit it that newbies only learned after losing, and probably once he lose, he will now be cautious on his investment and creates a solid plan.

[Furious 7]

Did I give my friend the right advice?

When in the context of discussions and talking about it and deciding to be in bitcoin then indeed I think it's pretty good, but in this case I would prefer to emphasize that things like this are not as easy as they seem. Telling bitcoin is indeed a pretty good step towards greater adoption of course, but on the other hand we also have to emphasize that even if it's good but nothing is certain in this case and your friend should research more about it.
Even if nothing is in vain in the end when talking about bitcoin, but your friend is a beginner, it would be better to find information and learn more than to invest directly here because of course we know that the risk is also quite large.

You have done your part OP, now it’s time for your friend to do his own due diligence in researching. He must have gained more knowledge first and read reviews about bitcoin before he decided to invest. Also, the amount he put in the first place is quite big, I don’t think he can afford it losing when his investment does not work out like he expect it to be. But maybe let’s just admit it that newbies only learned after losing, and probably once he lose, he will now be cautious on his investment and creates a solid plan.

That's the point, don't say about this investment just based on friends who say that bitcoin is good because basically something like this will actually make those who are involved in such conditions uncertain I think because they don't know the concept of bitcoin and don't study further but insist on investing just because of trust in friends.
This must be clarified because indeed all possibilities when talking about bitcoin can still happen. Hope and belief in more than now is very good, but on the other hand with conditions like now for bitcoin that guarantee does not exist because of volatility and conditions that can sometimes change at any time which makes us have to be aware of all the consequences if we really want to be here.

[Cling18]

Did I give my friend the right advice?

When in the context of discussions and talking about it and deciding to be in bitcoin then indeed I think it's pretty good, but in this case I would prefer to emphasize that things like this are not as easy as they seem. Telling bitcoin is indeed a pretty good step towards greater adoption of course, but on the other hand we also have to emphasize that even if it's good but nothing is certain in this case and your friend should research more about it.
Even if nothing is in vain in the end when talking about bitcoin, but your friend is a beginner, it would be better to find information and learn more than to invest directly here because of course we know that the risk is also quite large.

You have done your part OP, now it’s time for your friend to do his own due diligence in researching. He must have gained more knowledge first and read reviews about bitcoin before he decided to invest. Also, the amount he put in the first place is quite big, I don’t think he can afford it losing when his investment does not work out like he expect it to be. But maybe let’s just admit it that newbies only learned after losing, and probably once he lose, he will now be cautious on his investment and creates a solid plan.

That's the point, don't say about this investment just based on friends who say that bitcoin is good because basically something like this will actually make those who are involved in such conditions uncertain I think because they don't know the concept of bitcoin and don't study further but insist on investing just because of trust in friends.
This must be clarified because indeed all possibilities when talking about bitcoin can still happen. Hope and belief in more than now is very good, but on the other hand with conditions like now for bitcoin that guarantee does not exist because of volatility and conditions that can sometimes change at any time which makes us have to be aware of all the consequences if we really want to be here.

It's great that Op did his part to outline the risks associated with investing in bitcoin. Because it was his personal choice to invest in it, his friend is alone and responsible for himself if his investment fails or incurs losses. Op simply finished answering all of his inquiries out of curiosity, but he had previously warned him about the risks involved.
When they hear that investing in Bitcoin might be profitable, some investors get excited, but they lack the curiosity to dig deeper and discover how the market actually operates. I hope Op's friend is doing his part to learn more about blockchain technology in order to broaden his understanding of it.

[Obito]

You've clearly informed him of the risk of investing and I don't think that he isn't stupid that he doesn't know that investing comes with an inherent risk no matter how promising the rewards are, and in your post, I didn't see any signs that you(OP) forced your friend to invest so I think you've given your friend the right advice.

[nara1892]

He's for sure gonna be working on that in the process while holding.

Do you forget that there are people who also depend on spoon-fed information because they are too lazy to do research themselves? Even if you send them a couple of materials to read or videos to watch, they might not have the zeal to do so as they see it as boring to them. It's just good that the OP should at least give his friend all the possible knowledge they need to know about Bitcoin at this early stage? It can really help his friend to have a healthy investment without having to go through the trouble of both holding his asset and also making security a priority.

Laziness in literacy is still a problem that is very real, especially for bitcoin because I don't mean to be condescending, but if you look at the conditions in my current environment, many are in bitcoin just because they are lured by the lure of the financial conditions that are being made.
Believe it or not there are still many like that out there and it only depends on the people who introduce them to bitcoin. Even though this is indeed an increase in the conditions of adoption, but still things like this in my opinion are like a time bomb because indeed they are just like a doll that is controlled without knowing what they are doing and without understanding what they are doing which makes this look ridiculous in my opinion.
At least if their intention is to get rich because of bitcoin, even though this is not a very good intention, of course learning more about bitcoin by increasing literacy is at least a good thing.

[John Abraham]

My friend invests in bitcoin knowing profit loss. He works for a salary of about $400 per month. He invested about $500 in Bitcoins. I didn't show my friend interest in investing in bitcoin. He himself knowingly invested in bitcoin.

I won't say it's true that you didn't show him an interest in investing in Bitcoin. Nobody will invest $500 without knowing where they are investing. You could have told him that Bitcoin would gain in the long run (which is true). Or you have told him something where he sees some profits. So, he got interested in investing in Bitcoin. However, I won't suggest suggesting an Average Joe invest in Bitcoin without knowing it. I can't imagine how much he learned before investing in Bitcoin. He should have learned Basic things before he invests. Otherwise, he might do something wrong with his Bitcoins, and you are one to blame because you introduced Bitcoin and did not explain how other things work!

Ask him to learn more and don't touch his Bitcoins until he know what is he doing with his coins. Just hearing about Bitcoin and Investing in it without knowing it is not a smart idea.

Did I give my friend the right advice?

In One word, Yes. It was right advice. But, ask him to learn more about Bitcoin. You can Ask him to Join Bitcointalk and read.

[nimogsm]

It's hard to call it advice. Most likely he just listened and just bought bitcoin. More surprising is that after only one conversation, he immediately figured out everything and quickly bought bitcoin. Your friend figured out how everything works pretty quickly and this is surprising in your story.

[umbara ardian]

You have told your friend about the possibility of loss when investing in bitcoin, so there is no need to worry about it. Moreover, this is just a conversation between you and your friend and does not force or pressure your friend to invest in Bitcoin. Investment is their decision, and they are responsible for losses. So there's no need to feel sorry for yourself because you've fulfilled your responsibilities as a source of information.

[Road21Bitcoin]

Did I give my friend the right advice?

If what you said is true, then at that time you gave him the right advice. You told him upfront not only the benefits but also the hazards of investing in Bitcoin. You did not mislead him, did not promise him instant success or instant riches from investing in BTC, did not manipulate or coerce him into buying and investing - he did it all himself. From reading some of your replies, you also advised him in good faith. Though, encourage him also to read and research more about Bitcoin and cryptocurrency in general.

[SmartGold01]

Sometimes is very hard to say but you need not to mentioned about investment aspect of bitcoin.
There's something I understand so far about people whenever they had of investment they quickly want to jump into without them making a quality research about what they are venturing into.
But your story looks like a cookup stories, how did your suddenly invested without him knowing about the kind of wallet to use and where to buy bitcoin.