Investing in crypto may seem like a no-brainer compared to day trading heavyweights who buy and sell assets during trading hours (for comparison, there is no time limit to making a profit in the world of decentralized token finance). And for younger consumers, crypto may even seem inevitable for our social media-driven future. If you’re not a digital native, the concept of cryptocurrency can feel anything but second nature.
The fact is that we can’t predict exactly where the entire crypto market is going, but there are tokens that are affordable enough today that the risk of speculating can be quite low. However, proponents of digital currencies should be careful to understand the risks of cryptocurrency before they start investing. In addition to mastering complex security protocols and thoroughly researching their new investments, they should also take the time to understand the most common pitfalls that befall novice investors. This potential makes it an attractive investment for people who believe in the future of digital currencies. For people who believe in that promise, investing in cryptocurrencies is a way to achieve high returns while supporting the future of technology. Erika Rasure, is the founder of Crypto Goddess, the first curated learning community for women to learn how to invest their money and themselves in cryptography, blockchain, and the future of finance and digital assets.
You can’t calculate changes or calculate returns like you can with growth stock mutual funds. There simply isn’t enough data or enough credibility to create a cryptocurrency-based long-term investment plan. Everyone comes to crypto investing with their own agenda, whether it’s fast and intentional or slow over time.
Loss of access to data and passwords can also lead to complete loss. We’ve removed a lot of the hype and complexity surrounding cryptocurrency so you can understand the risks, benefits, and opportunities in this emerging alternative currency and exchange system. In the simplest terms, crypto tokens are virtual currencies that can be used to conduct transactions without going through conventional centralized financial entities or institutions such as banks, broker-dealers, or exchanges. In addition, the information presented does not take into account fees, tax implications or other transaction costs, which may significantly affect the economic impact of a particular investment strategy or decision. This information is not intended as a recommendation to invest in any particular asset class or strategy or as a promise of future performance.
With these considerations in mind, sign up for an account on a trusted exchange like Coinbase, Gemini, or Binance, deposit a few dollars, and start familiarizing yourself with the basic crypto landscape. You should also create a cryptocurrency wallet, which is stored on your desktop, mobile device, or on a storage hardware device such as a USB card. Cryptocurrency can provide investors with diversification from traditional financial assets, such as stocks and bonds. While there is a limited history of crypto market price action relative to stocks or bonds, prices so far do not seem to be correlated with other markets. STASH does not represent in any way that the circumstances described herein will lead to any particular result. Although the data and analysis stash uses from external sources is considered reliable, Stash does not guarantee the accuracy of such information.