Is it bad to invest in cryptocurrency?

First things first: The money you put into Bitcoin is not safe from value fluctuations. Bitcoin is a volatile investment. If you’re looking for a “safe” investment with guaranteed returns, then don’t invest in Bitcoin — or any cryptocurrencies for that matter.

What are the dangers of Cryptocurrency?

Risks to crypto consumers

• Smurfing.
• Money-laundering through crypto exchanges/ATMs.
• Romance scams.
• Fake investment scams (i.e. initial coin offerings)
• Crypto used to purchase on the black market. Human trafficking, organ trafficking, and adult services.
• Crypto pump and dump.
• Fake crypto exchanges.
• Blackmailing scams.

Should you invest in crypto?

First, only invest money you can realistically afford to lose. There are never any guarantees when it comes to investing, but because crypto carries more risk than the average stock, it’s especially important to avoid investing more than you can afford.

Should you cash out your cryptocurrency before prices drop?

If you face an unexpected expense and have to cash out your investments, the last thing you want is to sell your cryptocurrency when prices are at rock bottom. When you have a healthy stash of savings, you can keep your money invested until prices recover. Image source: Getty Images.

Is cryptocurrency a high risk high reward investment?

Cryptocurrency falls into the “high risk, high reward” category of investments. It’s riskier than investing in stocks because it’s still highly speculative at this point. Stocks have a long history of growth over time, while cryptocurrency is still relatively new.

How many Americans are crypto curious?

While only 14\% of U.S. adults own crypto, according to a 2021 report from crypto exchange Gemini, around 63\% of Americans classify themselves as “crypto curious.” While prices took a tumble earlier this year, many cryptocurrencies are gaining steam, once again.