Steemit Crypto Academy - Topic 6 - Homework Post for @stream4u by @akashhassan
Hello to all my steemit friends today I will do one more homework for this week this is my second home work for this week and I attended the class and I learnt many things about company's capital and so many other things I have no idea about that when I am excited for this homework because I think I understand everything when will you understand it is really easy for you to give answer so I will try my best to you proper answer thank you so much to professor for teaching us
Differences in Large Capital - Mid Capital - Small Capital and how they will affect to the Investment?
Large capital
As the name says large these are the biggest companies in the market with the total value above 10 billion US dollars any company with the value of 10 billion US dollars for above are classified as large capital companies these companies are big companies so that's why to invest in them if the risk is low and these companies can sustain in very difficult situation with the economic crisis they have the backup because they are really big so your investment is is very safe and the rest is very low in this company
Mid capital
as the name says these are the companies in the middle these are the companies with the turnover of 1 billion to 10 billion US dollars and that's why these companies are classified is mid capital companies cap Mid Cap companies cap is short form of capital the volatility ratio in these companies are high so that's why the risk of investment in these companies are also high but at the same time you can get a really good amount of returns on your investment at you invest in these companies but high risk high returns
small capital
ok as the name says these are the small companies or in other words all the startup in new companies comes under small capital companies so that's why this companies are classified as small cap companies there are three categories so that's why these companies are called small cap companies these companies can grow massively and even they can come to zero in just today To investing in these companies can make you rich in a day and make you lose everything in just these companies are small and mostly new companies it depends upon your research if if you think the company has potential for future that is your gold company there
Your view, Which type of Asset capital can be more profitable? Why? Advantages and Disadvantages. (Explain only 1)
in my view I would invest in large capital companies because they are the safest I mean you ask that which one can be more profitable large cap companies can be profitable but it will take a little bit of time like it's a long term thing but there is a surety that you won't lose everything in the profit is a little less then if you invest in mid cap or small cap but every company has their own benefits so I think in my views I would go for large cap companies because at least I would know that these companies are not going to be zero investment will stay the same I want to lose everything so for me I would go with the large cap from
advantage of investing in large cap
advantage is simple if you invest in large cap companies there is is very low and your money is safe so no matter what happen you won't lose everything and because the company is already in a really stable situation it can go really high because it's in a large cap companies many people trust this company so the benefit or I would say the advantage is that less risk
disadvantage of investing in large cap
will the disadvantage is that his company's are really big and that's why they are a little bit slow so for your return to come like the money have invested for that money to give you profit it will take time like two to three years and that is the biggest disadvantage in my view compared to other companies like small and midcap companies over there The returns time is low like you can get your returns in 6 months net months
Thoughts on Risk Capital and Penny Cryptocurrency.
risk capital
I will give you simple definition of this and that is the money that doesn't affect your financial system like a few loose that money you don't have to worry about that that is the money Which is known as risk capital I will give you a simple example of that if I go to a car wash and I wash my car I pay the money for that now I don't expect returns on that money in that money doesn't affect my financial stability
penny cryptocurrencies
well I would just say that that every question has their answer in their name if you can see it as penny it means small and cryptocurrency means cryptocurrencies so it mean small cryptocurrencies in simple words And when we share penny it means that cryptocurrency with the value of $0,002 or $0,0005 And you will get a lot of them in the market
Now let's combine both of them the risk capital and penny cryptocurrencies investing in Penny cryptocurrencies with your risk capital is the best idea because if you look at both of them as I explain one side your risk capital is small but at the same time the cryptocurrency that you are going to invest in is also small and if you lose it you don't have to worry about your money because that money is their money you don't get affected by the loss of that capital and when we look at the bright side if the cryptocurrency go high then we will make a really good money it doesn't mean that you should put your normal money in that penny cryptocurrencies you should just invest the risk capital because you can risk it
What is the Role of Watchlist? Best way to set Watchlist. Additionally, For Example, show your watchlist if you have configured it and give a short description of it.
Watchlist
in simple words what list is the window in which you monitor o follow all the cryptocurrencies that you want to invest in At one place educational there are so many cryptocurrencies in the market but you want to pick some specific one and put them in your watchlist watch list is like a stock window in which you can see the prize the capital the volume in everything in live feed you can see so if you are investor this is a really good thing for you because then you can find the best time to invest in show in my view a watch list is a must thing that you should have if you are a trader or investor
How to create a watchlist
Will I used this really amazing website and its really popular you may know about this one
Coinmarketcapcom
step 1 go to the website and click on login create an account it is really easy it won't take that much time
step 2 to click on the watch list you will see that on the top
step 3 add your coin one by one remember at those point which you are interested in don't ad
random coins it will make your work hard and Confused you
and you are done
Conclusion
Conclusion
please do your research before investing in any of the companies if it's made small for large companies because there are different profit and their different rest so you should always do your research before investing
watchlist is a must thing I think everyone should have a watch this if you are getting into trading or you just want to know about the cryptocurrency awards list is there any helpful tool
I think everyone should invest in Penny cryptocurrencies with their best capital I am thinking about to do that because you can invest and forget about that after 2 years you will realise that you have something in your pocket
thanks for reading
Hi @akashhassan
Thank you for joining Steemit Crypto Academy and participated in the Homework Task 6.
Verification for your Homework task 6 has been done by @Stream4u.
Thank You
@stream4u
Crypto Professors : Steemit Crypto Academy