Steemit Academy Season 2, Week 2 || Make your cryptocurrencies work for you - by @fendit.
I am very honored to be a part of this teaching and learning process. Thank you very much professor @fendit for such a wonderful lecture. I have really learnt a lot from today's lecture and below is my homework.
Introduction.
Risk can be referred to like the chances of having an unexpected or negative outcome. Any action or activity that leads to loss of any type can be termed as risk. There are different types of risks that a firm might face and needs to overcome. Widely, risks can be classified into three types: Business Risk, Non-business risk, and Financial Risk.
financial Risk as the term suggests is the risk that involves financial loss to firms. Financial risk generally arises due to instability and losses in the financial market caused by moments in stock prices, currencies, interest rates, and more. Financial risk is one of the high-priority risk types for every business.
reference.
Which is your risk aversion, which of these products you find the most appealing and why
The higher the risk the higher the return, and the lower the risk the lower the return.
Moderate tolerance to risk: This type of investor does accept a higher amount of risk and volatility in the assets they invest.
Moderate tolerance risk is most appealing because it is liable to change especially for the worst. There is more opportunity and higher chances of higher returns. Not everyone is interested in taking such a risk but those who do have higher chances of returns. In order to make your crypto journey a success, you need to take risks. So I think the moderate risk is more appealing.
The token launch is a platform that introduces the new project and also promotes idealogy. Tokens are distributed to partakers. It is also a platform where we get cash
cash is generated when you stake your own coin especially when there is a new project. At the end of farming time, both your token and a new token are earned.
Explain in your own words fixed and flexible savings, high-risk products, and launch pools
Fixed savings.
When something is fixed, it simply means it does not vary or altered. In application to binance earn, it means funds can not be altered for some period of time and therefore fixed to generate the necessary profit as required.
The amount cannot be taken as the terms say, you will have to keep your coin for a fixed amount of time. Either than that of flexible savings. But I think fixed savings is a great option for moderate risk tolerance lovers.
Flexible savings
Flexibility has to deal with changes. It can be altered and therefore not fixed. Applicable to binance earn, funds can be deposited and withdrawn at any time. As the coin is staked inflexible account, it begins to generate income. It is better than keeping the coin idle. It is more interesting with flexible savings.
- High-risk product
High-risk product is only exposed to risk lovers. This type of investment is best invested by aggressive risk tolerance.
- launch pool
launch pool is a passive way of earning income, in a flexible way by staking coins newly listed on Binance or BNB, BUSD. Since it's under flexibility, it can be withdrawn at any time when being deposited.
Show and give detail on how to set the investment you chose in Binance. If you don't use Binance as your exchange, let us know which alternatives you have in your own exchange and simulate the process of investing in Binance.
I use Binance and therefore have in-depth knowledge in investing launch pool. Between 14 to 30 days coins can be staked and removed because of their flexibility. As shown in the launch pool screenshot above, there are two coins namely: BNB and BUSD.
In other to trade in the launch, you can trade your coin to either BNB or BUSD.
- Click on launchpad which can be found in the menu (the square that's in the left, on the upper menu!).
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- Click on any project to farm and stake coin of your choice.
- Click on stake on any coin being it BNB or BUSD of your choice.
- Rewards can be redeemed or be left to be redeemed automatically after farming time or period.
Conclusion.
Binance is among the world's leading platforms in trading that supports more than 200 coins for withdrawals and deposits. As a crypto trading platform, Binance provides highly competitive rates that can be the cheapest and most comfortable for any seasoned trader or beginner who wants to get into crypto trading. Since the platform accepts people worldwide to use it, it could get tons of great reviews on crypto trading. The exchange also recently became partners with third-party businesses like Simplex so that people can buy cryptocurrencies through wire transfer and credit cards at a premium. People in the United States can now trade through Binance-US as it is compatible with American trade regulations.
Earning passive income with binance and investing as well, there is the need to be risk-loving or risk averted. Because there is the saying "the higher the risk the higher the return and it is very true. And one has to be careful about which risk being taken.
CC:
@fendit.
Thank you for being part of my lecture and completing the task!
My comments on your work:
First task was ok, still if I were you, I'd have written the introduction myself. It simply doesn't sum up anything if you're pasting something from other website, even if you put the reference.
Second and third task were a bit vague and brief, I'd have loved to see a bit more detail!
General comment:
Tasks were a bit vague, try to make sure you understand the concepts before performing the task and then get to the writing part!
Overall score:
4/10
Thank you very much @fendit I really appreciate it.