CRYPTO ACADEMY::: HOMEWORK FOR @fendit::: by @sammylinks
Hello everyone
I'm very delighted to enjoyed the class where our crypto-professor @fendit have exposed me the more on trading and risk tolerance. I am publishing my opinion on this post based on the homework task given which have these sub-headings:
- What is my risk aversion and which product appeals me more?
- What is "Fixed and Flexible savings, high risk products and launch pool"?
- Showing In details how to set up an investment on BINANCE
RISK AVERSION TO INVESTMENT
Every investment whether online or offline comes with an intending risk. Those risks scares a lot of people away and making them not to invest or allow their coins to work for them. There are expected risk to bear in terms of investment which are well-known and can be bear or dodged with little or reduced loss. But, there are still unknown or uncertain risks that can just happened to our investment which will hinder us to makes more profits or cause us to incur more losses but our ability to study the project that we want to invest very well and plan diligently on how to avoid or bear such risk will make us an astute investors.
However, to be a bright investors does not mean that such investor does not have a risk to bear but he or she have developed to the extent of being comfortable with such risks. Our ability to be comfortable with risk while investing our coins is referred as "Risk Aversion".
Moreover, I have moderate tolerance to risk. I'm very careful and study the project very well before investing and when I do. There's always a limit to when I recoup my investments. But, the initial set-backs or well-known risks don't scare me but whenever the loss is on very high, It have passed my tolerance limit that's where I recouped my investments in order to limit my losses.
- ADVANTAGE OF MODERATE TOLERANCE TO RISK
I have been advantaged many times because of my tolerance level. I gained my profits when the risk is getting higher and it was even a starting point of investment for me. When many people are scared that exactly when I invest more. I have never regretted my actions!
- Disadvantages of Moderate tolerance to Risk.
However, there are a times that I decided not to invest more because the risk is very high. But only to observe many blessings and profits that follows which I supposed to enjoyed but failed since I did not continue with my investments.
WHICH PRODUCTS APPEALS ME MORE?
There are several products that are very good to be invested. Many of such products are of high risk and others are of very low risk.
However, due to my tolerance level to risk, I always prefer the ones with high risks. Because on the onset, I will make more profits and times goes on when the risk is getting out of hands or control. I will careful recouped my assets to avoid the uncertainty.
FIXED SAVINGS
This is a wonderful form of staking of assets for a very long period of time while there is a passive income from the investment. During this staking period of time, the resources are held for such period and not use for trade within such period.
However, the interest rate is higher than any other form of staking and the risk is higher too. The range of the fixed period on which the resources are held includes 7 days to 90 days. And the interest rates increases inversely with the staking period.
Fixed savings is a very good investment policies especially for those investors with moderate or even aggressive tolerance to risk.
FLEXIBLE SAVINGS.
On the other hand, Flexible savings is a form of staking which the investors can take back resources at any time which he/she wishes.
The interest rate of flexible savings is very low with very low risk too. The resources used is only held at that point in time when the staking is ongoing but can be cancelled whenever the investors take back his resources.
However, flexible savings is better for investors with conservative tolerance to risk and good period whenever one is still studying the project to be invested with.
HIGH RISK PRODUCTS
Every investment have the potential of high return and profits depending on the timeframe and the risk intended. But many investors look for those products with high return within very short time.
Those products with very high returns and profits within a very short period of time is referred to as the HIGH RISK PRODUCTS because the risk is very higher too.
Such products have a very high possibilities of losses although with high profits when it works out very well.
LAUNCH POOLS
This is a platform where a new project is published with it's details like the white paper and API etc. With this project published on this platform, investors will staked on them and claims the rewards as the farming season is over.
There are many launch pools available now and many new projects too but an investor should be very careful before staking in order to avoid the loss of resources.
However, whenever a token is farmed and the rewards are religiously shared among the investors that staked within the limited time. The resources used in the staking will never be withdrawn throughout the staking period.
MY INVESTMENT ON BINANCE.COM
Binance.com is a very popular platform where crypto currency exchange and transactions are handled globally. It is very trusted platform because every investment is very reliable and dependable. This platform is equipped with many crypto currencies and exchange. Their services is very optimally and transparent.
However, my investments is on binance.com. to invest accurately, click on the top button and click on binance earn.
On this open pages, binance earn have flexible savings, fixed savings and high risk products. I always select the LOCKED SAVINGS
I will lock my savings for 7 days because of my moderate tolerance to risk and high interest rate and risk is bearable to me.
CONCLUSION
In my Igbo dialect, business is defined as "eji ego acho ego" when translated mean that business is when one use money to gain another money. Investment and business is very important to every person's life. To make a lot of profits from investment and business, one should know the right products to invest on and risks to avoid too.
Thanks to @fendit, @steemcurator01, @steemcurator02 and @steemitblog for the knowledge, encouragement, motivation and support.
Thank you for being part of my lecture and completing the task!
My comments:
Nice work!
I really liked your insight on the first task.
All assignment was very well and I really enjoyed going through it!
Overall score:
7/10
Thanks for the score...your lessons are educative and very easy to understand
THIS IS MY TWITTER LINK HERE
WOW
It took me quite a while to digest all of that. I have learned that investment comes with risks, it's just like Life game.
Thanks dear for the encouragement. Life is even a risk. So we supposed to be calculative. Thanks for reading
Thanks for sharing this insightful post. I wish you success with your homework.
Good work beget great success. I really appreciate your encouragement my bro
Quite a long read, but it's very informative.
Yes, it's very long and detailed. @cryptoacademy provides a great platform where many of our @crypto-professors impact positively into us. I'm very grateful to them all and @steemcurator01, @steemcurator02.