One major factor you need to consider when investing in any crypto is its real life application. Does the crypto solve any problem that is of economic value? investing in crypto is very risky and you can make huge gain in your investment decision is right. But you can also make a great loss if you invest in the wrong crypto.
Therefore, you have to know the real life application of such crypto and decipher if its something that is in demand. Another very important thing you have to look into is the credibility of the project initiator. Who are those behind the project? Are they credible? Will they stick to their roadmap? Etc. How credible and serious the crypto team is about ensuring that the project is a success is worth considering. Some crypto projects are designed to make the initiator rich, such type of project should be avoided because there's a greater chance that you would lose your investment should you invest in such crypto.
The trading volume of such crypto is also another factor. Crypto with high daily trading volume implies that a lot of investors have confidence in such crypto and they are stalking their money on it. Etc.
Investing in cryptocurrency is really tempting, especially if we know the rapid increase in value last year. Where the value reaches more than Rp 250 million per 1 TB. But there are some considerations that I consider before investing;
* Hard to predict
Cryptocurrency like Bitcoin, its value is strongly influenced by the level of public trust. Its volatility can be very wild.
Therefore, before you start investing in Bitcoin, you must have a high level of awareness because of its unpredictable value.
* The profit of cryptocurrency are very speculative
Nobody suspected that the value of Bitcoin could be so that time. From what was originally only worth tens of thousands of rupiah, then it was increased to hundreds of millions of rupiah. Even so, things like that can be likened to winning a lottery, not something that often happens.
* High risk
Although the level of security is quite high, Bitcoin is still arguably vulnerable to attacks by hackers. This is because Bitcoin is stored in an online "wallet" that is connected to the network, so it's quite risky to be interrupted by hackers.
View this answer on Musing.io
View this answer on Musing.io
One major factor you need to consider when investing in any crypto is its real life application. Does the crypto solve any problem that is of economic value? investing in crypto is very risky and you can make huge gain in your investment decision is right. But you can also make a great loss if you invest in the wrong crypto.
Therefore, you have to know the real life application of such crypto and decipher if its something that is in demand. Another very important thing you have to look into is the credibility of the project initiator. Who are those behind the project? Are they credible? Will they stick to their roadmap? Etc. How credible and serious the crypto team is about ensuring that the project is a success is worth considering. Some crypto projects are designed to make the initiator rich, such type of project should be avoided because there's a greater chance that you would lose your investment should you invest in such crypto.
The trading volume of such crypto is also another factor. Crypto with high daily trading volume implies that a lot of investors have confidence in such crypto and they are stalking their money on it. Etc.
View this answer on Musing.io
Investing in cryptocurrency is really tempting, especially if we know the rapid increase in value last year. Where the value reaches more than Rp 250 million per 1 TB. But there are some considerations that I consider before investing;
* Hard to predict
Cryptocurrency like Bitcoin, its value is strongly influenced by the level of public trust. Its volatility can be very wild.
Therefore, before you start investing in Bitcoin, you must have a high level of awareness because of its unpredictable value.
* The profit of cryptocurrency are very speculative
Nobody suspected that the value of Bitcoin could be so that time. From what was originally only worth tens of thousands of rupiah, then it was increased to hundreds of millions of rupiah. Even so, things like that can be likened to winning a lottery, not something that often happens.
* High risk
Although the level of security is quite high, Bitcoin is still arguably vulnerable to attacks by hackers. This is because Bitcoin is stored in an online "wallet" that is connected to the network, so it's quite risky to be interrupted by hackers.
Thank you!