Kakashi2020 Posted November 1, 2018 Share Posted November 1, 2018 Are there any risks involved in Bitcoin investments? I mean, what's the downside? What's the worst thing that can ever happen? Could the price revert back to its minimum value? Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/ Share on other sites More sharing options...
menchuuy58 Posted November 6, 2018 Share Posted November 6, 2018 On 11/1/2018 at 8:37 PM, Kakashi2020 said: Are there any risks involved in Bitcoin investments? I mean, what's the downside? What's the worst thing that can ever happen? Could the price revert back to its minimum value? There are risks involved. The risk of losing your money. One tries to invest to it and not to be lost to it. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2500 Share on other sites More sharing options...
cks003 Posted November 6, 2018 Share Posted November 6, 2018 Every investment has its risk and the rick is usually associated with the volatility of the price. However, in the investment training, one is told if the investment has no intrinsic value or it has no potential in the future, then purchasing the commodity and hoping the price will appreciate in the future is no longer an investment but speculation. Speculation is usually caused by anticipation of the market such as the Dutch Tulip Mania, British South Sea bubble etc, without fundamental value associated with the investment. So one has to be vigilant in evaluating the value and the risk associated with one investment. 1 1 Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2501 Share on other sites More sharing options...
Martinsx Posted November 6, 2018 Share Posted November 6, 2018 The issue of getting scammed when you don't follow the proper channels when making cryptocurrency or Bitcoin investment is one thing to be very careful about. Also the volatility of the cryptocurrency is another thing. Remember when the cost of one Bitcoin was $20k, now it's down to $6k. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2514 Share on other sites More sharing options...
Kakashi2020 Posted November 7, 2018 Author Share Posted November 7, 2018 16 hours ago, cks003 said: Every investment has its risk and the rick is usually associated with the volatility of the price. However, in the investment training, one is told if the investment has no intrinsic value or it has no potential in the future, then purchasing the commodity and hoping the price will appreciate in the future is no longer an investment but speculation. Speculation is usually caused by anticipation of the market such as the Dutch Tulip Mania, British South Sea bubble etc, without fundamental value associated with the investment. So one has to be vigilant in evaluating the value and the risk associated with one investment. I like your definition of speculation - purchasing a Commodity with the hopes that it's price would appreciate in the future. It has a similar definition with investment - the action or process of investing money for profit or material gain. It's really quite hard to differentiate Investment and Speculation though. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2536 Share on other sites More sharing options...
Steve5 Posted November 7, 2018 Share Posted November 7, 2018 19 hours ago, menchuuy58 said: There are risks involved. The risk of losing your money. One tries to invest to it and not to be lost to it. That's true. At the end of the day, it's still an investment. And you may or may not gain back your money. This is why people prefer mining instead of putting their cash on the line. They're not confident with the possible results. 😂 Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2547 Share on other sites More sharing options...
cks003 Posted November 7, 2018 Share Posted November 7, 2018 The definition of investment and speculation is not clear cut but one can understand that the anticipation and hope one has on price of a commodity, disregarding the fundamental value is speculation, not investment. This is not my definition but one offered by Benjamin Graham, the guru of Warren Buffet. One can refer to the book entitled "Intelligent Investor" for further clarity about these two terms, investment and speculation. When these two terms are understood, only then we have our direction and intent clear. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2567 Share on other sites More sharing options...
Martinsx Posted November 7, 2018 Share Posted November 7, 2018 On 11/6/2018 at 10:17 AM, cks003 said: Every investment has its risk and the rick is usually associated with the volatility of the price. However, in the investment training, one is told if the investment has no intrinsic value or it has no potential in the future, then purchasing the commodity and hoping the price will appreciate in the future is no longer an investment but speculation. Speculation is usually caused by anticipation of the market such as the Dutch Tulip Mania, British South Sea bubble etc, without fundamental value associated with the investment. So one has to be vigilant in evaluating the value and the risk associated with one investment. Exactly! Without being observant about the cryptocurrency exchange market, it's most likely possible for you to lose your money invested in the digital currency. The volatility of cryptocurrencies makes it easier to gain and a lot more easier to lose if you are not careful. But in all, being cautious with how you invest goes a long way in determining what you lose or gain. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2593 Share on other sites More sharing options...
menchuuy58 Posted November 8, 2018 Share Posted November 8, 2018 On 11/6/2018 at 5:17 PM, cks003 said: Every investment has its risk and the rick is usually associated with the volatility of the price. However, in the investment training, one is told if the investment has no intrinsic value or it has no potential in the future, then purchasing the commodity and hoping the price will appreciate in the future is no longer an investment but speculation. Speculation is usually caused by anticipation of the market such as the Dutch Tulip Mania, British South Sea bubble etc, without fundamental value associated with the investment. So one has to be vigilant in evaluating the value and the risk associated with one investment. I agree with you. Investment should not be placed on things that cannot be trusted to grow. Bitcoin is volatile and I think cannot be trusted for investment yet. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2594 Share on other sites More sharing options...
Martinsx Posted November 8, 2018 Share Posted November 8, 2018 8 hours ago, menchuuy58 said: I agree with you. Investment should not be placed on things that cannot be trusted to grow. Bitcoin is volatile and I think cannot be trusted for investment yet. Nothing is without risk. Every business investment in the world today comes with risks and if you make the good investment, you are definitely going to gain but if you make the wrong decision, you will end up losing. Quote Link to comment https://slingbank.com/forums/topic/1542-what-are-the-risks-in-bitcoin-investments/#findComment-2621 Share on other sites More sharing options...
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