02 July 2021

Cryptocurrency, Things to Keep in Mind While Investing

Rajeev Yadav
No other investment option has gained as much centre stage in recent times as cryptocurrency has. Not only has it seen many (rather unexpected?) surges and drops in recent times, it has also gained notoriety for being under the regulatory lens of central banks across the world. So, if you are planning to jump the bandwagon, here are a few things to keep in mind while investing. Volatility: Price swings are incredibly common in the cryptocurrency space, also among the biggest coins (think blue chip stocks!) like Bitcoin and Ether. This is counter-intuitive from investing in shares, since you do not expect blue chip stocks to swing too much in normal times. Given that cryptos are unregulated, there may be multiple reasons for the swings. This kind of variability is unlikely to disappear in the absence of a structured (read regulated!) framework. But guidelines and control are...
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