Advantage Equities In The Tug Of War With Cryptos

I have been planning to invest in what the government calls ‘Virtual Digital Assets’ for some time. But the government is still trying to figure out its stance on cryptocurrencies and non-fungible tokens (NFTs). Therefore, I, and many others like me, are quite unsure on the entire scenario. One section believes that digital assets have no physical value and are extremely volatile, which rules out investing in them. The other section believes that digital assets could be the key to future investments, depending on the NFT-cryptocurrency revolution’s outcome across the world. Acceptance is a significant factor since orthodox investors may not trust digital assets. Cryptocurrencies like Bitcoin are almost 200 per cent riskier than the share market. However, even a 2 per cent change in the value of a Bitcoin can mean high returns for investors. So, while the Indian government has imposed many tax-related complications, which may lead to investors like me losing more than we invested, it boils down to the most straightforward factor of investment: higher the risk, sweeter the reward. 

Kanak N. Batra