Why is crypto not a good investment?

[Starmix]

Some people believe that crypto is not a good investment. It is important to remember that this is just one perspective, and there are also arguments in favor of investing in crypto. Why do some people believe that crypto is not a good investment? These are the following reasons

1. Volatility;

2. Lack of regulation;

3. Complexity;

4. Security risks;

5 Limited use cases;

6. Environmental concerns;

7. Speculative Bubble;

8. Competition;

9. Tax implications, and

10. Potential scams.

Whether or not cryptocurrency is a good investment depends on your individual risk tolerance. It is also important to diversify your investment portfolio and not put all your eggs in one basket. Crypto should only be a small part of your overall investment strategy. you are risk–averse, you may want to avoid investing in crypto altogether.

There are several reasons why some people believe that cryptocurrency is not a good investment, including its volatility, lack of regulation, complexity, security risks, and limited cases. It is important to carefully consider these risks before investing in crypto.

 

[SHAHID987]

Main thing to keep in mind, when we think to invest in crypto is to selection of crypto. If we are thinking to invest in PEPE which don't have any use case then it is useless. On the other hand if we invest in PAXG (gold) then it remain a good investment.

 

[Starmix]

It all depends on the individual's circumstances. If he is skilled, there is nothing to worry about risk; he could definitely protect his investment.