5 Risks Associated with Bitcoin Buying and How to Avoid Themby PCEX Member India's Most Trusted Crypto Trading Platform
The bitcoin aka BTC market is expanding day by day and year after year, its performance on the charts has so far been bullish. Investing in BTC and taking part in the fortunate run of the Bitcoin is the preferred choice of almost all crypto investors. But investing in this digital currency is not without risks. Let us discuss some of the risks associated with bitcoin buying.
A Volatile Market
A volatile and fluctuating market is the foremost risk that investors take to invest in bitcoin. It is true for every other cryptocurrency as well. One day the market price for BTC remains 11000 USD then the next day it slumps down to 6000 USD. We need to understand that the market being comparably smaller will be highly volatile for the factors such as market sentiments, many investors being bullish or bearish towards it, and so on. In such a scenario, it will be always beneficial to keep an eye on the market’s ups & down to understand the market sentiments to make a smart investment decision. If you are new in this market, instead of investing a lot, start with making small investments.
The situation of cyber theft remains a fertile ground for the cryptocurrencies. What we have to understand that these are technology-based currency in the form of coding and in such a case there’s bound to an Achilles heel has been left open any form of hacking over the cryptocurrency. This may lead to the theft of all the assets without any recourse for their recovery. This is also one of the risks that an investor take while investing in bitcoin. This does not mean that you should avoid investing in BTC. Instead of remaining in a fear of cyber attacks, you should look for cryptocurrency exchanges in India that offer top layers of security against cyber attacks. For instance, PCEX Member is one of the cryptocurrency trading platforms in India that offers 5 layers of security to protect their users as well as their assets from cyber attacks.
There can be situations where the crypto exchange platform is fake and you risk losing all your money in such fake exchanges. Though there have been notifications issued by the financial agencies for the investors to remain cautious of the fake exchanges, without any authoritative regulation of the market, many fake exchanges continue to flourish. So, before investing your money on any platform, make sure that the coin trading platform you are going to approach should be reliable. Look for a reputable and renowned exchange to trade in digital assets with confidence.
Bitcoin is a technology-based currency where it is stored and exchanged via a digital wallet. This poses a substantial threat of cyber theft and other online frauds. Also, there is no physical collateral to back it up like mutual funds, real estate, or bonds where you own something. But, this does not mean that you cannot cash it out. There are many Bitcoin exchanges in India that enable you to cash out Bitcoin in INR in less than a minute. In simple words, to get the best returns from BTC, you need to find a cryptocurrency exchange in India that offers you the best investment opportunities and trading features.
A Newer and Younger Technology
Bitcoin is based on blockchain technology which is still a very young technology to evolve into something concrete. Its dynamism still has to evolve fully. The future is abounding with the possibility of new technological advancements in the blockchain technology. The best way to approach this new market for investment opportunity is with caution and due diligence.
Of course, Bitcoin is a risky investment. But, by keeping certain things into consideration you can get the best returns from it. Though there are a lot of things that should be taken care of, finding the best cryptocurrency exchange in India is the utmost importance to get bigger returns from BTC investment. If you are looking for the one, you should look no further than https://www.pcexmember.in/.
Created on Oct 20th 2020 00:50. Viewed 262 times.