With new investment possibilities cropping up every day, it is critical to keep up to date with what options you have for wealth management. As portfolios need to be balanced, good portfolios tend to include some riskier assets, such as cryptocurrency.
While investing in Cryptocurrency carries a higher risk but statistically, the returns are way much higher than the risk especially if the cryptocurrency is bought within a reasonable price range.
Cryptocurrency use cryptography to process transactions and create new coins. All transactions are stored on the Blockchain. This gives the ledger a data structure that is well insulated from hackers and can be copied to any computer. The use of cryptography also makes it very difficult to forge coins. Cryptocurrencies are very popular due to their decentralized nature. Many users believe this gives users protection from Government interference and manipulation. There is also the hope that cryptocurrency will help break the monopoly banks hold over currency.
People are attracted to Cryptocurrency due to many factors, among others:
In conclusion, investing in cryptocurrency is on an upward trend. This trend is set to continue at least for the next 3-5 years as more and more Financial Institution, Multi-National Corporations and Businesses are migrating into Blockchain Technology and embracing Blockchain Applications.
FOINS Education Concept discourages its members from investing more than 20% of their investment in Cryptocurrency. Even though the risks justify the returns at this point in time, there is no need to invest all your life-saving into a high-risk asset class. Diversification is the name of the game.