Often people get confused when they learn about new stuff. More so, when it is related to finance. The case with cryptocurrency is somewhat similar. Though the industry is growing at a rapid pace, it is relatively new, only a decade old, and mostly amateur investors are drawn to it as they see a way to grow their wealth quickly. Some institutional investors have lately warmed up to the idea but most of them have maintained a studied silence. Then, given the extreme volatility of crypto coins, how should new investors decide what amount they should invest and in which coin?
As this industry leverages technology in a big way and all trades are done online, it’s tempting to dive right in. However, you should factor in your financial situation and appetite for risk before joining the trade. Keep in mind the following points before you set out to invest in this industry.