What that they are becoming more widespread all over

What is
the investment and trade with cryptocurrencies?

Emma Poposka, general manager of the cryptocurrency
management company BronTech , explains to the Australian edition of HuffPost
how different investment and trade are in regard to cryptocurrencies and their
great common point: that they are becoming more widespread all over the world.

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“The literal meaning of investing in cryptocurrencies,
in simple terms, is to buy a certain number of cryptocurrencies and wait until
their value increases.” Trading with cryptocurrencies is similar to
trading with traditional currencies (Forex): agents trade currencies via the
Internet “, summarizes Emma Poposka.

 

“People are starting to become more interested, two
years ago, there were not many, but today many people have bitcoins or ether
(the cryptocurrency of Ethereum), and these people exert a force of gravity
that will cause more people to join, but all this has only just begun. ”

 

In other words: if you buy a cryptocurrency in the hope that
it will increase its value to obtain benefits when you sell it, you are an
investor. On the other hand, if you want to exchange cryptocurrencies (bitcoins
per ether, for example) in the hope of maintaining the highest possible value
according to market speculation (as it happens in the stock market), you are an
agent and you are trading.

 

What risks do you have?

According to Lucy Cameron, chief research consultant of the
Australian R & D & i group Data61 , the main risk when it comes to investing
in and trading in cryptocurrencies is the volatility of current markets.

 

Nor should we forget the security risks that surround digital
wallets, as well as the fact that the value of cryptocurrencies can fluctuate
enormously, with sudden spikes and drops, depending on a multitude of events on
a global scale, according to Lucy. Cameron:

 

“The market is highly volatile, and that’s the first
thing we have to take into account, there are a lot of risks.” In the
past, the main risk has been piracy, which has come to take control of
portfolios of users and There are usually periods of enormous volatility and
significant depreciation of a country’s currency due to important events, for
example, with the Brexit, the pound went down a lot and Bitcoin experienced a
peak. of value, “he warns.

 

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