A lot of people I know have purchased cryptocurrency over the past year. But for the most part, I’ve stayed away. I have a negligible amount of money in crypto, and I don’t see myself expanding that position anytime soon.
Although I don’t consider myself a particularly risk-averse investor, cryptocurrency makes my stomach churn. Here’s why.
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1. It’s so volatile
As someone who’s been investing in stocks for well over a decade, I know full well that the market can swing wildly. But as volatile as stocks can be, cryptocurrency tends to be even more erratic.
I know that you don’t actually lose money as an investor until you liquidate positions at a loss. And I’ve done my best to position myself to not have to tap my portfolio for cash by building a solid emergency fund. But even so, those swings are just too extreme for me.
2. It hasn’t been around that long
I own a number of stocks that have been around for many, many decades. Cryptocurrency, meanwhile, didn’t exist until about 13 years ago, and there’s something unsettling about that. In…
