Can Crypto Give You Financial Freedom?

[Mika]

I started using crypto in 2016 but I was mainly using it as a payment form. I did not start investing until 2021. In the beginning, I went with the popular choices like Bitcoin and Ethereum. After a deliberate calculation, I came to understand that investing in Bitcoin and Ethereum will never make me rich. That’s because these coins were too expensive for me to buy and investing a small amount would never take me too far. Therefore, I started investing with low-priced coins.

I bought some Dogecoin and then went on to buy Shib. When dogecoin did not gain value and started going down instead (long before the bear market started), I sold my dogecoin to recover my investment). I am still holding shib but I have encountered a huge loss.

I then started investing in Matic, ADA, Sand, and AXS. All of my assets are at loss.

Now, I am beginning to doubt my conviction. Can crypto give you financial freedom?

 

[allison001]

Cryptocurrency could likely gives you financial freedom , but in all the same so many things are to be put into consideration before you even think of making a lot of money in cryptocurrency. First of all , you need to understand that cryptocurrency investment and trading may not be a reliable way of making money in the sense that there are a lot of crypto scam all over the place. That is why in some cases we are always advised to invest what we can afford to lose .

And another reason that will help you to make money profitably in the cryptospace is the huge capital requirements , you should be able to invest reasonable amount of money to also earn higher profits . And of course you should be able to know how to research and identify potential cryptocurrency before you even consider investing for long-term purposes .

 

[arunima25]

I have heard and read a lot about cryptocurrency online. I have no personal experience of cryptocurrency. I have never felt comfortable with all the information available there online to go for it as investment oe payment method. Moreover, the future pf crypto hangs in the air in my country and it's the case with many other countries in the world. Here the government has put a tax on crypto earnings but is still not clear about the legal status. This discourages people.
I might not be the right person to answer your question. But from my personal views, whst I have gathered so far from various sources is that people still don't see it as a secure option for finanacial independence. Whichever source I have come across talks of a huge risk involved in it. And one should go ahead with the investment only if there is a risk appetite. And you have to invest only as much as yoi can afford to loose. It is a volatile market and we keep hearing some new coins being launched in the market. And we do hear about the various crypto scams too. The vakues of coin keep fluctuating and I don't know if tgere is a way to predict it. So, it's not in the radar of calculated risk. I have all these reasons to stay away from it. I don't see it as an option for finanacial independence and security.

 

[Allen42]

Before I had a doubt in Web 3. cryptos, blockchain etc. But with the scenario changing worldwide, I am having strong affirmation for this. People need to learn the basics of blockchain before purchasing any coin or token. Scams are everywhere. In the present phase too there are scams, so we should not see the negative side of it and understand the concept behind it.

 

[sincerem]

I don't see much of a profit investing on spot, unless you are an expert who analyses with high precision, then the chances is high for you to make good profit. The best way to gain financial value investing in crypto is investing in lower coins with potential just as the op did. Why op encountered losses is due to the fact, crypto isn't doing well at the moment, all the coins are on the bearish. They're fluctuating on price, moving up and down and still way too back from their previous benchmark. It will take a long while for we to see Bitcoin going back to $70,000. And another way to make profit investing in cryptocurrency, is patience. If we don't exercise patience, it will be way too hard to gain from crypto. Making money investing on spot, demands time, unless you're a good day trader who trades 'futures, ETF, then you can become rich with time.

 

[saoussen5765]

Most of the exchangers in spot accounts don't earn much for P2P trading of cryptocurrency with local currency this is because earning is very low in exchanging this is why half of them merge between spot, margin, landing and borrowing and Binance futures to maximize earnings (depending on your Binance experience).

 

[sincerem]

Binance exchange has so many ways to earn money via their exchange, it just depends on the option you mastered, and your technical know-how. Not everyone makes money selling on P2P platform, because they fail to learn how to make money from P2P. If you want to make money as a P2P trader, you need a merchant status, and it cost money to get such status. But the benefits are worth it indeed, you can be assured to make profit off using the P2P platform. Binance charges around 1,000 BUSD and a good trading history before you can be granted that merchant status. Those who are non merchants finds it hard to make profit, but their are still chances of them making profit due to strategy. Apart from selling on P2P, you can make money studying about the coins and trading on ETF, where you get double of your spot profit.

 

[cashisking149]

It COULD but that doesn't mean it will as it's an incredibly competitive market and often timing can be crucial in making a lot of money as is the way with other asset classes. The problem is that many want to get rich tomorrow and in most cases this isn't in line with reality. Take a look at bitcoin and ethereum's annualised return since their inception and compare that to the stock market. If, and it's a bit IF, the crypto market can be around for another 10-20 years the chances are you could get very rich off the blue chip cryptos.

 

[Snaffle]

For beginners, it may not. I am not saying this because it’s not possible but because not every trader is good enough to take the risks of the market. The always changing market is difficult to understand and you won’t do well at it until you understand what it is. From picking up the right cryptocurrency to trade to using the right strategy, you have to be really careful about the choices you make.