JORDAN Belfort has offered his advice on how to navigate the volatile world of crypto.
The so-called Wolf of Wall Street told The Sun that buying digital currency is a risky business and investors should start small and do their research.
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The New Yorker is also not lenient when it comes to discussing “meme coins” like Dogecoin and Shibu Inu, which were originally made as a joke but have now become popular with amateur investors.
Investing in cryptocurrencies is dangerous – you need to be prepared to lose all your money.
You should never invest unless you have savings and you should also research and watch out for scams.
Here are his top five tips:
Small start
Buy some Bitcoin but buy a very, very small amount.
Then once you invest in it and you can start reading more about it.
Then you can look at other “blue chip” currencies like Ethereum and Solano.
A lot of big money and venture capital has gone into them – I think those are things that will last a while.
Avoid coin meme
I would invest in a Shiba Inu if you liked the name Shiba Inu – but it’s not a sound investment. It’s a joke, it’s pure speculation
It is not an investment.
You hear crazy stories about people making millions and billions but for each such person 10,000 or 100,000 are assigned to them in the Shiba Inu.
Things like Doge Coin and Shiba Inu I can’t get over it. I’m not a fan I don’t buy them ever.
Don’t listen to celebrities
A lot of celebrities are endorsing these coins and it matters.
Look for the signs that you’re in a “bubble”
You know you’re in a bubble when your hairdresser and Uber driver are trading cryptocurrencies.
Be careful
I have never seen anything like this in all my life. I don’t think we’ll see it again.
I was around when it was the wild west of Nasdaq – when it was new – it was a thousand times more regulated than this place.
With cryptocurrencies, there is really no regulation.
Invest a small amount of money and do your research.
Risks of buying with cryptocurrencies
Investing and buying with cryptocurrencies like Bitcoin is very risky.
Their value is volatile and the City watchdog the Financial Conduct Authority has warned investors to be prepared to lose all of their money.
Investing in cryptocurrencies is not a guaranteed way to make money.
You should also think carefully about making purchases with cryptocurrency.
For example, Bitcoin has had intense price swings in recent months, and prices can change almost hourly.
Bitcoin price was at $40,258 on January 9, according to Coindesk, but fell to $34,214 just three days later.
That’s a 15% discount.
These price movements are risky for a business because you can sell an item with Bitcoin at one price and the value can drop shortly after, leaving you with less money from a purchase or sale.
Similarly, the price of Bitcoin has increased by more than 21% since the beginning of this week, so it can be difficult for buyers to get an accurate idea of the price of an item if its value changes on a daily basis.
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https://www.thesun.ie/money/8001991/dont-listen-to-celebs-and-avoid-meme-coins-the-wolf-of-wall-street-gives-his-top-five-tips-for-investing-in-crypto/ Don’t listen to celebrities and avoid the meme coins
