Are you ready to invest in Cryptocurrencies?
This asset class is here to stay. Fear can hold us back, stopping us from trying something new. Are you letting fear of the unknown stop you investing in Cryptocurrencies? What are we afraid of? Are we afraid of looking silly, of not getting it right, of losing money or of failing? Bob Proctor says that failing
is our way of learning and that we are only a failure if we stop trying.
Fear of the unknown can also be applied to investments. When it comes to our money, our nest egg, then fear can take on a whole new set of scary wheels. When is it time to follow a new investment opportunity as opposed to sticking with what you know? There are procedures that we can put in place to allow us to put up a small portion of our overall funds for new investmenst to minimize the risk to our nest egg. We need to work out what percentage we are prepared to risk so we can still sleep at night. Being afraid is natural but we need to clarify the potential benefit of gaining a whole lot of money against staying still because of fear.
Cryptocurrencies have been around now for a few years. It is being hailed as the new 4th asset class. I had a look back in 2014 and I could not find anyone I knew that had invested in Bitcoins. Since then the cryptocurrency has boomed and continues to send the charts in a never ending upward movement. The number of cryptocurrencies has grown to over 800. Just trying to understand how these currencies are created, traded and used in the business world can do your head in. But if you willing to have a go or perhaps you are just bored with traditional investing forms then cryptocurrencies is making its presence felt.
Do we need to know what they are in order to use them to our advantage? Take the car for example, I know how to drive a car, I know a car needs fuel and water to run it, I know I need to take my car to a motor mechanic every three months or so for a service, and I know the tyres need to be inflated. I do not know how cars are made or how the engine works. I don’t need to know in order for me to use the car to do its job and that is to get me from point A to point B.
The spectacular growth of cryptocurrencies is such that we can no longer ignore them. It seems their growth is in proportion to the demise of traditional forms of currency that all countries around the world use. Where in the world is our money safe? Some of us like to leave it in the bank. Will it be safe there? Well not anymore. Remember what happened in 2013 when the Bank of Cyprus and smaller lender Laiki were raided in a so-called bail-in to prop up the country’s teetering banking sector.
My guest on episode 38 of the Retire Well Retire Happy podcast show is Nathan Van den Bosch, the CEO and founder of Bitcointrader. Bitcointrader is a digital currency brokerage firm providing a buy and hold strategy for investors. Nathan is providing an overview of cryptocurrencies, how the more popular ones are used and how to get started in this new world of investing.
Listen to episode 38 of Retire Well Retire Happy and then let me know what you think? I’m no different to you. I have my fears but I won’t let them deter me from gaining knowledge that may just dismiss those fears.
Until next time.