Post
Topic
Board Economics
Re: Difference of Trading and Investing?
by
BTCMILLIONAIRE
on 30/10/2017, 22:22:21 UTC
Investment is usually done on a long term basis.Once you  make an investment,then you would not be able to withdraw your investment until the maturity period.Investment is not affected by short term fluctuations.Usually,risk is low in investment and hence,profit is also low.

Trading is an act in which we buy stocks or coins either in a long term basis or in a short term basis.Usually altcoins are traded in a short term basis and even day trading is done in which trading is done more than two or three times a day.Here,we have full control over our money.Risk is high and so,profit is also high.
There is a huge difference in between both the things. Trading can be considered as buying and selling of different kind of things like that of different coins. Trading is indeed a very profitable thing but at the very same time it is very much risky too. On the other hand, investment can be termed as investing your money in any kind of business. You can earn a good amount of money by investing your money.
And you do not forget the risk of investment. Just see the profitable, in someday, the cryptocurrency market will make you lose a huge amount of money. Even, you will never have chance to come back the market because you can not recover your capital. Profitable means there is risk. Wink
The risk is only there if you don't know how to prepare for bad situations. Wink

Well, both trading and investing are risky in every kind of market. The higher the risk the higher the return yes, but if you don’t much have any idea about what you are doing then you are at risk to loose your big money. Investing is really good for long term that can make you earn money.
Again, there's only a risk if you don't know what you are investing in or don't know what you are doing. There are plenty of ways to invest without taking any risks even if things go bad. People are just simply too greedy and keep gambling and then pretend that they are investing.