Hi,
I have some experience in crypto trading (far from being a master though).
One question I came across is if there are different level of risks for different cryptos? I know that generally cryptos are like stocks, ie you only can lose what you invest; but obviously there are financial products to deal with leverage etc.
But if we take a simple example: If I just would like to buy some (simple) CEL shares for 1000 $, this would be the maximum I could lose right?
The reason I am asking is that for some COINS, on coingecko there is a disclamer saying 'Highly volatile investment product. Your capital is at risk.' (which is a banner sponsored by etoro, but it doesnt appear at all cryptos...)
I understand that with speculative cryptos you can lose part of or all of your investment, but is the risk limited to the amount i laid out? When I was trying to buy a similar crpto on binance they displayed some warning as well which confused me quite a lot...
If anyone could shed some light on this that would be appreciated.
As far as I understood, you mean that if you invested $1000, is there any chance to lose more? i.e. you may mean that for example bitcoin's price will go into minus and you'll have to pay that debt, am I right? The maximum you can lose is the money that you invested in the beginning but on another hand:
1. You invested $1000 and got $14000. Price went to zero, you lose $14000. If price kept $1000 and then went to zero, you lose $1000. But the most curious thing is that it happens like people still trade with dead coins or there are exchanges that still carry dead coins.