Every turn of goods carries risks. This applies to both real and virtual goods (including cryptocurrencies e.g. Bitcoin or Litecoin)
The value of each of the above-mentioned goods is variable, which is associated with price fluctuations. Price fluctuations affect the amount of assets that an entity holds over time. Every good – both virtual (i.e. cryptocurrencies) – may gain or lose value in a given period, or become completely useless.
Trading cryptocurrencies, apart from the aforementioned risk, has one more additional risk that does not occur in the case of trading commodities or official currencies. The value of official currencies or commodities is controlled by the government, while the value of cryptocurrencies is valued on the basis of the development of technology and the trust of, among others, the market and its participants. Cryptocurrencies are not controlled by any institution and do not have a centralized issuer. The value of cryptocurrencies is only affected by free market demand and supply mechanisms on exchange sites. Cryptocurrency is not a benefit, nor is it used to meet needs. It is only a means of payment or a means of exchanging monetary value. The cryptocurrency holder can:
a) acquire goods or services using it, provided that the seller accepts this means of payment.
b) make an electronic transfer using a given cryptocurrency or
c) keep it and in the future for a different currency, thus achieving a profit (or loss) resulting from exchange rate differences.
The cryptocurrency trading system is exposed to changes in the level of confidence of participants, which has a direct impact on the demand or supply of cryptocurrency. The level of trust in cryptocurrencies depends on many economic and non-economic factors.
After reading the above risk content, please make informed decisions regarding your participation in trading in cryptocurrencies.
We would also like to inform that this website uses the electronic banking system only for the purposes of making deposits and withdrawals. Cash withdrawn from a bank account is only used to buy or sell cryptocurrencies, which is done through this website. Cryptocurrencies are not a subject of trading on the banking market.