Saving money and investing is good. I read a post on a WhatsApp status recently that says the best part of being broke is after investment is made. Someone replied to the post that only if it is a good investment. This sound like a "heat" reply but I see a lot of sense in it.
No matter how an investment might seem, they have their risks. In one of my recent posts, I mentioned the factors I check before I invest my money in any system. They are
- The factors that generate money for the owners.
- The ROI
- The project plans and future
- Longevity.
- Number of users.
While all of those will give nice information about any project, there are still many factors that can make them fail. Even some of the traditional businesses that we invest in fails. I remember my dad's investment in the bank that failed 20 years ago. Bank used to be the most trusted but they are failing us. Cryptos are the best and the riskiest investment. There are many projects out there that nobody knows the founders and millions of dollars are being pumped into them. A slight negative thought in the mind of the founders can render the investors losing.
Taking risk is still the solution to making more money but calculated risks are better. You check for every factor and possible issues a project might have in the future. So, the best way is to spread investment in many good systems. Buying different coins with a solid foundation. Bitcoin is good but Hive can be better at a point. Etheruem is cool but I might gain more investing in Leo token. Matic is awesome but investing in BNB isn't bad.
We can not see the full details of a crypto project and we need to be care always.