The exorbitant growth of the cryptocurrency sector in recent years has generated as much fascination among part of the general public as skepticism among the vast majority.
Reasons to distrust, in addition, the second group was not lacking during the first half of 2022, a period in which the low reliability and liquidity of some large international companies that ended up going bankruptWhat celsius or earthand even local like 2gether.
The expansion of the crypto market also spawned the advent of opportunists willing to make their own August, exploiting the lack of knowledge regarding the sector that continues to reign among part of society.
For all these reasons, the investment magazine wanted to dedicate its number 1,299, published on September 9, to offer some guides that allow differentiating between reliable investment tools and those that are notand how to take the first steps safely in the cryptocurrency sector.
Some guides that those responsible for the publication also revealed in the finance.com podcast dedicated to cryptocurrencies, Leafwhose last episode discussed the main red flags to detect when deciding where to deposit money.
The lack of regulation of cryptocurrencies
One of the first points to keep in mind when investing in cryptocurrencies is that, contrary to what a large majority of Spanish society thinks, this is not a regulated sector and, therefore, escapes the control of supervisory bodies. , What the CNMV or the Bank of Spain.
“A survey of the CNMV warns that 40 percent of Spanish investors in cryptocurrencies think that it is a regulated and supervised market. That is already a very dangerous starting point. […] This confusion is already leading this market down a very bad path”, explained Alejandro Ramírez, director of the investment magazine.
Faced with this lack of regulation, the participants in the talk stressed that it was important not to rely exclusively on fillers by companies that highlight registration in one institution or another, such as in the anti-money laundering list published by the Bank of Spainbecause that does not imply that these entities are subject to financial supervision.
The podcast participants also pointed out that this regulation is on its way, thanks to projects such as the European MiCA, which seeks to define the rules of the game in a field that, until now, It was more like the American Wild West than a safe space..
“A good way to discern which platforms are trustworthy and which ones are not is to see who is pushing for MiCA to move forward”, pointed out Rafa Ares, co-host of La Mina.
The importance of information when choosing a project
Once it has been clarified that investing in cryptocurrencies carries higher risks than other traditional vehicles, not only due to its lack of regulation, but also due to the high volatility associated with the sector, it is important to discern in which projects you want to invest.
To do this, a good way to do it is to thoroughly review the white papersor foundation books of the different cryptocurrencies, in which not only the purpose of a token or cryptoactive is explained, but also key information about the company in charge of them is provided.
And if the company’s hiring structure is dominated by commercials, and technical positions are scarce, for example, the alarms should be raised.
María Gómez Silva, editor of Finanzas.com and Inversión magazine, also spoke during the podcast about a fairly effective cotton test to check whether, apart from the reliability of a company, it has liquidity.
“One idea is to withdraw the benefits and leave the principal invested. Because if you see that they start to hit you, to delay in the return of the money… all the alerts should be triggered and, of course, reported,” he said.
Run away from false promises of success
This separation of the grain and the chaff through a previous study of the project that intends to sell a cryptocurrency, or a company that ensures that it can provide an exorbitant return, is important because it can help prevent scams.
Scams in the world of cryptocurrencies come mainly in two ways. Through companies that ask for money to invest on behalf of their users, and academies that promise to teach “how to get rich in a matter of weeks”, instead of understanding how the technology underlying cryptocurrencies works and its application in the sector financial.
In both cases, however, it is important to remember a key premise, they underlined in the finances.com podcast: “When someone promises hard pesetas, you have to be suspicious.”
“It is better to invest directly in cryptocurrencies through your own wallet. If someone tells you to give them the money, that they invest for you thanks to an algorithm, for example, and that it will give you X returns, the best thing to do is rule it out”, was nuanced during the debate.
“The tricks of the financial bars They have now turned into crypto beach bars since they have seen the opportunity and use the same tools as always, that you are going to earn a lot of money, that they have the key to success… And if you are a millionaire, why Was I going to share it?” they concluded.
Thus, to start investing in cryptocurrencies, one must be very clear about the risks of the market, duly informed of where each euro is going to be deposited, and escape from the utopias of luxury and easy money that are so frequently associated with dubious investments. route.