There is no such thing as guaranteed returns in crypto, ESPECIALLY with alt-coins

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There is no such thing as guaranteed returns in crypto, ESPECIALLY with alt-coins

I've seen a bunch of posts this past week essentially asking if alts are no-brainer investments that can only go up. I've commented in each one I saw with my opinion, but the posts keep coming. Hence this broad announcement:

No, alts don't only go up. It may feel that way at this point in a bull cycle, but alts are usually hit the hardest during the transition to bear cycles. Yes, you can make insane returns on low-market cap alts. But that high return carries with it proportionally high risk. There is no such thing as guaranteed returns. Investing in low-market cap alts carries the risk of losing 100% of your investment.

This website lists all the coins that were born and died subsequently quiet deaths. There are 1,905 coins on that list dating back to 2010. Some were exit scams that were never real projects in the first place (obligatory HEY HEY HEY BITCONNEEEEECT). Some had bad or underfunded development teams that stopped development. Some were pumped and dumped into the dirt, never to recover.

Now before I get downvoted to oblivion, this isn't an alt-hate post. It's your money, and you can and should invest in whatever you'd like (after doing some research, of course). Alts offer the best possibility of unbelievable gains. Just don't think that because the starting price is so low, it can only go up. That's unfortunately not how this works, as much as we all wish it was. Stay safe out there and only invest what you're willing to lose.

submitted by /u/Drudgel
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