Lately, people are getting caught up by the lure of big scores from cryptocurrencies.
I kinda have a broad brush understanding of them and that’s what most other people have too. Cryptocurrency has been described as “everything you don’t understand about money combined with everything you don’t understand about computers.”
Unfortunately, most people don’t think about risks realistically.
For example, most people worry too much about the risk of dying from a wild animal encounter. They don’t really factor in the risk from animals we more commonly come into contact with.
The title of a NYT article framed the problem this way, “Afraid of Snakes? Wasps and Dogs Are Deadlier.”
The article reports most deaths aren’t from encounters with wild animals.
Dogs, cattle and horses are much more dangerous.
The wild animals presenting the greatest danger are bees, wasps and hornets!
Cryptocurrencies have a risk most people don’t understand. But they sound very seductive when you hear about their growth
Don’t be surprised if you lose money after investing in something you don’t really understand and that you don’t think is as risky as it is.
Risking what you have (and need) for the chance of getting what you don’t need is a bad idea.