What are the risks associated with investing in iShares for cryptocurrencies?

1 answers

• Mark IgushkinApr 08, 2021 · 5 years ago
  Investing in iShares for cryptocurrencies can provide exposure to the cryptocurrency market without the need to directly hold and manage cryptocurrencies. However, it's important to note that iShares for cryptocurrencies are not without risks. One of the key risks is the potential for regulatory changes that can impact the value and availability of cryptocurrencies. Governments around the world are still grappling with how to regulate cryptocurrencies, and this uncertainty can introduce risks for investors. Additionally, the performance of iShares can be influenced by factors such as market demand, liquidity, and management fees. It's also worth considering the overall risk profile of the investor's portfolio. Cryptocurrencies are generally considered to be high-risk assets, and adding iShares for cryptocurrencies to a portfolio can increase its overall risk level. Therefore, investors should carefully assess their risk tolerance and investment goals before considering iShares for cryptocurrencies as an investment option.
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