We understand that no one can guarantee that cryptos will go back to attacking new heights, but what place should we reserve for them when we want to give it a try? Unsurprisingly, Nicolas Claeys, of Test-achats Invest, pleads for the greatest restraint: “The basic rule for investing and building a safe and sustainable portfolio is to build good foundations and this requires investment funds that invest in both bonds and equities and this must constitute the majority of the portfolio. For the rest, you can invest in start-ups or growth assets such as cryptocurrencies, but no more than 5% maximum. In our opinion, this must remain an experimental investment, so much the better if it goes up, it will be a good business but it can in no way form the basis of a portfolio because you don’t build on unstable ground.”
And if we decide to take the plunge, how do we go about it? “For someone who knows nothing about the cryptocurrency world, and that’s the majority of people,” believes Nicolas Claeys“the easiest way is to go through an ETF, a kind of investment fund listed on the stock exchange and which invests in a basket of digital currencies such as Bitcoin, TerraUSD and others. Sometimes, you can even subscribe to it via your traditional bank , it’s more reassuring than by platforms or specialized brokers who often require you to open an account.As soon as you enter, you are quickly confronted with often tempting offers but in areas that you do not master really and therefore we risk investing in cryptos that we do not know, attracted by the superb returns of the past, except that behind there is a risk that we measure poorly.
“Some platforms even offer to borrow money to invest it, which is an absolute trap because if it goes down, you have to pay back with money you don’t have. All that without counting the many scammers who lurk in the sector, looking for pigeons to pluck. So, to avoid unpleasant surprises, we advise those who want to try cryptocurrencies to start with an ETF provided of course that they go moderately and that they are prepared to lose their money.”