Monday, February 21, 2022

 Risk Warnings on Cryptocurrencies

 

Suthep Chaviwan.

 

Most crypto writers at all levels; top analysts who use bylines to tell the readers to know who they are and pseudonymous analysts who prefer to keep their identities in secret would always give the warnings or disclaimers at the bottom line of their articles, mostly with the sentences "The opinions expressed at the article are not investment advice".

 


The warnings aim to let the investors be alert; they must prepare to sustain a total loss of the money they have invested plus losing any commission or other transaction charges.

 

Of course, such investment risk warnings must be clear and easy to understand.

 

But the important thing is investors must always consider before they make an investment decision and one of the golden investment rules that investors should keep in mind is that crypto-assets are not legal tender. Never invest money that they can't afford to lose.

 

The crypto writers, most have had experiences, they know pros and cons on the investment on this digital assets. The experienced writers and the writers who are faithful to their duties will not bias, but present the Gospel fact to their readers.

 

Some writers and including ghostwriters, who are hired to write the articles on some subjects for the promotion of startup crypto exchanges and other businesses, however, will write according to the orders assigned by their employers.

 

The readers of such articles can easily distinguish the contents and the style of writing whether the writers are the mouthpieces of the startups or not.

 

All crypto startups are involved with huge investments for trading in their exchange services, they want to persuade customers; retail investors and institutional investors to use their services. They have to use all strategies for achieving their goals.

 

The crypto writers will have their vivid styles in writing to warn the readers, and often we will see the sentence with the paragraph that "Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility.

Some warnings said that investors should do their due diligence before making any high-risk investments. Cryptocurrency or digital assets are perilous and not like conventional investing in the stock market.

It is common for writers on the investment subjects to warn their readers to protect themselves, and the word disclaimers are frequently used to escape the effects of the torts of negligence.

In law, a disclaimer is a statement denying responsibility intended to prevent civil liability arising for particular acts or omissions. And the investment disclaimers state you take no responsibility for how others act on your advice.

 

So, it is not strange to see the crypto writers using the paragraphs "Risk Warnings or Disclaimers" on their articles on investment and trade of Cryptocurrencies.

Suthep Chaviwan/Feb. 22. 22

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