American University Course: Three things that you need to know about encrypted currency

China has banned Crypto, but we can still hear information about Bitcoin, Yuanhe Universe from time to time, and if you have abroad, it is even more like this. Like Elon Mask says “Crypto is likely to become the future currency” and he predicted that BIT’s price may reach $ 100,000, such information often appears in the headline of Financial News.

But one thing is clear: there are many actions around CRYPTO: Payment Gateway Triple A is estimated to this year, with more than 300 million users in the world and more than 18,000 companies accept encryption payments.

For students, many colleges and universities such as Stanford, MIT, Duke and Pennsylvania University (Pennsylvania University) have been committed to steadily increased Crypto lessons in the course to help Students understand this rapidly developed world.

HAAS School Of Business, University of California, Sylvan C. Coleman Professor Christina A. Paulo has been a professor’s investment program, recently started Crypto in her curriculum. She said that the new Crypto investor should know what. “Over time, with the importance of Crypto continues to improve, the content of the financial technology MBA course has turned more and more,” she said. The following is her idea:

1. Don’t think of you think that you are investing in a safe space …

We are very accustomed to investing in a safe environment. Various regulatory agencies ensure transparency in traditional stock markets and formulate specific transaction rules. This encrypted regulatory system is not completely in place whether in the company or in the transaction. Each participant should be aware of this. “

In fact, in 2021, the US regulatory agency has driven a new rule uncertainty in the new rules of CRYPTO, because the market is considering whether the encrypted currency borrowing product belongs to securities, stable coins and decentralization finances should supervise? And whether the SEC will quickly approve the spot ratio ETF.

2, because of this, be careful.

Parol said: “Investors should be very cautious, make sure they carefully do their homework.”

Experts have a lot of opinions for your reserves, if any. Gerber Kawasaki Wealth And Investment Management CEO: “We recommend that people will be (in portfolios) 1% to 5% for encryption. Its risk is very high, so it must be one Long-term investment, people need to look at it like small plate technology stocks. “Certification Finance Planning Brad Ledwith, you should walk into the casino like a gambler. “Many people walk into the casino, budget themselves will lose how much money. Are you willing to lose 1-2% of your entire portfolio? If so, this may be a good configuration, but this depends entirely on your gambling risk Tolerance.

3, don’t trust the hype of the innovation of each encryption technology …

Palo said that it is important to understand how specific innovations add value. “I mean, in order to innovate, innovation is not effective.” Palor said that many business models are new, unspected, “For this, some encryption support will fail “. This doesn’t mean that there is no great innovation, you just need to know where to find it. Parol said: “If we can find a problem with low efficiency, establish a better system, then everyone will get huge interests.”