⚠️ Cautions and Risks Investing
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When you buy REAU, AURO or use REAUPay, you are making an investment in cryptocurrencies and participating in a decentralized finance community financial experiment.
Cryptocurrencies are known to offer great financial returns on investments, but their investors are exposed to risk in a poorly or unregulated environment.
The investment risk is proportional to the opportunities for gain. There is no multiplication of money without a high equivalent risk. REAU has already gone through a 56,000% appreciation, as well as 90% corrections.
Rule #1: Don't risk more than you can afford to lose.
Variable Income
"Variable income assets are those whose remuneration or return on capital cannot be measured at the time of investment, and may vary positively or negatively, according to market expectations. The most used are: stocks, variable income funds (funds of shares or shares of capital, commodities, derivatives and real estate."
DYOR | Do Your Own Research
Widely used in crypto, the English expression of Do Your Own Research is what should guide any investor. The market is full of surprises and analysts don't have a crystal ball. Therefore, make decisions based on what you have studied and look for the diversity of opinions about a particular investment. Investing in something for something someone else has said can be a source of a lot of heartache. Therefore, DYOR!
Decentralization
In the decentralized finance environment, the greatest benefit of decentralization can become your biggest enemy: Because it is not a regulated environment and projects are launched "as it is", there are no guarantees beyond what the technology itself can provide. That is, there is no regulatory institution that we can turn to in the event of a hack or fraud. Each individual investor is responsible for his own money, profits and losses.
We invite only those who feel secure in operating in a high-risk environment to participate in the project. For those who have just arrived on the market, we ask that they study this type of investment so as not to make a hasty decision. We recommend that you invest only amounts that you don't mind putting at risk, should a negative scenario occur. This is for any and all cryptoactives on the world market.
We remind you that the regulation in Brazil on cryptocurrencies is still under development, but it already talks about the declaration and taxation of profits obtained. Find out about the laws in place at the time of your operation.
Count on Viralata Finance's team to answer questions and help in whatever way possible, but don't attribute your profits or losses to anyone. Each purchase, sale, transfer or movement is the sole responsibility of the operator.
Avoid propagating expressive gain speeches. This behavior induces newbies to invest more than they can and this will be a problem if there is a drop in value.
Watch out for Scams!!
When it comes to money, there is no shortage of charlatans trying to take advantage of others. To avoid problems in the future, follow these safety tips with your funds:
I. Use only the native service of your portfolio, avoid third-party extensions and check the quantity and quality of evaluations/comments of the software/application;
II. Keep the twelve safe words from your wallet (seed) in an offline medium (such as paper). Do not write them down on your cell phone/computer, do not take screenshots and never give your words to anyone. If you suspect that the twelve words might be compromised in someone's knowledge, create a new wallet and transfer all your funds into it. Don't take chances!
III. Enable two-factor authentication (2FA) in wallet and exchange applications;
IV. Avoid direct transactions with strangers. Without an intermediary platform, there is no guarantee that you will receive what was agreed upon;
V. It is always safer to keep your tokens in your wallet, as their only owner is you. Also, in your wallet your REAUs automatically yield;
VI. If you invest in very high risk tokens, such as memecoins and shitcoins, or usually participate in airdrops, it is recommended that you have an exclusive wallet for these purposes, so that you do not put your main portfolio at risk (where most of the funds are located).
VII. If you received a random token in your wallet, do not sell it. Several users have reported that their funds were stolen after selling strange tokens. There is still no confirmation that these tokens are the reason for the attacks, but there is a pattern that may (or may not) involve them in theft.
Participation in releases
Launches are a great way to lose money if you don't know what you're doing. Watch out! If you're going to venture into investments like this, only risk what you don't need.
Do Your Own Research!
Once this initial alert has been made, we recommend doing extra research when purchasing any release. Below are two common factors in releases that scare off investors and annoy developers:
Sniper Bots
These types of bots are considered a problem on any release. They are sold or shared and, to work, they use blockchain transparency to make the purchase at the exact moment of adding liquidity. This means that the bot will be able to buy large amounts of tokens for the lowest possible price (if they are not penalized by some trap, which is also quite common).
Right after buying these bots, "normal" investors start buying, multiplying the asset's value. At some point, bots start selling and can destabilize the price of the token.
There are several ways to try to outwit these bots, but none of them are foolproof. The presence of bots in releases is almost constant and part of the investor knows how to position himself to be able to profit even with the action of these software.
As always, it is up to the investor to choose his strategy to act on a launch. Some choose to take risks anyway, others to divide the entries and exits at different times and some to simply wait for the initial volatility to make the purchase (perhaps the most conservative strategy).
Pump & Dump
Very common in small cap tokens (such as newly released or low liquidity ones), pumps and dumps can also happen less frequently in high cap coins/tokens as well.
Normally, they are characterized by rapid appreciation without market consolidation, which means that there is no sustainable basis for the price, causing it to fall shortly thereafter. Usually this movement is accompanied by FOMO and FUD (related to impulsive and hasty investment decision-making, resulting in feelings of fear, uncertainty and regret).
The ability to survive a pump and dump can define a project's future and your team's mood. In crypto scams, it is very common for project supporters and developers to abandon after a pump and dump, leaving those who invested without seeing a future for the investment. Some factors can be responsible for pump and dumps, including: Sniper bots (which create a very fast initial appreciation), herd movements (usually caused by strong hype, FOMO or FUD) or whale movement (large token holders) .
There are national and international groups specialized in pump and dump. Their performance is guaranteed in any launch, either manually or by bots. If you do not want to take any chances and intend to participate in the project in the long term, a possible recommendation (it is up to the investor to evaluate) is to divide the purchases and wait for a reduction in volatility.
There is no recipe for evaluating whether the token is in artificial or natural movement. Some wallet movement analysis and graphical analysis can be used (with many caveats), which also does not guarantee the safety of an investment.
It is possible to assess whether the project is more expensive than it should be (indicating a possible pump) by multiplying the unit value by its circulating total. From this value, it should be compared with other similar projects to try to reach some conclusion.
Some tips to avoid a pump and dump are:
Divide the purchases and sales, trying to make an average price. It is almost impossible to get the lowest value to buy and the highest value to sell.
Draw market capitalization comparisons with other projects. Do not take into account the unit value of the token, but its capitalization.
Set aside part of the investment to make a purchase in the event of a sharp drop in price, making an average price.
Always understand the risks and invest consciously. This prevents you from being manipulated and prevents you from carrying out operations on impulse.
As always, there is no unanimous or guaranteed strategy. Much less a list that can be followed to the letter. It is up to the investor (and only him) to analyze the risk possibilities and do his own research in different sources to make decisions.
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