The cryptocurrency world is crammed with opportunities to create wealth, but a few myths are stopping people from getting their share. Nuri reveals how investors can stop worrying and start unlocking their financial freedom.

Why do people invest?

Investing is one of the best ways for individuals to improve their circumstances, regardless of financial status. People invest to become independent, to deepen their knowledge of the financial world and to grow their wealth over time.

Now that cryptocurrency is available to anyone with an internet connection, millions of people can stake their claim in the financial world of tomorrow. Nevertheless, there are still a few hangups that stop investors from achieving their financial potential.

Myth n°1: Cryptocurrency is too complex

Perhaps the biggest obstacle for people getting into crypto is working how it all works. But, here at Nuri, our goal is to put simplicity first.

We think investors should have access to a no-nonsense introduction to investing. We won’t overload you with techno-babble or the latest fads, we’ll just give you the tools you need to thrive, in plain English.

The cryptocurrency industry is becoming more inclusive and tech speak is getting phased out. We know there’s still some work to do. But don’t worry, we’ve got your back. Nuri has conjured up a handy A-Z of crypto investing for when things get confusing.

From setting up an account to our step-by-step guide to the world of cryptocurrency, our process is hassle-free. The only thing stopping you from investing in crypto is taking that crucial first step. 

Myth n°2: It’s too late to buy

First-time investors are faced with a frightening statistic: 80% of people end up losing money on stocks. But it shouldn’t be that way. Most people aren’t sensible with their first investments.

The world’s greatest investors don’t try to “time the market.” They make smaller, sustainable investments over a longer period. The good news is that this also applies to cryptocurrency.

Investing legend Warren Buffett has a tip for budding investors: It’s not about when you buy, it’s about how often. That’s where Dollar cost averaging (DCA) comes in. DCA is one of the most reliable investment strategies of all time and can be tailored to suit any budget.

DCA is perfect for investors looking to make their first crypto investment. All you have to do is decide how much you can afford to invest and then buy at regular intervals.

With DCA you have total control. You choose when, how much and how often you invest. And there’s one more thing: dollar-cost averaging can even mitigate against volatility, making it a perfect strategy for investing in cryptocurrency.

Myth n°3: Bitcoin uses too much energy

Bitcoin is produced as a reward for mining. Mining is a process in which powerful computers crack complex mathematical problems to create “blocks” of verified transactions. While this is a very lucrative practice for miners, it does consume a lot of energy.

But miners are cleaning up their act. A 2019 study showed that 76% of cryptocurrency miners use electricity from renewable sources. Miners are even developing ways to transfer excess heat to homes in their local communities.

The energy used in Bitcoin production pales in comparison to other sectors. The industrial sector uses a huge 45% of global energy, with building and transport taking up 29 percent and 21 percent respectively. Bitcoin consumed a mere 0.51%. Perhaps this is why climate-conscious millennial investors are choosing cryptocurrency as their first investment.

Myth n°4: I shouldn’t invest when inflation is high and interest rates are low

Traditional currencies suffer from inflation, meaning their purchasing power decreases over time. Unless you are placing your hard-earned currency in an interest-bearing account or investment strategy, it will be worth less in the future. It sounds unfair, right? Luckily, there’s a solution: Cryptocurrency!

Deflation is hardwired into cryptocurrency’s DNA. Cryptocurrencies such as Bitcoin have fixed supplies, meaning that only a certain amount can ever exist. This sets it apart from currencies such as the U.S. dollar, which can be printed on an ad hoc basis, meaning that its value will continue to wither over time.

In an economic climate where investment rates rarely rise above zero, investors are right to feel miserable about their prospects. But here’s where cryptocurrency can help: Cryptocurrency has had great historic returns. Early cryptocurrency enthusiasts traded Bitcoin for as little as $0.0008 in 2010. Only 10 years later, Bitcoin is worth over $50,000. One thing’s for certain, while traditional savings methods are dead in the water, cryptocurrency is alive and kicking.

Myth n°5: Crypto is used by criminals 

Critics say that Bitcoin is the payment method of choice for criminals. This is simply untrue. Cryptocurrency is eclipsed by the eternal currency of choice for criminals: Cash.

Cash is the ultimate anonymous payment method for illicit activity. The only way to trace cash is by tracking individual serial numbers on notes. Even then, there’s often no way to prove ownership. Cash is universally accepted and well-established methods for laundering the cash proceeds of crime exist.

Bitcoin is pseudonymous. This means that, while the participants and owners of transactions aren’t immediately identifiable, this data isn’t impossible to find out. Most cryptocurrency exchanges and wallets now have Know Your Customer (KYC) procedures to confirm the identities of customers. The blockchain analytics tools already in use by both private companies and governments make catching cyber criminals easy.

Nuri works together with the industry's best AML providers combining progressive blockchain technology with machine learning and artificial intelligence to make cryptocurrency safer for all.

Myth n°6: I want to invest but I am lazy

The good news: You aren’t alone. Thankfully, the investment world is a broad church and the benefits of investing aren’t just for traders bashing out 90-hour weeks.

Even the laziest investors can reap the rewards. That’s why Nuri is launching a cryptocurrency savings plan that keeps investment commitments to a bare minimum.

Nuri’s new savings plan puts you in control. Monthly savings plans will be available for both bitcoin and ether. Simply select how much to invest and the day to kick start it all. Once a month, we’ll ping you a reminder to approve the savings transaction. This way you can keep your investments running in the background, while you focus on life.

The savings plan is coming soon. Watch this space!