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But it is. If you buy the wrong asset, you can sell it back and get most of your money back. There is a low friction “undo” button. No such thing in crypto.
by rich_sasha 5y ago
But it is.
If you buy the wrong asset, you can sell it back and get most of your money back. There is a low friction “undo” button.
No such thing in crypto.
- in3d 5y agoBuy a penny stock or an illiquid option and you certainly won't get most of your money back. In addition, there are many other hidden risks. For example, you could have the broker increase the margin rates overnight leading to forced liquidations or the stock could be halted and impossible to trade for months. You can even end up owing more than your whole account is worth if margin is enabled.
- rich_sasha 5y agoRight, if I’m unlucky then sure, something like this can happen. But I’d have to be really unlucky and/or careless to really lose 20%+ of my money. Whereas with crypto it’s so easy to lose 100% plus gas fees, all the time.
- faeyanpiraat 5y agoOptions work differently, you can lose all your money.
- rich_sasha 5y agoIf by accident I buy an option / wrong option, realise that, I can probably sell it and get my money back, less commission, spread and change in value.
- faeyanpiraat 5y agoYes but if the option expires, and you realize at the end of that period you bought the wrong thing, then that is the case I've talked about. Not sure how likely is that scenario though.