Yes, many risk involved in cryptocurrency world, you can lose your private key – if you had it backed up on paper – you can lose it, it can be flooded or burn; if you had it backed up on a cd – you can break, scratch, or lose the cd; if you had it backed up on a USB stick – USB sticks go bad remarkably easy
your private key can get hacked or stolen – hackers with access to your computer via spyware, remote viewer, WiFi network, the internet, can access your computer and copy your private key (if you keep it in a file) or your wallet.dat file. Whoever owns the private key, owns the tokens.
your exchange account can get hacked or broken into – same as above, they can find out your email/password combination, get in your account and transfer the funds elsewhere
your email/password combination for the exchange can be obtained in plain text, if you register at a malicious website that serves cryptocurrency traders (or an ICO, an airdrop of cryptos, a new exchange etc) – and instead of them encrypting your password on its way into the database, they can preserve it in plain text format if they want to, then use the same email/password combination to try to log in on other exchanges, especially ones that do not support two-factor authentication
your email/password, account, wallet or private key can get easily stolen if you use your Android device to trade cryptocurrencies because Android devices are the least secure, and can get their traffic intercepted and apps decompiled with almost no effort
due to the nature of cryptocurrencies, you can lose all or most of your money in the big price fluctuations that can vary with hundreds of percents in a single day
the cryptocurrency you’ve invested in can be abandoned by its developers after a pump-and-dump scheme, or after the ICO
the cryptocurrency you’ve invested in, can just quietly go to 0.00000001 satoshi and never recover if there is no interest in it and no development
the cryptocurrency you’ve invested in, can get delisted from all exchanges it is being traded on, and/or just disappear
the cryptocurrency you’ve invested in, can suffer source code bugs and complications that can mess up your balance/transactions/wallet and your coins can be lost forever
So yeah, be wary when trading/investing in cryptocurrency
You are viewing a single comment's thread from: