Who Are Retail Investors

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Finances comes with a lot of responsibilities and terms. The terms of crypto are so much so that it is difficult to determine where you belong. The crypto world holds so much juice that multiple investments and investors troop in and out with every dying minute.

As I write this and as you read or even take a breath, there’s a new investment that has either just been placed on the market, has been executed or one that is being planned.

The kind of investment you carry out in crypto qualifies you for an investor tag but then you need to know the kind of investor you are.

A retail investor, a retail investment… is this the first you are hearing of these? These terms may sound new or a bit heavy for those of us who do not know but you will be surprised when you get to know what it means.

A retail investment in cryptocurrencies is the form of investment where the investment being made is solely for the individual making it and not for anyone else. Yes, there is a term that describes you when you’re making an investment for yourself. This means that the person carrying out this such investment or trade is a retail investor.

A retail investor is anybody at all who decides to hop onto an exchange with his or her funds and make a trade or an investment. That person becomes retail because the investment and its profits or losses goes straight into the portfolio of the said investor. No one else bears your risks but you and no one reaps the rewards but you.

The crypto market has gained so much popularity that everyone with whatever funds you have can make a trade. I can be a retail investor with my $10 just as Vitelik Buterin or Elon Musk can be retail investors with their millions and billions of dollars.

Retail investors can trade short, long, use market and limit orders, leverage trade, future trade and a whole lot more. After all, it’s their money and they choose to do with it what they want no questions asked. They’re very important for the cryptocurrency market.

A retail investor unlike the other forms of investors which I will make a list about have an upper hand. A retail investor like myself can trade at anytime of the day and anywhere that I deem fit. I don’t have to answer to anyone and I don’t need anyone’s approval before I take a trade decision. The market like we have all found out is always open and ready for trades.

The law of supply and demands makes for what retail investors do important. If there are a lot of individuals looking to buy an asset, it makes that asset be in high demand which ultimately means the price goes up.

So basically, a retail investor is the kind of investor who invests his or her funds for his very own personal gain. Just like any investment especially in crypto, there are multiple risks involved and so if you choose to trade for yourself you need to realize that the market is volatile and just as you enter into a project, it could go into a tremendous downtrend and turn your investment to dust.
It could also enter a significant uptrend and make you a whole lot more.

Posted Using LeoFinance Beta

Posted Using LeoFinance Beta



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Basically, retail investments are individualistic in that they pertain to the person making the investment. He/she bears all the profits and losses. I guess everyone could be a retail investor :)

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You’ve summed everything up perfectly. I guess everyone can become one.

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