Today I will be answering the question “Can you lose all your money on Bitcoin? “.

There is no definite answer to this question.
It can be “yes”and it can be “no”
Rules of classic fiat currency (dollars, Euros, Pounds,…) apply.

If you choose to invest and own Bitcoin you will not lose all your money.
The problem you will be facing, and need to account for, are the exchange rates as well as the very possibility of seeing your wealth “diminish” due to the value of the coin.
For example; say you invest all your savings (which happen to be 10K US$) into Bitcoin you will have 1BTC. 1BTC now represents all your savings. It will not grow (unless more is bought) nor will it diminish (unless you spent).

The problem you may encounter is the value of BTC changing over time.
At the moment; 1BTC might be worth 10K US$ but, due to a pandemic for example, the value might decrease to the point that 1BTC equals 9.8K US$.
You still have 1BTC but have lost 200US$ in value. This if of course problematic as you hoped that it became worth more.

The issue here is that US$ (or any other fiat currency) is still the norm for frequent use. The global financial standard. The good news is when owning BTC your savings will never be reduced to 0. Value may change to the extend that your 1 BTC can represent more than, or less than, the initial investment made.

Where you will lose money is with trading and exchanging (like on ForEx). On these kind of platforms you are actually betting about future evolution of price and value. Wrong bets will imply you will be losing money and it will quickly gobble up all your savings (and some more) if your predictions are off or if the markets suddenly start moving contrary to what the predictions were. This has less to do with owning Bitcoin and more on market-movements and Wall-streetesque tradings.

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