5 Must-Know Risks Before You Buy Bitcoin

Bitcoin (CRYPTO: BTC) continues to prove that it's one of the best performing assets out there. In the past five years, it has soared 1,200%, with a monster 127% gain just in 2024 (as of Dec. 4) to push above the $100,000 mark for the first time. Bitcoin's tremendous momentum is certainly drawing lots of investor attention for those looking to potentially boost their portfolio returns.

But before you buy the world's most valuable cryptocurrency, here are five risks you need to know.

Because Bitcoin is a global and decentralized digital currency that isn't controlled by a single authority, it is a direct threat to central banks across the world, as well as their fiat currencies. Consequently, it's obvious that a risk would be governments making it illegal to own and mine the crypto within their borders, thus aiming to eliminate a competing monetary system.

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Source Fool.com