46,000 people does`t know how to trade cryptocurrency and reported losing more than $1 billion in cryptocurrencies due to social media scams in 2021, according to a US Federal Trade Commission (FTC) report. Since the vast majority of fraud in this area is not officially registered, these figures represent only a small part of the losses incurred.
The US Securities and Exchange Commission (SEC) is increasingly making claims against cryptocurrency projects that have raised funds from private investors without a special license. The main accusation is the assumption that the funds were raised in violation of the US Securities Act.
The collapse of the algorithmic stablecoin UST in early May caused increased volatility in the cryptocurrency market. The token lost its peg to the US dollar, which was provided by a certain burning and emission algorithm, as well as the LUNA support token. The market suffered multibillion-dollar losses, and investors and government regulators began to pay increased attention to the reserve funds of crypto companies issuing stablecoins.
On the one hand, staking ensures the security of the blockchain network, and on the other hand, it brings passive income to investors. A method of earning on cryptocurrencies, similar to a bank deposit, serves as an alternative to mining in blockchains based on the Proof-of-Stake (PoS) algorithm.
Regardless of the strategy chosen by the user, work on the stock exchange always follows the general algorithm: before opening a transaction, the trader evaluates the probability of a reversal or continuation of the trend, determines the moment of entry, and only then places an order. The result of the work depends on the accuracy of market research before trading.