OSIRIS does not sell cryptocurrencies and is not a Cryptoasset firm. OSIRIS publishes price-agnostic research, analytics, and educational information about various assets and their market conditions.
Key Risks With Cryptocurrencies
You could lose all the money you invest
The performance of most cryptoassets can be highly volatile, with their value dropping as quickly as it can rise. You should be prepared to lose all the money you invest in cryptoassets.
The cryptoasset market is largely unregulated. There is a risk of losing money or any cryptoassets you purchase due to risks such as cyber-attacks, financial crime and firm failure.
You should not expect to be protected if something goes wrong
Investor compensation schemes (such as the FSCS in the UK) typically do not protect cryptoasset investments because they are not "specified investments" under most regulatory regimes — in other words, this type of investment isn't recognised as the sort of investment that compensation schemes can protect.
Financial Ombudsman Services typically will not be able to consider complaints related to cryptoassets or research firms publishing information about them.
You may not be able to sell your investment when you want to
There is no guarantee that investments in cryptoassets can be easily sold at any given time. The ability to sell a cryptoasset depends on various factors, including the supply and demand in the market at that time.
Cryptoasset investments can be complex
Investments in cryptoassets can be complex, making it difficult to understand the risks associated with the investment. You should do your own research before investing. If something sounds too good to be true, it probably is.
Not all cryptoassets bear the same risks
There are some general risks to investing in cryptoassets:
- Short history risk — most cryptoassets have a short track record
- Volatility risk — prices can swing dramatically in minutes
- Liquidity risk — you may not be able to exit a position
- Demand risk — value depends on speculative demand
- Forking risk — protocol changes can split or invalidate holdings
- Code defects — smart contracts may have bugs that cause loss
- Cryptography risk — algorithm vulnerabilities can compromise wallets
- Regulatory risk — laws can change overnight in any country
- Concentration risk — large holders can manipulate price
- Electronic trading risk — exchanges can fail, freeze, or be hacked
- Cyber security risk — phishing, malware, exchange breaches
Don't put all your eggs in one basket
Putting all your money into a single type of investment is risky. Spreading your money across different investments makes you less dependent on any one to do well.
Leverage / Derivatives
Derivatives such as CFDs and perpetual futures are complex instruments and come with a high risk of losing money rapidly due to leverage. Industry research consistently shows that the majority of retail investor accounts lose money when trading leveraged products. You should consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.
OSIRIS Is Not a Licensed Adviser
OSIRIS is strictly a research and analytics publishing platform. We do not provide individual investment advice. Our service is not registered with any financial regulatory agency such as the FCA in the UK, the SEC, NASD or NYSE in the US, the DFSA in the UAE, or equivalent bodies elsewhere. The information we publish is based on our observations of statistical and financial data and independent research. They do not reflect the views or opinions of any registered corporate affiliate.
By using our products or services you acknowledge that:
- We do not provide personalised recommendations or advice
- You are solely responsible for your own trading decisions and outcomes
- Past performance does not guarantee future results
- All trading involves risk and you can lose more than you invest in leveraged markets
Protect Yourself
If you are interested in learning more about how to protect yourself, visit your local financial regulator's website. Useful resources include: