#OutlookMoney July Issue | The latest #Outlook Money cover is about #cryptowinter.
With a huge difference in values of cryptos when compared with last year, when it was like a celebration that everyone wanted to be a part of, it appears as though the party is at the fag end or perhaps over.
As the value of various #crypto coins fall more than half, Nidhi Sinha editor of #OutlookMoney magazine explains what to look forward to with a word of caution for crypto investors.
Click on the below to see what else readers can look forward to in this July issue.
https://outlookmoney.com/magazine/issue/49
#OutlookMoney #Money #OutlookMagazine #OutlookGroup
With a huge difference in values of cryptos when compared with last year, when it was like a celebration that everyone wanted to be a part of, it appears as though the party is at the fag end or perhaps over.
As the value of various #crypto coins fall more than half, Nidhi Sinha editor of #OutlookMoney magazine explains what to look forward to with a word of caution for crypto investors.
Click on the below to see what else readers can look forward to in this July issue.
https://outlookmoney.com/magazine/issue/49
#OutlookMoney #Money #OutlookMagazine #OutlookGroup
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NewsTranscript
00:00 Hello and welcome. We're chatting with Nidhi Sinha, the editor of Outlook Money magazine,
00:06 and she's going to tell us what you all can look forward to in this latest issue of the
00:10 magazine. And to begin with this issue, the cover is about crypto winter. And there has
00:16 been a huge difference in the value of cryptocurrencies. So why is that? Can you tell us what is happening
00:21 in the crypto market right now?
00:23 So yeah, so the concept is crypto winter, because really the crypto party that we saw
00:29 last year and even last to last year, where a lot of youngsters were joining this not
00:34 thinking about the future, not they just wanted a pie out of this party, out of this whole
00:39 thing that, you know, values were huge and all of that, that is kind of coming to an
00:44 end now. And in a way, you know, a lot of financial experts and advisors who had been
00:49 constantly warning against this kind of volatility and risks that cryptos entail, it's kind of
00:58 come true in a way because, you know, if you look at the figures, they're scary. So last
01:03 year, just to give you an example, in November 2021, the figure for Bitcoin was $67,000.
01:12 And as we speak now, it is less than $20,000. So imagine a person who may have invested
01:18 and joined the party at that level, how much that person would have, you know, lost till
01:23 now. So it was very pertinent to cover, you know, the volatility and the movement in cryptos
01:30 in the Outlook Money Edition, because a lot of investors are getting drawn towards cryptos
01:35 in a lot of ways.
01:36 So there were a lot of investors who entered in 2020. So have they made any money?
01:43 So of course, Rifa, if you look at the level in 2020, so Bitcoin, if I take a specific
01:51 date of June 18, so a lot of investors who may have entered the market then when the
01:58 Bitcoin level was around 9000, they would have definitely made money even now because
02:04 it is around 19000 as we speak. But imagine people who may have entered in June 2021.
02:13 So if we take the same date, which I was saying June 18, you know, the figure was 9000 in
02:18 2020. 2021, it went up to 35000. So of course, at that level, people made money. But imagine
02:26 people who entered at that level. So if you entered at 35000 and as I was saying earlier
02:32 also, and if you entered at 67000 in November 2021, imagine your money is less than half,
02:41 almost one third of what you put in the crypto market.
02:44 So do you think equities are a better investment option for those who are investing in cryptocurrencies?
02:51 So Rifa, of course, equities are also volatile and they are a risky asset. And, you know,
02:58 historical figures show that. But when you compare them with cryptos, so again, if you
03:03 look at the figures that we have seen in the magazine, and you can look at it in greater
03:07 detail, I'll just give you an example of one month data. If you look at the last one month
03:13 in June, the amount of money that investors lost in Bitcoin was far higher than equities.
03:23 So Bitcoins lost around 30% in the month to June, whereas equities lost only 3%. So you
03:31 look at the difference in the risk and volatility. And of course, you know, people can say that,
03:37 you know, equities are also falling because of the, and cryptos are facing the same headwinds
03:41 that kind of equities are facing in terms of inflation or high interest rate, etc. But
03:47 this difference that I just, you know, the data that I just presented, it just shows
03:52 another picture, another, you know, aspect to that whole debate. And plus, the other
03:59 thing that is of concern is that cryptos do not really have a lot of historical data which
04:05 you can rely upon. So basically, this issue, this cover story is exploring all these aspects
04:11 about what you could look at the risks that you really face, because you know, at the
04:16 end of the day, you have to ask yourself that, you know, how much risk are you willing to
04:21 take? And whether if you're saving for a financial goal, do you really want to put that financial
04:27 goal, whether it's your kids education or something else or your higher studies? Do
04:33 you want to put it at stake by investing in something that is so risky?
04:38 Now, speaking of risks, what other risks should investors stay cautious of?
04:43 So cryptos, of course, you know, suffer this investment risk that we've been talking about.
04:48 But the other thing is that this whole sense of greed that, you know, a lot of us are,
04:54 you know, victims of where we are thinking of making quick money and all of that. The
04:59 worst part is that fraudsters are really misusing this emotion. So very usual tricks like your
05:07 phishing and you know, the MLM schemes and luring people as a friend through social media,
05:16 through WhatsApp, telegram groups, etc. All of that is happening. And one of our stories
05:22 covers that and we actually spoke to some police officers and cyber cell heads from
05:28 across the country. And we found out to a shock that people have lost lakhs and lakhs
05:33 rupees and from Leh to down south, it's happening everywhere. So that is quite scary.
05:40 So it's really, you know, investors at this point, they really need to think what they're
05:44 doing, how they're doing, and when they are putting such large amounts at stake, it, you
05:51 know, it is essential for them to see that what is the return for me, whether I'll be
05:56 able to meet my goals by investing in these assets. So all these debates and points become
06:01 very, very pertinent.
06:04 What other stories can readers look forward to in the July edition of the magazine?
06:09 So of course, cryptos is very relevant. But the other thing which we should definitely
06:13 not ignore, July is of course, the tax filing month and you like it or not, everyone thinks
06:19 about that it is on top of everyone's minds. So we have a DIY guide for you to file your
06:26 income tax returns yourself. And it's in a very reader friendly format, you would, you
06:32 know, if you pick up the magazine, you will see that, you know, there are various sections
06:35 of what you can do with it, what you need, what kind of information you have to keep
06:40 handy, etc. So really, that will help you a lot. And another thing, another story that
06:46 is very pertinent at this time is on home loan prepayment, because rising EMI's, home
06:52 loan EMI's are something that people are worrying about because interest rates are
06:57 rising. And the real estate industry also, you know, in a way the prices are rising.
07:03 So it's like a double whammy, your prices are increasing, your EMI's are increasing.
07:08 So we have a strategy for home buyers. And plus we have highlighted where the real estate
07:14 regulator has reached so far. So what we found is that it still needs a lot of teeth to be
07:20 really useful for the home buyers. And of course, there are other tidbits that you would
07:25 really like. There's a, you know, there's a trend graphic on the Gen Z generation, we
07:31 can see how they think, how they feel about the finances, etc. And then the whole issue
07:38 of behavioral finance that we have started covering. That's something that is very pertinent.
07:44 It's a good read. And please pick up the Outlook Money issue this time, because it's really
07:49 very relevant for you guys.
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