Steemit Crypto Homework Week 6 by @stream4u, Different Types of Capital Investments.

The Differences between Capital Investments.

The investments made in cryptocurrency projects are not all the same, they are usually divided into sub-groups, not every organization has equal financial status and this definitely interprets to mean that the type of investment that these organizations will be involved in will surely be different.

Large capital investment is mostly done by organizations who have huge capital for investment purposes, when it comes to large capital investment it is usually safer than the other investment types, it is often a type of investment that yields slow rewards, it may bring growth but the process may be a bit more slow compared to the other investment plans.

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The mid-capital investment on its own is neither an extremely high or low type of investment, the capital need is usually within an average range. Mid-capital investment usually have more risks attached to it compared to the large capital investment, although its yield of profit/reward is usually greater and better than the large capital investment.

The small capital investment on its own is described to be a type of investment which can be done with a low amount, although this type of investment happens to be the most volatile type of investment it can also be a type of investment with the highest type of pump available.

Advantages and Disadvantages of Small Capital Investment.

Small capital investment actually is the most favourable of all investment because with a little capital, it is possible for a quick profit increase to happen and create some good profit for the investor but on the other hand the great disadvantage of small capital investment is that it can also be extremely volatile, the huge profit seen this minute could transform into a major loss in the next minute.

Risk capital and penny cryptocurrency.

There are stocks whose value are actually really little and a little amount such as the money we spend on drinks could be used as a form of investment in this penny stocks, these risk capital are the funds that we can just forego and these funds are what we can put into penny cryptocurrency.

The role of watch list.

Watch list serves as a good option for us to understand the trend as well as observe the price changes in the cryptocurrency space. With a set watch list we can choose the tokens we wish to see and carefully follow the trend on it.

Conclusion.

I am glad to have the privilege to attend the class by the professor @stream4u for the week and I have learnt a lot and I am hoping that this assignment meets the standard required by the professor.