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Glossary entry · What you own
Cryptocurrency
Definition
A digital asset that exists on a decentralized network (a blockchain). Bitcoin and Ethereum are the largest. Crypto is highly volatile (often 60-100% annual swings), produces no intrinsic cashflow (no dividends, no interest), and remains largely unregulated. A speculative asset, not a savings vehicle.
Example
Bitcoin has had multiple drawdowns of over 70% in its short history.
Related
What you own
Stock
A share of ownership in a company. You profit if the company grows; you lose if it falters.
Read →Bond
A loan you make to a government or company. They pay you interest, then return your money.
Read →ETF
A basket of many investments — often hundreds — bought in a single transaction.
Read →Index
A representative basket of a market — like the S&P 500 or the IBEX 35.
Read →