Tag Archives: finance

How To Become A Millionaire By 30

04 Thursday Apr 2024

Posted by in Empowerment, Général / General

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To become a millionaire by the age of 30 may seem like a lofty goal, but it is not impossible. Get ready to learn valuable insights and practical tips that can put you on the path to building wealth and realizing your dreams and become a millionaire before you hit 30!

Set Clear Financial Goals

Setting clear financial goals is the foundation for becoming a millionaire. Start by identifying what you truly want to accomplish financially. Do you want to retire early? Start your own business? Whatever it may be, write it down and make it specific.

Next, break your goals into actionable steps. Break them down into smaller, more manageable tasks that will help you make progress towards your ultimate goal. Creating a timeline for achieving each milestone is crucial for staying on track. Set deadlines for yourself and hold yourself accountable. It is important to be realistic with your timeline, but make sure to push yourself to achieve the milestones in a timely manner.

Develop a Millionaire Mindset

Believing in your ability to become a millionaire is the first step towards achieving it. It is important to have a positive mindset and believe that you have the potential to create wealth. By embracing a growth mindset, you open yourself up to learning and growth opportunities that will help you along your journey.

Embracing failure and learning from it is another key aspect of developing a millionaire mindset. Failure is not the end, but rather a stepping stone towards success. View failures as valuable learning experiences and opportunities for growth. Learn from your mistakes and adjust your strategies as you go along.

Staying focused and persistent is essential. Becoming a millionaire does not happen overnight, and it requires consistent effort and dedication. There will inevitably be challenges and setbacks along the way, but it is important to stay focused on your goals and persist through any obstacles that come your way.

Educate Yourself

Knowledge is power when it comes to wealth creation. Educate yourself on personal finance and wealth-building principles. Read books on personal finance and wealth creation to gain insights from experts in the field.

Taking courses or attending seminars on investing can also be beneficial. These educational opportunities can provide you with the knowledge and skills needed to make informed investment decisions. Stay updated with current market trends by following financial news and reading reputable publications. Being knowledgeable about the market can help you identify potential investment opportunities and make well-informed decisions.

Finding mentors in your field of interest can be invaluable. Seek out individuals who have achieved the level of success you desire and learn from their experiences. They can offer guidance, advice, and support as you navigate your own financial journey. Surrounding yourself with successful individuals can also influence and inspire you to reach for higher levels of success.

Save and Invest Wisely

Creating a budget and sticking to it is fundamental for managing your finances effectively. A budget helps you track your income and expenses, enabling you to identify areas where you can reduce unnecessary spending and save money. It is important to monitor your budget regularly and adjust as needed to ensure you are on track to meet your savings goals.

Minimizing unnecessary expenses is crucial for maximizing your savings potential. Evaluate your expenses and determine if there are any areas where you can cut back. This could include reducing dining out, entertainment expenses, or luxury purchases. By making small sacrifices now, you can allocate more funds towards savings and investment opportunities.

Saving a portion of your income regularly is essential for building wealth. Make it a priority to save a certain percentage of your income each month. Set up automatic transfers to a savings or investment account to ensure consistency in your savings habits. Over time, your savings will accumulate and compound, helping you reach your financial goals faster.

Diversifying your investments is important for managing risk and maximizing returns. Spread your investments across different asset classes, such as stocks, bonds, real estate, and alternative investments. This diversification helps to mitigate risk by reducing the impact of any single investment performing poorly. Consult with a financial advisor to determine the best investment strategy for your specific goals and risk tolerance.

Taking calculated risks is a key component of wealth creation. It is important to assess the potential risks before making investment decisions, but also be willing to take calculated risks when the potential for reward outweighs the potential for loss. Be cautious and do thorough research before making any investment decisions, but also be willing to step out of your comfort zone.

Start a Side Hustle

A side hustle can be a powerful tool for increasing your income and accelerating your path to becoming a millionaire. Identify your skills and interests and explore different income-generating opportunities that align with them. It could be freelancing, starting a small business, or investing in a rental property.

Creating a business plan is essential for starting a successful side hustle. Outline your goals, target market, competitive landscape, and financial projections. A well-thought-out business plan will guide your decision-making process and provide a roadmap for success.

Allocate time and effort to your side hustle. Treat it as a legitimate business and dedicate consistent time and energy towards its growth and success. It may require sacrifices and hard work in the beginning, but the potential for financial rewards can be significant.

Network and Build Connections

Networking and building connections can open doors to new opportunities and accelerate your path to success. Attend industry events and conferences to meet like-minded individuals and potential mentors or business partners. These events provide valuable opportunities for learning, networking, and gaining insights from industry experts.

Joining professional organizations related to your field of interest can also be beneficial. These organizations often offer networking events, educational resources, and access to a community of professionals who can provide support and guidance.

Building a strong online presence is essential in today’s digital age. Create a professional LinkedIn profile and connect with influential individuals in your field. Share valuable content, contribute to online discussions, and actively engage with others in your industry. This online presence can help you establish credibility, build connections, and open opportunities for growth.

Work Hard and Smart

To become a millionaire, it is important to work hard and smart. Set ambitious goals for your career and constantly seek opportunities for growth and advancement. Be proactive in seeking out new challenges and responsibilities that push you to develop new skills and expand your knowledge.

Continuously improving your skills is crucial in staying competitive in today’s ever-evolving job market. Attend workshops, take online courses, and seek out mentors who can help you enhance your skill set. The more valuable and marketable your skills are, the greater your earning potential.

Staying motivated and disciplined is essential for long-term success. It is important to maintain a strong work ethic and remain focused on your goals, even when faced with obstacles or setbacks. Develop effective time management strategies and prioritize your tasks to ensure you are making progress towards your goals.

Learn to Manage Risks

Managing risks is an integral part of wealth creation. Before making investment decisions, it is important to assess potential risks and understand the potential impact on your financial well-being. Conduct thorough research and consult with financial professionals before investing in any particular asset or market.

Diversifying your investment portfolio is a key risk management strategy. By spreading your investments across different asset classes and sectors, you reduce the risk of one investment negatively impacting your overall portfolio. Diversification helps to ensure that the impact of any individual investment’s poor performance is minimized.

Having an emergency fund is important for managing unexpected financial hardships. Aim to have at least three to six months’ worth of living expenses saved in an easily accessible account. This fund serves as a safety net in case of job loss, medical emergencies, or other unforeseen circumstances.

Obtaining appropriate insurance coverage is crucial for managing various risks. Make sure you have insurance policies in place to protect yourself, your assets, and your loved ones. This includes health insurance, life insurance, disability insurance, and property insurance. Consult with an insurance professional to ensure you have adequate coverage based on your specific needs.

Stay Disciplined and Avoid Debt

Living within your means is essential for achieving financial success. It is important to spend less than you earn and avoid excessive debt. When you spend more than you earn, you create a cycle of financial stress and struggle to reach your wealth creation goals.

Avoid unnecessary debt whenever possible. Only take on debt for essential purchases, such as a home or education, and avoid high-interest debt, such as credit card debt. Pay off high-interest debts as soon as possible to minimize the amount of interest you pay over time.

Use credit wisely and responsibly. Establish a good credit history by making timely payments and keeping your credit utilization ratio low. This will enable you to access favorable interest rates and terms when you need to take on debt for important investments, such as purchasing a home or starting a business.

Conclusion

Becoming a millionaire requires commitment, persistence, and a clear plan of action. By setting clear financial goals, cultivating a millionaire mindset, educating yourself, saving and investing wisely, starting a side hustle, networking, and building connections, working hard and smart, managing risks, staying disciplined, and avoiding unnecessary debt, you can pave your way to financial success. Commit to your goals, stay focused and persistent, learn from successful self-made millionaires, and most importantly, believe in your ability to create wealth.

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link

J. Michael Dennis, ll.l., ll.m.

Business & Corporate Strategist

Systemic Strategic Planning

Quality Assurance, Occupational Health & Safety, Environmental Protection, Regulatory Compliance, Crisis & Reputation Management

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

How To Become A Millionaire By 30

04 Thursday Apr 2024

Posted by in Empowerment, General, Systemic Strategic Planning

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To become a millionaire by the age of 30 may seem like a lofty goal, but it is not impossible. Get ready to learn valuable insights and practical tips that can put you on the path to building wealth and realizing your dreams and become a millionaire before you hit 30!

Set Clear Financial Goals

Setting clear financial goals is the foundation for becoming a millionaire. Start by identifying what you truly want to accomplish financially. Do you want to retire early? Start your own business? Whatever it may be, write it down and make it specific.

Next, break your goals into actionable steps. Break them down into smaller, more manageable tasks that will help you make progress towards your ultimate goal. Creating a timeline for achieving each milestone is crucial for staying on track. Set deadlines for yourself and hold yourself accountable. It is important to be realistic with your timeline, but make sure to push yourself to achieve the milestones in a timely manner.

Develop a Millionaire Mindset

Believing in your ability to become a millionaire is the first step towards achieving it. It is important to have a positive mindset and believe that you have the potential to create wealth. By embracing a growth mindset, you open yourself up to learning and growth opportunities that will help you along your journey.

Embracing failure and learning from it is another key aspect of developing a millionaire mindset. Failure is not the end, but rather a stepping stone towards success. View failures as valuable learning experiences and opportunities for growth. Learn from your mistakes and adjust your strategies as you go along.

Staying focused and persistent is essential. Becoming a millionaire does not happen overnight, and it requires consistent effort and dedication. There will inevitably be challenges and setbacks along the way, but it is important to stay focused on your goals and persist through any obstacles that come your way.

Educate Yourself

Knowledge is power when it comes to wealth creation. Educate yourself on personal finance and wealth-building principles. Read books on personal finance and wealth creation to gain insights from experts in the field.

Taking courses or attending seminars on investing can also be beneficial. These educational opportunities can provide you with the knowledge and skills needed to make informed investment decisions. Stay updated with current market trends by following financial news and reading reputable publications. Being knowledgeable about the market can help you identify potential investment opportunities and make well-informed decisions.

Finding mentors in your field of interest can be invaluable. Seek out individuals who have achieved the level of success you desire and learn from their experiences. They can offer guidance, advice, and support as you navigate your own financial journey. Surrounding yourself with successful individuals can also influence and inspire you to reach for higher levels of success.

Save and Invest Wisely

Creating a budget and sticking to it is fundamental for managing your finances effectively. A budget helps you track your income and expenses, enabling you to identify areas where you can reduce unnecessary spending and save money. It is important to monitor your budget regularly and adjust as needed to ensure you are on track to meet your savings goals.

Minimizing unnecessary expenses is crucial for maximizing your savings potential. Evaluate your expenses and determine if there are any areas where you can cut back. This could include reducing dining out, entertainment expenses, or luxury purchases. By making small sacrifices now, you can allocate more funds towards savings and investment opportunities.

Saving a portion of your income regularly is essential for building wealth. Make it a priority to save a certain percentage of your income each month. Set up automatic transfers to a savings or investment account to ensure consistency in your savings habits. Over time, your savings will accumulate and compound, helping you reach your financial goals faster.

Diversifying your investments is important for managing risk and maximizing returns. Spread your investments across different asset classes, such as stocks, bonds, real estate, and alternative investments. This diversification helps to mitigate risk by reducing the impact of any single investment performing poorly. Consult with a financial advisor to determine the best investment strategy for your specific goals and risk tolerance.

Taking calculated risks is a key component of wealth creation. It is important to assess the potential risks before making investment decisions, but also be willing to take calculated risks when the potential for reward outweighs the potential for loss. Be cautious and do thorough research before making any investment decisions, but also be willing to step out of your comfort zone.

Start a Side Hustle

A side hustle can be a powerful tool for increasing your income and accelerating your path to becoming a millionaire. Identify your skills and interests and explore different income-generating opportunities that align with them. It could be freelancing, starting a small business, or investing in a rental property.

Creating a business plan is essential for starting a successful side hustle. Outline your goals, target market, competitive landscape, and financial projections. A well-thought-out business plan will guide your decision-making process and provide a roadmap for success.

Allocate time and effort to your side hustle. Treat it as a legitimate business and dedicate consistent time and energy towards its growth and success. It may require sacrifices and hard work in the beginning, but the potential for financial rewards can be significant.

Network and Build Connections

Networking and building connections can open doors to new opportunities and accelerate your path to success. Attend industry events and conferences to meet like-minded individuals and potential mentors or business partners. These events provide valuable opportunities for learning, networking, and gaining insights from industry experts.

Joining professional organizations related to your field of interest can also be beneficial. These organizations often offer networking events, educational resources, and access to a community of professionals who can provide support and guidance.

Building a strong online presence is essential in today’s digital age. Create a professional LinkedIn profile and connect with influential individuals in your field. Share valuable content, contribute to online discussions, and actively engage with others in your industry. This online presence can help you establish credibility, build connections, and open opportunities for growth.

Work Hard and Smart

To become a millionaire, it is important to work hard and smart. Set ambitious goals for your career and constantly seek opportunities for growth and advancement. Be proactive in seeking out new challenges and responsibilities that push you to develop new skills and expand your knowledge.

Continuously improving your skills is crucial in staying competitive in today’s ever-evolving job market. Attend workshops, take online courses, and seek out mentors who can help you enhance your skill set. The more valuable and marketable your skills are, the greater your earning potential.

Staying motivated and disciplined is essential for long-term success. It is important to maintain a strong work ethic and remain focused on your goals, even when faced with obstacles or setbacks. Develop effective time management strategies and prioritize your tasks to ensure you are making progress towards your goals.

Learn to Manage Risks

Managing risks is an integral part of wealth creation. Before making investment decisions, it is important to assess potential risks and understand the potential impact on your financial well-being. Conduct thorough research and consult with financial professionals before investing in any particular asset or market.

Diversifying your investment portfolio is a key risk management strategy. By spreading your investments across different asset classes and sectors, you reduce the risk of one investment negatively impacting your overall portfolio. Diversification helps to ensure that the impact of any individual investment’s poor performance is minimized.

Having an emergency fund is important for managing unexpected financial hardships. Aim to have at least three to six months’ worth of living expenses saved in an easily accessible account. This fund serves as a safety net in case of job loss, medical emergencies, or other unforeseen circumstances.

Obtaining appropriate insurance coverage is crucial for managing various risks. Make sure you have insurance policies in place to protect yourself, your assets, and your loved ones. This includes health insurance, life insurance, disability insurance, and property insurance. Consult with an insurance professional to ensure you have adequate coverage based on your specific needs.

Stay Disciplined and Avoid Debt

Living within your means is essential for achieving financial success. It is important to spend less than you earn and avoid excessive debt. When you spend more than you earn, you create a cycle of financial stress and struggle to reach your wealth creation goals.

Avoid unnecessary debt whenever possible. Only take on debt for essential purchases, such as a home or education, and avoid high-interest debt, such as credit card debt. Pay off high-interest debts as soon as possible to minimize the amount of interest you pay over time.

Use credit wisely and responsibly. Establish a good credit history by making timely payments and keeping your credit utilization ratio low. This will enable you to access favorable interest rates and terms when you need to take on debt for important investments, such as purchasing a home or starting a business.

Conclusion

Becoming a millionaire requires commitment, persistence, and a clear plan of action. By setting clear financial goals, cultivating a millionaire mindset, educating yourself, saving and investing wisely, starting a side hustle, networking, and building connections, working hard and smart, managing risks, staying disciplined, and avoiding unnecessary debt, you can pave your way to financial success. Commit to your goals, stay focused and persistent, learn from successful self-made millionaires, and most importantly, believe in your ability to create wealth.

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link

J. Michael Dennis, ll.l., ll.m.

Business & Corporate Strategist

Systemic Strategic Planning

Quality Assurance, Occupational Health & Safety, Environmental Protection, Regulatory Compliance, Crisis & Reputation Management

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

You Need a Fresh start! How to Embrace New Beginnings at Any Age

19 Friday Jan 2024

Posted by in Starting Over

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January is nearly over, which probably means your New Year’s resolutions are forgotten, or will be soon. Do you need to reset? Are you looking for a big change? Are you looking for a fresh start? We can help! ~ J. Michael Dennis

Having to considering a career change, a business reorganization can feel daunting. It is enough to send you into an existential crisis. But you need to remember that you are never starting from scratch. That is true for career shifts and massive changes to your personal life and even your business venture.

You have been through a lot in your lifetime. You can lean on your years of experience for self-reinvention. And you do not have to seek out a fresh beginning all on your own. It is never too late for new beginnings and here, at JMD Live Online Consulting, we want to help you get started.

Here are our tips on how to start over

With some planning and self-awareness, you absolutely can make significant changes in your life. There is no limit to how much you can grow, learn, and become a better person, start a business or to grow and improve your business performance. Any decade of your life provides an opportunity for self-improvement and growth.

Starting over, rebooting, or reengineering your life will look different, depending on your individual situation. Are you embarking on a new career path, starting a new business, or moving to a new continent? Finding your purpose in life, rebranding yourself or your business is not always easy, and there is no one-size-fits-all approach to starting over.

Here are some general guidelines to consider

You might not have expected to be here, where you are and now. That means you are probably experiencing some unexpected loss. This could be the loss of a loved one, a relationship, or expectancies your plans for the future. Any type of grief is normal, so give yourself the time to feel it. Stop thoughts from swirling in your head by putting them on a page, whether you use a computer or your favorite leather-bound notebook. Through writing, you can gain self-knowledge and a valuable means to process your thoughts.

Avoid falling fall into an endless loop of negative thoughts. Take deep breaths. Give yourself a much-needed moment of reprieve. Do something. Anything! Inertia only sets in when you are feeling down. The smallest activities can boost your mood. Staying active and busy will give you the energy you need to plan for the future.

Remember, you are not alone

Your social health is important to your well-being, and having good friends to support this transition is vital. If you do not already have a trustworthy circle, find new friends through volunteering or attending events in your community. When embarking on a new chapter of your life, take the time to nurture your social connections and maintain a support network. Do not let work take over.

Exercise

Do not forget to keep exercising or start a workout routine. Weightlifting, walking, or other low-impact activities boost your energy and keep your mood up. Taking care of your physical well-being is vital to your overall health.

Get rid of the useless

You have probably accumulated loads of stuff over the years. Get the weight of possessions off your shoulders by getting rid of any items no longer in use. Stay away from the toxic people in your life. Clear your mind of all your negative thoughts and stop all procrastination. Make room for what is to come.

Review your finances

Your financial wellness matters, and you cannot reach a new destination without a road map. Be honest about your financial situation. While reengineering your life or your business, you may need to dive into your finances. Consider taking the following steps:

  • Create a living expenses budget;
  • Factor in how a big change will affect your retirement plan;
  • Read the fine print on your insurance policies, and see how your new situation will affect your healthcare;
  • Set financial goals to save more money.

Plan your final destination and new future

The most important step of your transition is doing some life and/or business planning to better understand your new future. Think about where you are and where you would like to be. Identify the necessary steps to build yourself a better life. Developing healthy habits, like managing new job anxiety with more exercise or finding time to hang out with your family and unwind in your free time, will help you stay on your planned course.

Next, identify your passions, strengths, and weaknesses and how they might fit in a new career or version of yourself. Befriend people doing what you want to do and look for job or business opportunities that match your skills and desired lifestyle.

If you are in your 50s, 60s or even older, forget your age. Age is just a number. You are never too old for a new start. Let go of the fear and anxiety about where you should be and start building the life you want to live. Bask in the challenges ahead because this is what makes life thrilling.

These tips are a lot to chew on. It is okay to ask for help. Seeing yourself through others’ eyes will help you develop greater self-awareness to find the answers you are looking for and take action to meet your goals.

And do not forget, we are here to help.

“I Have No Money”

Much of the above advice still applies if you have little or no money.

The downside is that you might have less time to lose before springing into action. Here are some additional tips if you are in a financially difficult situation and cannot make a quick switch.

If you are still working, keep your job.

If you are not working, find yourself a job, any job!

A paying job that you hate will still give you financial stability. This is what is more important right now. Focus on creating an emergency fund and rainy-day savings while you plot your next move.

Let go of the negative self-talk. If you are without a job, it is tempting to compare yourself to other people your age. Let go of the negative self-talk. Comparison will only lead to a cognitive bias that harms your well-being. Things might be difficult right now, but you still have something few people experience: the chance to reinvent yourself. You have nothing to be ashamed of.

Find your purpose and passion. Reengineer yourself. Think back on the things that felt most meaningful to you. An important step in figuring out how to turn your life around is imagining the person you want to be. Figuring how can you work these things into the next phase of your life and, how can you do that at the lowest cost possible.

Create yourself a “Vision Board” that will help you stay focused on your goals. Make sure all your goal-setting points toward the ultimate one: doing what you love; ending where you want to be.

A Final Word

Maybe are you experiencing a midlife crisis that is putting you in a tailspin, so you want a fresh start. Maybe difficult circumstances put you in this position and you have no other choice. Either way, there are some advantages and disadvantages to seeking out a new beginning.

Seeking out a new beginning allows you to make better choices for your emotional and mental health. You can regain a sense of control over your destiny using your life experiences to your advantage.

On the other hand, especially if you are in a difficult financial situation, seeking out a new beginning may be extremely difficult.

You may have to work harder to keep yourself financially stable and you are running the risk to fall into a poor mental and physical health state. Your stress levels might be elevated due to the change, which can lead to heart disease, high blood pressure, depression, and more.

Whatever your situation or the circumstances, before initiating a starting over, ask yourself:

  • What do I really need to be happy?
  • What is it that I really do not like doing?
  • What is it that I really do not like in my actual situation?
  • What makes me feel free?
  • What are my strengths?
  • What am I passionate about?
  • Am I willing to commit to a new life?
  • How do I imagine my life in a few years?

Answering these questions will clarify your next steps. Knowing what you are passionate about and what industries align with your personal values will help you decide where you should be going or slowly kill yourself doing nothing to change your life.Starting over is an incredibly daunting phase of your life. It is easy to lose faith in yourself when everything is uncertain.

You know what you want! You are no longer comfortable being mediocre! Own your past and create your future.

You need help! Ask for it; most people want to see you succeed, even if it does not always feel like it. There is no shame in asking for help.

Above everything else, remember: “It is never too late to start over.” Besides, no one really starts over; you are forging yourself a new path from where you are today, a path that will allow you, your business to thrive.

Embrace change!

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link.

J. Michael Dennis, ll.l., ll.m.

Business &Corporate Strategist

Systemic Strategic Planning

Quality Assurance, Occupational Health & Safety, Environmental Protection, Regulatory Compliance, Crisis & Reputation Management

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

Disclaimer: All write-ups and articles do not constitute financial and legal advice in any way whatsoever but for information purposes only.

When making financial and legal decisions and commitments, we strongly recommend you consult your professional financial and legal services provider. Our website uses referral links to various crypto exchanges as a means of monetization. We appreciate it if you choose to use the in-article links, but the decision is ultimately yours.

Cryptoassets Trading Risk Overview

17 Wednesday Jan 2024

Posted by in Cryptocurrencies Trading

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Cryptoassets vary in their characteristics and risks. Before buying, ensure you understand the specific risks. Do not invest unless you are prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.

General risks common to all crypto assets

What are the risks associated with Cryptoassets generally?

  • Volatility and Liquidity Risks: Cryptoassets are known for their high volatility which refers to rapid and significant price fluctuations that may be experienced over short periods of time. Cryptoassets markets are often driven by speculation and sentiment leading to rapid price movements based on market perceptions, positive or negative, based on news and rumours. It is essential to consider your individual risk tolerance and investment goals before engaging with Cryptoassets. During periods of high volatility, you may be unable to buy or sell any Cryptoassets.
  • Nascent Technology: Blockchain technology remains in its early stages and the underlying technology continues to evolve. Technical issues, security breaches, and vulnerabilities of the underlying protocol can trigger price fluctuations. It is unclear whether the economic value or functional elements of Cryptoassets will persist over time. Additionally, the Cryptoassets ecosystem is rapidly developing in a competitive market, demand for any Cryptoassets may decrease with the entrance of a competitor or simply the inability to establish long-term value.
  • Hacks: Exploitable vulnerabilities are often discovered in the source code of Cryptoassets, resulting in various issues such as impaired functionality, compromised user information, and theft of Cryptoassets. Additionally, the cryptographic foundations of any Cryptoassets may prove to be flawed or inadequate over time.
  • Concentration Risks: Depending on the consensus mechanism used by a particular blockchain, If an individual or entity acquires control of more than 51% of the computing power (hash rate) utilised by a blockchain network, they would possess the ability to exploit this majority control to engage in double spending of their Cryptoassets. This is known as a “51% attack”, and, if successful, it would severely undermine confidence in public blockchain networks such as Bitcoin or Ethereum or any impacted blockchain network. Consequently, the value of the Cryptoassets impacted would likely experience a significant decline.
  • Stablecoins: Stablecoins are coins are designed to maintain a fixed value relative to the denominated fiat currency. There is no assurance that a stablecoin is able to maintain its value fixed to any denominated currency in moments of extreme volatility.
  • Internet and Electronic Trading Risks: Utilising an internet-based trade execution software application entails certain risks, including but not limited to potential hardware and software failures. For instance, in the event of an internet connection or equipment failure, you may encounter difficulties such as being unable to place an order, experiencing order execution deviations from your instructions, or the non-execution of your order altogether. Consequently, this may result in financial losses if the market for a specific Cryptoassets experiences a sudden drop.
  • User Error: Once a Cryptoassets transaction has been executed to its respective network, or if the user sends their Cryptoassets to an incorrect wallet or network, there is no possibility to reverse the transaction. In the unfortunate event of fraudulent or accidental transactions, any resulting losses are not recoverable.
  • Cyber Security: Cryptoassets platforms have faced cyberattacks and encountered technical problems that led to the loss or theft of Cryptoassets belonging to their users. Consequently, a similarly targeted cyberattack could potentially result in the theft or loss of your fiat currency or Cryptoassets. In such circumstances, it might be challenging or even impossible to recover the lost funds or assets.
  • Regulatory Risks: Legislative and regulatory changes or actions at the national or international level may adversely affect the use, transfer, exchange, and value of crypto assets.
  • No Investor Protection: On some exchange platforms, Cryptoassets do not benefit from the protection provided by the Financial Ombudsman Service (FOS), or the Financial Services Compensation Scheme (FSCS) if something goes wrong. You should be aware and prepared to potentially lose some of all of your money.

Stablecoins

What are they?

A stablecoin is a cryptocurrency whose value is pegged to that of an underlying fiat currency, such as the Pound Sterling, US Dollar, or Euro.

What are the risks associated with Stablecoins?

  • Counterparty Risk: These assets are backed by collateral (e.g., fiat currency), and relying on a third party to maintain the collateral introduces risk. This risk emerges if the party faces insolvency or fails to maintain the required collateral.
  • Redemption Risk: When an asset claims redeemability for underlying collateral, there is a risk that the redemption process will not unfold as expected. This risk is particularly evident during periods of market volatility or operational challenges.
  • Collateral Risk: The stability of the asset is subject to the risk that the value of the collateral, which may be another type(s) of asset or Cryptoassets(s), may decline or become volatile.
  • FX Risk: Many Stablecoins are denominated in US dollars, exposing you to fluctuations in the exchange rate between USD and other fiat currencies.
  • Algorithm Risk: If the asset relies on an algorithm to maintain stability (e.g., by adjusting supply based on demand), there is a risk that the algorithm will fail or behave unexpectedly. This scenario could cause the asset to lose its stability and even its entire value.

Meme Coins

Meme coins, derive value from community interest and online trends, often without any intrinsic value or utility.

What are the risks associated with Meme coins?

  • Volatility Risk: Meme coins are prone to substantial and unpredictable price changes, often experiencing rapid fluctuations. Social media trends and celebrity endorsements can significantly influence their value, diverging from traditional investment fundamentals.
  • Lack of Utility: Meme coins can sometimes lack intrinsic value or utility, relying more on community interest, online trends, and speculative trading to determine their worth.
  • Market Manipulation: Meme coins face an elevated risk of market manipulation, including “pump-and-dump” schemes, where prices are artificially inflated before a sudden crash.
  • Lack of Transparency: Information about meme coins, such as details about development teams, goals, and financials, is often limited. This lack of transparency poses challenges in evaluating the credibility and potential of a meme coin accurately.
  • Emotional Investing: Meme coins often evoke intense emotional reactions from investors, leading to impulsive decisions. This emotional trading activity has the potential to magnify losses in the market.

Defi tokens

Decentralised Finance (DeFi) tokens, such as UNI and AAVE, are linked to financial applications and protocols on decentralised blockchains.

What are the risks associated with Defi tokens?

  • Smart Contract Risk: DeFi’s reliance on smart contracts exposes it to risks. Even a minor coding error or oversight could lead to the exploitation of a contract, potentially resulting in significant losses for DeFi tokens.
  • Regulatory Risk: Operating in a decentralised manner, DeFi often lacks intermediaries or financial crime controls. Regulatory bodies across jurisdictions might introduce new regulations, affecting the use, value, or legality of certain DeFi protocols or assets.
  • Rug-Pulls/Exit Scams: Some DeFi projects, initiated by anonymous or pseudonymous teams, heighten the risk of “rug pulls.” In such cases, developers abandon the project, withdrawing funds and leaving investors with worthless tokens.
  • Data/Oracle Risk: DeFi protocols often rely on external data sources or “oracles”. Manipulation or inaccuracies in these data sources can lead to unintended financial outcomes within the protocols.
  • Protocol Complexity: The intricate nature of some DeFi protocols can pose challenges for average users to fully comprehend the mechanisms and associated risks.
  • Lack of Liquidity: Certain coins within DeFi exhibit very low liquidity, meaning slight changes in supply and demand can result in sharp price movements.

Cryptoassets Risk Summary

Cryptoassets also referred to as cryptocurrency, are a digital representation of value that function as a medium of exchange, a unit of account, or a store of value. Cryptoassets are not legal tender, are not backed by the government or a central bank and generally have no underlying assets, revenue stream, or other sources of value tied to fiat currency or other assets.

Their value is derived from market dynamics and has historically been more volatile relative to fiat currency and other assets. The unpredictability of the price of cryptocurrency relative to fiat currency may result in significant loss over a short period of time.

The value of Cryptoassets may be derived from the continued willingness of market participants to exchange fiat currency for cryptocurrency, which may result in the potential for permanent and total loss of value of a particular cryptocurrency should the market for that cryptocurrency disappear. In certain cases, it may be difficult or impossible to liquidate a position quickly at a reasonable price due to various market factors, including illiquidity or actions by trading facilities.

Legislative and regulatory changes or actions at the national or international level may adversely affect the use, transfer, exchange, and value of cryptocurrencies. Several federal agencies have also published advisory documents surrounding the risks of virtual currency.

Some Cryptoassets transactions shall be deemed to be made when recorded on a public ledger, which is not necessarily the date or time that the customer initiates the transaction. Cryptoassets ownership is often determined by a decentralised public ledger that associates an amount of cryptocurrency with a unique address defined by a public cryptographic key.

A private cryptographic key is required to transfer cryptocurrency from one address to another. Anyone with access to the private key associated with the address can transfer the associated cryptocurrency. Cryptoassets transfers generally cannot be cancelled or reversed and the identity of the holder of the private key associated with any address can be difficult, if not impossible, to ascertain.

The nature of Cryptoassets may lead to an increased risk of fraud or cyber-attack. If you are using cryptocurrencies to purchase goods or services, most exchange platforms have no visibility into the sellers and cannot control delivery, quality, safety, or legality. Losses due to fraudulent or accidental transactions may not be recoverable.

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link.

J. Michael Dennis, ll.l., ll.m.

Business &Corporate Strategist

Systemic Strategic Planning

Quality Assurance, Occupational Health & Safety, Environmental Protection, Regulatory Compliance, Crisis & Reputation Management

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

Disclaimer: All write-ups and articles do not constitute financial and legal advice in any way whatsoever but for information purposes only.

When making financial and legal decisions and commitments, we strongly recommend you consult your professional financial and legal services provider. Our website uses referral links to various crypto exchanges as a means of monetization. We appreciate it if you choose to use the in-article links, but the decision is ultimately yours.

Wealthsimple Review 2024

14 Sunday Jan 2024

Posted by in Canadian Crypto Exchanges

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This Toronto-based fintech continues to attract Canadian investors with its low-fee robot advisor, discount brokerage and money management services.

Since launching in 2014, Wealthsimple has developed a strong reputation for offering online, easy-to-use, low-fee financial services. It has come a long way since its humble beginnings exclusively as a robot advisor, now known as “Invest”.

If you have used Wealthsimple in the past or used some of its products, know that while Invest, Trade and Cash were offered under separate apps, they are now all part of just one Wealthsimple app, which has made the user experience more convenient. Only Wealthsimple Tax maintains a separate app/platform.

Both Wealthsimple Invest and Wealthsimple Trade are excellent low fee investment options. Choosing between the two services comes down to three factors:

  • How confident you are in managing your money on your own.
  • How much time and effort you want to put into managing your investments.
  • Whether you are willing to pay higher fees for a truly hands-off option.

If you are not interested in choosing your own investments, “Invest” is Wealthsimple’s robot advisor, and it could be the way to go for you. Once you create an account, you will be recommended with one of three diversified portfolios of exchange-traded funds (ETFs) based on suitability factors such as your financial goals and risk tolerance. pretty much everything is on autopilot once you fund your account.

The robot advisor service from Wealthsimple is ideal for novice investors or those who are  not comfortable managing their own investment portfolio. The algorithm recommends a portfolio for you based on your financial goals and risk tolerance.

Clients spend a few minutes answering questions online about their comfort level with risk, age, and investment goals. Your answers determine which portfolio is recommended: Conservative, balanced or growth.

About Wealthsimple Crypto exchange

Wealthsimple is a reputable company that makes it easy for Canadians to invest in cryptocurrency. It is one of the best crypto exchanges in Canada. In one year, they have increased the number of cryptocurrencies available and in future they will allow customers to move crypto to private wallets. Wealthsimple is fast becoming a great place to trade crypto, but their fees are some of the highest around. If you do not mind dealing with seed phrases and you are looking to buy a large amount of crypto, then it would be far cheaper to use a traditional crypto exchange. However, if you are looking to invest a little bit of money, want to keep all your investments in one place, or just want an easy and secure way to gain exposure to crypto, then Wealthsimple is a good choice.

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link.

J. Michael Dennis, ll.l., ll.m.

Personal & Corporate Fixer

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

Disclaimer: All write-ups and articles do not constitute financial and legal advice in any way whatsoever but for information purposes only.

When making financial and legal decisions and commitments, we strongly recommend you consult your professional financial and legal services provider. Our website uses referral links to various crypto exchanges as a means of monetization. We appreciate it if you choose to use the in-article links, but the decision is ultimately yours.

BITCOIN WELL Review

04 Thursday Jan 2024

Posted by in Canadian Cryptocurrencies, Cryptocurrencies Trading

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Ranking at number 5 on our list of preferred Canadian exchange platforms is Bitcoin Well. One might wonder why it is not placed higher. The primary reason is its singular focus on Bitcoin; you will not find an array of other coins here. However, if Bitcoin is solely what you are after, Bitcoin Well could very well rise to the top of your personal list.

One of the standout features of Bitcoin Well is its highly competitive fee structure. While a 0.5% transaction fee is already notably low in the crypto exchange landscape, what sets Bitcoin Well apart is the degree of control it offers users.

Users can add Canadian dollars to their accounts using an Interac e-Transfer, wire transfer, Visa debit, or even through Bitcoin ATMs. The crypto platform exclusively deals in Canadian dollars (CAD), making it a straightforward choice for Canadian users.

Unlike many other exchanges, Bitcoin Well does not offer a mobile crypto app for iOS or Android, which might be a consideration for users who prefer trading on the go.

Beyond just trading, Bitcoin Well ventures into a relatively unique territory by enabling users to pay their bills with bitcoin. Users can easily find their bill providers in the platform’s dropdown menu, input the necessary details, and seamlessly use their bitcoin holdings to settle their dues.

Security is a top priority for Bitcoin Well. Being a public company, it adheres strictly to Canadian regulations and is registered with FINTRAC.

Pros: 

  • Bitcoin Well, being a public company, offers unmatched transparency combined with the advantage of immediate self-custody of assets, and the option to buy bitcoin privately with cash.
  • Users experience the convenience of no withdrawal fees, multiple online payment options like Visa debit, e-Transfer, and wire, and the unique capability to pay bills with Bitcoin.

Cons: 

  • You can trade Bitcoin only.

Michel Ouellette JMD, ll.l., ll.m.

JMD Live Online Subscription link.

J. Michael Dennis, ll.l., ll.m.

Personal & Corporate Fixer

Skype: jmdlive

Email: jmdlive@jmichaeldennis.live

Web: https://www.jmichaeldennis.live

Phone: 24/7 Emergency Access

Available to our clients/business partners

Disclaimer: All write-ups and articles do not constitute financial and legal advice in any way whatsoever but for information purposes only.

When making financial and legal decisions and commitments, we strongly recommend you consult your professional financial and legal services provider. Our website uses referral links to various crypto exchanges as a means of monetization. We appreciate it if you choose to use the in-article links, but the decision is ultimately yours.