Opinion by: Lucas Kiely, CEO of the Future Digital
The most significant issue of crypto is lacking in the kind of amount of value that traditional stock possesses, making it fully speculative. On top of this, investors can transverse trading in a way that can scratch billions -billions of dollars overnight.
Industry diehards behind technology argue that the innovative infrastructure of the blockchain is what provides the value. However there is very little evidence that it translates into real, tangible acquisitions for tokenholders.
Professional investors entering from traditional finances often fight here. There is no price-to-earnings ratio to follow for a token, no supply chain to monitor and, really, nothing is tangible. This makes a unique crypto in all other classes of possession: it is driven with all emotion – often, highly unpredictable emotions.
Crypto is a reflection of the power of a truly free market. Bitcoin (Btc) may be the only exception because it has a finite supply, and sophistication, institutional investors are increasingly dominated by its ownership. However most crypto tokens are rising and falling in a way that is very difficult to predict and drives especially to entrepreneurs.
Confidence, accessible and unlimited action
One may argue that the values of many stocks are not basically the real value, either. In fact, the values of tech stocks such as Apple, Meta and Nvidia have stretched for hours. But beyond the high price tags, companies still have foundations to return to: income, cash flow, supply chains and products. Most digital assets are not.
Related: History tells us that we are for a strong bull market with a hard landing
At the same time, crypto holds the promise of life change, and sometimes, they become materialize. Seeing these success stories that are immortal onchain and broadcast throughout the social media platforms mean that no investor can ignore the $ 4.3-trillion market. Most of all irregular crypto worlds, however, investors often work poorly and make big mistakes.
Often, it comes in the form of Leverage. Of course, leverage is not a new concept in the world of investment. Retail investors may use traditional finances, but it is controlled. For example, the rules for regulation in the US Cap Retail Margin Margin accounts regulation in 2: 1 action in equality; Forex trading in leverage is only available through specialist platforms and is subject to tight cover; And the derivatives are largely the kingdom of qualified investors.
A house of cards
In Crypto, meanwhile, any investor can easily trade 100x leverage or more directly to the exchanges. Now, more than ever – because the world’s biggest institutions are now invested in the crypto space – it’s a big issue. Leverage-free-for-all causes cascading liquidations that eliminate billions of dollars value from the digital asset market, often at a time, if not minutes.
https://www.youtube.com/watch?v=GD81DFCMIH4
Consider the mass extermination event we witnessed by the end of September 2025 and in early October 2025. In the former case, more than $ 1.8 billion in leveraged positions was killedIn the end $ 19 billion in a few hours. While the speculation is rife to the real cause of the latter, what is clear is that long positions are caught in a cascade of fluids when emotion is turned on.
Some businessmen who have no doubt benefited from this spike in volatility. Most of the crypto investors, however, are in control of their positions before they even thought to log into their trading accounts. In Crypto, these mistakes hit more difficult than traditional finances because the rules are small. These positions collapsed like a house of cards when the market direction turns, and they take the billion -billion.
Let’s get smarter, faster
The crypto is emerging. We have the most popular manager ownership around the world involved and a more lovely regulation worldwide. What is still lacking, are the types of protections that can prevent massive market events in an instant.
Most of these have to do with the availability without limits, unrealistic expectations and entities of institutions that can now move the market to a single trade. Every crypto investor should start a market treatment more seriously. People who make millions in bitcoin are lucky, and we all know people who have lost more than Dogecoin (Doge) than they do not.
Excessive confidence-and over-leverage-is at a high risk in the industry today that it is matured and the giant fish rotates. Every investor needs to make a more systematic approach that recognizes this new fact.
Opinion by: Luke Kiely, CEO of the Future Digital.
This article is for general information purposes and is not intended to be and should not be done as legal or investment advice. The views, attitudes, and opinions expressed here are unique and do not necessarily reflect or represent the views and opinions of the cointelegraph.
