Is investing in bitcoin a thrill ride or a horror show?
Millions of working Americans will soon have the chance to find out. Fidelity Investments, one of the nation’s largest retirement account operators, announced in April that it will allow companies to give employees the option to invest up to 20 percent of their savings in the cryptocurrency.
Bitcoin has fascinated investors for years. Financial firms have attempted to take the currency mainstream in the past year, shelling out for celebrity endorsements during the Super Bowl, buying the naming rights to the Los Angeles Lakers arena and, now, bringing crypto to retirement accounts.
But all that glitz may obscure the fact that bitcoin — along with the broader cryptocurrency and NFT markets — is still a risky bet. The currency lost more than half of its value from November 2021 to May. So while those who invested in bitcoin even two years ago may have seen big returns, any investor jumping in now could be in for losses.
Use our investment simulator to take the ride for yourself. You’ll have $10,000 to play with, and you can put up to $2,000 in bitcoin. Pick any start date in the past 18 months — or use our presets — and see which would have been the better move: going with bitcoin or sticking with a more traditional index fund, an investing fund that mirrors the performance of an index like the S&P 500.
Source: | This article originally belongs to Nbcnews.com
