10 reasons not to invest in Bitcoin fixed deposits

Four times return over traditional fixed deposits! That was the advertisement of a cryptocurrency exchange, which blared on the TV screens over the last weekend.

I have been deluged with so many investor queries on this scheme. Any scheme which lures investors with high returns, to me is a Ponzi scheme.

Here are 10 reasons why you should stay away from such schemes :

1) This is not a fixed deposit but a lending product. An investor who is holding cryptocurrency can choose to lend the holding in return for interest. Investing in a fixed deposit and lending your money has totally different ramifications and cannot be equated. So, stop thinking of this akin to a bank fixed deposit.