Can you lose more than your initial investment when trading in cryptocurrency ?

Can you lose more than your initial
Can you lose more than your initial

Can you lose more than your initial?

In this article we have answered the question Can you lose more than your initial?

Sadly, you can easily lose more than you invest when you are shorting a stock, or any other type of security, for that matter. In fact, there is no limitation to the amount of money you can lose in a short sale.

First, it is necessary to know the short sale itself. A short sale is a transaction in which the seller do not even own the stock that is being sold but borrows it (or the money to buy it) from a broker-dealer the one through which the sell ordered. The seller has the duty to buy back the stock at same point in future. Short sales are margin transaction you are adding just a portion of your own cash, and getting a loan for the rest, for the deal.

Also see: Can Bitcoin replace the US Dollar

Can you lose more than you invest in puts?

If you are investing with Wealthify, then you can never lose more than you invest.  Also, there are so many advanced ways of investing where you can lose more money than you invest. But for some investors , the most your account will fall to is zero, which means that you can only ever lose what you put in.

Can you lose more than your initial
Can you lose more than your initial

Can you lose more than your initial investment in forex?

It is the same as with worth. If you are still starting to buy foreign currencies to hold, you can’t lose more than you invested. But if you are buying derivatives(e.g. forward contracts or spread bets), or borro to buy on margin, you can surely lose more than you invest.

Can you lose more than you put in on Robinhood?

If you are thinking a stock might fall, you can buy a put. The worth of a put increases as the price of the underlying stock falls. If you were wrong, and the stock increases or remains the same, the option can expire worthless, and you lose the premium you just paid. is a platform that provides an easy solution to perform to buy, sell giftcards, and also cryptocurrencies. is one of Nigerian’s top Crypto exchange platform, the number 1 Guide to Digital Exchange in Nigeria. My BTC Nigeria helps guide people through the exchange process. They give you the best exchange rate, this platform provides you with the simplest solution to cryptocurrency and gift card exchange. Why throw your unused gift cards when you can retrieve it on My BTC Nigeria, Visit now for an impressive exchange rate.

Your Comment:

Related Posts


Crypto, Finance Services, Mybtcnigeria Ambassadors, News, Updates


Popular skit makers and comedy extraordinaire group NEPA BOYS consisting of creativekamo and ozainibadan previously signed a contract with your favorite and most reliable cryptocurrency exchange platform My BTC Nigeria and some few months into the deal they’ve seen many reasons to want to cement the deal such as individual growth as well as fan base growth […]


Crypto, Mybtcnigeria Ambassadors, News, Updates


Hello everyone, welcome to your favorite Blog, we are very grateful for your continuous visitation and surfing. Last year was a major one for My BTC Nigeria because we launched two major platforms, Nigeria’s biggest cryptocurrency and Giftcard exchange platform as well as an unparalleled Blog site. We kick started with a small audience, but thanks to[…]