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The market’s wild growth lured many naive investors afraid of missing out, says Greg Taylor, chief investment officer at Purpose Investments Inc. in Toronto, which offers cryptocurrency exchange-traded funds . “There’s a lot of activity and the price of those assets with very low market caps and high volumes rises relatively fast,” he says. Naive investors, perhaps remembering bitcoin’s huge growth, pile in.
Michael Zagari, associate portfolio manager at Mandeville Private Client Inc. in Montreal, recalls a phishing e-mail that targeted owners of the ethereum blockchain’s ether coin. The perpetrators exploited a forthcoming change in the way that the ethereum cryptocurrency blockchain generates its ether coins. It told owners that they had to open access to their cryptocurrency wallets to prepare for the change. Anyone who did so had their funds stolen.
The first step for advisors in helping clients understand cryptocurrency is to educate themselves. Then, it’s down to a mixture of common sense and technical knowledge.
Don't listen to Pierre Poilievre, would be a good start