1. High volatility: The prices of cryptocurrencies are highly volatile and can fluctuate drastically from day to day, making it a risky investment.
2. Security risks: Cryptocurrency transactions can be permanently lost or stolen due to hacking and other security vulnerabilities.
3. Limited adoption: Despite growing in popularity, cryptocurrency is still not widely accepted as a form of payment.
4. Regulatory uncertainty: Cryptocurrencies are not currently regulated by any government, meaning that their legality and regulations can change quickly and without notice.
5. Potential for fraud: Crypto-assets can be used for fraudulent activities due to the anonymity associated with them.