Crypto Asset Risk Management Services

For Unwanted Market Swings, PlatinX provides Crypto Asset Risk Management
Our team of experts have decades of experience studying the crypto assets and analysing the markets. PlatinX helps you prevent losses or control unsuccessful transaction through Crypto Asset Risk Management.
Our experts have designed derivatives to manage risk. It will provide hedge against unwanted price swings, growing operational costs and against potential losses too. Institutions rely on our Crypto Asset Risk Management Services to protect themselves from a change in the market that would put profitability at risk. Changes such as fluctuation in commodity prices or interest rate or hash power can be a difficult situation to come through. With Derivatives, our team will reduce volatility and constrain risk parameters.
With high level of expertise and customisation, PlatinX derivatives make future risks tradable.

Crypto Asset Risk Management

Our Crypto Asset Risk Management services include –

  • • Hedge against Market Instability
  • • Hedge against growing Operational Costs
  • • Derivatives for future risks and saving potential losses
  • • High level of expertise and customisation

What is Crypto Risk Management Services?

Risk Management is the process to identify, assess and control the threats to an investors’/institutions capital and earnings. Markets are volatile and many other factors such as Legal Liabilities, Technical Issues, Strategic management errors, wars, natural disasters etc can make you lose your investments. To avoid such situation, we should always use Risk Management Strategies.

What is Risk Management Company in Crypto Trading?

Crypto assets have given whopping returns if we take a look at the performance for a long duration. However, they are highly volatile too. There can be more than 50% of the fall in the market price in a single day. Therefore, if you don’t want to drain your deposit on the first day, you have to apply the risk management rules from the get-go.

Why is Risk Management Important?

Risk management has become very important in the last few decades than it has ever been. Due to the popularity of crypto assets and eradication of global boundaries & regulations in crypto trading, risk factor has become more complex. We recently saw how Covid-19 created a havoc on many industries. These has prompted management investors to take a fresh look at their risk management strategy. This has led to the rise in use of artificial intelligence technologies and sophisticated Governance, Risk, Compliance (GRC) platforms.

Four types of Strategies used by Crypto Risk Management teams

  • 1. Risk Avoidance – This simply means not investing in stocks or crypto that carry unacceptable risk. Also involves steps to implement policies, technology and training to eliminate risk.
  • 2. Risk Reduction – Utilising methods to reduce the severity of the risk or the likelihood of the risk. For example, you can buy few crypto assets and to reduce the risk, invest in low-risk options too.
  • 3. Risk Transfer – Through this strategy, investors can contract with third party to bear some of all costs of a risk that may or may not occur. Hedging, Futures contract and Derivatives are some forms of risk transfer.
  • 4. Risk Acceptance – This strategy accepts the risk because its potential to harm an investment is very limited or the cost of mitigation would be more than the losses sustained. All risks that are not avoided or transferred are retained by default.