Investing In Cryptocurrency Index Fund – Advantages vs Disadvantages

Cryptocurrencies are all around us. Starting from the legendary Bitcoin rise in 2017 and ending with mining, everyone seems to be looking for ways to earn money with crypto. However, the cryptocurrency market is highly volatile. Without outstanding professionalism, experience, and a little luck, it’s easy to say goodbye to your savings.


That’s the reason why many people are investing in crypto index funds. They seem to offer a reasonably safe way to earn money with cryptocurrencies or at least avoid losing it. If you are thinking about a secure way to invest in the crypto index fund, let’s talk about the pros and cons of such an endeavor.

Advantages of Investing in Crypto Index Fund

Experts from the leading LATAM crypto exchange Trubit share the advantages of making such an investment.

1. Higher Chance Of Average Returns

While many investors are hoping for above-average returns, those, who have experience working with cryptocurrencies, know how hard it is to achieve them. That’s why average returns are an excellent result.


Crypto funds diversify your investments by working with numerous cryptocurrencies, thus countering the volatility of the market. By allowing these funds to work with your money, you are upping your chances of getting average returns.

2. Expert Opinion and Actions

Investing in cryptocurrencies requires a high level of expertise. Investors need to do extensive research and constantly monitor the market’s condition. An average investor or anyone, who wants to make money with cryptocurrencies, doesn’t have the time to study the subject properly.


Cryptocurrency funds employ a team of experts, whose sole responsibility is to study the market, analyze its ups and downs, and make smart financial decisions. These experts are likely to do a better job than single market players.

3. Reasonable Cost

Crypto funds aren’t expensive to set up and operate since all is done digitally. That’s why using them isn’t too costly. When you compare the results, you get when investing on your own and delegating the responsibility to the crypto index funds, you can notice an impressive ROI of the latter.


Many investors are avoiding funds due to the wrong information about their cost. The price tag for cryptocurrency fund investment is low, especially when considering the size of the returns.

4. Decentralization And Security

Crypto funds operate using blockchain, which ensures decentralization and security of trading.  When investing in cryptocurrency index funds, the safety is guaranteed. This is an essential factor for any remote investment regardless of its size.


With blockchain, you can track your cryptocurrency and monitor the performance of your investment in real time.

Disadvantages of Investing in Crypto Index Fund

Even though crypto index funds are an excellent way to make money with cryptocurrencies, their use comes with a few disadvantages.

  •         You don’t have control over the investments, but you don’t have anyone to blame for the wrong decision either.
  •         You need to be ready to pay a fee (even though it’s a reasonable one) for using the services of a crypto index fund.
  •         You are unlikely to achieve above-average returns by investing in the crypto index fund.
  •         Even though crypto funds can help you earn money, they don’t give any guarantees.

Overall, taking advantage of a crypto index fund is an excellent idea for people, who don’t have sufficient experience in cryptocurrency trading. These funds could save you time while offering average returns.  


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