How to invest responsibly

Investing can be a powerful tool for helping you to achieve your financial goals. But with so much information (and sometimes misinformation) out there, it's easy to feel overwhelmed. We recognise the potential risks in investing due to different factors, such as its emotional pull, and believe that by educating our users, we empower you to make informed decisions for a healthy financial future. Taking control and making informed decisions that fit your comfort level and financial situation is our utmost priority. 

Here's how you can invest responsibly, within your means:

Research is your best friend

Investing without research is like going on a road trip with no map. Dedicate time to understanding different investment options, like crypto vs stocks*. Learn about the risks and potential rewards associated with each. There are lots of reliable resources available online and at libraries, and financial advisors can also be helpful if you have the means. We also created the Bitpanda Academy, a free and regularly updated e-learning platform. With the Bitpanda Academy we aim to make our users experts in personal finance. Through the Bitpanda Academy, we aim to educate and empower our users, enabling them to accurately evaluate risks and make informed, well-considered decisions in their investment endeavours. But remember, ultimately, the decision is yours.

New frontier, new risks

The newest class of investment assets is crypto. Advocates understand the potential this technology has to revolutionise many industries, but they also understand that as with any nascent technology, there are many risks and unanswered questions. When investing in crypto, one of the first things to understand is that cryptocurrencies are inherently volatile. Unlike traditional investments, their values can swing wildly, so be prepared for the ride. Only invest what you can afford to lose, and don't chase quick profits based on hype or fear of missing out.

Second, and we can’t overstate this enough, do your research. Before investing in any specific cryptocurrency, learn about the project behind it. What problem does it solve? What technology powers it? Is there a strong development team? Beware of scams and unsolicited investment advice, especially on social media. Look for information from reputable sources. By approaching crypto with caution and a critical eye, you'll be on the right track to a more informed investment.

Don't get swept up in the hype

The financial world can be exciting, with hot tips and promises of quick riches proliferating online. Crypto’s close relationship with social media means there are sadly a lot of bad actors out there. Be cautious of trends or investment strategies that seem too good to be true. Focus on building a diversified portfolio that aligns with your risk tolerance and long-term goals. A diversified portfolio means spreading your investments across different asset classes to minimise risk.

Investing in traditional asset classes

Building wealth with traditional assets like stocks* and precious metals can be a solid strategy, but responsibility plays a crucial role too.

Firstly, diversification is your friend. Spread your investments across different asset classes. This helps mitigate risk – if one sector dips, others might hold steady. Research different companies before investing in their stocks*. Look at their financial health, growth potential, and industry trends.

Secondly, understand your risk tolerance. Are you comfortable with some volatility, or do you prefer a steadier approach? This will influence your investment choices. Generally, stocks* offer higher potential returns with higher risk, while precious metals like gold tend to be more stable but with lower growth potential. Consider your investment goals and risk appetite to find the right balance for you.

Invest for the marathon, not the sprint

Building wealth takes time and discipline. Don't expect to get rich overnight. Focus on long-term growth by consistently investing what you can afford. There are multiple products available that let you automatically invest amounts of your choosing in a range of assets. For example, Bitpanda Savings Plans let investors buy crypto, digital assets, crypto indices and stocks* on a recurring and ongoing basis without even having to log into your account. Regular contributions, even small amounts, can add up significantly over time thanks to the power of compounding interest.

Responsible investing is about you

Responsible investing isn't just about the companies you invest in – it's about investing responsibly with your own resources. This means understanding your financial situation, setting realistic goals, and making informed decisions.

By following these principles, you can take control of your financial future and potentially build a secure path to your goals. Remember, responsible investing is a journey, not a destination.

The role of regulation

Regulatory frameworks for cryptocurrencies across Europe and around the world are still evolving. That’s why we suggest and recommend all our users to advocate for themselves in terms of supporting clear and fair regulations that protect investors, ensure market integrity, and promote innovation. You can do this by keeping up with industry news, regulatory developments, and technological advancements. Being informed helps make better investment decisions and anticipate market changes.

Choose how and when you receive alerts and information

All notifications such as price alerts and email are fully customisable on Bitpanda. By letting people customise their notifications, they can curate their information flow and choose to receive alerts only on events that matter to them. This could be a crypto asset reaching a target price, a significant price swing, or news related to a specific project they're invested in. With control over notifications, users can stay informed without information overload, allowing them to make investment decisions on their own terms.

Safety checks for responsible investing

We prioritise user protection with our investment process. For complex products, we conduct thorough appropriateness tests to ensure users understand the risks involved. Additionally, before purchasing any cryptocurrency, users will encounter clear disclaimers highlighting the high-risk nature of these investments and the importance of careful consideration.

Know your needs first

Before diving into the world of investing, prioritise your financial health and give your finances a thorough audit. Invest only what you can afford. This could mean having a solid emergency fund to cover unexpected expenses or ensuring your regular bills are paid comfortably.

To learn more about investing, personal finance and cryptocurrencies, visit the Bitpanda Academy for free and regularly updated lessons for all levels of experience.


“Bitpanda Stocks” are brought to you in cooperation with Bitpanda Financial Services GmbH. Bitpanda Stocks are not stocks but derivative agreements that allow you to participate in the price movements of certain underlying financial instruments (e.g. stocks or Exchange Traded Funds ). Bitpanda Stocks cannot be traded on stock exchanges or other trading venues, but can be resold to Bitpanda at any time under the applicable terms set out in the Bitpanda Financial Services Terms and Conditions and the derivative agreement for A-Token.

For further details about Bitpanda GmbH as issuer and the relevant risks associated with the product, consult the prospectus available in German (audited version) and English at Please note that this product is only subject to this prospectus in Austria.Risk warning: Investing in digital assets carries risk. The value of digital assets is subject to volatility. You could sustain a loss of some or all of your investment. Past performance is not indicative of future performance.