Everyone thinks cryptocurrency is a such a new technology, however, Bitcoin was introduced 17 years ago with the launch of the “Genesis Block” on Jan. 3, 2009.

Since then, that digital currency and the virtual industry as a whole have endured large price swings, hacking scandals and intense critical and criminal attention. Cryptocurrency remains a niche investment option for the average American and one that most investors haven’t taken the time to fully understand.

Although crypto user numbers are rising, only 14% of U.S. adults reported owning it and just 4% of those asked said they’d buy it in the near future, according to a July Gallup poll. 55% regarded cryptocurrency is a “very risky” investment and 32% considered it “somewhat risky.”

Part of this distrust comes from not understanding crypto concepts and exchanges, its place within (or outside) the current U.S. economic system, and the financial nuts and bolts of owning it. In relation to the last of these, we can clear up some concerns about how much it costs to own cryptocurrency, beyond its buying price.

GOBankingRates asked several digital asset and investment experts about the often-overlooked costs of owning crypto. Here’s what they had to say about trading fees, “hidden” charges and tax obligations.

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Each time you purchase, sell or trade a cryptocurrency on an exchange, the platform charges a payment for the transaction. These trading or exchange fees are usually divided into lower “maker” fees (from orders that add liquidity by creating new buy-sell opportunities) and higher “taker” fees (for transactions that remove liquidity by filling existing orders).

Additionally, depending on the exchange you use, you will run into tiered fees (based on how often you trade) and spread mark-ups (the difference between the current market price for an asset and the price you buy or sell that asset for). On some blockchains a failed transaction still costs a fee.

“When markets are busy, the price can move while your order is filling, which adds a little more cost,” said Steven Rogé, chief investment officer and CEO of R.W. Rogé & Company, Inc. “Network fees to move coins can jump when traffic is heavy.”

“How you hold crypto also changes your costs,” Rogé added. “Keeping coins on an exchange is simple, but you pay their fees and rely on their security. Holding coins yourself with a hardware wallet cuts platform risk, but you take on the cost of the device and the responsibility of backing up keys, and one mistake can mean permanent loss.”

Most people assume that the headline price of Bitcoin or Ethereum represents the overall cost. In actuality, a network of “hidden” charges can quietly peck away at your earnings, turning a deal into a break-even scenario or a loss.

“Another ‘hidden cost’ anyone trading crypto should be aware of is slippage, which is essentially the difference between the price at which you execute a trade and the actual price when the transaction goes through,” said Nic Puckrin, crypto analyst and co-founder of Coin Bureau.

While a mismatch between supply and demand can cause slippage, often it’s related to an asset’s trading price changing in an instant.

“Because this process typically takes at least a few seconds, and crypto prices are very volatile, sometimes slippage can be enormous,” he said. “Meme coin traders, for example, have faced slippage as high as 30% to 40%, purely because of execution inefficiency. So it’s important to be aware of and ensure there is a maximum slippage limit set when trading.”

Crypto is considered property as far as the IRS is concerned, and is therefore subject to tax property rules. Unfortunately, fees can add up for things like converting crypto to fiat (government-issued legal tender), trading one crypto for another, using crypto to buy goods and services and earning rewards.

“In traditional finance, you get a monthly statement showing fees,” said Nick Slettengren, founder of crypto tax specialists Count On Sheep. “In crypto, fees are scattered across blockchains, exchanges and DeFi [Decentralized Finance] protocols. Every bridge, every liquidity withdrawal, every swap affects your tax liability, but few people know that many of these fees can reduce taxable gains.”

Making dozens of trades across multiple exchanges and DeFi platforms means you’ll need to spend a good chunk of your time noting the cost basis (original purchase price) and date for every single transaction.

“The most expensive part of crypto isn’t the gas fees, it’s the lack of tracking,” said Slettengren.

However, being classified as property, crypto is exempt from wash sale rules, “meaning that someone can make a sale at a loss in their position and immediately buy back in with no waiting period to have a realized capital loss and offset taxes,” said Max Avery of Digital Ascension Group. “This probably won’t last forever, but at the moment, it’s a strategy.”

“If people plan to do frequent trades, they should consider setting up a digital asset LLC with NAICS code 523910, that way you won’t have tax ramifications when swapping between currencies and just have an aggregate total for the end of the year,” advised Avery.

As with traditional investing, crypto fees can come as a surprise and erode your returns. Being strategic with your chosen exchange, timing trades and withdrawals and planning for taxes well in advance can reduce the amount of hidden fees you’ll pay.

Additionally, educating yourself on fee structures, holding onto assets long-term and using limit orders (which let you buy or sell a digital asset at a specific price that you set) will greatly help you avoid any crypto curveballs.

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This article originally appeared on GOBankingRates.com: The Real Cost of Investing in Crypto: Fees, Taxes and Hidden Charges Most People Don’t Know About