According to Milk Road, tokens now allow everyday traders access to early-stage investments that were once exclusive to venture capital insiders. However, Milk Road warns that tokens carry risk profiles comparable to traditional VC investments, including high volatility, potential for project failure, and lack of liquidity (Source: Milk Road, May 15, 2025). The analysis highlights that many retail investors underestimate these risks, which can result in significant losses during market downturns or project setbacks. For crypto traders, understanding these risks is crucial for effective portfolio risk management and informed decision-making when participating in token launches or presales.