One big question on investors' lips today is whether bitcoin is risky or not.

And the answer to that question is yes, according to financial advisor Ted Jenkin, CEO at Oxygen Financial.

Bitcoin is a peer-to-peer digital payment system. And because of that, there's no government involvement, no central authority and no FDIC insurance, Jenkin said.

That means that if you lose your money, it is difficult to recoup what you have lost.

More from Straight Talk:

How to get millennials, Gen Z thinking about retirement

Want to refinance your house? Keep these two points in mind

Employee stock purchase plans: What you need to know

"If somebody actually hacks in and takes your money, there's nobody to complain to," Jenkin said.

There's also another complication bitcoin investors need to stay on top of: taxes.

If you invested $3,000 in bitcoin and sold it at $10,000, you need to report that $7,000 gain to the IRS and pay taxes on it, Jenkin said.

"If you don't, you still run yourself subject to the risk that if you get audited and somebody finds out that you did make money, you could cause yourself a larger problem down the road," Jenkin said.