There are a few crypto investment channels I watch and enjoy, but all of them — ALL OF THEM — have this same shortcoming. All of them are influenced to give you investment advice based on their current position in the market.
I wrote a post (can't dig it up now) about moving with your generation in crypto. I've found this to be the most successful investment strategy for myself, and it applies to everyone, because it looks different for everyone. What do I mean?
Generations happen fast in crypto. The OGs who have made it, the experts with the most expertise, have a max of 10 years of experience. Most have about 3 (they made their money in the 2017 bull run). Their lives have fundamentally changed. What I find from most of these guys is that they recommend a strategy that is most effective for people like themselves — folks who have made it.
Buy and hold bitcoin. Stay away from altcoins. Dollar cost average. It works for them at their stage in the game. It's not the most effective way for you, just getting started, to change your financial life.
First of all, we're in a bull market. Act like a bull. You have more room to make an investment mistake here because the entire market is moving up. Take that advantage and be more aggressive generally.
The dollar cost average advice is good, but not for the reason you'd think. You don't want to shoot your whole wad at once because there is always something new in crypto. Like every other day a new project will come out. Things move fast. You need powder on the side to move immediately when an opportunity hits.
Most importantly, specialize. The amount of projects that look good at any given time will overwhelm you. You will not have the money to invest in them all. Choose a specialty — supply chains, gaming, insurance, etc. Hopefully that specialty is connected to your previous experience so you can have an intellectual edge going into the investments. This is the one thing traditional investors still get right. Small cap traders are small cap traders. Large cap guys are large cap guys. You're not going to get hired on a legit trading desk at a large investment bank unless you have an industry specialty. In crypto, you're running your own trading desk. So why wouldn't you hold yourself to that same standard?
Anything you can find in the physical world is making its way into the digital space. So everyone from insurance salesmen to e-gamers will be able to find a niche that is moving forward and invest in it. In most cases, the successful projects in a niche will end up partnering with each other anyway, so you invest in a conglomerate of intellectual capital. You'll eventually get to know them, see them at conventions, actively participate in AMAs. You'll become an important, well known, respected part of the community.
This is waaaaay better than just buying bitcoin and hodling. Or spending this incredible time in history being scared of the potential in crypto because you're scared of paying taxes or draconian government regulation. Community beats all of these things, and community is what crypto is really about. Tight knit communities make money, but profitability is a symptom of community. If your community is truly decentralized through a DAO, you basically have your own country. This is not an exaggeration. Act like it.
As for these public personalities, you have to understand they talk a conservative investment strategy because they want to cover their asses. They are (or were) much more aggressive than they let on. Scared money don''t make no money.
Others like Ivan on Tech are more insidious. They are opportunists who just want to tiptoe back over into fiat and live in Bali with hookers and lambos. Nothing wrong with Bali and hookers, but at least build the new world while you're at it, you small fucking shit of a man.
The elephant in the room.
Well Alucard, what if I lose all my money?
Bitch, you're losing it now through inflation, bank fees, sales tax, property tax, breathing tax, bottled water cuz your government can't even keep your water clean tax...
And obviously use common sense when you invest. Take the time to learn the difference between scams and real projects. Scams are everywhere, but you'll avoid 90% of them if you follow the advice above. Specialize so you have experience going in. Believe in your instincts. Test them. Put your money where your mouth is and if your instincts are bad, you'll know because you'll get fucked. Then you can fix the problem and get back in and make money.
Crypto is still small enough that the asymmetric risk works in your favor. That means if you have enough money for 10 projects, you can move without fear. We'll call that $10,000. Use your common fucking sense to filter out the garbage and invest $1000 in the 10 projects you believe most in. Expect some to fail. But asymmetric risk means the ones that succeed will pay for 7-8 failures. That opportunity will leave quickly, so take it now.
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YOUR GUIDE TO MAKING MONEY IN CRYPTO STARTS HERE ---> Making Money in Crypto Part 1
Always remember:
Burgerswap Bridge will steal your crypto
Deus.Finance is led by a psychotic wannabe despot
AllianceBlock is a shit project
All algorithmic stablecoins (Basis Cash, Mithril, Empty Set Dollar) are a SCAM
Don’t get your bitcoin from PayPal
Trade on BSC, not Ethereum
Ivan on Tech, Elliotrades and Bitboy are complete liars, and
If you are always losing money trading crypto, read here.
Gems I'm investing in:
