Accumulating cryptocurrencies is not just a matter of buying and hold

Accumulating cryptocurrencies is not just a matter of buying and hold

By MikeZillo | Smart Crypto Investing | 17 Nov 2020

Many people keep asking the best solution for an accumulation plan for Cryptocurrencies!

I created the 70% rule and that is exactly what I consider one of the most balanced solutions.


Every month you gain money, from your paycheck, from dividends, capital gain and other sources of income you may have.
Every month you should define what will be the amount of money you will destine to expenses, bills and other survival need.
The second basket would be about personal development and financial growth. Learning how to make money and learning how to put to sleep all the voices that we usually have in mind that usually create anxiety and low concentration.
The third basket is for the investment: short, mid and long term. Cryptocurrencies in my opinion are suitable for all the timespans, depending on the application you will use them for.

Cryptocurrency Accumulation Strategy

Let’s start from the Cryptocurrency Basket. In the following image it is identified with the “$ Monthly Income” icon.

The “$ Monthly Income” contains all the different activities we are going to create on cryptocurrencies.

The Cryptocurrency Basket starts with the first division: 70% directed towards Purchasing cryptocurrencies and 30% directed towards Mining Farm plans.


In this stage we are going to purchase cryptocurrencies. That is it. We are in the “Purchase Basket”

70% of purchased cryptocurrencies will be directed to the holding part and in this stage, 70% of the destined amount of Holding Basket will be on Major Cryptocurrencies (Bitcoin and Ethereum), while the remaining 30% will be for Altcoins.

Among the altcoins I am already buying TRX, LINK, ALGO and BNB.

TRX is staked, and you can find the video here below for the tutorial. ALGO is also staked and the video-tutorial is going to be created soon.

Aside the Holding part, a dynamic part may be an interesting solution, to create on a side part of the total accumulation plan, the possibility of a slightly higher interests than staking but with a lower dedicated budget than the holding Basket. By talking of “dynamic” I am referring to Trading.

I understand that not everybody may be used to trade, or eventually to learn how to trade. There are good solutions for copy-trading systems (aka mirror-trading). There are different good services and different good traders that make this by everyday job providing interesting results. When looking for them, keep in mind to check their track records and the risk your money is going towards. For example: is your money staying on your Exchange account, or are you sending money to a third party? Try to avoid this second possibility, because losing money with trading is one side of the same medal, but we surely want to avoid that money may be robbed.

Well, as far as now we have created two accumulation plans (passive incomes) within the native accumulation plan.

On the top, the remaining thirty percent is destined to mining, and the reason why I still believe in mining is explained in the video here below about Cryptocurrency Accumulation Strategy, and the importance of starting mining when prices are at the lowest (meaning that we may start in the non-profitable side of the business).

In 99% of cases, you will have phases of non-profitability of mining, but starting mining in a non-profitable moment, especially if market is very at low levels, may be the most indicated option.

So, summarizing up:

1) Define the Money to dedicate to cryptocurrencies
2) 70% of it will be for purchasing cryptocurrencies (Purchase Basket) and the remaining 30% will be destined to mining plans (Mining Basket).
3) 70% of the Purchase Basket will go to in the Hold Basket and the remaining 30% will go into Trading Basket
4) 70% of the Hold Basket will go into Major Coins and the remaining 30% will go into Altcoins.

I have not mentioned Network Marketing on cryptocurrencies, because they are not contemplated and they are absolutely not suggested.
I have not mentioned Lending or DeFi because Lending is often carried out on Centralized Platforms and DeFi is in a strong Bubble moment, so I am not recommending to go deeper into it right in this period.


Daily Trader, Mining Farm Project Manager, Blockchain consultant, Cryptocurrency evangelist. You can find more videos here

Smart Crypto Investing
Smart Crypto Investing

In this section I am going to write about smart ways to create passive incomes and active incomes through cryptocurrencies besides of course news, technologies and projects I am involved in. Anyway, the smart crypto investor is not just a crypto investor, but is someone willing to diversifiy among different businesses. And that is what I am going to talk about. From a multi-year experience in the field of business development and finance, here I am!

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