TRUE CRYPTO STORIES.
There is never one side to a story.
Life itself rests on a dual balance.
Right wrong, good bad, pro and con, debit and credit, man and woman – everything rest on a dual balance.
It is difficult to talk about a thing without considering the good and the bad. As much as i am a huge proponent of emerging technologies such as Blockchain and Crypto -It would be nice to balance the stories – The good and the bad!
For some context
Web 1 AKA The internet had its fair share of good and bad. (The five broad types of negative effects identified were: 1) Internet addiction; 2) Negative effects on cognitive development; 3) Information overload; 4) Negative effects on public/private boundaries, and 5) Negative effects on social relationships.)
Web 2 AKA The social media has been lashed out at as bad but is there no good that has come out of social media? Some examples of social media are Facebook, Twitter LinkedIn is one such types of social media ( new media) platforms LOL. Is social media bad in itself?
Drum rolls- Web 3 arrives AKA Web3 (also known as Web 3.0) is an idea for a new iteration of the World Wide Web which incorporates concepts such as decentralization, blockchain technologies, Cryptocurrency, NFT, and the metaverse. But just like the previous webs before Web 3 – committing to understanding the unfolding dynamics gives you leverage.
That being said – The streets of web 3 especially the Crypto vertical have plummeted to heart-wrenching lows.
Cryptocurrency investments have made a lot of bougie billionaires and on the flip side have left many bankrupts – reeling with “had i knowns” on this feature we collated different experiences from Crypto bros and sis – and they had a lot to share.
Crypto is an investment – don’t venture into it without committing to learning how to proceed.
Investment in the short term means – trend watch, forex watch, repetitive DYORs and for the most time attention to the market pulse – just like the stock market😂
Investment in the long term means – calculating a % of your total investment portfolio, DYOR , HODL and BUIDL. From history, holders of up to 4 years of investing in viable blue chip crypto assets have seen an average of 3x% ROI. This is for the long term.
With the bearish market came broken hearts. Billions of USD sank with the market. The aftermath is one that has left many broke and I got some of these guys to share their stories.
10 Crypto entrepreneurs share their journies with us.
Some are regretful – ( if I had done my research)
Some are worried ( will the market pick up again)
Some are hopeful ( I bought for the long term)
The rest say never again 😂😂 ( over their dead bodies)
Mrs Theresa (Not Real name)
My son lost money, and it was a great thing. My 21-year-old son came to me and told me he wanted to invest money in Crypto. I told him, “Fine, I’ll give you $10,000. Whatever you make, we split. Whatever you lose, we split. If you lose, you have to pay me half the loss, but you can pay me any time in the next 30 years. If I die, you can pay your sister that half… or not.” I wrote him a check for $10,000 and off he went.
He came back to me about 2 weeks later and said, “Investing this money is making me nervous. I don’t want to lose your money.”
I told him, “Go ahead and figure out what you want to do. If you invest it, You know what I want, I’ll never say another word about it if you lose. Do what you think is best, but do something.” He went ahead and invested the money.
This was in January. Within a week he was down $1200, he cashed out and returned the $8800 to me. I told him he could pay me the $600 whenever he wanted or not at all. He’s been paying about $25 a month from his part-time job. I’ve been putting that money aside for him and will give it to him when he’s paid me off.
He’s learned about high-risk investments and being able to sleep at night. He’s learned that great plans can still lead to losses. He’s learned to never risk more than you can afford to lose. Incredibly important lessons for him to learn for only $1200.
Mr Kelechukwu Amadi ( Real name with-held)
I know myself pretty well 🙂
The chain of events that fueled the loss during the recent crash ( also referred to as bloodbath) in the crypto world.
I went against rule no. 1 of crypto trading, Invested more than i could lose. Whether one profits or loses in trade is both determined by the market and your individual emotions. I lost money to both greed and fear. But it has been a learning experience and made me more emotionally stable, balancing greed and fear.
The Greedy Me
I bought Bitcoin at different instances and the mean international price was somewhere around $15k and i had then diversified my portfolio into several Alt-Coins (All the other coins except Bitcoin are referred to as Alternate coins). Everything started working well, i got richer on paper when the market was bullish (increasing), but the issue was i did not have an exit plan. I didn’t plan when to sell, it was as if i would hold my investments indefinitely. I stick to the HODL’er (Hold on for dear life) principle wherein you keep on holding your coins no matter what. Therefore, i didn’t sell when some of the coins were already 3x-4x, while the total portfolio was 2 times the original investment. A true HODL’er indeed.
The Fearful Me
Things went south, FUD (Fear, Uncertainty & Doubt) took me over, and the market started crashing. It is a painful experience, especially when you have invested more than you can afford to lose. Moreover, seeing your massive profits turn into massive losses has a deep psychological effect. This is where i panicked and sold the bottom (Not the actual bottom, but close to it). This was the fear of losing my money. Then the prices bounced and i bought back in. This is the fear of missing out.
The Dumb Me
I had diversified my portfolio, but then i wanted quicker profits. That is when i started doing dumb things. I firmly believe that one should not keeps all eggs in a single basket. But then i shifted some eggs into a single basket, and then some more and yet some more; until when most of the eggs ended up in a single basket (Major part of investments was in a single coin). I got emotionally attached to this particular project, and strongly believed in it. The developers failed to deliver an important feature on time, and the investors panic sold driving the price down to the abyss, but i consoled myself, you are a true HODL’er.
The Smarter Me
Now that i have been through the crazy ups and downs of the crypto world, I am a stronger (at controlling emotions), smarter and experienced. I have these tips for a beginner investor.
- Don’t panic, don’t be greedy.
- Don’t go out looking for the next bitcoin, you will end up being duped by someone trying to project themselves as one.
- Look at the fundamentals of the coin you plan to invest in. After due diligence and research, jump in but not all at once. Ladder in whether you buy or sell.
- Learn to read the charts – That chart above isn’t gibberish. It has the most important information hidden within, and you need to learn technical analysis to decipher it.
Finally, i would like to end up with a warren buffet quote :
“Be Fearful When Others Are Greedy and Greedy When Others Are Fearful”
Wish you all massive profits. All the very best 🙂
Remember, “The Harder we Fall, the Higher we can Bounce Back”
Mr Gerald Francis – BusinessMan
I felt compelled to write this as a form of self-therapy and to make other people aware of what happened just recently. I also decided to include values – not to boast but to give readers an understanding of the gravity of the situation. Sure many people have a lot more money but these are still large sums for the average person
At the end of 2017 I was looking at investing my savings; property, stock market, whatever really, where I could put a bit of money I’d saved up over the last four years (~70k AUD) and earn more than my savings account interest.
My brother suggested I check out crypto and after a bit of research (nothing close to due diligence but still some understanding of what was happening) I went all in on one coin at the start of December.
If ever anyone was asked to pick the bottom of a bull run, I would be the poster child for this. I bought a collection of coins on the 7th, 8th and 9th of December and the bull run pretty much happened a week later. Once it started, in four days I had already had a profit equal to my savings that had taken four years to accumulate.
I had been looking at an investment property only a few weeks prior that cost 300k – by the time the week before Christmas came around, I could have bought that unit outright with cash left over.
After Xmas and before NYE when the market went bananas, my paper profits went up more than 200k in ONE NIGHT! I specifically remember talking with my mum on the phone, watching my portfolio tick over 900k and later that night it almost touched 1 million.
On average from where I bought into when the bull run was over, my portfolio increased in value by 45k per day.
At the rate it took to save 70k, it would have taken me 56 years to save that amount I’d made in that short time.
And then, the 5th of January came around and smarter people started to take their profits… expectations of further increases never eventuated and the value kept going down. It didn’t fall off a cliff so I could have sold at any point and still made a healthy profit, but being a true HODLer, I kept thinking, it will bounce back, this is just a market correction.
Why didn’t I sell… to be honest, I kept thinking it will go higher, so when it boils down to it my greed took over. One million in cash is more money than 99% of people will ever have at their disposal and yet I chose not to sell… regretful? Absolutely.
However, I’m still ahead almost double my initial investment, which is probably better than a lot of people and for that I’m thankful.
Retrospectively capital gains tax on peak profits would have been in the realm of 400k so perhaps I’ll get close to my net profit sometime in the future. Time will tell…
From the market peak to where I am now, my portfolio decreased in value to 870k… below is the day before it almost touched the mythical $1mil
Mr Martin – Real Estate Consultant
I have lost $16200 of my $56000 AUD investment in a month.
First I invested $7000 and made $4500 in 3 days. Then I poured money into nearly all my savings. Then on night, there was a %20 crash and I had not experienced anything like that before so I panicked and sold my coins. The same day there was a %10 recovery and I missed that train. I started following Telegram channels, read every gossip on Twitter and coin definitions that I could find… I was also using medication to keep up with everything. And started travelling between coins and buying and selling hourly bases bc of anxiety and hoping to recover my losses and ofc it’s gone worse than it came to a point I couldn’t handle the stress anymore.
I couldn’t function at work and at home duties. I made transaction mistakes and lost nearly $400 from those.
To recover my health and my finance I put an investment limit of $10500 which is much less than what I lost but what I can effort to forget. I made a wallet with coins which do not really follow BTC trends and manipulation in the market. (in my opinion)
I recovered my $750 since then in 2days and I set buy and sell limits so I do not need to check the market all the time.
A stop sells limit for %x amount of coins for %y price drop and multiple sell limits to collect profits.
Buying limits are not really working for me right now bc I really do not want to check if they worked or not also all my limited amount of money is on coins now. Such as,
XRP, SOL, GTC, HOT, MANA, SHIB, IOTX etc and a small amount of ETH and BTC.
Ideally not investing %5 of my investment in a single coin and keep 30% to %50 in cash to be able to get into a coin when seeing the opportunity (not doing this right now, I don’t have the skills and time to read diagrams yet to predict short term entries.)
Hoping to use more automation and set bots according to my strategies.
I wish we would all benefit from blockchain technologies not only financially but also in daily life.
Wants to be Identified as Ragnar Lodbrok
None. First I never chase markets up or down and second I don’t buy anything that people are talking about. If I’m not in before the dentists and insurance agents show up, then I stay out. Old news to me is current news to others. I sell news, not buy it. There’s way more money to be made (for me) in the ES futures and options.
I did make money on the suppliers; Nvidia, and AMD. Which to me were crypto plays and I bought these when they were supplying chips about a year ago.
At this point, I see zero upsides in crypto and expect in time there will be federal crypto which will destroy Bitcoin and others. Anyone playing in this space is gambling. I trade things that have cash flow, earnings, balance sheet, going concern, goodwill, intrinsic value and/or serve a societal need. Crypto doesn’t check any of those boxes so it’s not for me
Chimobi Awele – Crypto Blogger
I just did. My crypto holdings dropped by more than 20% this week. Some individual coins like shiba might even be down by 40%. If it were stocks I’d double down, but crypto is like investing in farts.
Wants to be identified as Victim 1
Let me introduce myself as victim #1
5 years ago we lent Rs 1 lakh to our old maid, moved by her tears.
We never got it back.
We simpletons never learn a lesson.
Last year we lent Rs 2 lakhs to our driver to get him out of the clutches of a loan shark.
He promised to return it in 20 instalments of Rs 10K each.
We opened a recurring fixed deposit in a bank in our name and told him to deposit Rs 10k in it every month.
He honoured his commitment the first month.
He puts on helpless looks now. We are now paying Rs 10k into that fixed deposit every month to honour our commitment to the bank.
Some people never learn!
Who is going to make us a victim for the third time? I wonder.
Bitcoin Commander – Crytpo Entreprenuer
I became a USD Crypto millionaire a week or so ago, on paper at least. How does it feel? To be honest, doesn’t feel real and nor should it until I convert to FIAT.
I met Vitalik at an event in early 2016. Bought $10,000 worth of Ether and some bitcoin really just so I didn’t look back in 10 years’ time and see ETH at 2000 and kick myself for the rest of my life having met such a key figure in this space.
I didn’t check prices much and was generally flat to down for long periods. I didn’t mind, I was mentally prepared to lose the $10,000. I lost 33% of my portfolio when Bitfinex got hacked. Annoying but again, not an issue, shit happens.
I just held on, or Hodl as they say. My first sale of Ether was at the start of Dec 2017. I sold some to cover my initial investment and also sold some to diversify in XRP, QSP, TRX and NEO. Quite bizarrely XRP, QSP and TRX went through the roof and I made my first million.
People have told me to sell all through 2017, at key round numbers such as 100, 200, 300 etc. Everyone I know said I was crazy for holding. For me though, I was always holding for the long term, even though things moved quicker than I expected. In my mind there is probably a 50% chance that I could lose 50%+ of the value of my portfolio in 2018, however probably 20% by 2020 I will make $4million+. This % are just the way I think and based on nothing more than that!
I will continue to tweak my portfolio once every few months if I see new interesting tech/ideas, but I will never actively trade. I’m not that interested in Cryptos to be following it every day and letting it turn into an obsession. As I mentioned at the start, never get fooled into thinking it’s real money until you change it into FIAT or until it really does become a usable currency. If we get a really significant crash, it will crash like you will not believe and it will be hard to get out of positions easily.
I used to tell everyone I knew in 2016 to put 1% of your cash in cryptos, Ether in particular. These days, with all the craziness I no longer say that, but I do say go out and buy some, put a little in that you can afford to lose. You will learn a lot about cryptos and blockchain in the process.
Good luck to all those involved!
Going anonymous here for obvious reasons. This is my “cryptocurrency millionaire story”:
I’m in my early 30’s. I have always worked in tech, and as a natural geek, I’ve always had my eyes on new and exciting tech developments. Undergrad was econ, so I’ve also followed global markets as a hobbyist.
So a few years ago, I heard about Bitcoin. My reaction was probably the same as everyone else the first time they heard about it: “Why would anyone buy that?” But naturally, I was still curious. I set up a wallet, and miner on my home office PC, just to figure out how it worked. I initially lost interest before very long.
A short time later, I happened to hear about Bitcoin again — to my surprise, it still hadn’t died yet. I decided to explore it more, and even buy some to add to the little bit I had mined. I’ve spent money on dumber things…why not?! So as I’m starting my research, I realize it’s more than just “internet geek money,” and that there are a lot of pretty smart people flooding into the space.
Fast forward a few months later — I’ve now learned quite about crypto, and all of the different projects happening and started to connect the dots when I saw the possibilities. I had even managed to create a pretty decent collection of altcoins and made some money along the way. By now, I’ve realized that it’s still a brand new industry and that it’s not going away anytime soon.
At this point, I had a pretty decent career in the corporate world, making around $150k. I was definitely comfortable. One day, I realized that I was also bored and that I wasn’t going to be young forever — I could always come back to my old life. I wired $100k to my exchange and bought Bitcoin, then distributed it amongst the collection of altcoins I had been following. I continued to manage it as a hobby on the side while still working my day job, but it was quickly becoming my calling. I resigned a while later to focus on my investments full-time. The year and a half that would follow would become the scariest and most rewarding of my life.
In the beginning, I was working 20 hours a day learning all that I could, and perfecting my strategy. Some days were great, with massive returns — others were terrifying, as I was sure I would lose everything. Over time, it made me numb to the emotions and short-term swings, so I was able to see the bigger picture. There was a point at which I had watched 30% of my net worth vanish in little over a day and another point at which my portfolio was down more than 80% from its all-time high. I just kept moving along according to plan.
By the time the market had reached its next peak (this past January), I had turned my initial $100k into $17 million.
Kas Van Dan
Started in December 2017. Lost almost 90% of my investment within a few weeks during the biggest crash of all to date.
Up to now I guess I’ve invested a total of around 1000 dollars or so in cryptocurrency, it’s currently worth 350 dollars.
From a trader’s perspective, if you have lost 80%, then the impact on your financials is marginal if you lose the whole 100%. Unless you are leveraged, then you will be forced to either throw more money or capitulate.
I would park it, stop watching the BTC ticker and regroup in the fall.
The sun is out, it will be a beautiful day, and you will live to fight another day.
Update 30th June 2022. Since the beginning of 2022, BTC has been on a rollercoaster; dipping from 48k to 35k, back to 38k in April and then a plummet to 30k where it trended until June when it lurched to 20k. Such moves are painful unless you have taken on board the advice articulated below. The most important is to keep your powder dry so that you can buy BTC when others are panicking. The other is HODL once you are in, but do take marginal profits on bounces (a strategy called scalping). Above all, if this is all too much, I would either stop watching BTC until the summer is over or get out and find something less stressful.
DYOR – Do your own research
HODL – Hold on for dear life
Crypto – Cryptocurrency
Ether – Ethereum
FUD – Fear Uncertainty and Doubt
To be continued—————–