Crypto currencies are very popular at the moment. And at DUFFMONEY, we are very interested in crypto.
One Bitcoin (BTC) is worth about $60,000 dollars. Like everyone else I know, I would love to have got in early days. But it is pointless crying over spilt milk.
DUFFMONEY’s brief history with crypto
Most people I know have a little BTC story.
Or know someone who has made a fortune from BTC or other crypto assets.
Personally, I have a little story and I know a few people who have made fortunes on BTC.
Back in 2015, my cousin (Liam) told me about BTC when it was a few hundred dollars per coin (a lot less than the current $60,000).
I couldn’t get my head around it at the time, so I ignored Liam’s advice. I’d also lost money on single shares at that point which didn’t help.
Eventually, I started listening to Liam’s advice and started to invest in late 2017.
I had 1 coin that went from $2000 to $20,000, then back down to $200. I didn’t cash out – schoolboy.
Another coin went from $2000 to $10,000 then back down to $100. I didn’t cash out – schoolboy.
The next coin has been a bit of a rollercoaster. It went from $800 to $8000. It dropped to $400 and is now sat at around $2200.
And now we are in 2021, I have about 10 different altcoins (alternative coin to BTC).
Have a little flutter
In the last 4 years, I have put in $8000. Fortunately, I have taken that $8000 back out over the last few months. The money was used to pay for legal fees for 2 recent house purchases.
Fortunately, the 10 different coins I have now are with profit made. Profit made by listening to Liam who knows much more than me about crypto. Well about anything financial if I’m honest.
I am having a play with my crypto investments. I am getting used to buying coins on different platforms and transferring between different platforms.
Currently, this isn’t my main investing strategy. My strategy is long term buy and hold with index funds and property.
A few weeks ago, I even invested in a coin that has yet to be listed. This would normally get me carried away. It would have got me too emotional in the past. Too excited about the potential.
Now I do like a little flutter. It just doesn’t affect me like it used to.
With some self-awareness and a lot of practice, I have been able to calm myself down. I would love my latest coin to rocket and help me towards full time property investing. But I’m not checking on it every 5 minutes like I used to with single shares (single shares are not for me).
What to do
First of all, work out what investing strategy suits you personally. Read some books and get some financial literacy.
I am no expert and am definitely not a financial advisor. But I have stuck to my financial plan religiously for the last 2 years: Your own game.
If you fancy crypto, maybe have a little flutter to get used to the technology. Maybe read Bitcoin for Dummies or watch some YouTube videos to get your head into it.
Many investing books I have read (like How to own the world, by Andrew Craig) recommend a small allocation to risky assets – if at all. At first, maybe just invest 5% of your monthly amount on crypto assets.
If you are able to invest £1000 pcm, maybe invest £50 (5%) until you get more familiar with the asset class.
Learning about crypto is well worth it in my opinion. Cash will soon be a thing of the past. And moving with the times will benefit you and help you transition with the modern world.
All I’m saying is be open minded and have a little look into crypto. And you might be one of the lucky ones who makes a little fortune …
Book of the week: Bitcoin for dummies, by Prypto. This guide will help to get you started in digital assets. It will help you to understand the fundamentals and also protect you against fraud.
For a hard copy visit the excellent Imagined Things Bookshop: Imagined Things.