A year in Crypto burned or blinged

When I started this blog and the YouTube channel it was a journey into Crypto. The main emphasis on this is that people can learn from my experiences over the last year and avoid some of the same mistakes. As I have made good money but could have also made more by avoiding some of the things I invested in. Ultimately it is up to you to make your own decisions on investing and work out if its for you.

Bitcoin and other mining using “cloud systems” is my first topic that I have to admit with Genesis mining I got in on the Bitcoin mining at the right time which recovered my ROI in around 4 months. But my Monero investing I have yet to see it deliver anything. The Bitcoin being an opened ended contract was a good investment with Genesis mining as its an open ended contract. However investing in HashFlare it wasn’t a good deal as they have locked my funds in until they reach $500 for a withdrawal. Which means any small investor may never have enough to withdraw or constantly stuck in their system reinvesting until they can get enough to withdraw which could be a couple of years. Investing into something like VEChain right now you could be seeing your money double next month on the upcoming rebrand (possibly not a guarantee!). But the point being is if you trade it there is more chance of a profit and ultimately you control it 100%. There is too much control of your money in these cloud mining services as well as many in the past being found out to be nothing more than ponzi schemes.

Day trading is it worth it? For me I have to say yes as it got me kickstarted and increased my portfolio significantly. The downside is that you are constantly living on the markets to catch every trade movement. Along with if Bitcoin moves rapidly all your gains could be wiped out in the short term if negative or positive. A few times Bitcoin has jumped in price and day trading NEO would have been better to leave it in Bitcoin at those times. Yet it has been very profitable if you do your homework and invest without emotion, the silly losses I have had at times is buying on a bull run at the wrong time or investing in other people’s information without reviewing first myself. Lesson learned these days as I research myself and now spending more time analyzing trends.

Swing trading is it worth it? This has to be something I can honestly say I am happy with although its not always in the same day. I have swung my NEO portfolio up by monitoring the all time low and all time high of NEO then buying low and selling under its previous high. Yes you get caught out now and again when there is a sudden jump in price or drop. But investing in Crypto that has a solid support from a community and a good project and team you can’t really lose unless it is seriously overvalued at any time. Even TRON right now which is way overvalued in its current state will develop over the next 4 years. At the same time you have to question would a $1000 in TRON be worth keeping there, or moving into NEO right now to catch it on the San Francisco development conference which could see a 40% jump in value. Which could give you your TRON tokens that may still be going down in price and more to invest elsewhere. Sometimes the trades can take a week to come back up if you are caught on a drop normally caused by Bitcoin spiking in price. Yet I have found this to be the easiest way to make money on Crypto for me.

FUD and hype two of the biggest players in the crypto space and I advise review and ignore. A lot of the volatility in the crypto space is caused by the ying and yang of media. VERGE for example being pushed as the next big thing in privacy then a lot of negative media pushed a week later is a prime example. The reason I say a lot of this is noise is that the amount of money in a lot of these projects even if they started with a broken computer and from a small bedroom most have millions of dollars pumped into them. There is nothing that can’t say anything cannot be corrected or developed, they are not a business with high overheads and unrecoverable expenses. These are new ventures that can have FUD one day and suddenly be praised the next after something new hits the market. For this reason I say its a good gauge to say go and look at something then analyze the information yourself. Don’t follow the sheep but calculate on the information that they provide.

Scam and shams the HYIP schemes out there are simply built on referrals and the gamble of being in early enough that your getting other people’s money. Bitconnect has to be the whale of these failed ventures and even when they distributed their tokens out many still didn’t ring the alarm bells. For me when someone tells me they deal in loans I ask to who and how much? Because with that amount of cash awash in the system even with real loans it should be a concern. Yet ultimately it was a ponzi alongside pretty much most of the others out there beyond those which are outright scams. Which always gets back to the phrase “If it looks too good to be true it probably is”. But it won’t stop people pushing them as the early investors and referral pushers will ultimately come out on top. Although I have invested in a few over 2017 I definitely won’t be investing in any for 2018. Although my risks were minimal and I make people aware of the risks, quite simply they should be simply just avoided completely. As I know with some people I have spoken with and told they could lose everything the responses normally orientate around how much money they are making or how much someone else is making. The words loss, scam, ponzi, pyramid, multi level marketing aren’t heard. Overall I came out on top but I wouldn’t recommend investing in them as some solid portfolio investments may not have the same short-term profits. But they do have the fact you are in control of it and it won’t disappear over night. Along with the fact its investing in real ventures that aren’t simply robbing Peter to pay Paul so Paul encourages others to come into it to keep the cycle going as long as possible while the cash is removed at the top.

Bitconnect is probably the best example as I do wonder if they actually met their legal obligations. The whole system was built on investing internally with their own token which means the token would constantly go up in value as people keep reinvesting. You swap Bitcoin for Bitconnect token then reinvest it and as it shoots up in value people keep reinvesting and bringing more Bitcoin into the system to reinvest in the Bitconnect loans. Which is nothing more than a number on a screen as long as it stays in the system or at least the majority of the money does due to the Bitconnect lock in which I believe is around 300 days for your loan investments. Would mean you think you have money coming as its in Bitconnect tokens. While in reality the Bitcoin has been getting pulled on mass by the people behind the system. Nothing more than a front of value as the system remains functional as long as there is no run on it (same as a bank everything is ok until everyone wants their money because its lent out more than it has). Which gets me to obligation and legalities as they did give everyone their Bitconnect tokens at the end. Dumping them all onto the market which seen the price drop constantly. As I looked at it I could see why very easily, the platform was gone, lending gone, any use for the Bitconnect token gone except investing in the new platform BitconnectX. At the same time even then people were pumping it up as a good investment and it would come back stronger. We have to be realistic here its the same as when people say things are not a pyramid scheme or ponzi its multi level marketing. They are all the same in the sense of being unsustainable systems built on the people coming in behind you. Which regardless of if we agree if a pyramid is a ponzi and MLM is both the systems are all flawed. Recommend avoiding completely.

Knowledge and learning curves I find in the crypto space that services can often be way overpriced and I am surprised there aren’t some professional translators doing some of the work for the ICO’s (Initial Coin Offerings) because the demands of some the people out there for translating documents is excessive to be polite. Same for a lot of the promotions and its part of the problem and solution, as although its not regulated and part of being decentralised with some justification with being able to deliver a large number of investors for a new company. Reality is a lot of them out there simply can’t deliver what they promise and I recommend searching out those with a successful portfolio if launching a company.

With day and swing trading I recommend reading up on the different type of analysis and generally picking good investments that have a long-term future. Focus on projects you can believe in and have a solid team as well as realistic. Although I do admit sometimes I invest in some projects that may never deliver anything simply because I like the project or its worth the “gamble”. But I don’t invest heavily in these simply pull profit off better trades and leave and forget. You can also find in some of these projects more volatility for day and swing trading. Telegram groups, trading view and following YouTube channels that show some of their own trading. Although I don’t show too much of my own I have to admit I will be doing more in 2018 as I have mainly focused on what things I am looking at during 2017. But as I get more confident and knowledgeable in my trading I would be more than happy to share that information.

All in all though I have and do find the crypto space very upbeat and full of interesting projects. It is possible to live full-time on crypto and although I am expecting the finance authorities and governments to intervene (interfere) in the crypto space I am sure its more to do with tax and lack of power over the space than anything positive. Its definitely not for our benefit or protection and I will enjoy the ride for as long as I can and expecting it to be a busy 2018 with a lot more ventures launching.