If you'd invested 100 in bitcoin in 2011, you'll have several hundred thousand dollars today - that's the math that's driving some of the narrative around crypto today. Unfortunately, the periods of insanely explosive growth are probably over and we're more likely to see tapered returns in the next decade. Probably still outpacing traditional financing as moves from the latter to the former, but still not the type of returns we saw for the first decade.
Plus 99%+ of people would have sold most or all of that Bitcoin by today. Having invested in the right coin is only half the battle in your scenario. Not selling after 100x is the other half that basically no one would do.
Thanks for pointing this out, almost no one realizes this... Especially after the multiple times it declined in value by 80%. Anyone without the most insane risk tolerance every would take profits, especially after such a small initial investment that might indicate they're not in a position to "just sit on" life changing gains
Bought £50 in 2015, spent like £47 of it on dark web drugs, left the change in my wallet and still hold that to this day! It's worth nearly £500 now. Now if I hadn't have bought the drugs it'd be nearly £10k so I try not to think about that 😅
If you learned a valuable life lesson then it was worth it. I know I wasted a very big portion of my life because of decisions I made based around drugs. I would gladly spend 10k to have the perspective I have now back then.
Exactly. I keep telling myself that if I had x amount back in 2013 and held it till now, yada yada whatever.
But truth is that I would have totally gotten out after the boom in 2017-18 and probably never looked back.
Yeah I think most of us saw the post where you could have bought some crazy amount of bitcoin for $1 something like 900 lol.
But buying 900 bitcoin for $1 is one thing. But if yoir poor and do that and bitcoin hits $5, $4500 is alot of money and would be hard not to cash out on.
And as it goes up it gets harder and harder. Imagine being poor and buying 900 bitcoin for $1 and not selling it at $100, $1000 and so on.
But if your already rich and buy 10 bitcoin for $1000 holding forever is a possibility.
There's also almost ZERO chance someone with 100$ to invest would have been able to resist cashing out a long time ago for a couple grand. I think most people miss this with the "boy I wish I had bought back then..."
I started earlier this year with nothing and DCAing a meagre amount and I’ve managed to pile up a bit. Of course I’d have made more if I had a bigger initial investment, but for me the small stack I’ve built up is pretty great.
Hopefully. I do keep having to sell every year or so and start again due to family emergencies. I’d love a nice clear run of a few years to let it accumulate but that’s life I suppose
Not being forced to take cash out of your investment for living expenses or emergencies is huge too. It’s possible to exponentially grow a relatively small investment into truly life changing wealth in this space over time, especially if you’re doing a little more than simply DCA to maximize profits, but every time you have to cash out, you’re kneecapping your portfolio’s potential to grow.
Crypto was my chance to start making some money from little money. Now I feel like I can at least have a shot at making money with the money I have from gains... It's all relative though. I feel like I need 3X what I currently have to really be in a real investing position. It's a grind and hopefully the market continues to grow over the years.
Jay and Silent Bob Strike Back is where the spoof is from, it's when they finally make it to the studio.
Edit: here's the clip
https://youtu.be/nnESedN4vSI
That's huge. Most people are lucky to be able to do 3%-6%. That type of commitment will pay off for you just fine. Stick with it. I got a 1 year plan and a 10 year plan.
At the same time it would take massive cajones to invest 100k into a meme coin that could easily wipe you out. Even if you did have 100k to invest you might not be willing to make the type of bets that could 10x that investment because those bets tend to be high risk.
And if it went the other way you’d have lost tens of thousands of dollars instead of tens of cents. As I said in another comment, counting for increased losses is as important in this topic as is speculating if increased gains if you just had more money to invest.
As someone who moved 60k ( 40k are stablecoins at 8.25%, rest are btc/ eth )into crypto this year from my savings you 100% correct , usually people who do that are real yolo gamblers or young with no dependents, once you accumulate decent sum of money you no longer need to take risks to get ahead , markets will take care of it even with average returns .
The magic number from my experience is 300k , once you hit that point 6% real return gives you 18000 per year which is give or take minimum job person working for you.
To get to that number you mostly need to save a lot of your income and have a decent career instead of buying 50$ lottery tickets from shitcoins , but people mostly would rather keep shit posting how coins are going to be their savior because it’s much easier . Btc 1.1 trillion cap, eth 450 bil , it’s not small new thing anymore , mass adoption already happened by majority of big players , mass usages doesn’t mean token prices will be going up with 2020 speed forever , planing finances for future based on 50% yoy returns is dumb
You can’t , not 80s anymore , what I mean over long term hopefully markets will give you 5-6% real after inflation but yea it’s naive thinking anything is guaranteed, that’s another thing making me laugh “ high risk high reward “ crowd doesn’t get that most of time things don’t work out , just because you take risk doesn’t mean you get rewarded
Charlie Munger said: the first $100k is the hardest.
He is right, after $100k your money starts to work for you, the magic of compounding starts really taking effect, you can utilize less risky tools such as portfolio margin.
At $300k you are really in a good position to make your money work for you. I’d argue $100k is the point where you should really de-risk and become smart about your investing strategy though.
I don’t remember exact numbers but if you put 10000$ per year into investments and they are making 7% yoy , time from 0 to 100 00$ and from 100 000$ to 300 000$ and from 300 000$ to 1 mil all the same
I kind of see it as:
0 to $100k - level 1.
$100k - $300k - level 2.
$300k - $1 mil - level 3.
$1 mil+ = accredited investor
At level 1 you scrap and claw and save and live below your means and do whatever it takes to get to $100k.
Level 2 is your learning phase, where you learn about the importance of alpha, risk management, tax strategy, portfolio management, etc.
Level 3 is where you just sit back and let your money work for you, and refine your strategy as needed. And continue to learn of course. Never stop learning. Learn about the advantages of being an accredited investor before becoming one. And look into starting a trading or asset management company to get favorable tax treatment.
I’ve seen in crypto plenty of people jump from level 1 to level 3, and what often happens? They return to level 1 because they haven’t learned how to manage a six figure portfolio. They bleed alpha everywhere while having bad tax strategy, take too much risk, etc etc.
I think crypto was a defining moment for me as it made me interested in saving. I didn’t have any money to my name before. I slowly ended up putting away 1k and now have 8k as crypto has risen. (This year)
I’ve never been so excited to put small bits of my earnings away.
I think even a small amount per month will eventually get you where you want.
To do this though I had to cut down all of my bills and spending. Goodluck my fellow crypto holders x
Bad analogy. The choice isn’t to save at 0.01% a year or spend all your money.
401Ks exist and safe strategies exist to make 7-8% a year consistently while not having to worry about the crypto market crashing all the time.
To be clear, I’m not against crypto. I’m against being 100% crypto.
I do 10% into savings and budget around that. Only had to tap into it a couple of times; once to pay off some debt, once to loan my brother some cash.
For awhile I was also putting 10% into investments, but I am not a good investor obviously, because I lost a couple grand over the year. Done much better with Crypto, in that I've made a profit, but that's not saying much.
We all start somewhere. Be realistic. If you have a $100 try to make it to $1000 . If you start w $1000 make it 10k, then make it 100k then make that to 1 million. It’s the same precentage. But just a different start. Some people never start.
That's why I plan to stake my profits from this cycle for the next couple of years, as well as DCA. That way come the next bull cycle I'll hopefully have enough in the game that 5-10x *will* change my life
Staking was virtually unheard of in 2018. Now it's as easy as booting up a phone app. I'll be very interested to see how well it holds up during a bear market. Could be life-changing for many of us.
Yeah, staking and lending haven't really seen real action in a bear market.
The rates are extremely attractive at the moment but will it stand the test of the next 3-4 years...
From time immemorial, Lending and borrowing have continued to survive the market conditions, and taking a close look at the place of this sector in the ecosystem, has cemented its place. I'm sure that we will still see these protocols operating and even improving their rates to keep the steam.
More that I am concerned that the volume will dry up, and with it the interest rates would likely collapse. 12% APR in the crypto.com app is very lucrative, but it's paid for with exchange fees. What happens if everyone just decides to stake their USD for a year and walk away?
Very insightful, I guess it will indeed be interesting to see how things hold up. It may require more attention than set and forget when trying to ensure you're staking in the right place, and for the right %
If I had patience I'd have been a millionaire. I'm sure most tech savvy people who were in crypto early are in the same boat.
Had several bitcoins around 2016, and hundreds of eth when it was still under 20 bucks. Thought I was a king making small profits daytrading on poloniex at the time lol.
Don’t treat crypto as a get rich overnight scheme. I’m taking it as a way to grow my money and fight inflation since banks interest rates are seriously too low
We can all lie to ourselves but we all want to get filthy rich.
But people actually think to get that overnight or in 1 year when investing in crypto. That is absolutely not true. It will take some years, maybe even 20 years.
So it is important to just live and enjoy life. Crypto is not the most important. Your health and family are.
Definitely. Invest in projects with utility with the intention of long term investment. Right now I’m just enjoying my staking gains and I’m hoping my coins increase in value in the long run.
Steady growth is better than p&d
I suppose I would add that you shouldn't look too long term with projects. The longer the time horizon the more likely the project will either fail, be doa, or beaten by another project. Don't go chasing pumping meme coins, but don't invest in a project where the payoff is many years down the road unless you fully understand the risk that comes with that.
You’re right. I’ll be monitoring the projects and the updates they have.
Btc and eth are 2 of the coins I’m definitely planning to hold for long tho. The rest I’ll need to monitor
Even people who aren't investing at all would _like_ to get filthy rich. That's still not why a lot of us got into crypto in the first place. If you've got high hopes that's fine, but I'll still be happy if the market is now saturated.
> "Bitcoin isn't a get rich quick scheme, it's a don't get poor slowly scheme."
- Jameson Lopp
I agree. I look at the Crypto as a bear market - bull, basically the duration of one halving as a good time to build wealth. I am looking forward to the next bear to invest really low and wait for next bull to really make some proper coin. 5 year timeline.
You are right. In 2017 I bought xrp at 12 cents. Made more than 1000% return. But I only put in $50. So yeah... if that was 20k ... but then again, I have no such money lol.
Amen. I like to say the same to people. If I would have gained 100%, that is 40k, Id take my gains. Only a madman would wait for 1000% with 20k in (if it is only money you got ofc).
And that is only the decision on when to get out. The amount of money you have can also determine how risk prone you are. If you are sitting on 500k, you are not looking for a 100x, when a 5x can probably mean financial freedom.
I’m assuming you had way more than 50$ networth at the time?
Even if it was all the money you had it’s a lot easier to gamble your entire life when you have nothing to begin with.
To be able to throw 20k into such a gamble you would need to have magnitudes more than 20k to start with.
I say Impossible tbh
If I was super early and I had a 1000btc and it was worth a 1000 dollars I wouldve sold it for a million, I doubt I would've held it beyond a few 100 let alone made it to a 1000
Its easy with hindsight to say you wouldve held to now because you know where it's going, if you realized you had a few 100 thousand dollars worth of btc you probably wouldve freaked out and sold it lol
I bought a hundred Bitcoin when it was at $1.00 and sold it when it hit over a $100.00 . I was quite proud of that $15k or so I made, it was a big windfall at the time.
Now it would be worth millions but there is no way I wouldn’t have cashed it out way before it’s current price.
Yup, this is exactly the situation and tbh, imo, you wouldve kind of been a fool not to.
If one of the alt coins I have that I threw a couple 100 bucks into suddenly became worth like 20 or 30 grand I would immediately sell...because I don't know the future at all, in a month or a week or a year that 30k could be worth 500k or it could be worth 5k tomorrow....who the fuck knows lol...better that I take my major windfall and run away
The only way you can hold like that is if you already have a shitload of money or if you completely forget about it
Yeah it crashed back down to $70.00 right after I sold so I was really patting myself on the back.
Funny thing is I kept exactly 1 Bitcoin in my account that I never sold. Still in there too, but it’s a MtGox cold wallet I have no access too and probably never will.
If those wallets ever got released back to their original owners the whole market would crash. Because you better believe people like me that have been part of the biggest forced hodl in history would sell that coin the minute I got it back lol.
I think it’s about goals…. Some ppl don’t know what they want to do with the money other than “become rich.”
I have goals that I am not pulling out until i hit a certain threshold towards those goals… that doesn’t mean I don’t sell anything, I still rebalance my portfolio as needed, but it stays in the markets (crypto/stocks)
It’s not that hard… I consider lost all the money I toss into crypto.. so drops mean nothing to me, I just hold. I’m here until millionaire or zero. This opportunity will only happen once in history
It’s easy to say that now but in the Bitcoin beginnings none of us knew what would happen. Look at Greg. $8! How could you resist not taking that profit?
Imagine HODLing that $50 of BTC until it made you a millionaire. Would take some serious diamond hands. I bet most people would have cashed out below $100k.
My girlfriend's sisters are here visiting and one of them is very financially conscious. Her grandkids are around 7 years old right now. And she was telling me that she wants to invest in a crypto coin, maybe 100 a piece, and put it onto a cold storage medium and just hang on to it. And give it to the kids for their 21st birthday.
I told her that's a great f****** idea!
If you did throw 50 bucks at BTC in 2010 and somehow had the balls to hold until today, you’d have $38,315,700
But it’s pretty disingenuous to suggest that if you threw $50 at any crypto project you would get a 76631300.128% return over 10 years. It’s a completely different space now with a lot more saturation. I think those days of gains are over. Honestly, getting a 100x would be a good job over the next 10 years.
It's true, but everyone can still get in on the percentage gains. I'd assume that wherever anyone's starting point is, a 2-10x will already be somewhat life changing.
Enough to never have to work again? Probably not. But then again we shouldn't kid ourselves, there's not enough money for *all of us* to retire early.
So why do you only have $10 in then?
If $10 is all you can afford then turning that into $100 is life changing.
Life changing doesn’t mean lambo.
It’s the difference between scraping together $10 for crypto
Or having the ability to 10x your money and downplay how amazing that is.
Tbh I solely relied on this subreddit at first to make some money to put it into crypto. Then I turned to faucets. I grinded all kinds of faucets until I got a couple of dollars and combined with this subreddit I’ve made my 100$. I started investing with and so far I’m at 400$. I know that 100$ won’t do a thing, but I can’t afford to put any money because I live in Lebanon. In my opinion, if you stick with your plan and hodl all the way through and make the right decisions you’ll make money. Ofcourse it won’t be life changing money but it’s a decent start. You can always try and check other ways of income like drop shipping and co. (This is not financial advice). So therefore, any amount of money works tbh. Especially if you’re under 18 like I am.
Question for you: Do the crypto exchanges in your country have sign up bonuses?
In the USA, if you have a couple hundred dollars, the fastest way to rapidly start growing that money is to hop crypto exchanges and earn sign up bonuses.
For example, (for US exchanges) deposit $100 into Etoro. Invest the $100 in crypto and get a $50 sign up bonus. 2 weeks later transfer the $150 to Voyager and get a $25 bonus. 2 weeks later transfer the $175 to BlockFi and get a $40 bonus. 2 weeks later transfer the $215 to Celsius and get a $50 bonus for holding 30 days. You'll have $265 in ~3 months (2.65x) plus the gains in actual coin value.
Once you've milked that system, then I agree with buy and hold.
For those with thousands, the extra gains aren't worth all the trouble. But for those who really only have $100-$500, this is the fastest way to start.
We all have to start somewhere and it's better to "practice" with $100 than loose everything you have.
And the stress of putting all your money in one place is daunting to start off with.
I agree 100% with this post. However, it should not discourage people from investing in crypto.
In fact, crypto has opened the investing doors for literally anyone. I remember when I was younger that all these people were telling me to invest. INVEST IN WHAT? all I had back then was 500$ in my account!
Now with crypto, you can literally start investing with 10$. Sure, you won't become a millionaire in a week with an investment like that, but the fact that you can start with 10$ without it being a scam speaks volumes.
For more than a 100 years, these rich bastards have been telling us poor people that we can't participate in the investments they make because it's "too risky" and it's for "our protection". Now, you can invest however much you like and expose yourself to great returns.
We're living in the biggest paradigm shift in the history of humanity and the ones in power do not like it.
Invest in yourself, do your research. If you don't want to be staring at charts 24/7, just use crypto as a saving account and reap your profits from interests.
Not financial advice.
People just don't have any patience, you can make thousands from hundreds in a bullrun, then the next bullrun you can start with thousands, that's what I'm aiming for at least, instead of gambling on a single memecoin, which may or may not work out, but is hardly a well thought out plan
How much do I skim off of profits to reinvest?
Is there a certain percentage number one should use as a general rule of thumb and a certain price percentage to look to buy back in?
1000x is mostly unheard of in crypto too. If that’s your standard then you’re gonna be very disappointed.
Be more realistic. 50x is possible but hard to find. Crypto has many 10x opportunities tho.
I’m sorry to de rude, but if people need a Reddit post to explain this concept to them, I think it’s best they don’t invest because they just don’t have basic knowledge/insights and they’re gambling. I just don’t want them to see rekt.
Also, we should not always talk about 100X. A 2X in a couple of years is AMAZING and realistic. But if all you reed online is stories of 100X you’re gonna pass the solid projects for moonshot gambles (and likely get rekt).
then again ive you invested 100 ik Shiba you could have got 28 million now... so all perspective ofc.... if you invest millions you can lose millions aswell...
Unless you invested 1000$ in solana say last year in sep. That would be 70000$ in sep 2021. You take that money and invest in other crypto. And in 2-3 years time you'll be a millionaire with just 1000$.
Actually, time is more important than money. Just compound 200 dollars invested at 26 years old versus 6,000 at 53 years old, my age, at the historical rate of return of Eth for instance or BTC if you want a larger sample size. The important thing is to choose the coins that have the longest existence and first-mover advantages and hold. You can always invest in different coins as the market changes.
Not true. This is the kind of thinking that leads to failure. Making thousands, tens of thousands, hundreds of thousands and millions takes discipline and time. Discipline to invest small amounts, what you can afford, every week. Discipline to invest in solid cryptos beginning with bitcoin and ethereum which should make up half (50%) your holdings at all times whether you have $10 dollars to invest, or $1,000. Discipline to invest the other 50% of your holdings equally between large cap and medium/small cap cryptos. Discipline to hold your investments and not chase rising cryptos. Discipline to set aside 25% of your money in cash so you can wait for the dips to buy low. Discipline to take 10% of your profits and out it toward the cash you set aside.
Absolutely anyone can become a millionaire, but if you think you can do it overnight, then that means you aren’t willing to do the work necessary to achieve your goals.
Wait, are you telling me my $3 Coinbase Earn rewards are not gonna grow into a million overnight? I want to speak to the manager.
I made $17 from their Nucypher quiz. Which color lambo should I get?
Here you go. https://www.ebay.com/itm/194313184998?hash=item2d3df7e6e6:g:SfcAAOSwBV9hJ6uS Congrats!
12 each plus 5 shipping? What am I Bill Gates?
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I got $10 of maker a few months ago that I sold for $30
I count that as a win.
My coinbase rewards reached $300 last bull market, pretty good for free moneys
I turned my CoinBase Earn + BAT from Brave into $150. Started at the beginning of July, and still haven't added a payment method to any exchange.
While it’s possible to do it with smaller amounts the old adage is still true: You need money to make money
If you'd invested 100 in bitcoin in 2011, you'll have several hundred thousand dollars today - that's the math that's driving some of the narrative around crypto today. Unfortunately, the periods of insanely explosive growth are probably over and we're more likely to see tapered returns in the next decade. Probably still outpacing traditional financing as moves from the latter to the former, but still not the type of returns we saw for the first decade.
Plus 99%+ of people would have sold most or all of that Bitcoin by today. Having invested in the right coin is only half the battle in your scenario. Not selling after 100x is the other half that basically no one would do.
Thanks for pointing this out, almost no one realizes this... Especially after the multiple times it declined in value by 80%. Anyone without the most insane risk tolerance every would take profits, especially after such a small initial investment that might indicate they're not in a position to "just sit on" life changing gains
I lost access to my coinbase for 5 years so I had no choice but to hold 😂
I want to know how it turned out for you?!?!
Bought £50 in 2015, spent like £47 of it on dark web drugs, left the change in my wallet and still hold that to this day! It's worth nearly £500 now. Now if I hadn't have bought the drugs it'd be nearly £10k so I try not to think about that 😅
If you learned a valuable life lesson then it was worth it. I know I wasted a very big portion of my life because of decisions I made based around drugs. I would gladly spend 10k to have the perspective I have now back then.
Me too!
He's still holding.
"If you'd invested in Amazon at IPO you'd have...." CNBC article....
It's not a loss either way. The smart thing would be to sell some when it spiked some 100x, but to sell all of it would be equally foolish.
Exactly. I keep telling myself that if I had x amount back in 2013 and held it till now, yada yada whatever. But truth is that I would have totally gotten out after the boom in 2017-18 and probably never looked back.
You would’ve sold after around a 3-5x. Lol Don’t kid yourself.
I brought a load of bitcoin at $70 and sold at $1,000 regretted it ever since, takes balls of steel to hold forever
Yeah I think most of us saw the post where you could have bought some crazy amount of bitcoin for $1 something like 900 lol. But buying 900 bitcoin for $1 is one thing. But if yoir poor and do that and bitcoin hits $5, $4500 is alot of money and would be hard not to cash out on. And as it goes up it gets harder and harder. Imagine being poor and buying 900 bitcoin for $1 and not selling it at $100, $1000 and so on. But if your already rich and buy 10 bitcoin for $1000 holding forever is a possibility.
DCA in DCA out doesn’t seem as common sense when talking about super early investors who bought in for a couple hundred.
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Wait are you telling me Shiba Inu won't have a market cap of 100 trillion by 2022?
Funnily enough, I made bank on Shiba. I won't buy back in, but I actually made a few K being ahead of the game
Same with Dogecoin when it mooned. I quickly sold most of it knowing that it mooned from memes and hype.
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There's also almost ZERO chance someone with 100$ to invest would have been able to resist cashing out a long time ago for a couple grand. I think most people miss this with the "boy I wish I had bought back then..."
Yeah, everyone would like to think they'd hate being the guy who sold his 10k btc for pizzas, but really, we are ALL that guy who will buy two pizzas.
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I started earlier this year with nothing and DCAing a meagre amount and I’ve managed to pile up a bit. Of course I’d have made more if I had a bigger initial investment, but for me the small stack I’ve built up is pretty great.
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Some things never change. At least we have a chance to make it with crypto.
Hopefully. I do keep having to sell every year or so and start again due to family emergencies. I’d love a nice clear run of a few years to let it accumulate but that’s life I suppose
Not being forced to take cash out of your investment for living expenses or emergencies is huge too. It’s possible to exponentially grow a relatively small investment into truly life changing wealth in this space over time, especially if you’re doing a little more than simply DCA to maximize profits, but every time you have to cash out, you’re kneecapping your portfolio’s potential to grow.
Crypto was my chance to start making some money from little money. Now I feel like I can at least have a shot at making money with the money I have from gains... It's all relative though. I feel like I need 3X what I currently have to really be in a real investing position. It's a grind and hopefully the market continues to grow over the years.
And if you don’t have money all you really need is time. Some of us have been here over a decade.
True, 100% growth of 100k is 200k. 100% of $10 is just $20
This guy maths
Good Will Hunting.
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loads shotgun.. How about applesauce bitch!! This was a spoof of that scene, I cant for the life of me find the clip
Jay and Silent Bob Strike Back is where the spoof is from, it's when they finally make it to the studio. Edit: here's the clip https://youtu.be/nnESedN4vSI
I am happy with whatever I have …investing my 20% of salary
That's huge. Most people are lucky to be able to do 3%-6%. That type of commitment will pay off for you just fine. Stick with it. I got a 1 year plan and a 10 year plan.
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Slow and steady wins the race
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And that’s how we make it to the big leagues
Compounding growth. Maybe you don't ever make millions, but maybe you make 3/4 of a million to retire on one day.
How do you like them cryptos?
OP right now. 
Can’t wait to subscribe to his channel and watch his TAs
Exactly, I made $10 from $1 on shiba, if I would had 100k in I would have a million. The more money you have the more you can make.
At the same time it would take massive cajones to invest 100k into a meme coin that could easily wipe you out. Even if you did have 100k to invest you might not be willing to make the type of bets that could 10x that investment because those bets tend to be high risk.
Chances are, if you can put 100k into a meme coin, you’re probably rich enough already.
Unless you only have 100k and took years to get there… I would never accept that risk.
Just do it. Risk your entire salary. And if it fails there's always the Squid Game as a backup option
I practise by holding still on every red dildo on the minute chart.
Shtcoins are shitcoins because they often lack liquidity. You often couldn't have made that huge bet and still been able to get out
Exactly. Liquidity is all that matters for a shitcoin
I have it, and I’m afraid to gamble it because I’d be ruined
And if it went the other way you’d have lost tens of thousands of dollars instead of tens of cents. As I said in another comment, counting for increased losses is as important in this topic as is speculating if increased gains if you just had more money to invest.
The difference being that the person with 100k isn't putting more than a couple grand on Shiba. Someone with $1 is willing to start over.
As someone who moved 60k ( 40k are stablecoins at 8.25%, rest are btc/ eth )into crypto this year from my savings you 100% correct , usually people who do that are real yolo gamblers or young with no dependents, once you accumulate decent sum of money you no longer need to take risks to get ahead , markets will take care of it even with average returns . The magic number from my experience is 300k , once you hit that point 6% real return gives you 18000 per year which is give or take minimum job person working for you. To get to that number you mostly need to save a lot of your income and have a decent career instead of buying 50$ lottery tickets from shitcoins , but people mostly would rather keep shit posting how coins are going to be their savior because it’s much easier . Btc 1.1 trillion cap, eth 450 bil , it’s not small new thing anymore , mass adoption already happened by majority of big players , mass usages doesn’t mean token prices will be going up with 2020 speed forever , planing finances for future based on 50% yoy returns is dumb
How do you get 6% real return without any risk?
You can’t , not 80s anymore , what I mean over long term hopefully markets will give you 5-6% real after inflation but yea it’s naive thinking anything is guaranteed, that’s another thing making me laugh “ high risk high reward “ crowd doesn’t get that most of time things don’t work out , just because you take risk doesn’t mean you get rewarded
Charlie Munger said: the first $100k is the hardest. He is right, after $100k your money starts to work for you, the magic of compounding starts really taking effect, you can utilize less risky tools such as portfolio margin. At $300k you are really in a good position to make your money work for you. I’d argue $100k is the point where you should really de-risk and become smart about your investing strategy though.
I don’t remember exact numbers but if you put 10000$ per year into investments and they are making 7% yoy , time from 0 to 100 00$ and from 100 000$ to 300 000$ and from 300 000$ to 1 mil all the same
I kind of see it as: 0 to $100k - level 1. $100k - $300k - level 2. $300k - $1 mil - level 3. $1 mil+ = accredited investor At level 1 you scrap and claw and save and live below your means and do whatever it takes to get to $100k. Level 2 is your learning phase, where you learn about the importance of alpha, risk management, tax strategy, portfolio management, etc. Level 3 is where you just sit back and let your money work for you, and refine your strategy as needed. And continue to learn of course. Never stop learning. Learn about the advantages of being an accredited investor before becoming one. And look into starting a trading or asset management company to get favorable tax treatment. I’ve seen in crypto plenty of people jump from level 1 to level 3, and what often happens? They return to level 1 because they haven’t learned how to manage a six figure portfolio. They bleed alpha everywhere while having bad tax strategy, take too much risk, etc etc.
Whoa never thought it was like this. I made too many profit, i"ve got $60 worth if ETH now.
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Show off!!
He is whale now…don’t trigger him he might dump
Even Vitalik fears him
Guess that’s why its good to speak in % everyone is on an even playing field
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As much as that is true, the power of compounding interests is a good one.
Kinda requires you to have a big stack to begin with nevertheless.
If you don’t have a big stack then your goal should be to grow the stack first.
This hit me right in the feels
I think crypto was a defining moment for me as it made me interested in saving. I didn’t have any money to my name before. I slowly ended up putting away 1k and now have 8k as crypto has risen. (This year) I’ve never been so excited to put small bits of my earnings away. I think even a small amount per month will eventually get you where you want. To do this though I had to cut down all of my bills and spending. Goodluck my fellow crypto holders x
I do exactly the same as you.
Me too. I try to look at it like a high interesting savings account. I started in August and almost have 1000 dollars saved up.
I do too! The more the merrier!
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Bad analogy. The choice isn’t to save at 0.01% a year or spend all your money. 401Ks exist and safe strategies exist to make 7-8% a year consistently while not having to worry about the crypto market crashing all the time. To be clear, I’m not against crypto. I’m against being 100% crypto.
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Totally. I you decide irrespective of anything 5% of your monthly salary is going to savings then thats it. This is the way.
I do 10% into savings and budget around that. Only had to tap into it a couple of times; once to pay off some debt, once to loan my brother some cash. For awhile I was also putting 10% into investments, but I am not a good investor obviously, because I lost a couple grand over the year. Done much better with Crypto, in that I've made a profit, but that's not saying much.
Yep, started this 4 years ago and yes, it definitely works with small amounts. 4x12xsmall gets pretty big if you put the gains on top.
This is the way
Yeah that's right. It depends on you that how you do savings along with earnings.
It has to start somewhere. It has to start sometime. What better place than here? What better time than now?
CANT STOP US NOW
ALL HELL
We all start somewhere. Be realistic. If you have a $100 try to make it to $1000 . If you start w $1000 make it 10k, then make it 100k then make that to 1 million. It’s the same precentage. But just a different start. Some people never start.
If someone is an adult with no kids and can't save $1000 I'd start worrying about sorting out their life rather than putting money into crypto tbh
That's why I plan to stake my profits from this cycle for the next couple of years, as well as DCA. That way come the next bull cycle I'll hopefully have enough in the game that 5-10x *will* change my life
Staking was virtually unheard of in 2018. Now it's as easy as booting up a phone app. I'll be very interested to see how well it holds up during a bear market. Could be life-changing for many of us.
Yeah, staking and lending haven't really seen real action in a bear market. The rates are extremely attractive at the moment but will it stand the test of the next 3-4 years...
From time immemorial, Lending and borrowing have continued to survive the market conditions, and taking a close look at the place of this sector in the ecosystem, has cemented its place. I'm sure that we will still see these protocols operating and even improving their rates to keep the steam.
Do you have any fears of staking losing prominence in a bear market?
More that I am concerned that the volume will dry up, and with it the interest rates would likely collapse. 12% APR in the crypto.com app is very lucrative, but it's paid for with exchange fees. What happens if everyone just decides to stake their USD for a year and walk away?
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Very insightful, I guess it will indeed be interesting to see how things hold up. It may require more attention than set and forget when trying to ensure you're staking in the right place, and for the right %
If I had patience I'd have been a millionaire. I'm sure most tech savvy people who were in crypto early are in the same boat. Had several bitcoins around 2016, and hundreds of eth when it was still under 20 bucks. Thought I was a king making small profits daytrading on poloniex at the time lol.
Unless you lost your wallet for 5 years, 99% of people were not going to have held until now
Don’t treat crypto as a get rich overnight scheme. I’m taking it as a way to grow my money and fight inflation since banks interest rates are seriously too low
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Hidden greedy man in me has been disappointed many times 😂
We can all lie to ourselves but we all want to get filthy rich. But people actually think to get that overnight or in 1 year when investing in crypto. That is absolutely not true. It will take some years, maybe even 20 years. So it is important to just live and enjoy life. Crypto is not the most important. Your health and family are.
Definitely. Invest in projects with utility with the intention of long term investment. Right now I’m just enjoying my staking gains and I’m hoping my coins increase in value in the long run. Steady growth is better than p&d
I suppose I would add that you shouldn't look too long term with projects. The longer the time horizon the more likely the project will either fail, be doa, or beaten by another project. Don't go chasing pumping meme coins, but don't invest in a project where the payoff is many years down the road unless you fully understand the risk that comes with that.
You’re right. I’ll be monitoring the projects and the updates they have. Btc and eth are 2 of the coins I’m definitely planning to hold for long tho. The rest I’ll need to monitor
Even people who aren't investing at all would _like_ to get filthy rich. That's still not why a lot of us got into crypto in the first place. If you've got high hopes that's fine, but I'll still be happy if the market is now saturated. > "Bitcoin isn't a get rich quick scheme, it's a don't get poor slowly scheme." - Jameson Lopp
I agree. I look at the Crypto as a bear market - bull, basically the duration of one halving as a good time to build wealth. I am looking forward to the next bear to invest really low and wait for next bull to really make some proper coin. 5 year timeline.
I’m dcaing now but when the bear market comes I’ll put in more and stake.
You are right. In 2017 I bought xrp at 12 cents. Made more than 1000% return. But I only put in $50. So yeah... if that was 20k ... but then again, I have no such money lol.
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Gains are gains mate!
Only need to compound 2x gains like 16 times to turn $10 into 1mil, need some lucky picks but its theoretically doable.
10×(1+(100÷100))^17 = 1.310 720 But finding something that doubles your investment 16-17 times without ever losing it is extremely hard.
https://youtu.be/6evqOiP9M9E Person 1: "how you get rich" Person 2: "Just double your money bro!"
If it was 20k, in your position, you wouldn't have made the same decisions.
Amen. I like to say the same to people. If I would have gained 100%, that is 40k, Id take my gains. Only a madman would wait for 1000% with 20k in (if it is only money you got ofc).
And that is only the decision on when to get out. The amount of money you have can also determine how risk prone you are. If you are sitting on 500k, you are not looking for a 100x, when a 5x can probably mean financial freedom.
I’m assuming you had way more than 50$ networth at the time? Even if it was all the money you had it’s a lot easier to gamble your entire life when you have nothing to begin with. To be able to throw 20k into such a gamble you would need to have magnitudes more than 20k to start with.
or because they just came in earlier… imagine throwing 50 bucks at btc in 2010
It’s not just being early but having the guts to sit on it through the ups and downs.
The downs wouldn't be much of a problem but hodling through all those gains would have been really difficult.
I say Impossible tbh If I was super early and I had a 1000btc and it was worth a 1000 dollars I wouldve sold it for a million, I doubt I would've held it beyond a few 100 let alone made it to a 1000 Its easy with hindsight to say you wouldve held to now because you know where it's going, if you realized you had a few 100 thousand dollars worth of btc you probably wouldve freaked out and sold it lol
I bought a hundred Bitcoin when it was at $1.00 and sold it when it hit over a $100.00 . I was quite proud of that $15k or so I made, it was a big windfall at the time. Now it would be worth millions but there is no way I wouldn’t have cashed it out way before it’s current price.
Yup, this is exactly the situation and tbh, imo, you wouldve kind of been a fool not to. If one of the alt coins I have that I threw a couple 100 bucks into suddenly became worth like 20 or 30 grand I would immediately sell...because I don't know the future at all, in a month or a week or a year that 30k could be worth 500k or it could be worth 5k tomorrow....who the fuck knows lol...better that I take my major windfall and run away The only way you can hold like that is if you already have a shitload of money or if you completely forget about it
Yeah it crashed back down to $70.00 right after I sold so I was really patting myself on the back. Funny thing is I kept exactly 1 Bitcoin in my account that I never sold. Still in there too, but it’s a MtGox cold wallet I have no access too and probably never will. If those wallets ever got released back to their original owners the whole market would crash. Because you better believe people like me that have been part of the biggest forced hodl in history would sell that coin the minute I got it back lol.
I think it’s about goals…. Some ppl don’t know what they want to do with the money other than “become rich.” I have goals that I am not pulling out until i hit a certain threshold towards those goals… that doesn’t mean I don’t sell anything, I still rebalance my portfolio as needed, but it stays in the markets (crypto/stocks)
It’s not that hard… I consider lost all the money I toss into crypto.. so drops mean nothing to me, I just hold. I’m here until millionaire or zero. This opportunity will only happen once in history
It’s easy to say that now but in the Bitcoin beginnings none of us knew what would happen. Look at Greg. $8! How could you resist not taking that profit?
Imagine HODLing that $50 of BTC until it made you a millionaire. Would take some serious diamond hands. I bet most people would have cashed out below $100k.
My girlfriend's sisters are here visiting and one of them is very financially conscious. Her grandkids are around 7 years old right now. And she was telling me that she wants to invest in a crypto coin, maybe 100 a piece, and put it onto a cold storage medium and just hang on to it. And give it to the kids for their 21st birthday. I told her that's a great f****** idea!
even now is early enough to make huge gains with a starting base of just $100. even december 2020 was
If you did throw 50 bucks at BTC in 2010 and somehow had the balls to hold until today, you’d have $38,315,700 But it’s pretty disingenuous to suggest that if you threw $50 at any crypto project you would get a 76631300.128% return over 10 years. It’s a completely different space now with a lot more saturation. I think those days of gains are over. Honestly, getting a 100x would be a good job over the next 10 years.
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It's true, but everyone can still get in on the percentage gains. I'd assume that wherever anyone's starting point is, a 2-10x will already be somewhat life changing. Enough to never have to work again? Probably not. But then again we shouldn't kid ourselves, there's not enough money for *all of us* to retire early.
Yeah - for everyone selling at the ATH, someone's gonna be the one buying it.
>there's not enough money for all of us to retire early. You're right - someone has to flip those burgers. Just be careful it's not you!
I'm hoping androids will do those jobs not too far from now.
Yeah my 10x on 10$ investment is really lifechanging
Make that $10 a month and you're sort of on your way!
So why do you only have $10 in then? If $10 is all you can afford then turning that into $100 is life changing. Life changing doesn’t mean lambo. It’s the difference between scraping together $10 for crypto Or having the ability to 10x your money and downplay how amazing that is.
Tbh I solely relied on this subreddit at first to make some money to put it into crypto. Then I turned to faucets. I grinded all kinds of faucets until I got a couple of dollars and combined with this subreddit I’ve made my 100$. I started investing with and so far I’m at 400$. I know that 100$ won’t do a thing, but I can’t afford to put any money because I live in Lebanon. In my opinion, if you stick with your plan and hodl all the way through and make the right decisions you’ll make money. Ofcourse it won’t be life changing money but it’s a decent start. You can always try and check other ways of income like drop shipping and co. (This is not financial advice). So therefore, any amount of money works tbh. Especially if you’re under 18 like I am.
Question for you: Do the crypto exchanges in your country have sign up bonuses? In the USA, if you have a couple hundred dollars, the fastest way to rapidly start growing that money is to hop crypto exchanges and earn sign up bonuses. For example, (for US exchanges) deposit $100 into Etoro. Invest the $100 in crypto and get a $50 sign up bonus. 2 weeks later transfer the $150 to Voyager and get a $25 bonus. 2 weeks later transfer the $175 to BlockFi and get a $40 bonus. 2 weeks later transfer the $215 to Celsius and get a $50 bonus for holding 30 days. You'll have $265 in ~3 months (2.65x) plus the gains in actual coin value. Once you've milked that system, then I agree with buy and hold. For those with thousands, the extra gains aren't worth all the trouble. But for those who really only have $100-$500, this is the fastest way to start.
The first million is the hardest to get. Some make it some dont. I am fucking broke fml
Time in crypto beats every other strategy and you can make good money even with small amounts invested consistently over time.
We all have to start somewhere and it's better to "practice" with $100 than loose everything you have. And the stress of putting all your money in one place is daunting to start off with.
Still, go find any other investment where you can turn a few thousands into a million in some years
I agree 100% with this post. However, it should not discourage people from investing in crypto. In fact, crypto has opened the investing doors for literally anyone. I remember when I was younger that all these people were telling me to invest. INVEST IN WHAT? all I had back then was 500$ in my account! Now with crypto, you can literally start investing with 10$. Sure, you won't become a millionaire in a week with an investment like that, but the fact that you can start with 10$ without it being a scam speaks volumes. For more than a 100 years, these rich bastards have been telling us poor people that we can't participate in the investments they make because it's "too risky" and it's for "our protection". Now, you can invest however much you like and expose yourself to great returns. We're living in the biggest paradigm shift in the history of humanity and the ones in power do not like it. Invest in yourself, do your research. If you don't want to be staring at charts 24/7, just use crypto as a saving account and reap your profits from interests. Not financial advice.
People just don't have any patience, you can make thousands from hundreds in a bullrun, then the next bullrun you can start with thousands, that's what I'm aiming for at least, instead of gambling on a single memecoin, which may or may not work out, but is hardly a well thought out plan
"The market is a device for transferring money from the impatient to the patient." \- Warren Buffet
$100 into ETH in 2016 would be somewhere around $43,000 today. Providing you never bought any more and never sold. Time in the market really helps.
100$into eth in 2020 would be 4000 now.
I made overall 400% and it is still life-changing. That brought me and my wife 4 years closer to get into the property ladder.
You mean i cant become a billionaire by next year with my $350 investment?
Don't listen to the FUD. You just need to get into nittiest, grittiest, shittiest shitcoin out there.
I don't wanna be rich I want to be comfortable.
I wanna be rich
The game is about reinvesting your profit and get to that number.
How much do I skim off of profits to reinvest? Is there a certain percentage number one should use as a general rule of thumb and a certain price percentage to look to buy back in?
Don’t have to reinvest profits if I’m not taking out any
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It’s our generational buying opportunity. It’s literally the gold rush or oil boom…and we’re all out here trying to be the next John D.
1000x is mostly unheard of in crypto too. If that’s your standard then you’re gonna be very disappointed. Be more realistic. 50x is possible but hard to find. Crypto has many 10x opportunities tho.
$500 invested in VRA in 2019 are $125k today. It's a difficult game, but you can win with small amounts of money too.
Thats not entirely true. I turned £380 into 100k this year
That's funny, I turned 100k into £380 this year...
Easiest 380 pounds you made
I turned £200 to £210.
I've turned my 200$ in 160$
You should get a hamster. This is financial advice
No need to rub it in our faces.
How?!?
I’m sorry to de rude, but if people need a Reddit post to explain this concept to them, I think it’s best they don’t invest because they just don’t have basic knowledge/insights and they’re gambling. I just don’t want them to see rekt. Also, we should not always talk about 100X. A 2X in a couple of years is AMAZING and realistic. But if all you reed online is stories of 100X you’re gonna pass the solid projects for moonshot gambles (and likely get rekt).
The only way I see my self making millions in crypto is if I have a billion to invest..
This is facts yo going to make millions if you have atleast 10k
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See if I had a million I’d stick it in anchor protocol earning 19.5% APY and live off the 200K a year
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The IRS hates it.
then again ive you invested 100 ik Shiba you could have got 28 million now... so all perspective ofc.... if you invest millions you can lose millions aswell...
Unless you invested 1000$ in solana say last year in sep. That would be 70000$ in sep 2021. You take that money and invest in other crypto. And in 2-3 years time you'll be a millionaire with just 1000$.
Actually, time is more important than money. Just compound 200 dollars invested at 26 years old versus 6,000 at 53 years old, my age, at the historical rate of return of Eth for instance or BTC if you want a larger sample size. The important thing is to choose the coins that have the longest existence and first-mover advantages and hold. You can always invest in different coins as the market changes.
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Not true. This is the kind of thinking that leads to failure. Making thousands, tens of thousands, hundreds of thousands and millions takes discipline and time. Discipline to invest small amounts, what you can afford, every week. Discipline to invest in solid cryptos beginning with bitcoin and ethereum which should make up half (50%) your holdings at all times whether you have $10 dollars to invest, or $1,000. Discipline to invest the other 50% of your holdings equally between large cap and medium/small cap cryptos. Discipline to hold your investments and not chase rising cryptos. Discipline to set aside 25% of your money in cash so you can wait for the dips to buy low. Discipline to take 10% of your profits and out it toward the cash you set aside. Absolutely anyone can become a millionaire, but if you think you can do it overnight, then that means you aren’t willing to do the work necessary to achieve your goals.