Terribly slow is the main problem. There’s also a fee attached to each transaction. Finally it’s highly inflationary and volatile.
That’s pretty much what keeps me away.
Depends on your risk tolerance. I would keep a small percentage of my portfolio in Bitcoin but I certainly wouldn’t go over 10%.
What does highly inflationary mean? The purchasing power of BTC decreases over time?
This as a diversification strategy. Everyone has a different tolerance for risk.
I mean deflationary .
Cryptocurrency is about 70% of my net worth. I tried to diversify and nothing else has been working for me so far.
That’s got to be a nerve wracking.
What if anything are you looking to put your spoils into? Growth, Value, dividends? Property?
I’m just really leaving it there mostly as I ‘kanhao’ the future of the big cryptos. Bitcoin and ethereum are solid as the US Treasury (even more solid ) over the medium term . I cashed out a bit but realised the other options are poor. Mostly I worry how to store it safely and securely.
But I will probably put some in to property or use it to borrow against for property somewhere. I can’t travel so I can’t do a lot of investment overseas either.
Let me know when you make it to NYC. Then I can direct you out of that cesspool and up north where’s it’s purty.
Just leaving it in crypto wallet?
Why not do staking or yield farming? Especially as you know the space for so many years.
Also, if you feel peak is near, why not go into stablecoins to trade any price drops?
I do all that stuff.
I think this is a weak analysis - i.e. saying that he is in BTC because he has run out of ways to spend capital.
One could just as easily argue that he is employing his capital by buying BTC because he thinks it will return more money than any other asset in his treasury portfolio.
Assuming it is a treasury management play, when he sees fit he’ll sell some assets at a profit to reinvest in Tesla.
In summary, switching the way you manage treasury funds isn’t an indicator of running out of ways to spend capital.
Do you have any tips? Like which service to use for stablecoin farming? Actually, can I dm you?
I don’t do much yield farming and staking. Many of the wallets and exchanges can do this now. Also aave where you can link your wallet or Ledger or metamask to.
What do you think of this analysis on diversification?
I think it says buy all those except ETH to diversify BTC risk.
That’s what people told me at 80 USD Eth and 150 USD and at 300 ‚USD Eth and 500 USD Eth and 1000 USD Eth…And so on.
If your investing horizon is a couple of years you are probably good to go.
Edit - I see you replying to 2017 post lol
Can someone please block Elon Musk’s Twitter?
Why what’s happened?