Navigating the wild world of Crypto
by TrickyBoom from Non-Fungible News
So it has been just about a year that I have been involved in the cryptocurrency space, and it will continue for the rest of my God given life. Scrolling through twitter daily I would see the Coinbase ads and finally I decided to look into it. Knowing nothing about it, I purchased a little bit of ALGO, did all of the “learn and earn” on Coinbase and that was the beginning of my journey. Learn, Learn, Learn.
The typical newbie modus operandi is to look up price predictions, stare at charts hoping that your brain will translate to your language and hunt for the best token deals (that’s my experience anyway). Second guessing, listening to the wrong people and trying to time markets that you don’t understand are a recipe for disaster. Many hours wasted on price predictions and reading nonsense that could have been used to learn the depths of the space and I finally started picking it up. Did I lose a lot? No. Did I gain a lot? Monetarily, no, but navigating the crypto space taught me a lot.
Dollar cost averaging, or DCA, is 100% legit. You may initially think “why would I do that when I can just wait for a dip?” Well for one, there is entirely too much emotion involved, especially for a newbie. For two, wait for a 50-70% crash like the one in May of 2021 and you’ll be glad you have a juicy bag of fiat sitting on the sidelines. HODL, or hold on for dear life, is the other tried and true way to win. If you must day trade or swing trade, allocate X amount to a “trade bag” and try it out. If you DCA and HODL, you will win.
It is truly overwhelming trying to learn the space itself, let alone what coins to get in to. There’s pure store of value, gaming tokens, DEX (decentralized exchange) tokens, proof of work, proof of authority, proof of stake, proof of history, etc. The point is, it’s a lot for anybody to learn and try to keep tabs on. Pick a topic and learn it. Twitter and YouTube are amazing tools for this so use them or get in cahoots with somebody who can assist you along the way. It is time consuming but well worth it.
Once you find a token you like, find a community that goes along with it. For me, I settled in nicely to the VeChain community, or VeFam as it is more intimately known. Research on your own terms but reach out to your community and get involved as much as you can. For me, when I found VeChain I knew I’d found a quality project and when I found the community to match I was hooked. This is when you really start to learn what the project is all about. EVERYBODY on my twitter feed is sharing what they know every day. If I want to know anything that is going on in the VeChain ecosystem all I have to do is jump on twitter and in short time I am brought up to speed.
At this point you’ll probably have a pretty good understanding of what it all means and if you don’t, well at least you know where to go or who to ask to get clarity. This is the point in my journey that I started getting into the NFT (Non Fungible Token) space and it changed my life forever. Why in the world would a grown man spend so much money on pixelated art? Well, the answer is different for different people. For me it is being a part of something as great as Microsoft or Apple in the 80’s, the internet in the 90’s or Facebook in the early 2000’s. The future is not coming without the use of NFTs. Will it be a never ending cycle of animated picture? I highly doubt it but many parts of our daily lives will end up on the blockchain with
NFTs enabling the storage of unique data on whichever blockchain you prefer. So for me, I just want to be early and have my collectibles.
Now we get even deeper, the DeFi (decentralized finance) arena which for me was a challenge from the get go, so I put it on the back burner and haven’t jumped in too much until recently. DeFi is effectively banking but without the middle man which is the central bank. If you actually stop and think about the role banks play in our day to day lives, it is disgusting. The cars we see driving around everyday, the houses we live in, computers we use, our educations, new sneakers, and even food in these unfortunate times we are living in. All. Owned. By. Banks. This is triggering a rant that I will postpone for another day. DeFi makes you the bank and when you realize what banks stand for and that you can take that role on, you will be ready for a rant of your own.
The point is this- If you are new to crypto, don’t let yourself get overwhelmed, there’s no need for that. Rome wasn’t built in a day as the saying goes. Your soon to be million dollar portfolio won’t be either and today is a good day to break ground. Take baby steps. Ask questions. If you don’t understand something don’t put your money there. Check emotions at the door and look at data and statistics, there’s plenty of it out there free of charge. If you are struggling with something, I can 100% guarantee you that you don’t have to look too far to find somebody who has been in your shoes.