"You're a fool if you don’t invest in crypto assets," ~Tim Enneking.

If you are interested in investing or looking to grow your investment in cryptocurrency, then this post is for you.

Back in July 2017 when I first made my first "investment" in cryptocurrency I was almost certain I'm gonna be the next billionaire after Zucks -😃. If only I had actually "invested" I would mostly likely be having some hundreds of million dollars idling in my account right now.

So what did I do then? Read my story ...

I created my first bitcoin wallet on July 5, 2017; after almost 1 year of being preached to, shown earning proves of all kinds of "crypto investment platforms". July 2017 was a perfect timing because I just closed down one of my businesses then and looking for what and where to invest and grow my wealth -and here's this same friend of mine who's been following me up for about a year now telling me about Bitcoin. This time I listened more and decided to do some research of my own -I never invest without doing my own research even after hearing from a good source (even if the research is downloading and reading the projects whitepaper or business plan -by all means ADYOR!)

After about a week of researching this bitcoin and cryptocurrency I called my friend to come and tell me more one last time; and then decided to "invest" in one the programs through which they earn more bitcoins. I threw in a few hundred dollars from one scheme or platform to another and the rest is history and valuable lessons now.

In reality; what we were doing was more of gambling, not investing and a lot of us have been there.

Related Posts:

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What is Crypto Investing?

In simple terms; crypto investing refers to putting your money into crypto and crypto related projects, businesses, programs with the expectation of making a profit either in the short term or long term.

When you invest or put your money into a crypto project or just buying a crypto coin or tokens; you are betting on the future success of that project based on whatever criteria you used in evaluating the possibility. The underlying fact is that for some good reasons you expect and plans to turn a profit at the end of the day.

Now it is important that we distinguish between:

Gambling

Speculating

and Investing

...because the vast majority of people are often gambling or purely speculating and calling it "investing". The term is being heavily abused and misapplied.

I was out on the field one time on a free skills development program participating as one of the trainers representing my Company and we planned on teaching crypto trading skills to the participants. We were duly registered and enlisted to train the interested participants but when some top officials heard that we were going to teach cryptocurrency, we were removed from the list of trainers immediately. I wasn't too bothered but I wanted to know why we were de-listed. The reason the top official removed my Company from presenting is because "she invested in cryptocurrency (bitcoin) about a year ago and lost $8,500 to bitcoin" and I was like, really? show me the bitcoin you bought that made you lose that huge amount of money? and she said "they packed up and disappeared" -☺. She ignorantly "gambled" her money away on ponzi schemes and she blames it on bitcoin or cryptocurrency generally.

That's exactly what most people do and you're not gonna be one of them.

Step By Step Guide To Investing Profitably and Safely in Cryptocurrency

In a previous post I talked about the Top 2 Most Reliable Ways to Make Money In Cryptocurrency -Investing and Trading. This post is an expansion on the ideas expressed there.

Basically you can invest in cryptocurrency by:

HODLing -Buying and holding selected coins and tokens with the expectation that the price will appreciate over-time and you make a profit.

-Buying and holding selected coins and tokens with the expectation that the price will appreciate over-time and you make a profit. Crypto Start-Up -Establishing your own crypto based Company.

-Establishing your own crypto based Company. Funding Crypto Projects -for ownership stakes, percentage holdings, dividends or some other agreed returns package.

-for ownership stakes, percentage holdings, dividends or some other agreed returns package. Mining Coins or Tokens -There are different methods of mining as much as there are coins and tokens for mining, with lots of articles to guide you on each of them.

It is beyond the scope of this post to cover all of these and the many other ways of investing in cryptocurrency. So we are going to focus on the first one:

HODLing: HODL is a fun way of spelling hold, and it means "Hold for Dear Life". A concept popular within the cryptocurrency that refers to buy-and-hold strategies. colloquially, when you find a coin you have invested in going down in price -HODL! and don't panic-sell or act based on FUD (Fear, Uncertainty and Doubt). You are also asked to HODL and not sell yourself short at the first sight of the moon -price appreciation.

The (crypto trading) market is designed to transfer money from the active (impatient) to the patient. ~Warren Buffet



Except you know exactly what you are doing -avoid day trading. It is too easy to lose your money day-trading cryptocurrency just as it is easy (in theory) to make so much within a relatively short time doing exactly that.

Invest For The Long Term

The best (not financial) advice I will give to anyone intending to invest in cryptocurrency is to have a long-term perspective especially when you don't have the technical knowledge and experienced enough to be able to "play the market".

Though the billionaire -Warren Buffet, is a traditional investor especially in stocks and not even close to being a fan of cryptocurrency (bitcoin); his advice on investing are never-the-less generally applicable in crypto investing.

Here is a video about Warren Buffett’s advice for developing a long-term investing strategy -by all means watch this video to the end. It contains a golden and timeless advice for good investing.

Only buy coins and tokens that you’d be perfectly happy to hold for 10 years (paraphrased) ~Warren Buffet

I know there have been instances where people have made fortunes through their crypto investment within a relatively short period of time such as the guy who bought an old computer and found private keys to thousands of bitcoin in it to the man who exchanged 2 pizza for 10,000 bitcoins or the guy who got some tokens through airdrop that worth millions in less than a year.

These scenarios are mostly lucks and not investment models or strategies that can be intentionally and realistically duplicated.

One of the main concerns for especially cryptocurrency investing is market volatility. Volatility measures the degree to which prices change over time and with crypto there seems to be even greater and more frequent price swings which scares many people. As you could be rich this moment and the next hour or day you're down by 30%. This makes cryptocurrency a highly risky investment especially for those playing it for the short-term.

The advantage of investing long-term is found in the relationship between volatility and time. Investments held for longer periods tend to exhibit lower volatility than those held for shorter periods. The longer you invest, the more likely you will be able to weather low market periods. Assets with higher short-term volatility risk tend to have higher returns over the long term.

Personally I buy cryptos with the intention of holding onto them for at least 1 year and more in many cases.

Staying invested in the market over the long term has historically paid off.

Educate Yourself In Crypto Investing

You shouldn’t invest a cent until you’ve spent time educating yourself on the space.

One of the biggest mistakes you can make in your crypto investment journey is -not doing your own (thorough) research and getting caught up in the hype. Buying on impulse or solely on someone else advice is usually an invitation to disappointment and unnecessary troubles.

Never invest in a business you cannot understand ~Warren Buffet

is a golden investment advice.

Spend quality time and attention -reading, listening and watching good contents on cryptocurrency and any particular project, program or coin you're interested purchasing.

This days, information is freely available to anyone and practically about anything you want to learn regarding cryptocurrency. Thank God for platforms such as Publish0x -there are tons of quality yet free contents on virtually every area of crypto investing for you consume and analyse before committing your money to any project.

Don't be lazy; nothing can take the place of personal responsibility for your learning and investment outcomes so take that time to educate yourself before you commit your money. Here's one of my previous posts: Top 4 Things To Consider Before Investing In Any Crypto Project. to get you started right away.

Start Small

No amount of reading and learning will put money into your account if you never get started -but start small.

I know; there's been stories of people who sold all their family properties and investing everything in bitcoin. Please you are not going to be that careless -will you? NO!

When people ask me: How much can I start with I usually answer them -any amount (but not your entire life savings or family fortunes). You can start with as little as $10 or $10m; it depends on your financial strength, knowledge and understanding of the technology and what you can afford to lose without getting heart attack -☺.

As you get more knowledgeable, confident and comfortable investing in crypto you can then begin increasing your holdings and growing your portfolio over time.

3 Good Reasons To Invest In Cryptocurrency:

There are good reasons and there are bad reasons why people invest in cryptocurrency.

The most popular of the bad reasons to invest in cryptocurrency is greed and the I want to me the first millionaire in my family by investing in bitcoin syndrome. I call it the-get-rich-quick virus.

And the good reasons are:

Because the dollar (fiat) will inevitably fall and lose it's supremacy (as validly assumed by many people) and you need a hedge to protect your wealth and financial sanity.

Because you support the social vision behind cryptocurrencies -financial empowerment, autonomy and independence for the people.

Because you understand, appreciate and value the technology behind it.

And because cryptocurrency is the future of money.

I always tell them [my family] that the second most stupid thing they could do right now is to own a number of bitcoins they cannot afford to lose and the most stupid thing they could do would be to not own any. ~Wence Casares, CEO of Xapo.



Disclaimer: I am not a financial advisor, and nothing I present in this post constitutes financial advice.

Disclosure: I am pro-bitcoin and considerably invested in cryptocurrency.