Percentage of portfolio in crypto?

cnocbui

https://www.boards.ie/discussion/comment/118706736#Comment_118706736

No, I don't DCA. I started in early 2016, stopped in 2017 and have been hoddling since.

KrazyKMM

https://www.boards.ie/discussion/comment/118681028#Comment_118681028

I just recently heard of the Stock Moe YouTube Channel. A friend of mine is a member of his patreon, and he sent me the link to a video that he did giving an overview of a lot of different cryptos. Apparently this guy used to mine crypto like 10 years ago. https://youtu.be/AWaJdMSf8YE He said that he keeps a crypto portfolio for his patrons and has done pretty well for himself. I was considering joining to follow along with his plays. Especially right now since crypto prices are low.

Peregrinus

If anything, now would be a good time to start progressively realising some crypto investments, in order to lock in accrued gains on a cost average basis.

I've noticed advertising encouraging me to invest in crypto. Call me a crusty old cynic, but when people start advertising an asset class, to my mind that's the time to think about selling; if its characteristics recommended it to investors at current prices, there'd be no need to advertise it.

KrazyKMM

https://www.boards.ie/discussion/comment/118694732#Comment_118694732

I agree with you. I read A Random Walk Down Wall Street and they talked about the dot com era. I was too young to personally remember that, but apparently there were a lot of companies back then that were start-ups but obviously failed. I feel like crypto is the same. It is in infancy stage right now. But there are going to be those cryptocurrencies/alt coins that are around for a long time because they have good utility. It is just a matter of finding the ones that will be good long term.

KrazyKMM

https://www.boards.ie/discussion/comment/118689067#Comment_118689067

I think Ethereum is another one that will be around. Especially when it moves to 2.0 and proof of stake. Ethereum is the basis for so many ERC-20 tokens. And they WILL find some interoperability for some of those.

KrazyKMM

https://www.boards.ie/discussion/comment/118706744#Comment_118706744

I get what you are saying. Get in early because it is too late once everyone is talking about it. I have looked at the coinmarketcap website because it shows all crypto and the recently added coins. I have no idea how to go about trying to figure out which ones could be successful besides just finding some that I like and watching their utility progress. Taking big chances to put money in that early though(I have not). I looked at the ETH chart for 6 months and even a year out and it is at a low right now. If you bought in high over 4K, it wouldn't be a good time to sell.

KrazyKMM

https://www.boards.ie/discussion/comment/118706737#Comment_118706737

That's awesome. Congrats. I'm jealous. How is it for you during the times when things are super volatile. Do you worry? You have diamond hands for sure.

cnocbui

I don't worry at all. I followed the principle of not investing more than I could afford to loose so it's more a form of entertainment than a worry.

Peregrinus

https://www.boards.ie/discussion/comment/118706751#Comment_118706751

No offence, but this is a classic rookie investor error. Whether it's a good time to sell an asset doesn't depend at all on the price which you paid for it. The price that asset traded at at any point in the past, never mind at the particular point where you happened to buy it, doesn't affect in any way whether the price will go up or down in the future from where it is right now.

dirk_dangler

https://www.boards.ie/discussion/comment/118706561#Comment_118706561

I will try make it as simple as possible so yourself and jim2007 and anyone else who is struggling can understand. Its not cryptocurrency, it blockchain, get your head wrapped around that and you will have a easier time understanding.

Traditional finance is moving lock, stock and barrel into blockchain and have been for several years, dont mind what they say mind what they are doing, James Dimon CEO JPM has said anyone buying BTC is a idiot and he would fire them, he could be true to his word, but JPM are putting money into blockchain and have been since before ETH was launched.

https://mobile.twitter.com/notgrubles/status/1473302752038199302

So two things we all know about in finance are Money transfer and Attestation/Auditing, who would be considered the gold standard for both? So we are on the look out for the coming blockchain gold standard

Money transfer =Swift

Attestation and Auditing = PWC, Deloitte, EY and KPMG

We know a blockchain solution for money transfer is coming, Swift has told us so, it will be ISO 20022 compatible, that info narrows the field down, so you look for ISO20022 compliant blockchain projects one of them will become the blockchain standard.

Ripple is ISO20022 and rumours are Russia could use it to bypass the ban from Swift, could be why the SEC is cracking down on Ripple? (dont forget XRP token not needed to use Ripple).

PWC, Deloitte, EY and KPMG, $167b in revenue, so when traditional finance moves to blockchain it will need these services, so lets say 10% of this business moves to blockchain, that would be $16.7b per year in revenue, now lets say there is only one show in town for this service on blockchain, it has 1billion tokens, at $1 each today, once up and running it will generate the $16.7b in revenue , this will be shared with the staked token holders, so each token will earn its holder $16.70 per year, so a investment of $1,000 today will generate $16,700 for the holder. Now do you think a token that generates $16.70 per year in earning will stay at $1? At a unheard of in traditional investment, return of 20% would value the token at $83.50 each, 10% return at $167, a more realistic return on your traditional investment of 5%, that is a stunning $334 per token.

How will we be making money i hear you ask, well these blockchain services will run on POS and by holding and staking these tokens you will get a share of the revenue equal to your holdings. Venture capital funds usually have a website with their investments listed and they are mad for POS tokens.

Currently ETH is POW and all the transfer fees (GAS) all go to ETH miners, once ETH moves to POS all of these fees go to ETH holder who stake their ETH, you need to stake 32ETH to get a full share, now ETH is expensive today but it launched at 31c

Today ETH $15 avg transaction fee, it fluctuates, today its 46.81gwei, 1st Feb it was 155gwei

1.1mil transactions

$16.5m transaction fees today would shared among the stakers when POS is up and running.

90%+ of blockchain projects are worthless, So you want to be looking for projects that are setting themselves up to become the standard in blockchain, look for project that are aiming to do one thing and do it well, one thing to look out for is who is investing in these projects, these wall street banks and Venture capital funds are out to make money and if they can will gobble up the lions share of these tokens, lucky for us to avoid monopoly and anti-trust lawsuits the projects are available for the public to buy, but they hide in plain site what they are doing, it requires a bit of digging.

Five years from now in front of regulators the banks and Venture capital funds will be saying "Honestly it not a monopoly, anyone could have bough it if they DYOR and seen the potential like we did". and they will be correct, and those here who fail to understand this golden opportunity will be sick to the pit of their stomach.

Peregrinus

"PWC, Deloitte, EY and KPMG, $167b in revenue, so when traditional finance moves to blockchain it will need these services, so lets say 10% of this business moves to blockchain, that would be $16.7b per year in revenue, now lets say there is only one show in town for this service on blockchain, it has 1billion tokens, at $1 each today, once up and running it will generate the $16.7b in revenue , this will be shared with the staked token holders, so each token will earn its holder $16.70 per year, so a investment of $1,000 today will generate $16,700 for the holder. Now do you think a token that generates $16.70 per year in earning will stay at $1? At a unheard of in traditional investment, return of 20% would value the token at $83.50 each, 10% return at $167, a more realistic return on your traditional investment of 5%, that is a stunning $334 per token."

Spot the glaringly obviously wrong assumption.

KrazyKMM

https://www.boards.ie/discussion/comment/118706754#Comment_118706754

No offence taken. So you would sell at 2.6K if you bought at 4K? That is all I meant. Ethereum was at 2.6k last night at the time of my posting. I understand that nobody can time the market. That is why I do dollar cost averaging. Takes the emotion out.

Peregrinus

https://www.boards.ie/discussion/comment/118712028#Comment_118712028

If it's at 2.6k and more likely to go down than up, yeah, you should sell. By holding longer you simply magnify your losses.

It is, of course, hard to know whether it's more likely to go down that up. But the fact that you bought at 4k is not a relevant data point in making that judgment. I acknowledge, though, that on a human level it's really hard to stop the awareness that you paid 4k from affecting your judgment about likely future price moves.

dirk_dangler

https://www.boards.ie/discussion/comment/118711960#Comment_118711960

I assumed nothing!

I tried to dumb it down as much as I could so everyone could follow, it seems I did not dumb it down enough, anyway if you do ever buy crypto I hope you make a good profit.

For those still up to speed, it all about global standards, what will be used in US/EU/China, remember the gate keepers are the SEC, GDPR and BSN, get approved by all three and you have a winner.

Russia kicked out of SWIFT, oh no! What will we do says Putin, we will use the Chinese service CIPS.

Lets take a look at CIPS and see what it all about.

https://en.wikipedia.org/wiki/Cross-Border_Interbank_Payment_System

ISO20022 is here again

So we dig a little deeper into Chinas BSN and what do we find?

https://www.prnewswire.com/news-releases/bsn-integrates-chainlink-oracles-bringing-real-world-data-into-its-irita-powered-network-301081572.html

""BSN has an ambitious plan to provide a standardized, nationwide public infrastructure network supporting most efficient blockchain development and deployment. Chainlink is the industry-leading oracle solution provider. ............"

In the works for years with SWIFT and China

https://chainlinktoday.com/at-swifts-smarter-securities-chainlink-co-founder-sergey-nazarov-discussed-how-institutions-can-prepare-to-interface-with-many-different-blockchains/

Do what you will with this info, but I don't ever want to see any posters moaning that they missed out because they did not know.

Peregrinus

You assumed nothing? "Let's say there's only one cryptocurrency that would be acceptable to PWC, Deloitte, EY and KPMG" is an explicit assumption, and - when you give it a moment's thought - a pretty stupid one. And yet your entire argument depends on it.

You say that you are trying to dumb this down. You don't have to; it's already pretty dumb.

dirk_dangler

https://www.boards.ie/discussion/comment/118717507#Comment_118717507

If you are going to quote me, use what i actually posted, don't make it up, that is bad form.

I believe i would have to start sniffing glue to get to the level of dumb you require, anyway best of luck with your investing, its at $15.30 now, down from a ATH of $52 so don't worry about me I'll be Ok, only looking at 3,000% profit today and climbing😂🤣😂🤣😂🤣

Potatoeman

The percent of your portfolio in crypto is up to your risk tolerance. If you’re risk averse then limit it to 1% and stick to the mains and even then don’t go in all at once. The potential upside is too good not to. The bigger gains are in the smaller market caps as they can grow faster but also drop just as fast.

Take everything people say with a lot of salt. People get too emotionally invested in their favourite projects.

dirk_dangler

https://www.boards.ie/discussion/comment/118767172#Comment_118767172

The average annual earnings for employees in Ireland is €40,283 per year 

Limit it to 1% of your worth, lets break that down, probably age 30 and renting, have at most €20k in bank, so that would be big investment of €200, better of going down to paddy power FFS.

Ok maybe a little older, 40 a wife and two children, a house worth €350k(we wont count the 25 years to go on payments) and would be lucky to have €20k in bank, this 1% nonsense is not worth the effort. Don't include the mortgaged house in your net worth and your in the same boat as the single 30 year old.

Big changes are coming to the world and they are coming fast, either study hard and find what you want to invest in and pull the trigger soon or forget about it, the future monetary system of the world is already in the oven cooking as of now and the probabilities of it using some current crypto currency that you can buy now is high.

14th March

In two weeks, China, Russia, Armenia, Belarus, Kazakhstan, and Kyrgyzstan will reveal a new, independent, international monetary and financial system.

It will be based on a new international currency, calculated from an index of national currencies of the participating countries and international commodity prices.

coinsrider

any new allocation suggestion on portfolio building in Crypto space epically as a beginner.

Potatoeman

https://www.boards.ie/discussion/comment/119230090#Comment_119230090

We’re in a bear market. The standard advise now is stay in Bitcoin until the market picks up and set up monthly buys. Just be prepared to see the price fall further.

You also need to be prepared for this to go on for up to two years.

Jim2007

https://www.boards.ie/discussion/comment/119231584#Comment_119231584

You are speculating in a currency not buying stocks for heavens sake!

antimatterx

https://www.boards.ie/discussion/comment/119250969#Comment_119250969

Despite the name, they're more like commodities.

Jim2007

https://www.boards.ie/discussion/comment/119251397#Comment_119251397

They certainly are not. Commodities have an intrinsic value, crypto value is 100% perception.

massdebater

https://www.boards.ie/discussion/comment/119253248#Comment_119253248

Most tax authorities view crypto as property, that's probably the most accurate way to define it.

Potatoeman

https://www.boards.ie/discussion/comment/119250969#Comment_119250969

It follows a cycle. It’s usually weak before the Bitcoin halving. That’s two years away but with the economy the way it is you could be looking at this bear market going for two years.

coinsrider

keep it at 5%

kriptopoulin

thats good

mgaaron

It is generally not advisable to allocate a large percentage of your portfolio to cryptocurrency, as it is a highly risky and volatile asset class. Cryptocurrencies can fluctuate significantly in value over short periods of time, and there is a risk of losing a significant portion of your investment.

It is generally recommended to diversify your portfolio by including a mix of different asset classes, such as stocks, bonds, and cash. This can help to reduce the overall risk of your portfolio and provide a more stable foundation for your investments.

The exact percentage of your portfolio that you should allocate to cryptocurrency will depend on your risk tolerance and financial goals. Some financial advisors recommend allocating no more than 5-10% of your portfolio to cryptocurrency, while others suggest an even lower percentage. It's important to do your own research and consider your own financial situation when determining the appropriate allocation for your portfolio.

Gayle Barton

The percentage of portfolio in crypto depends on a number of factors, including the investor's risk appetite, financial goals, and market conditions. Generally, a well-diversified portfolio should only have a small percentage of it allocated to crypto assets.

A Blue Chip NFT is a type of non-fungible token that represents ownership of a high-value digital asset, such as a rare collectible, artwork, or other unique asset. These tokens are typically backed by major companies or established organizations.

Dohnjoe

https://www.boards.ie/discussion/comment/119255722#Comment_119255722

There's no logical cycle. It goes up and down based on herd psychology, hype and other factors. There were bull's in 2013, 2017 and 2021. Ergo people speculate there will be one in 2024-ish. Which, because crypto is so utterly stupid, could actually happen based on nothing but self fulfilling prophecy.

The bottom line to "crypto investing" is to buy this garbage when it's relatively low, and then sell it to chumps and new people during the next hype cycle, if/when that occurs.