I realized that most of my net worth is in crypto - Rich in crypto, poor IRL
I had a weird realization today. I actually own a lot more 'value' in crypto than everything else I own.
I was scrolling through Blockfolio again for the umpteenth time today, looking amazed at the results. I'm sure for most of you December and January have been excellent as well, and you're equally happy. But just looking at the dollar figure of my portfolio, I realized that it was worth a lot more than I've ever owned before. I don't want to be too specific, but most of my net worth is now in crypto because it grew so much.
It's not that I've got that much crypto, don't get me wrong. It's also not because I spent all my money on it. Hardly any, really. It's just that I am not wealthy in real life. Now that my small amount of crypto has turned into some real value, it's quickly becoming the most profitable thing I've ever been a part of, for the amount of time it took. It just grew naturally to become so valuable. Perhaps it would be wise to cash out, because I haven't ever cashed anything out yet and I could use the money in RL. But I feel this is a one of a lifetime opportunity to really change my life, and it's something that just happened on my path in 2013, because I was in a bad situation and hoped that mining some crypto would help me out a little. Perhaps it was meant to be? After my crypto and me have gotten this far, I feel I can't abandon it now. Maybe this will be my fairy tale? The story of a lifetime?
"For I being poor, have only my crypto
I have spread my dreams under your feet
Tread softly, for you are treading on my dreams"
Quote by Crypto YeatsSo yes, this is my moonshot. I didn't expect to be in lower atmosphere already though. I'm even starting to slightly worry about the financial implications of what might happen if we see similar growth in 2018 as we saw in 2017, new income brackets that may apply and other consequences and headaches. Then again, 2017 saw a 20x growth in Bitcoin (more actually, as it started below $1000 and peaked at $20K)... if we see that again in 2018, another 20x growth. Well... nevermind then. If that happens, I'll have enough to pay someone to deal with all of those headaches for me.
It's weird though. Despite that my net worth is a lot higher than it used to be, I'm still living well below average income levels, and will continue to do so for the foreseeable future. Although I'm not quite as broke as some 'homeless HODlers', I do sympathize: HODL hard or don't HODL at all.
I must admit, for me it is easier to HODL than for many others. If you've put in a lot of your own money, then it can be very tense to see it's value evaporate in front of your eyes. But for me, I am up enough that a 50% drop does not frighten me, honestly, except when it's the BTC value.
I'm going to HODL for at least another 2 to 5 years, and if I surpass the moon I will probably not even truly cash out then, because: why?
Of course, Murphy's Law will probably make the markets crash right after I post this, taking all my precious value away.
IMO virtual and RL will eventually be the same. As more products and services adopt crypto you will be able to buy/use your crypto in the future without ever having to put it back into fiat.
At least that is what i hope. 2-3 years i'll have a nice sized portfolio and I will be able use it instead of fiat.
Not sure if everything has the same vision.
I don't think they will be the same though!
Don't get me wrong, I'm not saying you are wrong in your prediction that crypto will be able to pay for things in the 'real' world, because I agree we are headed in that direction.
But crypto is not the same as fiat, because with fiat money you can only spend in the 'real' world, but with crypto you will be able to spend in the 'real' world as well as in the digital world (!). That, for me, is the unique value proposition of crypto, and the reason why Bitcoin is better than gold. You can't buy digital assets with gold! Only with Bitcoin/crypto.
I too dream of the day when I will be able to buy and spend with my crypto. Unfortunately, as long as it keeps growing as this pace.. I probably won't! :)
"This pace?" you mean the current downturn? Hopefully in 2-3 years we won't even remember this dip. Keep funneling fiat into crypto and i'm sure being virtually wealthy will just be the same or better than in "real" world.
No, I mean the upward trend (as gandalf says: "Zoom out, you fools!!"). The downturn is only a few days here and there. Bitcoin had a huge run, then altcoins had a huge run. We just get used to massive gains so that when it goes down 20% we think it's a terrible thing :)
Overall, I still see massive growth over the entire year.
So if the next yeari s anything like last year.. oh my!
Getting into mining in 2013 was brilliant or extremely lucky - either way doesn't matter. If it was me I would probably take a small portion now - maybe 10% - but only if I needed it to pay debts or bills or pay for something that would also appreciate in value (STEEM?). Otherwise I think your decision to HODL is the right one, and congratulations to you for unwittingly becoming richer than you could have imagined a few years ago.
Oh no, 10% of it really isn't that much money at all that it will do much for me right now. I could buy some fancy stuff or keep it in fiat but I don't need it. I think I'm doing the 'go big or go home' thing on this one!
Go big or go home...I like that!
Wow - apart from the mining part, which I don't do (yet?), I'm in an almost identical situation, wrestling with the same issue. I've got an entirely green portfolio, and while I have pulled out my initial investment in more than half of them over the years, the profit sitting there...well, it would solve a few immediate issues, let's put it that way! And yet... I'm a natural HODLer ;-) And we can't have it both ways. Or at least I can't. At least not yet...
Upvoted and followed ;-)
It's been such an amazing journey, it's better than any hollywood movie. No matter how much you put in or own really...
And yes, just gotta HODL that crypto. At LEAST another couple of years. Maybe cash out 5% here and there, eventually. One day. Maybe? ;)
Thanks so much for the vote and follow! I see you write about crypto too: Following right back!
I must admit I don't really agree with this sentiment at all. "Hold some" makes a lot more sense to me personally.
I most definitely wouldn't cash out of cryptocurrencies completely, but if you have an unforeseen expense, I think it's much wiser to sell enough of your cryptocurrencies to cover it than to put it on your credit card or eat only ramen for a month.
Oh yes, I didn't mean it that seriously. It's fine if people cash out, but for my situation and if you're dreaming of the moon then real hardcore hodling is necessary. 100x gains won't get you to the moon on a small investment, you may need 1000x gains to get there, after all. If you only 'hodl some' you may need even more to get there.
Congrats on catching the wave early on. It's really amazing how much crypto is helping peope raise. I think it's the universe' way to restore balance after what the banks did
It sometimes feels that way for sure!
it's even more amazing when you hear how I got started in crypto. I was actually in an abusive relationship, that cost me my life's savings and is why I am where I am now. I was being kept from saving up some money to get away. Mining on my pc was my 'last straw' that I grasped in order to still (secretly) save some money to be able to get away. That seed now turned into what i have today. I feel it's some kind of karma at work, or something like it. That's why I can't go and sell it all now, I have to see where this goes!
You put it very well. It looks like a lot of us are in the same boat. I am just barely lucky enough to have a roof and ellectricity - I have 0 net worth - until it comes to crypto - yes, 2-3 more years and I can retire comfortably (and thats if I just stopped and HODL'd)
Sounds like my situation, yes! I am thinking 2-3 years to get 'there' too. And I'm assuming less explosive growth than last year.. else it may be sooner ;)
"HODL hard or don't HODL at all"..haha. :) Interesting how you've separated crypto from 'real life.'
You're right, it's interesting how I did that, lol. I guess for me the two really are seperate, because I have never cashed out. It's all 'magic internet money' to me in a way I suppose. I can see the value in it, but it's still not 'real' in the sense that non-digital things are. Or maybe I should say 'virtual things' instead.
I mean, somehow a World of Warcraft sword feels less real than an actual sword. Even though the WoW sword may still have a value, I wouldn't count it as being among my arsenal (if I had one)
I get it..but somehow my account shrinking today feels a bit more real than I'd like! 😕
Yeah, that happens if you're a more recent investor! I myself, am not phased at all. I mean, sure it's better if it goes up, but honestly it has to go down about 95% in order for me to lose moneyand even then: 1) it will be too late to sell and not worth it to do so 2) I'm confident that prices will by up much higher in the future , regardless of what happens today.
If the market crashes, I do plan to put in more money, no matter how little money I have in RL! I'm a true believer in crypto, hodl and buy more!
NOM NOM
Nom!!!!!!
Missed today's contest :(
haha you actually described my own story so damn acurate it almost scares me! I'm living on the edge in terms of fiat money but was able to grow a decent amount of cryptos. so i feel rich and poor at the same time. its quite weird, but thats whats life is, isn't it?
Hodl on my friend, I wish you massive profits.
Haha, well then you are facing the same headaches as I am, I'm sure! Germany is not so different from where I am from (Holland), and the way they deal with owning capital!
But yes, it's really weird. Maybe a lot more people are in this situation.. perhaps this is more normal than I thought? :)
Yes this is it! Although I'm not form Germany (Swiss here), the differences must be quite small :P I think this could actually be a common thing in the cryptosphere... :)
Well like most I can relate much to this story but also I am new so for me the quest is just starting :) Well. I love your profile first time here will not be my last. Thanks for sharing. God Bless. Peace.
Thanks for your reply!!
And my advice is if you're new to the space: just hodl on! Even when times look bleak.. if the coin is good, just hold on for dear life!!! :)
This article hit home for me! I am the exact same way!! We are living like we are broke even though i have enough for a mercedes in my portfolio.. lmao.. but like u said, 2018s growth should be phenomenal, so why the hell would i fuck myself over like that!?!
So i will live shitty today so i can have more tomorrow.. its definitely a challenge, but
Thanks!
That's so cool! I don't quite have an expensive mercedes yet, but perhaps by the end of 2018 I can buy two (or three?!)
And even then... I'm not selling!!!!!!!!!!!!!!!!!!!!!!!! (well, maybe I'll cash out enough for a small car by then, but keep the other 2.75 mercedeses in crypto!
But until then, yes, living like we are broke. I don't mind! The excitement, entertainment and drama of crypto alone has been worth it alone, lol. It's way more fun than things I spend money on, and this makes me money. Wow!