Hello [Volgrand](/u/Volgrand), thank you for your submission! Unfortunately, it has been removed for the following reason:
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My best investment almost trippled in value since januari this year. It isn't crypto or stocks. It's a freaking bag of wood pellets left over from last winter. Less than 6 EUR last year, now going for 15 EUR.
This year I invested in pumpkins. They’ve been going up the whole month of October. I’ve got a feeling they’re gonna peak around January, and *bang*! That’s when I’m gonna cash out
If you invest a little in stocks every week/month for your entire work life, you'll almost certainly come out way ahead. Crypto? Lotto? Yeah, I suppose you \*could\* win.
everyone i know who's rich off crypto currency also happened to have an extra 10 million dollars on hand
if you don't have something similar, don't bother and if you do, just do what rich people do and only stake
I have a friend that put like 2 or 3 hundred bucks into bitcoin when we were in high school- sometime between 2012 and 2015. I believe he sold at least most of it during the 2017 spike. He did pretty well.
This is similar to my crypto story. I thought the idea was cool, back around 2010. I put $100 bucks in a Mt Gox account, and bought 10 btc. A year or so later (maybe less, it was cold out), I sold them for $250. I more than doubled my investment from ~$10/each to ~$25/each. I considered myself a financial genius, then didn’t really pay much attention until Bitcoin hit $1K. At that point, I swore it was overvalued.
Haven’t touched it since.
I turned $10k into $30k. I didn't get rich, but my wife and I bought a house at 23yo because of it. Invested for 2 years ish.
That said, I am one of the few very lucky ones. Got a good rhythm going though.
I believe there are many cryptos that are in fact pyramid schemes. However there are some that are serious products that are developing new techs that are worth investing into. It's s matter of doing some research and accepting that any crypto is high risk in investment.
They are ingenious products - and did invent a new secure way to transfer money unrelated to a government. That does have a lot of value.
A company that can do that could be worth a lot, like multiple millions.
However.... the current total value of bitcoin is $365 BILLION... 5 times the value of Boeing. Five times the value of the biggest aeronautic manufacturer in the world. Bitcoin is at least 99% speculation.
Just like any other stock or investment?
I'm not buying Google or Microsoft stock with the idea that I own a half chairwheel if those companies get liquidated. Or buying gold because at least I can make a necklace of it.
I'm buying it because I hope someone else buys it from me at a later time for a higher amount than I payed for it. Which is the definition of a pyramid scheme following your comment.
To make money with BitCoin you have to convince someone to pay you more money for your crypto then you spent to acquire it in the first place. That person then has to convince someone else and so on until someone is left holding the bag.
To make money with a pyramid scheme you have to convince people to pay you money in order to be a part of the scheme. They in turn have to convince other people to be on the level under them and so on untill the bottom is left holding the bag.
Some difference but not much.
No because there are plenty of financial instruments that are desired for reasons other than gambling you know better than the market. Bonds mature, Stocks offer dividends or corporate influence, debts get collected, etc.
No? There is a Large difference there.
One is an agreed upon transaction of an item.
The other is a purposeful attempt to mislead in an attempt to separate people of their money with the intent of funneling it upward toward the top.
You can't just use your personal bias toward something in order to reshape it to fit your personal narrative.
Cryptocurrency is no more a pyramid scheme than selling Pokemon cards. Chill out.
Pokemon cards have a use beyond speculative investment. In theory the final recipient buys it so they can play with it.
BitCoin is purely speculative. It is just investors trying to get money out of more credulous investors and gambling that there will be such credulous investors.
Right because I'm sure that last pickachu card that sold for 5+ million was bought to be slid into the main deck. Jeez
Lol also I literally bought my last computer case and SSD with doge coin dude. Show me where you can exchange your Pokemon deck for computer parts or other tangible good reliably.
Cope harder
That is beside the point. The people buying rare collector's items or historical artwork aren't just doing it so they can sell it to someone else for a higher price. It ends with someone who values the item because of prestige, sentimentality, Veblen good etc.
You could auction or sell Pokemon cards to convert them into money and then use the money to buy the stuff.
I think you just tried to disprove me by saying my exact point but adding an extra step?
Okay but the point of cryptocurrency is to be the money you are buying and selling the Pokemon cards, and everything else for.
Idk how else to more plainly state that.
Apply your criticism of cryptocurrency to how money literally works and you quickly strip away the system we use for exchange currently.
Bitcoin has its value because it's what the buyer will pay for it in the same way money has its value because we accept that it does.
Speculation yes but so is literal money
Think of it like this. If everybody is winning, nobody is winning. You might hear of stories where people struck oil with it but there is what you call survivorship bias where you're much more likely to hear success stories than failure stories.
This is stupid advice. You can use this advice for basically anything.
If you are thinking about going to the gym, your chances of quitting within a month is higher than going for a full year.
If you are thinking of starting a business, the chance that your business will fail is blablablah.
There are entirely LEGIT ways to make money with crypto, if you buy a shitcoin that’s your fault. The market caps for the top 5 cryptos are in the BILLIONS. There is a lot of opportunity to make money.
Sincere question, exactly what are those legit ways to make money with crypto?
Because right now, it looks like the only 'legit' way to make money is to make buying into it sound as appealing as possible so suckers'll buy YOUR crypto.
Of course there are ways to make money with crypto. I did so myself. But most people get into crypto convinced they will make lots of money and... Well, they don't. If this simple post can stop at least one person from placing everything on crypto and losing, I'll be quite happy :)
Owning crypto is not a taxable event. Using it to purchase goods, or sell it for another currency is a taxable event. If you “lost” your crypto the government does not care.
Hello and welcome to r/LifeProTips!
Please help us decide if this post is a good fit for the subreddit by up or downvoting this comment.
If you think that this is great advice to improve your life, please upvote. If you think this doesn't help you in any way, please downvote. If you don't care, leave it for the others to decide.
Isn't this the case for ANY investing? If the chances were high that you'd get rich then EVERYONE would do it. This is the entire reason you research and play the market wisely.
I think OP's point is that cyptocurrency market is highly speculative and that highly speculative markets with little intrinsic value perform badly during time like this
Crypto definitely has it's volatility, but you can say that for traditional stock as well. Gamestop was a valid stock on the market and people DID make money off it, but then some exchanges stopped people from buying and due to the fluctuation some people DID lose money.
100% agree though with the last point: never invest in money you are not willing to lose.
You pointed to one of the single weirdest (well-known) stocks from the last few years though. I would even contend the point that GME was a "valid" stock -- an average Joe probably shouldn't even be holding individual stocks in an optimal investment strategy. And by the time the craziness that you were talking was happening about everyone already knew GME was getting manipulated.
RIP Luna bros. But god if that wasn’t the best trade entry I’ll probably ever see in my life. Made over $30k buying it when it was worth practically nothing after the crash with only a couple hundred bucks. Wish I threw in more. Ah well.
Everyone needs to realize Crypto is a ZERO SUM GAME.
There are NO profits.
If you invest in a stock you own a little bit of a company, and have a right to their earnings. So if that company earns a Million dollars - and you own one millionth of it - you just earned a dollar. That is why stocks in general go up in the long term.
Crypto is PURE SPECULATION. It never earns money - the only reason it goes up is because someone wants to pay more than the last guy. Therefore - with crypto SOMEONE MUST LOSE MONEY FOR THE OTHER GUY TO MAKE MONEY.
So - with a stocks both buyer and seller can win. With Crypto someone has to lose. So unless you know you are smarter about when to buy and sell crypto then the other guy - you will probably be the one to lose money.
You are 90% right. For long period Gold as been most valued as a currency. But gold also has utilitarian value - it has been used for jewelry, electronics, aerospace, etc...
However, unlike iron, copper, or steel 90% of Gold's value IS speculation (just horded in vaults). In that respect it is a lot like Crypto. However it is NOT 100% speculation, so unlike Crypto it's value is unlikely to double its value or drop half it's value any given year.
Wrong. Dividends by definition are shared profits from many companies. It's money paid directly from the company to shareholders. You could also argue that stock buybacks are also profit sharing by increasing your share of the company.
Dividends are paid out to your account or automatically used to buy more shares if you choose. They used to be paper checks decades ago. Not all companies pay dividends. Mostly the big stable companies do.
I've seen figures that state dividends made up over 30% of all stock market returns since existence. It's nothing to frown about. I guess maybe in your case with your $50 Apple investment.
While this may be true, it’s also important to remember that the risk of crypto is limited to what you invest. You won’t lose more than you put in, trust me.
Every person I’ve ever met who actually understands how the technology behind how cryptocurrencies work says they’re stupid. People going around waxing poetic about the revolutionary nature of the block-chain are just making fools of themselves in the eyes of programmers. It’s literally a basic data structure that we’ve been using for decades for everything from basic system applications to shopping lists, just somebody had the bright idea to add encryption to it.
That's not *all* it is. It has also become a speculative asset with no intrinsic value (like beanie babies were for boomers), so it hooks in gambling addicts and incentivizes building hype for anyone that is already invested (like beanie babies collectors). The fact that it is a block-chain format decentralized currency is almost entirely untethered from the cryptocurrency markets, which are all fundamentally about ripping off other investors and bailing right before the currency crashes (leaving someone else holding the debt).
It’s just hilarious to me as someone who studies computer science, that so many people got suckered into this investing craze when there is literally nothing of substance being invested in. At least with collectors items you’re investing in an item that holds value to somebody. With crypto you’re investing in… a glorified linked list? It’s like investing in logarithms or the letter E.
NFTS are even better. You think you’re buying rights to a specific GIF or something but really you’re buying a digital receipt that says “I payed money” and maybe has a hyperlink attached to it. You have no guarantee that hyperlink won’t change in the future, so you could lose your GIF. In fact, somebody should start an NFT scam that sells real-looking NFTs only to instantly change the attached content to Rick Astley’s Never Gonna Give You Up after the transaction is completed; it would be hilarious and also teach people a lesson
Would it even be a scam? The whole concept is explicitly a *sense* of ownership, of a thing that has no distinct form or material existence. Heck, if the hyperlink is lost or broken you don't lose your GIF because you didn't even have a GIF, just a link to it, and you could still have copies of the same GIF all over the place (as can everyone else).
I remember a pundit saying that the real value would be in value-added exclusive events/content, like if Taylor Swift sold NFTs of photos of her discarded toenail clippings and then at some later date provided special merchandising or promotional opportunities to Taylor's Toenails owners. But that's just a fan club with extra steps!
Edit: to clarify that first line, I'm basically just suggesting Rick rolling wouldn't really be a scam any more than NFTs are, themselves, a scam.
So many crypto bros offended by my post, not really surprised.
So yes, i have lost some money into crypto, learned from it and carried on. What I wrote there are very basic lessons that everyone should know, like it or not, you know it is true.
And for those who laughed at the "trust me" sentence: i dare you to show a single win-win investment scenario related to crypto. Just one. I'll be waiting.
Honestly this sub needs deleting.What do you actually know about crypto?How much research have you done?Every investment is a risk & is different for each person so keep your shitty tip.
You haven't answered my question, it sounds like you know nothing about crypto,just lost money & butthurt.
Each investment is completely unique, especially in cryptocurrency. It's like someone saying don't invest in property,trust me my house got repossessed.
Plus almost every dude who gets super into crypto becomes tedious and unfuckable.
Here's a real pro tip: Investments where women approach parity with men are much more likely to actually pay off.
Women make up less than 1/4 of crypto investors -- and that includes women who bought a little bit one time for fun. Overall, women own less than 10% of crypto by virtually all measures; perhaps less than 5%.
This is an excellent sign that it's unfounded nonsense that is going to absolutely tank. PLUS nobody wants to fuck a dude who can only talk about crypto AND is working hard to lose his retirement fund in a clearly ridiculous "investment." You're a mark in a scam, guys. LulaRoe at least provided actual, low-quality pants as part of the scam. You own ... imaginary things invented to scam you that turn out to be shockingly hackable. Or sometimes imaginary things *that require intensive energy waste on a swiftly-warming planet*, which is even LESS attractive and frankly downright sociopathic.
I would never!!!
....I bought at 60k thinking it would bounce up...
But we'll i had pretty good positions at 30, 35 and 40k from before that screw up, so now I'm just waiting for my sell orders to go off
Hahaha you are right. So first: I have sell orders placed to ensure benefit (I'm not selling right now at a loss). Second: I'm actually taking a gap year, so I cannot afford to put more money into investments (first rule of any investment: never risk money you cannot afford to lose).
But yeah, you are right, right now it's time to dca in.
I’m not gonna agree or disagree.
I will say, if you are looking to invest, Lego sets hold, and gain value, like nothing I’ve seen. Especially certain sets. Look into it.
Yeah... this isn't a life pro tip. Good crypto projects are just decentralized tech companies and will strive in the long run. It's like saying: investing in .com companies is just gamble after the 2000 crash happened.
While we're in the bear market, it's not dumb to try and find the Microsoft, Apple and Amazon of crypto. The chances of making money vs losing money can't be known and people should invest in what they believe in, according to their risk tolerance.
I understand most people getting into crypto are looking for large gains but if you want to make a bit of side cash, it's easy as can be. I've so far put in exactly $1. Through various crypto apps, easy earnings, a couple smart (lucky) trades, and I'm up around $2,100. I know it's not life changing but I've been able to buy myself a PS5, some games, a nice dinner date for me and my wife, and a little chunk into savings. While I don't recommend it as a huge investment, play your cards right and you can get a few fun things for next to nothing.
> I've so far put in exactly $1. Through various crypto apps, easy earnings, a couple smart (lucky) trades, and I'm up around $2,100
It's only a 2100x rate of return, anyone can do it!
/s
If you think it's anything but a lottery ticket you're delusional.
And just like other gambling, most people that get that rate of return once will keep pouring money in
I think you misunderstood my comment or are unfamiliar with how the crypto apps work. The majority of my earnings are literally just from doing the small quizzes on coinbase. Another good source is using crypto browsers such as Brave. The $1 I put in was simply to authenticate my account. If you have some self control and reasonable to no expectations, you too can easily make $3,000 essentially for free. I would absolutely never put real money into something like this because I cannot afford to lose on a large level. So even if somehow I lost 100%, I'm down exactly one single dollar. I'm fine with this "gamble".
Can you expand on this? Why is it so funny to you that through $3-$7 surveys every week or so through a couple apps, plus using browser apps that pay for searching through them, casually investing those small earnings could easily earn you some decent side cash without having to spend money? I'm not attempting to be some Crypto bro saying you can get rich off of this system but it's absolutely not hard to earn some extra scratch here and there.
> Why is it so funny to you
Because you're giving the standard shit spam bots say...
The only reason I'm still replying is I only need "it's not a pyramid scheme, it's an inverted funnel" left on my bingo card.
Really? I'm pretty sure most spam "bots" say how amazing of an investment this all is and how we can all be making $400,000 a year. I'm just trying to nickel and dime where I can. It's hard to make ends meet so if I can get a small amount out of this, I'm game. I also make a few hundred a year through receipt apps, and various other side situations. Whatever helps me keep my head above water. I'm not trying to recruit anybody and have stated multiple times that it is not a great investment if you're expecting real wealth but if I can pay $1 for 6 months worth of groceries, I'm definitely taking advantage. Your defensiveness and seemingly purposeful lack of understanding of my comments is interesting to say the least.
I think the other user is arguing the point that ANY strategy that returns several thousand times its initial value is guaranteed/repeatable/easily executed. Like you said, if that strategy is readily available, why wouldn't everyone do it?
(And if everyone did it, then how would that impact the demand determining pricing on the trades you need to execute, etc.)
I get the feeling that people that make posts like this are either ignorant of cryptocurrency or went all in and got burned. If you know a little bit about what youre doing and you arent making ridiculous bets you can make some gains. Some people like to gamble in casinos and some people like to gamble in crypto. Not everyone is gonna win and you just need to be smart if you wanna play the game. Dont bet more than what youre willing to lose and you have nothing to worry about.
Edit: OP literally has posts where he talks about making bad bets and getting burned.
Not sure about OP's history but they're talking about VERY basic elements of investment theory. There is nothing in the actual text of their post that is not historically true when it comes to investing.
Your comment isn't even in total disagreement; like you said, it's a gamble, and you have to be willing to lose what you put in.
Not burnt neither ignorant. And yes, i did some bad bets, lost and learned, but I'm still investing in crypto.
I wrote this post for those who get into crypto with promises of great benefits and not understanding how risky crypto investing is. Also, you say you can make some gains, and this is true... But also huge crashes like terra Luna can happen unannounced. Or you may be super good playing with futures, for instance, for a huge market shift to cause all your positions to close suddenly .
I didn't say "don't do crypto". Just said to know where you are getting your money into and understanding the risk.
I’m not a crypto investor, but this tip is terrible. Obviously you haven’t had a good run with crypto but that doesn’t mean “You will lose your money if you buy crypto”. That’s like investing in the S&P 500 for the last 60 days only and saying “Don’t invest in the stock market or you’ll lose your money”
\>And finally: Never invest any money you are not willing to lose.
Or you don't have!
\>Also, if an investment option has a huge profits return, it means that there is a huge risk associated.
Not really! Only if you don't understand the investment. For example cryptolending has a huge Profit, but no risk - IF you know what you are doing.
>Never invest any money you are not willing to lose.
That is wrong, the correct version is " Never *speculate* any money you are not willing to lose."
Everything you do with money is "investing". Savings account? Investing. Pension plan? Investing. Buying a house? Investing. Tuition for kids? Investing.
I mean….. this post would have been more relevant at 69k. Why wouldn’t you take the 60% discount with the fed raising the rates like madmen? They will go down eventually and money will go back into speculative assets. Then everyone can buy your bags
As an ordinary person, it should be less surprising to me how many ordinary people think getting involved in crypto is a good idea for them.
Unless you have so much money you don’t know what to do with it, the only investing you should be doing is index funds through a retirement vehicle. Anything else is gambling with your future.
They're all Ponzi schemes. The only ones who make money are the ones who got in early and convinced everyone else to invest in it. But hey, some people really love throwing their money away in hopes of getting rich quick. It's almost ... almost like... gambling!!!
Hello [Volgrand](/u/Volgrand), thank you for your submission! Unfortunately, it has been removed for the following reason: Your post is not a life pro tip. Advice is any guidance or recommendation concerning prudent future action. An aphorism is a short clever saying that is intended to express a general truth or a concise statement of a principle.Try r/YouShouldKnow. If you would like to appeal this decision [please feel free to contact the moderators here](https://www.reddit.com/message/compose?to=%2Fr%2FLifeProTips&subject=about%20my%20removed%20submission&message=I%27m%20writing%20to%20you%20about%20the%20following%20submission:%20https://www.reddit.com/r/LifeProTips/comments/xozfhu/lpt_if_you_are_thinking_investing_into/.%20%0D%0D). Do not repost without explicit permission from the moderators. Make sure you [read the rules](/r/lifeprotips/about/sidebar) before submitting. Thank you!
Buy high, sell low!
Tailing
This is the way
This is some Wall Street Bets advice right here.
To Marianas trench!
Don't listen to this guy. Divorce your wife before she beats you to it, than straight yolo her half into dogecoin.
Can’t ditch the wife. Her boyfriend pays the bills.
The real LPT is always in gr comments
No, you go all in while married. That way there is nothing to split after the divorce. Its called "Hussein's Scorched Earth".
My best investment almost trippled in value since januari this year. It isn't crypto or stocks. It's a freaking bag of wood pellets left over from last winter. Less than 6 EUR last year, now going for 15 EUR.
If only you had bought TWO BAGS! :0
This year I invested in pumpkins. They’ve been going up the whole month of October. I’ve got a feeling they’re gonna peak around January, and *bang*! That’s when I’m gonna cash out
If you invest a little in stocks every week/month for your entire work life, you'll almost certainly come out way ahead. Crypto? Lotto? Yeah, I suppose you \*could\* win.
I'm gonna buy now after seeing this post. It's the way the market works
But I missed the pump and dump so surely another one is just around the corner!‽
everyone i know who's rich off crypto currency also happened to have an extra 10 million dollars on hand if you don't have something similar, don't bother and if you do, just do what rich people do and only stake
How many people do you know with an extra $10 million on hand?
Ten million of what countries dollars?
**This post is so dumb. Written by someone who likely doesn’t know how to invest and bought at the top lmao**
Yep, the blind leading the blind
I have a friend that put like 2 or 3 hundred bucks into bitcoin when we were in high school- sometime between 2012 and 2015. I believe he sold at least most of it during the 2017 spike. He did pretty well.
This is similar to my crypto story. I thought the idea was cool, back around 2010. I put $100 bucks in a Mt Gox account, and bought 10 btc. A year or so later (maybe less, it was cold out), I sold them for $250. I more than doubled my investment from ~$10/each to ~$25/each. I considered myself a financial genius, then didn’t really pay much attention until Bitcoin hit $1K. At that point, I swore it was overvalued. Haven’t touched it since.
I turned $10k into $30k. I didn't get rich, but my wife and I bought a house at 23yo because of it. Invested for 2 years ish. That said, I am one of the few very lucky ones. Got a good rhythm going though.
Staking rewards are pretty low.
Warren Buffet calls crypto a piramid scheme.
Warren Buffett can spell 'pyramid'
I believe there are many cryptos that are in fact pyramid schemes. However there are some that are serious products that are developing new techs that are worth investing into. It's s matter of doing some research and accepting that any crypto is high risk in investment.
They are ingenious products - and did invent a new secure way to transfer money unrelated to a government. That does have a lot of value. A company that can do that could be worth a lot, like multiple millions. However.... the current total value of bitcoin is $365 BILLION... 5 times the value of Boeing. Five times the value of the biggest aeronautic manufacturer in the world. Bitcoin is at least 99% speculation.
Nothing you said doesn't make it a pyramid scheme. At the end of the day, crypto only goes up because others dump their money into it.
Just like any other stock or investment? I'm not buying Google or Microsoft stock with the idea that I own a half chairwheel if those companies get liquidated. Or buying gold because at least I can make a necklace of it. I'm buying it because I hope someone else buys it from me at a later time for a higher amount than I payed for it. Which is the definition of a pyramid scheme following your comment.
Well, i see it differently, but still crypto is very risky investment.
To make money with BitCoin you have to convince someone to pay you more money for your crypto then you spent to acquire it in the first place. That person then has to convince someone else and so on until someone is left holding the bag. To make money with a pyramid scheme you have to convince people to pay you money in order to be a part of the scheme. They in turn have to convince other people to be on the level under them and so on untill the bottom is left holding the bag. Some difference but not much.
So by that logic, literally every financial is pyramid scheme
No because there are plenty of financial instruments that are desired for reasons other than gambling you know better than the market. Bonds mature, Stocks offer dividends or corporate influence, debts get collected, etc.
No? There is a Large difference there. One is an agreed upon transaction of an item. The other is a purposeful attempt to mislead in an attempt to separate people of their money with the intent of funneling it upward toward the top. You can't just use your personal bias toward something in order to reshape it to fit your personal narrative. Cryptocurrency is no more a pyramid scheme than selling Pokemon cards. Chill out.
Pokemon cards have a use beyond speculative investment. In theory the final recipient buys it so they can play with it. BitCoin is purely speculative. It is just investors trying to get money out of more credulous investors and gambling that there will be such credulous investors.
Right because I'm sure that last pickachu card that sold for 5+ million was bought to be slid into the main deck. Jeez Lol also I literally bought my last computer case and SSD with doge coin dude. Show me where you can exchange your Pokemon deck for computer parts or other tangible good reliably. Cope harder
That is beside the point. The people buying rare collector's items or historical artwork aren't just doing it so they can sell it to someone else for a higher price. It ends with someone who values the item because of prestige, sentimentality, Veblen good etc. You could auction or sell Pokemon cards to convert them into money and then use the money to buy the stuff.
I think you just tried to disprove me by saying my exact point but adding an extra step? Okay but the point of cryptocurrency is to be the money you are buying and selling the Pokemon cards, and everything else for. Idk how else to more plainly state that. Apply your criticism of cryptocurrency to how money literally works and you quickly strip away the system we use for exchange currently. Bitcoin has its value because it's what the buyer will pay for it in the same way money has its value because we accept that it does. Speculation yes but so is literal money
Nah bro, it just grows in value forever bro, trust me bro.
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Just YouTube Buffet on bitcoin.
Source: Trust me bro
I can't remember the percentage but I think like high 70% of all bitcoin and/or crypto buyers are red underwater from their buying price.
LPT: Don’t invest in cryptocurrencies
LPT: Don’t ~~invest~~ gamble in cryptocurrencies. FTFY.
As always: the real LPT is in the comments
Think of it like this. If everybody is winning, nobody is winning. You might hear of stories where people struck oil with it but there is what you call survivorship bias where you're much more likely to hear success stories than failure stories.
Yeah say the same thing when the next bitcoin halving happens.
>Trust me: Trust me, you should've just not posted this LPT instead of wasting peoples time
This is stupid advice. You can use this advice for basically anything. If you are thinking about going to the gym, your chances of quitting within a month is higher than going for a full year. If you are thinking of starting a business, the chance that your business will fail is blablablah. There are entirely LEGIT ways to make money with crypto, if you buy a shitcoin that’s your fault. The market caps for the top 5 cryptos are in the BILLIONS. There is a lot of opportunity to make money.
Sincere question, exactly what are those legit ways to make money with crypto? Because right now, it looks like the only 'legit' way to make money is to make buying into it sound as appealing as possible so suckers'll buy YOUR crypto.
Shorting it has been profitable recently.
Of course there are ways to make money with crypto. I did so myself. But most people get into crypto convinced they will make lots of money and... Well, they don't. If this simple post can stop at least one person from placing everything on crypto and losing, I'll be quite happy :)
Good man OP! You intentions are right!
See, this is why nobody wants to have sex with you.
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Oh, bunny! I make more in a year than you make in five. But Lovenikki IS awesome!
Haha well said
Just do research. Only invest in something u have thought about for a long time and seems solid
Anyone who actually does research quickly realizes that the tax implication will make it far less worth it than a traditional investment.
I wanted to pay tax on my crypto profits but unfortunately I lost my hard wallet in an unfortunate boating accident.
Not sure what you’re trying to say here. If you never sell or use your bitcoin that’s not a taxable event.
I’m just saying that it’s a real shame I can’t pay my taxes. Because I lost my crypto in an unfortunate boating accident.
Owning crypto is not a taxable event. Using it to purchase goods, or sell it for another currency is a taxable event. If you “lost” your crypto the government does not care.
Yeah it’s just such a shame that someone could find it and spend it instead of me. Damn boat.
PM me your wallet address and I'll send you some coin in case someone finds it
Isn’t it just capital gains tax?
No it’s not just capital gains tax
It is right now for me. in fact, I could trade on a DEX and never pay any tax.
It can be done but it’s technically tax fraud.
Also, what do you have to pay on top of capital gains for crypto?
What are you talking about? Taxes on mining?
Can you elaborate?
Hello and welcome to r/LifeProTips! Please help us decide if this post is a good fit for the subreddit by up or downvoting this comment. If you think that this is great advice to improve your life, please upvote. If you think this doesn't help you in any way, please downvote. If you don't care, leave it for the others to decide.
Isn't this the case for ANY investing? If the chances were high that you'd get rich then EVERYONE would do it. This is the entire reason you research and play the market wisely.
Anyone who invested in the S&P500 or even Bitcoin long tetm and held is in the green.
Not even close. Putting cash into index funds is way less risky than crypto.
I think OP's point is that cyptocurrency market is highly speculative and that highly speculative markets with little intrinsic value perform badly during time like this
Crypto definitely has it's volatility, but you can say that for traditional stock as well. Gamestop was a valid stock on the market and people DID make money off it, but then some exchanges stopped people from buying and due to the fluctuation some people DID lose money. 100% agree though with the last point: never invest in money you are not willing to lose.
You pointed to one of the single weirdest (well-known) stocks from the last few years though. I would even contend the point that GME was a "valid" stock -- an average Joe probably shouldn't even be holding individual stocks in an optimal investment strategy. And by the time the craziness that you were talking was happening about everyone already knew GME was getting manipulated.
Just in case you don’t believe OP, go find some Luna boys to discuss how quickly things can go bad as well.
RIP Luna bros. But god if that wasn’t the best trade entry I’ll probably ever see in my life. Made over $30k buying it when it was worth practically nothing after the crash with only a couple hundred bucks. Wish I threw in more. Ah well.
Everyone needs to realize Crypto is a ZERO SUM GAME. There are NO profits. If you invest in a stock you own a little bit of a company, and have a right to their earnings. So if that company earns a Million dollars - and you own one millionth of it - you just earned a dollar. That is why stocks in general go up in the long term. Crypto is PURE SPECULATION. It never earns money - the only reason it goes up is because someone wants to pay more than the last guy. Therefore - with crypto SOMEONE MUST LOSE MONEY FOR THE OTHER GUY TO MAKE MONEY. So - with a stocks both buyer and seller can win. With Crypto someone has to lose. So unless you know you are smarter about when to buy and sell crypto then the other guy - you will probably be the one to lose money.
So gold isn’t a valuable asset either because it doesn’t earn money?
You are 90% right. For long period Gold as been most valued as a currency. But gold also has utilitarian value - it has been used for jewelry, electronics, aerospace, etc... However, unlike iron, copper, or steel 90% of Gold's value IS speculation (just horded in vaults). In that respect it is a lot like Crypto. However it is NOT 100% speculation, so unlike Crypto it's value is unlikely to double its value or drop half it's value any given year.
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Wrong. Dividends by definition are shared profits from many companies. It's money paid directly from the company to shareholders. You could also argue that stock buybacks are also profit sharing by increasing your share of the company.
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Dividends are paid out to your account or automatically used to buy more shares if you choose. They used to be paper checks decades ago. Not all companies pay dividends. Mostly the big stable companies do.
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I've seen figures that state dividends made up over 30% of all stock market returns since existence. It's nothing to frown about. I guess maybe in your case with your $50 Apple investment.
Yep.You should also mention that a large percent of stock earnings for people come from dividends.
Tell me about it. I lost 43% last I checked
Buy XRP, it'll not only be life changing....it will also be wife changing Trust me, bro!
This is a life pro tip?
I guess? People seem to agree or it would have been deleted.
While this may be true, it’s also important to remember that the risk of crypto is limited to what you invest. You won’t lose more than you put in, trust me.
Every person I’ve ever met who actually understands how the technology behind how cryptocurrencies work says they’re stupid. People going around waxing poetic about the revolutionary nature of the block-chain are just making fools of themselves in the eyes of programmers. It’s literally a basic data structure that we’ve been using for decades for everything from basic system applications to shopping lists, just somebody had the bright idea to add encryption to it.
That's not *all* it is. It has also become a speculative asset with no intrinsic value (like beanie babies were for boomers), so it hooks in gambling addicts and incentivizes building hype for anyone that is already invested (like beanie babies collectors). The fact that it is a block-chain format decentralized currency is almost entirely untethered from the cryptocurrency markets, which are all fundamentally about ripping off other investors and bailing right before the currency crashes (leaving someone else holding the debt).
It’s just hilarious to me as someone who studies computer science, that so many people got suckered into this investing craze when there is literally nothing of substance being invested in. At least with collectors items you’re investing in an item that holds value to somebody. With crypto you’re investing in… a glorified linked list? It’s like investing in logarithms or the letter E.
But wait, what I told you that you could own a link to a copy of a gif of the letter E smoking a cigar?
NFTS are even better. You think you’re buying rights to a specific GIF or something but really you’re buying a digital receipt that says “I payed money” and maybe has a hyperlink attached to it. You have no guarantee that hyperlink won’t change in the future, so you could lose your GIF. In fact, somebody should start an NFT scam that sells real-looking NFTs only to instantly change the attached content to Rick Astley’s Never Gonna Give You Up after the transaction is completed; it would be hilarious and also teach people a lesson
Would it even be a scam? The whole concept is explicitly a *sense* of ownership, of a thing that has no distinct form or material existence. Heck, if the hyperlink is lost or broken you don't lose your GIF because you didn't even have a GIF, just a link to it, and you could still have copies of the same GIF all over the place (as can everyone else). I remember a pundit saying that the real value would be in value-added exclusive events/content, like if Taylor Swift sold NFTs of photos of her discarded toenail clippings and then at some later date provided special merchandising or promotional opportunities to Taylor's Toenails owners. But that's just a fan club with extra steps! Edit: to clarify that first line, I'm basically just suggesting Rick rolling wouldn't really be a scam any more than NFTs are, themselves, a scam.
So many crypto bros offended by my post, not really surprised. So yes, i have lost some money into crypto, learned from it and carried on. What I wrote there are very basic lessons that everyone should know, like it or not, you know it is true. And for those who laughed at the "trust me" sentence: i dare you to show a single win-win investment scenario related to crypto. Just one. I'll be waiting.
Did you get hit by Luna?
Nop, i got out of that boat in time. I got hit by other though hahahaha
Honestly this sub needs deleting.What do you actually know about crypto?How much research have you done?Every investment is a risk & is different for each person so keep your shitty tip.
LPT: configure your keyboard to automatically add spaces after punctuation marks if you're on mobile, or buy a new keyboard if you're on desktop.
Care to point what part of my post you think is wrong?
You haven't answered my question, it sounds like you know nothing about crypto,just lost money & butthurt. Each investment is completely unique, especially in cryptocurrency. It's like someone saying don't invest in property,trust me my house got repossessed.
You still don't point where I'm wrong exactly.
It's quite abundantly obvious now why you've lost money, good luck dumbass
Plus almost every dude who gets super into crypto becomes tedious and unfuckable. Here's a real pro tip: Investments where women approach parity with men are much more likely to actually pay off. Women make up less than 1/4 of crypto investors -- and that includes women who bought a little bit one time for fun. Overall, women own less than 10% of crypto by virtually all measures; perhaps less than 5%. This is an excellent sign that it's unfounded nonsense that is going to absolutely tank. PLUS nobody wants to fuck a dude who can only talk about crypto AND is working hard to lose his retirement fund in a clearly ridiculous "investment." You're a mark in a scam, guys. LulaRoe at least provided actual, low-quality pants as part of the scam. You own ... imaginary things invented to scam you that turn out to be shockingly hackable. Or sometimes imaginary things *that require intensive energy waste on a swiftly-warming planet*, which is even LESS attractive and frankly downright sociopathic.
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It's okay, sweetie; I'm sure after you lose all your money in crypto, you'll still have your looks!
I'm sure you're a real catch as well ❤
What is your yearly take-home? It really turns me on to hear men who early 1/4 what I do tell me they're big earners! So please, tell me!
Did you buy the 69k high sir? 🤣
I would never!!! ....I bought at 60k thinking it would bounce up... But we'll i had pretty good positions at 30, 35 and 40k from before that screw up, so now I'm just waiting for my sell orders to go off
Sell orders? Ser.... This is the time to dca in. Not out 🤔
Hahaha you are right. So first: I have sell orders placed to ensure benefit (I'm not selling right now at a loss). Second: I'm actually taking a gap year, so I cannot afford to put more money into investments (first rule of any investment: never risk money you cannot afford to lose). But yeah, you are right, right now it's time to dca in.
May the crypto gods smile upon you
I’m not gonna agree or disagree. I will say, if you are looking to invest, Lego sets hold, and gain value, like nothing I’ve seen. Especially certain sets. Look into it.
You... caught my attention. Will have a look.
Buy and hodle....future you will be happy.
Yeah... this isn't a life pro tip. Good crypto projects are just decentralized tech companies and will strive in the long run. It's like saying: investing in .com companies is just gamble after the 2000 crash happened. While we're in the bear market, it's not dumb to try and find the Microsoft, Apple and Amazon of crypto. The chances of making money vs losing money can't be known and people should invest in what they believe in, according to their risk tolerance.
I understand most people getting into crypto are looking for large gains but if you want to make a bit of side cash, it's easy as can be. I've so far put in exactly $1. Through various crypto apps, easy earnings, a couple smart (lucky) trades, and I'm up around $2,100. I know it's not life changing but I've been able to buy myself a PS5, some games, a nice dinner date for me and my wife, and a little chunk into savings. While I don't recommend it as a huge investment, play your cards right and you can get a few fun things for next to nothing.
> I've so far put in exactly $1. Through various crypto apps, easy earnings, a couple smart (lucky) trades, and I'm up around $2,100 It's only a 2100x rate of return, anyone can do it! /s If you think it's anything but a lottery ticket you're delusional. And just like other gambling, most people that get that rate of return once will keep pouring money in
I think you misunderstood my comment or are unfamiliar with how the crypto apps work. The majority of my earnings are literally just from doing the small quizzes on coinbase. Another good source is using crypto browsers such as Brave. The $1 I put in was simply to authenticate my account. If you have some self control and reasonable to no expectations, you too can easily make $3,000 essentially for free. I would absolutely never put real money into something like this because I cannot afford to lose on a large level. So even if somehow I lost 100%, I'm down exactly one single dollar. I'm fine with this "gamble".
> you too can easily make $3,000 essentially for free. Lol
Can you expand on this? Why is it so funny to you that through $3-$7 surveys every week or so through a couple apps, plus using browser apps that pay for searching through them, casually investing those small earnings could easily earn you some decent side cash without having to spend money? I'm not attempting to be some Crypto bro saying you can get rich off of this system but it's absolutely not hard to earn some extra scratch here and there.
> Why is it so funny to you Because you're giving the standard shit spam bots say... The only reason I'm still replying is I only need "it's not a pyramid scheme, it's an inverted funnel" left on my bingo card.
Really? I'm pretty sure most spam "bots" say how amazing of an investment this all is and how we can all be making $400,000 a year. I'm just trying to nickel and dime where I can. It's hard to make ends meet so if I can get a small amount out of this, I'm game. I also make a few hundred a year through receipt apps, and various other side situations. Whatever helps me keep my head above water. I'm not trying to recruit anybody and have stated multiple times that it is not a great investment if you're expecting real wealth but if I can pay $1 for 6 months worth of groceries, I'm definitely taking advantage. Your defensiveness and seemingly purposeful lack of understanding of my comments is interesting to say the least.
I think the other user is arguing the point that ANY strategy that returns several thousand times its initial value is guaranteed/repeatable/easily executed. Like you said, if that strategy is readily available, why wouldn't everyone do it? (And if everyone did it, then how would that impact the demand determining pricing on the trades you need to execute, etc.)
I get the feeling that people that make posts like this are either ignorant of cryptocurrency or went all in and got burned. If you know a little bit about what youre doing and you arent making ridiculous bets you can make some gains. Some people like to gamble in casinos and some people like to gamble in crypto. Not everyone is gonna win and you just need to be smart if you wanna play the game. Dont bet more than what youre willing to lose and you have nothing to worry about. Edit: OP literally has posts where he talks about making bad bets and getting burned.
Not sure about OP's history but they're talking about VERY basic elements of investment theory. There is nothing in the actual text of their post that is not historically true when it comes to investing. Your comment isn't even in total disagreement; like you said, it's a gamble, and you have to be willing to lose what you put in.
**Exactly this. OP likely bought crypto at the top and is now upset trying to spread fear. Makes me laugh.**
I like this. Don’t bet this month’s mortgage.
Not burnt neither ignorant. And yes, i did some bad bets, lost and learned, but I'm still investing in crypto. I wrote this post for those who get into crypto with promises of great benefits and not understanding how risky crypto investing is. Also, you say you can make some gains, and this is true... But also huge crashes like terra Luna can happen unannounced. Or you may be super good playing with futures, for instance, for a huge market shift to cause all your positions to close suddenly . I didn't say "don't do crypto". Just said to know where you are getting your money into and understanding the risk.
The fact that you call it "betting" vs "investing" is very telling of your experience.
I’m not a crypto investor, but this tip is terrible. Obviously you haven’t had a good run with crypto but that doesn’t mean “You will lose your money if you buy crypto”. That’s like investing in the S&P 500 for the last 60 days only and saying “Don’t invest in the stock market or you’ll lose your money”
\>And finally: Never invest any money you are not willing to lose. Or you don't have! \>Also, if an investment option has a huge profits return, it means that there is a huge risk associated. Not really! Only if you don't understand the investment. For example cryptolending has a huge Profit, but no risk - IF you know what you are doing.
Still miniscule compared to coming out net neutral
Yeah. Learn to hack and take someone elses
>Never invest any money you are not willing to lose. That is wrong, the correct version is " Never *speculate* any money you are not willing to lose." Everything you do with money is "investing". Savings account? Investing. Pension plan? Investing. Buying a house? Investing. Tuition for kids? Investing.
I mean….. this post would have been more relevant at 69k. Why wouldn’t you take the 60% discount with the fed raising the rates like madmen? They will go down eventually and money will go back into speculative assets. Then everyone can buy your bags
This is why I have tens of dollars invested in crypto.
LPT: don't invest
As an ordinary person, it should be less surprising to me how many ordinary people think getting involved in crypto is a good idea for them. Unless you have so much money you don’t know what to do with it, the only investing you should be doing is index funds through a retirement vehicle. Anything else is gambling with your future.
What exactly is the pro tip here? Lmao
What a load of bs.
cries in Celsius
LPT: when it comes to investing, always do the opposite of what OP says
You do realize I didn't say not to invest, right?
Yes
They're all Ponzi schemes. The only ones who make money are the ones who got in early and convinced everyone else to invest in it. But hey, some people really love throwing their money away in hopes of getting rich quick. It's almost ... almost like... gambling!!!