Forecasting where you will be in 2030, but you must always be realistic in your growth and price projections.
I do think the idea of one day being able to live off your crypto rewards is something we have all thought about at some point. The biggest problem is the volatility of the 4 year crypto cycle so maybe for a month or two when the prices have risen you do naturally start thinking these crazy thoughts.
We have seen or heard about others going all in on crypto only for the Bear market to highlight what a bad idea this was. For anyone contemplating this idea I suggest a starting point would be calculating the value of your rewards using the worst case scenario which is the lowest price of each investment.
I still do believe that anyone wanting to achieve the idea of living off crypto can do this is a 10 year time frame. This would involve stacking and earning along with selling that stake twice at the peak and buying back in when the prices have dropped considerably.
When I look at my portfolio I am still a long way off from where I need to be, but at the same time maybe closer than I think depending on how high the prices go next year. Currently my one stake generates roughly $200 in rewards monthly so if one sold at the peak and bought back in at the low end you could feasibly do a 10 x on your stake size or maybe even more.
My overall target that I would be comfortable living on would be a $10K monthly income so the one stake would need to do a 50 x from where it currently sits. This can be achieved through compounding the rewards and taking advantage of the 4 year cycle to sell and buy back when the timings are right.
If we consider that the all time low should rise with every cycle then the worst case scenario is always improving. I would expect to see the $200 become a $2000 monthly income some time in 2026 excluding the growth in price maybe adding an extra 50% or more to the low prices we see currently. Saying that then feasibly this $200 being earned now could easily be $3000 monthly.
This is why you need to give the stake time to achieve the goals that seem impossible right now, but are achievable if you think clearly. The $10K target is on track for 2029/2030 and ties in with my long term thinking. At this point I would have been in crypto for roughly 12 years and gives you an idea of timelines required. This could be achieved earlier depending on what you have invested into and staked and why researching your investments could speed up the process.
Everything we do in crypto is a calculated risk with no guarantees so we need to stay vigilant protecting our investments. Crypto is a mind bender once you start calculating and planning what could be possible whilst being realistic at the same time. The wealth that can be created over a 12 year period would far outweigh those earning in the real world and gives us the upper hand with the crypto knowledge we now have.