MY CRYPTO AWAKENING/A @STEEMITPOWERUPPH CONTEST
Hi! Here is my journey in cryptocurrency. I've been walking around in crypto world since October 2017 but started investing early December 2017. Hope you enjoy reading. :)
How did you discover cryptocurrencies?
My first encounter with “BITCOIN” was when I decided to look for an alternative investment online and someone on the internet sent me a faucet links of cryptocurrency and referral link of CoinsPH, that can be used as the outlet of the earned points for monetization. I am literally unfamiliar of this BTC and even CoinsPH as a 3rd party wallet, but I did the thing called “Faucets”. Without further knowledge, I started to claim the reward points of cryptocurrencies almost every hour. I also participated in an ICO of ELECTRONEUM which I didn’t really know what kind of investment at that time is. I just want to try it on the internet aside from having secured personal investments outside cryptocurrency.
With my curiosity, I began to do my homework to know at least a little information about Cryptocurrency, what I mean by that is DYOR or the “Do Your Own Research”. It was hard for me to understand the technicalities which incorporate within the digital assets since I am a newbie, so again, I did my research, read, doing some Google searching about the origin of Bitcoin and cryptocurrencies, watching videos on YouTube of some short review as to when and why it has to be made and developed. Even with some research I have done, I still couldn’t understand thoroughly the total process and the system behind it. But, those research made me realize the potential and future use case of blockchain technology and cryptocurrency in our society.
What was your first impression on the crypto culture?
I am thinking of crypto at first as a weird kind of investment. As it represents nothing. Does not backed up by anything. A “Value of trust” kind of investment. Which we all know has a very high risk because of its volatility. A literal digit token created and modified that could be traded in fiat currencies. Before crypto assets occur, there are existing digital assets created that are mainly used as a reward points, gems, tokens which we can use to buy certain items into our online games, online applications and dating sites that equate to the value of an item to fiat money.
Crypto assets are the modified digital assets which have several kinds of use cases, depending on its protocol to solve a specific problem used by the developer or creator. It is no longer just within the website or of an application itself, but rather it has a complex property that makes it unique and immutable by any means. No government can subject the decentralized protocol of cryptocurrencies and other crypto tokens under its regulation. However, the government can still regulate centralized cryptocurrency exchanges and are subject to pay tax and submit financial statements of their own. How about decentralized exchange? Can they be targeted by the government to execute legal actions? Hmmm.. I don’t really think it is possible for now because of its decentralized protocol. Maybe we can see to it for the next succeeding years of crypto in trading and investment. The only thing I can assure of, all crypto assets that are classified as a “Security Token or a Tokenized Security” they say must have been dealing with the SEC and regulations of the government even if it is under a decentralized platform, there is no exemption once classified as a security token as it represents the body of shares of an investment interconnected to a business or a company’s equity shares, bonds and or stocks. The business or company must have the necessary legalities, show financial statements, reports of your business’ performance that will support and back-up the investments of the people who acquired the security token through a public crowdfunding.
How much have you grown with regards to crypto assets?
In terms of value, I don’t have that much of an investment. As we all know we are in a bloody market of crypto assets right now. All of my holdings dropped by almost 30% of my base capital. But I don’t think I am that much affected, because in the first place I set my investment for a long-term holding. But we all have the lessons to be learned.
I am just really thankful that I met some crypto enthusiasts people in every group chats. I learned the basic trading and gain profit without studying the technical analysis or the charting. Thanks for the help of my family in Crypto Enthusiasts GC. They guide and taught us to make our own way of trading and analyzing potential investment.
What best practices and right attitude can you suggest to newbies?
Understanding of the usability of the crypto you’re interested in to invest is a must. Also doing some research at least for you to have a knowledge and background of what crypto asset is, history of Bitcoin and it’s blockchain, what is the purpose of it, what are the effects of cryptocurrency in our society? Could it be possible the future of our technology in some aspects like banking, financing, e-cash etc. etc. that can be used globally? These are some of the questions I think we need to understand before we start investing as this kind of investment has a high risk.
A few tips from a newbie:
*Be selective on your investment
*Do Fundamental Analysis (Includes: Team, Company affiliation, vision and objective, white paper & roadmap)
*Know the classifications of cryptocurrency and crypto tokens
= Cryptocurrencies
> Mineable and non-mineable coins, alt coins (alternative coins, forked from core cryptocurrencies with own blockchain technology)
= Crypto Tokens
> Utility Token
- Utility Token is a tool that can be used to buy units or services of a certain platform
> Security Token/Tokenized Security
- A token that represents the body of shares to a specific business, company shares, equity, stocks or bonds
or an asset that will back up the investment of the participants as their security.
*Do not let your emotion dictate your decisions
*Know your position: are you in?
= Short term trading/quick profit
= midterm holding/trading
= long term holding
Having you identified your position will help you understand the investments that you have.
How do you handle the challenges and stress of the market fluctuations?
What’s happening in the cryptocurrency market right now is undeniably a bit frustrating. Sudden spike and aggressive dumping is crazy. If you invested in crypto assets without doing some research, you may want to stop as soon as possible. A potential quick profit feels good, but the continuous declining of value in fiat will shake your belief, but not with the experienced crypto investors and traders. We can learn a lot of things from them, as they say if the market is on its dip, either you better hold and do not sell with a loss or play and join their game. For us newbies, the best thing we can do is to hold our assets, do some research, study the fundamentals and look for other potential assets to invest. There are some ways that will somehow make you forget the madness of the crypto market for a moment. That is by uninstalling your applications that monitor your investment assets, enjoy your life outside and hangout with your friends!! Ha-ha! XD But seriously, having a bunch of friends with a common interest in cryptocurrency investment and trading will make you feel that you are not alone. You can also look for other things to do aside from watching your portfolio bleeding like doing some airdrops, bounties and anything that will help you earn crypto assets without investing money, just an effort and your time will do. Just hold your assets that you have and we will all benefit in the long run.
What can you say and how will you try to convince skeptics?
Trying to convince other people between your opinion and them might not work. I think it will only cause an argument with no end. Just give them the possibilities, realities of investing that you may profit or have a loss. You’ll be talking from your point of view, of course that will favor your side and him/her relying on his/her personal perspective. So just give them an insight on the potential and future of its evolving technology.
They will realize all the talks that you had when the time cryptocurrency and blockchain technology are globally adopted. LOL
That’s it my fellow steemians. :D Thanks!