So this summer marks my 6th year in crypto and in turn marks a new direction for my own personal investment strategy. I got into crypto with my first buy being Verge (XVG) and Litecoin in mid 2017. At the time I saw BTC and ETH as being too expensive and honestly was looking for an easy quick buck. XVG at the time was on a rise and also was being shilled by the ever infamous McAfee. I saw it rise and rise and then eventually crash and at present time totally collapsed to fraction of pennies.
After XVG, i decided to try to get lucky and invest in several other low cost, no utility based coins and tokens. Again, they both start to pump and then dump big time.
Then the bull run starts and what do i do again? yup... buy some meme/sh!tcoins and hoping to find my 100x winner. How did this go? Well.... it turns out I ended up getting several coins as they hit their ATH (darn you fomo!!!) and then enters the bear market and of course my coins are down big time again.
So finally this year, 2023, i decided its time to finally learn from my stupid investment strategy (or a lack of one!!) and also make my taxes easier. In 2021/2022 I started staking, looking for airdrops and earned a little bit from said staking. Prior to 2021/2022 I had never sold, staked or had any tax triggering events however in 2022 I had to finally report my staking income and airdrops i had gotten in 2021. OOFF!! USA taxes suck! Used Koinly to finally get a report of the 5,000+ transactions i had and realized I had only earned about $50 total from staking.
So what is my 2023 strategy? Consolidation. I hate dealing with taxes on staking especially considering how much I earned vs the paperwork needed; the gains were not worth the hassle. I live by the "invest only what you can afford to lose" mantra and that amount is not as high as i wish and in turn made staking yields tiny.
Another thing I finally decided to do was to start DCAing into only top 10 coins/tokens, mainly centering on the big two: BTC and ETH. Really should have started doing this back in 2017.
I also decided to use changelly and swapped out most of my sh!tcoins to either XRP or ETH.
Right now, I feel SO MUCH BETTER having my tiny crypto portfolio mainly consisting of BTC/ETH/XRP.
For me, chasing the diamond in the rough coin/token has gotten old and I have accepted the reality that I prob wont ever find that meme/sh!tcoin that rockets and am ok with that.
So has your strategy changed throughout the years or are you sticking to your strategy no matter what?
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