The Truth About Crypto: Don't Get Fooled by the Hype
Do not buy into the "adoption" dream. When the adoption era arrives, the crypto game is over.
You must understand that crypto is a game of narratives and hype, and the entire industry, including Twitter and online communities, promotes these narratives and illusions to attract more retail money from other people's pockets. It's mostly a Ponzi scheme, and to keep it going, they need more retail investors to join the pyramid.
Even if you are doing well right now, you are likely to lose a lot of your money in this game if you don't play it correctly. In the next 18-24 months, you could see significant losses.
In the game of crypto, everyone puts money into a pot, buying a token at an ever-increasing price driven by the hype of early buyers. Eventually, those early buyers take their gains from the pot. Every single dollar of those gains comes from someone else who put money in.
The few "winners" come at the expense of the majority who lose. Some people may describe crypto as a "great redistribution of wealth", but in reality, it is money moving from the pockets of regular people to a minority of successful shillers, projects, and venture capitalists who manage to take out more than they put in.
Imagine a stock market in which it is suddenly known that 99% of the listed companies will be worthless in a few years, but they are being held up by speculative hype. It would collapse very quickly. Before getting involved in the altcoin game, you should first ask yourself if you really want to.
My attitude is that everyone getting into crypto should know that it is a big scam of hype, and if they don't, they have no business getting involved. Unfortunately, an increasing number of people are coming into crypto who don't understand this, and the whole of crypto Twitter and the industry work hard to ensure this misunderstanding persists while they themselves cash out on the backs of these unsuspecting investors.
If you've made a lot of money in crypto, you may think it was hard work and that your family and friends should be proud of your achievement. However, some people who have made it even go around lecturing others on the "right" way to invest, when in reality, they have just gotten lucky and cashed out at the right time.
If you are new to crypto and want to get involved, do so with the understanding that it is a risky, hype-driven game. Don't believe the narratives and be prepared to lose money. If you can't handle the risk, it's probably best to stay away.
If you are still interested in getting involved in crypto, make sure to do your own research and due diligence. Don't blindly follow the hype or listen to anyone who claims to have all the answers. And remember, not everyone can "make it" in this game.
If you've found value in this substack so far, be sure to give TraderL1z a follow. In the next part of this substack, we'll discuss some strategies for minimizing your risk and increasing your chances of success in the crypto world. Stay tuned!