Answer

The answer to the question posed in the title is Yes. Yes you should pump all of your money into Crypto, that is if you want to lose the majority of it due to impatience, death or bad judgement.

What do I mean by each of those?

Ok, let me break it down for you, starting with impatience.

Impatience

Lots of people are going to buy Bitcoin at $70,000, even more will buy at $80,000 and all the way up north of $100,000 in this Bull cycle we are in, but how many will hold their hand when the inevitable Bear comes along. I am not talking about 5 to 10% corrections or larger hand shaker 20% losses followed soon after by steady growth.

I am talking about sustained downward movement, where eventually many will concede a 50% loss on their investment instead of persevering and holding for the next Bull run. Not everyone can afford to wait, and if you can't afford to wait then maybe Crypto is not for you.

So, remember that Patience is the name of the game and that is the case with all of your investments.

Death

Fill a room with 1000 randomers anywhere in the world. Ask them this question.

"Hands up who wants to think about their own death"

Scan the room, likely no hands go up, maybe a smattering here and there, but likely no more than 10 hands and possibly none.

Death is not something that we want to think about, but as sure as you were definitely born, you will definitely die. It is one of the few things in life that you can guarantee will 100% happen, zero exceptions, it's going to happen. Maybe not today, maybe not tomorrow, maybe not next year, maybe not this century, but some day, you like me will meet your maker.

Guess what?

You have no idea when that day will be. The majority of those who die today will not see it coming. Some will die in their sleep, some will die due to a heart condition, some will die in traffic accidents. The point is that you just never know.

Ok, we get it Mr. Morbid McMorbidson, what is with all the death talk?

Hear me out...

The point is that any of us who have Crypto investments have very very long passwords, seed phrases, Nanos squirrelled away. These may be worth hundreds, thousands, tens of thousands, hundreds of thousands or even millions! What happens if you get hit by a car, God forbid or that Lion heart of yours stops ticking? These things happen. What happens to all of those paper profits you have?

That's right, they die with you.

No, no, no I will leave them to my wife, children, girlfriend, boyfriend, friend etc. Really? Are they Crypto savvy like you? Unlikely, so chances are that money could end up lost, worthless, void.

The third thing I mentioned was bad judgement.

Bad Judgement

I mentioned under impatience above somebody buying Bitcoin at $70, $80 and $100K, but that assumes good judgement in picking something tried and trusted in the Crypto sphere like Bitcoin.

People are innately greedy though, and potential 20% or 40% profits won't be enough, they will want more. Shite coins enter stage left.

You can bet your bottom dollar that 100s of billions will be lost in this Bull run with people blindly pouring money into holes, crevices, cracks and ravines of shite coins that are everywhere right now.

In the current Generative AI landscape, it's easier than ever for fraudsters and chancers to bake up a con coin, shite coin, meme coin or the likes, which the un suspecting and greedy masses will lap up on the promise of 10x and 100x returns.

There are 10x and 100x coins and tokens, but what people forget is that for every 10x, there are 1000 non 10x.

So, before you pump all of that hard earned Fiat currency into Crypto or other investments, engage that wrinkley pink-coloured blob that resides inside your skull and do some planning.

Fail to Prepare, Prepare to Fail

This is an excellent expression and it cuts straight to the point. In any walk of life, without some proper planning, things tend to fall flat on their face. It's exactly what it says on the tin - Fail to Prepare, Prepare to Fail

Anyone who makes a fast buck without much planning basically got lucky and will likely lose whatever they gained over time anyway, as luck has a tendency to run out.

Planning in every area of life is advisable, but for some reason when it comes to finances, many of us are a bit illiterate and blind and fail to plan. Maybe it is cognitive dissonance and we are happier to avoid the reality. I have seen many friends delay starting a pension, thinking that it is for Older people! What a mistake. It was one of the first things I did when I started with my current employer over fifteen years ago. It was a no brainer. I put in 4% and they put in 7%. Anyone for a 175% interest savings account?? Oh and we will invest all 11% in stocks and investments which are very likely to beat inflation.

Yet plenty of my friends who were in their twenties at the time opted against it.

Fail to Prepare, Prepare to Fail.

The Western World is aging and we are living longer, so guess what? The old age pensions that are given out today will slowly disappear or diminish significantly over time. Why? There won't be enough younger people under 65 working to pay for these handouts to the elderly.

Another consideration is the era of Automation and Generative AI. There are not too many industries that will be unaffected by Gen AI in the coming years and decades, so again employment numbers could potentially be hit hugely and this talk of a living wage may gather momentum as more and more find themselves jobless and unemployable.

That's all for today. You're welcome for the doom and gloom I brought you today. Nah, when would I ever leave you in the lurch like this?

So what can you do? Let's not pump it all into Ablaze's Blazing Blazzy Blaze coin or the likes, let's diversify.

Dollar Cost Averaging

One of the best pieces of advise I read back in the day was around dollar cost averaging which means that you don't wake up one day and decide you are now an investor and pour all your savings into Bitcoin, Hive, Apple stock whatever.

Rather you take a calculated long term view and decide on a percentage of take home pay per month that you are going to set aside for investment. It could be 10% or 15% or as little as 1%.

You then invest that money each month into whichever coin, share or investment that you have identified.

Stocks and Shares

Now that you have set aside a recurring monthly amount, we can start looking at options for investment. Like all investments, you must accept that your investment may make money or lose money. None of us have a crystal ball, but if you employ dollar cost averaging then you are likely to fair better over time.

I personally like stocks that pay a dividend, meaning that they pay a percentage of investment annually on top of any share appreciation. It is worth noting that dividend paying stocks don't often appreciate that much, but they can. Two recent examples would be IBM and Exxon - both pay dividends and both have done well in terms of share price over the past few years also.

Precious Metals

Gold, silver and other precious metals have long been a store of wealth and that will not change going forward. Yes, there may be other stores of wealth, such as digital assets like Bitcoin, but in my opinion over the long term precious metals will continue to hold their value due to their scarcity, which is what makes them valuable.

You can opt to own and store your own precious metals in a safe at home or pay a company to mind them in a vault for you.

How much of an investment portfolio should consist of precious metals like gold? Well, it depends on many factors, but the figure would be in the range 5-20% typically.

Bonds

Unlike stocks and shares, bonds don't give you ownership rights. They represent a loan from the buyer to the issuer of the bond. Bonds are usually issued by governments and corporations when they want to raise finance.

When you buy a bond, you're basically playing banker, by affectively giving the issuer a loan, which they agree to pay back by a specific date. They pay back additional interest on top of the principle, which is where your return on investment comes from.

The interest rates payable on these bonds are linked to their quality. The quality is based on how likely they are to be paid on time. Unlike stocks, bonds issued by companies give you no ownership rights. So you don't necessarily benefit from the company's growth, but you won't see as much impact when the company isn't doing as well, either—as long as it still has the resources to stay current on its loans.

So bonds give you two benefits when you hold them as part of a diversified portfolio. They give you a stream of income, and they offset some of the volatility you might see from owning stocks, shares and crypto.

Property

This investment vehicle is all about timing and is not one that I am currently in, other than my own home. It is definitely an asset class that I want to get into though, and it is all about getting in at the right time.

The key is having access to cash, when there is a property crash and the banks slow down on approving and giving mortgages out. That is the time to strike. I would like to eventually pick up a few apartments here in Ireland, a 3 bed in Dublin and a 3 bed in Galway would be a great start, but I am a long way from that point yet.

Some of you reading this though, may have Crypto gains that could finance such a move, and if you have the opportunity to buy property at the right time, I would certainly give it some serious thought.

Passive Income

I am lucky enough to benefit from passive income today via Hive at 2.85% and HBD at 20%.

Passive income as the name suggests is making money without having to exert effort or investment. It makes money for you as you sleep. That my friends is very powerful.

If you don't currently have passive income, then start figuring out some ways to change that, as passive income is extremely powerful.

If you are reading this then at a minimum, you know what Hive is and how powerful it potentially is, so get busy building your Hive brand, but remember don't just invest in Crypto, diversify what you invest in via dollar cost averaging each month. Also remember to have a plan, whether it be a one year plan, a five year plan or twenty year plan. The important thing is to have a plan.

If you take nothing else from this read, take this - Fail to Prepare, Prepare to Fail. It is not only true of investments, but holds true for life in general in my opinion.

Just to make it abundantly clear to those reading this, This is not financial advise it is simply my opinion which you can choose to heed or ignore.

The images used throughout are from copyright free webpage Pixabay.com

Thanks as always for stopping by everyone.

Peace Out