Playing Checkers With A Chess Master

in #investing7 years ago

My friend, as in the only other person that has talked to me for more than five minutes (other than my wife) and continues to talk to me, has spent considerable time and energy over the years helping me semi-navigate cryptocurrency. Today he sent me a great video entitled, Are You Committing This Crypto Investing Sin?

Basically the video covers the idea of the circle of competence. My take away after watching the video is that my circle of competence for investing in cryptocurrency is so small as to be a singularity. The hard truth is that I am smart enough to know that I am not smart enough to increase my circle enough to be a competent investor in cryptocurrency. This is without even getting into the idea of actually spending money for it rather than generating it in some way. In other words, I do not have actual cash to invest...thank God.

He touches on many things that hit home. One of which is knowing what you are willing to lose. He mentioned that most people do not know until they lose it. I know this first hand. If I had held onto all my BTC from day one I would now be debt free, and able to help send my kids to college. Instead, I spent most of it on a server to generate more BTC which never panned out. I finally ended by selling the remainder a couple years ago for a couple hundred bucks and buying my wife some clothes.

A couple of days ago I installed an app on my phone because it seemed to trigger a memory. It turns out I still had a small fraction of one BTC. It is worth more than the several I sold to buy my wife clothes! What should I do with it? What about my Steemit account?

At the end of the day I am not an investor. I am not smart enough to invest directly in traditional markets, and I sure as hell have no idea what I am doing in the world of crypto. In short, I have come right back to "new clothes". As far as I can tell, the best option for someone in my position is to simply spend the money on something my wife wants, something my kids need, something I want, and pay off a bill. Maybe I will cash in on my Steemit account a little at a time and do the same, or maybe I will just wait until it goes balls up and transfer all my blog posts to a free WordPress account. Maybe I will lose another $900,000, but I did not have it to begin with anyway.

I guess the truth is that I am trying to play chess when I barely have the skills to play checkers. Maybe I should stick with tic-tac-toe. If you are reading this on a WordPress blog...well.

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God bless you

Hindsight is a wonderful thing. Everyone is out of their depth at some point, just learn from it and it'll have been worth it.