How to spend the money you make from crypto and other advice

in #investment7 years ago

So many of you are newly minted hundred thousandaires, millionaires, billionaires from crypto. Congratulations!

Let's take a deep breath.

First of all, don't tell anyone about it you idiots!

A lot of us equate being rich with being famous, and that's not the case. It is human nature to seek attention, but I would posit that it's not best to tell people you are rich. Aside from your wife, certain members of family and your CLOSEST friends, I would keep your net worth a secret. Why? Because it will make you paranoid as hell.

Do people gravitate towards you for money? Do they want tips? Do you they want to use you? Do they actually like your company?

These are all valid, pressing and annoying questions that will float in your head, at all times.

At firs the attention will seem nice, people will treat you well and you will feel like an important person. But that honeymoon phase wears off really fast when you realize that you are likely being used. So please. Make this first piece of advice the most important one. Being anonymously wealthy will take you far in life.

Secondly, don't waste your money on bling. I know I know, "you earned it." But be smart. Things that are shiny, new cars, new designer clothes, usually depreciate over time. A very wise saying about wealth is that it's not about making it, its about maintaining it.

So, the question is, how do you maintain it?

There's a couple of different options.

If you're a young man, who has just pulled out of crypto and doesn't want to buy more crypto (which is actually the best option), and wants something tangible, I would go for real estate.

Real estate is almost guaranteed to appreciate, and getting started with buying your first home will take you a long way. I would look at different places where housing costs are low and might rise soon (Austin, Texas is an excellent choice), or somewhere close to you so you manage the estate.

If all your crypto gains did was manage to buy you a house, it is still a huge head start to life that many other people don't have. Consider yourself blessed.

One option is stocks, but stocks were a good option circa 2010, and not during this huge crypto boom. I would suggest learning how to short crypto. In case this bull market doesn't last forever, that might come in handy.

Another is gold. Gold is an excellent way to diversify, and it is the foundation to traditional investments. I would look into this, different kinds of gold, and how bullion has behaved historically when the economy was at a similar state. Do some research on gold, we might see it rising this year!

I didn't want to get too technical on this post. On a post coming soon, I may talk about investment strategies, conservative crypto gains vs. the venture capitalist model, etc. Comment below on what kind of advice/ posts you would like to see on steemit! I am interested in knowing what my audience wants so I can give it to them! Take care and finally, only invest what you can afford to lose.

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Disagreed on 1 point -- Protip: Don't Tell your wife about it at all. You don't want half your earnings spent on Shopping bills ;)