My crypto portfolio is majority BTC.
Bitcoin is the first-mover.
If there’s one thing I tell newcomers, it’s that as Bitcoin moves, so does the market. You can chase altcoin gains all you want. You might even hit big on one of them. BUT, if Bitcoin turns bearish, so will the overall market.
My Crypto Portfolio
The Rest: DAI, RVN, BAT
Several call outs.
I want to be even heavier BTC.
I first got into crypto in 2013.
I didn’t seriously accrue a position until 2015. Since then, every so often, I find myself wishing I’d allocated more to Bitcoin over anything else.
I Mine ETH
It’s important to note that I mine Ethereum.
With the exception of some “buy the dip” BTC moments throughout the last year, all of my net new crypto allocations stem from mining.
ETH is one fifth my portfolio bc:
I earn ETH 24/7
I’m holding early positions
I Invested in ETH @ $12
The upside to this investment is obvious.
As of writing, ETH is trading north of $1,900. The downside, however, is that I’m constantly fighting off an Ethereum bias.
My initial investment in ETH helped me gain much more BTC. It’s responsible for a lot of the crypto holdings I have today.
I owe a lot to Ethereum…
Okay, enough pining away for a cryptocurrency.
I owe a lot to ETH but I’m also reserving judgement as to whether or not I’m actually optimistic about the future of Ethereum.
In short, Ethereum has changed directions in their roadmap many times. They’re also currently phasing out proof of work (aka, miners like me).
Ultimately, ETH’s roadmap could work out great though but time will tell. It’s something I’m watching closely in 2021.
Betting on ADA
Just below ETH in my portfolio is ADA.
Cardano is a proof of stake crypto created by one of the co-founders of Ethereum. In a sense, it’s an Ethereum competitor.
You can call my small percentage a hedge against Ethereum. I’m also intrigued by their staking protocol and have been staking ADA for several months.
I Got Into ADA @ $0.30
A friend finally convinced me to go in.
As I look to lean even heavier into BTC, I’m keeping an eye on any Cardano bias I develop too ; ) Profits have a way of reinforcing those.
Keep those feelings in check.
I don’t like betting on altcoins.
Yes, I’m betting on one or two BUT it’s key to know why.
I own ADA because they’ve successfully hit checkpoints along their roadmap. They’re now among the top five cryptocurrencies in terms of market caps.
Cardano is arguably (or maybe just straight up… depending on who you ask) the most successful proof of stake crypto network to date.
I own ETH because, despite them moving away from mining, I see a lot of investment in the space and the overall growth of decentralized finance (DeFi) as a potential massive upside to Ethereum.
ETH stands to benefit from this.
ADA could challenge ETH in some areas.
Silicon Valley loves ETH.
I’m playing these two out for a bit then taking profits from both, moving them into BTC over time. I’ll update you as this develops.
You can expect to see the BTC % of my portfolio increase.
I’m starting to mine ETH both directly to an exchange to swap easily for BTC and some to BlockFi where I can do the same or keep some ETH holdings but earn interest in BTC.
In short, I’m methodically adding Bitcoin where I can.
I Spec Mine RVN
A note about those other coins you see…
DAI, BAT, and RVN.
RVN is Ravencoin. It’s a fork off the Bitcoin blockchain.
Ravencoin is ASIC resistant.
That means the network discourages centralization of powerful ASIC mining hardware. So in turn, it favors individual GPU miners like me.
AND, for when I can’t mine ETH anymore, I’m keeping an eye on the price of RVN and whether or not there will be a mining exodus into Ravencoin.
There’s also a Ravencoin halving coming in the next year.
RVN is a small portion of my portfolio though.
It’s still much more profitable to mine Ethereum no matter what I do with those mining profits. That could change, which is why I’m slowly allocating some mining efforts to RVN.
BAT and DAI
I won’t say as much about Basic Attention Token (BAT).
I use the Brave Browser on my computer. Check it out. They used to do referrals but this link is just a good old link.
You earn BAT just for using the browser. If you’re used to Google Chrome, it’s a no brainer. Plus, it has great privacy features.
I have a small position of BAT that’s been accrued simply by using the Brave Browser for the last two years. That’s really all there is to say there.
And then you’ll see some DAI.
This is a stablecoin on the Ethereum blockchain. I’ll dedicate future discussions to stablecoins. You can earn high % yields on stablecoins like DAI via a lot of the popular crypto lending platforms and at most exchanges.
This small amount of DAI, however, is likely being converted to BTC this week along with some upcoming Ethereum mining profits.
So Much More to Say
These are the highlights.
The basic WHYs behind my crypto holdings.
A lot is going to change in terms of my portfolio strategy in 2021. As time goes on, I’m making fewer, more concentred moves.
I have a tentative goal of being 85% BTC by July. A lot of that is dependent on the price of both Bitcoin and the few alts I hold.
I’m going to tell you when and how I do this so that you can follow along with my overall crypto portfolio strategy.
Plus, this is Bitcoin Binge after all so I’ll dive deeper into Bitcoin and why it deserves such as a large percentage of your crypto portfolio.
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