5 Tips for Successful Management of Highly Profitable Crypto Projects
What you need to know to keep the success
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Table of contents
Introduction to dealing with highly profitable crypto projects
1.) Your expectation
2.) The company behind the project
3.) Security
4.) The football strategy / The best strategy?
5.) My football strategy / Diversification
Introduction to dealing with highly profitable crypto projects
Since 2016, I have been successfully searching, researching and applying highly profitable crypto projects with the one goal, which I assume you have as well, passive income generated from recurring crypto payments to my wallet.
Spoiler: Yes, it is possible! However, not 100% passive because you need to know what exactly you are doing to keep the success.
1.) Your expectation
To make your expectation tangible, you should define at the beginning what successful dealing with highly profitable crypto projects means to you. This is significant.
What you should never expect
Please don’t expect that suddenly a lucrative crypto project appears on the horizon calling for you, and that this project is the one that will make you from rags to riches, or that will accompany you with eternally high returns until old age, even of your grandchildren. That can happen, but in 99% of cases it will not.
When I talk about returns, I don’t mean that you invest in the next trend coin or the next hyped project and after a week your investment has increased tenfold or a hundredfold. This can also happen, but it should be noted that a multiplication of your investment is still not a recurring return.
Example:
You buy 1 BTC for $40,000 and after a few weeks or months the BTC rises to $60,000. If this happens, you have 150% of your investment or 50% net profit. So far, so good. What do you do now?
Case #1: You leave everything as it is, your 1 BTC remains 1 BTC and you hope for further increase. You hodl to security interest. Welcome to the hodlers, this is also important and in the medium term (in crypto space 3–5, possibly 7–10 years) will most likely bring good profits.
But actually, we want to get to recurring returns for now.
Case #2: You sell around 0.67 BTC for $40,000 and thus realize your investment and achieve 100% ROI. You leave the remaining 0.33 BTC on the market and help to achieve further positive development. If you decide this way, you will have your investment back, but still no passive income and no recurring return.
Case #3: You sell 1 BTC for $60,000 and have thus secured 150%, i.e. 100% investment and 50% profit. This is not passive income, either.
In all three cases you have earned money, but to be able to live on it, you have to master and apply further strategies.
Otherwise, your financial stock will decrease as you pay for your living expenses month after month.
It therefore seems more lucrative to build up a portfolio of projects that will bring you recurring crypto payments to your wallet in the long run.
And the surest way to achieve this is to have a broader portfolio. I will explain why in more detail below.
2.) The company behind the project
We’re talking about dealing with highly profitable crypto projects in this post, so the company behind the project in question is almost irrelevant.
It may be that the company
- with great roadmaps,
- strong teams (that you can even research on Google or LinkedIn) and
- verified company licences with the various financial regulatory authorities
convey more confidence.
But: we have already seen many times that this is no proof of good business, long recurring returns. In the past, even the most reputable companies and largest banks in the world have gambled away and wiped out their investors’ money.
And it can happen to you, even with companies that inspire confidence and where everything is just about right, that the market turns, external variables suddenly change everything and, finally, that the company management makes fatally wrong decisions, which can lead to the loss of investors’ money. And this refers to both centralized and decentralized projects (dApps, Smart Contracts). It is best to read the report: 13 Biggest DeFi Hacks and Heists.
All in all, even the most trustworthy and security-guaranteed project can be/become error-prone, or management or technicians make mistakes.
And finally, there is no question that a company/project can develop into a scam or run an exit scam. I recommend the Netflix movie “Trust No One: The Hunt for the Crypto King” for this.
3.) Security
If you’ve read this far, I’m sure we all agree that there is no such thing as absolute security.
The only way to gain some security is to minimize the risk by spreading the risk, through a broad portfolio of projects.
4.) The football strategy / The best strategy?
Personally, since 2016, the football strategy has worked best for me.
Make sure that your investment portfolio is set up like a football team.
As I wrote at the beginning, everyone is looking for “that one project” that will turn everything around for you in the shortest possible time.
Adapted to the football strategy, this would mean:
You put only strikers on the field, no midfield, no defence and no goalkeeper.
If such a team were to compete in the FIFA World Cup, the team and coach would be declared crazy. Unfortunately, many investors are just as crazy.
Just as crazy, by the way, are coaches who compete without substitutes in the squad. Who knows a team where the striker has never been injured and had to be substituted?
Being a good investment team coach
A good team in football consists of a striker, midfield, defence and goalkeeper. That’s exactly what your investment portfolio has to look like.
Striker: highly profitable high-risk projects (15%-70%+/month)
Midfield: profitable, less risky projects (5%-15%/month)
Defence: safe, less profitable projects (2%-5%/month)
Goalkeeper: realize profits and secure them back in the BTC, ETH, stable-coin or fiat wallet.
5.) My football strategy / diversification
My own football strategy is for coin/token multiplication, so that, no matter what I realize, I keep getting more coins and tokens and don’t have to go to the base investment. Part of the strategy is also to take profits out of highly profitable projects and hedge in less risky projects.
And now you start to optimize your own football strategy as coach of your football investment team.
Do your own research! All information is based upon individual research study and experience and does not make up monetary or financial investment recommendations. I am not a financial consultant or trader and do not represent myself as such. There is no guarantee that you will generate income utilizing the strategies as well as ideas pointed out in this article. There might be associate web links, which indicates I will certainly get a tiny commission when you click my web link. The details, point of view, as well as views, consisted of in this article are only legitimate on the day of this record as well as might be different in the future.
