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Why You Should Stay the Course in Crypto Despite the SBF and FTX Crash

why-you-should-stay-the-course-in-crypto-despite-the-sbx-and-ftx-crash

Even though I invest in cryptocurrency, I wouldn’t consider myself very knowledgeable about it. I began investing in crypto back in 2018 when a friend whom I trust suggested I open an account on the Uphold platform and invest in one specific currency that was growing in popularity at the time. Before then, I had heard very little about crypto and specifically BitCoin because of how well it had done, but I’d never invested in it. I’d never even considered investing in crypto. Even so, once I did learn and decided to invest, I considered it a gamble at best, a game of chance, no guarantees, and I also considered that it could possibly be my only opportunity to become ridiculously rich; a chance opportunity. So I did exactly as he instructed. It’s not like I was investing retirement level savings, which I do not have anyway. I felt like the opportunity was greater than the risk, and I suppose I was right since I’ve already made profits on the money I’d invested, liquidated and reinvested though not to the same extent.

What inspired me to take this chance in crypto?

Besides a bit of desperation to be elevated out of the “work to live” system, prior to this opportunity, I had a friend visiting me from Ireland in 2014 who introduced me to BitCoin before its big bang between 2016 to 2017, I cannot quite recall in this moment. Now, in terms of novice investment opportunities, technology, and general knowledge about the world, I feel like citizens of Eastern society, places like Europe, Africa, and Asia can oftentimes be quite ahead of where we are in this gilded version of American society. I even experienced this for myself when I visited Europe in early 2018.

why-you-should-stay-the-course-in-crypto-despite-the-sbx-and-ftx-crash

Slowly Catching On

When I was initially introduced to BitCoin, I had very little interest and very little motivation to understand it in order to increase that interest. I had a lot going on in my personal life as well that affected me seeing the true potential of the knowledge my friend was offering me. He was essentially introducing me to something related to Bitcoin mining. I laugh about it now because I recall him showing me some kind of game, we’d play and earn something like .00061 Bitcoin which wasn’t much then and still not much today yet worth much more today than it was back then. I’d see this micro amount of crypto after all the energy that was put into playing this game and say “That’s all?”. Then he’d attempt to explain the significance of a seemingly small return, but I obviously was not paying attention. It wasn’t a “wish I was” moment, though, because I knew where my head was and I certainly had more pressing issues at that time in my life.

Now fast forward to today’s cryptocurrency and we see that cryptocurrency has gained a lot of momentum and garnered the interest of traditional banks as well as investors. Not to mention that it has created a number of billionaires and even a few trillionaires with more to come. Trust me on this.

Staying the Course

With the recent news of the FTX exchange tanking, other currencies caught in the crossfire of the SEC investigation, and dragging the crypto market into crippling lows, I am witnessing spiraling hopes in the future of the cryptomarket amid this SBF crisis. Particularly in the comment sections of these breaking news headlines. I got notice from Uphold last evening and paid it no mind, yet woke this morning to several alert type emails and notifications. However, in spite of it all, I urge you to stay the course. This is the nature of the beast and the age of which we currently dwell. There is uncertainty particularly among those who are not well grounded in their faculties; this specific definition of faculties; An inherent power or ability. While this is not financial advice to anyone, I have decided to stay the course and weather the storm. I truly believe there is a rainbow and pot of gold at the end of this storm. And through it, the few shall remain. Stop watching the news headlines, stop the mass panicking, and do not sell out of fear. Once again, this is not financial advice. I am not a professional and you should do as you are led.

A number of people have had to say RIP to their millionaire status and retirement savings quite unexpectedly. I send love, light, and blessings to them as I realize this can be dangerous for the mental health of some individuals. I myself lost $500 plus returns in the recent fall of a small centralized exchange market and even though it was only a $500 initial investment, it still hurt because I had earned some gains on that and I was sad to see it all gone.

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Get More Security

With everything that has been going on and the new things that have been revealed in this most unfortunate turn of events with FXT, here are some things I would do differently should they apply to what I am doing currently. Hypothetically speaking:

Hard wallets are better than soft wallets and soft wallets are better than centralized exchanges.

That being as it is, look into securing a hard wallet. A hard wallet is a physical portable storage device that stores private keys and tokens keeping your cryptocurrency offline and protected. The device might come in the form of flash drives or hard disk drives. Some have limited storage space and only support certain types of cryptocurrencies which includes the more popular ones like BitCoin, ETH, XRP, and a few others.

If you are unable to obtain a hard wallet for whatever reason, a soft wallet is your next best bet in protecting yourself against exchange market collapse. Some soft wallets to consider are BitPay as it is available on multiple platforms beyond iOs and Android as well as Atomic Wallet and Exodus for the same reasons. They are each available for download for free.

DEX vs CEX

Centralized vs Decentralized

The next thing is to move your assets from a centralized exchange system to a decentralized one. I’m not going to even pretend like I’m an expert on this because I’m not and you don’t need to be to understand when I tell you that your assets are safer with a decentralized exchange. Decentralized exchanges (DEX) are oftentimes FDIC insured and have all those other money protection things in place. There is no third party involved in the moment of your funds. For example, I can transfer money directly from my banking institution to my current DEX for the purchase of assets without fees or the need for a middle-man entity. Please do your research.

Folks have argued that centralized is better as traditional banks should not be involved with crypto or else what is the point of claiming “peer to peer” transaction benefits. I’m not saying banks can be trusted any more than “peers” ; however banks can be held accountable for mishandled funds. Your peers, as we can see with this fresh FTX debacle, ummm, not so much.

Finally, you gotta CYA through this crypto volatility and understand that there are no guarantees. The risks might very well be greater than the rewards. Yes! It is a possibility, but do not let that discourage you. Do what you need to do to protect yourself, lower your risks, and stay the course. I have faith that those of you who decided to click this article and read to the end are millionaires in the making. I look forward to seeing each of you living your best wealth-building worry free life, money worries anyway. Take care of yourself and be safe out here.

This content reflects the personal opinions of the author. It is accurate and true to the best of the author’s knowledge and should not be substituted for impartial fact or advice in legal, political, or personal matters.

© 2022 Victoria Wray

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