Passively Making Wealth From Cryptocurrency

My Lazlo Story With DogeCoin

The history of Bitcoin cannot be complete without its first popular exchange for goods which was transacted by Lazlo Hanyecz, who bought a pair of his favourite pizza with 10,000 bitcoins in 2010, worth about $41 at the time of his purchase. This 10 000 would be now worth close to 500 million dollars (yes, USD). My Lazlo story in crypto is how my 2 beers worth of DOGE transformed to $7000 when a friend paid for my beers in exchange for Dogecoins and gained massive profit by hodling for a long duration.

Many crypto success stories have been about investors making huge incomes from hodling coins. Especially coins that were acquired at the early stages of launch, without many prospects in the underlying technology or product delivery. These coins, often referred to as shitcoins, eventually, become super successful over the years with massive adoption and early investors who bought substantial amounts are rewarded for their patience. Such is the case of Dogecoin, which was created as a joke on Reddit, a fun money to mimic Bitcoin. The early years of crypto had financial experts and investors speculate on the prospects of coins based on the project associated, developers team, and innovation that prompted its creation. Coins promising technological growth encouraged enthusiasts, miners and investors, unlike the case of Dogecoin that was created in 2013 having no supply cap and without a specific purpose rather than a meme-influenced tryout.

By the way, if you wanna know more about Doge, check out my Dogecoin course, the first-ever done. We make a technical deep-dive on Doge in this course, showing that it’s much more than a joke now!

In 2017, I was mining many cryptocurrencies using a multi-algorithm mining pool, and I had mined a lot of Dogecoin, which was not worth much in dollar value. On this very day where my Lazlo story happened, I had a few drinks with my friend Hana and discovered rather late that I had no ready means to pay for the beers (at least in fiat). My friend offered to pay for my beers in exchange for some Dogecoins valued at $30. I eventually sold all the Dogecoins I mined in 2017, but to my amazement, my friend never sold his coins. He held on to them until 2021 when DOGE value appreciated to $0.69, and then he sold a remarkable $7000 of profit! He showed me evidence of his sale, which totalled about $7000. I was super happy that my friend, who was not really about cryptocurrency, made a passive income of $7000 from $30 just by hodling.

Wealth creation in the cryptospace can be surprising, and some have even termed it a lucky adventure, especially for investments that grow multifold within a short duration of time. However, cryptobooms can be predicted, and wealth acquired if investors are strategic about market cycles rather than rely on luck. The cryptospace is no longer as unpredictable as its early years, and the charts have shown how the market cycle behaves.

Many of us, the ones that never sold, can say that we measure our portfolio performance not in percentage but with multipliers. 😎

Passively Creating Wealth in Cryptospace

Hodling is still one of the best strategies for investment in the crypto space. For me, selling was always the worst investment decision, both in the stock and crypto markets. Hodling strategy helps investors avoid realizing loss from the short-term volatility of cryptocurrencies and gain returns from long-term value appreciation. There are various means of creating wealth from the cryptocurrency world without having expert or programming knowledge. You can visit my youtube vlog and courses to learn more.

By the way, this is just my personal experience, don’t take any advice from this poor bum. 😇

Disclosure: views expressed are purely personal and do not reflect any organisation’s views or thoughts the writer of this article may be affiliated or associated with. This is NOT financial advice, and I’m not recommending anything. This article is only for educational purposes.

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Source: https://medium.datadriveninvestor.com/passively-making-wealth-from-cryptocurrency-76945db3788d?source=rss——-8—————–cryptocurrency