Unicorn Mining: month 1. Is is alt season?

in #unicorn-mining4 years ago

My post from July 5.

I am opening a new section under the code name #unicorn_mining In this part of the portfolio I will invest small amounts of money in new projects (literally “for change”). Remember that, ideally, we have three more parts of the rebalanced portfolio (national investments, foreign ETFs, top cryptocurrencies). With a new approach, I would like to show that with the help of discipline at a distance, you can save up a decent amount of money. When you say this about diversified portfolios, where growth will be about 10-20% per year, then people are not very enthusiastic. They are not inspired by such “small” profitability. In the new heading it will be a little more fun, since we will definitely catch X's for periods, but there will also be completely zeroed investments.

Let's set the expected / desired parameters of our approach:

Number of investments per month: 1-4 on average
Period: 10 years
Investment amount in one project: $ 25- $ 100 on average
Investment objects: new alts, ICO / IEO / STO, startups on crowdinvesting platforms
% of losing trades: 60-80% based on the results
% of profitable exits: 20-40%
Total will be invested: $ 20-25 000 over 10 years
Total at the end of the period: about $ 150 000
Average annual return: 30-35%

As a result, we aim “only” at 6-7 “Xs”, but it should be borne in mind that the amount is not invested at a time, but is smeared smoothly throughout the entire period.

If someone repeats the transaction, then please do it at your own risk. I do not exclude that everything will not go according to plan at all (loss of funds is possible, temporary pauses for new investments are possible). Particular attention should be paid to the size of the transaction, not to invest everything in one asset. Hodl attitude and discipline.

Someone will say to himself: “Have you gone crazy? 2017 is already in the past ”. And he will be partially right. But I liked that time. I continue to believe for a long time in the crypto, human freedom and the inviolability of money in his pocket. Time has cleared the market, many scams and empty projects have disappeared. Some of them went with our money. But should the freedom of investment be abandoned because of this? It's very cool that with the blockchain and other types of organization of decentralized money, we can manage our assets independently and without borders.

I would like this section to be aimed not only at financial results. Not just speculation and hodl, along the path of investment, you can help the development of projects as much as possible. Are you a designer? Develop an infographic for the project and throw it into chats. Are you a translator? Translate the materials into your language. Don't have “virtual skills”? Download the startup's app if it has one and write back to the developers about any bugs you find or what could be improved. I assure you that the work for a decentralized system will sooner or later be rewarded.

I will be glad if someone gets involved in the analysis of projects (I filter out about 80% at once), so there is not much left to analyze. You can write in comment section in my Twitter https://twitter.com/HoloWolf7 or here in comments.

#unicorn_mining - while searching for gems, you will have to go through many projects, and this is just like in mining. A unicorn is a startup whose valuation has reached $ 1 billion (in the classical world, it is assumed that a startup is not public, that is, its shares are not traded on stock exchanges).

Cryptocurrencies continue to develop regardless of our opinion and mood with you (yes, I understand the pessimistic mood of many after all the crypto winter). Crypto games are born, new ideas appear, whole ecosystems of individual blockchains are developing (hello DeFi from Ethereum). The world will continue to go into virtual reality with its digital values. I am sure that cryptocurrencies will play one of the most important roles here. Someone will say that this is all utopia and no one needs a crypto. I will not argue, only time can judge us.

🚀 Let's go! $ 52.5 -> 56453 mHLX (Helix.Network). Soon I will add a table with the public results of this section.

August 2 and my results.

On July 5, I announced the launch of a new experiment, during which $ 100-200 is invested in new alts every month. The month turned out to be a shock, I had to go beyond the plans. Summing up:

💲 Total invested: $ 392.5
Current balance: $ 1597.5

The following coins were purchased in the first month (the residual amount from the original purchase is indicated in parentheses):

Helix.Network (100%) - fork of IOTA, code rewritten by 50%, entered into a partnership with Ajinomoto (the largest manufacturer of food, chemistry and medical products), the project is not on the hype at all, is estimated at only $ 4 million for all tokens. Current price: + 1% of the purchase price.

UniCrypt (20%) - they are trying to create a convenient analytical portal for tokens on Uniswap with the possibility of locking them, the team is anonymous, I have suspicions of a scam, so I fixed most of the position at 4.3x from the purchase price. After fixing, the token continued to grow, the market is wild. Current price: + 810% of the purchase price.

TrustSwap (75%) - various payment solutions based on smart contracts. 25% of the position is locked at 3.5x from the purchase price. Current price: + 253% of the purchase price.

Avalanche (100%) - entered the token sale. The tokens in the general table are counted at the purchase price, IOUs were not clogged, otherwise the portfolio will fly into the skies altogether and this will not be entirely correct information, we are waiting for listings.

TokenPocket (100%) is a multi-currency wallet with built-in Dapps and live users, valued at $ 7 million across all tokens. They start adding DeFi products and write about it. Current price: -3% of the purchase price.

Antiample (60%) - the antipode of Ampleforth, was bought for fun, but it turned out to be the fastest X's in my cryptocurrency history. 40% of the position is fixed and at the same time 4x of the invested funds have already been returned, taking into account all losses and commissions along the way. Current price: + 993% of the purchase price.

Libertas (100%) is an uncensored podcast platform, I have been following them for a couple of weeks and bought their tokens a bit outside of the experiment, now I bought a little more and is already in positive territory. Current price: + 86% of the purchase price.

In fact, the assets are overclocked in general 10+ times, since initially only $ 152.5 was invested in traded coins, and $ 240 in Avalanche. And this was done without shoulders and with maximum diversification in projects, it turned out to be successfully fixed on UniCrypt and scroll the same means in Antiample.

In August I plan to add only $ 10 to this experiment to fit back into the plan for depositing new funds. Moreover, from fixing profitable positions there is still a supply of Ethereum. In distant alts, it is important to fix profitable positions, I also found out when analyzing ICO a year ago.
Basic plan to fix profits:

We fix a profitable position once a month (calendar exits).

If the price has tripled, we sell 25%
If the price has increased 5 times, we sell another 15%
If the price has increased 7 times, we sell another 10%
If the price has increased 10 times, we sell another 10%
If the price has grown 20 times, we sell another 10%
If the price has increased 50 times, we sell another 5%
If the price has increased 100 times, we sell another 5%

If I suspect a scam or extremely negative expectations, I can completely exit the coin. In emergency situations (like Antiample), it is possible to take profit ahead of the calendar date.

There is no fund, you can simply follow my logic and, if desired / possible, repeat some transactions at your own peril and risk. And never, in any case, invest all the funds in this part of the portfolio, let alone in one coin. Risk management and global asset allocation are everything. And it should also be added that there will be strong volatility. In a bear market (and it will come sometime anyway), assets can slide strongly downward.

If someone is interested in my Google table where everything is fixed, then it can be found here: https://docs.google.com/spreadsheets/d/1rg9JHC5-ffC5KqRuHhq3dhijsGPtmMKeIr2vvO6EWtA/edit?usp=sharing.
#unicorn_mining

1 month - July 2020.jpg

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