In the modern world, living without money is almost impossible, so each of us thinks about how to get rich. No matter how many dollars you have, there is always a desire for more. But what is needed to accumulate capital? Most financial literacy books say that you need to spend less than you earn, and save what is left. It can be said that for most people, saving is the key to wealth.
In the crypto world, the same laws apply. We collect coins and hold them, their price rises and we become richer. The coin holding strategy is often used with the DCA strategy, where we buy coins at certain regular intervals, averaging their price. If you do this over many years, you can accumulate a decent capital. Not only does it grow from the money you add to it like a piggy bank, but the coins themselves also appreciate. Of course, there is always the risk of losing everything, but to minimize the frequency of this happening, it is necessary to invest in different coins with various risks. Even in the risky crypto world, there are low-risk assets, medium-risk assets, and high-risk coins. I would classify BTC and BNB as low-risk; these coins show stability and do not decline significantly over time. I would classify the top 20-30 coins as medium-risk, but only if they are not meme coins. High-risk coins are those that are listed almost daily and do not last very long.
To build a large capital and be confident in the future of your savings, it is better to invest your money in low and medium-risk assets. After all, the probability of their existence in 5-10 years is much higher. We all know how BTC has grown over the past few years and regret not buying it earlier, but 'the train has not left yet', so we need to 'jump on' now.
We collect and accumulate coins, and over time our capital will grow to unprecedented heights.
As one classic said on YouTube: 'Even the worst holder will outperform the best trader over the long term.'
Patience is our strength!
