Crypto Portfolio Reveal
The OG of Crypto vs ETH
People tend to think everyone in crypto takes huge risks. I am honestly a very conservative crypto investor. My top 4 coins make up 90% of my portfolio.
My journey in crypto started in 2018. It took me years to study this new asset class before I invested a cent. I studied Bitcoin, fell in love with it and have since become an Ethereum bull. I attempt to keep ETH at 50% of my portfolio at any point in time.
Lets cover BTC and ETH in this reveal. Next time, we go hunting for smaller gems.
Bitcoin's network is a payment system, plain and simple. Think about payments you currently use, credit cards, PayPal, bank transfers etc...that is why Bitcoin is disruptive. Bitcoin is a payment system where the currency used is called Bitcoins (BTC) rather than dollars.
The traditional payments systems that you currently use, credit cards, PayPal, bank transfers are all controlled by centralized entities who control the network in which they run.
- Credit card transactions are controlled by the Visa/Mastercard. They have the power to control your spending, place restrictions on where you can use their cards, how much you can spend, and they can deny you access at any time.
- PayPal can suspend your account at any given time. PayPal can hold your funds and force you to do a credit check and/or to provide proof of purchases for things you sell online. PayPal can also control how much you spend from your account.
- Banks have infinite power over your funds. They question where your money is coming from and where it is going. They can stop where you can send money and how much you can withdraw. There are so many restrictions on your own money.
Bitcoins payment system is decentralized and is run by the community. The whole system is maintained, verified, secured by individuals such as yourself. The Bitcoin network has never been hacked and is considered the safest network in the world, and most importantly, with Bitcoins decentralized network you control your own money.
The Ethereum blockchain is a further evolution of the blockchain idea, because unlike the Bitcoin blockchain its not solely designed to manage digital money.
- Think of the Ethereum blockchain more like a powerful and highly flexible computing platform that allows coders to easily build all kinds of applications leveraging the blockchain.
- For example, imagine a charity that wants to send money to a thousand people every day for a year. With Ethereum, that would only take a few lines of code.
- Or maybe youre a video game developer that wants to create items like swords and armour that can be traded outside of the game itself? Ethereum is designed to do that, too.
It is very important to note that only Bitcoin can run on the Bitcoin blockchain. No other coins are allowed to travel on that track because Satoshi is "gone".
To enable Bitcoin to run on the Ethereum blockchain, you need to wrap it in special coding. The coin is then called Wrapped Bitcoin and can then move easily on Ethereum.
Most of the coins that you know (and love) run on the Ethereum blockchain. As crypto grows and becomes mainstream, Ethereum will become more valuable. I respect Satoshi and I will never sell my Bitcoins, but I am an Ethereum bull because of this basic fact.