Crypto Asset Investment Experience and 5 Observations

Hello, I am a bohemian currently pursuing a lifestyle true to myself.

Today's article is about my second crypto asset investment in life!

Background of Crypto Asset Investment

I made my second crypto investment in my life.
The amount is 1,000 Sin-dollars.
(Since I had an unrealized loss with 500 Sin-dollars, I added another 500 Sin-dollars.)

It is a small step, but an experimental investment that will lead to future developments.
In the future, I am also considering investing 10 times to 20 times that amount.

The trigger was a certain logic I heard from a finance professional.
London or Singapore, they worked at a major financial institution, now run their own company independently, and are an embodiment of the bohemian lifestyle that I admire.

It was a simple logic and explanation, but it was persuasive, and as someone who values intuition in my investment style, I thought this would be profitable, which was the trigger for my purchase.

By the way, I don't have much knowledge about crypto either, so I asked Chat GPT about the validity of my acquaintance's observations, and the answer was spot on.
*However, I asked Chat GPT after the purchase.

You can learn from books and the internet, but the words of someone who is actually achieving results in the field are more persuasive.
If the opinions of a trusted, experienced acquaintance in the financial industry and Chat GPT align, there is no reason not to invest.

And from here on, I have summarized my thoughts on this crypto investment into 5 observations.

1. Speed of Account Opening

It is fast!
I thought the same when I opened a bank account here, but you can open it one-stop from your smartphone.
In particular, I think the main reason is that identity verification via an app called Singpass is possible, so I opened an account in an instant, sent money via QR code, and immediately purchased crypto.
I was surprised by the overwhelming speed.

2. Volatility of Price Movements

I previously invested in crypto for about 6 years, from 2018 (investing 100,000 yen) to 2024 (selling for about 120,000 yen). (About 3% in IRR.)

Price movements of about 1-3% in a short period are normal, and since it fluctuates 24 hours a day, if you are used to low-liquidity Singaporean stocks, the price volatility is intense.

It feels like being on a different time axis than the stock market.
I don't mind it at all, so it's not a problem for me, but I wouldn't recommend this investment to people who are overly concerned about price movements.

3. Increase your circle, ask the pros

I am not particularly good at socializing.
The main reason is that my hobbies and tastes differ from others.

Even so, I like and am good at digging into and asking about what others are good at, what they like, and what they are passionate about.

I was able to draw out this topic from a casual conversation as well.
In this day and age where information is becoming generalized due to the spread of technology, the ability to discern valuable information is important, and the network that attracts it is also important.

I was able to get to know this acquaintance (a professional in the financial industry) through various coincidences and connections, but I want to continue to value these connections and the action of drawing out core information myself.

4. Try it before you think

One of my investment principles is that nobody knows future prices, so I don't really think or analyze much.
My style is to invest a small amount, increase the amount if I think it's going well, and learn the mechanism while running.
I don't really cut losses, but if I think it's truly hopeless or boring, I quit immediately.
A simple principle of action and investment style.

And the benefit of this style is that the learning process can be streamlined.
Rather than just studying theory, studying theory while practicing has an overwhelmingly higher absorption efficiency.

I majored in business administration at university and thought it was such a boring subject, but after I started investing, I learned the fun of management.

I don't have much knowledge about crypto assets either, but I want to start small with an amount that I wouldn't mind if it went to zero, and increase both my knowledge and assets.

5. Exciting user experience

I was strongly attracted to the fact that Bitcoin does not have a centralized mechanism.
A currency that operates on a decentralized mechanism without relying on states or banks.
Countries and financial institutions are symbols of power, but it does not rely on them.
(However, in Singapore, the MAS (Monetary Authority of Singapore) regulates businesses, such as by granting licenses.)

This nature somewhat overlaps with the attitude of a bohemian who pursues a lifestyle true to themselves without being bound by the framework of a company or society.
I thought there was an affinity between "bohemian" and "bitcoin", and it is very interesting and intriguing in terms of user experience as well.

Bonus

The time required to write this article is about 30 minutes, but the amount fluctuated in just 30 minutes.
In parallel with stocks, my cryptocurrency portfolio is likely to increase in the future.