It is not clear how many millionaires Bitcoin has made over the years – but they are a good number. In fact, anyone that spent at least $10 on Bitcoin 10 years ago would be a millionaire by now. So are there any common characteristics that each Bitcoin millionaire share? Well, a study of the known bitcoin millionaires is the best place to start.
Here are 5 key behaviours of a bitcoin millionaire:
They didn’t invest ignorantly
Each bitcoin millionaire has one thing in common – they took time to study bitcoin before investing in it. For instance, Vitalik Buterin undertook a lot of research on the blockchain technology before he got in. He even wrote several papers on Bitcoin. By the time he developed the Ethereum platform, he had already invested in Bitcoin and his investment had turned into a sizeable fortune. He is the best proof that knowledge is power.
They were convinced they would profit
Most of the Bitcoin millionaire s did not get in with a trial and error mentality that some investors adopt. For instance, when 12-year-old Erik Finman was gifted $1,000 by his grandmother, he invested all of it in Bitcoin. A couple of years later, he sold a peer-tutoring platform he had developed and when asked whether he wanted $100,000 or 300 bitcoin, he took the bitcoin. Those who have turned their bitcoin investments into millions got in with an unshakable conviction that their investments would pay off.
They were patient
Each bitcoin millionaire didn’t get their millions overnight. Most of them would confess that they bought their Bitcoin and just forgot about it – until the price surge of Bitcoin started making headlines. Short-term investors never made a fortune but those who were patient to hold Bitcoin for years saw their accounts shoot to all-time highs.
They locked in profits
Most Bitcoin millionaires still have a good chunk of their investment in Bitcoin because they know the price will continue rising. But still, most have sold some Bitcoin not only to recover their capital but also to diversify their portfolios. For instance, Charlie Shrem has put lots of the millions he has made in Bitcoin in real estate. He continues to trade Bitcoin as his primary source of income then invests the profits in his real estate business.
They stick to a strategy
Erik Finman, who cashed out his first million when he was only 19 years, insists on the importance of putting the biggest percentage of your money into Bitcoin. He literally did this when he sunk in $1,000, money he had been given by his grandmother when he was only 12. Charlie Shrem uses a different strategy – he buys Bitcoin when it drops in price and sells it when it shoots back up. Even though each bitcoin millionaire has a unique strategy, they all stick to their strategies religiously.
Even though each bitcoin millionaire has his own unique strategy, there are a couple of common characteristics across the board. For instance, most of them got into cryptocurrency before it was widely adopted. People around them discouraged them but they went ahead and put in their money anyway. If you want to make a fortune in cryptocurrency, you have to ignore the rumours and build your portfolio based on your own objective research.