Panicking about the recent drop in the cryptocurrency market? Don’t. This is a market correction that should be expected after a long period of exuberance, and long-term is the name of the game when we’re talking about wealth building investment strategies.
Provided that you have confidence in the future of a market, buying during a trough is a fantastic way of generating exceptional future returns. So while many people may be panicking about the crypto markets, it is our opinion at The Token Fund that you should use this opportunity to double down on your investment and buy assets while they’re relatively cheap. You can see from these charts that BTC and ETH have a history of volatility, but overall they steadily march upwards in price over time.
The cryptocurrency marketplace is volatile due to growing pains, but many of you are familiar with the dot.com boom of the 1990s, and then the web 2.0 boom that happened in the mid 2000s. Investors who chose not to participate probably got acceptable returns on traditional investments, but few saw the kind of jaw-dropping ROI that diversified tech investors and VCs saw during these booms. That is what you’re looking for, amazing returns, and it is our goal as fund managers to provide them to you. If you hesitate to take advantage of the opportunity that cheap assets provide, you will likely regret it later when the market rebounds.
More than one famous successful investor has provided a variation of this quote, “Find out where the herd is going, and go somewhere else if you want to make the best plays.” This is very much applicable in the current environment. You must ask yourself this question: “Is there any fundamental flaw or underlying weakness in the blockchain and cryptocurrency industry?” The answer is no, there is not. Of course there are projects that have raised exceptional amounts of money that are going to be exceptional failures, but that’s the case in any market, and is the reason why The Token Fund diversifies our holdings. We believe in reaching for moonshots that we feel have a good chance, but we also mitigate risk by investing in tokens that have inherent value to them.
We’ll leave you with this advice: if you want to take advantage of the next great technology movement, which is blockchain, the time to act is now. Yes, there is more risk than sinking all your money into real estate and index funds, but there is also the potential for a far stronger ROI. Real Estate and stocks are not cheap right now, but cryptoassets are undervalued. This is why the team here at The Token Fund is confident that you’ll be satisfied with the results if you let us help you grow your portfolio of blockchain holdings.