4 tips to avoid an awkward Thanksgiving as a cryptocurrency holder

Thanksgiving is a time when family and friends get together and count their blessings. It is also when our relatives ask us how our cryptocurrency portfolios have performed since last year.

Unfortunately, most cryptocurrency owners won’t have much to brag about this year. The markets were hit hard by soaring interest rates and a series of bankruptcies of centralized entities, culminating in a staggering price hike. FTX breakdown.

Despite allegations User money theftIt’s still possible that Sam Bankman-Fried will receive better treatment from the media than many people get from their relatives this Thanksgiving – especially if they asked them to invest in cryptocurrency last year.

Under the pressure of disgruntled relatives, many merchants may be tempted to sell their tokens while they are still at the turkey table. That’s why we’re offering some tips to help stockholders get through their Thanksgiving dinner.

Put things in perspective

Bitcoiners are known for their dedication to “digital gold,” and many will share it at Thanksgiving.

It could have done better in 2022, to say the least. Digital assets have lost 71% since last year.

However, it is important to set the record straight. Despite the ups and downs, Bitcoin’s returns have been amazing so far.

For example, in the past six years, the return on investment (ROI) was 2,158%, compared to 49% for gold and 82% for the S&P 500.

Setting the record straight should help avoid any Thanksgiving embarrassment. Cryptocurrency holders may not win this year. But in the long run, they usually lead.

However, Bitcoin’s performance only tells part of the story. Just because bitcoin did well doesn’t mean most bitcoin holders did.

The problem is that most people only invest when the hype is at its peak, which is usually when the market peaks. When prices collapse, they sell, only to return to the crest of the next wave of noise. Instead of buying hype, it is better to do independent research and buy and hold tokens from promising projects.

However, it is also important to be realistic. Ordinary traders don’t know what’s going on with every crypto company and can’t really assess the risks. Here comes the role of diversification.

Diversification is crucial to getting the best returns as a retailer. Investing in multiple tokens will allow investors to benefit from the rise of decentralized technology. At the same time, they will reduce the risks if any of them are compromised.

Talk about technology, not symbols

Talking about specific symbols will inevitably lead to awkward conversations with relatives. Instead of talking about prices and deals, it’s better to focus on the technology’s potential.

Educating friends and families about the importance of self-incubation and how to avoid scams.

Thanksgiving is the time to explain the phrase “Not your keys, not your coins.” It is also a good time to educate people about the dangers of “yield farming” platforms that offer unrealistic returns.

Lack of education is what burned investors in Terra-Luna and FTX. The only way to avoid this in the future is to educate cryptocurrency users.

Don’t talk about encryption

Sometimes, it is best to avoid the topic of cryptocurrency altogether. There’s a reason people avoid talking about money at the dinner table.

Most people don’t just talk openly about their stock portfolios or the value of their home. Why should the encryption be different?

Thanksgiving is a time for family and friends, so use it wisely. At the end of the day, all that really matters is enjoying a stress-free Thanksgiving dinner with your loved ones.

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