Working Towards Financial Independence
The Bear markets as we all know now are all about growth and capitalizing on the cheaper prices to get ahead. Back in 2022 once we realised the Bull market was over plans were put into place to have 10 x passive income streams. This would exclude Hive as Hive is a different type of investment as it requires constant involvement unlike all the others.
Lets just say within the first few months it was quite apparent that finding 10 passive income streams in Crypto that had real use cases was going to be tougher than expected. Finding even 5 was a tall order and I settled on 3 eventually. I am sure more will be added after many months of research as this is seriously time consuming even though it is also interesting to learn about each crypto project and what it offers.
The next problem was a strategy to grow the 3 selected investments as do you buy a little of all 3 each month slowly growing each bag? That strategy I tried and common sense told me to grow one at a time as the risk was too high of not achieving much.
The assumption is we have another 3 years before the Bull market is at it's peak give or take a few months so we have the time available to seriously grow out dollar value. We should have more ups than downs over the next 3 years as prices will steadily rise making growth a little harder.
If I had bought a little of each every month the chances of missing the 3 targets set out were very high. My calculations told me the best method is to knock one target off at a time a bit like you would do when clearing debt. By knocking one away it would free up more for the next one making growth that much easier.
I was reassessing where I am currently with my 3 targets and they are sitting at 51%, 10% and 5% which is fine for now. I selected them in order of where I think they will be due to the development happening in each project giving me rough timelines of when they will become more relevant. This is why I do the research not only knowing where the teams are heading but also giving me an idea of how long I have before they are properly adopted in the real world.
A prime example is VET or VeChain as I believe we are still 2 years away from seeing the numbers really start to move. The outside world is not quite ready for what they have in store and this will take time even though adoption is taking place daily. The 2.8c valuation is nowhere close to where it will be in 18-24 months and expect adoption in real use cases to multiply that many times over. This is why VET was parked off sitting only on 10% as the time pressure is not there right now.
COTI which is my main concern currently is sitting on 51% and expect to reach close to 90% by the year which also happens to be under time pressure. The price is going to move before the end of the year and need to achieve this as soon as possible. This has taken a good 16 months to get this far and the final 49% should be faster due to having a larger stake earning the APR on offer.
The timelines I am aiming for is January 2024 investment 1 to be completed in full followed by 6 months on invest 2 and another 12 months on investment 3. This will bring me to the middle of 2025 which is still a long way off, but only around the corner when broken down in timelines.
Each investment offers it's own unique challenge and on paper look easy to achieve, but are monumental tasks achieving them. If this was easy then the value would not be there so this is about making a difference by building a portfolio that will have serious value within 3 years.
The easy way would just be to invest $25k now and be over and done with it, but who has $25K lying around as I don't. Crazy numbers that if each investment just does a 10 x this would be a $250K portfolio achieved within 3 years. I do expect more however and why these projects have been highlighted as the real use case crypto investments for the future. Just one of these projects could achieve that number on their own so this is serious business and serious numbers as the goal is to become financially independent at some point in time.
Posted Using LeoFinance Beta
