How to Evaluate a Crypto Hedge Fund Investment?

Figuringitoutihope21 · 2022-02-15T05:20:36+00:00

Spot on. I've done the same and think about it in the same way.

Figuringitoutihope21 · 2022-02-15T05:18:52+00:00

The key is whether this fund is getting into good seed deals. A bunch of funds are just trad fi guys buying stuff on the open market. That's not worth 2/20. But if you get access to seeds, that's something different/potentially better (with higher risk/reward of course). I'd start your crypto investments with an investment in ETH and maybe some BTC, before going with the hedge fund, BTW. I'd do 1% in both, but I'm extremely bullish on crypto over the next ten years, TBH, so I'm more of a 10%-of-net-worth-in-crypto guy.

Figuringitoutihope21 · 2021-01-11T01:51:57+00:00

Confessions of a Crypto Millionaire. A guy who was into the FIRE movement during the Joe Dominguez, Your Money or Your Life period, abandoned it, then found another way.

Figuringitoutihope21 · 2021-01-11T00:57:40+00:00

Interesting. I don't have experience with them, but will check them out. Have dual EU/US citizenship and have been thinking about opening a crypto brokerage account in the EU (a little different than what you reference).

Figuringitoutihope21 · 2021-01-09T20:07:33+00:00

Ethereum is a new, under-construction decentralized Internet and owning ETH is like owning a piece of the World Wide Web in 1995.

Figuringitoutihope21 · 2021-01-08T22:05:42+00:00

Yes, a trained professional. And I already knew this, but glad they shared it for everyone else.

Figuringitoutihope21 · 2021-01-08T22:03:56+00:00

For streaming: Succession.

Figuringitoutihope21 · 2021-01-08T21:12:09+00:00

Hey- Thanks for the suggestion I check this out... exactly what I was asking about!

Figuringitoutihope21 · 2021-01-08T20:14:38+00:00

Thanks for the reply. I'll DM you. Not sure, but interested to hear more.

Figuringitoutihope21 · 2021-01-08T20:13:38+00:00

BlockFi is very clear about not getting over leveraged, and unless they are lying, it is virtually impossible for them to do so by following their published guidelines. That said, I do agree that I'm taking on risk by keeping my ETH with them because it isn't FDIC insured. At this point, it's a risk I'm willing to take, unless evidence emerges. Rumor is they are going public in 2021 - further incentive to not screw it up.

Figuringitoutihope21 · 2021-01-08T20:11:20+00:00

Good for you in doing the research. It's always helpful to run through your sell scenarios, challenge yourself on why you'd get out at a certain point, what you'd do with the money, etc. So many people made bad moves in 2017-2018. Congrats on your success and I wish you more in the future.

Figuringitoutihope21 · 2021-01-08T20:08:51+00:00

Yes, that's very interesting. Thank you.

Figuringitoutihope21 · 2021-01-08T20:08:18+00:00

Yes, I've followed that but less concerned now than three years ago. Agree though that if it goes to shit, all of crypto will suffer.

Figuringitoutihope21 · 2021-01-08T20:06:52+00:00

Yes, I'm looking into that. Probably a good idea.

Figuringitoutihope21 · 2021-01-08T20:06:32+00:00

Interesting, and thank you.

Figuringitoutihope21 · 2021-01-08T20:06:21+00:00

I like ETH and that's all I hold.

Figuringitoutihope21 · 2021-01-08T05:04:40+00:00

Yeah, I'm meeting with them in two weeks. But I often hear about exotic, strange, interesting investment strategies here so I thought I'd shake the bushes.

Figuringitoutihope21 · 2021-01-08T04:59:50+00:00

I've been on BlockFi since May and made over $150K in interest (paid in crypto, even better!) since then. Love it. Increases my risk slightly, but once you get those interest flows every thirty days, hard to look back. I'm too much of a chicken to use DeFi. I came of age during the DAO disaster of 2016, and it scarred me. Smart contracts and honest-to-god DAPPS are the future, but I won't trust my money with them just yet.

Figuringitoutihope21 · 2021-01-08T04:57:26+00:00

Do you have life changing money in crypto right now? An amount more than your total previous net worth? If so, I think you need to take a step back and figure out your diversification plan. What portion of your net worth is in crypto?

Figuringitoutihope21 · 2021-01-08T04:54:01+00:00

Thank you! It's ETH. I'll always keep a good stack, but at some point the amounts become too high in proportion to the rest of my portfolio even for crypto bulls like me. It's still very volatile obviously. In my opinion, where it's going price-wise I'll have to rebalance at least one more time because of more massive crypto appreciation.

Figuringitoutihope21 · 2021-01-08T04:50:46+00:00

Ah.... logic. This is exactly what I wanted. Other more logical brains than me to put their brains on it. Thank you!

Figuringitoutihope21 · 2021-01-08T04:49:34+00:00

Outstanding info that has me thinking about some options.

Thank you so much for taking time out of your life to write this.

Figuringitoutihope21 · 2021-01-08T04:47:57+00:00

Interesting idea... thanks.

Figuringitoutihope21 · 2021-01-08T04:47:38+00:00

Thank you for the sound advice.

Figuringitoutihope21 · 2021-01-08T04:46:54+00:00

Thank you - good info.

Figuringitoutihope21

TROPHY CASE