Crypto portfolio update

Exposure: 100.0%

Net return: 692.2%

Comments: In what is arguably the most significant crypto event since the first Bitcoin block was produced... the SEC has just approved spot BTC ETFs. 🎉🎉

This marks the official recognition of Bitcoin as a real asset (and not a "scam") by the US government. Soon, billions will flow into these BTC ETFs with hundreds of billions more in the coming years.

So... does this mean one should just buy BTC now?

Well if one has a time horizon of more than a year then my opinion is 'Yes'. Most people will outperform the average crypto investor simply by buying BTC and doing nothing else for the next 18 months.

ETH is also a good choice if one is willing to take on more risk for higher potential returns.

But if you're a degen like me and are looking for >5x gains... you'll have to turn to altcoins. There, things are a lot more complex and risky.

There's no easy approach to altcoin investing and - as history has shown - the vast majority who attempt it lose money. This is why I don't recommend it for most.

Personally, I'm getting into altcoins because:

• I have 15+ years trading experience
• I made it out of the previous crypto cycle with multiples of my initial capital
• This coming cycle is going to be the last one for retail investors to 'make it'

The last point is a major consideration.

With the Bitcoin ETF approval, the institutions are finally here. This means the days of 10x, 20x, 50x gains are coming to an end... and crypto returns will normalize to become more TradFi-like.

As the industry gains legitimacy, the potential returns get diminished.

So in this coming cycle, I'm on a quest to hit my target 'FU-money' and then disappear under mysterious circumstances in a boating accident.

If you'd like to join me on this journey, get in my private alpha group.

Current allocation:

🌔🔫 SHRAP reflections

In a prior newsletter I wrote about Shrapnel - a web3 game that I think will be a hit.

Since then, I've come to learn a few things about the SHRAP token.

For one, I learned that DWF is the market maker... which concerns me due to the suspicious performance of other tokens they've been involved with (one can easily look it up).

I shared all my thoughts with the private group ~20 days ago, adding:

For some reason there's a major lack of transparency regarding the SHRAP token and the devs/mods don't seem interested in clarifying the details.

In the Discord server, SHRAP token holders are treated more like an unwanted nuisance than a valued supporter. Among all the gaming Discord servers I'm in, this one makes me feel the least welcome and least supported.

So while I think Shrapnel is going to be a fun game, I'm less certain about the SHRAP token being a worthwhile hold.

The TLDR is (shared in the private group some weeks ago):

The more I study Shrapnel from an investment perspective, the more it appears that value will mostly accrue to VCs and players at the expense of SHRAP holders.

This is not necessarily a bad thing for the project... but it's certainly not a good thing for token holders.

For better or worse, this is how things are turning out and there's no reason to believe it will change any time soon.

The bottom line is: If you wish to generate a return from Shrapnel, the best approach is probably to be a dedicated player/content creator/curator. Holding SHRAP might not be the best approach.

Admin update

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💪 You can still make it

Saw this image I'd like to share with you. Feels appropriate as we enter a new year/new cycle.

Though this cycle is likely our last chance to 'make it', it's still early days and there's plenty of opportunity/time left.

Keep fighting and don't give up 💪

 Quote of the week

Man cannot remake himself without suffering, for he is both the marble and the sculptor.

- Alexis Carrel

Thanks for reading, and have a great weekend.

Cheers,
Slowmad

P.S. If you have any questions or feedback, let me know at: chris[at]digitalslowmad[dot]com