You Can’t Buy Happiness… But You Can Buy More Crypto! ☘️
GM! The current world situation is not easy. The recession is around the corner, we have the highest inflation in 40 years, and unemployment is rising. In human history, such a thing happens occasionally, and you, as an investor, have to deal with it.
But such a period does not have to mean only anxiety about the future.
Crisis in the Chinese language is formed from 2 words: opportunity and crisis.
These are 2 sides of the same coin. Understanding the crisis requires dualistic thinking. And we are probably in front of the generational opportunity when it comes to capital allocation.
That’s how we approach the crisis in Ari10: embrace by looking for occasions during tough life situations.
We also create the tools that helps to survive hard times. You certainly can’t buy peace of mind with money, but with wise investments you can positively influence your own well-being and a better future.
In this article, we reveal the positive perspectives for investors & what can potentially be done to avoid the negative effects of the global financial crisis in the coming years. We focus mostly on crypto.
First, we talk a bit about finance, investment and inflation in a general way. Later in the article, we show how to invest in cryptocurrencies without effort and emotions using a special tool & easy strategy.
If you are a crypto investor (especially a beginner), you need to read this:
(1) Quick Recap of The Last 40 Years 🔽
Let’s start with inflation. This monetary phenomenon negatively affects the society in last time. Lack of funds often leads to social problems, stress, depression, anxiety, or insomnia. It’s a massive problem in the modern world when you have to worry about money. Life is easier when you have savings and ideas for a brighter financial future.
Especially in the world of weak currencies.
“Wait… what?”
Repeat after us: weak currencies. In the 20th century, we could exchange dollars for gold in the US. Each dollar was backed by a small portion of physical gold.
When the governments needed more money in circulation, they had to add more gold to the reserve.
However, such a mechanism (called the gold standard) was broken in 1971. 40 years passed by, and here we are when the banks can print more paper money without any reserve. It’s diluting the currency and negatively affecting its owners.
That’s why nowadays people invest in various assets to protect their funds. Whatever it is: stocks, bonds, gold, cryptocurrencies, watches, or alcohol: society puts money into anything to avoid holding cash in a bank account.
Why is that?
Cash is losing its value because its supply is controlled and can be increased.
The supply of gold, bitcoin, or the rare watch cannot be increased, and that’s why these assets maintain their value over time.
(1.1) The TL: D.R. of this paragraph 🖊
The main point here is that you probably feel safer and more secure when you have your investments. Life can become a little easier then.
You don’t have to constantly think about financial problems and struggle with the prospect of an uncertain future. As a result, you can sleep better because you know you’ve done everything to prepare yourself (and your family) for hard times.
When the black swan comes while you have previously made investments, you can face the situation.
There are many investment opportunities available, as we mentioned above. However, in recent months, cryptocurrencies have drawn a lot of attention. People are increasingly interested in investing in the blockchain market.
Are they finally realizing that this technology is the future?
We believe the answer is… yes.
In spite of inflation, smart investments in digital assets can become beneficial in the near future, but early investors may still have obvious concerns and doubts: 👇
(1.2) “Ok, but how to start with investments in crypto? And how to keep up to date with everything that is going on?” 🤔
That’s a vast problem for all busy people. Imagine you have two children, a 9–5 job, and want to learn how to approach the financial markets.
You heard that stocks are complicated, new technologies and blockchain have the potential to grow, and you intuitively feel its the right direction, but you don’t know how to keep up to date with the tech innovation.
When to buy? When to sell? How not to miss the dip? And how to manage all the stuff like exchanges, wallets, and transfers?
Once you learn that, then other problems arise:
How not to lose your mind? How to avoid negative emotions about investing.
And how to have effortless exposure to emerging technologies without a significant time input?
Here is where the DCA strategy smiles at you.
It’s a well-known asset-buying formula used in pension or hedge funds to manage the risk effectively and don’t put emotions into capital allocation.
DCA should be applied to assets that you genuinely believe in the long term (in 10 years or more).
(2) What is DCA? (In Detail) 📝
DCA is nothing more than a dollar-cost-averaging investing strategy. The rules are VERY simple. Pay attention:
Let’s say you have $1000 to invest in BTC.
Instead of making a single purchase, when you risk a buy on the local top, you can split the buying process into multiple purchases (2,5,10, or whatever you want).
Now, the numbers:
- Scenario 1: You bought 0.05 BTC for $1000 (let’s assume 1 BTC = $20k). The price dropped 30% (now it’s $14k), and you have BTC worth $700. You don’t have more money to buy the local dip, so you must wait until the price pumps up or watch the further dump.
- Scenario 2: You split the process into 2 purchases. You bought 0.025 BTC for $500. The price dropped by 30% to $14k. You used the second $500 portion and bought 0.0357 for $500. The BTC price got back to $20k. You have 0.025 + 0.0357 = 0,0607 BTC (worth $1214 now).
Do you understand the game?
When the price of the perspective asset drops, you can get more units for the same amount of dollars.
That’s what DCA is: about averaging the entry price.
The modern DCA 🚀
In the recent century, people used to complete DCA on stocks manually, which took even more time.
Now, when the technology solutions are developed far, you can put in the money, manage the integrations, and the system will buy crypto for you.
Moving back to the main topic: you can’t buy this stability that the investments provide, but you can buy more crypto that can give you… stability.
Fair enough?
(2.1) Why is DCA useful? 🧰
Ladies & Gentlemen, let us introduce the investment world’s biggest enemy: you. And you. And each one of us. Why is that?
It’s all about emotions that often stop us from making a decision. We are scared when the prices fall, and we sell with a loss. We don’t buy more. When it’s rising, we buy more because “it will grow even further”.
Our minds are stopping us from changing our lives through investments.
And again: here is where the DCA strategy winks at you.
This clarified and not-time-consuming strategy eliminates all the emotions connected to the buying process and takes care of your financial freedom.
(2.2) Wait, I can save in FIATs… 🤦♂
Bro, really? The U.S. dollar has lost 13% of its value since 2020.
“The chart number one, please:
What you see is how much the dollar currency lost in value in recent years.
It’s a 86% decrease.
- $1 then — $0,14 now
- $100 then — $14 now
- $100k then — $14k now
- $1M then — $140k now
Of course, you can keep the money in fiats, but it just does not make sense in the long term.
When inflation knocks on the door, your savings are gone.
But then it’s too late to change anything.
And yes: crypto is volatile. Sometimes it drops in price, as with every asset. But the DCA brings you more comfort over a more extended period.
(2.3) DCA vs the past price action of BTC ⚔️
Speaking of BTC: what is its history? How has it performed in recent years?
And was it worth DCA-ing the Bitcoin asset?
“The 2nd chart, sir!”
There you go.
$100 invested in BTC each month for the last 5 years turns your $6000 investment into $23 400 in the current market situation (but it was $87k+ during November 2021, at the all-time high). So when we take the worst scenario, it’s a 290% increase in value.
Now, the other assets: if you completed DCA on the gold or put the money in the savings account, you will now get $6903 (in gold) and $7359 (in the savings accounts).
Not even close, right?
The long-term approach always wins: you buy systematically, and you win when the new bull run comes in.
(3) DCA at Ari10 🛍️
Knowing the DCA strategy and its efficiency over time, we built a tool that even the Ari10 team uses daily. We are strong BTC advocates and want to accumulate as much as possible before the next Bitcoin cycle. That’s why we created a tool that allows us to focus on the day-to-day things & make the tech solution buy BTC for us.
How does it work?
You set up:
- the sum (amount of money),
- the period (how often the system should buy BTC),
- and connect your card.
Then, each month (or each week) the system buys BTC for you.
Your crypto assets are stored in your Ari10 Exchange account and can be withdrawn to an external wallet anytime.
You can start with 100 PLN / month.
Set up an account and give it a try.
PS. Ari10 is fully covered by the regulators. We have companies established in Poland, audited smart contracts, and over 60 team members that care about your safety.
Bet on certain solutions in uncertain times
Invest regularly, have a strategy, and think long-term.
Bottom Line 📝
Thanks for your time! If you want to focus on your career and still have an exposition on the crypto market, sign up for the DCA here.
If you have any questions, feel free to text us on Telegram.
PS. Follow Ari10 on the socials to stay up to date!
