Over the past several years, after going through some very shady stock market manipulations by short sellers, I decided to learn, study and implement a cash flow investing strategy. I became so focused on it that I pretty much ignored anything that could be considered even the least bit speculative. I wanted to only buy investments that I knew when I bought them what the return on investment would be. Like everything I do, when I make my mind up I get super hyper focused and often can’t see anything else.
For a couple hours per week I help my wife out at our nutrition club whipping up high energy teas and healthy smoothies for customers, when Lance the landscaper came in. I’ve known Lance for several years, he’s been a regular, and we are in the same Entrepreneurial group – and he’s a super nice guy. I know based on conversations at Entrepreneurial club that he’s had some significant struggles in his landscaping business, mainly with employees. Attracting and keeping solid, hard working loyal workers in that business is tough, and Lance was constantly feeling the same pain.
We got into a conversation about Bitcoin and cryptocurrency as I was just starting to hear more and more about it, and Lance told me that he bought 10 Bitcoin back when it was $1,000 per coin. It was at $20,000 when we had that convo, and quickly thereafter jumped to as much as $58,000. Lance the struggling landscaper took $10,000 and turned it into $580,000. I knew right then and there that I HAD to change my mindset. It was time to start going after some exponential returns. It was time to stop grinding out only small and predictable returns.
I didn’t rush out and buy Bitcoin at an all time high. FOMO (Fear of missing out) is a really terrible emotion for investors. It causes us to buy things when they are hitting peaks instead of buying them when they are on sale. So I started doing research and subscribed to some experts who study crypto and have been for years. I followed their suggestions, spread my allocation across multiple alternative coins (alt coins are everything but Bitcoin), and was prepared to just hold for 5–10 years waiting for the alt coin market to heat up. Well, I didn’t have to wait very long. Within a month my portfolio was up 100%. It’s very volatile, so it can swing quite a bit from even one day to the next. However, I don’t care. It’s a small % of my overall net worth, but it has a chance of growing exponentially. If all of my crypto goes to 0, which is unlikely – the greater chance is that it’s hacked and stolen – then my cash flow producing investments will replace everything I’ve put into crypto within a year. Never risk your current lifestyle for a better one. When you follow my 7 step strategic plan, you won’t ever get knocked out of the game. Sure, you may get stung a bit, but you’ll recover quickly. This is a great lesson in being open minded, and understanding that ANYONE (even Lance) can be a teacher.