Ever since I started investing in cryptocurrency, I realized just how easy it was to make money in this market. For me personally, I have tripled my initial investment of $7,500 dollars to over $24,000 dollars in less than two months.
Perhaps, I invested in an opportune time when the market was undergoing a heavy upward trend. It may be true that I was also lucky. Whatever the case was, my investment was not an outlier in the market. My cousins, who I convinced to invest in cryptocurrency, also had positive results of doubling their money.
In my last article, I wrote that it is important to think multiplicative in terms of investing in cryptocurrency. The gains that you make are all the same. It doesn’t matter if your one dollar investment becomes two dollars or one thousand dollars investment becomes two thousand dollars. They are the same in that your investment increased in value by a factor of 2.
Understanding how common it was for your investments to double in value in this market, a great idea occurred to me. If I had an initial investment of say $50,000 or $100,000; then tripling that amount would have given me $150,000 and $300,000 respectively!
This is a large sum of money, and if possible, is extremely life changing. I don’t know how long this market will continue its parabolic upward trend in price. What I do know is that the cryptocurrency market is relatively new, so I wanted to take some risks.
After a month long extensive study of cryptocurrency and experimenting with my own portfolio, I finally felt competent enough to ask my parents, uncles, and aunts for the initial capital needed for investing in cryptocurrency.
This was the start of an entrepreneurial endeavor by me and my cousins.
Turning an Idea into Reality
During my process of learning about cryptocurrency, I joked to my 16 year old cousin Crystal that we should start an investment firm in this market.
Initially, the idea was merely a joke. I thought about it on occasion, but when my portfolio started to grow crazily, I reconsidered the idea.
When I learned about cryptocurrency, I realized that it has enormous potential to transform the whole financial world. It was also extremely fun investing in cryptocurrency. The crypto-market is basically stocks on steroids. It is gambling with absurdly good odds on your side if you do your proper research.
Yes, the value of certain cryptocurrencies could go up 1000% in a day. It is also possible for some coins to lose their entire value. I don’t find any of this intimidating. In fact, its volatile nature is exactly what makes cryptocurrency so fun.
Learning about how to invest in cryptocurrency is easy. It is simpler than any college course I have ever taken and the returns are so many times better. I told my cousins that they may never use calculus in real life, but they could totally apply proper analysis and research on finding which cryptocurrencies to invest in.
Because the crypto-market isn’t fully adopted by people, you can tell that the technologies being developed are still in its infancy. The technologies are not user friendly. People have difficulties buying altcoins, which are any cryptocurrencies that are not Bitcoin, from other exchanges. There is a plethora of stumbling blocks for new users to understand what to do in this market.
Even the basic understanding of a coin’s price is misinterpreted. For example, people could look at Ripple’s price of $2 per coin and said that it could reach Bitcoin’s price of $15,000 per coin. This will never happen because there is a total of 100 billion Ripple coins in existence compared to only 21 million Bitcoins. If a Ripple reaches $15,000 per coin, then its market capitalization would be 1.5 quadrillion dollars. That value is many times more than all the wealth in the world combined!
When I learned more and more about cryptocurrency, I began to write my proposal for investing in this market. I knew that in order to successfully ask for money, I needed to show my relatives that I was serious about this endeavor. What my cousins and I did were as follow:
- Wrote a business plan and translated it to Chinese
- Wrote about our current portfolios to show convincing statistics and growth
- Created a limited liability company by filing for paperwork & a company email
- Created a business bank account
- Created an institutional account for major exchanges like GDAX and GEMINI
- Learned about the general taxes in cryptocurrency
When the tasks were completed, my cousins and I finally gathered all our paper documents and pitched the ideas to our uncles, aunts, and parents. It was pretty nerve racking trying to ask money from others. But due to our conviction, hard work, and plan; we’ve convinced them. They agreed to loan us $50,000 to invest in cryptocurrency.
Introducing Li Zheng Cryptocurrency Agency LLC
To me investing in cryptocurrency isn’t all about making money. It’s more about learning and being good at something. It’s about developing one’s competency. It’s about helping my cousin Crystal create a wonderful college transcript. It’s about helping my cousin Jeff experience life beyond computer games and anime.
There are countless skills in life that people can learn. Some skills pay really well and some skills don’t pay at all. Learning how to invest in cryptocurrency is an easy skill to develop that also pays handsomely. There are major risks involved, but all business ventures have risks. Nothing is guaranteed.
Our vision in investing in cryptocurrency is a simple one. Don’t chase coins that promise the world with gains of 100 times or 1000 times. Simply invest in solid coins that have long term potentials and can change the world for the better. It is as simple as that.
In the beginning, we will only invest our relatives’ money. We guaranteed them that within a year we will return their initial investment and half of the profits. If in a year, the value of our investments went down, we will still return their initial investment. They will not experience any loss in investment, our company will. Our customers will only experience a win-win situation. They won’t have to take on any risks.
If we are successful in our investments, we will gather more investment funds from friends and distant relatives. The goal is to only take on investments that we can return even if the entire market falls to zero. We will further diversify our assets by liquidating small percentage of our cryptocurrencies monthly into stocks, properties, and others. These are all future options that we are currently looking at if the business is successful.
You know the funny thing about starting our company? Ever since I wrote my documents to convince my relatives to invest in cryptocurrency, I have others asking me for the same documents to convince their own relatives to invest in cryptocurrency.
I have included my documents below. If you are Chinese like me and wanted to convince your conservative Asian parents and relatives about investing in cryptocurrency, you can take the ideas from them. The information below is quite dated since the crypto-market changes rapidly. But you can customize the documents by adding your own research and portfolio to cater to your own use.
Have fun and enjoy the process. Best of luck to you too.