Charlie Shrem: Invest for the long term in crypto market and have fun with it
Founding member of Bitcoin Foundation Charlie Shrem advices crypto owners not to pay attention to the recent crypto market decline and continue long-term investment.
“Cryptocurrency may be notoriously unpredictable, but don’t let the price volatility deter you from investing”, he announced in an interview to Yahoo Finance during the MoneyShow conference in San Francisco.
Addressing starting investors, Shrem stated that the probability of getting profit increases, if investors do not sell digital assets for 5 years in a row.
Those who are thinking to invest in digital assets at this moment should probably follow Shrem’s advice, which is selecting from 10 or 20 cryptocurrencies those that are attractive and conduct deep research.
“Any crypto you’re going to buy, hold for five years. Say, ‘I’m going to lock this, and this money is locked for five years. There’s a high probability you’ll come out ahead in five years, because usually, these bull and bear markets go in two-year cycles”, he stated.
Smaller investors should be cautious and avoid pouring all their money into crypto. Instead they should try smaller amounts. Shrem explains this vigilance with the volatility of crypto market where values can suddenly go up and down.
“I always tell people if they want to get into crypto, ‘How much money, if you lost it right now, would you be OK with?’ ‘$500,’ they tell me. So invest $500 in a basket of crypto, and then just have fun with it. Just enjoy it, learn. There’s a lot of good ones: Bitcoin, Ethereum, Dash, Litecoin. Just learn what makes them different.”
Shrem who was sentenced to 2 years in prison for assisting the operation of an unlicensed money-transmitting business related to the Silk Road marketplace in December 2014, last year became the business and community development director of Jaxx and founded cryptocurrency advisory CryptoIQ.
Earlier in May, he wrote in his blog that he is in love with Bitcoin because it is an independent movement not controlled by anyone. “I see a need for a financial system that’s controlled only by the market itself. This is why I hold Bitcoin long-term, along with other privacy related coins”.