You asked Crypto de’ Medici on Twitter and he replied.
What are some of your favorite books?
My favorite books are biographies. I focus on studying how the best became the best and adopt the insights gained from their life to apply it to mine. I read some fiction to help expand my mind, but the overwhelming majority of books are non-fiction.
Favorite books for trading and investing:
Intelligent Investor – Benjamin Graham
Common Stocks and Uncommon Profits – Philip Fisher
Reminiscences of a Stock Operator – Edwin Lefèvre
The Alchemy of Finance – George Soros
Favorite books in general:
Meditations – Marcus Aurelius
33 Strategies of War – Robert Greene
The Sovereign Individual – James Davidson
The Power of Now – Eckhart Tolle
How to Get Rich – Felix Dennis
Evolutionary Psychology – David Buss
Titan: The Life of John D. Rockefeller, Sr. – Ron Chernow
The First Tycoon: The Epic Life of Cornelius Vanderbilt – T.J. Stiles
The Power Broker: Robert Moses and the Fall of New York – Robert A. Caro
My Life in Advertising and Scientific Advertising – Claude Hopkins
Xenophon’s Cyrus the Great: The Arts of Leadership and War – Xenophon
Napoleon: A Life – Andrew Roberts
There are many more books that I recommend, but these are some of the ones that have had a big impact in my life.
What are your thoughts on Bitcoin Private’s value VS Zcash and Monero?
Bitcoin Private will have a higher market capitalization than Zcash and Monero. Bitcoin forks have started to dwindle in terms of market acceptance and interest, but Bitcoin Private is a different type of fork. The fork will harness the power of two communities, Bitcoin and Zclassic, to create a cryptocurrency that is held by all bitcoin users and has the privacy technology of Zcash. The community support and technology will help propel it to be higher than Zcash and Monero. It will be the second best-supported fork behind Bitcoin Cash.
You have mentioned that you were in College. Have you graduated and do you plan to do a masters degree or will crypto make it unnecessary?
I graduated two years ago. I did not enjoy the educational part of college and would never go back. Waste of time and money. The price of college keeps going higher and higher while the value of going there keeps going lower and lower. Don’t fall into the trap of chasing higher credentials if it just keeps burying you in debt and not providing any necessary life skills.
I’d recommend anyone looking into college or graduate school to think long and hard about where they want to be in 5-10 years and if what they are getting themselves into is necessary. Many would do better interning or doing an apprenticeship with someone doing what they want to do in the future.
You said in the podcast with “Tales from the Crypt” that the crypto market progressed too fast and you expect a crash. What would you say would have been a reasonable amount of time for the market to grow where it did? A few months, years?
There is no reason to this madness. We are at a stage in crypto development where there is a lot of speculation, interest and little adoption. It’s too early to see the impact that crypto will have on the world, but in terms of speculation and market growth, it will keep going upwards. Crypto is in a stage of massive growth because of the untapped market that hasn’t heard of it and the interest that it is gaining.
What is your favorite underlying privacy tech and why? What do you think is the next ETH and why? And, what are your favorite resources when doing research?
I like the zerocoin protocol. The ability to mint a coin with no transactions and not connected to your last address is important and beneficial to any projects that use the technology. The key will be privacy-centric projects that are able to have their cryptocurrencies integrated with other projects by providing their privacy features.
I don’t like to think about what will be the “next ETH” or “next BTC” as it automatically closes the mind to think of such projects instead of thinking of where the overall market is heading. ETH, when it was started, wasn’t expecting ICOs to be this big. The same will happen with ETH and other projects in the next few years. What will happen is that there will be many projects that grow as fast and strong as ethereum did. Which? No idea.
Favorite resources when doing research is past research. Having a solid and in-depth understanding of the core tenants and variables of the market. This helps to put a bigger picture to your current research and start figuring out where the assets fit in the overall market. The reason I stress research and doing it well is that it all adds up.
When will BCH overtake BTC?
I wouldn’t rule out Bitcoin Cash overtaking Bitcoin. If Lightning Network isn’t able to be adopted and scaled fast enough to beat Bitcoin Cash then Bitcoin Cash will be able to gain on it. This fight will be played out for a few years. Both are very strong projects and should not be played down.
Which Altcoin are you most bullish for in 2018, and why?
Zcoin. I am most bullish on the privacy sector and zcoin is a top 3 privacy cryptocurrency with only a $200 million market capitalization. 2018 will be a great year for it.
What’s in your bag?
XZC, ZCL DASH, ETC to name a few.
Has your position on Bitcoin Cash changed with the initial growth of the lightning network/transaction fees getting lower?
No, it hasn’t changed. If anything I am more bullish on bitcoin cash because of the initial growth of the lightning network. I do not expect it to gain widespread adoption for another few years which will give bitcoin cash the necessary time to catch up to it. It all comes down to the on-chain scaling. It is easy for people to transact through it and use it. Most people have no idea how to work and use the lightning network and until it gets extremely easy then it won’t get used by the mainstream.
The problem with this is that people won’t want to transact bitcoin because on-chain is too expensive and slow (when congested), this will push it to other assets that are easy to use and cheap. Bitcoin cash has the benefit of having low fees on their network, Bitcoin doesn’t. That will be big down the line.
Thoughts on the future of ICO and how it’s getting harder to join the good ones
ICOs will start to move towards the venture capital model again. The excitement and inexperience made ICOs raise money from anyone in the world and while that will still be possible, the restrictions will be greater and investors more selective.
ICOs will care more about the future of their project than just raising money. Raising money is the easy part, the difficult part is taking on a group of investors that will help it become a strong project. The investors and organizations that can provide the most value to ICOs will be those that get in on the deals. The average investor will not be taken in anymore as value becomes more important than financial value.
How many years until the crypto market stabilizes and becomes boring?
It will never be boring. There will always be many opportunities to make and lose money in the market. It will become less volatile in the next 5-10 years but don’t expect much of the assets to stabilize and the growth of the overall market to continue going upwards.
On average, how many positions are you in, and for how long?
Usually, I’m in 10 positions. 5-6 long-term investments that last at least a year and 5-6 investments that are short-term swing trades that last a few months. I do little short-term trading unless the opportunity presents itself. I try to keep my positions to a minimum to stay concentrated on what I know.
Is it worth learning to day-trade or is it better just to invest long term?
Try it all. Figure out what your natural strengths are in relation to the market and whether you’d make a better short term or long term player. I lean towards recommending beginners towards investing in long term because it requires you to actually do research and learn to understand the assets. Something that doesn’t usually happen to beginners when they begin to day-trade.
Which metrics do you use the most when evaluating a new project?
Technology, development, community. Technology, development of that technology and how the organization of humans is built around this technology.
Do you think crypto could divide humans into factions like we see in some dystopian books?
Humans are already divided into factions. We all have opinions on everything and usually, a disagreement in opinions causes friction and separation. Crypto is just expressing what humans have always been expressing. The rich will get richer, the poor will get poorer and the opportunity to move from poor to rich will be greater than ever before. I’m optimistic in the future because I see value trumping any type of credential that used to be necessary. Any individual that wants to get ahead can if they focus on building up their value. But most won’t.
It seems you know the market better than anyone else. What’s your strategy to be 1 step ahead?
It seems I know the market better than others because I focus almost exclusively on the long term. This makes me need to figure out which trends will come and how the market will react to them and which assets will benefit from it.
If you want to be one step ahead you need to have a solid understanding of what is happening now in terms of the assets. Understand the market on a deeper level and observe the market participants and what they are doing. When you understand the market and its participants you are able to see what trends and narratives are currently at play then start working your way into figuring out how those trends will develop and evolve. Knowing the big narratives and trends at play and the motion of where they are now and heading will give you the areas that you can concentrate your time, effort and money on.
What’s your short-mid term strategy that involves holding tether and buying dips?
Know you are playing it short term and know when to get out before you get in. If the circumstances change then you adjust and adapt to the situation. I only get into short-term plays if the upside is significantly higher than the downside and only when the opportunity presents itself. This means that I do few short-term trades and when I do I buy with fiat, wait, sell with fiat and then either get into another asset or move out of the exchange. Rarely do I hold tether for long. I don’t trust it.
What is your opinion on masternode and staking coins in general?
Masternodes and staking are great, but not perfect. They are great at building a strong community of people that have a vested interest in seeing a project succeed. It’s one thing when you buy part of an asset and another when you buy part of an asset and make money holding it. The making money by holding it makes the participant more likely to become a community member and become emotionally tied to the asset.
The best part of something like masternodes is the ability to become part of the governance system by being able to vote through masternodes. This will become increasingly more common and will change the way cryptocurrency projects are managed.
The systems that are currently implemented in different cryptocurrency projects are in its infancy and why they aren’t perfect.
What strategies do you use to re-balance your holdings and how often do you do that?
I rarely re-balance my holdings. The only time I re-balance them is when fundamentally the asset(s) I am holding has changed or when the market seems to be weakening. I strive to have very unbalanced holdings because that shows how well I’ve succeeded in picking the right investments. If an asset begins to take a large stake in the portfolio I decide to take some out if it matches the situation at that moment and if there are better opportunities elsewhere.
It’s all based on the situation and what is happening in the market
In the event that USDT collapses (disabled/removed from exchanges etc) what would your strategy be in order to minimize rekt-ness?
Disclaimer: This post is not financial advice and reflects the personal views of author. The author invests in digital assets and has positions in the aforementioned cryptocurrencies. This article should not be used as investment or financial trading advice. Please conduct careful due diligence before investing in any digital asset.