RE: Build A Crypto Portfolio That Will Stand The Test Of Time
Nice idea. In time it will be good to see how this becomes integrated into a wider portfolio view of the world. For me, crypto remains part of the risky part of my portfolio to which I allocate no more than 10%. Included in this 10% are all the new business ventures and crowdfunding type things as well. For the rest of my portfolio I have an 80:20 split between stable returns and asymmetric returns.
Within the crypto space, I have taken a slightly different approach because I do not have enough time and resources to do the analysis required to work out who the likely winners and losers are going to be. I have basically split the portfolio into 4 parts
- Mined/Earned coins - BTC, ETH, ZEC, EXP, STEEM, SBD
- Top coins - I used the idea of the next 8 for this covering coins ranked from 15 downwards to add to what I am already mining
- Rising Stars - coins that have arrived in the Top 200 in the last 2 months. I built 3 portfolios of these and I invest equally in them.
- Trading coins - I am using trading bots to trade. I focus the trading on coins with sufficient volume - this covers a wide slice of the top 50 coins.
As crypto becomes more mainstream and as my holdings grow, the 10% allocation will change. My STEEM holdings alone are driving that.
You can read about my approaches in my Steemit posts http://mymark.mx/BehindTIB5, http://mymark.mx/BehindTIB6, http://mymark.mx/BehindTIB7, and http://mymark.mx/BehindTIB9.
Yeah, the sheer amount of coins to research is something that one person cannot do. I do like your categories here, looks like a very good way to break them down into sectors.
Thanks for the resteem too!
I will read deeper into your method....interesting.
Incredible way to split the coins imho! What coins are you mining atm? and do you think it's worth to mine? I don't have any mining rig, i would have to use my GTX970 to mine
Coins I am mining are BTC, ETH, ZEC, EXP, CLUB. I use mining pools to do it. ROI's are not fabulous (certainly less than 5% per annum) but I like the way that coins grow independently of the way markets go.
I should start doing it but mining with a GTX970 would just spend more money on the electrical bill then i would get coins... wish i had a solar panel to power my pc xD
Mining pools via cloud or via hardware?
I am cloud mining through Bitclub Network (not available in US), Lifestyle Galaxy, Hashflare and Genesis-Mining.
My favourite is Lifestyle Galaxy.