Here’s What NOT To Do With Crypto...

Cryptocurrency is one of the hottest topics of conversation in the market today. January 29, 2022 [Turn on your images.]( Here’s What NOT To Do With Crypto… Cryptocurrency is one of the hottest topics of conversation in the market today. People are calling it the future of finance and predicting that crypto will revolutionize the way we do business. But just because cryptos are the future doesn’t mean they guarantee everyone overnight success…and that’s a lesson billionaire Mark Cuban and football star Odell Beckham Jr. are finding out the hard way. If you want to get in on crypto…don’t do it like this. But it’s not all bad news. We’d also like to introduce you to someone who DOES know what he’s doing. --------------------------------------------------------------- [Turn Your Images On] [Mark Cuban Learns A Powerful Crypto Lesson The Hard Way]( Shawn Ambrosino Three months ago, when I first decided to invest in cryptocurrency, I did it mainly because the one thing I knew about cryptos was that I knew next to nothing about cryptos. Sure, I knew what it was and I understood the basic idea behind it all, but I had no idea how it worked, how it reacted to the market, what NFTs were, what DAOs were, or even the best way to invest. Now, I still feel like I know nothing…but from a slightly more informed position. Does that make any sense? I feel over the past three months, I’ve put a couple of drops in a very big bucket. There is still so much to learn about how Blockchain technology works, and even more to learn about profiting from this volatile investment. I’ve done about as much of a deep-dive into crypto as a beginner can, and I’m still only doggy-paddling around the surface. [Turn Your Images On] Case in point, my terrible timing of jumping into the market at what could only be described as the worst possible time. Lessons Learned All Around I got in RIGHT before the crash, but up until that point, I wasn’t doing too bad. In fact, even now, even after [crypto’s Black Friday]( I’m still doing pretty well, and at least one of my investments is still in the black. The same can’t be said for everybody… Especially Mark Cuban, the billionaire reality-star owner of the Dallas Mavericks. Mark Cuban seems like a fun guy… [Turn Your Images On] And even more, he seems to know what he’s doing with investments…most of the time. But this time around, he’s run into a bit of a snag with crypto. “The Cubes” learned a powerful lesson about DeFi the hard way, losing a small fortune on it thanks to his lack of knowledge. I guess they didn’t go over that innovation on Shark Tank, eh? Now, that’s not to say that Cuban is a dummy or that he doesn’t know how cryptos work. He’s actually quite proficient with cryptocurrency. What I’m saying here is that even if you know what you’re doing, you can still not know ENOUGH about certain aspects of certain investments to be successful. Small, key factors could mean the difference between feast and famine when it comes to DeFi. And if Mark Cuban–a crypto expert, by all accounts–can fall victim to it, then it’s understandable that people like us make mistakes. Mark Cuban’s $200,000 Crypto Lesson You see, Cuban revealed recently he had experimented with something called “yield farming,” where he bought up a cryptocurrency called Titan and then “lent it” back to the platform. Basically, he injected it with liquidity and would have made money on the interest, much like a bank giving somebody a loan. But then, soon after, Titan crashed, leaving Cuban holding the bag. [Turn Your Images On] Cuban told the New York Times, "I made money as a liquidity provider and lost money as a speculator. I should have done more homework on it." Isn’t that the key to everything? More knowledge? Again, if Cuban, a crypto expert, can get railroaded, then every single one of us can… And that thought is kind of reassuring. The token dropped from around $60 a coin down to zero in just ONE day after crypto whales dumped their holdings and caused panic, leading to a massive selloff that left many people dumbfounded. Especially Cuban, who wound up losing about $200,000 when all the dust settled. And while that may be chump change to him, I bet you dollars to donuts he was just as angry about it as you and I would be. His takeaway from it all was that it’s WRONG to invest in a coin that has no reason for existence. Basically, Titan didn’t have a purpose. It was a crypto for the sake of being a crypto, and so, there was nothing keeping flying straight. Cuban told Bloomberg after the whole fiasco, "The thing about DeFi plays like this is that it's all about revenue and math, and I was too lazy to do the math to determine what the key metrics were.” And there you have it, straight from the horse’s mouth–quite apropos, given the name of the team he owns. His lesson was learned… But we can learn from that same lesson and put it into practice. We should be thanking him…though I’m sure he doesn’t want to hear about our gratitude. --------------------------------------------------------------- [Turn Your Images On]( --------------------------------------------------------------- [Turn Your Images On] [NFL Player FORCED To Take Involuntary Pay Cut Thanks To Crypto]( Shawn Ambrosino This may surprise a lot of people due to my history as a collegiate football player (Let’s go, UCF Knights!), but I don’t watch the sport. I don’t watch the NFL, I don’t watch the NCAA, I don’t watch anything. About 15 years ago, I had a “come to football Jesus” moment when I realized I was wasting too much emotional energy on games and teams that gave me absolutely NOTHING in return. “But Shawn… what about pride? Doesn’t it give you a sense of pride when your team wins?” No, as a matter of fact, it doesn’t. NOTHING I did contributed to that team’s success or failure. They give me nothing…and I just sit and watch. So, I decided to stop giving them anything in return. I’m sure the Buffalo Bills and the Fighting Irish of Notre Dame are doing just fine without my money or my moral support through my TV, so don’t feel too badly for them. I know what you’re thinking about me right now… [Turn Your Images On] And though I’d like to tell you that it’s NOT true…maybe it is. A Sports Story For Crypto Fans That being said, it’s rare that I’m even interested in a sports story these days. I was never the biggest fan of baseball or basketball either, so if it’s not a combat sport, I tend not to pay attention. But every once in a while, my interest is piqued. I just found out that Odell Beckham Jr., perennial all-star wide receiver for the LA Rams, decided to take part of his salary in Bitcoin when he signed his latest contract, and I found the idea intriguing. As it turns out, Beckham had his entire 2021 salary converted into the cryptocurrency…all $750,000 worth. At the time of this announcement, it was very forward-thinking. Crypto was soaring, and given then Millennials like Beckham are at the forefront of crypto popularity, it just seemed like a natural fit. Of course, back in November, Bitcoin hit its all-time high of $69,000, so making that deal made a lot of sense. The problem is Beckham didn’t factor in the volatility of cryptocurrency–and after [DeFi’s Black Friday]( the salary he was so proud to have converted into Bitcoin has taken a hit. Three months ago, Bitcoin was sitting pretty at about $65,000; today, Bitcoin is hovering around $37,000, which means that Beckham’s $750,000 salary has been reduced by almost HALF! Could you imagine? Watching Bitcoin’s decline has been tough enough, but watching what happened on January 21st was just painful. The only thing that could have saved Beckham was the time he made the conversion to crypto. It’s unknown whether Beckham moved the $750,000 in Bitcoin in one lump sum or over multiple conversions, so it’s actually a little difficult to figure out just how much the football star has lost. But it could be even worse than imagined. How Does It Get ANY Worse? Just Wait… Why? Because Beckham plays in California, one of the highest-taxed states in the union. That means his salary would already have been cut down by more than half due to federal and state income taxes taking a whopping 50.3% of his earnings. Of his $750K base, factoring in the losses due to taxes and Bitcoin’s crash, Beckham is walking away with about $218,000. That’s about $420,000 LESS than the league’s minimum. Ouch… Let’s you know that investing in crypto isn’t for the faint of heart. [Turn Your Images On] However, when Bitcoin finds its footing again and is able to climb above $100K, as many experts think it can, Beckham will look like a genius despite having egg on his face for the time being. I hope it works out for him, not because I’m a fan, but because I want crypto to make a comeback! Mostly because I’m a good person that refuses to take joy in the misfortunes of others… But also because I’ve got some skin in the game too, and I know how it feels to watch my money disappear. I’m all heart, you know? --------------------------------------------------------------- [Turn Your Images On]( [MaaS Will Ignite a Historic $1.8 Trillion Tech Boom]( Silicon Valley is betting BIG on what is expected to be the biggest change to transportation in over 100 years. Not since Henry Ford started rolling cars off the assembly line have we seen a development this big. [Details here…]( --------------------------------------------------------------- [Turn Your Images On] [Did He Really Make a Ten-Year Return of 1,422%?!]( Since 2012, Adam O’Dell’s Home Run Profits has scored an overall return of 1,422%. That’s enough to turn $3,000 into nearly $43,000 had you reinvested along the way ! With a track record like that, he’s so confident that he has set an incredible goal: you’ll have the chance to average a triple-digit gain of 100% or more each month. [Click here]( and take a look. --------------------------------------------------------------- For more quality content like this, and to learn more about the Money Moves team, visit us at [( Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or [whitelist]( within your spam settings. For customer service questions or issues, please contact us for assistance. The mailbox associated with this email address is not monitored, so please do not reply. Your feedback is very important to us so if you would like to contact us with a question or comment, please click here: [( Legal Notice: This work is based on what we've learned as financial journalists. It may contain errors and you should not base investment decisions solely on what you read here. It's your money and your responsibility. Nothing herein should be considered personalized investment advice. Although our employees may answer general customer service questions, they are not licensed to address your particular investment situation. Our track record is based on hypothetical results and may not reflect the same results as actual trades. Likewise, past performance is no guarantee of future returns. Certain investments carry large potential rewards but also large potential risk. Don't trade in these markets with money you can't afford to lose. Money & Markets expressly forbids its writers from having a financial interest in their own securities or commodities recommendations to readers. Such recommendations may be traded, however, by other editors, Money & Markets, its affiliated entities, employees, and agents, but only after waiting 24 hours after an internet broadcast or 72 hours after a publication only circulated through the mail. (c) 2022 Money & Markets, LLC. All Rights Reserved. Protected by copyright laws of the United States and treaties. This Newsletter may only be used pursuant to the subscription agreement. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of Money & Markets. P.O. Box 8378, Delray Beach, FL 33482. (TEL: 800-684-8471) Remove your email from this list: [Click here to Unsubscribe](