I am Nam, someone who was once very passionate about technology and the opportunities that cryptocurrency promised. Two years ago, I began my investment journey in the cryptocurrency market with great expectations. But this experience also brought a valuable lesson that I will never forget.
Starting With Hopes
I started my investment journey by purchasing a small amount of Bitcoin and Ethereum, the two most popular currencies in the market at that time. Their prices kept rising, and I felt like I was on my way to becoming a successful investor. My belief in the market's continuous growth led me to expand my portfolio, even borrowing money from friends and family to buy more currencies.
Every day, I watched the price charts with excitement and anticipation. The resounding success stories from other investors only reinforced my belief that this market was a "life-changing" opportunity. But I did not foresee the risks waiting ahead.
Market Collapse
Things started to go wrong in mid-2022. The cryptocurrency market, which was expected to continue growing, suddenly plummeted. The price of Bitcoin dropped from a high of $60,000 to $30,000, and then continued to decline. The smaller coins in my portfolio also suffered a terrible loss in value.
Even though the situation was dire, I still believed that this was just a correction, and the market would soon recover. Instead of selling to cut losses, I decided to hold on and even buy more in hopes that the prices would rise again.
But in reality, the opposite was true. The value of my assets continued to plummet as many cryptocurrency projects failed and major exchanges collapsed. I not only lost all the invested money, but also fell into debt.
Facing Reality
The moment I was forced to sell the remaining coins was when I realized I had lost everything. My investment assets, which at one point were worth hundreds of millions, now amounted to a negligible sum. I had to face my family's disappointment, questions from friends, and my own self-blame.
Looking back, I realize that I made many serious mistakes:
Not researching deeply enough: I invested based on intuition and trends without understanding each project or the underlying risks.
Too greedy: Instead of taking profits when prices were high, I plunged into further investments thinking that prices would keep rising.
Using borrowed funds: Borrowing money for investment caused me to lose financial control and the pressure to repay debts became a burden.
Lack of a clear plan: I had no risk management strategy or exit plan in case the market collapsed.
Lessons Learned
This failure not only caused me to lose money, but also served as a profound lesson about investing:
Research thoroughly before investing: Understanding the product, project, and market is of utmost importance.
Do not use borrowed money for investments: This helps minimize risks and avoid losing financial control.
Control emotions: Do not let greed or fear dictate decisions.
Set specific goals and plans: Always have a clear strategy and stick to the original plan.
Continue Learning and Moving Forward
Although I lost everything, I did not let this failure defeat me. I began to learn more about personal finance, risk management, and other forms of investment. At the same time, I focused on improving my work skills and earning more income to pay off debts and gradually rebuild my future.
The investment market, whether in cryptocurrency or any other field, is always full of opportunities but also carries many risks. I share my story as a reminder to myself and a warning to those who are or will step into this market: Always be cautious, keep learning, and remember that investing is not a quick path to wealth, but a journey that requires patience and deep understanding.
