Source: Andrey Didovskiy
Translated by: Golem, Odaily Planet Daily
Intelligence is a broad, relative, and highly subjective variable that humans have yet to adequately quantify. Generally speaking, we classify an organism as intelligent if it is “alive” and “autonomous.” This abstract ambiguity is particularly evident in the field of encryption.
From degens writing papers on the potential value of Fartcoin, to governments exploring strategic Bitcoin reserves, to academics developing complex and useless technologies, the cryptocurrency industry is a huge Pandora’s box of paradoxes.
In this crazy world, there are few winners and many losers. The only simple criterion that determines the difference between the two is a single, simple intellectual metric measured by portfolio performance.
If you want to win in the crypto game, you must stay away from mediocrity. Either you are an IQ 200 Sith Lord (the leader of dark force users in the Star Wars movie series) or an absolute IQ 20 degenerate ape (a mindless speculator), if you fall between these two, you're doomed.
In the crypto world, the greatest insult one can receive is being called 'average intelligence' (not to mention the emotional and financial pain that comes with it).
What is the crypto IQ curve?
Based on the principle of the 'bell curve', the crypto IQ curve is a meme used to describe the intelligence distribution of market participants.
Crypto IQ curve
Very few people are at the two ends of the curve (winners);
Very few people are at the two ends of the curve (winners).
This is the essence of the vicious competition and zero-sum game in financial games.
On the left side of the curve are those with single-cell brains, having almost no self-awareness, with an IQ of 20 'degenerates' (mindless speculators in the crypto industry); on the right side are those with almost supernatural mathematical and social psychological understanding abilities with an IQ of 200 'super brains'; and standing in the middle are those hardworking ordinary people with emotional dependencies.
Further analyze these groups:
Left side of the curve: IQ 20 - 70
Think like a single-celled organism
This bold group is not afraid of taking risks; they are at the forefront of crypto, constantly trying, failing, and learning, but always motivated. These beings are often highly paranoid, sometimes even autistic, but they excel at creating memes and 'CX supporting' each other.
While their fervent dedication makes it difficult to distinguish between 'degeneracy' and gambling, the same energy helps them become diamond hands and the elite group of early adopters of new things. Those on the left side of the curve tend to be emotionally detached; they have a natural inclination to understand human psychology through intuition.
Involved asset types: primarily Meme coins, but also open to all categories
Examples: GOAT, SHIB, SOL, PEPE
Investment philosophy: less is more, Catcoin Gudcoin, HODL, WAGMI (we will succeed)
Yield difference: -99% ← → +10,000% (either zero or freedom)
Will it ultimately be profitable?: Sometimes
Middle curve: IQ 70 - 120
Considered a group for liquidity exit
Those in the middle curve rely heavily on technical analysis/charting tools; they are meticulous thinkers but often immersed in false narratives and do not conduct risky experiments. They do not dare to be the first but always assume they will not be the last. This group of emotionally sensitive top buyers and bottom sellers has many other names in the crypto market: bag holders, retail investors, paper hands, and token holders, etc.
Their existence is crucial to the industry - without them, there are no profits.
Involved asset types: mainly scams and slow-growing assets
Examples: EOS, BTC, HEX
Investment philosophy: buy high, sell low, panic, blame market manipulation
Yield difference: -99% ← → +100% (either zero or a small profit)
Will it ultimately be profitable?: Almost never
Right side of the curve: IQ 120 and above
Alpha individuals
These people are frontier thinkers, even creators of narratives, who predict and control trends.
To join this group, one must possess expertise in knowledge-intensive disciplines such as cryptography, economics, finance, sociology, psychology, computer science, statistics, and others. Those on the right side of the curve have a deep understanding of their emotional state, are fascinated by human psychology, and are very patient. These people do not yield to social pressure, are not afraid of losses or admitting mistakes, and this group of open-minded individuals is very flexible.
Involved asset types: primarily Meme coins, but open to all categories
Examples: SOL, GOAT, PEPE, OM
Investment philosophy: HODL, BUIDL, DCA, no leverage
Yield difference: -99% ← → +10,000% (either zero or freedom)
Will it ultimately be profitable?: Always
Intelligence levels of different populations in various countries
The following data can help understand the average intelligence levels of different countries in the real world:
(The dataset varies by source, so the data below includes the most consistent/persistent information from multiple sources that can be found through search engines)
The average IQ worldwide is about 94 (ranging from 70 to 110)
The average IQ in the United States is about 97 (varying between states from 95 to 103)
The average IQ in China is about 104 (Hong Kong is 106)
The average IQ in Russia is about 96 (ranked among the top four in countries with annual incomes below $10,000)
The average IQ in India is about 77 (possibly influenced by culture and a large population)
(Please treat this data with caution; it is certain that there is some bias in the census methods used to collect and summarize this information. If you are touched by this data, congratulations, you are likely among those in the middle curve position, do not feel offended, but be aware of this.)
What kind of person do you want to be?
Choose extreme left or extreme right? (No intention of using political puns), you can choose your own preference. However, due to human nature's arrogance, many will believe they are on the far right, while some may not care (investors on the left), but the fact is that the vast majority will ultimately find themselves in the middle position.
'A person chasing two rabbits may catch neither.' No matter which side you choose, remember that mediocrity is the only wrong answer.
Understanding where you really stand?
While judging asset types alone is a strong indicator, accurately quantifying a person's position on the crypto IQ curve requires considering multiple factors, including their emotional and psychological state during the decision-making process, logical reasoning (or lack thereof), ability to handle social feedback, and the final outcome of decisions. Ultimately, it is about maintaining objectivity, being honest with oneself, understanding your risk tolerance, and taking action.
Step out of your comfort zone, that's where the seeds grow. May peace, love, and absolute abundance come to everyone (no matter where you currently are on the curve).