How to use compound interest

For example, not all investments generate compound interest (unless you reinvest over and over again)

Like a mining machine #bitcoin if you spend 1000$ and it generates 150$ every year, compound interest is not being created, or with a machine that sells gum, if you spend 200$ and it generates 100$ per year, they may be high returns, but interest is not being applied compound.

First year $250

Second years $250

Third year $250

But for example if you buy #bitcoin and one share and they give you a return of

30% annually.

The first year you invested $1,200

For the second you will have $1,560

The third 2028$ y will continue to grow like this on your capital at the moment.

That is why it is important that in investments with compound interest you invest most of your capital as soon as possible and create passive income little by little.

Of course there are strategies like DCA and putting your cryptos clearly in Earn.