Here are 31 pieces of wisdom I wish I could send back in time to myself. 1. Taking profits and putting them into riskier bets isnât taking profits - thatâs just gambling. Lock your profits into BTC, ETH, stablecoins, and fiat. Most degens fall into this trap without stopping to think they hop from one project to another in the end, they either lose their gains or accumulate losses.
#ETH #BTC #Stable 2. Projects with cults can be extremely profitable. Just get off the rocket ship before it inevitably crashes. You must leave when the ovation is loudest, there's no brotherhood or group love , everyone gain comes from the next man, the moment thinks heats up, you ned to take your gains out.#community 3. Locking tokens for additional yield isnât worth it. Nothing worse than being tied down to a sinking sink. Remember investors who couldn't take their capital during the Luna crash cause its all locked down, the tiny gains aren't worth it. Trust me!.4. Protect your attention at all costs. You already have limited time and energy, donât waste it keeping up with the latest Crypto drama. 5. Be careful overoptimizing yields - thereâs no such thing as a free lunch. You stake the coin, earn yield, and then auto-compound those yields. Every additional yield comes with more risks.6. Be skeptical of every piece of advice you see on CT - everyone has an agenda. Are they shilling a project to pump their bags? Are they spreading misinformation to game the Twitter algorithm?7. When thereâs a new narrative, be biased towards the market leaders. They have the 1st mover advantage and mindshare. The best beta plays are the forks on hot, new chains.8. Being obsessed with the latest tools is a form of procrastination. You donât need to use 50+ tools to make it. The biggest guys are simply using Etherscan, Debank, DeFiLlama, etc. âI fear not the man who has practiced 10,000 kicks once, but I fear the man who has practiced one kick 10,000 times.â - Bruce Lee9. Thereâs an information food chain. Builders > VC / Insiders > Whales > bots > manual traders who receive news early (<1 min) > manual traders who receive news late (> 1 min). By the time everyoneâs shilling it on Twitter, itâs too late. Trust me friends, its too late!..10. Alpha boils down to 2 things: having access to inside information or being able to do the hard work that others are too lazy for. People underestimate how far you can go by simply keeping up with a protocolâs medium articles and their discord.Time for a break , congrats if you read up to this point... 11. Everything repeats itself, just repackaged slightly differently. Improving at DeFi is all about pattern recognition. For example, if certain influencers start discussing projects, theyâre trying to attract exit liquidity.12. Position yourself early and let the gains come to you. Anytime you feel FOMO is a sign that you might be too late.13. Viewing your gains and losses as portfolio % rather than $ will help keep you rational. Itâs hard to remain clear-minded if you equate your trades with IRL purchases.14. Cut your losers aggressively. Set a stop loss and know when to exit a trade before investing. Donât let small losers turn into big ones because of the sunk cost fallacy or emotional bias.15. Record everything. Write down what happened daily in Crypto, your trades, mistakes, and lessons. This is how you improve your mental algorithm.16. Donât overrate fundamentals in a bull market. All logic disappears, and people buy based on hype, emotion, and speculation. See the industry as it is, not how you think it should be.17. Incentives can drive prices. People buy when there are expectations of future profits. This can be affected through airdrop speculation, locking tokens for additional rewards, ecosystem incentives, etc. 18. Donât put anyone on a pedestal. All the âsmartest guys in the roomâ like Alameda and 3AC got rektâed. No oneâs too big to fail.Protect your funds when there are insolvency rumors. If youâre right, you saved a ton of money. If youâre wrong, you were inconvenienced for a few minutes.19. Itâs not about being right or wrong. No one bats 100%. Itâs about maximizing the upside when youâre right and limiting your losses when youâre wrong.20. Narrowing your focus is an underrated edge. No one can keep up with the entire space. Pick a few sectors and stay on top of them.21. Keeping up with Macro is overrated. Just monitor capital flowing into the markets to see when weâre back. Your time is far better spent elsewhere.âThe track record of economists in predicting events is monstrously bad. It is beyond simplification; it is like medieval medicine.â - Nassim Nicholas Taleb22. Donât touch crypto if youâre on tilt, drunk, or sleep-deprived. A single mistake can erase years of hard work.23. Stablecoins arenât as stable as you think. UST collapsed, and USDC had the de-peg scare. Storing your dry powder as fiat in a TradFi bank is entirely viable.24. Concentrate your portfolio if you want to grow it - Diversify if you want to keep it.25. Develop systems - these rules and frameworks will prevent emotions from killing your games. These can include how you take profits and when to invest.26. Thinking you can 100x your portfolio through trading is unrealistic. Itâs not 2016 anymore. 99% of people are better off trying to find ways to increase their cash flow and putting more goals in the fire.27. The crowd prefers new projects and narratives - not your 2021 bags. Donât fight human nature. Its like swimming against the tides, dont do it, flow with the ocean. Be formless my friend, like water đ§, if you put water in the cup ,it becomes the cup, if you put it in a jar , it becomes the jar. Be like water -- Bruce Lee28. Be skeptical of every piece of advice you see on CT - everyone has an agenda. Are they shilling a project to pump their bags? Are they spreading misinformation to game the Twitter algorithm?Look out for yourself. 29. Stop limiting yourself to Crypto content. Youâll learn much more from studying game theory, behavioral economics, and psychology than reading the 9th article on EigenLayer.30. The best projects have elements of both fundamentals and pumpmentals. Pumpmentals capture the attention, while fundamentals give people a reason to keep holding.31. The unknowns, unknowns are deadly. The founder gambles with the treasury, or the anon founder has a shady past. You can't predict them. This is where profit-taking, bet sizing, and portfolio management are your most critical defenses.There are plenty more lessons to share, but weâre reaching everyoneâs attention span limit.Remember, there are exceptions to every rule. These are some of the principles Iâve learned, and some of them may change as I learn more. The markets are choppy. Itâs easy to feel down about DeFi, considering all the disasters in the past two years.I still have the highest conviction in DeFi - Iâve staked the next decade of my life on it. Why? I see its potential. Efficiency. Transparency. It enables a new world where we have more control over our hard-earned money.If youâve learned something from this,give me a like also share with others, you can let me know about your own experience in the comment section.