My Crypto Budget
Here’s my crypto budget …and why you need one too.
Have you ever wanted to do something but didn’t have the money to do it?
Have you ever wanted to invest in an upcoming project or launch but didn’t have the funding available?
Did you forget to plan ahead?
Do you need to feed your inner FOMO?
(Be careful. FOMO can kill sometimes.)
Well, here is a strategy that I’ve started using and you may want to use as well…
(NONE OF WHAT I WRITE IN MY ARTICLES IS TO BE TAKEN AS INVESTMENT ADVICE. I am not an advisor for this nor am I suggesting any financial action on your part. DYOR)
Why do we need a crypto budget?
If you are like me then investing in crypto can be an emotional experience.
Sometimes, I see an opportunity and have to take advantage of it immediately! I get all excited about how it might work and the kind of profits I might make. It’s like waiting on Christmas and it feels like it takes forever before I can jump into this new investment.
If I’m smart then I’ll take a few minutes and rethink my decision before I spend all of my money.
Or maybe it’s like shopping at Walmart…
There is just so much out there. So many things to buy. So many things to turn for a profit. It can be over whelming. They all look so good!
If your not careful it could turn to bad quickly and all your money will be gone.
It is then that we realize we need some moderation, or maybe a little more self control.
This is what a budget is for. It is not a six-letter curse word. It is a set of rules that you decide to operate you funds within and around.
A crypto budget can save you if the project “rug pulls”…and may keep your investment from getting totally “rekted”.
Use the K.I.S.S. method
Simple is usually easier to follow.
You can make your crypto budget as simple or as complicated as you would like. I tend to try and make my simple. It keeps me from missing something and screwing it all up.
More moving parts means it may be harder to follow.
The more complicated you make it then the more chances there are for you to forget something and then kick yourself in the rear later. It has happened to me several times in the past. Maybe one day I’ll follow my own preaching...
Keep It Simple Stupid! (K.I.S.S.) — This is what I need to hear…
My Crypto Budget
Before I get started, I just want to say that I’m still very new to the cryptoverse, and am still a very small fish in a very large sea (full of giant whales swimming around).
So what is my crypto budget?
Dum roll please…..here it is….
- Have a portion of my work check deposited into a separate checking account that is also separated from all the other household bills. I don’t want to lose my power bill on a rugged investment.
- Have a small portion of that deposit put into a savings account at that same bank. I may need it for a larger investment one day.
- Have a large portion of that deposit invested into crypto investments.
- Leave the rest in the checking account as a small buffer.
So that’s the theory. Here are the actual numbers…
- $150 is deposited from my work check into a separate checking account at a separate bank twice every month.
- $25 of that $150 is then immediately transferred into a savings account at that same bank. This is for any larger future investments that I may come across.
- $100 of that check is then invested into Polygon, or Eth, using Coinbase. You can find out what I do with it after it gets to Coinbase here.
- $25 is then left in the checking account to be used as a buffer, till next time.
Therefore, I have $200 available to invest into crypto every month.
My savings account grows slowly @ $50 per month and I have around $50 per month as a buffer in that checking account. I already had some other money in that checking account. So I try to keep it from going below a set amount, while still investing into crypto.
This gives me pause and makes me think about how to use my crypto investments more carefully.
Hopefully, I’m learning and not making as many mistakes as I used to in the past…time will tell…
Why so small?
Well, a wise man once said that if you can be faithful with a little then you can be faithful with a lot. Luke 16:10.
I realize that I still have a LOT to learn and I don’t want to lose a large amount of money all at once. So I’m starting off small and growing into something large. This will take time.
Learning takes time…the longer it takes then the more I can learn.
It also gives me hope for the future. If I can do it using a small budget then so can anybody else!
This means that we all can do it!!!
Where’s the Beef?
Where’s the beef?
So, it’s all theory until it meets reality.
How has it been working in the real world (of crypto)?
How has this worked for me so far?
I started putting this budget into place a couple of months back to see if I could do it. I then started tracking my weekly withdraws from all my investments. This also let me see projects that I needed to rethink my strategy.
It started off very small but has grown larger ever since…
As you can see in the screen shot above, at first I was only withdrawing around $30-$40 per week ($120=$160 monthly). Now I’m averaging around $60-$70 per week ($240-$280 monthly), in withdraws. All this in only 2 months of tracking!
Imagine what it might look like in a year!
Notice: Not all of my withdraws are profit. I’m still getting to ROI on several investments.
This growth is partly because of the success of the different projects I’m invested in but, also because of my consistency through my crypto budget.
Now What?!?!?
Well, that is a good question.
Now what are you going to do with your crypto budget? Are you even going to make and follow one or just keep winging it?
So for me and my crypto…I’ll try my best to stick to my budget and continue to grow.
I’ve seen it work for me in the past 2 months. Now I’m looking forward to seeing it work for me next year.
Let me know what you think of my current crypto budget and how your doin things. Maybe we can learn from each other.
It’s going to be AWESOME!!!
Update…
You can see how I spent my $100 crypto investment, from this budget, in the following article.
As always, thank you again for reading my articles.
It is much appreciated.
Till next time…
Now following anybody that interacts with my articles… God Speed!
If you would like to see what investments I’m currently active in then go read my referral link article.
