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43: Why CRYPTO Does Not Break My Investing Rules

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Everyone is on my case about why I’m so excited about blockchain and cryptocurrencies.

Even my wife is giving me a hard time!

“What happened to real assets?” she asks with a smile.

Nothing happened to real assets. My investment philosophy has NOT, in fact, changed.

You see, I don’t see my cryptocurrency trading as “investing” in the first place.

Let’s go back to basics. I’ve always maintained that the key to growing financial wealth is in the following mathematical equation:

Wealth= leverage(MassXVelocity)

Leverage is using good debt—other people’s money or, in the case of Wealth Formula Banking, investing your money in two places at the same time.

Velocity is simply reinvesting your returns as soon as possible (aka the magic of compounding interest).

Mass is how much money you actually invest.

The cruel reality is that if you don’t have mass, the leverage and velocity can only take you so far.

Most financial bloggers and podcasters seem to ignore this issue. If you’ve got no money to start with, you don’t have an investing problem that real estate can solve. You have a MONEY problem.

Now as high paid professionals like most of you, you are in a great position. You already have money to invest.

Use the rest of the equation and your money will grow at the pace needed to get you financial independence sooner than you would via conventional financial means (ie. Mutual funds).

So where am I going with this? I’m not “investing” in cryptocurrency. I’m seeing an opportunity to create SIGNFICANT amounts of mass.

What will I do with the mass if everything works out? I will “invest it” in real assets.

I don’t deny that the crypto market is speculative. It is. But one of the advantages that wealthy people have is that they can take a few of these shots down the field once in a while.

This kind of speculation is referred to as asymmetric trading. The upside is HUGE and the downside is manageable.

If you know what you are doing and you won’t lose your shirt if you lose all your money, I won’t dissuade you from potentially making life changing amounts of money.

Let’s take my example. I started investing in cryptocurrency in September, 8th—my 44th birthday. I started out with 50K then added another 50K a month later.

Yes—I put $100K into something highly speculative. But then again, I could have bought a Maserati and guarantee I would never see that money again.

No—I decided to keep driving my 2008 Toyota Prius that I bought right after residency (gas was $5/gallon is SF!). I’m in the car for a total of 20 minutes per day. What do I care?

So what happened? Well—I had the fortune of knowing some “insiders” in the crypto world and have since even bought some tools with AI technology to help me. The result?… a seven figure crypto portfolio—1000% return in 4 months.

In a year or so, I’ll probably cash out and INVEST in some real estate.

Now listen, I AM NOT telling you to go out and buy cryptocurrency. Don’t do anything with which you are not comfortable.

On the other hand, don’t be hesitant to look into things that could potentially generate life changing “mass” that you can add to the equation.

Skip that doodad for a year and look for something that could blow up.

I guarantee that will be more fun than driving around in a fancy car for twenty minutes a day.

So there you go—my investment principles have not changed! Now can someone explain that to my wife?




P.S. If you make six figures per year and have not checked out the Velocity Plus, make sure to check it out. If you don’t want to speculate–I get it. But there is no reason not to amplify your money quickly and with NO DOWNSIDE.