Why I’m All In: Memories of the 90s

I was a day trader in the mid-late 90s and was heavily invested in the tech sector. The crypto market has a lot of similarities to the dot.com boom because, back then, we were chasing infrastructure for the greatest returns. Research went into companies laying the foundations and learning about their technology. Why bet on Cisco, it was about TCP/IP. Xerox? Networking. Qualcomm? Mobile communication hardware. Checkpoint? Cryptography and security. The fools bets, but some of the quickest money, was in the shaky business models with a lot of marketing. Thin pets.com.

What I see today are companies laying the really raw foundations of a new economy. We’re evaluating raw infrastructure and future standards. Ethernet vs. Token Ring. Those are the ETH, the ALGO, the ADA, the L2’s. Best execution, not first movers, are the winners.

And the market may have multiple strong competitors. There’s more than 1 cloud. There was more than 1 app sever company. It’s prudent to diversify into multiple peers.

But trends do change. More innovation and disruption will happen and you have to be paying attention. There’s no hold at any price strategy. Apple won’t rule forever, neither did IBM or Oracle, Facebook is cracking. A market crash like 2001 and 2008 wiped out huge swaths of the market, drove consolidation and redundancy and led to new innovation. Crypto crashes will happen in shorter cycles and be more volatile due to the faster pace of innovation and desire for higher risk. Your portfolio should be prepared to turnover. Know when to take profits on cryptos who may be vulnerable.

These are the kinds of early investing opportunities to a new revolution that only come by every once or twice a generation.

I’m all in.