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What You Need to Know About Approaches to Making Money in Crypto

· 2 min read

There are only two global approaches to making money in cryptocurrency:

  1. Speculative (trading)
  2. Investment (long-term holding)

I’m talking about approaches, not individual methods of earning.
Specific methods (staking, liquidity provision, yield farming, etc.) will be covered later.

1. The Speculative Approach​

Most beginners choose this path — and it’s usually a huge mistake.

Why? Because almost all crypto media (YouTube, Telegram, social networks) is filled with:

  • Leverage trading ads
  • “Which coins to buy to get rich quick”
  • Courses from “successful traders”

Newcomers naturally try trading because it’s the first thing they see.
Their goal: earn as much as possible, as quickly as possible.

📉 The result?

  • They lose their deposit.
  • Lose interest in crypto.
  • Leave the market altogether.

Why Speculation Fails​

  • 95%+ of traders lose money within a year.
  • Trading is extremely risky.
  • Only a handful succeed — those with years of experience and strategies they never share.

⚠️ For beginners:

  • Avoid leverage trading.
  • Avoid “high-yield tricks.”
  • Speculation almost always ends in losses.

2. The Investment Approach​

This means buying strong fundamental assets (like Bitcoin or Ethereum) for the long term.

Why It Works​

  • Outperforms nearly all speculators chasing quick profits.
  • Builds wealth gradually instead of chasing hype.
  • Much harder to lose money compared to trading (though portfolio value will fluctuate with cycles).

📌 Reality Check:

  • Your portfolio may drop in value for months or years.
  • You won’t become a millionaire overnight.
  • But long-term, simple accumulation wins.

The Key Takeaway​

  • No easy, fast profits in crypto (just like in any other field).
  • Those chasing quick wins always lose.
  • Long-term investors with strong assets steadily grow wealth.

My Experience​

I’ve followed the market since 2016.
Every cycle, I see the same pattern:

  • People arrive during bull runs.
  • Try to get rich fast.
  • Lose everything.
  • Leave with nothing.

Meanwhile, patient investors accumulate and survive.

Final Advice​

  • Speculation = high risk, high chance of losing it all.
  • Investment = long-term wealth with patience and discipline.

👉 Build a well-structured portfolio of strong assets.
👉 Invest in yourself first — skills, knowledge, analysis.
👉 Blindly following others always leads to losses.
👉 Create your own strategy.

💡 As Warren Buffett said:

“Don’t buy an asset for 10 minutes if you’re not ready to hold it for 10 years.”

Disclaimer: These materials are created for educational purposes only and do not constitute financial advice.