Why Are You In Crypto?
If people were, to be honest, the main objective is to make money. However, the motivation or reason behind this agenda is actually rather important. If you are employed full-time and are looking to further cushion your nest egg, you are in an entirely different situation than the person who has chosen to generate a living working in the Crypto space. Investing and trading for future gains is a great way to make money but it does, however, have an element that is not income friendly. You may be thinking that “making money” and generating an income are exactly the same but they are actually quite unique. I used the term “Income” in the title of this post because it is inherently different from gains or profit.
A Simple Distinction
When you look at trading or even short to medium-term investing you will find that there is a dynamic at work that limits your performance. This is quite simply, the market! An investor can sit out an extended sideways market that generates zero gains. On the other hand, someone looking to generate a monthly income does not share that luxury. Many are sometimes jealous of those generating a living in the Crypto market. However, their viewpoint is oftentimes romantic and isolated. They see the benefits, especially the freedom but they do not remove the aspects that they so easily take for granted. Just arriving at work every day secures a paycheck at the end of the month. A Cryptoneur on the other hand can arrive and perform only to see very little, especially if his income model is solely reliant upon trading.
An Essential Element I Have Found Beneficial
I have played around in markets for many years and as a result, my journey began solely as a trader. As I began to gain more knowledge of the space my viewpoint and approach began to expand. This eventually encouraged me to diversify into as many approaches as possible, as well as securing the strategic approach of passive income as the ultimate goal. This has encouraged me to explore as many aspects and avenues of Crypto as possible. When your income model is diversified it becomes a lot easier to generate consistent income.
Give Trading An Allocation
I definitely would not exclude trading as an income source but I would also not rely on it. Let’s be honest, trading can really pay off, especially if you are skilled and experienced. However, your skills mean nothing when the waters of the market are as flat as a lake, or worse, going against you. I definitely advocate utilizing trading as an income-generating tool but not in a large capacity. When you are looking to generate a consistent income you need to be placing the most focus on the approaches that also have a high level of consistency.
Similar To An Investment Portfolio
Unless you have truckloads of money to put to work in the Crypto space, you will have to diversify into multiple avenues of income generation. This is how you will be able to ensure multiple income streams that ultimately come together to create a significant amount. Many are lost on this concept due to the preconditioning of salary dependency. For some, it is difficult to imagine a salary coming from multiple places. The paycheck mindset has truly taken root. If that is the path you have chosen to take then there is no issue. However, if you are looking elsewhere then you will require an independent mindset.
An income portfolio requires strategic structuring similar to an investment portfolio. One has to seek out viable options, as well as synergetic coordination. Creating and establishing an income system can be very rewarding on so many levels. This often leads to further creativity, drive, and passion, which ultimately initiates the provision of abundance. Enjoying what you do is always a contributing factor to success.
Unless you are a well seasoned and skilled trader, generating an income from trading alone can be a very challenging approach. I would not personally advise it but then again that is simply my opinion. Ultimately, you are wanting to secure as much passive income as possible. This will ultimately enable further growth and experimentation. Once the passive income arm of your model is strong enough to sustain your lifestyle, you have arrived at abundance! This now means that any income that is earned outside of your passive model is surplus and can be utilized to further grow your income, or be used as disposable income. The most important aspect to remember is that continuous income is imperative for success.
Thanks for the visit! See you in the next one!