The market had a great bull run last year. We saw Bitcoin and many altcoins reaching all time highs last year. There was even a post on Reddit showing an investment of $100 each in the top 10 coins on coinmarketcap.com at the start of 2017 will yield $42,700 of profit. Given my great luck with Ontology ($ONT) and the profit I had because of it, I decided to do the an experiment on sub 1 USD cryptocurrencies.
Experiment on Sub 1 USD Cryptocurrencies
Why sub 1 USD you ask? In my experience, these coins have more room for growth price wise compared to coins with higher price. A good example here would be Ripple ($XRP) from last year. A friend asked me if Ripple was a good investment because of its low price then. I told him no and my reason was because of the high market supply of $XRP. I even told him I doubt the price could go beyond $1.00. Those words haunted me few months later when $XRP’s mooned.
In this experiment, I’ll be purchasing roughly 0.01 BTC of each coin/token from Binance. I will also download their respective wallets and store the coins/tokens there for at least a year. I’ll be monitoring their prices and will provide a Google Sheet and a weekly blog update. I’ll also be updating both Telegram and Twitter for any relevant events or updates on the coins/tokens I’ll be investing in.
To make things more interesting for me, I chose 9 crypto at random which I have no idea with and 1 crypto which I am very fond of which still meets the sub 1 USD criteria. The 9 coins/tokens I randomly picked are the following:
- Zilliqa ($ZIL) – 0.00001167 BTC each
- Status ($SNT) – 0.00001411 BTC each
- IOSToekn ($IOST) – 0.00000617 BTC each
- Storm ($STORM) – 0.00000705 BTC each
- Substratum ($SUB) – 0.00009302 BTC each
- FunFair ($FUN) – 0.00000524 BTC each
- Nucleus Vision ($NCASH) – 0.00000524 BTC each
- Enjin Coin ($ENJ) – 0.00and 001705 BTC each
- Time New Bank ($TNB) – 0.00000688 BTC each
Out of all these 9 cryptocurrencies, I only have traded $FUN and $NCASH for a very short period of time because of some events I saw at coinmarketcal.com. Other than that, I almost have no idea what some of these crypto are for. Since I invested on them already, I’ll dedicate some of my time to these cryptocurrencies and create a least one post for each one.
I chose Cardano ($ADA) as the last cryptocurrency in this list. I consider $ADA as great project with good fundamentals and a solid project team. Their scientific approach with regards to their development and their regular monthly updates gives me a sense of security on how they handle things. The whiteboard discussions presented by the team is also very helpful in understanding the fundamentals in their very complex project. I’m bullish for $ADA in the long term.
Investing in a very volatile market such as cryptocurrencies is very high risk. As a constant reminder, only invest what you can afford to lose. For this experiment, I invested a total of 0.09815364 BTC or roughly 891.50 USD based on current Bitcoin price.
I’m not expecting anything great out of this experiment. I could either end up being richer by a few hundred dollars or I could end up losing all of my initial investment. Either way, this should be an interesting year for me.