Earnt 6 figures in crypto yet? The problem is, you’re doing it wrong.

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8 insider hacks on how to make money in cryptocurrency and earn out of this once-in-a-lifetime market.

When Web 3.0 began to explode I had that feeling of excitement I had in the late 90s, when I’d yell at my parents to get off the phone so they wouldn’t interrupt my 18 hours of downloading my 3-minute Limewire track.

Decentralization is what’s most fundamentally revolutionary in Web 3.0, the power back to us, the people. The average joe has the ability to change their life in this space. I want Web 3.0 to turn capitalism on its head and stop making the rich richer, however, there is a dark side to all of this and I’ve seen it explode recently. Here’s what you need to know if you’re asking yourself, “how do I make money in cryptocurrency?”

How can I make money in cryptocurrency?
How to make money in cryptocurrency?

I’m seeing project after project make a small handful of people rich overnight. And that handful of people is made up of three textbook stakeholders 1. The VCs and early-stage investors, 2. The team and 3. KOLs and influencers.

You may as well hand over your cash to these people right away rather than invest in these types of projects. Here’s what’s happening, it’s a textbook method and it’s everywhere.

A small team made up of a developer, a marketing specialist, and a community manager hires a designer to churn out some quick NFT imagery. It’s packaged up in some meaningless roadmap WordPress website and all the promising plans for the future, that have no chance of ever seeing the light of day, I’m talking the most mind-blowing BS you can think of ‘we’ve partnered with NASA to land your NFTs on the moon’ that kind of stuff.

The team reaches out to investors offering early access to the project at a significantly low price (e.g 0.01 ETH). Marketing is then fully blasted and hot air hype is created by paid KOLs and influencers and all of a sudden this cartoon pixelated image of a cat with a blunt in its mouth, with a bandana on and gold teeth is worth 0.5 ETH to mint. Wow, you’re on the whitelist and the investors just made the easiest 5 figures they’ve ever made.

What do you think happens next? The team goes quiet, the ambassadors disappear, the influencers who were ‘never fuckin selling’ are shilling something else and soon the only people still believing are those holding their worthless pixelated cat. The floor crashes, you can’t sell, and “that team” who you believed were in this with you are have moved on to bigger and better things.

Covid took away our sense of community and sometimes it feels like NFTs and Discord bought it back, but take a step back and see how much you’re setting yourself up for failure in a space that has so much potential.

The biggest red flags and what should you not do?

  1. Community means everything, and it also means absolutely nothing. Real communities take time to build. Most of us are here to make money. I’m not ashamed to admit that. So when you hear things like ‘it’s the strongest community I’ve ever seen’ all you have is a room full of people desperate to get rich, the investors sit back and laugh as you make them richer, don’t give up your actual life and time with loved ones to grind in these meaningless communities that won’t even be around next year. The smaller, slower, thought-out communities are those that add true value, if you find yourself in a community where there’s 100 messages a second of people going “to the moon” “GM, GM” you’re wasting your time.
  2. The higher the following the warier you should be. Projects go after anyone with a big audience, I’m talking web 3.0 celebs, original Cryptopunks, Apes, and anyone with.ETH and 5 numbers next to their name, 99% of these people are ready to take your money in 280 characters, and why? Because they’re invested months before you even hear about it. Don’t get sucked into KOLs and influencers pushing their BS. It’s all garbage and the only person to gain from this is them.
  3. Forget the FADs, today’s altcoin is tomorrow’s NFT whitelist, there’s always something and you’ll always feel like you’ve missed out. There are a lot of fake ‘I’ve won big’ tweets out there so stay true to what you believe is a good project and be patient.
  4. A term that sends shivers down my spine is, “We haven’t even done our marketing yet! This project will explode once we do.” Ergo, we can’t afford marketing, what we tried didn’t work, we’ll be rug pulling soon and moving on to the next cash grab.

So what should you do to make money in cryptocurrency and Web 3.0?

  1. If you believe in Web 3.0 and you’re smart enough to be reading this, know that you’re early in this space. For starters, consider working for a Web 3.0 early-stage project, ask for equity, ask for tokens, and get involved in something you believe in. Design, build, create and manage. These projects are in desperate need of people and many you can do on the side of your current job. Work on something that helps the world not robs everyone of their money (it’s tempting but be one of the good guys).
  2. Think longer term. Cash grab projects are everywhere and the media love projects that go up 100x overnight (that could have been me!). Good projects take time and thought, they’re the marathons, not the sprints. Web 3.0 isn’t a casino.
  3. Follow VCs and look at the types of projects they’re getting into, if it’s P2E gaming do your research, see what’s being backed, and look to do the same.
  4. Look at projects that make things better or change consumer behavior. For example, I invested in a company that allows users to monetize their data, so if your information is sold on (as it is every day in Web 2.0) you can profit from that. Your portfolio needs these gems.
  5. Sometimes projects do well for no reason, they have no utility people just relate to the design. Set aside a small amount for these types of gambles and get involved in the communities to see how much traction they’re getting. You only need one to pay off.
  6. Speak to people in the space, Twitter Spaces are amazing to hear about up-and-coming launches. The Nifty do an incredible space called NFT Daily that’s pretty much all whales and big buyers, you’ll hear about good projects in there.
  7. Be hyper-aware of scammers, the space is sadly rife with people trying to steal your stuff, protect absolutely everything with layer upon layer of passwords and hard wallets.