Thread by @wilxlee

my personal defi guide
🧵👇

lots of have asked what i did with my investments since selling right before nft winter.

so here it goes.
(the full break down)

https://twitter.com/wilxlee/status/1449176999893766146?s=20

i believe #nft + #defi is interlinked and must be understood in order to do well in the crypto market. its how money flows.

think of it like surfing a wave.
- read the weather, see the waves
- get in position
- when the right wave comes
- paddle like crazy and surf away 🏄

reading the weather:

this is the broader market.
- btc halving cycle which, historically, leads to a parabolic blow off top
- if/when this happens, it will cause the top 10, alt coin, and basically most of the coins to moon.
- this is why nft $ is siphoned to defi

- this narrative is so strong that this is where all the attn is heading.
attention is where money flows.

now the bet becomes asymmetric
- meaning odds are in your favor.
- u either lose 1 or u gain 100s
(narrative purpose only)

weathers good - time to go surf.

seeing the waves:

crypto is all driven by narrative.
- majority of the coins are still in development, some are in use, but many are still lacking fundamentals and real adoption.
- this is completely irrelevant at the moment b/c currently, ppl only bet on the potential.

current narratives:
1. BTC/ETH ath (+2-4x)
2. dot ecosystem due for a pump following other layer 1s like solana (+10x)
3. crypto gaming prime for mass adoption (+100x)
4. crazy yield farm plays (+10000apy)
5. meme coins (+1000x)

higher return = higher risk

choose ur wave accordingly 😈

1. high caps (+10billion market cap)

~return x2-4
- these are typically the ~top 10 coins,
(personally: i'd exclude meme coins like $shib + $doge to be considered in this category)

market cap = $ of token x # of outstanding shares

why do you need to know this?
- for price to double, it means double the amount of $$$ injected into the token.
- ie, for eth to double (current mcap ~500B) there needs to be +500billions more capital injected

- this also means it takes a lot more ppl to withdraw to move the $ lower = safer investment (relatively)

- thats why +80% of my portfolio is in top 10 coins.
- my only goal is to stack my ETH stack b/c i believe its the building blocks of web3.

my take:
- heavy in $eth - cause im an nft maxi
- heavy in $luna - cause im prepping for what happens after this bull run.

also - these two coins allows me leverage.
- i loan them out
- get 50% back in cash (interest free atm)
- spend them to buy alts
- ride both waves

ps: i do this via anchor protocol

not for the faint of heart cause if $ drops, you need enough $$$ to maintain 60% LTV (loan to value), otherwise, you get liquidated.

ie. u refinance ur home, take out cash.
if market drops, and you can't repay, u lose ur hse.

2. mid caps (+100m)

return ~10x
- choose an ecosystem u enjoy and dive deep.
- typical layer 1s like solana, binance, eth, dot all have their typical corresponding structures.

- ie. every city needs a police station, fire hall, library, banks, etc.
- layer 1s = cities

- typically these ecosystems have lower mcap = its much more volatile - up or down.
- why dot eco u may ask?
- binance had its run
- solana had its run
- dot is abt to run

ie. in nft terms, think of the roadmap.
dot is abt to enter a huge milestone on the roadmap.

my take:
- $kusama - fork of dot
- $movr - smart contract
- $pdex - exchange
- $pbr - cross chain bridge
- $polc - ar/nft

3. gaming

return x100s
- i do believe in gaming crypto/nfts.
- i've dabbled in defi since 2018, never dove in until i met my true love - n.f.t.s
- defi is boring, numberss are boring
- most importantly - theres not emotional attachment
- gaming/nft is different

- gaming is everyday life for a lot of ppl
- theres a huge emotional attachment to characters/skins/equipements etc
- nft/blockchain is the tech that allows this industry to reach its full form.

my take:
- $sfund - launch pad for games
- since i don't game and don't have much time, i only invest in all the IGOs that sfund provides. easy 10x gains for majority atm.

4. yield farm

return +10,000 APY
- this, i don't get. all just feels like a giant ponzi of ponzis
- don't have time to dig, but i LOVE it!
- my strat is to make sure that i leave before party ends.
- stake for just enough time to double, take out initial inv and ride it out

my take:

- $ohm - +8000% apy
- one is enough degen for me. 😅

5. meme coins

return - 1000xs
- i hate my wife @lurvli1 for this.
- i hate @Nate_Rivers for this. 😆
- but sometimes when u see the wave, u just ride it.
- bought my first meme coin ytdy b/c of them
- watch to understand👇

https://twitter.com/Nate_Rivers/status/1454237018645540865?s=20

my take:

$hokk - new contract

- makes too much sense with new contract not to take a moonshot bet.
- one is enough degen 🤭

final thoughts:
1. u invest what you can afford to lose
2. u invest what you can afford to lose
3. u invest what you can afford to lose

this is a giant casino, u never know when the music stops + all of this hinges on how btc does. if it goes down, everything is off the table.

now when the right wave comes (volume kicks in, $ skyrockets), u paddle like crazy and surf away (take profits!!!)
take ur alt coin gains & roll it into the top coins.

like+retweet = if you want to know real time when the waves are coming 🏄🏄🏄

ps: not financial advise
pps: im just a regular dude sharing my journey and what i learn, so take it as you will
ppps: im still mint and love #nfts

this is just an update on my last thread 👇

https://twitter.com/wilxlee/status/1449176999893766146?s=20

pppps: i also invest in nodes. they are beautiful. if theres any interest, i can share more 🤭
#galanodes

ppppps: don't just copy my trades. im just sharing my thought process, logic and journey. doesn't mean im right nor do i know everything. take the logic and develop ur own thesis.

this is my mark in the space🌟🌟🌟
#WAGMI