Trending News: Could This Be The Key To Getting As Rich As Dan Bilzerian?
Why Is This Important?
Dan Bilzerian just bought “a sh*tload of bitcoin” and now the question is: Does this signal the unstoppable rise or imminent fall of the cryptocurrency?
Long Story Short
Dan Bilzerian is no stranger to pissing people off. Remember his controversial International Women’s Day photo? How about every single other photo he’s ever posted? Welp, the guy who has made a fortune off poker (despite being accused of sucking) and who has toyed with the idea of becoming a MMA fighter has now jumped on the bitcoin bandwagon and people are not impressed.
Earlier this week, Bilzerian took to Instagram to tell his followers that he “just bought a sh*tload of bitcoin. It’s so crazy watching that sh*t f**king go up it’s like, betting a bunch of money on the Super Bowl,” he said, filming himself at the gym because that’s where we all do our best investing.
The news instantly made its way onto the bitcoin subreddit, getting some pretty gold reactions like “If that’s not a sign of a bubble idk what is lol”…
…and “NORMIES INCOMING!!!”
That being said, this isn’t the first time Bilzerian has dabbled in the volatile cryptocurrency, which soared by 50% in the past week alone and increased in value by an insane 400% last year. Four months ago, the playboy was caught on camera trying to make a $25, 000 Bitcoin deposit to a poker site in what was a bit of a dad moment with his friend walking him though the process.
So is bitcoin the key to becoming as rich as Bilzerian? The answer is maybe, if you have an ironclad set of nerves. As Samuel Lee, founder of Chicago-based SVRN Asset Management, told MarketWatch, “Bitcoin is still a nascent asset class, less than 10 years old, and its price is driven by speculators. Unlike stocks, whose prices go up and down with the business cycle, bitcoin prices go up and down in a much shorter time, usually these cycles last a year or so.” What all that translates into is massive drops, extended periods of inaction and, eventually (if you’re able to sit by casually as you watch your money disappear), huge surges.
RELATED: Best Credit Cards By Lifestyle
In 2011, for example, the value of bitcoin dropped by a whopping 90%. In 2015, it plummeted by 80%. Then came 2016 and its value rose an unprecedented 400%, making many of its investors millions. There’s simply no predicting it. Something that might not be a problem for guys like Bilzerian whose net worth is estimated to be $150 million, but if it’s your entire life savings you’re looking to drop on bitcoin, you might want to think again or get ready for some sleepless nights.
Own The Conversation
Ask The Big Question
Is bitcoin a safe enough investment for your hard-earned cash?
Disrupt Your Feed
If you invest in bitcoin today, you could get a 400% ROI by the end of 2020.
Drop This Fact
Bitcoin is absolutely unpredictable. $100,000 invested at the start of 2011 would have left you with less than $10,000 by the end of that year.