Hoskinson Shares His Top Tips For Surviving The Crypto Crash
The CEO of Input Output Global (IOG), Charles Hoskinson, took to social media to share his advice on coping with difficult times. Drawing on his experience of running a multi-billion dollar firm, Hoskinson points to mindfulness as the key to getting through these difficult times.
Crypto Market Panic
The events of the past week or so were a real wake-up call for anyone with a vested interest in crypto. FUD, driven by threats from China, Elon Musk, and U.S. regulatory concerns, has conspired to crash the market.
Just a week and a half ago, crypto markets were riding high as the total crypto market cap hit $2.5 trillion for the first time. But FUD event after FUD event saw things take a turn for the worst.
The local bottom hit on Sunday after the market bounced at $1.3 trillion, making a staggering 48% loss in value across the board. While some tokens fared better than others, with Polygon and Maker showing signs of fight, the losses of the last five days have taken their toll.
The upshot to this has seen fear, anger, and panic dominant proceedings. This has only been exacerbated by the crypto-haters relishing this crash.
Binance CEO Changpeng Zhao (CZ) retweeted a message he posted in February when markets were going up to remind us that critical common-sense rules apply equally during a downturn.
Do proper risk management
Diversify a bit
Only invest with money you don’t need urgently
Don’t invest with your next month’s rent
Expect some system issues
Don’t fall for scams
Be responsible to, and take responsibility, yourself
— CZ 🔶 Binance (@cz_binance) February 9, 2021
With that, what can be done to cope with dwindling portfolio valuations for those still holding the line?
Mindfulness In The Face Of Adversity
In a bid to spread a calming influence on things, IOG boss Charles Hoskinson weighed in on the situation by promoting mindfulness and resilience as a strategy to handle the stresses of the past week.
Hoskinson implied that investors have no control over macro events, which have ramped up in recent times to cool the market.
“What’s really hard is when you have a collective event. you see the crypto markets are the crypto markets, and the macro right now on the U.S side is that regulation is coming. And on the China side, there’s a crackdown. Both of these have put a needle into the balloon of the market, and now things don’t look so hot.”
Much like what CZ alluded to, Hoskinson said overextending oneself is a recipe for disaster. But he points out, no matter what is said about this, people, in general, don’t listen.
“No matter how much you warn people and how much you talk about this stuff and how much you say, “hey, be mindful and respectful that stuff that goes up goes down,” people don’t listen. They never will because they think the minute they get rich that all the problems go away.”
In getting to where he is now, Hoskinson said he faced difficulties and uncertain times. But what got him through the ups and downs was mindfulness, which he recommends incorporating into our daily routine.
Mindfulness is a type of meditation that involves being intensely aware of what is being sensed and felt in the moment, without interpretation or judgment. This involves breathing methods, guided imagery, and other practices to relax the body and mind.