RE: Are you ready for the Bitcoin Fork? Whats my trading plan for THE FORK?

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Are you ready for the Bitcoin Fork? Whats my trading plan for THE FORK?

in trading •  7 years ago  (edited)

@quickfingersluc Hi Luc, greetings from Germany, I very much appreciate your contributions here! :-) What concerns me most since the takedown of BTC-e is the huge counterparty risk with exchanges in these times. You once said you trade with an account of about 100k USD. That may be peanuts for you, but I am planning to invest and trade with a sum of 30k USD that are by no means peanuts to me. How would you manage this sum in order to find the best equilibrium between risk and chance? Diversify equal parts on 4-6 exchanges? Investing 50% into the most promising long term cryptos and holding 50% cash on the sideline for position trading opportunities? I would love to hear your recommendations on that and I think others would love to hear your opinion on general rules for money management when investing and position trading in times of counterparty risk as well. Thanks for your answer, if you find the time for that!
And which one of all exchanges would you suggest for building a 500 USD small account? Bittrex, HitBTC, Liqui, Cryptopia?

(Btw: There are rumors on bad support and withdrawal behavior recently as well as an imminent insolvency of Poloniex on bitcointalk.)

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What a great questions passhesiast, I too would love to hear Luc's suggested strategies. Perhaps a video post on this would be better.

Not sure what Luc does but personally I would split my risk across a number of exchanges (holding coin + FIAT) and then keep 1/4 of my capital in FIAT off the exchange and another 1/4 I would dollar cost average into long-term holdings (BTC, Altcoins, etc) and store in cold storage...hope that helps.

You can use a website like localbitcoins and sell peer to peer inside a mall for example. Lots of people would like to buy without having to register themselves in any bank or exchange. You just need to be careful and have a plan against scams. You could buy low and sell high much easier in this way than in any exchange.

thanks for bringing this up. would love to hear about money-/ risk-management.