01/02/2025
Crypto Investments.
Crypto is one asset class that has generated lots of controversy over the past few years.
Part of the argument against crypto is the lack of proper regulation in the crypto space, which has led to its manipulation by unscrupulous elements.
However, regardless of the risks and controversies associated with crypto, it has proven to be one of the most profitable investment opportunities over the years.
The big question hanging in the air remains: Is crypto investment worth all the hype?
I would like to answer this question with some bit of perspective for better clarity.
Between 2014 and 2024, Bitcoin has done over 21,000% return on investment.
This means that if you had invested $1000 in Bitcoin ten years ago, you would have $211,000 by now.
Here's the bigger picture.....
In 2014, the exchange rate of naira to dollar was at N200 to $1, which means that $1000 then was just about N200,000.
Fast-forward to 2025, $1 is now a
over N1600.
$211,000 at today's exchange rate is 337 million naira.
If we factor in the disparity in exchange rates in the past ten years, it shows that N200,000 invested in Bitcoin in the past ten years would be worth 337 million naira today.
Not even real estate investments or bluechip stocks can match such an impressive ROI.
Now, back to our question : Is crypto investment worth the hype?
I guess we all now know what the answer is.
This astronomic ROI isn't just peculiar to Bitcoin only.
Other bluechip crypto projects like Ethereum, BNB, and Solana have also generated an impressive ROI over the past few years.
Let's look at Solana, for example. In 2020, the price of Solana at some point was at $0.5.
Today, Solana is at $248.
That's over 49,500% ROI just within 4 years.
A $1000 investment in Solana in 2020 at $0.5 would be worth $496,000 today.
If crypto isn't part of your investment portfolio, you are missing out big time.
But don't get carried away......
Crypto is a very slippery space, and your money could go AWOL if you don't do proper research before investing.
If you are a newbie with little or no knowledge of crypto, you start your crypto investments with bluechip cryptos like Bitcoin, Ethereum, Solana, TON, and BNB
The reason for recommending these bluechip coins is due to the fact that they already have a wide range of acceptance, have stood the test of time, and have produced amazing ROI over the years.
Tier one countries like the US, UK, Germany, and Australia, apart from their gold reserves, also have significant investments in cryptos like Bitcoin.
If these countries believe in crypto investments, I think we should too.
Another factor that makes these bluechip crypto coins a good pick is that they also have identifiable projects tied to them.
Take BNB for example.
BNB is the native coin of Binance exchange, which is the biggest crypto exchange in the world. Investing in BNB is akin to investing in Binance exchange.
So, as long as Binance exchange exists and keeps generating revenue from transaction fees, BNB will remain valuable.
Just like BNB, most bluechip cryptos also have identifiable utilities they are affiliated with.
TON is affiliated with Telegram.
Solana is affiliated with DEX and lending protocols like Jupiter, Orca, Solend, and Marginfi.
There are other factors to consider before making your crypto investments, but if you are still a newbie, you can start with bluechip cryptos.
But if you have some level of knowledge in the crypto space, you can go for other solid crypto projects with lower marketcap that will give you higher ROI within a shorter span of time.
What's your take on crypto investments?
Do you think it's worth your money?
