Since the dawn of time, parents have passed down the wisdom of saving instead of spending to their children. Black Friday is approaching. We should think about the value of money. Consider how much a simple R1 000 saved instead of spending on Black Friday one year ago could be worth today. It would have been worth R3 100 today if it had been invested in bitcoin (BTC). It would have been worth R7 540 if it had been invested in Ethereum cryptocurrency ether (ETH).
Delayedgratification
The wisdom of delayedgratification is even more evident when you look at the one-year returns supernovas such as Solana (SOL), which are up 9 730% in 12 months. The same R1 000 that was invested in SOL a year ago would be worth close to R100 000 today.
“The temptation to spend this time of year is always high,” says Brett Hope Robertson of Revix, an investment analyst. “While we know that crypto may not be for everyone but we believe that investing and saving should be a priority for customers.”
The graphic above shows how powerful crypto assets have been since Black Friday last.
Although Solana was the clear winner in the last 12 months of the contest, investors know that it takes skill, timing and luck to correctly identify the next Solana.
Revix Crypto
How can we all benefit from the next big success story in crypto? You can solve this conundrum by investing in one of Revix’s crypto “bundles”.
Revix, a Cape Town-based crypto investment platform, was created to solve this problem. Revix’s crypto bundles are its claim to fame. Revix bundles are similar to the JSE Top 40. They allow you to seamlessly invest in a number of cryptocurrencies.
Revix allows users to invest in three different theme-based packages:
- The Top 10 Bundle (+453%), is similar to the JSE Top 40 and S&P 500 for cryptocurrency. It provides equal exposure to the top 10 cryptos that make up more than 75%. This bundle includes all the cryptocurrencies listed in this article. It has outperformed Bitcoin in the last 12 months.
- The Smart Contract Bundle (+569%), provides equal exposure to the top five smart contract-focused cryptocurrencies like Ethereum and Solana. This allows developers to build apps on top their blockchains in a similar way to how Apple apps are built on top its OS operating system.
- The Payment Bundle (+200%) offers equally weighted exposure for the top five payment-focused cryptocurrencies that aim to make payments more affordable, faster, and more global. These cryptos include Ripple, Stellar, Bitcoin, and Litecoin.
The Smart Contract Bundle includes cryptos such as Solana, Binance Coin and Ethereum. This is a result of huge strides being made in delivering on the promise to a new financial architecture that is decentralised.
DeFi
Hope Robertson says that DeFi is still relatively new and is gaining traction. However, the value of funds has grown from $12 billion up to more than $104 trillion over the past 12 months. This means that DeFi is now the size of IBM within four years of its creation.
Investors can earn interest at rates that are far higher than those offered in traditional markets through decentralised finance.
They can also lend or borrow without the need to go through credit approval and Know Your Customer procedures. This is possible because smart contracts are self-executing and do not require human intervention.
A R1 000 Bitcoin investment would be worth seven times today’s original investment, if you consider Black Friday in November 2017.
Hope Robertson says that although cryptos can be volatile, investors have been rewarded in the past for their volatility with above-average returns. “But, regardless of crypto, there is one rule that will help you grow wealth: save more than what you spend.”