Bitcoin News: $200 million, USD 50 million loss, 1 CEO and a problem
In today’s Bitcoin News we show what happens when you invest in an asset without research and without knowledge. In our case the asset is Bitcoin. However, this warning applies to all asset classes. Bitcoin News shows that even wealthy investors on the Bitcoin System platform, even multimillionaires, are quickly punished if they do not do their homework.
The case involves a total of $200 million, a loss of $50 million and a CEO of a major bank. Have fun!
Bitcoin News: Softbank CEO loses millions
Masayoshi Son is the founder and CEO of the Japanese SoftBank Group. This is a multinational conglomerate in the banking and investment sector.
During the DealBook Online Summit, the SoftBank CEO now spoke about a serious mistake that cost millions. According to an article in the NewYork Times, Son admitted during the Online Summit that he had no idea how crypto currencies work.
Before our Bitcoin News looks at the BTC, we look at two major financial errors by Son.
Son mentioned some financial errors, which probably cost him several millions up to billions. For example, Son would have had the opportunity to buy 30% of all Amazon shares before (!) Amazon went public. But Son rejected the offer of Jeff Bezos.
As another example Son talked about his huge investment in WeWork, whose planned IPO was cancelled. A disaster.
Avoid Weak Hands in investments
And in this honest speech about financial failures, Son also talked about Bitcoin. The SoftBank CEO said that he had invested a sum of 200 million dollars in Bitcoin towards the end of 2017.
This came after his advisors advised him to invest about 1 percent of his portfolio in the crypto currency. Son invested at a very bad time and, according to his own statements, he follows the Bitcoin exchange rate for several minutes a day.
The high volatility cost him a lot of nerves and so the events led him to sell his Bitcoin already in mid-2018. Weak Hands, then. Son sold during the bear market.
So I said that I would now sell all my Bitcoin. No matter what the price and no matter what the loss. Maybe I lost $50 million. I don’t know. I don’t remember.
Even though Son can probably take the loss of $50 million well, there are some interesting lessons to learn. So what do we want to say with this Bitcoin News? – The message is clear:
- Inform yourself and independently before you invest in crypto-currencies.
- Do not let Bitcoin News or exchange rate fluctuations unsettle you.
- Do not invest when the price has reached an absolute peak.
- Use regular investments in the form of savings plans instead of investing a large one-off sum.
- Only invest the money you are prepared to lose.
- Don’t simply sell out of emotionality when the price falls.