Advise to a friend

[zanezane]

Ordinarily, I don't like asking questions like this because I feel they're personal questions that should be answered by myself alone but it has been on my mind for a very long time and I have not gotten a solution for it.

I have a friend that works hard. He does two jobs and he makes a lot of money. Most of his money is in a savings bank account where he saves them. He doesn't have any use for it right now so the money is just sitting pretty in that account. Lately, I've been having the urge to advise him to buy Bitcoin with like 40% of his savings and HODL. Holding won't be an issue for him because he has the patience of an old man. He has left the savings in his account for over two years without touching it. Now imagine him transferring that energy to Bitcoin.

The problem is, someone has convinced him to buy altcoins before now, I think in late 2021 or thereabout. He bought three different altcoins for about $500 and now two out of the three coins he bought are worthless. one is worth about $0.045. The price ain't the issue, the issue is these coins are not like Bitcoin that will rise again.
I have explained all he needs to know about Bitcoin to him and he understands. He understands how Bitcoin is not a get-rich-quick scheme, the risk, and the patience involved.
He buys into the idea but I'm still having doubts. I don't want to look like a fraud when things don't work out. I mean, I can speculate about the market all I want, but I can't be sure what tomorrow brings.

So should I go ahead and advise him to buy Bitcoin or I should leave him to come to me himself? Because he will buy it if I ask him to.

I don't advise anyone to buy Bitcoin. I just tell people how it works, why Bitcoin is better than any other asset, I tell them I'm all in, I tell them I trust the technology, etc an also that they should only invest what they can afford (not to lose but to invest)! If they have spare few bucks at the end of the month, why not?
I also like to focus that I cannot teach them everything and that they also need to WANT TO LEARN and that they need to do their own research.

Sometimes happens that I am talking about Bitcoin to my colleagues at work and they start asking me: but how I buy it? Tell me? Where do we buy it, etc and I tell them that they should not buy it like blindly. That they should always learn at least the basic concepts, etc an then they get disappointed. But yeah, they need to want to learn. This is not easy money!

It's just like you are not encouraging someone to try what is you are doing. They only know they will gain something but they don't know how risk will they have to try just they heard about the money that some people earning. Without knowing the technicals of Bitcoin they will only lose a lot of money.

It's also best to suggest to the people that WILLING to learn about bitcoin, is to read the whitepaper https://bitcoin.org/bitcoin.pdf .If they are going to invest its best to spend what they are willing to risk to Bitcoin, not only bitcoin and also to other type of cryptocurrencies.

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[panganib999]

Well, if your friend has been well-informed of the risks, the losses, and the potential headaches that may ensue with investing in bitcoin, I don't think you shouldn't absolve yourself of the pressure, after all you're not Jesus who could control the economy of bitcoin just to look impressive to your friend.

And he strikes me as someone who's smart enough to know what he's doing, he's probably thought about investing in it too, but is just waiting for a push from his friend circle. So I assume he pretty much knows what he's getting into, and if he's a good friend, he's not gonna blame you for any losses he may incur in the future.

[Baoo]

To be honest,  your friend has screwed up when he invest in worthless altcoins, I am pretty sure he was greedy and wanted to earn a large profit in short term. Unfortunately, that’s what happens you purchase cryptocurrencies without knowledge and strategy. In fact, it is certain that Bitcoin is a gainful investment and fruitful but in long term. In addition to that, I encourage your friend to invest only 30% of his capital in Bitcoin and 20% in Ethereum due to it is perilous to put all your money in digital currencies despite the profit in these best ones is kinda guaranteed. However, everything is expected to happen in crypto era. It would be better if we be prepared for all scenarios.

[Raflesia]

Well, if your friend has been well-informed of the risks, the losses, and the potential headaches that may ensue with investing in bitcoin, I don't think you shouldn't absolve yourself of the pressure, after all you're not Jesus who could control the economy of bitcoin just to look impressive to your friend.

And he strikes me as someone who's smart enough to know what he's doing, he's probably thought about investing in it too, but is just waiting for a push from his friend circle. So I assume he pretty much knows what he's getting into, and if he's a good friend, he's not gonna blame you for any losses he may incur in the future.

To be honest when looking at the context that indeed op's friends are in 2021 for that matter then I think 2 years is definitely a good learning and of course I think he has learned from all aspects including from the worst possible.
Now, when he feels sure about it, there's nothing he can do because he himself chose his own way.
Warn bitcoin that he has been around since 2021, I don't think he needs to be reminded because indeed a period of approximately 2 years he should be quite aware that choosing an altcoin is the wrong decision but in this case he is still not in bitcoin doesn't mean he is unaware but rather unwilling because it's been 2 years in the altcoin of his choice.

[Lida93]

 Like they say' "ones beaten twice shy", so I doubt if your friend will gather courage to continue with another crypto investment despite it's bitcoin this time around different from the initial altcoins he was first introduced to that he had to lose his many years of savings. How do you expect same to immediately go on with another investment plan again from same savings he has lost a part of to see altcoins.

I am opportune to have a clear knowledge and difference between altcoins and bitcoin doesn't mean the next is also privy to same information and this is the conviction I hold on to that makes me drag foot on wanting to convince anyone to invest in bitcoin. I may give you a surface level introduction about bitcoin but I'll never convince anyone to buy or invest. If a person is interested after a surface level exposure then it's expected they go do their own research furthermore and come back based on their own volition to want to invest. With this, am not liable in the case of any ugly uncertainty. So OP, please let the young man to be, for now. Don't push him.

[death69]

Guiding someone in the treacherous realm of finance, particularly crypto, is no walk in the park. Your buddy seems like a savvy, hardworking individual who's made some wise moves. But, as you astutely mention, venturing into crypto carries inherent risks.

Tread with caution and patience, my friend. Sure, Bitcoin reigns supreme in the crypto kingdom, but it may not suit everyone's fancy. Deliberate over a myriad of elements, like market trends and conditions, before committing to any investment.

Now, if your amigo is game for a Bitcoin adventure, it could be a brilliant maneuver. As you observed, he's got the patience of a Zen master—golden in the cryptosphere. Adopting a long-term HODL strategy could potentially land him a windfall down the road.

[evader11]

snip

You make a valid point in stating that it is not normal or fair for someone to feel compelled or accountable for the actions of their friends when it comes to investing in bitcoin or making any other financial decision. Individuals must conduct their own research and make informed selections before investing any money.

It is also vital to highlight that investing in bitcoin or any other cryptocurrency is dangerous, and individuals must realize and accept the potential losses and volatility that may accompany it.

[Ziskinberg]

Well, if your friend has been well-informed of the risks, the losses, and the potential headaches that may ensue with investing in bitcoin, I don't think you shouldn't absolve yourself of the pressure, after all you're not Jesus who could control the economy of bitcoin just to look impressive to your friend.

And he strikes me as someone who's smart enough to know what he's doing, he's probably thought about investing in it too, but is just waiting for a push from his friend circle. So I assume he pretty much knows what he's getting into, and if he's a good friend, he's not gonna blame you for any losses he may incur in the future.

Besides, he is not a kid anymore that needs total guidance and advice as to what he gonna do.
If he is about to listen to his friend and keep that advice personally, he probably knows what awaits him in investing in Bitcoin. The responsibility of a friend is somehow limited and I was certain that his friend could carry the risk as well. If he would listen then he might be saved but if not, he could never blame anyone but just himself as it was his decision already.

[martyns]

My advice to friends who want to be either an investor,a bitcoin trader,a cryptopreneur and someone who wants to venture into trading is that they should know trading is not really the way they think it is,trading has so many things that it comprises of,before going into trading,you must have a deep knowledge about how the market is,a deep knowledge about the seasons that market becomes favourable,and when it is not.He must also have gotten knowledge from experienced people in the trading field.He must possess some strategies that can make him successful in the field,and finally,he must know that trading is a risky game,it either favours you or becomes a pain to you.

[tjtonmoy]

I have explained all he needs to know about Bitcoin to him and he understands. He understands how Bitcoin is not a get-rich-quick scheme, the risk, and the patience involved.

Your work here is done. The more you push him now, the more doubt will come to his mind. Let the knowledge sink in first. The best approach is to let him come to you rather than tell him what to do. The own free will makes people become more dedicated to whatever they do.
Past performance is the key to understand what will come next. It doesn't determine the future, but you can get a more clear understanding on what is going to happen. So tell him that and sit back till he comes to you. That is the best you can do.

[GigaBit]

Remember that sometimes good advice can come across as bad. I think it is best to avoid it If you can't do that then inform about the risk first. If someone close with you and invests in your reference and loses there then the liability will be entirely on you. As a result, you can be guilty to them without doing any fault. Your relationship may get ruined. So I never want to encourage others to invest. If a person comes for consulting on his own responsibility then I can advise him for investment.

[Who is John Galt?]

Because he will buy it if I ask him to.

The main problem is that he will still act the way he will act, and not how you will act. What may be successful for you may not be so for him in the end. He may delay, he may suddenly need money in the midst of a bear market, and any other events may occur that will lead to undesirable consequences. Therefore, he must make the decision himself. You can only tell more about bitcoin, its nature, its benefits, as well as the risks associated with it. If a friend makes a decision, you can help him do everything in the most secure way, tell him about the importance of the private key and the seed phrase. But deciding to invest for him or asking him to invest in bitcoin, in my opinion, is not worth it.

[Minecache]

~snip~

 In addition to that, I encourage your friend to invest only 30% of his capital in Bitcoin and 20% in Ethereum due to it is perilous to put all your money in digital currencies despite the profit in these best ones is kinda guaranteed. However, everything is expected to happen in crypto era. It would be better if we be prepared for all scenarios.

Regarding altcoins, ETH is the best investment, but since he has lost a lot with altcoins before, I don't think OP should recommend altcoins even though ETH is good to invest in. As you said, any scenario can happen, especially with altcoins there is no guarantee ETH will not crash as it is still a centralized altcoin. Moreover, putting money in ETH will not reduce your risk anymore because once bitcoin crashes, the entire crypto market is inevitable. But in the end, it's still better for him to decide than to force or give advice at our disposal.

[MarjorieZimmermanGinger]

Remember that sometimes good advice can come across as bad. I think it is best to avoid it If you can't do that then inform about the risk first. If someone close with you and invests in your reference and loses there then the liability will be entirely on you. As a result, you can be guilty to them without doing any fault. Your relationship may get ruined.

There are many risks for those of us who give advice to others, not necessarily the advice we give can also be carried out well, even though we have given an idea and potential risks that will occur, so that when everything becomes worse for him then we will be blamed for the failure he did on the basis of our advice. That's our behavior as human beings and when a failure in his life will try to bestow the mistakes to others and I often see events like this.

Consider giving advice to people who are unfamiliar with the knowledge he wants to listen to and if they don't know anything about these advice, then I am sure that advice will never be used and will never be useful for him. For example, you give advice about Bitcoin to people, but if the person's knowledge about Bitcoin does not exist at all then the advice will not be useful for him, because they will never want to know what Bitcoin is like? And how to run it?

So I never want to encourage others to invest. If a person comes for consulting on his own responsibility then I can advise him for investment.

That's right and we don't need to encourage anyone to invest, because when they are sure of something they will definitely try to learn it first and the rest if they still don't understand they will definitely start asking questions. People like this are easier to give advice because they already have a basis for what they want to ask and our burden is not too big to explain according to our experience.

[Supreemo]

Do not advise anybody to buy BTC, many people buy BTC without actually knowing what it is because their friend or family told them to buy it to make X amount in returns. When you don't know what BTC is you'll struggle to use or even hold it, and you can easily be scammed.

If your friend is interested in BTC, and you know something about it, you can teach them how BTC is a second choice currency to fiat which is censorship resistance and permissionless, you should also tell them the advantages of using BTC, it is better to tell people what BTC is first, that's a currency, before you let them know that is is also an asset that can be invested into because its supply keeps reducing and the value keeps going up. If your friend understands all the basic things about BTC, they will decide for themselves.

i agree with you on that, it's not good to advertise bitcoin to other people especially when don't have any idea what is it because you're being fraud and those people have financial problem and they think the solution for it is to buy bitcoin and wait until it pumps but the problem is when would it be? it's better to make some research and think twice, invest what you can afford to lose.

[DevilSlayer]

Remember that sometimes good advice can come across as bad. I think it is best to avoid it If you can't do that then inform about the risk first. If someone close with you and invests in your reference and loses there then the liability will be entirely on you. As a result, you can be guilty to them without doing any fault. Your relationship may get ruined.

There are many risks for those of us who give advice to others, not necessarily the advice we give can also be carried out well, even though we have given an idea and potential risks that will occur, so that when everything becomes worse for him then we will be blamed for the failure he did on the basis of our advice. That's our behavior as human beings and when a failure in his life will try to bestow the mistakes to others and I often see events like this.

Consider giving advice to people who are unfamiliar with the knowledge he wants to listen to and if they don't know anything about these advice, then I am sure that advice will never be used and will never be useful for him. For example, you give advice about Bitcoin to people, but if the person's knowledge about Bitcoin does not exist at all then the advice will not be useful for him, because they will never want to know what Bitcoin is like? And how to run it?

So I never want to encourage others to invest. If a person comes for consulting on his own responsibility then I can advise him for investment.

That's right and we don't need to encourage anyone to invest, because when they are sure of something they will definitely try to learn it first and the rest if they still don't understand they will definitely start asking questions. People like this are easier to give advice because they already have a basis for what they want to ask and our burden is not too big to explain according to our experience.

Only encourage the people who have same risk tolereance with you, do not ever force someone to invest something especially if you know that their personality, character, mindset and knowledge are suitable in that kind of scenario. If you force someone to make investment on something that they don't want and they lose because they followed your advice, the highest probable outcome is they will blame you because they incurred losses. In order to avoid this kind of scenario, do not ever force someone who do not have any background in any financial markets.

Only give advices about investment if they are the ones who make a the first move or if they are the one who initiated first to learn regarding this topics. I have a lot of friends but I didn't force them to learn things regarding crypto or force them to buy a certain coin. I'll only make suggestion to them once they fully became interested and they reach out to me to learn investing.

[FahriZah]

When I,m New In Crypto Market Than Anybody Don,t Advice Me And When I Own Research Than My One Friends Advised Me Who Like My Big Brothers But I Have Complete Many FRIENDS To Advice But My Friends Not Interested In Crypto Because They Are Don,t Know How It’s Working & Facilities Crypto Currency.

[MarjorieZimmermanGinger]

Only encourage the people who have same risk tolereance with you, do not ever force someone to invest something especially if you know that their personality, character, mindset and knowledge are suitable in that kind of scenario. If you force someone to make investment on something that they don't want and they lose because they followed your advice, the highest probable outcome is they will blame you because they incurred losses. In order to avoid this kind of scenario, do not ever force someone who do not have any background in any financial markets.

Only give advices about investment if they are the ones who make a the first move or if they are the one who initiated first to learn regarding this topics. I have a lot of friends but I didn't force them to learn things regarding crypto or force them to buy a certain coin. I'll only make suggestion to them once they fully became interested and they reach out to me to learn investing.

A decision sometimes has a different way of implementing it and that is why not all suggestions are suitable for us to give to certain people, for some people who are not familiar with financial markets and are not used to taking risks when investing, it is not easy for us to advise them because lack of basic knowledge about the investment they have. Get to know the person you want to give advice to and ask how prepared they are to make an investment decision that involves risk.

Giving investment advice to people who are interested and have basic knowledge is much easier, because they have the basic knowledge and are not too unfamiliar with investment knowledge. As I said before, when they are interested in investing, they will definitely try to learn the basics of previous investments and will ask questions according to what they don't understand from their experience in investing. Therefore there are basic considerations in giving advice to ordinary people, because not everything they can understand quickly and not to mention the price fluctuations in the crypto space.

[Rupok]

Bitcoin is undoubtedly a good investment and risk free.  Ultra coins take a long time to recover from a price drop. I think  ultracoins are very risky.We can speculate about the market, but no one can say for sure.  Bitcoin would be a great choice as a long-term investment for those with a good financial backup.Since your friend has a good financial backup, he might be thinking about Bitcoin.  But how much your friend knows about BTC and can invest if he is interested in BTC.

[Litzki1990]

Bitcoin is undoubtedly a good investment and risk free.  Ultra coins take a long time to recover from a price drop. I think  ultracoins are very risky.We can speculate about the market, but no one can say for sure.  Bitcoin would be a great choice as a long-term investment for those with a good financial backup.Since your friend has a good financial backup, he might be thinking about Bitcoin.  But how much your friend knows about BTC and can invest if he is interested in BTC.

Investing is not just about having good financial backup, investment knowledge, financial backup, risk taking, patience, market analysis, etc. are all necessary to invest. A person with good financial backup but no investment knowledge will not be able to do much in the field of investment. And that's why I said to be patient because many times it is seen that after investing, the invested money loses some amount, as a result of which there are many new investors who cannot accept the losses, so they are forced to sell their investments.
Our main objective of investing is to earn some profit from the investment but if we sell our investments due to some temporary loss then we will never see the profit.