Crypto’s Dark Secret Exposed: Why 75% of Investors FAIL!

the crypto Market is heating up it's heating up fast it's heating up and everyone is looking to rake in the gains but what many don't realize is that even though everything is about to go parabolic there will be more people losing money than making it and this begs the question of how you can be one of this Cycle's winners and a recent report could actually have the answers so today we'll break down this report for you in simple terms and tell you how you can position your yourself for Success let's dig in now the report

we'll be summarizing for you today is titled quote the crypto competence index 2024 and it was co-authored by Quin fessions and pip World we'll leave a link to the full report in the description below but we'll be summarizing the main highlights for you right here today and of course giving you some of our commentary around it in case you're not familiar with either coin Fashions or pip World allow us to explain as the name suggests coin Fashions is a place where crypto users can go to get things off their chests anonymously of course their X

account is honestly one of our favorites to follow it's good to get a reality check every once in a while especially as everything starts to heat up uh we'll leave a link to coin fessions in the description below it's well worth your time meanwhile pip World describes itself as quote a gamified approach to Financial Freedom basically it's a platform designed to teach you everything about crypto Finance in an exciting way there's a few games to help you learn including a telegram game and even an in-game experience on Roblox pretty cool right so now that you're

up to speed let's jump in the first part of the report starts with a statement and we'll be honest with you guys it's a bitter pill to swallow the authors say that quote the crypto Community lags the global average in making informed financial decisions o stings a bit right I mean who knew YOLO didn't count as an educated bet Jokes Aside the report backs this up with some statistics based on the financial literacy of different regions now for context the authors explained that financial literacy refers to an Investor's understanding of stuff like budgeting saving balancing

debt and making those smarter investment DEC decisions anywh who when it comes to the crypto Market just 25% of us are financially literate on average while a whopping 75% of us either have very little financial literacy or none at all according to the report when you compare this average with the financial literacy of an entire region that is crypto and Beyond it's about half that of the US where 50% of adults are financially literate it's also less than the global average where 33% of adults are financially literate and for anyone possibly wondering the most financially

literate region is Denmark Norway and Sweden with a collective score of 71% while countries like Somalia Afghanistan and Yemen have the lowest financial literacy each scoring 15% or lower in fact these are the only three countries scoring lower than the entire crypto Community this is something you should find worry in because being less Savvy about your investments in an industry that's known for its risk and volatility is a Sure Fire way to get wreck put differently if you want to succeed you need to stay educated luckily for you you're already ahead of the game just

by watching this Channel and that's because we offer the highest quality crypto content around and helping you to be educated on just about any crypto related topic so if you want to make sure you're not being left behind subscribe to the channel and ping that notification Bell so you don't miss our next one oh and uh give that like button a good thumb too while you're at it [Music] [Applause] the coin Bureau deals page it won't make you stronger but it will make you better at crypto now this ties into the next part of the

report which breaks down the financial literacy of different types of crypto investors what immediately stands out is that according to the report the only group to be 100% financially literate is fomo Traders this surely has to be a mistake I mean it's well known that if you're aping in due to fomo you're probably too late even worse you could be the one left hold in the bag Oddities aside the second highest group is crypto Wales and 96% of whom are financially lited I mean this kind of makes sense it's probably safe to assume that this

is how most of them became whales in the first place then they are the trend followers with 88% which makes perfect sense after all these are the folks who will have their fingers on the pulse so to speak and then there's the hodlers of whom an impressive 80% are financially literate uh let that be a lesson to all you paper hands out there elsewhere speculators are apparently 64% financially literate volatility Seekers are 50% financially literate and shockingly pump and dumpers are noted as 45% financially literate we're surprised they scored this High to be honest I

given that most of these will be outright scammers the Silver Lining is that they're also the second lowest of any segment anyway the reports authors explain that quote worryingly day Traders have the lowest financial literacy at 27% this might sound bizarre but it actually makes sense when you consider that day trading is a much harder task than you might think for many it's often a full-time job something that many inexperienced Traders underestimate but if you'd rather take a more handson approach you can learn how to become a better Trader by checking out our coin Bureau

trading channel it's run by Aaron AKA Moon and papa Mariano aka the trading parrot and Dan our very own head of research so you'll be in safe hands with these three chaps who could help you maximize your gains the link is down in the description oh and don't forget to subscribe while you're down there too and this ties into the next part of the report titled stressed but stain for the ride uh which is probably the perfect description for anyone who's stuck with crypto over the past few years this part of the report highlights some

of the pressures felt by the crypto Community the authors explain that around 70% of people offloading two coin Fashions have expressed impulsive behaviors resulting in heavy losses come to think of it this completely contradicts the previous section where fomo investors were labeled as 100% financially literate H in any case the authors note that quote around 76% of coin Fashions expressed regret frustration or underlying stress what's strange is that the report gives a few examples of anonymous posts to coin infections and although they all outline taking on high levels of risk only one of the examples

shows a person getting wrecked these examples include gambling a med school loan into ethereum validators and using a bank loan to ape into a private sale uh this is a tad concerning because you could easily interpret this as encouraging you to expose yourself to similar risks if you've been keeping up with this channel for a while you'll know we don't encourage anybody to trade with Leverage and we certainly don't recommend you taking out loans to ape into crypto it just isn't worth it folks I mean not Financial advice but yes okay the next part of

the report explains that quote high financial literacy is a key driver of significant wins in the crypto market and this is worth keeping in mind because the chart provided shows that there are far fewer wins than there are losses there are a few things we can take away away here and the biggest by far is that volatility Seekers will lose 97% of the time so next time you check coin market cap and see that a coin or token has suddenly rallied by several x's in a day keep that in mind before you try to jump

on board and we'll also add that fomo Traders lose 85% of the time Food For Thought Wales typically have most success here winning 41% of the time and losing 59% of the time as we said earlier this makes sense when you consider just why they Wales in the first place there's a reason people call this so-called smart money aside from Wales there are three other groups that seem to do better than most these are crypto communities which win 30% of the time the hodlers that win 34% of the time and the trend followers that win

40% of the time not very in but it's important to remember the kinds of people who were surveyed for this report in any case we reckon Trend followers and hodlers go hand inand and that's because a crypto community that is one that isn't full of toxic Moon boys will be on hand to help each other find the next Trend and will find high conviction plays to hoddle for the long term now the next section explains that when it comes to Major cryptos and meme coins there's is more fud than there is uh anti fud I

mean surely there's got to be a better terminology for that anywh who the chart provided by the authors shows different coin mentions by sentiment uh the authors don't really explain what's going on here which makes the chart kind of confusing to be honest I mean Bitcoin apparently has 140% of mentions which literally doesn't make any sense meanwhile crypto is mentioned just 20% of the time Oddities aside what we can take away from this chart is that it was drafted in October this year before BTC went on an absolute tear and this would explain why there

seems to be more negative sentiment than positive we imagine this would have shifted somewhat since meanwhile salana has roughly the same amount of positive and negative sentiment around it whereas ethereum is slightly more negative than positive and if you feeling the ethereum fud uh we encourage you to check out our recent video on the bull case for ethereum that will be in the description of course anyway according to this chart nobody is feeling anything positive about FTX and we reckon we don't need to explain why but there's just one crypto coin with 100% negative sentiment

and that's usdt look guys we got to move past this tether FUD at some point I mean are we seriously putting it in the same level as FTX if you're someone feeling the tether fud feel free to check out the description for an interview we did with tether's CEO Paulo uino to learn why this fud is unnecessary now the final section of the report is titled quote resilient and hopeful about crypto's potential the authors explain that despite lots of people leaving the space 40% % of crypto Traders are content with what they've achieved and have

no plans to leave respect based on various posts on coin Fashions the authors were able to determine that some categories of crypto investors are more reflective than others the most reflective of these are hodlers at 32% volatility Seekers and speculators each come in as 19% reflective while fomo Traders are 16% reflective I suppose When there's less thought going into a trade there's also less thought about it once it's done the authors add that quote this resilience reflects the hope and belief in crypto's potential even in the face of setbacks and suggest a long-term commitment among

Traders we reckon this is bang on especially for those of you who have been with us for a while it may be tough sometimes but you only need to take a look at the market conditions today to see that the gain was worth the pain and finally the report ends with some closing thoughts uh the standout that we need to highlight comes from sad Naja the CEO of pip world according to sad quote the findings of this report highlight an urgent and undeniable truth financial literacy in the crypto space is dangerously low in a rapidly

evolving Market too many Traders are navigating blind without the fundamental knowledge needed to succeed Ed naturally then this begs the obvious question how can you make sure you're one of the successful ones well let's answer this with a quick thought experiment let's say you have $100 uh you ape blindly into a meme coin that just launched and it gains rapid momentum and before you know it you've managed to turn the $100 into $10,000 a $1 100x return it's a great result right but could you do it consistently turning this into a legitimate strategy if you

said yes uh go stand in the corner and have a word with yourself if you're willing to go all in on crypto projects without learning a thing about their fundamentals you're all but guaranteed to watch in horror as your portfolio eventually goes to zero so if it wasn't already obvious the first thing you need to do is realize that education is key as we touched on earlier you can find the best quality crypto educ ation here on this channel we also have our second Channel more coin Bureau and our coin Bureau trading Channel as well

of course and you can even check out the coin bureau website where you'll find written articles by some of the smartest people in crypto you'll find links to these resources and everything else we have to offer down in the description the second key to success is just as obvious have a plan and stick with it and this includes plans for everything from finding which cryptos to buy how much you're willing to invest and even when to take profits of course everybody's plan will be different as everyone will have a different risk tolerance but sticking to

your own plans means you don't make any rash decisions that will damage your overall success this ties into the third key to success which is to avoid unnecessarily trading wherever possible as the report has clearly shown day Traders typically have the least amount of success and we'll bet that out of every other category day Traders are also the most stressed unless you're an experienced Trader and are able to leave your emotions at the door so to speak you'll probably end up either overtrading or repeatedly trying to catch short-term pumps news flash neither of these are

profitable instead you're better off doing your research and finding those projects with genuine potential and once you find one that fits with your conviction all you need to do is huddle until you hit whatever targets you set you'd be surprised how much more successful you can be during volatile periods by simply doing nothing and that's all for today's video folks if you enjoyed it uh give it a boost by Smashing those like And subscribe buttons it really helps us out and be sure to turn on those notifications as well so you don't miss our next

upload thank you all very much for watching and I'll see you in the next one this is Nick over and out [Music]