I lost 50% of my net worth

I’m in highschool and I put about 1.3k into anchor just four days ago. I thought the APY was too high but I assumed it would just lower over time, not this… It was a stable coin, I thought I was doing the safe thing. I sold for a 1k loss which is about half of my net worth but honestly I’ve accepted it at this point. All of my gains came from crypto, and now all my losses did too. Luckily it’s not money I needed but it’s damn sure money I wanted and could’ve used. At least I learned my lesson early to do more research into something even if it looks good, and if it’s too good to be true it probably is.

Some words of encouragement would be appreciated to lift my spirits if anyone is willing, thanks for reading

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34 thoughts on “I lost 50% of my net worth”

  1. You’re still young. Honestly, at your age, it wouldn’t hurt even if you lose 100% of your savings because you can easily come back and you are learning so much from your experience. It does hurt, but it could be a great lesson when you look back 20 years later. Money can be made, but you can’t buy experience.

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  2. This lesson is invaluable.

    I am 26 and I lost “only” 15% of my net worth on Luna and UST.

    85% of my worth is safe, or as safe as it can be in crypto lol.

    Why did I only 15%? Because I forced myself to diversify.

    I won’t lie I wanted to go all-in on Luna at $50 back in the Ukraine crash after making nice gains up to $100. I thought it was the literal best project in crypto and was at a huge 50% discount.

    So why didn’t I?

    I previously lost 95% of my net worth on a single project that cost me everything I had (around $30K when I was fresh out of school was crushing)…

    Ever since that day, I vowed to never have more than 20% of my net worth in a single project (ETH and BTC being the exceptions).

    No matter how much I wanted to, I knew I needed to avoid going all-in on Luna/UST. I cant thank past me enough.

    So I say it again, this lesson is invaluable.

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  3. YOU’RE A TODDLER. YOU DON’T HAVE ANY ”NET WORTH”

    joking 🙂 – Just friendly banter !

    Seriously tho, Rather lose 1.3k when your young. You can make that back next pay salary.

    Better than losing $500k when you’re 40.

    Considered it a $1300 high school education. Congratulations – you got your diploma !

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  4. You’re young and you’re very young to already invest. That’s both great. Try to learn as much as possible from this for the future. Also, sometimes there isn’t much to learn. You can do everything ‘right’ and still lose money. Just keep an open mind, be critical of your own conclusions, but try going for a long-term strategy without changing too much too often.

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  5. Think of it as tuition! Also, 1.5k will be like a weekly pay to you eventually, depending where you live.. it seems significant now but in the long run it is nothing but the cost of learning.

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  6. You have absolutely learned the correct lesson and taken this the right way.

    You’re still extremely early and the next year or so will be the best risk adjusted buying opportunity for legit projects like Ethereum.

    Keep learning and seek out the criticism on anything you like the sound of.

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  7. I can see myself in this situation when I first started trading. All money I earned on trading I lost literally in an evening. Now all my trades on wowswap exchange I open only by strategy and with the setting of limit orders, so as not to repeat my mistakes

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  8. The fact you were even tuned in enough to want to invest at such a young age is amazing – crypto is going to bounce back in a huge way. Keep your head up!

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  9. Sorry for your loss. If it were me though, since you stated that you didn’t need the money, I wouldn’t have sold the UST. There is still a chance it regains it’s peg.

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  10. In the same boat, lost 2/3 of my DOT collateral stake, older and much, much wiser now. Did not anticipate DOT to go under $10 and could not get to it in time.

    I am bummed, but not suicidal, it hurts, but it will heal.

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  11. You’ll live. Good lesson learned.

    Always look into things before you jump into them. UST was a stablecoin but it was unlike USDT, USDC, BUSD, DAI, etc.

    I was lucky to mostly get out of it (I forgot I had $500 waiting to clear for withdrawal on Binance but I withdrew thousands from Anchor and converted it to USDC) when UST was trading at like $0.996. But the reason I got out of it is because I understood how it worked. I saw the market crashing and I saw the marketcap of the UST and LUNA were dangerously close and LUNA dropping a few bucks might break the mechanism that’s supposed to peg UST to $1 if it drops below it.

    It’s good to understand how all this stuff works so that you can understand the risks you’re taking and be able to look at the market and see if those risks are cropping up.

    It’s just high school though. At least you learned it now when 50% of your net worth is like fun money from one or two adult paycheck as opposed to learning it when you have like tens of thousands of dollars of net worth.

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  12. What this will teach you is to ignore people’s opinions.. because you sold at a loss when the peg will return… Same way with mim a few months ago… People’s opinion cost you money…. That’s the lesson.. the last few stables to depeg all came back… As this will… It’s backed by to many companies.
    Hope this helps.đź‘Ť
    A bunch of people who have y made any money In crypto will downvote this…

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  13. Bro ur in high school, u don’t have a net worth lol

    Edit: was a dick thing to say, so sorry. But it’s okay. Happened to me too, not with crypto but just with trading. Better to learn this lesson in HS with 1.3k than when you’re 30 with 130k

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  14. If only you had held until now, you would have been down 30% instead of 70% but you couldn’t wait for a few hours more…

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  15. 98% of kids ur age couldn’t be bothered to get off instagram n twitter. ur learning, being productive, etc. imo thats enough of a win and thus should make you feel better.

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  16. The mistake has been made already I supposed, we just have to forge ahead and learn from it but just for reference purposes, I think one of the safest things to do is having your funds split across different yield protocols it is easier to make huge returns that way.

    Those who want to put the funds into use via farming or staking to generate yield can look into different protocols to do that but at the moment, I personally think Spoolfi is arguably among the lowest risk DeFi platforms because it is built on existing yield protocols giving users the flexibility to put their funds through multiple channels. I believe everything will be fine soon, just keep hope alive.

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  17. I also lost 50% of my net worth in the 2008 stock market crash after an epic bull run. I’ve made it back and then some (last few days are a different story).

    Everything happens in cycles. Do your research, trust your intuition. You’re also young so you can recover this loss pretty easily!

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  18. Absolutely take this seriously and try to learn from it. Financially, this is not a big hit for you given that you are so young, but it can still be a very valuable experience / life lesson.

    I’m going through something similar now, only at a much older age.

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  19. The most important variable when investing anything is time, because you are essentially taking advantage of the exponential function.

    One analogy that helped me to really intuitively understand investing vs. time and the exponential function is as follows:

    Say you have a swimming pool that gets filled up by doubling the amount of water inside every day. If it takes 10 days to fill up the pool completely how full will the pool be after 9 days?

    ​

    The correct answer is 1/2 full at 9 days.

    ​

    That means that no matter what your investment strategy, if you are consistent, you will make most of your returns closer to the end of your time horizon. You are doing exactly the right thing now by starting young.

    Take this loss to heart, and spend some time learning about capital markets, economics, statistics and game theory before returning to the markets.

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  20. Sorry to hear that, but you’ll get over it. In not much time you won’t even notice the loss anymore. Invaluable is the lesson you have learned: UST, being termed an algorithmic “stablecoin” never actually could be … well … stable. It collapsed at the first major test.

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  21. I’ve made horrendous mistakes too and got burned many times. But each time I made sure to rise again like a phoenix from the ashes. Keep the faith and never give up.

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  22. lots of people lost money. some lost it ALL. be grateful, you just learned a expensive lesson. moving on. in 5-10 years you’ll think about this moment and laugh.

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  23. $1.3k. Bud. Soon enough you’ll be making that much per week. Don’t worry man. Life is short AND long. Use this as an experience and learn from it. Take care and good luck! Being separated from your money is very much like a break up. It sucks for a while and then you start to get over it and rebuild.

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  24. Might seem like a lot to you now, but $1k you can earn back in a few weeks even with a minimum wage job. It’s really not a big deal at all, you’ll be fine.

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  25. Sorry for what happens. It really sucks to everyone that lost money. Whether a degen or trying to save responsibly. Best comment I can make is that you are young and will learn a ton from this experience. That lesson will last you a lifetime, and I bet at some point the $1300 will seem trivial.

    I got liquidated on a small FTM loan for a similar amount a few months back. It gave me a new perspective on debt, and it was a good time for that lesson.

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