When one first comes in contact with crypto, they usually finds themself reading about the bulls, bears and sometimes whales. When they dive deeper, at times they can be unlucky and also discover there is a fourth kind of animal, the wolf. Posing as whales, they are out preying on those newbies to suck all the blood from them. In this case, all of one‘s money.

People tend to notice extreme volatility in trading markets and with surges of 50, 60 or sometimes even 100% in a 24 hour period, which is all too common in crypto markets, it causes one to think… all dreams can become true. The car, the boat, the house, the vacation or maybe at least paying back debts. This has been known to cause people to go all in. It can feel like a slot machine – when a person spends some money and the machine happens to pay out, a sense of euphoria overtakes them and many times greed begins to consume them. Thinking they could possibly reach higher, they put in more money. As a newbie, little do they know that the Bears are waiting, the bulls are sleeping and the Whales are just playing. But then, all goes up, FOMO starts to kick in, and before they realize even more money has been added!

Then, alas, the wolves come out of the woods. While this is happening and they’re preparing their destruction one continues to think, maybe a little more, just a smidgen so they raise their goal even higher. With every percentage increase, the investment increases, making them think that a little more is possible. The Wolves have them! And because they are simply beginners, they may not quite understand that a private key is not the physical key for their house or car.  The wolves end up catching and biting pretty hard, eventually taking everything from the vulnerable; all their money is gone.

This is the other side of crypto. Blockchain itself is an amazing technology, but where a lot of money is involved and a lot of bad energy is prevalent. This is the very unfortunate dark side of crypto, where wolves are looking for sheep that they can eat.

When blockchain was built, Sataoshi Nakamoto surely did not think that a scenario like above would happen. He wanted to create something new, a payment technology that fits in to the new digital world. And amazing tech, what cannot be manipulated by authorities. But with the growth and becoming more and more popular, many people with little knowledge think they can make fast money, what is not the idea behind blockchain. On the other side, the whales and the wolves appreciated new blood being introduced into such a new and complicated world, from which they can feed.

Similar to stocks, Crypto is a scale. When on the one side people lose money, on the other people gain money. (Warren Buffett: “The stock market is a device for transferring money from the IMPATIENT to the PATIENT”). With every investment made, it is highly recommended to investigate, research and perform due diligence. Nobody in this world will just donate money. It is best to work hard to not be the sheep, but rather try to be more like a wolf. Blockchain is a great opportunity, but it is a long-term endeavor. Sure, there is potential to make a quick buck in 24 hours, but if one wants to have solid and sustained growth in their investment, consider the long run if not a professional trader.

Many people often say: It’s a bubble like the new economy was back in 1999 to early 2000s, but when one really look back, who came out of this? Google, Amazon, Apple, eBay among others. Sure there were also shady projects as there are nowadays in the ICO world, but in the long run, if one does their own research, the wolves and whales won’t be able to catch them. Instead, they can build up a nice fund for retirement or future dreams if they find the Googles, Amazons and Apples of crypto.

Remember, only invest as much as one can afford to lose!

Notice: This is not investment advice, please read the full DISCLAIMER here

Definitions & Crypto Glossary of the following Terms


and more can be found here in our Crypto Glossary for Beginners

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