If you bought $100 of crypto back in 2008, then when the price swung rapidly and it became a substantial proportion of your net worth, you probably should have thought "I only invested a token amount as a joke. Has anything changed since then? If not, I should sell all except the token amount I actually intend to own".
That might prove more difficult than you'd think.
And if you did it in lots of other promising stocks at the same time, it would have been a major error.
If you have reliable information from the future, sure, it makes sense to dump your life's savings into one basket that is going to pay off. Or if you are young and your “life’s savings” is a trivial fraction of even your annual surplus income, it might make some sense to take an all-in risk speculatively. But, generally, it's a bad idea.
But when it comes to investing, a little knowledge of economics and a good sense of smell goes a long way.
It is absolutely valid to do risky investments. Just as others have written you don't do them with your live savings. I really thought people would know that by now.
Good point, (which was my first reaction.)
But consider this: If, when you were young, you bought a few $1000 of Microsoft stock, Apple stock, Google stock, ect, when they went public, that investment could have grown to be the majority of your life savings.
Perhaps dawidkabani13 just happened to buy some tokens at the right time? A lot of people don't save.
Otherwise, this is a good example of why dumping all of your life savings into cryptocurrency is irresponsible.