Zeneca's portfolio reallocation strategy as markets rally

Transcript

GM good morning welcome to the milk Road show The Daily crypto show that's as satisfying as perfectly flipping a pancake I'm your host Jay Hamilton and today we're sounding the alarms indicators are telling us that things are looking good coming it's coming it's coming and now is the time to act that's the key we're stand on the alarms because now is the time to act and what should you do well today we're going to tell you exactly what zenica is doing with his portfolio he's reallocating to make sure that he is lined up for the next 12 to 18 months and who is zenica well I'm sure most of you know but if you don't he's the guy who had a 15 to20 million portfolio at the peak of the

last market so you're gonna want to listen up folks zenica great to have you back on the show great to be back as always and yeah the important word there is Peak because I I round trip most of it but hopefully learn some things and that's what I'm trying to avoid happening again this time around so that's why over here that's perfect that's perfect Leed okay so let's start off with Zen to give everybody listening some context you and I were chatting over text last night we were prepping for today's show and I was telling you how I'm feeling like a bull in a room full of bears right now and I think that things are lining up to to have a pump at some point look I don't know when it's going to happen is going to be July it's going to be August September

October I'm not sure but I think it's coming you know chop until then I'm sure sure but your comment was that your mindset right now is all about reallocating your portfolio and really consolidating so before we get into what you're planning to do with your portfolio let's just start with what's your overall thesis right now on the market that's leading you to decide that now is the time to make some major moves I mean obviously the time was months ago it was probably a better time but like given where we are now you best time of Planet tree was 20 years ago best time is today I like you am feeling generally bullish about crypto and the future and this bull market and I think we still

have a lot of room to run but I'm increasingly becoming bearish on non- major coins altcoins nfts mean coins Etc mostly from the perspective of that there's just way too many of them and I don't think I have an edge in picking the right ones compared to just holding eth or Soul or Bitcoin or uh maybe a couple of other tokens and with that mindset I'm basically I looked at my portfolio I had to take stock recently because of tax reasons and and basically look through all that I have and I realized you know even though I've done a bunch of consolidating over the last year I still have a lot of nfts and mean coins and and just like L2 tokens like all sorts of random stuff that I maybe

don't have as much conviction in as just e for instance if slash when more when there is this next leg up next bull market whether it's later this year whether it's next who knows when it's going to come I think one thing we can all say for with a high degree of certainty is Bitcoin will do well eth will do well hopefully probably soul will do well I have a little less conviction of that than the other two but when it starts to when you start going further down the market cap list it's harder to say whether optimism will do as well as e or immutable X or uh you know pick a gaming token Prime I'm very bullish on Prime I love but like is that going to outperform E that's like the big question to always keep in mind and with the amount of tokens there already

are let alone all the new ones that are going to be launching you know every day every week every month between now and like the end of time you're not only competing against the existing tokens you're also competing against the new ones and I think that generally they're just going to continue to stap market share away from the majors in a way that didn't really exist in previous Cycles in previous Cycles there just weren't as many blockchains weren't as many tokens weren't as many nft type things to be trading now there's just near infinite and I think that that's like my shift in mentality it's it's sort of been brewing in my mind for a while that I really just want to be holding the Mages more than anything else maybe a small tiny bag to to gamble with and play meme coins or something

like that but that's where my head and and then there's the time investment required with all of it as well and there's so much time involved if you want to like have an edge in trading altcoins and mo coins and nfts and stuff which uh I don't necessarily want to be putting in 60 now days anymore I want to come back to something you said which was very interesting which is that you have more conviction in eth and BTC than you have in Soul maybe it's the echo chamber I'm in but I don't hear that a ton I I hear a lot more conviction in Soul right now so let's I don't want to but not yet let's come back to that first let's just can you give us a like what do you what do you ideally moving towards do you have an allocation

between the majors in mind let's talk first about the majors where are you at right now and what are you hoping to get towards yeah I haven't yet sat down I literally landed yesterday and been running around but like on the top of my list of things to do is like sit down and decide what I want my portfolio allocation to look like and then it's like how do I get there it is probably something along the lines of and now if you take my overall crypto portfolio and just looking at that maybe like 40 to 60% in eth probably around 20% in Bitcoin which is a big difference for me because I've historically never really held Bitcoin I've always tried to hold other things thinking they would outperform Bitcoin and then what's that put us to that's like 60 to 80% and then maybe

like 10 15% in Soul and then I'll probably find a couple of other tokens that I do have a lot of conviction in to match those and and some I want to keep in Stables as well so that's like a rough overview uh eth is going to be the biggest bag and then probably like Bitcoin and soul might be roughly equivalent maybe a little more Bitcoin and then stables and maybe want yeah which very much lines up with we did a show a few weeks ago with Kyle where we talked about uh the 8020 Rule and you hear a ton about the 8020 rule uh in many many areas of life but in crypto what we really believe is the 8020 rule is that 80% should be in the majors which is exactly the where you're Landing approximately somewhere around

80% between Bitcoin soul and eth and you decide what works best for you how you want to divy that up and then 20% is you know whatever you want to go play with I would say even for most of the people listening I would say you should probably be more like 10 to 5% in the others and like 90 95% in the majors because as you said you can't lose with the majors I mean I shouldn't say that but it feels a long enough time Horizon that's if that's lining up and as you said The more you the more you own the more you have to watch and the more you have to trade and that's very difficult so let's just go through each of the three Majors why eth being the most then why Bitcoin then why Soul give us sort of your your thoughts for each one eth

I've just always been incredibly bullish on it I see how much is being built you know people talk about there's too many layer twos what do all the layer twos have in common they all settle on E they all bring attention to eth it's all ethereum based people say oh gas costs people complain when gas is too high on E but also when it's too low when it's too low they're like oh it's a dead chain but then you look at Bass and and other l2s having so many trans and it's like what are you even talking about I think the tokenomics of eth are great you know ever since it became basically deflationary slash not as inflationary uh it became very very appealing from that perspective obviously we have the ETFs coming up basically any day now there's just to me eth is just the

mother chain it is obviously Bitcoin is the granddaddy chain of all all of crypto but in terms of the future I just feel more bullish on eth I think it can do more stuff and and have more practical use cases Beyond just acting as a store of value as a currency which Bitcoin is so that's why eth is my biggest bag and probably always will be Bitcoin is before before you go to bitcoin uh eth ETF any expectations uh like you said going to happen later this week early next week it seems like nobody knows when the SEC doing their own thing but any expectations there's lots of talk of will this lead to a pump or will this not maybe because markets are Cho right now and maybe it doesn't

get the same early adoption that BTC got any what are your thoughts there probably the the thing I'm most leaning towards it's just looking at what happened with Bitcoin and applying the same thesis here where you know no one knows what's going to happen but probably the most likely scenario in my mind is it dumps a bit early on um there like grayscale outflows and stuff like that and then over like a few week period or maybe it's a couple months it just slowly tends to Trend up I think it's obviously not getting as much attention as the Bitcoin ETFs I was like everywhere but I do think there will be uh you know the Larry fin will be on all the the news the finance shows talking about hey there's an eth ETF now and why that's important and you it'll get publicity

and attention and bring hopefully Capital to eth but because the market is so choppy I don't really see it being a massive Catalyst to to the upside um at least in the short term long term I think it's incredibly bullish for sure for sure okay let's go Bitcoin Bitcoin is that store of value the traditional inflation heads the you know it really doesn't need to do anything it just needs to survive which I can't imagine it not surviving it is the coin that tends to all other crypto tokens follow it you know if Bitcoin is it's very rare for Bitcoin to be crashing and other coins to be pumping especially other majors and I just think you know the more I think about it the more I think you know 5 10 15 years from now there's only 21 million Bitcoin so many of them

have been lost do we see a $500,000 Bitcoin do we see a million dollar Bitcoin I don't think that unrealistic in our life and I would just hate to have been in crypto for as long as they have been and just own no Bitcoin I think it's safe I think it's you know as I sort of uh a get older and B uh I guess my portfolio starts to grow again after it crashed so much in the last bear I'm stting to think more about like Capital preservation rather than multiplication or or growth as much and I think Bitcoin is it's still high risk as any sort of financial asset class but within crypto it's probably the lowest risk outside of say Stables obviously um so I I want to have a decent bag of that I think it'll it'll just make me comfortable help me sleep at night feel

good about having that level of exposure to crypto and Bitcoin and then soul is I am less bullish on it compared to bitcoin and E part of it is tokenomics like Soul has emissions and the token Supply is increasing in a way that neither Bitcoin or ether um so that's just like constant uphill battle which in a bull market it really doesn't matter that much things go absolutely crazy but when it's in a bare Market that's when it really starts to make a big difference and so my mentality for Sol which has been this way for a year really has been that it is probably one of the best plays this bull cycle but it will probably be one of the worst things to hold out of the ma is going into the next bear and if we look at 5 10 years I'm bullish on it but less bullish than

than Bitcoin and eath and so from that perspective I definitely want to hold some because I think it will perform really well this cycle but I don't necessarily want it to be bigger than my bigcoin yeah that's a really good point about the the tokenomics of of solar definitely a challenge that and and they've admitted that and they know that they have to address it but have yet to find any solution there uh okay so that's your 80 90% in the majors going to do a portfolio reallocation what are you going to do with the rest any any idea are you going to move it all into Stables you there's no way you're not going to hold anything

anything else no that's that's very true I mean part of the difficulty with all of this especially for my portfolio is how heavily I am in nfts at the moment and have been ever since because I got in in 2021 and nfts were my my big thing there was a point in 2021 when I think if you look at my crypto portfolio 99% of it was in nfts and ever since then I've been that number's been going down either because markets crashing or because I've been trying to sell nfts and and hold other things now we're probably sitting at like a 30% place right now which is you know obviously that doesn't work if I have 30% nfts I can't have 50% e and all the rest in s in Bitcoin so I need to get that that number down but a lot of them are not

super liquid nfts they might be like oneof one art or art blocks that haven't traded for a while and so either I can take like a 50% discount and and just like take the highest offer and and just take a big hair card and sell them there or it's like this is going to take a lot longer than I might want it to take I always say had a magic wand and I could get like 70% of my or 80% of everything I would would liquidate but that's not realistic and so that's probably going to be the biggest thing holding me back and so even if I am very aggressive which I probably will try to be in terms of taking bids accepting bids and and selling and undercutting flaw and just like getting out I will probably still be left with say 10 to 15% of my

portfolio is sitting in nfts that are holding value things like I want to keep a crypto Punk um I want to keep chromy squiggles I want to keep my fidenza and like just right there that's a ton of money let alone a bunch of other projects that I also want to hold and so maybe that is like my altcoin bag and I don't need to hold all sorts of mean coins and I don't need to hold all sorts of gaming tokens and all sorts of other things it's sort of like my high-risk play is is going to be my nfts and i' I've worked really hard over the last couple years really to get my nft portfolio into a place where it's really just the things I have like the most conviction in like really high conviction plays I've sold off a lot of the things that I don't have much

conviction in and so you know I'm a lot of this I'm figuring out in real time so just talking it through with you now I I I feel like that's probably what's going to happen an exercise I really like to do as well is to list out every token I have and every nft if I have the time and then in in like in an Excel sheet or Google Sheets and then in another column rank it in terms of how much conviction I have usually like low medium or high conviction and then anything I have low conviction in just immediately liquidate anything I have medium conviction in try to liquidate as well because why would I hold things I don't have high conviction in and that's probably what I'm going to do with all of my fungible tokens and I'll probably end up selling most of

them including things I have decent conviction in but again it's it's you know at a certain point you need to be ruthless and you need to take emotion out of the equation and that's kind of been one of the things that has helded me back in the past it's like I get emotionally attached especially to nfts but also it's it's tough not to get emotionally attached to fungible token bags when you know maybe everyone on Twitter is talking about a coin or you know you your your Alpha group chat of friends all bought into a thing and you like I want to be along with for the ride with everyone um or you just have a lot of conviction in in the team and you think oh the team there such great people they're working hard they're going to do great but maybe you're you're missing you know other macro

Market factors to take into consideration so yeah probably need to be pretty ruthless with selling a lot of other stuff but uh yeah not not to mention what happens when we hit the euphoric stage of this bull run right assuming we're right and there's the next leg up and this bull run is going to come the next one's going to be bigger than the first we're going to I think go through 2025 in a really exciting euphoric way you know how do you avoid it then that's when it's hard right that's so easy to get dragged back in any tips yeah that's that's really tough that's when I think you have to go one of two ways one is you just go all

in with everyone else and you you're you're 16 hours a day glue to your computer you're succumbing to some of the fomo you're you're trying to get 10 X's 100 X's you're you're in in the trenches so to speak the other is you just try to sit on your hands it's really tough but you're like all right I've set my portfolio up I've got my bags yes people around me are making 100 X's 10 x's and my portfolio is quote unquote only up 3x which is crazy good in any sort of conventional metric even 20% in a year is crazy good and just meditate try and find that Zen and be happy with it and go touch grass and get some hobbies and do other things and and enjoy the bull market without overtrading yourself to death death by a Thousand Cuts I think is very real in

this space it hurts so many people I mean if you look at this year this last 12 months Bitcoin and eth and and the Mages they're up so much money but so many people in crypto are down in their portfolios from this time last year or from the start of this year because they tried to you know they sold some e here and bought nft they s some s here and bought a mecoin and it's just like all this trading in and out is just bleeding people out I fell victim to it as well I got lucky and and hit some stuff as well so I'm probably upnet overall but again like if I had just liquidated everything at the start of 2022 and put it all into Bitcoin I would be doing better now than doing all this other stuff I have because bitcoin's done a 3X 4X yeah yeah

it's uh I mean it's it's it's the old wisdom of investing you know don't [ __ ] it up but unfortunately most do that's just human nature right how do you liquidate I'm just thinking about our listeners who have dead nfts how do you liquidate that do you have any tips is there any you know other than what You' said already is there any particular marketplaces you find good or and maybe you TR try to trade direct I'm not sure there any any ideas you have there or is there ways to liquidate something so you can at least get the tax benefit like let's say you spent a lot on something and you're like you know what I know this is never going to come up or at least I don't think

it's going to come back can you do that yeah you can definitely do the latter one and I'm learning all about that because um I've been thinking a lot about tax lately but in terms of um if you just want to sell and try and get some profit out of or some some salvage some money out of a dead nft that maybe you bought too high or or whatnot depends on the nft but usually first stop is blur and just go see like what's the highest offer is there a collection offer on this even if it's 0.01 maybe it's worth taking that um if there's like a 05 offer but the floor is like 0.2 then maybe you want to list at like .16 and just be okay with leaving it out there for a few weeks or even a couple of months it it depends on how quickly

you need need to liquidate or want to liquidate one great thing about nfts is you just never know when a Project's going to get a little bit of attention someone's going to come along and sweep a bunch of them and so just always being listed is probably a really good way to sort of get out of your portfolio but then yeah sometimes you just have to take really low bids or if there are none you know if it's like a let's say a oneon-one piece of art and it's like this thing is very liquid no one's even searching for it no one's really placing vids you might need to go out there and like you know go on Twitter go into some art discords and just like try and connect a network and say hey is anyone looking to buy you know a oneone by DK

or by you know just pick your pick your artist you I'm willing to sell it at at you this kind of a price and and Etc and maybe you find someone that's willing to buy that um they weren't necessarily looking for it so like having it listed wouldn't have found them but now that you come along and you're saying hey I've got this great piece and and um you know for whatever reason I need some liquidity I'm open to offers that's probably one of the better ways to get rid of um some of your like oneof one art collections again if you if you want or need to sell it um and then in terms of like the tax stuff uh I know that there are sites out there people have basically built businesses around this whole tax loss harvesting thing where they're like we'll buy your nfts at

Pennies on the dollar just so you can show that real loss or you can even find like other like a friend to buy it off you or I actually don't know if that's legal or not figure that out is that legal yeah maybe not but like there's got to be Z you want to sell me some of your nfts man I'll buy them there's got to be a way to like I mean and I know that there are to dispose of your assets for zero or near zero and it is definitely legal because I know a lot my tax lawyer literally told me that it's something that we can do so yeah there's definitely ways to do that and that's probably really smart a really smart thing to do for people who have a bunch of nfts that they're underwater on and maybe they got lucky with capital gains

on another area of crypto in this financial year whatever your financial year is and you get to the end and you're like well I can hope this nft comes back or I can sell it for one floss or whatever um or sell you know 50 nfts for a 0.01 e loss and it all adds up and and yeah finds some value that way I I just imagine our listeners right now and our viewers and there's two groups the one on that never bought nfts are sitting being like this is why I never bought nfts like thank God I said and everyone who bought nfts is sitting there being like yeah I'm fine yeah nfcs were yeah what a wild ride they they gave so much and then they took so much and um and it's the meme

coins of this market right you know right exactly what was what did I see the stat the other day that pump up fun has putting out 500,000 tokens new tokens a month right now 500,000 yeah oh my God there's millions of mem coins out there there must be dozens hundreds maybe thousands of bots that like scroll Twitter and anytime he on tweets anytime you know Biden or anyone tweets they're like all right let's just spin up a meme coin automatically put it out there see if it takes off and it's and it's only going to get worse that's the crazy part it's only realistically going to get worse and that's that's part of why I'm getting bearish on non- majes it's just

dilution of every other token basically yeah I completely agree when you do figure out your new portfolio allocation we'll have to get you to share it on the show yeah definitely it sounds like it might take you a few months to get there yeah hopefully less like hopefully by the end of this month I'm there and hopefully by by this time next week I've at least figured out what my ideal yeah breakdown is and then I have that goal to work towards by selling off things and and just slowly getting there all right well NE next week on the show you give us your ideal give us your ideal I can do that whether or not you actually get there so make sure you guys tune in next week same time same place every Wednesday every

Thursday sorry with uh with zenica on milk Road the milk Road Show Zen thanks so much for joining us again today thanks for having me as always in case you missed it here's what else happened in crypto news today ethereum C co-founder vitalic vitamin C took the stage at ECC in Brussels and didn't hold back on his assessment of ethereum's current state and future needs he highlighted ethereum's large and reasonably decentralized staking ecosystem and its vibrant International Community as major strengths he acknowledges challenges like the high barrier to entry for solo staking which requires 32 eth and the technical complexity of running a node however he does believe that these issues are

solvable and I would agree as well he emphasizes the need for protocol simplification to enhance ethereum's robustness and he wants to eliminate unnecessary complexities and vulnerabilities he expressed worries about potential 51% attacks acknowledging that the current defense strategy relies heavily on community coordination and may not be sustainable long term and finally as a concrete step towards mitigating attack risks butter proposed increasing the Quorum threshold for block finalization from 75% to 80% if you missed out on ECC make sure you check out milroad Twitter that's out milroad daily or follow our newsletter where we are going

to be having a full ECC rundown in the coming days that's it for the show today thanks so so much for listening in everybody have a wicked awesome day thank you for listening to milk Road radio the easiest path to get smarter about crypto if you like this episode share it and hit subscribe or follow so you don't miss out on the next one there's also a link in the description to our free 5minute daily newsletter where we simplify crypto for you while making you laugh and if you're willing to step up your crypto investing game then we'll leave a link to milk Road Pro as well your number one resource to help you invest successfully in crypto one final note this podcast is for educational purposes only and nothing we say is financial advice crypto is risky

so you should never invest more than you're willing to lose thank you friends and we'll see you in the next one