Investing In DeFi When Something Unexpected Happens

So just a couple of weeks ago I lost my job. I finished serving out my two week notice period and am looking for a new job. It’s not a great time of year to lose your job because it’s more difficult to start a new job leading up to the Christmas-New Year period. Most organisations are wrapping up their recruitment as well. The good news is that I will probably have a lot more time to spend writing Medium articles which is something I enjoy doing.

Make Sure You Put Money Aside

Thankfully for me, I put some money aside and I didn’t put it all into crypto or DeFi. This means that I don’t have to desperately accept the first job offer. I had a really bad job interview yesterday and will not accept another interview but I would be surprised if I got another chance. I could beat myself up but I have been around long enough to know when it simply won’t work.

I must also admit that the 9–5 is not appealing to me so perhaps this is the opportunity I was waiting for. Quitting your job is hard to do but when you’re made redundant the choice is taken away from you. Thankfully, I put some money aside so I have options but I am also wishing I put more aside.

How This Will Impact My Investing?

I still have a couple of pay checks and my wife and I have exercised some immediate expense reductions. We are in the depths of a dreadful bear market so I really don’t want to be selling my crypto or DeFi investments at these prices. The market could fall lower of course and get even cheaper but I am aiming to not sell my existing investments. I could do this if things get really grim. I will also be considering to what extent I can simply HODL.

Focus On Passive Income

My baseline strategy is to cash out about half of my passive income. This ensures that I can sustain the payouts over a period of time rather than reduce my ability to grow my portfolio. Here are some specific strategies I will look to implement:

a) Animal Farm

• Pair BUSD with DOGS to earn PIGS. As much as I don’t want to do it, I will be selling half the PIGS I earn and placing the rest in the Pig Pen.
• Deposit BUSD/USDC LP to earn DOGS. This will be like a high risk savings account that will increase my earning power on the Animal Farm. This balance may reduce over time.
• Cash out the BUSD I earn in the Pig Pen.
• Place half my DOGS in the auto compounding vault. I will place the other half in the linear pool then cash out the BNB. If I need to, I can break the DOGS/BNB LP and cash out the BNB.
• Do a 5–2 compound/claim strategy on DRIP. I had previous been hydrating exclusively.

b) EMP Money

• Do a 5–2 claim strategy for Detonator and Reactor then split the LPs. I will cash out the ETH and BNB but stake the EMP and ESHARE. My aim is to never sell EMP so I can retain VIP status but I may look to take profit on ESHARE when the price improves.
• Sell the MDB I earn from the Sentinal Squadron NFTs while staking the ESHARE.
• Sell xGRO that I earn from staking EMP.

c) Bomb Money

• I will gradually sell a portion of my BSHARE. I had intended to hold on to it but it will not be working for me. I still think I can earn BOMB from boardroom prints in the not too distant future but I no longer have the luxury of waiting.
• Sell share token rewards from the sister protocols.

d) MDB

• I will be putting an allocation of funds into Pheonix+. My aim is to earn some passive income from this while taking a little bit of risk.

e) Other Considerations

• I have Bitcoin miners operating at a loss. I would like to keep these running but this is pointless if I sell my BTC. My plan is to keep the miners running by using my stable coin holdings to pay my electricity bills.
• I also plan to buy the Truth Seekers token so that I get the NFT. I may need to sell some tokens after launch.
• I will be looking for ways to get my current assets yielding income. If they aren’t doing this then I may need to swap them for an income generating asset.

Not all the money I have will go into DeFi. Very important point. I could lose everything so I have decided to be relatively conservative for now. I will also be avoiding any new ROI dApps. Another thing I will be looking at are side hustles. I’m not necessarily counting on Medium articles but I’ll give it a shot.

Final Thoughts

In many ways I got my wish. I have been thinking about what it would be like to not worry about a 9–5 job. I can take my time in the morning and spend more time in my Bible reading. I can also try my hand at learning to live off crypto and other side hustles (relying on crypto alone would be living on the edge). Meanwhile, I will still hunt for a job because I have bills to pay but I don’t need to panic search.

Losing my job and relying more on my crypto has definitely impacted my approach to how I manage my portfolio. I’d be interested to know if others have experienced this and how they dealt with it.

Disclaimer: None of what is written in this article constitutes financial advice. Investing in cryptocurrencies, and in particular decentralised finance, is high risk. What I write is not a recommendation to invest in the projects I discuss. I am not aware of your personal circumstances. Only invest what you can afford to lose. Make sure to do your own research rather than relying solely on my content.

Animal Farm Links

Animal Farm Home Page: https://defi.animalfarm.app/

Drip Community Wiki: https://dripcommunity.wiki/

Animal Farm Referral Link: https://defi.animalfarm.app/farms/0xDa805dBC6530c9ed1360b7c61624613c4Fe380a9

Piggy Bank Referral Link: https://defi.animalfarm.app/piggy-bank/0xDa805dBC6530c9ed1360b7c61624613c4Fe380a9

EMP Money Links

EMP Money Homepage: https://emp.money/#/

Detonator Referral Link: https://emp.money/#/detonator?ref=0xa7AC3Ea7D8dEC039F459934Cb0d0152a2e2B28f1