Chinese Angel Investor Accumulated 10,000 Bitcoins in The Bear Market
Cai Wensheng, founder of selfie photo touch-up app Meitu and a well-known angel investor in China, in a recent interview with tech entrepreneur Wang Feng, said he had achieved the small goal of holding 10,000 bitcoins which was gradually purchased during the bitcoin bears since this January.
Cai digs his first pot of gold by trading domain names in the Internet frenzy in 2000. He is the founder of selfie photo touch-up app Meitu, whose photo-editing and sharing software for smartphones is hugely popular in China and other Asian countries, attracting 456 million users who post more than 6 billion photos every month. He is also nicknamed as a “grassroots angel”, making successful investment in Meitu Xiuxiu (photo editing app), Stormer Player (internet video website) and 58.com (classifieds website).
“When I clearly saw the future of blockchain and bitcoin, I set a goal for myself – owning 10,000 bitcoins, and now the goal has been achieved.” said Cai.
Wang: How many bitcoins do you own? When did you invest in blockchain projects? And how many projects have you invested so far?
Cai: Back in this January I had only several bitcoins, just to follow the trend. But when I realized that blockchain and bitcoin are the future, I set the goal of accumulating 10,000 bitcoins. Last December saw the great spike and I didn’t buy any bitcoin at that time. Later when the price corrected to normal in January, I started the career by gradually buying in bitcoins at low cost. And now the goal has been achieved.
In my view, the big difference between investment and speculation is the mindset. Suppose you buy in a stock share or a cryptocurrency but the price keeps falling after that, if you are an investor, you will be delighted at the stumble for it means good time to buy more in; on the contrary, if you keep complaining of the slowdown, no offense but I think you are actually a speculator. Of course, before you get started, thorough research and analysis is a must.
I’ve invested in a dozen of blockchain projects, such as Theta, Ontology (ONT), Cortex (CTXC), ArcBlock (ABT), Zipper (ZIP), YeeCall (YEE), Dxchain (DXC), Charter (CAF), some of which bring fairly high returns and some are still losing money. It is reasonable for me as blockchain is still in its early phase and practical applications are lacking, in this way, it needs more support and patience. In the long run, it’s promising. Time will tell.
It is the similar case with Internet in 2000, startups die away in batches when the Internet bubble burst back then, few made it. While if you bet the right one, the returns are beyond your imagination.
And for individual investors, more preparation work and patience is needed even though the project is backed by big names. After all those ICO scams and bitcoin bears, I believe investors have learned a lesson from the market. If you are optimistic on a project, it’s never too late to get in.