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BUSINESS Thursday 10 March 2022
‘HODL’: A typo takes hold as a sound cryptocurrency strategy

By ANDY ROSEN The devotion among
of NerdWallet HODLers comes from the
Late in 2013, with bitcoin culture surrounding bitcoin
prices in the middle of a and other cryptocurren-
steep dip, a post appeared cies, says David Duong,
in an online forum featuring head of institutional re-
a misspelling that would search at the cryptocur-
become legendary: “I AM rency exchange Coinbase.
HODLING.” For some, cryptocurrency
The mangling of the word represents a vision of eco-
“hold” captured a kind nomic change that is big-
of irreverent blind faith of ger than themselves.
some early cryptocurrency One of the distinguishing
adopters, and it has since features of so-called block-
become a part of the lexi- chain technologies such
con of digital assets. as cryptocurrencies is that
But “HODL” is more than they could theoretically
just a meme. According be used to create “de-
to financial planners and centralized” products and
analysts, it’s also a ratio- services free from the costs
nal response to a market and controls imposed by
whose ups and downs are authorities such as bankers
exceedingly difficult to pre- and regulators.
dict. An advertisement of Bitcoin, one of the cryptocurrencies, is displayed on a building in Hong Kong, “The people who are in the
“The holding part of it is on Nov. 18, 2021. Associated Press space very much have a
important because it’s a belief about the transfor-
nascent industry, and as a TRADER.” years — rather than trying Many long-term HODLers mative nature of the tech-
retail investor you are not A TIME-TESTED STRATEGY, to time short-term peaks take the examples of suc- nology itself,” Duong says.
well-equipped to be able WITH LIMITATIONS and valleys. cessful gains as a validation YOUR DECISION: IS HODL
to capture the volatility The utility of HODLing, like With cryptocurrency, Mor- of a strategy that at times FOR YOU?
and to trade the assets,” any investment strategy, rison says, the importance can border on zealotry. In You don’t have to be a
says Theresa Morrison, a has its limits. Even a long- of patience is even higher. online forums devoted to cryptocurrency disciple to
certified financial planner term cryptocurrency inves- The volatility is more ex- cryptocurrency, users can learn something from the
in Tucson, Arizona. tor would be well-served to treme, but the long-term be shunned for liquidating HODLers. If you believe in
Indeed, the original HODLer articulate clear goals and gains have been quite ap- part of their holdings even the value of your invest-
in 2013 had no illusions to monitor the emerging pealing. after significant long-term ments, you might be less
about their ability to play space for systemic risks. If you invested $1,000 in gains. likely to panic in the face of
the market. But the post But in general, the idea bitcoin on the day of the “There is nothing wrong with market turmoil.
conveyed a confidence of investing for long-term, original HODL post, it would locking your profits,” one A good strategy, Morrison
that time would improve rather than short-term, be worth almost $63,000 in user on Reddit’s CryptoCur- says, is to have a strong
bitcoin’s fortunes. gains is not a new one. early 2022. But there are rency message board la- idea of why you’re invest-
“WHY AM I HOLDING? I’LL One time-tested guideline countless people who have mented recently. “Don’t let ing in something when you
TELL YOU WHY,” their mes- for investing in the stock lost money trading bitcoin anyone make you feel bad buy it. And when you’re
sage read (this time spell- market is to put money in in the meantime, buying it about it. Even if you lock tempted to sell it, a key
ing “hold” correctly). “It’s only if you’re willing to keep when it was high and bail- your profits at 50%, you are question is whether some-
because I’m a bad trader it there for the foreseeable ing out after a disappoint- still 50% up.” thing about your analysis
and I KNOW I’M A BAD future — say, at least five ing fall. AN ARTICLE OF FAITH has changed.q

Harvesters of valuable baby eels hope

for a stable 2022

By PATRICK WHITTLE fluctuated wildly since the Fishermen Association.
Associated Press start of COVID-19 pandem- The price of the elvers re-
PORTLAND, Maine (AP) — ic. They sank to $525 per bounded last year in part
The industry that harvests pound in 2020 and rose to because of greater ease
one of the most valuable about $1,850 last year. in international trading at
fish species in the United This year’s season begins large during the second
States is hoping for a more March 22 amid another year of the COVID-19 pan-
stable year in 2022 after cloud of uncertainty. The demic.
two years of volatile price season is always depen- The eels themselves also
swings. Fishermen in Maine dent on weather condi- cooperated. Maine’s fish-
harvest baby eels, called tions and the timing of rivers ermen are limited to a little
elvers. The elvers are some- thawing, because that al- less than 10,000 pounds Baby eels swim in a tank after being caught in the Penobscot
River in Brewer, Maine, on May 15, 2021.
times worth more than lows the eels to run and be (4,535 kilos) of baby eels Associated Press
$2,000 per pound because fished with nets. Unrest in per year, and they have
they are vitally important for Europe also has the ability reached or approached quota is tapped out. maturity and used as food.
Asian aquaculture compa- to disrupt the international that number for several The eels get sold to Asian They are used in Japanese
nies. Maine is the only U.S. supply chain for seafood, years in a row. The fishing aquaculture companies dishes, and some return to
state with a significant fish- said Darrell Young, co-di- industry ends for the season that use them as seed stock the United States for use in
ery for the eels. Prices have rector of the Maine Elver in early June or when the so they can be raised to sushi restaurants.q