In this email, I want to share my "biggest" experience of getting liquidated since I started.

The background is that I have been able to pull some living expenses from the blockchain every month, especially when the blockchain was hot from the end of last year to the beginning of this year. My partner has been eager to play with coins since the beginning of the year. But he is like Ye Gong who loves dragons; now that it’s almost the end of the year, he hasn’t even registered on any exchanges, and he still has a half-baked understanding of concepts like perpetual contracts, funding rates, and on-chain memes.

One day in early October, I accidentally found that I had less than 1000u in my account, so I thought I would take him to experience it, "learning through practice". I opened CMC and let him randomly choose a coin that looked good to him, randomly set a leverage multiplier, and played around, because the market was doing well in early October, I thought the probability of getting liquidated was low.

He had a good hand, chose $CRO , and went long with 10x leverage. That night, he doubled his investment. He has already earned enough for an iPhone 17 Pro. I asked him if he wanted to cash out. He thought for a moment and said, "I want to make 10 times my investment." As he spoke, he picked up my phone, opened the exchange, and fantasized about the support and resistance levels, "You see, I think it can rise to here, then we will have 10 times our investment."

Why 10 times? Because 10 times is nearly 1wu. We are all studying at USC, and 1wu happens to be the tuition for one course.

The rest of the story is well-known, profits retraced, and then there was a week when we had an argument. I couldn't be bothered to check the account and just let it get liquidated.

This story actually reflects a mistake that beginners are prone to make. It reminds me of when I first entered the crypto space. Forgetting objective facts and using one's own subjective desires as the basis for decision-making. The question is, why should that be the case?

In the cryptocurrency world, everyone wants to make money, but especially for newcomers, do not forget to "discard subjective wishes and respect objective facts."

In a nutshell: Remember to take out your capital when doubling! 😂