Siren #1 Put Money In
When you invest your money into something, you are looking to win – to get an additional reward for the money you put in. Feelings of seeing something you invested be worth 2x of what is was is undeniably sweet. Problems start to arise when this ‘feeling’ takes over. Let’s say I am playing blackjack at a casino and I have had a 10 game winning streak. I am feeling that feeling of being on top of the world.
Sirens start talking: “Put more money and you can earn more”. “Your winning streak is not going to stop. You should go at it while your luck lasts.”
The voices are not just internal. Influencers are putting videos out like crazy with titles like, “Don’t Miss the Bitcoin Pump!”
Mainstream news outlets are busting out headlines like “Stock Market Breaks Record in Decade!” These collectively create Fear of Missing Out (FOMO).
Inexperienced investors are lured by the whispers of ‘don’t miss out on this opportunity to be a billionaire” and they pounce on the opportunity with all that they have. More often than ever, they get shipwrecked and lose all of their money. They fail to be like Odysseus and his crew who managed to resist the siren’s song.