RE: New blood21 Jun 2026 15:08
Hello Botak - I am in total agreement with what you say.
I also had a considerable wedge of KR1, bought mostly in 1997 in the very early days of Kryptonite. I was impressed by the seemingly superb returns on the investments they were making in altcoins, and KR1 seemed like a good way to let "experts" pick the investments in what was a very confusing space!
I was also lucky enough to sell about half my holdings in the magnificent run up from sub 20p to just over £2 a few years ago, but I kept a hold of the remainder through thick and thin, thinking that the good days will return.
I have now sold the last of my shares, and have no holding. And I know I will never trust the dynamic duo in charge of KR1 again.
A few observations.....
The main holdings (eg Polkadot, Celestia, Cosmos, Lido etc) are all down by 90-99%. During this dramatic fall, you would have thought that a sale of some of the tokens to preserve capital would have been sensible, if those in charge really had their finger on the pulse and knew what was going on. But no, they held on blindly. I therefore doubt the capability of the Management of KR1 to recognise what is happening in the Crypto world. Maybe they were just lucky in the early days, when winners were common.
The management fee structure is now evidently ridiculous and will end up crippling the company if it is allowed to continue. It has to be revised or any and all profits will be lost to the dynamic duo in charge.
The final straw for me was their excitement at the new strategy which seems to be looking at providing returns based on yields of about 10%. Really? You are looking at some holdings down about 95-99% and you are excited at the prospects for them yielding 10%???!!! Get a grip!
I think that there is still a vibrant market for cryptocurrency, which will continue to evolve rapidly over the next few years. But KR1 are not the right company to invest in. I have no crypto holdings at present, but I will in the near future commit more funds to the sector, by buying Bitcoin which will still provide great returns if you are patient.
I fear that KR1 will continue to wither on the vine, the future is very uncertain.
As a footnote, in fairness, I would say that the profits I banked on the way up to the £2 level were excellent. I just wish I hadn't held onto so many as they fell back, but I really (wrongly) thought they would recover.
Good luck to all current investors.
FQS
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