I entered the crypto space in 2017 and experienced five liquidation events. The worst one wiped out over 300 coins in just two nights, with the account wiped clean—only my phone's battery and a bit of warmth remained. That night, lying in bed, I kept asking myself: It's over. Is this how my life is going to be from now on?

Only later did I realize that those opportunities with huge profits are often hidden in the gaps between two extreme emotions—one is extreme panic, the other is extreme greed. Most people get stuck swinging between these two emotions.

Today, I want to share three rules from my heart that helped me grow my account from 3,000U to 96,000U. These rules sound counterintuitive, but they can really save your life.

**Rule 1: Capital is life, profits are a knife**

Do you know where most people die? It’s by mixing their principal and profits together. They want to add more when they’re making money, and try to recover when they’re losing, ending up going all-in and losing everything.

My approach is very simple and brutal. Take 3,000U as an example—I split it into two parts:

2,500U as the "coffin fund," welded into the account and untouchable. Not even the gods can interfere—this is the last bottom line.

500U as the "attack team," used specifically for fighting. If I make a profit? Great, I add the profits in. For example, if the first trade earns 300U, the attack team becomes 800U; then I keep going, earning another 500U, and the attack team grows to 1,300U. It keeps rolling like this.

The key point is: if the attack team loses, I only lose the profit part. The 2,500U principal remains intact forever.

Here’s a real example: last year, I was trading Ethereum with a brother. He started with 500U and made 200U profit. Then he used that 200U profit to do three more trades, and his profit position eventually grew to 3,000U. But guess what? His principal of 2,500U was never touched. He later told me that before, he couldn’t sleep at night using a all-in approach, but now even if he loses, he can eat peacefully. The difference is huge.

**Rule 2: Don’t put all your eggs in one basket, but don’t have too many baskets either**

The most painful phrase in crypto is: "All in at once, and the world ends in a flash." I’ve seen too many people believe a coin will multiply ten or a hundred times, then go all-in, only to wake up to find everything gone.

So diversification is important. But more isn’t always better.

When I had 3,000U, my rule was: no single coin should exceed 10% of the total position. That way, even if one coin crashes to zero, my account can still survive.

When my funds exceed 10,000U, I allocate across three main directions. Not trying to spread into a dozen coins—that’s counterproductive and makes it easy to miss out on any wave. Three is enough: one defensive (like Bitcoin, relatively stable), one offensive (higher risk but higher potential small coins), and one experimental (for testing, acceptable to lose).

This way, I can manage risk while avoiding over-diversification that causes missed opportunities.

**Rule 3: Set take-profit and stop-loss levels in advance, don’t wait for the market to shake your mind**

This rule tests human nature the most. When you see a coin rising, you think: “Wait a bit, it might go higher.” When losses grow, you think: “Hold on, it might rebound.” The result? Chasing highs leads to losses, and stopping out at the wrong time also costs you. Your account can vanish in a flash.

My method is: before entering a trade, set your target profit and risk tolerance. For example, decide beforehand: take profit at 20%, cut losses at 10%. No matter how the market fluctuates afterward, execute when the time comes. It sounds simple, but when actually doing it, the mental tug-of-war… you need some discipline.

I’ve seen too many people who make money but can’t let go, only to give it all back or even lose more; others hold on to losses stubbornly, and the losses deepen.

In summary: turn trading into mechanical execution, don’t let emotions influence your decisions. Your principal is like your life—once lost, it’s hard to recover. But if you protect your principal and give it time and space, the power of compound growth can turn small numbers into big ones.

These three rules may not suit everyone, but for me, they’re like talismans. On the journey from 3,000U to 96,000U, it’s all about repeatedly following these counterintuitive disciplines.