ETH Trader Turns $87K into Nearly $40M After 8 Years

Profitable Buy-and-Hold Strategy

In February 2016, Ether (ETH) traded at around $5 per token. An investor took advantage of this price and purchased 16,636 ETH on the crypto exchange ShapeShift. According to Chinese crypto data account EmberCN, the tokens were acquired at $5.23 per token, making the total cost $87,006.

After holding the tokens for over eight years, the investor began selling some of their holdings. On September 16, the trader sold 350 ETH at $2,340 per token, realizing an initial gain of $819,000—almost 10 times the original investment.

Despite the sale, the trader still holds over $38 million in ETH.

Trader Acquires $1.5 Million NFT for 10 ETH

While a simple buy-and-hold strategy can yield impressive returns, a more complex move allowed a trader to acquire a $1.5 million non-fungible token (NFT) with only $23,000.

In 2020, fractionalization—splitting ownership of high-value digital collectibles—became a popular trend. One of the NFTs split into pieces was CryptoPunk #2386, a rare Ape-themed NFT with shades and a headband.

• The NFT was divided into 10,000 shares with 257 owners using a now-defunct platform called Niftex.
• Despite the platform’s closure, its smart contracts remained functional on the blockchain.
• Traders could propose a “shotgun” bid to acquire the fractionalized NFT by setting a purchase amount. If no one countered the bid, the asset would transfer to the bidder after 14 days.

On August 28, a trader proposed a 10 ETH buyout for the CryptoPunk NFT. Although some attempted to block the bid, the NFT was ultimately acquired by the trader.

Trader Loses $43 Million in ETH-BTC Bet

While many earn money trading crypto, some face significant losses. On September 14, blockchain analytics platform Lookonchain reported that crypto millionaire James Fickel lost $43 million in a bet, increasing his debt to $132 million.

The early ETH investor and founder of Amaranth Foundation had anticipated Bitcoin’s (BTC) price would rise against ETH. However, as Bitcoin outperformed ETH, the investor lost the bet.