Guo Hongcai's Decade in Crypto: Survival Wisdom from Tsinghua Auditor to Mining Farm Owner

In the long history of the crypto world, Guo Hongcai’s story is like a microcosm, condensing the entire process of the cryptocurrency industry from exploration to madness and then to rationality. This person, known as “Bao Er Ye,” exemplifies what it means to “survive through bull and bear markets” with his actions.

Going Unconventional: Guo Hongcai’s Tsinghua Dream and Original Intent

Born in 1983 in Pingyao, Shanxi, Guo Hongcai scored only 300 on the college entrance exam but had a bold idea—applying to Tsinghua University. Although he didn’t get into his first choice, he didn’t give up. He traveled alone to Beijing, rented a small room in Tsinghua Zhaolan Courtyard, and began a long-term side listening to courses. While attending classes, he pondered how to change his life trajectory. This experience laid the groundwork for his later entrepreneurial spirit.

By 2013, Guo Hongcai was introduced to Bitcoin. At that time, Garage Coffee was just an incubation platform for startups. One day, a “multi-level marketing master” came to explain blockchain, attracting many followers. This lecturer was later known as the famous blockchain figure Li Xiaolai. It was from this lecture that Guo Hongcai truly stepped into the world of cryptocurrencies.

Turning Point in Investment Decisions: The Bet in 2014

In 2014, Guo Hongcai officially entered the crypto scene, but fate played a joke on him—Bitcoin experienced a significant decline. However, this drop was a rare opportunity for him. He boldly bought大量 Bitcoin at low prices and decided to invest in building mining farms. This decision eventually materialized in Inner Mongolia, where he established what was then claimed to be the world’s largest Bitcoin mining farm.

From an economic perspective, the electricity cost to mine one Bitcoin in 2014 was about 5,000 yuan. Guo Hongcai’s mining farm produced 100 Bitcoins that year, demonstrating the foresight of his investment. Operating against market panic, this move became a key step in accumulating wealth.

Cultivating and Holding During the Bear Market

In 2015, the crypto industry experienced its first real bear cycle. The blockchain forums were quiet, and many retail investors left in loss. But Guo Hongcai chose a different path—he didn’t despair but instead enriched himself by watching movies to learn English and preparing for upcoming opportunities.

This perseverance paid off in 2016. Guo Hongcai was invited to the Davos Forum, dressed casually in a T-shirt and slippers, sitting among sharply dressed financial professionals. At this top-tier global economic forum, he fluently discussed Bitcoin, blockchain, and fintech topics, refreshing the audience and prompting the global financial community to seriously consider cryptocurrencies as a new force.

Focusing on the Bull Market and Shifting Focus

In 2017, Bitcoin markets started to recover, and Guo Hongcai finally “saw spring.” That year marked a turning point in his life. In August, he launched a live broadcast with over 100,000 viewers, recounting Bitcoin’s development over the years, recharging faith, and receiving gifts like flowers and rockets from viewers.

But the good times didn’t last. In September, domestic regulators issued important policy adjustments. Guo Hongcai responded by launching a series of “China Tours” to help investors establish rational investment views and actively align with policy guidance.

Wealth Changes Amid Market Reshuffling

2018 became the most dramatic year in the crypto industry. In the first half, markets fluctuated wildly, with frequent insider trading and project financing news, making the industry hotter than entertainment. But in the second half, Bitcoin prices plummeted, many influencers’ images collapsed, projects ran away, and investors suffered heavy losses. During this market shakeout, Guo Hongcai was not immune.

A candid drunken video surfaced online. In the video, Guo Hongcai admitted he had also been “harvested” by the market—he repeatedly bought the dip during the bear market, ultimately losing 400 out of 600 Bitcoins. Although this wealth shrinkage was lamentable, it also reflected that even seasoned industry figures are not immune to extreme market volatility.

Lessons on Long-Term Survival

After experiencing multiple bull and bear cycles, Guo Hongcai gradually adjusted himself. His story is not just about personal ups and downs but also a microcosm of the decade-long evolution of the cryptocurrency industry. From initial exploration, to industrial practice with mining farms, to learning and reflection during bear markets, and finally to experiencing the bull market and market reshuffling, Guo Hongcai exemplifies the industry’s core principles: continuous learning, rational decision-making, and respect for risk—values that are often more important than short-term gains.