I agree that remaining ancillary is the way to go. It should allow you to profit during the bubble while not assuming the full risk of being directly involved.

I agree that remaining ancillary is the way to go. It should allow you to profit during the bubble while not assuming the full risk of being directly involved. The example that comes to mind is Samuel Brannan [1] who monopolized the sale of mining equipment and profited handsomely by selling to the miners themselves. Focusing on something that has a tangible value outside of the bubble (physical goods like shovels and picks) can help in cutting your losses if the bubble bursts at an inopportune time. [1] - http://en.wikipedia.org/wiki/Samuel_Brannan http://en.wikipedia.org/wiki/Samuel_Brannan