blueshoyru on Nostr: #bitcoin is the only storehouse of wealth that does not leak purchasing power to ...
#bitcoin is the only storehouse of wealth that does not leak purchasing power to third parties
If you sold bitcoin where would you put your money in order to protect your purchasing power
Stocks? You have to have a masters in finance/accounting and a CFA to properly value some of these companies + there is risk with company obsolescence, competition, and potential for poor management
Bond? These contracts will almost certainly underperform inflation unless… you have a masters in finance/accounting and CFA buying distressed corporate debt that is much more risky. So you also need a fair amount of luck
Cash? Heck no, guaranteed to lose money
Real Estate? Maybe could work, but you after calculating your rate of return after property taxes, insurance, repairs, other upkeep, the returns may not be that great. And what if the government takes your land for highways or other projects. What if you have squatters on your land/property. And the government taxes you on any gains, whipping out any remaining positive return… plus it’s illiquid
Gold? It would work to an extent, but where do you store it, what is the cost, how do you sell a million dollars worth of gold? How do you transport it? What is the disposition cost? Where will you find buyers?
After thinking through all the options there is no alternative that reliably protects value without massive trade offs in liquidity and other risks. In order to save money successfully without Bitcoin you need to have a masters in accounting and Finance, have CFA and then maybe you have a chance of coming out of par with monetary inflation!
If you sold bitcoin where would you put your money in order to protect your purchasing power
Stocks? You have to have a masters in finance/accounting and a CFA to properly value some of these companies + there is risk with company obsolescence, competition, and potential for poor management
Bond? These contracts will almost certainly underperform inflation unless… you have a masters in finance/accounting and CFA buying distressed corporate debt that is much more risky. So you also need a fair amount of luck
Cash? Heck no, guaranteed to lose money
Real Estate? Maybe could work, but you after calculating your rate of return after property taxes, insurance, repairs, other upkeep, the returns may not be that great. And what if the government takes your land for highways or other projects. What if you have squatters on your land/property. And the government taxes you on any gains, whipping out any remaining positive return… plus it’s illiquid
Gold? It would work to an extent, but where do you store it, what is the cost, how do you sell a million dollars worth of gold? How do you transport it? What is the disposition cost? Where will you find buyers?
After thinking through all the options there is no alternative that reliably protects value without massive trade offs in liquidity and other risks. In order to save money successfully without Bitcoin you need to have a masters in accounting and Finance, have CFA and then maybe you have a chance of coming out of par with monetary inflation!