Don’t buy Bitcoin to get rich, buy Bitcoin to keep from getting poor
With Bitcoin revisiting the $50K mark, many people may feel like they have missed the boat and are priced out. This can lead them to either ignoring the crypto market or looking at riskier crypto plays attempting to capitalize on the bull run. However, by reprogramming your thoughts towards Bitcoin and recognizing it as a preventative tool, you may be able to preserve and diversify your wealth.
Do you exercise? Chances are that you see the benefits of raising your heartbeat, breaking a sweat, and getting your body up and moving. But why do you exercise? The answer to this question varies: lose weight, maintain weight, feel better, look better, enjoy surroundings, get outside, build strength, live longer, social aspects, sports, transportation…The list can keep going on.
And most of us agree that exercise is a positive for a healthy livelihood. Like exercise, Bitcoin serves multiple functions depending upon the individual. Some of the reasons people buy Bitcoin: price appreciation, yield, diversification, speculation, shelter from a depreciating currency, sending money, fear of missing out, transferring wealth, philosophical ideals…The list can also keep going on.
Savings accounts are deteriorating wealth
Generally speaking, people exercise to feel good and live a longer and fuller life. They want to protect their bodies from ailments and to look and feel good. Just as exercise provides physical and mental health, owning Bitcoin can provide fiscal and monetary health.
Money is one of the most important things in our lives. We didn’t make the rules to the game, but we must abide by them. Money provides time, freedom, and security. The world has limited resources and money allows us to access these resources. And, as the world’s population keeps spiking and resources run lower, money’s importance is growing.
One problem is that most wealth is distributed and measured via fiat currencies. These currencies have no minting cap and, as we have seen, central banks are continually experimenting with money printing and interest rates. Because there are no defined rules in how the global monetary system works, having all of your wealth tied to this system could be seen as risky.