741 sats \ 11 replies \ @kurszusz 9 Feb \ on: How can one create passive income through one's bitcoin (profits)? Personal_Finance
Fact: 100% passive income does not exist (imo)
To have 800 Euro monthly income:
It depends on how much money do you want to invest for this "semi passive" income. I think you need around 80k initial capital (1% monthly income) to realize your target with minimum risk (because it easy to say...put 800 euro on "black" on the roulette, and double your money...but this is not investment, just gambling).
If you thinking in digital are, you can try to run some nodes.
But...you can try to create digital content on youtube / tik tok.
It depends also in which country you live, becuse of specific laws about taxation, etc...
Exactly. Believing in passive income is literally a mental illness. It may be milder than, say, believing in MMT or soviet communism, but it falls within the same category. Just like with a shitcoiner, I do not see value in "arguing" with these sort of people. If they want to be humble and seek to learn, I am happy to spare some time for them.
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Passive in the sense of not having to actively work for said yield / income.
You don't have to actively work on renting-out a property each day, there's work attached to it, but that can be done outside of a regular job, too.
You're one of the zealous nutcases it seems.
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Get a part time job then, bum, and call things what they are! Or buy stocks. You're a nutcase that loves buzzwords. You're just asking people "how do I make money in ways that have non linear upside rather than being proportional to the time I spend working on them?". That's not what passive means.
As someone who has a business that I have gotten to the stage of your definition of passive where I don't have to actively operate, I can tell you precise communication with whoever your point person is is the key thing that still matters.
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lalalalala, I'm not listening
To the extent "passive income" is a real thing, it is not available to arrogant imbeciles such as yourself as it requires a modicum of intelligence you obviously do not possess. There is a thing called bitcoin that you might want to learn about.
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Fact: 100% passive income does not exist (imo)
Why not? There are plenty of families that have been relaxing for 3 generations due to owning companies, stocks, landlords
I think you need around 80k initial capital (1% monthly income)
Anyone with a minimum of serious investment experience will tell you that's nuts. A return of 12.7% annually is unsustainable in the long run.
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To own companies => not a passive income, because you need to involve in company decisions, make the good decision depending on the market / demography / changing laws / etc conditions. So it is not a passive income at all.
To own stocks => you also need to follow the market, the FED policy, the new technologies, whales, etc... => alsno not a 100% passive income.
To be a landlord: you have a lot of CAPEX cost (liming, wall painting, changing installations, etc)...these costs are around 10-15% from your profit. Plus, you have the risk that the chartere mooves out, and until you find the next (for this you also pay for a real estate agent) you will have a loss of income.
In plus...all of these previous 3 needs a major investment ;)
About your affirmation "return of 12.7% annually is unsustainable in the long run" I think it is really sustainable. Not 100% passivelly, but it is sustainable long term.
BUT...as I said in my previous comment....these are just my personal opinions, based on my past experriences.
Hope you don't hate me, because I don't agree with you 100% :)
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It's a good point, that what counts as "passive" income is pretty complex. How much is a person willing to do? My friend "passively" makes a nice income with rental properties, but kills himself with the maintenance, responding to issues, etc.
Even the most passive of the passive things are active someplace, even if it's regulatory capture or something weird and indirect.
EDIT: should have read further, @kr already made this point.
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To own companies => not a passive income, because you need to involve in company decisions
Just own shares and relax. (Edit: i a bitcoin context this would even apply to EVERYBODY. Everything or all of the world GDP divided by 21 million.)
About your affirmation "return of 12.7% annually is unsustainable in the long run" I think it is really sustainable. Not 100% passivelly, but it is sustainable long term.
We can argue about the first point but you're unambiguously wrong on this one. The trinity study is one of the most fundamental works in the science of economics and talks about 4%. For economists even 4% is highly controversial. Your 12,7% are so far out of the question.
Hope you don't hate me, because I don't agree with you 100% :)
Nah. As I said, we can discuss what "passive" means. Fun little discussion. But I won't let the 1% monthly return slip. That's actually dangerous advice to people - especially if someone was to actually plan to retire on this math.
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If you talk about the 4% yearly income, based on your investment as net profit, AND in NPV (Net Present Value)...maybe I can agree partially...
But if you talk just simple as 4% income... => you're in loss, because of inflation (which is bigger than 4$)...I talk about the REAL inflation, not about the FED "math" ;)
I will tell you an example: here, in my city (it is almost the most expensive city in Romania) you can buy a block house of ~70 square meter for around 100k euro, and you can rent it for ~700 euro / month. This is also much more than 4% yearly income...but if we take in consideration the additional costs, a part of this income will evaporate (issues, government taxes, real estate agent, etc)...