Previously, I asked about whether BTC is your one and only. While some Stackers make use of retirement funds and other asset classes, others go all in on Bitcoin.
Yes it took me several months to ask the obvious, but here’s my question: if you are living the BTC Standard 💯, how do you grow your money? After all, you can’t stake your BTC like how you stake shitcoins. (Not that it’s worth it anyway.) And running a node isn’t exactly the most profitable endeavour.
Waiting for the first Stacker to accuse me of being from Fed xP
Bitcoin is savings technology. You spend ONLY on things you REALLY need. You always make sure you earn more than you spend. In time, your sats could buy more stuff, because is scarce and more people will want it.
On the other side, fiat is spending / debt technology. You are pushed to be forever in debt, so you cannot save anything. Fiat is forever debt, forever consuming for things you don't really need.
https://i.postimg.cc/7LF0qWzw/magic-internet-money.jpg
STOP thinking of your "wealth" in fiat terms. This is the biggest barrier that many noobs still do not want to understand. Don't try to fit Bitcoin in existing system. Adapt to how Bitcoin works, you are the one that must change, not Bitcoin. If you are not capable to do this change, you will simply die in misery, like many shitcoiners full of fiat mindset.
You work.
Exactly. Continue to hone your skills so you can earn more then you previously did.
This mindset, is one I personally struggle to shake - but the logic that you have to work/take-risk twice for your money, is an artifact of fiat. It makes sense you have to work/take-risk once, to earn wealth, but working to preserve your purchasing power is a little messed up.
You grow it either by:
a) Working for it b) Taking calculated risks (lending it out, making trades, etc.)
I don't believe "risk-free return" can exist in a free-market system such as Bitcoin.
You can get paid for doing coinjoins with joinmarket. I'd call it damn close to "risk-free". Only risk is hot wallet risk
Interesting. What rates do you get? I've never tried it.
It really depends on how much you put into the wallet and how big of a fidelity bond you make. It's not a lot, but it's not zero. I make maybe like 30ksats a month.
Thanks for this! Will look into it. How much do you have to put in to get 30k sats every month, if you don’t mind sharing?
It's a non-trivial amount, but you can compensate by using a longer locktime. I think my success comes from setting a 4 year locktime
Thanks for this. Made me realise that the notion of passive income is quite unattainable for BTC haha
https://m.stacker.news/23530
I see that this message is going around! Haha. Darthcoin posted it too
I don't understand why this question was posted into "bitcoin_beginners"... This question will not help in any way any beginner, but more confusing.
If you are being paid in fiat. You work hard, earn fiat, pay all your expenses and sweep the rest into bitcoin. It increases your purchasing power over time, hence your wealth.
If you are paid in bitcoin. You work hard, earn bitcoin, pay all your expenses (might have to convert some to fiat to do this but hopefully you have most of your expenses arranged for bitcoin payment or buying gift cards with bitcoin to pay most of your expenses), save the rest, it increases your purchasing power over time, hence your wealth.
Long term there will be opportunities to lend and borrow with bitcoin, to invest in private companies and startups but where we are in the adoption phase none of that really makes sense right now because unless you hit the next Uber doing start up investing you aren't likely to outperform simply holding bitcoin.
Nicely put. How do you adjust your mental frame when BTC goes through a dip n you have to expend more sats on something than you normally would?
Everyone has fiat expenses where there’s a 30 day or so period where you’re holding fiat until your bill is due. What if instead of holding fiat, you allocated that money to btc and let it sit there for a couple of weeks? Then once the fiat bill is due, exchange your bitcoin for cash.
Ideally your bitcoin has risen in value over the few weeks and then when the time comes, you’re exchanging LESS sats for same amount cash, then you slowly see your expenses, when priced in bitcoin get lower.
**There are A LOT of caveats to this but I’m just keeping it broad.
Good call. The thing is, the crypto payment firm takes a 2% service fee if I pay for my bills with BTC. So I must see if BTC has appreciated sufficiently in value for me to recoup this fee haha. But it’s early days for Singapore yet. I m sure this service fee will go down if more n more Singaporeans pay for our bills with sats
That makes sense. If you have close friends and family that are stacking sats, another way is to exchange your BTC that’s allocated for bills for fiat if they’re also stacking sats. Everyone wins.
I m almost sure i will not be a bitcoin millionaire but i m SURE i will not be a fiat millionaire.
I like your principled nature
Anything that you invest in will have a worse ROI than BTC. For example you could buy Coca Cola stock which may not be too volatile and pays dividends however you would be better off if you just buy BTC directly. Passive income is a nice thing however it pays in shitty fiat.
TIL passive income is so associated with the fiat mindset that some Bitcoiners just don’t want to be bothered with it haha
You save in the hardest money ever created.
Hard truth
Mining
Trading labor for bitcoins
Working and create value for others?
Trading options or derivatives on MSTR?
Betting on micro strategy stock
Oh what’s that? Could you elaborate more?
your labor / business needs to be cashflow positive in comparison to your expenses over time to grow your wealth...btc is irrelevant to this question imo
I still have regular income in fiat, which I convert into Bitcoin all the time.
Also, I keep a small part of my BTC as BPro, which gets a small free leverage on BTC price from the minting of Dollar on Chain (DoC), the Money on Chain stable coin pegged to the USD and backed by Bitcoin on the RSK Bitcoin sidechain.
Just wait.
Time will tell...
Eu sigo investindo e esperando subir cada vez mais, vivo na simplicidade.
The way I see it:
You're either saving in Bitcoin, which should preserve your purchasing power, or at best will massively increase your purchasing power as it is an undervalued asset...
...or you are lending out your capital to get returns on it, here most of your options are fiat-denominated.
Bitcoin-denominated lending is effectively shorting Bitcoin - not something I would like to be on the lending side of.
I see it as savings tech but if you feel what you're sitting on cannot be drawn down or the annual CAGR isn't offsetting your consumption you've got to either sell your labour, fund others labour by starting a business or buying into a business that has cash flow but with all of that comes risk
No pretty way to slice it really
I work on r gular work. Get paid with local currency. Buy food, clothes, rent with this wage, all extra fiat sell to buy couple thousands sats and wait when people around me start to use sats as local currency
Wtf? What a retarded question.
You work more than you consume or take actual risk with investment and no one gives you free money. Is that really so unimaginable you had to make an entire post?
https://private-user-images.githubusercontent.com/4932163/268708815-7597fedf-be9b-4022-aee8-8dd80d14930c.jpg?jwt=eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.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.BfCqXuWcq158425DIyqZanPPGE-doNhoy6ZFpsMDw8w
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Shitcoiners always have deep inside their mind the "yield" or "passive earn" that was promoted for several years. Putrid fiat mindset.
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