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This is the first update to be featured solely on Stacker News! I decided to stop using medium and focus all of my writing content on this platform. My content medium will serve as an archive,

Background

The goal of this experiment is to showcase how buying bitcoin and holding can beat stock picking. Motley Fool is pretty well known in the investment space and they charge customers are good amount of fiat for access to their stock selections. 3 years ago I got a free offer via my credit card to try Motley Fool’s stock advisor product for one year. Using a simple dollar cost averaging strategy (DCA) I purchased their recommended stocks and bought bitcoin. The results are below.

Performance to Date:

Bitcoin:$5,978.82 (Return of 182.75%)

🔥🚀 3…2…1… BLASTOFF 🔥🚀

What a quarter. 3 years into this experiment bitcoin had returned about 81% in fiat terms. Not too shabby but the rocket fuel was added to bitcoin after the election of Donald Trump. The price even crossed the milestone mark of $100,000 peaking out at $107,000. What makes this the best savings vehicle mankind has ever created is the work that is needed to save in bitcoin is easy. It can. be slightly more difficult to get it if you want to persevere your privacy but on mass you can buy $1 worth by push of a button on your cellphone. Just by doing that you are crushing 90% of wall street without having to read a 10-k or listen to conference call or purchase a stock advisory product from Motely Fool. Most people in the Bitcoin space think we are in the early stages of a massive bull run. The US government might add bitcoin as an asset. Microstrategy is buying coins hands over fist leveraging public equity and debt markets for “free cash”. Even with all that noise you can be humble buy your bitcoin and store it away safely (hopefully after you get at least 500,000 sats to protect you from on chain fees in the future) but almost 200% return not too bad bitcoin!

Stock Advisor: $2,871.89 (Return of 36.95%)

🥱 YAWN 🥱

The Motley Fool Stock Advisor product has returned 36% in 3 years and one quarter. The Trump election didn’t give these stocks any special rocket fuel. A quick glance at the portfolio most of these companies are MASSIVELY underperforming bitcoin. The best performing stock is Crowdstrike which is surprising due to the massive bug they were responsible for that shut down a massive network of computers with the blue screen of death. Everything from airlines to government employees were impacted by this massive mistake. But yet after three years it is up 91%. The worst performing stock in this portfolio at negative 4 percent is Fiverr, which had a decent return of 21% year to date. (Which means from January 1st 2024 to now). Rising from the depths of negative returns. Also I want to note how bad Adobe has performed during this time period. It is down 24% year to down and down 3% since this experiment started.

Conclusion

Need I say more? Bitcoin is absolutely crushing Stock Advisor. In this three year span it is not even close. Bitcoin has protected me from inflation and debasement by just buying and holding in cold storage. I didn’t have to waste my team reading a 10K listen to a conference call, sit down and speculate if the bitcoin business is going to lower its costs and increase its cash flows to bring more value to the shares that I own. Nope I just buy and live my life.
The macro picture is a mixed bag. Trump coming into office promising deregulation and a vote of confidence to support the bitcoin revolution but who knows. He’s a politician they can’t be trusted. Time will tell if he makes good on his word or not. The Fed is cutting rates. Which means an economic slow down might be coming in 2025. The markets at first didn’t like this because The Fed (aka the national banking cartel) might not cut rates 4 times in 2025 but maybe 3 or 2 times to make sure inflation (prices rising) doesn’t get out of hand. Investors don’t like uncertainty and fiat is still the flight to safety that all the boomers love. Since our world is still run by boomers this is why bitcoin and other risk investments dip when they are unsure what the price of money will be in the future. Overall the system is madness but you can opt out of all this and just buy bitcoin and protect yourself.

Lets see how the major indexes are doing:

S&P 500

9/13/2021 — — — > 4,468.72
12/24/2024 — — — > 6,040.40
Return of 35.16%

Dow Jones

9/13/2021 — — — — -> 34,869.63
12/24/2024 — — — — -> 43,297.03
Return of 24.16%

NASDAQ

9/13/2021 — — — — > 13,105.58
12/24/2024 — — — — ->20,031.13
Return of 52.84%
Wow once again the NASDAQ has been on fire. But one thing to note is that the Motley Fool a paid product with professional analysis who are supposed to “beat the market” are only beating the Dow Jones. The stocks they picked are losing to both the NASDAQ and the S&P 500. This is just pitiful. Makes it feel like you are being ripped off. In fairness te Stock Advisor is constantly making recommendations. The stocks in this portfolio could have been sold and others could have been added but even if you account for the movement I highly doubt they would have selected some 500x stock that would save this portfolio from both bitcoin and the indexes. As this experiment has proven over the last 3 years. Buy bitcoin and just wait and you will do just fine!
Thanks for reading. Leave a comment. Do you agree or disagree? Am I a shitcoiner for investing in stocks? Please let me know! I will zap those comment that are worthy.
The next update will come in 2025 at the end of quarter 2. Until then stack the sats!
What I am interested in seeing is how model portfolios change in the coming years to include 2, 5, 10 percent bitcoin allocations. The market is overvalued but people need to keep pumping money into it because they need to stay ahead of monetary debasement. Eventually everyone is going to figure out adding Bitcoin juices returns and one could argue also allows you to hold cash in a portfolio. If you hold cash and bitcoin one would think the outsized returns on bitcoin over a cycle allows you to not care about the melting ice cube cash in your portfolio and you can hold on to it to deploy strategically in market downturns.
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And there's the higher level where the companies you have stock in will increasingly have bitcoin holdings to juice their returns.
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Yes as shown in this experiment. Plus I want to show with a modest amount of fiat you can end up with a decent Amount of savings you can use in retirement. 183% in a three year period just owns those 30 year compounding interest calculators that simulate a 6 or 7% CAGR.
This is showing bitcoin puts your savings on steroids
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people need to keep pumping money into it because they need to stay ahead of monetary debasement.
True dat
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