Hey Jessoveign individuals
Bitcoin has excited many people about a range of possibilities, to own their money, to avoid inflation, to get rich, to earn an income from anywhere and so much more. Some may like one aspect some may like all, but I think the biggest drawcard to Bitcoin for the retail investor is to capture more purchasing power, to get rich by simpleton standards.
Bitcoin has this idea of wealth without work, and it can be, if you put in a few dollars 10 years or 5 years ago, technically now you'd be a whole bundle richer if your measurement of wealth is fiat currency.
Short selling, short-sighted
In this short period in history that is Bitcoins existence, people are buying low and selling high, like they would stocks or real estate and thinking they're doing well. On paper, yes you could be making more money, but every time you sell Bitcoin for fiat, you're either realising gains, or you're generating additional income.
As Bitcoin is already mainstream countries are now taking it seriously and are looking to get their piece of the action. In previous years you could get away with buying and selling Bitcoin and collecting your profits tax-free. Still, now governments all over the world are either putting capital gains tax on it, or income tax depending on the situation.
Selling Bitcoin means you have to give a piece of it to the government and on top of that move it into a currency that is losing value to buy something. Whatever that is, that is up to you, but I cannot honestly see any product I would want to buy that would encourage me to sell my Bitcoin.
There's a better way
The longer you hold on to Bitcoin, the more upside you will get each year, adding to your position methodically within your means that it doesn't affect your living standards is a great way to secure your future. I think of Bitcoin as the ultimate savings account, it pays me to save and rewards me reach year for doing so at compounding rates we've never seen before.
So you accumulate all this Bitcoin, the price goes up, time to sell, right? No, selling is a losing game!
Don't sell, only borrow
If you want to sell Bitcoin for fiat be my guest, ill happily be the one picking it from your weak hands but for me, I see no reason to sell any of it, ever. Once this is a trillion-dollar asset class and a hold a sizeable percentage of the supply can leverage it to get whatever I want and refinance that leverage each year to get anything I want.
Using that fiat collateralized by Bitcoin, to secure other assets, then paying back the loan without having a tax implication.
Bitcoin is any real estate investors dream property; it's the pristine collateral that can be leveraged up tot eh moon and back.
I don't see fiat money going away; I see it losing value to Bitcoin, so my game plan is secure Bitcoin, lend against it buy productive assets, avoid having to pay tax, service the debt and it gets cheaper over time and then uses the profit to buy more Bitcoin.
Still a few years off
The onramps and off-ramps have yet to be built, so my phase one is to continue to build my position. The more you HODL now, the less you'll have to work in the future.
Governments are going to get increasingly sensitive to losing out on capital they could tax or inflate away from you to find these growing debts. Selling Bitcoin only makes you a target, and you continue to play into their hands.
Borrowing, however, puts you in the power seat that no one can take away from you.
Have your say
What do you good people of HIVE think?
So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."
Let's connect
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The best thing is to be patient and hold despite the ups and down of the market.
Thats why i've turned into buying Bitcoin every day now, so I don't have to worry about the price since I get in on every price every day
Good advice. I'm using Nexo platform for borrowing. Great service.
Posted Using LeoFinance Beta
Do you also provide them with capital to earn an interest rate too? I haven't used NEXO yet only blockfi and celsius so far, but I think its the way to go if you want to leverage your crypto. I do however want to see it eventually move away from custodial holdings and have it provided through key ownership and I still hold my crypto
Like todays post! Read with a cup of coffee and a Nice autumnday here.
Do you Only hodl at ledger or use all your btc to get more rate (cesius).
I Think it is a Good question to Think about risk/opportunity. I use Most My eth at uniswap and Most btc at celsius. But that makes more risk too
The vast majority of my BTC sits in a ledger, my ETH is working for me on Uniswap while I wait for staking pools to open up once we move over to ETH 2.0 then Il move my ETH to a ledger and stake it from there, like I do with Tezos.
I only risk 10% of my BTC on these applications, I will release a post on how I am earning my crypto at the moment, I've already written and scheduled it you'll just have to wait for it :)
All mine on on a Ledger, so you risk 10% of it to a staking platform? I figured you were all in with these. Is this the same with your ETH? Currently mine is also 100% Ledger.
It's split across these various CE-FI platforms Blockfi and Celsius and crypto.com I've yet to try out Nexo, I wouldn't risk more than I would be willing to lose and make a few pennies a week in Satoshis which I am happy about.
ETH I've got in a ledger like 2 coins, the rest are either on UNI or in these CE-FI platforms.
I've got a few staking coins too, like NULS, Kucoin, Tezos, AWC, BAND and those also trickle down a few pennies a week
!ENGAGE 15
I hope it is possible to send even if it is your own post
ENGAGEtoday.Lol, I've only got 0.013 BTC so far. Better than nothing. 😄
I'm sure you have more than that with your alt coins combined :). I'd say try to get up to 0.30 and by the next halving you'll be in the top 1% of Bitcoin holders in existence
this is a variable option. Binance offers such borrowing options. probably during the end deep i will buy some bitcoin (i always say that).
Posted Using LeoFinance Beta
I didn't know Binance offers loans now, that's interesting, they're really want to become a one-stop-shop for everything crypto arent they
Exactly! And that would really be great.
Personally not a fan of Binance but I am happy they offer people ways to get in and out of crypto so I make peace with it lol
I guess you must have your reasons not to be a fan. Anyway, good you make peace with it.
It's so much easer to do this with Ethereum using MakerDAO and creating Dai... although now with the advent of wrapped Bitcoin these things are only going to get easier for every network there is.
Exactly it's only going to become easier to take profits without having to liquidate your position and then go do things with them be it farming and investing in something else or buying something
I'm starting to get my feet wet with the loaning options like Celsius as you know. Before it was hold everything on ledger but going to have a small amount to play around with in other places although my main aim is to acquire BTC mainly and keep stake on Hive plus its related tokens, making use of leasing.
Posted Using LeoFinance Beta
Let’s not risk what’s e have and be greedy this is a game of accumulation! Let the rest lose their money we’re just here to let it trickle into the wallet!
200k end of 2021? With a retrace to 30k as the new floor! Should be more than enough to take profits reset and then do this dance once again until the next halving
Easy! Buy low sell high! Profit HOLD!
That’s the formula, never sell, selling is for the weak! We’re in it for the long run, I know damn well the fiat game isn’t for me played it long enough to know it doesn’t like me
Hola chekohler,
Gracias por destinar correctamente el 100% de las recompensas de está publicación a HP y ayudar al crecimiento de tu cuenta.
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STOP.