Bitcoin Is The New Retirement Strategy
- Secure in custody and monetary policy, Bitcoin is the retirement asset capable of withstanding the challenges of the future.
Robert Hall — Aug 17, 2022
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Bitcoin is the perfect vehicle for retirement for a variety of reasons. The first is that it is designed to appreciate into perpetuity. There are only 21 million coins that will ever be produced. This is called an inelastic supply. This means that as demand for bitcoin goes up, the price of bitcoin will also go up due to the scarcity of the supply. Did you know that there have been an estimated three million coins lost, so the total supply will be closer to 18 million by the time the last coin is produced in the year 2140?
The inelastic supply of Bitcoin is exactly what you want to see in a retirement fund asset. Investing your retirement savings in Bitcoin will secure your future retirement needs to the point where you can live comfortably.
Bitcoin is the perfect retirement vehicle because you are in control of your assets and not the bank or some assets manager. Believe it or not, neither of these actors have your financial interests at heart. Banks and asset managers are in the business of making money for their business and themselves. This means there are a bunch of hidden fees that you have to pay them to manage your money. This hides the actual cost of saving your money with a bank, and they will go to great lengths to ensure you don’t fully understand all the fees. These entities want to take your money and for you to shut up.
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At risk of being annoying, I’d suggest you take the time to read this short article.
Now with the Gooferment inflating the currency by more than 2% per year, the purchasing power of your savings diminishes proportionally.
I can remember penny candy, nickel cigars, and 30¢ a gallon gass. What has changed since the 1960’s? It is the value of a dollar. AKA the purchasing power of a dollar.
In the days before FDR took the USA off the gold standard, prices always declined. After that, because the Gooferment printed more money, prices always went up.
Before FDR, folks could save cash money (i.e., gold and silver coins) for their old age. After FDR, hold “cash” was a losing proposition.
This article recommends that you youngsters save some of your wealth in bitcoins. He even goes so far as to fore go putting that wealth into an IRA to keep it away from Gooferment rules — now and in the future.
I’ve always been a fan of “averaging into any investment” unless there was a strong reason not to. For my generation, IRAs and 401ks made perfect sense. But then, there were a lot of strategies that were good for “us” that I wouldn’t recommend (i.e., go to work for the Gooferment or a big company and stay there for 50 years to draw a pension).
No one can tell you what is right for you. Even me. Our advice is based on our experience. Like a buggy whip maker telling his children that the family buggy whip business has a great future.
All I am suggesting is to read this article and lots of other ones. Then place your bets on what’s best for you.
If you want to chat, fine. If you want to just ignore this, that’s fine too.
As always YMMV,
Crazy Old Ferd
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When I wrote this in August of 2022, I was convinced that the economy was going down due to the “value of the dollar”. Nothing has changed my mind about the trajectory. When the world “de-dollarizes”, then inflation will rocket up on steroids.
“For those looking for security, be forewarned that there’s nothing more insecure than a political promise.” – Harry Browne
Remember when Social Security was to be tax-free? The Heritage Foundation found that many workers paying into the program end up with a negative annual rate of return, somewhere between minus –0.04 and –14.53 percent depending on one’s age. Younger workers with the most years to pay into the system and groups with below-average lifespans are the ones who have the poorest returns, a Heritage Foundation official says.
Your “investment” in Social Security may well return ZERO!
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Reinke Faces Life 