I think it’s best seen as an alternative currency. Do you have any use for it? Do you care about being able to send it internationally, self-custody, pre-determined inflation. Independent from central banking/governments.I noticed something about Bitcoin and I’m curious how you guys see it.
When someone asks if they should buy Bitcoin now, most answers immediately focus on price. Buy now, wait, DCA, wait for the next crash, etc.
But shouldn’t there be another question before that?
How do I even know if Bitcoin is a good decision for me?
Let’s say you’re thinking about investing an amount of money where losing 50 or 60% would actually hurt. How do you approach that decision?
What do you look at before buying? And more importantly, what would need to happen or what information would you need to find to say: No, I’m not buying.
I’m less interested in where Bitcoin will be tomorrow. I’m more interested in how you actually make the decision in the first place.
Fiat currencies lose 5-10% purchasing power in a normal year. If the government issuing it runs into trouble, it can lose more or be wiped out and replaced by something new.
Ideally you should have a portfolio where a big loss somewhere doesn't ruin your plans.
If losing the money would hurt because you need it to live on or support family, I'd hesitate. If it's just a big number that would hurt to lose psychologically, you might need to consider it as a percentage, not the nominal sum. What % of your money would you be okay with losing suddenly?
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