Should I stop 401k investment and switch to #bitcoin ?
Something I’m really struggling with. If I support and believe in #bitcoin then why the fuck am I investing in fiat backed equities. Ohh my work matches up to 6% blah blah blah is what I hear 😂 from the fiat world. 🤷🏻
Should be doing both.
That's a really tough and personal question honestly ...
I personally stopped my 401k with match. Ultimately I would rather have sats that I control because I don't think I can rely on 401k systems to be there in the same way when I am 65.
Not sure everyone would reach the same conclusion.
+1...I give up 4% match but get to invest in the hardest asset ever created. Bitcoin is my retirement account.
Ok so there’s more that have done the same or made adjustments to reduce 401k contribution. 🤔
I hear about the 65 part and relying on the market
You won't pay a penalty if you withdraw from the same 401k from the company you retire from at age 55.
I diversify into anything but fiat. So prior to early retirement it was bitcoin, gold, silver, stocks & bonds (either in my 401k or personal trading account), and only a tiny percentage in cash. In fact I only held enough cash to pay bills and gift cash. But I changed that slightly about a year ago. I hold mostly btc and pay bills and expenses with btc where I can. I prefer direct btc stores over those I can only pay with gift cards or oshi (hate that app). This has had the benefit of building up my btc holdings even though I'm spending btc. Since number go up most spends are gains and I spend less than had I used cash. Whenever I have a loss greater than 3% I sell another asset like gold to pay for things. The only issue there is gold requires three days to settle so I use my fiat credit card and pay that with the gold sales. There is a company, Stacker Market, that offers a credit card similar to coinbase that exchanges the asset for USD on purchase but it's rather pricey to use like everything associated with gold. But it exists. These days I'm slowly closing out stock positions when they hit the slightest profit (>2%) and moving that into BTC. I keep the old school high dividend companies and btc related stocks. This is just what I do so don't take it as investment advice. Did I mention I'm poor 🤣🤣🤣
#asknostr
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Sounds like you are already convinced. Dollar cost averaging is the best way to buy bitcoin. You never miss a bottom if you buy every day.
Someone investing a lump sum might want to analyze the market and use bitcoin to diversify their portfolio, Along with gold. I wouldn’t go homeless for bitcoin, Having financial stability is the key to capturing profits.
You can trade your way up to a full coin over time by watching tops and bottoms and every day buy is the best strategy for learning how the algorithm trades. Take your time and don’t feel like you are missing out, Bitcoin has 100 years before it reaches it’s realized market value.
Oh I’m in no rush and have been DCAing for years now. Maybe some more number crunching with taxes and such. Of course they’d give you a tax break to invest in their fiat scheme 😂 anyways thanks for the response
The trade between tether and bitcoin is tax free! Just selling for dollars is taxable. Don’t feed the banks.
I would love to stop contributing to my 401k but my employer holds me at gunpoint with mandatory 6%. I'd gladly give up their matched money to just be able to stack sats with that 6%.
Well that’s some bullshit
When I first found out about bitcoin i withdrew my RRSP savings (401k), paid a huge penalty and dumped it all into biitcoin.
Been doing DCA every since.
Bitcoin IS my 401k. I dont invest in it to get rich over night.
Bitcoin is the best savings account out there.
Nice move there
I personally stopped mine. Even with the match, I personally believe Bitcoin will outperform the fiat increase and the match. Also, no guarantee our govt doesn’t rug us on the tax rules, equities tank, or many other risks. I also like having a liquid asset holding its own value not subject to the whims of a custodian and my employer if I had a real life changing emergency.
Great points
That is my biggest fear. Governments in other countries have rug pulled retirement savings accounts in the past. The US may one day think it's a good idea. I've been drawing down mine but I need at least another 3 years (trying to avoid certain tax brackets).
Wouldn't surprise me if one day those thieves say... hey we're going to replace your 401K holdings with these special government bonds that pay a guaranteed rate of x%. They're as good as cash in the pocket. We promise.
I’m going to give you a contrarian viewpoint I guess.
In a world where Bitcoin replaces all other currencies what do the businesses receive in exchange for the goods and services they provide? Obviously Bitcoin. What will they pay their dividends in. Obviously Bitcoin. The equities you are buying through your 401k are stakes in companies. Businesses aren’t going to disappear just because the dollar does. Businesses existed before dollars and before any fiat, before gold. Entrepreneurship is as fundamental as hey I think we can use this trap I made to get more buffalo meat and hey I will trade you my buffalo meat for those fine shoes you made. When you buy equities you are buying shares of companies, shares of businesses. Today they return dollars because that is what they collect but you believe in Bitcoin they will one day return to you Bitcoin. Future Bitcoin that you get because one day long before you exchanged fiat for a share of the business.
There are two different things IMO. One is a productive asset the other is a currency.
Having both is ok. The best way to think of it.
Companies you invest in under your 401K could switch to bitcoin at any point. Your share in that company will be switched to a Bitcoin equivalent. If that makes sense.
For example you have 10 shares of Apple stock. Now worth $2000, and pay 1.5% dividend. If they switch to Bitcoin in 20 years, your unit of account will switch accordingly.
At least that’s how I see it.
