Diversification for the sake of purchasing power protection is a fiat disease.
Money should be the thing that protects you from future uncertainty, not diversification.
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Diversification as a protection tool is because you never know which of your fiat investments is really a rug pull
Diversification = participation trophy invented by species who doesn’t recognize predators
Selection = how all biological beings actually work. Losers don’t make it.
Choose wisely
Diversification is for Shitcoiners
Hodl the best worry less
Diversification is often used when talking about investments.
Money is not an investment.
Money is a store of time and energy.
I heard Warren Buffet once say that diversification is a strategy to counter not specializing. I you specialize in one branche, product or service you should be able to make well informed decisions within that to counter risk, compared to knowing a bit about many thing and spreading out. I think he was right about that. 🤔
I moved 100% of my pension funds into self custody #bitcoin…
Before I did it I was concerned about doing it, I was in one of the best performing managed funds in Australia (8.76% CAGR last 10yrs) they are ‘professionals’. They have an international team of more than 100 fund managers the CIO earns over $1.5m a year.
I have never been happier or slept better since I’ve don’t it. I 100% trust myself and will never go back!
bitcoinsuper.io
Haha when you “compare the pair” you find that Bitcoin beats Aussie industry super funds 😉
Is that SMSF to hold BTC for your superannuation?
SMSF is the mechanism to get your funds out of tradfi. Self custody bitcoin is the destination.
There isn’t one metric. Volatility is one metric and we all understand bitcoin with regards that. Counterparty risk is another, yield is another, for me at my stage of life, I’ve weighed the options and as I mentioned I’m 100% happy.
Good to hear that you’ve done what’s best for you and your circumstances 🙌 Counterparty risk is rarely considered when assessing investment options. No point having paper wealth if you can’t withdraw it when you want. People who invest with the Blackstone BREIT have found that out the hard way with withdrawals. In Aus there was been resistance by super funds like HostPlus to early withdrawal because they have little to no liquidity since they hold no cash in their balanced fund options (which most members are in by default)
Similarly, AustralianSuper members might find out there are liquidity issues with all the real estate and infrastructure assets bought by the fund in 2021/2022 (the reason they increased members fees). Another thing that is undervalued is the censorship resistance that Bitcoin has inbuilt into its protocol
Watching the UK pension system hours from collapse in Oct ‘22 was eye opening.
Seeing the cascade of attacks from politicians on a $3tn super pot of money that they think is theirs, that they will shift the goalposts on to suit their lack of funding, and consistently refer to tax concessions as a cost to government rather than money not yet stolen.
Watching numerous accounts of US pension funds woefully underfunded and needing bailouts from the government.
Knowing that all my funds are under my control, I wouldn’t have it any other way!
Yep, Both Frydenberg and Jim Chalmers want to use the A$3.4 trillion of superannuation funds to fund their policies.
UK pension funds is a different situation to Aus as the UK pension funds have to provide a specific return, hence why they used high levels of leverage (unbeknownst to everyone) using “safe” UK government bonds as collateral.
Glad you’re eyes are wide open and considered all options
Like I just saw in another note, if #bitcoin fails I’m fucked. But we all are, so I’ll take the asymmetric bet!
Fucked if you do, fucked if you don’t. If they keep debasing your fiat savings to inflate away the debt and there wasn’t any off ramps then we’d be even more fucked. Great to hear your perspective and opinion 🙌
#bitcoin is the hill we die on. 🫡
I don't see it as a bet since there are no winners on the other side, especially with Bitcoin. This is our one chance to separate money from the state. If we fail, CBDCs will reign with unrestricted control, resulting in a dystopian nightmare. The monetary flow would be controlled by a few psychopaths, and it would be almost impossible to escape this fate.
What is your wallet solution of choice?
I’ve been only dibbling in it, and been using Exodus for both purchasing and holding.
Unchained Capital with Sparrow as a back up using coldcards. Right now it’s a great solution.
*should*, until your spouse wants a patio and doesn't give a fuck about bitcoin if its not making them happy.
Under uncertainty diversification is a good strategy.
When you have truth just not.
Bitcoin = math = truth
Bitcoin is diversification enough for me
I had not previously thought of diversification like this but now that I read it, it seems obvious. This is another helpful way of understanding and clearly stating fiat's *financialization of everything* effect
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