Bitcoin Forum

How To Profit From MASSIVE Inflation
This video will explore 3 ways to invest if you want to profit from the inflation we've been seeing over the past year.
https://www.youtube.com/watch?v=MPQ0pttjinI


Recommendations on real estate and commodities as good business models to pursue in eras of high inflation.

He contends real estate will appreciate in value at a pace rivaling inflation, allowing for profits over both short and long term.

Commodities is his other recommendation.

Interesting whiteboard analysis and good breakdown.

I think these are assets that are likely to underperform too when the inflation starts to drop and might be rising more due to people being desperate to find something. It's possible to find strategies that hedge against crashes anyway (eg investing in firms for their value - especially large ones).

I watched the video and while it's generally good advice, I'm surprised that he only mentions Bitcoin in passing at the end, as it has been the best inflation hedge since its inception. Plus it's much easier and more convenient to buy and trade than RE, and you don't depend on a bank approving a mortgage.

I liked the Rolex example at the end. I just thought it was a gimmick, but the point of view that it is a hedge against inflation and you can take it anywhere in the world (as it doesn't count against the cash limits you can take with you when traveling) is interesting.

Here is what I think:

I think the only way to profit from inflation is to borrow money to buy income-generating assets whose income and value keep up with inflation.

You don't profit from inflation by simply buying assets like gold or Bitcoin because their value simply keeps up with inflation and does not necessarily increase in real terms.

In order to profit from inflation, you must borrow money. The profit comes from repaying the loan with inflated money. The purpose of buying an asset is to get rid of the money before it is inflated and replace it with an asset whose value does not drop. The purpose of buying an income-generating asset is to ensure that you can repay the loan with inflated money. It also helps avoid the trap on being taxed on the nominal gains due to inflation.

I also don't believe that merging your money or buying bitcoin or gold is a way to run of inflation because in conversion it still having effected by inflation but my view on that apart from value is that in the angle of diversification. If it is for investment purposes then that serves as diversification of investment that is what gain we could have from inflation. Therefore, multiple stream of income is part of the means to massively profit from inflation.

The whole point about the topic and what everyone forgot is your goal to earn profit even during massive inflation which means you will need more than earning normal profits because even if you invest in something and earn profits from it, just because of the inflation rate you will still have the worth of money because the value of the money decreased and your money amount increased so you will need more earn more profits than this, investing on real estate is the first case where you are growing which the inflation rate but you are not actually earning profits, here you will need a better investment to even earn profits using the inflation, bitcoin can be an option however you will need to take more risk.

Aside real estate and commodity stocks, one can also invest on gold, leverage on loans as mortgage, companies share and bond  and landed properties. In a nutshell anything that can not depreciate in value in due time worth investing and can be a means to massively make profit during inflation.

In the first strategy he's talking about a fixed-rate mortgage which requires being in the US and having a mortgage there, so not exactly helpful to anyone else. The second strategy relies on the same fixed-rate mortgage thing, which is not the case in most countries, just as he mentioned at the beginning of the video. IMO, the best investment right now, which also happens to be accessible all over the world and doesn't necessarily require having dozens of thousands of dollars, is high-cap high-reputation cryptocurrencies which are significantly down.

Real Estate is one asset that is a sure insulation against inflation. It's supply is dwindling and it's value increasing by the day. Because it will always be in demand, and the supply will never be able to equal its demand, hence realtors will always be in profit regardless of inflation.
As for commodities, they will forever be in demand like real estate, and to save yourself from inflation, it is better to be a supplier where you can still make changes to your price maintaining profit than just a consumer with no choice.

Real estate is really one of the best either just land or an apartment/house that you can rent out to be able to support yourself. I'm more of a Long Term (LT) as what the video guy is saying named Marko. I've not come across his channel before.

Some suggestions I've read were the trustee i-bonds issued by the US government although I have not tried this one myself, some may be interested to learn what it is. And then of course gold and of course BTC.

1) We've got to take into account that central banks are already starting to raise interest rates. This measure cuts down on the amount of credit existent in the economy >> as most house purchases are made using mortgages and they now become more expensive I think we can assume that there will be smaller demand for houses as the debt service burden would be too high for many persons. Sellers won't find buyers so they will have to lower their ask prices >> lower value. However, if the inflation continues at this pace the replacement value (land, materials and work) will raise as well.

2) IMO commodities are a decent be during times of inlation as they are necessary for the economy to thrive. Although raised interest rates will also affect the demand for them, the impact will be smaller as they are necessary for the economy to function properly.

I love these types who keep saying "well if you buy a house and create debt, your debt will be very tiny in 30 years whereas your income will be huge due to inflation!", dude do I look like I can buy a house? Like what is wrong with these people?

Housing prices could be fine in the USA and you may get one, but here it costs somewhere between 50k to 350k to buy a house and the minimum wage is like 300 dollars, yes I make more than minimum wage but not like I make 10k per month, I do not make that at all, I barely make twice as much as minimum wage, and that is good but nowhere NEAR enough to buy a house. That is why I am in crypto and it has been helping me slowly grow my capital.

I hear you, man. I would also not be that sure that the debt will be very tiny in 30 years. Once you take out a mortgage (indebt yourself) for 30 years you will have a big debt service burden on yourself. You also expose yourself to the risk of increasing interest rates which will inherently raise the costs of your financing. :(  So yeah, buying houses on credit and managing them is a game for the wealthy.

I agree that crypto is a good instrument to grow your wealth, but you should also have a more conservative part in your portfolio.

Making profit from massive inflation is hard, for people who are poor and suffering to cope with the increase in cost of living and reduction in value of money i think buying any asset, commodity or house is out of the question. Whichever asset or plan is great for profits when there is massive inflation is suitable for the rich, or people who have enough money to invest and still have some left to eat and for miscellaneous things. Massive inflation should be avoided at all cost by officials in power, because only a few can make profits and live fine amidst it.

Jewelry has been used like that for a long time, while jewelry is more expensive than the material it is made of, due to the amount of work it went into create it, at the same time it is a known way to move value over country borders without raising suspicions, so someone that has already a significant amount of money can afford to move wealth in that way without arising suspicions over himself, and could still sell his jewelry for a good price on his destination, still nothing can beat bitcoin when you can literally move it with you by just remembering your seeds words while there is nothing that indicates that you have it.

Yes real estate is a great investment however investing now seems very risky. Real estates in some parts are crazy. And it’s getting to the point where all the young professionals are just packing up and moving to a different city to be able to finally afford a house.

Look at what happened with San Francisco, it had one of the most expensive real estate prices. And it became too expensive to live so people either went homeless or moved elsewhere. Now the city is full of crime that the police don’t prosecute certain crimes such as shop lifting. Now as a result many large retailers are closing shop in the area and moving out.

So it’s not always a risk free investment.

In my opinion, it's difficult for an average person to make this happen because making money out of inflation requires a lot of money so I am pretty sure that people like me won't be able to do it but it's a good idea and some might be able to use this ideas so they can profit out of inflation. Only one that I know when it comes to this is how to hedge yourself or how to protect yourself from inflation and that's about it.

I strongly agree with real estate investing but it requires a lot of money. "If I could, I would." But it doesn't mean there is no risk into it. It will not spoil, that's a fact but it might also take long for ROI and profit. During an inflation all prices will rise at a rate that cannot be controlled. One more trick is while waiting for the ROI and profit, try to make it a business and put it for lease. That way, money will keep on coming rather than just waiting for the inflation to slow down and a buyer to come in.

Especially at the present, real estate is expensive as someone's soul so it's really difficult to get in unless you can immigrate in other countries that hasn't realized their real estate potential yet like small countries that can be a potential tourist destination. I have learned a lot about using real estate as a means to make money. I don't know much about leasing but wouldn't evicting someone out of it is difficult?

A big NO if to have real estate is from debt. How does a small worker pay that debt for 30 years while he has many things needed for his life and family? Sometimes those people can easily suggest unrealistic things for people. Ok, well, maybe that works for them but that can not work for others. But I like what he said at the end of the videos.


That is something that we need to search to help us to stop the hamster wheel and make a profit.

He shows that it is easy to profit from inflation and one of that many ways will be real estate. If they have much money, they can use real estate to follow the way. But if it is not, they should find other things. Luckily, we have cryptocurrency that can help us get out from the inflations but we need to learn more.

Massive inflations will wreck hovac in future, simply because the rising population will lead to resource shortages.
Investments in the essential need  is the best way to ensure good profits in future, some of them include investment in supply chains, investment in big time sellers like amazon and wallmart.
Investment in real estate and agriculture.
No matter what economists say the golden rule of supply and demand will always hold true..
So always invest in basics..

I like how he explained the different strategies whether short-term, long-term, or some other possible investments that you can get. I think if you can follow him as to what would be the best hedging with inflation, you would really learn a lot about it. The favorite part that I have is where he says BTC, that it's the Gold 2.0, so it's best to get more of it.

You don't necessarily have to invest in a whole house to be part of a real estate investment. In developing countries, people often find trustworthy people (friends, family) to pool money together and buy up land that can be used for residential purposes or commercial purposes down the line. This is risky and needs a lot of networking but I have seen people successfully do it. Buying a home in developed countries probably makes sense due to the high rent that a middle class family would have to pay for a house big enough for parents and the four children.

My target. Buy cheap land and see what i can grow on it. Agricultural land can still be bought at low prices. With the kind of investments and growth developing countries are witnessing, you can never say when that useless parcel of land will become valuable.

It is one of my most closely held desires to OWN land, a lot of it. Don't know why. There is just something about knowing that you own land.

I think it is a bit late for the recommendations. I have been in Tin commodities and stocks since nearly 8 months and saw a 100% return, but that may not be repeatable in the following terms. On regards to real state, you effectively can profit from it, but you would need to make sure there is a good underlaying low debt backing the assets and that it is fixed rate. Again, the problem is that, believe it or not, it is already old news!

To be able to gain from inflation one simply needs to understand that inflation is simply rise in the price of goods in an economy over the time. With this understanding, you can tell that his recommendations are superb, ranging from real estate, commodities and I will also add bitcoin as the high priority one. Real Estate because once their is inflation, properties tends to grow more in value, secondly commodities because once their is inflation production price will also rise and they don't get affected and lastly US savings bond too keeps up with inflation and your guaranteed return is sure.

I believe bitcoin will become a trusted hedge for all people around the world to safeguard against inflation. It may take time but the good thing is the trend of adopting bitcoin as a hedge is already started.

Real Estate could be a great investment, but it is also very expensive to start. Where I live, we do not have too much land, which means we all live in apartments, there are probably just 1-5% houses here, rest are all apartments and tall buildings, people build like 10 story tall buildings to live, with 20 or even 40 apartments (4 on each floor, tiny places) so it is hard.

So, for me to invest into real estate, it would take about 500 months worth of salary, that's right, I need 500 months to save my money and not spend a single dollar from it as well. We all know that is impossible, so I need to find a way to invest my money some other way and make money that way until I have enough to buy a house. It is not a bad idea, I agree with that, but it is both a no-brainer and obvious plus very expensive to start at the same time which makes it a not good advice.

For most people buying real estate is the end goal, so while without a doubt real estate is a great investment you need to find something else in which to invest your money so it grows and then you can buy real estate, however the good news is that we have bitcoin now, even if the price of bitcoin will not grow exponentially as it did in the past, as long as you can accumulate a decent amount of money and then you invest it in bitcoin that can be more than enough to eventually buy a house, or at least reduce significantly the costs you need to pay so you can afford one.

Massive inflation usually comes side by side with high interest rates. So at the beginning it can be profitable for investors to keep and invest their money on that inflationary currency, just like a ponzi scheme is profitable for early investors, but completely ruins the economies of late ones or of those who aren't agile enough to exchange their money on the right time into a stable currency.

Real estate is great, but you have to keep in mind if it is a good choice to have a property in a chaotic country where massive inflation is a constant threat.

IMHO, that was an off comparison with Ponzi schemes.
I agree, it also relies on the country or place where you're going to buy the property. Luckily, I'm in a better land. Rates here just got high while thinking that it would be slowed down due to the pandemic situation. But well, people would sell their real estate with the best possible rate that they can get while flipping it. I've been reading those advisors that are telling buy it in cash if you can do so which is unlikely for many average people.

 We have MASSIVE inflation in our nation, and debt is the getaway for the freedom. How? Well I have a friend who bought a house with mortgage, 3 years ago when he got the house his payments were around 440$ or so per month, since we live in a third world nation the amount wasn't really too bad, he also paid %50 of the house straight up, this loan was for the rest. The house he bought worth around 100k$ or so, 50k paid upfront, and the other 50k was suppose to be something like 15 or whatever years (I really do not remember). After only 3 years, his income grew around x5 or so, and his wife also grew around the same. So mortgage was around %40 or so of their total expense, and now it is around %10 of their expense after massive inflation. Also their house value increase x3.5 or so times as well.

 This dude did not know any of this of course, he just wanted to buy a house and own his own house, now thanks to this move, and the massive inflation, dude managed to get a house for such a small amount of money.

Real estate requires a certain amount of money to start with which is something that might not be a good idea for most people. They might try holding off their real estate selling for the time being, so that they can make profits when the economic situation gets better.
Other than that commodities like : Gold and Silver is a cultural hoarding part as well, it provides not just a backup for many families but also help keep some of the largest economies stable.
Then comes some of the most random commodities like: people keeping up their Legos intact as well, selling the old Barbies and other stuff. There is a lot going on this world right now! But for the middle class I think there are not a lot of ways to tackle inflation.

I think I'm some worth not flexible with the idea of borrowing money. It's very okay for the fact that, its what you think but then, for someone who isn't comfortable with the idea of taking a loan (as I suppose that's what the term borrow in your comment mean). Does it inply that, such person can't archive the same purpose as stated in your comment and profit from inflation?

I think, borrowing or taking loans to invest isn't a must. In fact, I for one consider it to be a very risky move as, nothing is ever 100% assuring.

Real estate has been growing exponentially in most countries around the world for the last ten years, I'm not sure how this advice is exactly original or especially clever. Residential property has long been a great investment, not only is it a home you don't have to pay someone else to live in (aka renting) but the mortgage interest rate is usually much lower than the increase in the value of the building. It's actually a more dangerous time to own property when central banks start putting up interest rates, because it eventually reaches a point where people cannot afford to remortgage and the housing bubble pops. Inflation can lead to great imbalances all throughout the economy and commodities is always a risky proposition unless you buy at rock bottom prices (e.g. during the last recession dip).

Not at all. Real State used to be expensive, full of taxes and difficult to invest in, even for professionals, but you can now access a wide range of investments that will provide exposure to real state. REITs are really good proxies and you can tune your investment to any type of real state. In a previous post I linked a fund that would make you a co-proprietary of a prison in the USA.

https://www.millionacres.com/real-estate-investing/articles/top-performing-prison-reits-2019/ (https://www.millionacres.com/real-estate-investing/articles/top-performing-prison-reits-2019/)

Unfortunately there may be nowhere to run to, after all not only all currencies printed by the governments are fiat, the world reserve currency which is the dollar is suffering huge inflation as well and this is affecting the whole world, so I think that as long as the place you live is relatively politically stable and it has good living conditions then buying real estate there makes sense, but if this is not the case then those are grounds to try to look for alternatives in other countries.

The price of land and houses continues to rise every year, making real estate investment very profitable. But the problem is as you described,
not everyone has the money to buy real estate, because real estate prices are now very expensive. It takes a long time to buy real estate if we
only rely on our income from work. Moreover, I live in third world countries, so I can say that my income is not too big. But after I got to know
Bitcoin, it gives me hope. Seeing the performance of Bitcoin in the last 12 years, makes me believe that I can buy real estate through Bitcoin.
We can buy Bitcoin regularly every month from a portion of our income, then we hold Bitcoin for the long term. I am sure that the profit we make is
very large and it is very possible to buy real estate, it has been proven by early adopters. Some people who collected Bitcoins from 2013,
ended up getting rich and not only managed to buy real estate, but they were able to build their business from Bitcoin. What's interesting is
that Bitcoin is not affected by inflation,  so Bitcoin can indeed make us rich. So people who don't invest in Bitcoin will regret it in the future.

Infact, I think borrowing or lending for that average inflation is a good and positive alternative to acceptable financial pressures.  on the contrary it will be a big risk in the current hyperinflationary situation.  I'm more interested in bitcoin loans/loans as collateral than as a fiat/currency.  It's an escape that you can get to choose
Bitcoin/crypto is a very different way to keep pace with inflation.  If that's not possible, look at Venezuela's predicament.
Real estate is a good investment, but not everyone can afford it, given the value your finances allow.  Gold is a wiser and more idyllic idea like bg i choose bitcoin/cryptocurrency

Most choose "anchor", it depends on the condition that you have

Covid-19 virus really attracted massive inflation to different countries in the world, that made some to joined estate business and other decentralized  business in the country. Even till now many countries are still struggle to escape  or reduce inflation in their various country by introducing bitcoin to their country to fight inflation or to eliminate high inflation in the country.
Bitcoin price has reduced to where anyone can buy with any amount of money to be part of this great opportunity that is about to happen in the community. The price is about to rally higher for long term investors to smile again with their investment.

In my opinion:

1) Bitcoin (ETH as well)
2) Real Estate
3) Gold & Silver
4) Oil / Energy Stocks
5) Foreign Equities

Those who own inflation hedges will significantly outperform those who don't.

And conventionally, this would entail stuff like precious metals, real estate and stocks. Stocks, however, are already in a tremendous bubble so I would not necessarily be comfortable with owning that asset class.

Crypto seems like the sensible choice given the low correlation with traditional assets and high outperformance potential.

investing in real estate, land and gold is a good investment and can help during inflation where housing and land prices will always rise in price not with other commodities,
avoid debt because in times of inflation like this bank interest rates will definitely be high without us realizing it, it will only add to our trouble
I think Crypto is a reasonable choice given high performance potential to profit ,

Debts can be risky but if use properly or used to invest on crypto, gold and real estate (things that you have given above), debts can also be beneficial to us.

Only avoid debts if you will only use it for your personal gains that cant generate you any income because your going to have a hard time paying your debts that way but like you said, the interest of debts during in times of inflation are not normal but they can be higher than usual so if possible we need to control our selves and avoid taking a debt first but we can just look for other alternatives  and if you found nothing well I guess you have no choice but take the risk of getting that debt.

Stocks have the tendency to do well when the inflation is still under control, but when this is not the case and we begin to experiment hyperinflation then stocks begin to show poor performance as any other paper asset that you may have, like fiat, the only assets that do well under those circumstances are hard assets, like gold, real estate and jewelry, however I think that under those circumstances bitcoin will perform positively as well, as the hard cap on the number of coins that are going to ever be created makes it scarce and as such incredibly valuable.

housing is an excellent investment to fight inflation, your home appreciates more than almost every inflation rate in the world, in a recession its value may decrease but not much and after the economic recovery its value returns very quickly. The most valuable house apart from that is land, and is the most valuable natural resource in the world, both of which you can rent at a cost that can be adjusted to the existing price.
and to be able to make it happen, I think investing bitcoin or other crypto is the best option by taking advantage of the advantages of buying houses and land gradually for the long term through, the advantages of renting out to invest and the advantages of investing in growing more houses and land and to fight inflation every year it occur.

One man food is another man poison. The rich men use the poor man to in-rich themselves.

If there is an inflation in a country, the poor will cry because the can't buy what they want while the rich  use that mean to make money.

Real estate most of the time moves at the same rhythm as inflation, so it is a good store of value, the only problem is that it is too expensive, after all unlike bitcoin you cannot buy a small fragment of it, you need to buy a full house and this is always costly, besides when there is a huge crisis you not only want to do the best that you can to survive but you want to even thrive under those circumstances, and I have no doubt that bitcoin will do great during those circumstances and give a better performance than real estate.

Exactly, when it comes to making use of real estate option, If I have to choose from an option concerning 4 more options, I guess my possibility or probability of picking real estate will definitely be zero because it’s very expensive to secure irrespective of the fact that statistically, for others who feel they can handle that aspect. If you have the money, it’s not bad that you go for it, your choice for yourself.

But, don’t ever miss Bitcoin for any other thing. Real estate is good though since it’s a stable investment that will grow over years.

I think this is one of the best video I watched on internet explaining not only about Money inflation in details but also how to avoid massive loss and some good ways to cash the worst situation in your favor.
Marko in this video did a great job explaining some critical things I didn't knew before. Specially how to calculate the inflation and your debt for coming years with respect to the growth of your income. Am going to calculate my portfolio and will do some more thinking from now on. Thanks for sharing

One funny fact about this assets is that during deflations too it drops drastically just like a typical example of an opposite reaction. Another funny thing about most investment advice is that the present the expectations in a positive light forgetting refusing to point out the risk involved for me no matter how appetizing an event appears i can't risk beyond what i can afford to lose

To be very honest, I have a few options on how to make profits in a massive sale. But, I have never used any of them, I actually have lots of friends who are into various fields, so I will just recommend them based on what my professional friends say.

Having a budget is always the best way to keep costs under control, and in recent years inflation has caused many Americans to take up the practice. I can maybe drop 3 or 4 methods here and now; Stocks, Common crypto currency and Real estate. Believe me, you can’t go into any of these options of inflation

The best thing we can do when we see a very high inflation is to buy food ingredients such as cooking oil, flour, soybeans, rice, wheat and so on, then hold at least 3 months so we have the opportunity for big profits, I have tried the technique and get profit about 25%.

Inflation hits the middle class the most, as they are the backbone of consumer market. When inflation happen the middle class works to protect their interests, the luxuries sees a dip in consumption but needs become  more important. The best investment at this point can be something that caters the needs, something that makes needs more assessable and  cost effective, invest in such business models and you will surely reap benefits

There are a few things to consider when investing in real estate. Not all real estate will increase in value at the rate of inflation or even make a profit. It is necessary to carefully approach the choice of real estate and carefully analyze the supply market, including the prospects for growth in value. For example, if the infrastructure around real estate is underdeveloped, then this makes it likely that the price of it will rise in the future, after all this infrastructure is created and expanded. Or if the property is located in an attractive area for residents, the demand for which is constantly present and increasing.

It is not entirely reasonable to believe that it is enough to buy any real estate and this will allow you to make a profit and overtake inflation. With an unfavorable outcome, which is also possible, real estate can lose value and cause losses. Therefore, a thorough analysis is indispensable here.

Tangible assets are reasonable investments during inflation. Only worry for real estate is that there's a lot of uncertainty which could cause a crash. Not saying that an immediate crash is likely nor do most experts think so. The concern is that housing prices has sharply increased with supply chain issues and high demand.

https://www.forbes.com/advisor/mortgages/will-housing-market-crash/

Long term investments in real estate will pay off, short term is pretty risky IMO.

This is really funny. If you buy those food stuffs with the reserve money you have and what will happen when it goes down or finish because it will. Are you going to stand there and get killed by the hunger you were trying to escape from ? The best for inflation is investment whether in agriculture, real estate or whatever investment including cryptocurrency to ensure you try to double your finance to be able to face the challenges of high cost of living that is the effect of inflation.

When inflation occurs, the best thing is to eliminate consumption that we don't need, it's better if we invest to be able to fight inflation, and I'm sure inflation will continue to be repeated every year, the value of money continues to decline because the state is too free to print banknotes.