Should i allocate 100% of my savings to bitcoin ?

[evolve]

No, you idiot. You absolutely should NOT allocate all of your savings to Bitcoins.

In fact, don't put any amount into BTC that you can't afford to lose.

[notme]

No, you idiot. You absolutely should NOT allocate all of your savings to Bitcoins.

In fact, don't put any amount into BTC that you can't afford to lose.

Good points.  Also, don't hold any USD unless you're prepared to lose half of its value in the next decade or two.

[Vandroiy]

I've heard Falkvinge won big on such a move.

  Took the words right out of my mouth.

Where was that "WHY I AM PUTTING ALL MY MONEY AND ALL I CAN BORROW INTO BITCOIN" again? IIRC I read it on the day of the 32 USD peak.

[cbeast]

I've heard Falkvinge won big on such a move.

  Took the words right out of my mouth.

Where was that "WHY I AM PUTTING ALL MY MONEY AND ALL I CAN BORROW INTO BITCOIN" again? IIRC I read it on the day of the 32 USD peak.

That doesn't mean you have to put it all in at one time. If you had started on that day and invested evenly over the next year, you would be way ahead today.

[Beta-coiner1]

I did but of course not 100% and can say I definitely do not regret it.Bought BTC last year sold at 15 this year and bought back in at 13 and have kept ever since.

[byronbb]

MY question is "should I borrow 10k from my bank at 5% a year and put it all into bitcoin?"

[byronbb]

No, you idiot. You absolutely should NOT allocate all of your savings to Bitcoins.

In fact, don't put any amount into BTC that you can't afford to lose.

This is just being a nit. Its relative to how much money you have, and your life situation. If you have 10k to your name and you are 20 years old, putting all your money into bitcoin is not some wreckless idea, it's taking a shot at retiring before 40 (like a pirate) or losing 10k and spending a few years working to recover it.

[CurbsideProphet]

MY question is "should I borrow 10k from my bank at 5% a year and put it all into bitcoin?"

NO.  You should never leverage yourself to invest in speculative investments. 

The only reason you should do so is if you can satisfy at bare minimum, the following criteria:

1) No credit card debt

2) A savings account with at least 6 months to 1 years worth of living expenses

3) A decent retirement plan set up that you are regularly contributing to and will fulfill your needs when you retire

There's probably more depending on your risk tolerance but you should have at least these three things squared away before you start borrowing.  This is even more true if you have dependents (children).

[wachtwoord]

Do you know Warren Buffet and Charlie Munger? Well, they had a third partner: Rick Guerin. The difference according to Buffet between Rick and Charlie and himself? rick wanted to get rich quick and used leverage. This wiped him out (in fact he needed to sell his  Berkshire Hathaway stock to Buffet at under $40 a piece while thse are >$147000). His lesson: Do not use leverage PERIOD

http://www.youtube.com/watch?v=YmmIbrKDYbw&feature=player_embedded

[Bit_Happy]

If you are young, maybe.
Use ~25% for Litecoin, since you can buy larger amounts.

[Vandroiy]

No, you idiot. You absolutely should NOT allocate all of your savings to Bitcoins.

In fact, don't put any amount into BTC that you can't afford to lose.

This is just being a nit. Its relative to how much money you have, and your life situation. If you have 10k to your name and you are 20 years old, putting all your money into bitcoin is not some wreckless idea, it's taking a shot at retiring before 40 (like a pirate) or losing 10k and spending a few years working to recover it.

Money is not always equally valuable to a specific person. Your last bit of money can become a lot more valuable compared to before. There might come a sudden need to pay for something, and in this case, having something can be worth more than probably having a lot more.

You suddenly get sick for an entire year. Out of the blue, some stupid infection, overdid it at work, whatever. Turns out 100% of your funds are inaccessible or gone. Good luck.

It is not a good risk to take. Not worth it. Look around and you'll see the people who managed to get back up: they had a backup plan. It's in the word itself, that's what it's good for: getting back up. You should always have some sort of backup plan, because things do go wrong at some point. None of us knows the future with certainty.

The poll is likely not representative. Trolls will add to the "yes" bar just because they like the drama should it go bad, or they want to see people make "OMG NO" posts.

[01BTC10]

Luckily healthcare is "free" where I live.  

[kingcrimson]

MY question is "should I borrow 10k from my bank at 5% a year and put it all into bitcoin?"

NO.  You should never leverage yourself to invest in speculative investments. 

The only reason you should do so is if you can satisfy at bare minimum, the following criteria:

1) No credit card debt

2) A savings account with at least 6 months to 1 years worth of living expenses

3) A decent retirement plan set up that you are regularly contributing to and will fulfill your needs when you retire

There's probably more depending on your risk tolerance but you should have at least these three things squared away before you start borrowing.  This is even more true if you have dependents (children).

Yawn. Sell this to the 401K generation who lost everything they worked for in the stock market, and now won't be able to retire until they're 80. Can't believe they're still teaching people to think this way. You've got to be agressive when you're young. I would say to OP, most definitely, ride bitcoin up and then re-evaluate every step of the way.

[CurbsideProphet]

MY question is "should I borrow 10k from my bank at 5% a year and put it all into bitcoin?"

NO.  You should never leverage yourself to invest in speculative investments.  

The only reason you should do so is if you can satisfy at bare minimum, the following criteria:

1) No credit card debt

2) A savings account with at least 6 months to 1 years worth of living expenses

3) A decent retirement plan set up that you are regularly contributing to and will fulfill your needs when you retire

There's probably more depending on your risk tolerance but you should have at least these three things squared away before you start borrowing.  This is even more true if you have dependents (children).

Yawn. Sell this to the 401K generation who lost everything they worked for in the stock market, and now won't be able to retire until they're 80. Can't believe they're still teaching people to think this way. You've got to be agressive when you're young. I would say to OP, most definitely, ride bitcoin up and then re-evaluate every step of the way.

Oh I'm sorry.  Yes, 2nd mortgage your house, convert everything to Bitcoin, then play the 50% at SatoshiDice.  Better?

[crazy_rabbit]

I wanted to say "Yes!" just to be funny, but then I considered you could be very naive and asking this question in sincere honesty- not knowing the bitcoin crowd very well yet and thus in grave danger.

The answer is NO!

Indeed, just by calling it your "savings" hints to me that you aren't a person with tons of extra money to spare. In which case I would advise you to put absolutely none of your savings into bitcoin.

If you want to put money into bitcoin, I suggest you do something like go take on a second/third job- something that provides you with income beyond what you need to live on and save at your current rate, and then put all the money you earn from that into bitcoin.

Remember the old maxim: don't invest more then you can afford to lose. Because chances are- especially if you're new to this- you will loose it.

[piramida]

the earlier you learn a lesson of money management, the less money you lose. so yes, go ahead invest 100% now, be smarter next time. otherwise you don't learn and make the mistake next time you see an "opportunity of a lifetime" and your savings are considerably larger.

[malevolent]

No, unless your entire savings are in the range of $100-1000.

[goxed]

MY question is "should I borrow 10k from my bank at 5% a year and put it all into bitcoin?"

Yes ofcourse. I donot see why not. Make sure you have a stop loss order, after you have gathered your BTC.

[cedivad]

the earlier you learn a lesson of money management, the less money you lose. so yes, go ahead invest 100% now, be smarter next time. otherwise you don't learn and make the mistake next time you see an "opportunity of a lifetime" and your savings are considerably larger.

It worked the hard way for me too.

[Vladimir]

Should i allocate 100% of my savings to bitcoin?

Generally, no.

However, Warren Buffett said: "Diversification is a protection against ignorance. It makes very little sense to those who know what they are doing."

If you really know what you are doing and understand your risk profile then by all means keep 100% of your liquid assets or savings in Bitcoin. Most people who did so during last 4 years did rather very well indeed. Too bad that "past performance is not indicative of future results". YMMV.