If that 4% thing is right and you have enough coins. You can get 4% from freebitcoin
So you could withdraw the 4% eternally without degrading the principle at all
Oh and without the 20x longs
Would you really put all your Bitcoin stash there to earn that 4% and be confident that they will be safu during all of your remaining lifetime?
Guess not.
Also that doesn't mitigate the volatility risk nor the catastrophic event one. You still have all your eggs in the same single asset and just add a great lot of third party risk.
I thought one of the goals of "retiring" was to be able to sleep at night.
All that defi is a bunch of fucking baloney, just like you suggested, bitserve.
Bitcoin has very decent potential for appreciating in value at least 4% per year on average into the future, so long as you consider averaging your assessment of your returns from a multi-year perspective, then you are likely to do quite well with bitcoin (no guarantees, of course), so why the fuck do you need any more price appreciation than that and to put your coins with a third party?
Before I got into bitcoin, I had nearly 30 years of returns of various traditional investments that averaged around 5.5% annual returns through all of those years. Yeah, there were up years and there were down years, and I thought that I had done pretty well for myself in terms of returns and in terms of building a decently sized nest egg over so many years.
Bitcoin has provided way better returns from my late 2013 entering into it to present, and there really is no reason to believe that someone who is investing with around a 4 year time horizon or longer, or even better yet a much much longer time horizon that goes into the 10 to 15 years plus is not going to have much better returns than I had experienced with my traditional investments. .. of course, no guarantees, but part of the promise of bitcoin remains that it seems to still be early stages and it is going to take a while to really grown and to get adopted, so it is not too late to establish a plan and to stick with it and to likely prosper from such plan 10-15 years or more down the road.
So yeah, if you end up averaging 5.5% returns, even when you start to withdraw from bitcoin, the likely 5.5% returns or greater should largely be maintaining the value of your principle, but of course, you also can consider that if you are aware of potential risk that you might have some lower percentage returns or that the amount of your withdrawal in terms of actual size of your principle is NOT large enough, then the problem with your whole situation would likely be that you just are NOT fucking ready to start to withdraw because your principle is too damned low to sustain yourself.
Rome was not built in a day. Like I mentioned for myself, I had spent close to 30 years investing in various assets before even meeting up with bitcoin and building the size of my investment fund (and capital) by continuing to invest into various aspects of my funds in a kind of dollar cost averaging approach. So, yeah, when I got into bitcoin, I already had established a considerably large nest egg with which to work and to enter into a position into bitcoin.
I am suggesting that you should not be expecting major ass short-cuts to get to capital accumulation, even by investing in bitcoin. You still have to build up your own personal portfolio and the amount of capital that you have in your control. Yeah, if you only have a few thousand dollars in your fund then it is going to take a long fucking time to wait for that amount of value to appreciate into something that is meaningfully large enough to sustain yourself, so your investing should continue with the passage of time rather than just front loading and then waiting 10 years and you might not have enough front loaded into the system, but if you continue to invest, even if your cost per unit (satoshi in this case) is more, you still are able to accumulate a larger capital base with the passage of time rather than just putting whatever you have in at the beginning of your investing, but if you keep plugging value into it over the years in a kind of dollar cost averaging way or buying on dips and blah blah blah, the amount that you have had invested continues to become larger and larger and large, but also the amount of your total package continues to feel a lot more comfortable too, even if each time that you buy some more does not seem to add to the total very much.
So even if I am anticipating that you might be able to reduce 30 years of accumulation down by 1/2 or 2/3, you still gotta put in a lot of time, effort and value and don't do anything stupid that is going to screw things up by depleting your principle.
Even with the best of circumstances, it tends to take a long fucking time to build up principle (I think bitserve said this, too), and might seem like a slow crawl in the beginning, but that amount that invested in the beginning will likely be unobtainable at later dates at anywhere near the same price that you had gotten it, and if you gamble with your principle after you had already spent 10 years or some other ungodly amount of time building it up, you might get lucky and be able to increase your total base, but you might also fuck up the whole thing by taking too many chances with your holdings, and smart investors do not put too much of their principle at risk in any one investment. Who the fuck wants to be faced with having to build up his/her principle again when prices are likely higher than they were 10-15 years earlier when s/he had first started stacking those sats.
So, who fucking cares if BTC prices go up along the way and you cannot get as many sats per fiat, you can only do so much on the front loading because if you are a young person you only have so much income or so much capital that is at your disposal and a central part your strategy should be to be investing without putting too much of your principle at risk.. even if the principle seems small in the beginning.. it is good to develop good practices, even in the beginning with seemingly small amounts of principle...
and fuck that giving your principle away or locking it up with some third party in order to earn anything less than 10% (and even 10% might not even be enough of a return to take the risk of having some third party run off with your principle and then you have to start over).
Anyhow, I think just investing into bitcoin is likely to get you great ass returns into the future that are much better than traditional markets, and like bitserve said in another post, you should be diversifying along the way.. or at least considering meaningful stacking away of value diversification strategies.
Yeah, sure when you are just starting out in your investing, you might NOT have enough value into bitcoin to really justify diversifying, but after a few years, the amount stacked away will likely start to add up and you do not necessarily want all your eggs in one basket (even if in a seemingly good investment like bitcoin).. but that does not necessarily mean investing in shitcoins, but there might be some ways that you are comfortable to diversify a bit out of bitcoin that helps you to weather the ups (and especially the downs) better, but maybe you are not really comfortable diversifying until you are 5 or 10 years into investing into bitcoin because you consider that the value of your investment is just not high enough to really justify diversifying.. and those are all personal and discretionary choices regarding how much diversification that you feel is necessary, and part of the reason that diversification into other cryptos might not be justified is because they are largely in the same or too similar of an class as bitcoin, and so diversification would mean attempting to diversify into classes of assets or investments that are not so closely correlated with bitcoin or at least in somewhat different classes.. and such choices might be different 5-10 years from now as compared to what might be good or decent asset diversification choices today..
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