Being your own bank has certain levels of complications, and some people might not want to be their own bank or they might want to limit how much they are being their own bank, even though self-custody brings value to bitcoin, and self-custody is what makes bitcoin powerful and valuable..
The power of bitcoin lies in it’s decentralisation, but you find that some investors still don’t fully grasp this concept to appreciate what it actually means or should I say they’re lazy and choose the easy path. There are still investors today who hold their coins in exchanges or hot wallets. Sometimes it seems that people don’t want the responsibility of being their own bank or to be held accountable, they prefer others to do their dirty work even with the risks involved.
This is something we should be discussing often aside from strategies of accumulating and hodling, discussions on the importance of securing our wallets properly should be considered and encouraged.
Accumulating bitcoin I think is one side of the coin, the other part is securing it properly.
Since security issues arise after starting investing in Bitcoin, here we can discuss how to start investing and what kind of mindset one should have... Discussion on investment is is different type from discussion on security. This thread has been opened for discussion on investment issues by JJG sir . In my opinion, this thread should have relevant discussions on how to start investing for beginners and how to sustain it in the long term, especially why they should start, how much to start with, how to balance the necessary expenses and backup funds, how aggressive to be and how to run accumulation for 4-10 years or more. After that, along with starting investing, a suitable separate discussion or specialized thread can be followed on custody and security. So I am not minimizing the importance of security. Rather, I am saying that the right topic needs to be discussed at the right level and in the right place. There is no need to tell a new person all the complexities of being their own bank on the first day or burden them with responsibilities. He can start small with his own extra money, increase his position as he learns, and improve his security setup as the value of his stash and his own skills increase. Both the mindset to start with and the technical process of protecting coins are important, but they are not the same discussion and for a more in depth discussion on security or if someone knows something about it, it seems quite appropriate to discuss that topic in a separate topic.
This thread is not only for beginners, and I frequently talk about both security and self-custody as being on a spectrum, which largely means that the more bitcoin we hold, the more likely that we are going to have to increase our security and to hold more of that value in self-custody rather than third parties.
The mere fact that a lot of guys are in their early stages of bitcoin accumulation tends to cause a gravitation in the discussion towards the ways that guys accumulate bitcoin, which also likely involves thinking about ways to strengthen cashflow management and back up funds to the extent that guys might not already have systems in place that are strong enough for their bitcoin holdings - and surely as their bitcoin holdings grow then they may need to consider their cashflow management and their back up funds in different ways as compared with the times in which they did not have any bitcoin.
You are probably correct that we might not want to get caught up in the weeds of security and self-custody, even though surely there can be quite a bit of specialization in those kinds of discussions and there can be some dangers in getting into too much detail regarding what guys have as their security and/or self-custody set-up. Many of us likely realize that bitcoin would have little to no value or even power if normal people were not able to self-custody it, so even though there may be some folks who are not ready, willing and/or able to self-custody, self-custody remains a valuable aspiration, even if guys do not necessarily need to start out their investment into bitcoin with self-custody.
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We don't have perfect control over what happens to us, what can happen to someone who is older can still happen to someone else who is much younger but an older person is in a much likely position to share certain secrets with their family than a younger person unless that older person is estranged from the family which I must say is a really sad thing to happen.
We really need it have people we can trust in our lives, you don't have to hand over your keys to them but you just have to make sure that if something does happen to you they will be able to access your keys (this will be after the person is no longer alive)
there are alot of ways to make sure people get their hands on things even after the owner is dead.Of course, one of the unique attributes of bitcoin is that it has no physical manifestation, so in that regard, bitcoin can be kept in ways that are not recoverable once the owner is no longer alive.
Security setup warning at the end is not stressed enough, however. People get hung up on buying up, and then they make the plan so complicated for their family to follow that if they can not follow it, they can not access it. Bitcoin passing down planning is indeed problem that needs to be dealt with by most Bitcoin holders and is equally as important as the buying process itself.
I think that the most important aspect of bitcoin investing and profiting from it should be a self-ish level, and sure, if there is still money left over upon death then that money can be passed down to heirs, yet I would not consider the passing down to heirs as being the most important issue or problem, even though it is something that some bitcoiners consider to be important, yet to me it seems like a want rather than a need.
I think that is the practical way to look at it, the first responsibility of bitcoin investor is to improve their quality of life and their own financial position. Before that thinking comes to mind, leaving wealth to next generation, because there’s small point in making inheritance the main object if you, yourself have not first benefit from asset, If you don’t achieve financial stability during your lifetime. there may not be much left to pass on. If your bitcoin ultimately outlives you and your heirs inherits it, that’s a great outcome. But at same time I see it as the result of successful long term investment journey,not for starting the journey in first place, I think investor should first focus on achieving financial security and creating more freedom during their lifetime. Once those goal are achieved, leaving bitcoin behind becomes natural extension of that success.
Many folks accumulate excess property and also are not able to liquidate and/or spend that property/assets within their lifetime, so they don't mind having inheritance (or some variations of successorship) as their back up plans.
There are other folks who purposefully want to accumulate wealth in order to be able to pass it on. These can be choices, even though surely only a guy who has already been able to meet his basic needs is able to have the luxury of having excess wealth to be able to pass on, and sure it is the case that so many folks will die with some amount of wealth, since there are fairly rare cases that any of us can really know when our time of death is going to be.
Over aggressive accumulation can not necessarily be sustained in this manner, no matter how we try to side line it the simple truth is that we have other things we can do with our discretionary income, you can't ignore your discretionary spendings forever and that's why you will hardly see someone who is being 100% in their aggressiveness because at the end of the day it's simply not sustainable so our choices are guided by what's realistic and not just what we want to do, I can want to invest in bitcoin with all of my discretionary income but that doesn't mean I can do it.
You are mistaken aggressive for over aggressive. The difference is this, over aggressive buying is when you are using more than your discretionary income to buy bitcoin which means that you have used part of money for your basic needs to buy bitcoin. I call that gambling and a misplaced priority because when you needs pop up, you will sell the bitcoin at loss if the price is below your entry point. Which is a wrong way to increase your bitcoin stash.
Aggressive buying is when you are using a larger part of your discretionary income to buy bitcoin. Which is encouraged and you're doing it because it wouldn't affect you financially. However, it's not realistic for anyone to say that he would ignore his discretionary consumption because he's investing into bitcoin because you will be suffering yourself and no one will love to do that because you are on a long term bitcoin investment journey.
Even though the two of you are trying to distinguish between aggressive and over aggressive in different ways, you seem to be saying similar things.
Surely it is easy to proclaim that investing into bitcoin beyond our discretionary funds (or our discretionary income) would be over aggressive, yet there still could be some line in which we are still investing into bitcoin within our discretionary funds (income) yet still being over aggressive because we are not retaining enough of our discretionary funds/income for the purposes of savings and/or discretionary consumption.
Where that line is drawn will likely vary from individual to individual, and surely one or to pay period of going overboard in one direction or another might not be enough to really make a difference, especially if we already have back up funds in place, yet it seems that the point that @ZeroVinsonN is making relates to guys who might constantly invest high portions of their discretionary funds into bitcoin without holding back any value for savings and/or discretionary consumption, and he is arguing that those kinds of practices would end up going into the overaggressive category because it is unsustainable. ZeroVinsonN assertion seems reasonable, even though guys can differ in their opinions in regards to how aggressive they are able to be without overdoing it.
