JJG’s Outline of Bitcoin Investment Ideas

[Sim_card]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

[Jostern]

Your statement is contradictory to what is needed to start investing in bitcoin, since isn’t mandatory for a newbie to have discretionary income before they can start investing in bitcoin, so what is required for a brand new investor to start investing in bitcoin, what is required to start investing in bitcoin is a discretionary income, so if you’re saying this here, then you’re going to be misleading newbies here with your statement, considering your rank I will assume you’ve been investing and buying bitcoin, if I may ask when you started investing in bitcoin did you start your investment outside your discretionary income ?, because if you did invest outside your discretionary incomes, by investing with money meant for your expenses then that is a huge blunder you’re making, and you might end up buying selling like a trader.

What if someone doesn't have disposable income When needs arise, how can we meet the basic necessities of life with our families such as kitchen utensils which can't be postponed Meanwhile my friend said that for beginner investors, if they follow the previous question, they don't need or are required to have disposable income. I completely agree with your answer, my friend. The answer doesn't align with what is being discussed, especially since what you said is not in our opinion.

How can someone facilitate their Bitcoin investment without disposable income I was also surprised after understanding what they said, when they sentenced beginner investors not to need such funds. The main reason for protecting investments is simply having these funds as something that can save investments that are sometimes only recently accumulated through DCA.

You don’t need a discretionary income to meet up with basic necessities of life, what you need to meet up with basic necessities of life is a money for your expenses which can easily be gotten as your income, probably on a weekly or monthly basis, depending on When you have your income, however you require an income to live life to the fullest, to afford for your basic expenses, so talking about discretionary income is money that is used to invest in bitcoin, however you don’t invest in bitcoin with all your discretionary income, you will have to set up a backup funds which can enable you sustain your bitcoin investment for a long term investment investment like an emergency funds, and if you don’t have a discretionary income you should endeavor to have a discretionary income so you can start buying bitcoin, talking about disposable income you should refer to it as a discretionary income for better understanding.

[Zackz5000]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

You are right, anyone who has their emergency funds in Bitcoin is actually gambling with their Bitcoin investment, emergency funds should be kept in a place that it can easily be access to and this should be in fiat.
Bitcoin is volatile so having our emergency funds save in Bitcoin could be something too risky,  just as you have said, Bitcoin price could drop when there is need for the emergency funds to use and definitely selling at that moment is selling in lost, and the emergency funds may still not be able to sort out the emergency need and the next option could be to sell out your Bitcoin holding, so this is why it's risky and also gambling when having our emergency funds in Bitcoin instead of fiat.

[Barikui1]

, talking about disposable income you should refer to it as a discretionary income for better understanding.

Disposable income is totally different from a discretionary income, so I wonder why he is calling discretionary income as a disposable income.

 For a better understanding, disposable income is the amount of money left after finish paying up your tax, while a discretionary income is the amount of money that is left after all your basic needs have been met, so they are totally different from each other, so I just wonder where he got that from, by using the word disposable income instead of a discretionary income, because that can be misleading to newbies investors that cannot differentiate the difference between them.

[Qhunman]

anyone who has their emergency funds in Bitcoin is actually gambling with their Bitcoin investment, emergency funds should be kept in a place that it can easily be access to and this should be in fiat.

I agree with you that emergency fund shouldn't be invested in bitcoin because you never know when a real- life emergency will occur. If an emergency strike and the price of bitcoin has fallen below your entry point, you will sell your bitcoin at a huge loss, so it's more like that said person is gambling to me than he is actually investing.  For example, a person has an emergency surgery and he needed to pay for that surgery from his emergency fund, and network was poor and the surgery has to be done immediately, doctor wouldn't attend to him unless the deposit has been made, at that point he could lose his life if the network doesn't stablise in time for him to sell.  This is why emergency fund should be kept in fiat currency for easy access so that if a real life emergency strikes, you can have access to your emergency fund in time.

[NewRevelation]

Each guy has to figure for himself, the extent to which he is able to buy bitcoin every week if he has income that is irregular, and so there surely can be stress in managing money and making sure that he is not investing beyond his discretionary funds.

Yes, you are right, and that is why figuring out the best income allocation and management skill is important. You know, at first, it may not be very clear it east for plebs to find best ways to allocate income or manage there income properly so that they end up buying and/or investing rightly and also building up there back up funds appropriately. Especially for a newbie who just started his investment, there could be mismatch, either putting more to back up funds or buying more as the case may be, but ad time goes on, one can find the best allocation/management practices sorrounding your investment and income.

And of course, since income and/or discretionary is not the same with others, you can't follow others amount or buying pattern. people must always find the best investment practice that suits there income.

[Perfect-World]

Those whose income is irregular, especially the freelancers I mentioned in the example, often have a lot of work pressure, as a result of which they get a few months of income in a month and sometimes they have no work, so they have to adjust. For example, to meet the necessary expenses, they can keep a fund ready for expected expenses and they can keep a fund aside for some unexpected expenses.

Now if we discuss the investment of these people with irregular income, the first thing that comes to my mind is that they should follow the direct dca investment strategy. Since their income is irregular, they have to consider an amount that will not be a pressure for them or the amount they decide to invest and they can easily continue it. In addition to investing consistently, if the investor keeps a strong emergency fund ready, then his investment will definitely continue and any major financial need they can meet from that emergency fund.

Of course we know that one of the major problems poor people have in there investment journey is the ability to consistently figure out there discretionary income which can be used for investing into Bitcoin, and this is clearly the advantage rich people have over the poor.

However, the poor can still manage to survive in his investment. Anytime they are able to figure out some kind of discretionary, they can invest into Bitcoin. One good thing they can do for themselves is to ensure proper income management/allocation. Since they are not always able to figure out there discretionary consistently or not having enough discretionary income, they should do well to allocate and manage the available discretionary income whenever it comes so that they are able to gradually invest into Bitcoin, of course, for a longer period.

[ZeroVinsonN]

This depends on the investor and how he plans to live his life in order meet his accumulation objective. That is why an investor can just divide his discretionary income into investment funds and protective funds since his basic needs are already taken care of before arriving at the discretionary income. This pattern will make more money available for investing and will cut down spending on frivolities.

This does not mean that the investor is not taking good care of himself, he is already doing that by setting aside funds for basic needs which cover things like food medicine, utilities, and others that are compulsory for comfortable living.

I don't agree, setting money aside for discretionary consumptions isn't spending money on frivolities, where I'm from we have a culture of entertaining guests and I'm sure it's the same for most of the world, the thing here is that you don't have to do it so it isn't an essential bill you need to pay which means you pay for it from your discretionary income, if you can't afford it you can just leave it. To do something like this you need to have money for that discretionary spending from your discretionary income, it doesn't have to be much, it could just be like 10% and then you can divide the other 90% between your investment and your backup funds.
So while you can go for a two way split and just spend your discretionary income on your investment and your backup fund if you want to, it's better to have a third option for your discretionary spendings and there is nothing wrong with that.

[Olatundespo]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

You are right, anyone who has their emergency funds in Bitcoin is actually gambling with their Bitcoin investment, emergency funds should be kept in a place that it can easily be access to and this should be in fiat.
Bitcoin is volatile so having our emergency funds save in Bitcoin could be something too risky,  just as you have said, Bitcoin price could drop when there is need for the emergency funds to use and definitely selling at that moment is selling in lost, and the emergency funds may still not be able to sort out the emergency need and the next option could be to sell out your Bitcoin holding, so this is why it's risky and also gambling when having our emergency funds in Bitcoin instead of fiat.

When we hear the word emergency, we have a sense of urgency and if it comes to an emergency fund, we may need it at any time. It is not certain when the need will arise, so it would be more reasonable for you to keep this fund in fiat.
If I imagine another alternative, if someone keeps a fund equivalent to 3 months of family expenses as an emergency, it would be better to keep that fund in fiat and if it is a larger emergency fund, such as a fund equivalent to 6 months or 1 year of family expenses, then in my opinion it may be logical to keep it in Bitcoin form (3 months of family expenses must be in cash as an emergency fund).

So the gist of what I am saying is that keeping an emergency fund in fiat form is more reasonable, but if someone wants to keep an additional amount of funds (for more than 6 months of family expenses) as an emergency then that could also be reasonable.

[SmartCharpa]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

You’re right. We should consider our emergency fund before we invest more money in Bitcoin. Emergency fund and Bitcoin investments should be balanced like you mentioned. Bitcoin prices are unpredictable and we are investing for the long term, while emergency funds on the other hand, is for unexpected emergencies, like medical bills or other expenses.

In a situation where you don’t have enough cash for emergency, then the individual have no choice that to depend on their bitcoin to survive the situation, whether they are at loss or not to their entry point. That’s why we are all advised not to invest more than we can afford. It will put us on unnecessary situations where you have to sell your bitcoin to handle to situations.

[Obari]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

I agree with you no doubts but I think we should go back to the context for why I suggested saving our emergency funds in bitcoin.

The initial discussion was about a newbie who is trying to start a journey in the bitcoin market and doesn't have a start up capital and also doesn't have any set funds set aside for emergency and the question was that, should the newbie try to build his emergency funds or go straight into investing in bitcoin considering the fact that, the economy is a harsh one and one of the best investment strategy is the DCA technique

That was when I suggested that, he should rather hold whatever money he earns in bitcoin but it should be treated as an emergency fund and not his savings or investments which means that, whenever there is an emergency, he can withdraw without guilt and the reason for this is that, you'll agree with me that if maybe, we plan our emergency funds per weekly and maybe you set aside $50 for weekly emergencies, you would agree with me that, if one leaves a peaceful life, there might not be any emergency for a whole week and for such weeks when there are no demand for the Fund and for such weeks, the money might then be counted as his investment.

[Gost ms]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

It is never a good idea to invest your emergency fund in Bitcoin. Because if there is a downturn and you have a financial crisis and during that downturn the price of Bitcoin falls below your purchase price, you will have to sell it at a loss, which is not a good idea at all. I think it is a good idea to keep our emergency fund in our cash or divide it into several ways.

You can keep some amount in dollars, some in cash and some in the bank. By keeping it this way, you can easily keep this kind of money within reach and without any risk. When you keep your entire emergency fund at home, there may be a possibility of theft.

[blackisbeauty]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

I agree with you no doubts but I think we should go back to the context for why I suggested saving our emergency funds in bitcoin.

The initial discussion was about a newbie who is trying to start a journey in the bitcoin market and doesn't have a start up capital and also doesn't have any set funds set aside for emergency and the question was that, should the newbie try to build his emergency funds or go straight into investing in bitcoin considering the fact that, the economy is a harsh one and one of the best investment strategy is the DCA technique

That was when I suggested that, he should rather hold whatever money he earns in bitcoin but it should be treated as an emergency fund and not his savings or investments which means that, whenever there is an emergency, he can withdraw without guilt and the reason for this is that, you'll agree with me that if maybe, we plan our emergency funds per weekly and maybe you set aside $50 for weekly emergencies, you would agree with me that, if one leaves a peaceful life, there might not be any emergency for a whole week and for such weeks when there are no demand for the Fund and for such weeks, the money might then be counted as his investment.

I have read your previous post and this one, yet, to me, it doesn't still make any good sense for one to keep or save his emergency funds in Bitcoin. It's a No for me.

We all know that Bitcoin is a volatile assets, and keeping your emergency funds in Bitcoin could be dangerous. What if Bitcoin is declining or has declined at the time you may be needing the emergency funds? If it has, you know you won't get the same amount anymore. Preferably, it is best to keep your emergency funds readily accessible at anytime. You are already investing in Bitcoin, your emergency funds which is serving as a safety net for your investment isn't soposed to be kept in Bitcoin so that you can easily and immediately handle emergency financial situations that may arise.

[sotelorene]

, talking about disposable income you should refer to it as a discretionary income for better understanding.

Disposable income is totally different from a discretionary income, so I wonder why he is calling discretionary income as a disposable income.

 For a better understanding, disposable income is the amount of money left after finish paying up your tax, while a discretionary income is the amount of money that is left after all your basic needs have been met, so they are totally different from each other, so I just wonder where he got that from, by using the word disposable income instead of a discretionary income, because that can be misleading to newbies investors that cannot differentiate the difference between them.

Absolutely correct discretionary income and disposable income are both left overs after taking care of some needs or want and so  someone can mistaken the disposable income to discretionary income because they are leftovers as well but the main difference is that the leftover of disposable income are not meant for investment or savings but that of discretionary income can be use for Investment and some other important things or desire as the case maybe.

[Sticky Bomb]

emergency funds should be kept in a place that it can easily be access to and this should be in fiat.

For better reliability, emergency fund should be kept in more than one channel and must not only be in fiat. It can be kept in physical cash, in the bank, stable currencies or bonds that is easy to cash in. keeping it only in a single form has a high tendency of not being accessible when the need arises.

Lets take for instance you keep it in the bank and the day you've emergency, bank froze your account or you're having network issues.
If you have some in cash, it can be readily available to start solving the need, pending the time you liquidate the one in stable currency while you settle with the bank to unfreeze your funds. It is always better to hold emergency fund in more than one channel, but channels that can easily be cashed in when the need arises.

[Promocodeudo]

I have said it before that, for someone who doesn't even have an emergency funds and wants to go into the industry, instead of wanting to wait to get an emergency fund gathered, I would rather prefer that you save your emergency funds in bitcoin so you can be on a safer side.

It is not adviceable to keep your emergency funds in Bitcoin considering how volatile Bitcoin asset is, I think it is better we save it in USDT which I think is the best of, note our emergency funds might be needed at anytime, it has be kept where we can easily access it whenever.
If an intending investor does not have emergency funds, that should not be a problem or stand as an obstacle for him or her not to start investing as long as there discretionary income is present, people should understand that as a newbie they can accumulate their Bitcoin along side with establishing their emergency funds as that will help to build a shield around their Bitcoin portfolio against any sudden occurrence.

[Gravitypull$]

That was when I suggested that, he should rather hold whatever money he earns in bitcoin but it should be treated as an emergency fund and not his savings or investments which means that, whenever there is an emergency, he can withdraw without guilt and the reason for this is that, you'll agree with me that if maybe, we plan our emergency funds per weekly and maybe you set aside $50 for weekly emergencies, you would agree with me that, if one leaves a peaceful life, there might not be any emergency for a whole week and for such weeks when there are no demand for the Fund and for such weeks, the money might then be counted as his investment.

Emergency doesn't come only to someone who isn't leaving a peaceful life, it's for all whether you're living a peaceful life or not. I think that you have been corrected by Sim_card and you are still saying the same thing that you were corrected on. There's no situation or circumstances that should make any new investor keep his emergency funds in bitcion because the price of bitcoin might be in a drastic dip when you need it and that will definitely reduce the size of your emergency funds in cash putting you at loss.

It's good that as a bitcoin investor, you avoid every action that will put you at loss. It doesn't make any sense to me to keep your emergency funds in a volatile asset instead, keep it in a stable currency be it in your local fiat or USDT. If your the value of your local currency is lower to USD, then I'll prefer to keep it in USDT. Emergency can come at anytime just like the lost of your job which is why you need to plan for it the right way.

[Grease5000]

Getting money is one of the easiest things because you can always work, and from there you will be able to make money, and from there you can use your discretionary income to make proper use of it because most people don't even know how to make use of it, because most people don't know how to make proper use of their discretionary income and that way they will be able to put it in a better use.

At this point ur statement is totally unacceptable because in some part of the world it's very hard for some people to cover their basic necessities and you say its very easy to get money

For both people with regular or irregular income as long as they are able to figure out their discretionary income, all they have to do is to know how to make better use of it by using some percentage  to buy bitcoin, some for emergency fund and the remaining as to build  some financial cushion.

[Emeraldo]

emergency funds should be kept in a place that it can easily be access to and this should be in fiat.

For better reliability, emergency fund should be kept in more than one channel and must not only be in fiat. It can be kept in physical cash, in the bank, stable currencies or bonds that is easy to cash in. keeping it only in a single form has a high tendency of not being accessible when the need arises.

The most important part of holding your emergency fund is the accessibility. You can decide to keep it in any currency but it must be easy to access so that ghe purpose of keep an emergency fund will not be tarnished.

Lets take for instance you keep it in the bank and the day you've emergency, bank froze your account or you're having network issues.
If you have some in cash, it can be readily available to start solving the need, pending the time you liquidate the one in stable currency while you settle with the bank to unfreeze your funds. It is always better to hold emergency fund in more than one channel, but channels that can easily be cashed in when the need arises.

This is a good example and investors should understand the diversity of making the emergency fund available in both cash and digital like in the bank or in form of digital currency. Once the purpose can be easily fulfilled that will not be a problem again.
Also you can decided to build your emergency funds uot o 6 months coverage so incase you lose your source of income.

[obuoma]

Emergency funds shouldn't be in bitcion because you are already investing into bitcoin and there must be a balance between the cash on you and your bitcoin investment so that, you don't keep too much cash on your or have too much bitcoin on you with little cash that will make you end up selling your bitcoin because you need cash.

If your emergency funds is in bitcion then you are not save from losses because if it happens that a real life emergency hits you and bitcoin price is down below your entry point, your emergency funds will depreciate and you will sell at loss. Your emergency funds should be in fiat for easy access when you are hit with real life emergency.

I agree with you no doubts but I think we should go back to the context for why I suggested saving our emergency funds in bitcoin.

No reason should make an investor save his emergency funds in Bitcoin, people who started that way always sell all their Bitcoin when they encounter any problem and there is no way to distinguish those Bitcoin for  emergency funds and holding. If you understand what emergency fund is, you will not even think about keeping it in Bitcoin because such fund is supposed to be available and easily accessible because emergencies require urgent attention. Like Simcard said, there is the possibility of the emergency funds becoming very low when the price of Bitcoin drops, and this may be problematic for the investor. Therefore, emergency funds should be saved in fiat and not Bitcoin.