JJG’s Outline of Bitcoin Investment Ideas

[Cossyblack]

For those who are really disciplined, they can actually do without emergency funds, at least they know how their funds will be corrected. The other way round, I feel like everything still depends on themself, but even then I still suggest you have an emergency fund.
 

There is no different from what you re doing and gambling because when you accumulate bitcoin without making provision for your emergency fund you are actually gambling with your portfolio. Emergency could happen at anytime and when it happens  and you don't have an emergency fund in place to protect your investment, you will be forced to sell your investment to sort out the unexpected expenses at your neck. So don't feel like because you are a discipline person, therefore you can control your emotions not to sell your investment when an emergency's happen which is not true because no matter how disciplined you are, you won't be able to think correctly or concentrate on your investment while you have an emergencies at your doorstep knocking, you will surely sell your bitcoin investment prematurely to sort out the unexpected expenses.

[UpTober]

Sometimes it's not just about poor orientation or any of them being misled, but it may be that the newbie investor is doing what I call ITK, which is "I too know" when they knows nothing. Such types of people believe that common sense can help them figure out everything the right way all the time, without knowing that they are just trying to fuck themselves up by applying common sense on everything.

An inform investor knows that Bitcoin accumulation and putting down your backup funds in place is done simultaneously, not by pay more attention to one and neglecting the other.

So are you saying that common sense does not work, even though I agree with you point that both Bitcoin stacking and building a back up funds done at a go, I still think that common sense can apply here as long as it works, I was not expecting anyone to criticize common sense when it comes to anything especially in Bitcoin investment, I'm very sure that you understand why almost everyone here kick against creating an emergency funds before starting Bitcoin investment journey proper, it is not that it is bad, but the reason is that, the energy that will be channeled in having your emergency funds first can as well be channelled to doing the two concurrently which is using one stone to kill two birds, instead of preparing to safeguard what you don't have.

I feel you can't just take away common sense when it comes to Bitcoin investment or investment in general.
Reason because everybody didn’t really know everything about Bitcoin before they started investing, including I myself, with the little knowledge I had then plus common sense, I was able to divide my finance into different segments and then invest into Bitcoin, rightly.
And also even without a pro Bit coiner telling a beginner, common sense will let him know that he shouldn't start building emergency funds first before he/she start investing in bitcoin. That he/she can literally build both emergency funds along with his/her Bitcoin investment.

One's common sense can play a good role in making investment decisions. The role of common sense here does not mean that the investor has to have a complete idea about the investment first, but rather if the investor can distinguish some common issues or take the right decision by considering the overall issues, it is important.

First, we have to understand our financial limitations and I think our common sense here will help us understand these financial limitations quite well. In many cases, we think that an emergency fund is mandatory for investing or it is not possible to invest in any way without an emergency fund, that is, we consider emergency funds as a competitor to investment, but in reality, this is not the case. Investment and emergency fund formation depend on the income of the person and its proper management, now if an investor has a stable source of income, then he can continue his investment at the same time as he can prepare an emergency fund.  But for those who do not have much money left after meeting their basic needs, there is actually no need to take so much pressure with an emergency fund. Rather, if they have some discretionary income left after meeting all their basic expenses, then they should start with a part of that discretionary income.

The prerequisite for investing is not that we have to first ensure an emergency fund and then invest, but rather the prerequisite for investing should be that the amount of money we are investing is beyond all basic expenses.

[Gravitypull$]

People should stop using lack of emergency fund as an excuse to delay their investment. Such an excuse is baseless since they can build both their emergency fund and bitcoin investment simultaneously by splitting their discretionary income in half. One half can be used for investing while the other half can be use for building their emergency fund.

Dividing your discretionary income into two and forgetting about your discretionary consumption doesn't make sense to me because for how long will you stay without discretionary consumption when you're on a long term journey. You don't need to deprive yourself from your discretionary consumption just because you're investing into bitcoin because bitcoin investment is to build wealth for yourself in a way that it wouldn't stress yourself financially and not punishment to deprive yourself from some of your wants.

It's impossible and doesn't look real that a long term bitcoin investor will stay without discretionary consume all through his investment journey. Your discretionary income should be divided into three parts. 1) for investing, 2)for savings and 3)discretionary consume.

[Ashawowo(OS)]

But if you do not yet have an emergency fund and your income is irregular, it may be reasonable to temporarily focus on building an emergency fund. Setting the same ratio for both now will ignore their real financial differences.

For how long do you think it's proper to focus on building emergency fund and leave out your bitcoin investment?
I don't find it very efficient to focus only on your emergency fund and not consider your investment for the said period of time. You can always focus on the two, even if you've decided to leave out discretionary consumption based on your own financial situation.

If your definition of temporary is a year, then you would've missed out on buying bitcoin for a whole year despite having discretionary income just because your finances is irregular. That's not ideal. You should still divide it and keep adding to your portfolio no matter how little, even though you've decided to give your emergency fund more priority than bitcoin investment which I don't still find very ideal.

[BluebloodCXVI]

A person may or may not have basic financial reasoning when he gets started buying bitcoin, yet hopefully, his common sense would help him to arrive at the conclusion to invest less into bitcoin  if there might be basic areas that the person is lacking in knowledge, skills and/or experiences.

I think that’s a reasonable way to look at it.
A person doesn’t necessarily have to know everything first before getting started in investing, but they should at least recognise what they don’t know and let that be a guide for them to decide how much that they are willing to put into bitcoin.

There’s nothing wrong with a person learning as they go, provided that  they’re not exposing themselves to more risk than they can be able handle because having interest in an investment and knowing how much that you’re reasonably prepared to commit are two different things.

[As-Soon-As]

I think that’s a reasonable way to look at it.
A person doesn’t necessarily have to know everything first before getting started in investing, but they should at least recognise what they don’t know and let that be a guide for them to decide how much that they are willing to put into bitcoin.

You should have a proper idea about investing in Bitcoin, how you will invest and how to sustain it for a long time, it is enough to follow this strategy. Yes, a new person should not waste his time to know everything about Bitcoin, but he should invest in Bitcoin along with investing. This will give him enough time to learn about different strategies because learning strategies is very important to keep the Bitcoin investment.

There’s nothing wrong with a person learning as they go, provided that  they’re not exposing themselves to more risk than they can be able handle because having interest in an investment and knowing how much that you’re reasonably prepared to commit are two different things.

Yes, it is important to take risks according to your ability and move forward in this era. In this, Bitcoin investors will get enough opportunities to buy Bitcoin and by utilizing this opportunity, they will be able to gain huge benefits in the future. If every person follows such a strategy and puts enough effort into investing in Bitcoin, then that person will definitely be successful.

[Bluedrem]

I think that’s a reasonable way to look at it.
A person doesn’t necessarily have to know everything first before getting started in investing, but they should at least recognise what they don’t know and let that be a guide for them to decide how much that they are willing to put into bitcoin.

Since people are investing in crypto, which is the least risky and most promising among crypto currencies, they have to know a lot before investing and there is no question about it. If a person can create a secure wallet where he will store his invested bitcoins and has basic knowledge about bitcoin, then he can invest in bitcoin.
And since bitcoin investment is a long-term process and the portfolio has to be maintained for a long time to achieve the desired profit after investment, I think if the investor invests in the DCA method, within a few days he will be able to learn a lot about bitcoin beyond investment, which will serve as an inspiration to preserve his bitcoin portfolio for a long time.
However, I will advise for beginners, you do not need to know much to invest in bitcoin. If you have discretionary income, you can start investing in Bitcoin now, just remember to build an emergency fund in addition to your Bitcoin investment as a safeguard for your Bitcoin portfolio.

[Silikiem]

One's common sense can play a good role in making investment decisions. The role of common sense here does not mean that the investor has to have a complete idea about the investment first, but rather if the investor can distinguish some common issues or take the right decision by considering the overall issues, it is important.

First, we have to understand our financial limitations and I think our common sense here will help us understand these financial limitations quite well. In many cases, we think that an emergency fund is mandatory for investing or it is not possible to invest in any way without an emergency fund, that is, we consider emergency funds as a competitor to investment, but in reality, this is not the case. Investment and emergency fund formation depend on the income of the person and its proper management, now if an investor has a stable source of income, then he can continue his investment at the same time as he can prepare an emergency fund.  But for those who do not have much money left after meeting their basic needs, there is actually no need to take so much pressure with an emergency fund. Rather, if they have some discretionary income left after meeting all their basic expenses, then they should start with a part of that discretionary income.

The prerequisite for investing is not that we have to first ensure an emergency fund and then invest, but rather the prerequisite for investing should be that the amount of money we are investing is beyond all basic expenses.

Investors without a stable source of income can still get to invest In bitcoin and at the same time build their emergency funds all along. They must not have a stable source of income before they can accumulate bitcoin and save for emergency funds as well . They can achieve this by allocating a part of their discretionary income to bitcoin accumulation and the other part into building emergency funds. Their income must not have to be stable before they do this, what is important is that since their income isn’t stable, which means that they do receive income once in a while, so what they can do is that if their income comes, they should sort out their basic needs first and the remaining money left with them which is their discretionary income can be splited out in various parts where they can then decide how much of it they will use to buy bitcoin and how much of it to use for building emergency funds and other back up funds.

[Umulala-alala]

I think that’s a reasonable way to look at it.
A person doesn’t necessarily have to know everything first before getting started in investing, but they should at least recognise what they don’t know and let that be a guide for them to decide how much that they are willing to put into bitcoin.

Since people are investing in crypto, which is the least risky and most promising among crypto currencies, they have to know a lot before investing and there is no question about it. If a person can create a secure wallet where he will store his invested bitcoins and has basic knowledge about bitcoin, then he can invest in bitcoin.
And since bitcoin investment is a long-term process and the portfolio has to be maintained for a long time to achieve the desired profit after investment, I think if the investor invests in the DCA method, within a few days he will be able to learn a lot about bitcoin beyond investment, which will serve as an inspiration to preserve his bitcoin portfolio for a long time.
However, I will advise for beginners, you do not need to know much to invest in bitcoin. If you have discretionary income, you can start investing in Bitcoin now, just remember to build an emergency fund in addition to your Bitcoin investment as a safeguard for your Bitcoin portfolio.

Your first statement can't be comprehended i don't know where the word crypto is coming from maybe you wanted to say BTC but forgot to edit, even if that's the case the word crypto isn't supposed to show up here. Investing in bitcoin require you having your discretionary income available with your common sense you can know how to follow up their BTC accumulation, emergency funds is necessary for any one that what to hold their bitcoin for long because our emergency funds serves as a protection to our BTC.

[Bluedrem]

Your first statement can't be comprehended i don't know where the word crypto is coming from maybe you wanted to say BTC but forgot to edit, even if that's the case the word crypto isn't supposed to show up here. Investing in bitcoin require you having your discretionary income available with your common sense you can know how to follow up their BTC accumulation, emergency funds is necessary for any one that what to hold their bitcoin for long because our emergency funds serves as a protection to our BTC.

Yes, I mean that when people are investing in Bitcoin, how safe and promising crypto currency is it, they don't have to be very knowledgeable at the beginning. If they have a basic understanding of Bitcoin and if they have a discretionary income, they can start investing in Bitcoin. But they have to make sure that the wallet in which they are storing their Bitcoins is safe. Also, there is no need to start investing after gaining a lot of experience in Bitcoin. If a person has a discretionary income and has a desire to invest, they can start investing. They can gain enough experience in this regard by investing in Bitcoin. Gradually, they will understand for themselves what kind of behavior they should have on their Bitcoin portfolio.
When the price increases, many people think that it is not the right time to invest in Bitcoin, in that case, I want to tell them that it is better to start investing in Bitcoin at any moment. If you wait for the price to decrease, you may fall behind in your investment. Since you are using the DCA method for investing, set goals on how to grow your Bitcoin portfolio without looking at the price.

[Sim_card]

Proper risk management is something everyone must employ if they must last long investing or Trading, with proper risk management.

I don't know why you are bringing up trading in this thread because trading and long-term investment is not the same thing and they're the opposite of each other. Don't mislead newbies for them to think that trading is good. You sound more like a trader for talking about maximizing profits and mitigating losses, when a brand new investor should only focus on buying with DCA a d continue building his bitcoin stash over time.

You are to only invest with part of your discretionary income and set up an emergency funds and other backup funds along side as your are building your bitcoin investment. Your emergency funds should be at least least three months of your monthly expenses and don't buy bitcoin when you don't have discretionary income or don't sell with the hope to buy back to increase your bitcoin portfolio.

[Jostern]

Proper risk management is something everyone must employ if they must last long investing or Trading, with proper risk management.

I absolutely think you don’t know what you’re talking about, we’re not talking about trading whatsoever you’re talking about here, have you heard about buying and investing in bitcoin for the longest time period, that is what is usually discussed in this thread and not buying and trading, however talking about risk management, which is why you’re always advised to invest in Bitcoin with a discretionary income, and what is a discretionary income, it’s a leftover money from your income, if you’re investing with your leftover money you’ll have nothing to worry about when their is a downturn in the market, as someone who is a beginner I would expect you to approach the market with the mindset of buying Bitcoin through the DCA method, I feel that is something that would help you sustain your investment when you can buy as much as you can afford, buying and trading bitcoin would lead you to missed opportunities that would’ve helped you to stack more bitcoin in your bitcoin, I will urge you to consider buying and holding bitcoin for the long term period.

[Grease5000]

For those who are really disciplined, they can actually do without emergency funds, at least they know how their funds will be corrected. The other way round, I feel like everything still depends on themself, but even then I still suggest you have an emergency fund.

You are totally wrong , your opinion can mislead  newbies who re not well informed on the actual use of an emergency fund. Because discipline alone can  is not enough and cannot replace an emergency fund. You may be good at managing your money, but you cannot always predict what will happen tomorrow. For example, someone can lose their job, have an unexpected medical bill or face an urgent family problem. These things don't always depend on how disciplined you are.

An emergency fund is not just about managing money well, it is about preparing for situations you may not have control over. It also helps you avoid selling your bitcoin when the market is down just because you urgently need cash.

[Emeraldo]

Proper risk management is something everyone must employ if they must last long investing or Trading, with proper risk management.

Are you trying to advise people to start trading? This is not a tradinh thread and it will be seen as misleading when you are indirectly telling people to trade the market when you know that trading is not reliable. Have you gotten that 90% of traders are never profitable?
So many people sharing their signals and trading profits are fakes and this is to lure innocent people to buy their trading courses which is a quick make to decieve people to learn trading and starts losing their money.

I absolutely think you don’t know what you’re talking about, we’re not talking about trading whatsoever you’re talking about here, have you heard about buying and investing in bitcoin for the longest time period, that is what is usually discussed in this thread and not buying and trading,

Trading is pure bullshit and people need to understand the risk that is involved in trading.
Several people that are making money from traders often end up losing everything they have earned which is why investing using the DCA is important.

[Saltysugar99]

For those who are really disciplined, they can actually do without emergency funds, at least they know how their funds will be corrected. The other way round, I feel like everything still depends on themself, but even then I still suggest you have an emergency fund.
 

There is no different from what you re doing and gambling because when you accumulate bitcoin without making provision for your emergency fund you are actually gambling with your portfolio. Emergency could happen at anytime and when it happens  and you don't have an emergency fund in place to protect your investment, you will be forced to sell your investment to sort out the unexpected expenses at your neck. So don't feel like because you are a discipline person, therefore you can control your emotions not to sell your investment when an emergency's happen which is not true because no matter how disciplined you are, you won't be able to think correctly or concentrate on your investment while you have an emergencies at your doorstep knocking, you will surely sell your bitcoin investment prematurely to sort out the unexpected expenses.

Yes, I agree with you. Having an emergency fund is very important when investing in bitcoin. How much consistency a person has in investing is important. Along with this, it is also very important to continue investing in bitcoin for long-term bitcoin holding. For beginners to understand, it is necessary to explain in detail what kind of problems can occur if there is no emergency fund when investing in bitcoin. I think it is necessary to clarify why an emergency fund is needed here and how long term bitcoin investment can be damaged if it is not there.

1. The problem that can be more common for everyone if there is no emergency fund when investing in bitcoin is that the risk of selling bitcoin against one's will increases if unexpected expenses arise.

2. If an emergency arises when the price of bitcoin falls the amount of financial loss can increase further. Suppose you are investing in bitcoin. Suddenly the price of bitcoin fall. At that time you needed money for some kind of emergency, but you did not have a backup fund. Then you will have to sell bitcoin. In that case the amount of your loss will naturally be higher.

3. Without an emergency fund buying bitcoin regularly can also be hindered. Suppose a person is buying $50 bitcoin every week. Now his income has temporarily decreased or some additional expenses have been incurred. If there is sufficient backup fund, in addition to meeting his needs, he can reduce or temporarily stop investing in bitcoin. Later, when his income is normal, he can continue investing in bitcoin regularly. But without a backup fund even small temporary problems can create big and long term problems.

4. If you do not create an emergency fund even a disciplined investor can feel unnecessary mental stress. Because since the price of bitcoin is unstable, the person can feel mentally unstable if the price continues to decrease. But if there is a strong backup fund, this instability is greatly reduced. Because he has enough financial capacity to deal with any situation. Where even if the price of bitcoin decreases, he does not have to sell it. The most important thing for me is that an investor can remain stable in the long term through a backup fund. There is no need to sell bitcoin to solve minor financial problems. If you can hold bitcoin for the long term, financial security is created in the future.

[Zigabel]

Proper risk management is something everyone must employ if they must last long investing or Trading, with proper risk management.

Are you trying to advise people to start trading? This is not a tradinh thread and it will be seen as misleading when you are indirectly telling people to trade the market when you know that trading is not reliable. Have you gotten that 90% of traders are never profitable?
So many people sharing their signals and trading profits are fakes and this is to lure innocent people to buy their trading courses which is a quick make to decieve people to learn trading and starts losing their money.

I absolutely think you don’t know what you’re talking about, we’re not talking about trading whatsoever you’re talking about here, have you heard about buying and investing in bitcoin for the longest time period, that is what is usually discussed in this thread and not buying and trading,

Trading is pure bullshit and people need to understand the risk that is involved in trading.
Several people that are making money from traders often end up losing everything they have earned which is why investing using the DCA is important.

I think it is enough with the responses to this particular reply,  the first two responses made the point clear and corrections has been taken, so it wouldn't be necessary to over flog the issue so we don't begin to spam the thread trying to make a point that has already been made.

It's also important to understand that there's no form of investment that is absolutely risk free, so you cannot completely take out risk management from the discussion even as you are investing with an income supposed to be disectionary.

[sotelorene]

[quote author=BluebloodCXVI link=topic=5376945.msg67310694#msg67310694 date=1793801810
I think that’s a reasonable way to look at it.
A person doesn’t necessarily have to know everything first before getting started in investing, but they should at least recognise what they don’t know and let that be a guide for them to decide how much that they are willing to put into bitcoin.

There’s nothing wrong with a person learning as they go, provided that  they’re not exposing themselves to more risk than they can be able handle because having interest in an investment and knowing how much that you’re reasonably prepared to commit are two different things.
[/quote]

It's actually needless trying to know everything before starting Bitcoin because you won't apply them all in your Bitcoin investment but rather it is basic ones and the important ones that will be use in our journey to accumulate Bitcoin. Sadly, one can not know or understand everything about it because of its complexity.

Someone can only expose him or herself into risk if they are trading that is investing with the trader's mindset because they will panic once the price is going the opposite direction and another thing is using money meant for your needs to invest in Bitcoin it is highly wrong.