How Do You Store Value to Offset Inflation?

[STT]

There is something called TIPS, it stands for Treasury Inflation Protected Securitites and these are basically bonds but their coupon pays the CPI rate yearly. This way you don’t have to worry

True that is a good one, the UK has the highest issuance of inflation linked bonds.   Historically they suffered inflation as high as 30% in prior decades and also have one of the worlds largest economies and also an equally large national debt.   Though the debt is well backed by tax revenue via the economy its still not perfectly safe.

USA has the similar kind of linked debt but both would base their returns off government statistics which are adjusted.   Some would say political bias stops this investment reflecting inflation properly.  Government stats account for technology advancement when including prices which means not all increased prices are accounted for at 1:1 full ratio but are reduced to include the idea products got better.

So if cars are inflation priced into an index they will ignore 20% of a price increase if they judge a car is 20% better then a previous model.   Maybe it has electric windows etc.   For this reason technology has disguised alot of inflation from the gains in utility we have received.

You can still lose money relying on government tracking of inflation.   I've noticed this in multiple ways, it explains why BTC rose overall alongside interest rates rising, part of the price is about inflation.   If I talk about 2021 peak pricing now, I would consider that since 2021 dollars suffered inflation loss, so the price from 2021 cannot be directly compared to 2024 pricing or the peak we see now; its all distorted.

[Abiky]

Trying to avoid inflation or preserve value is something you choose carefully. You can chose government bond and then war happens, you will get delay in payment but there is assurance especially if it's coming from the government but what happen when inflation has exceed the interest rate you are getting in return. If you consider Bitcoin too for example, you can invest this year and bear market will make you lose value of your money, you have to wait for another bull run which can take another 2-3 years before your value will appreciate and if you bought at the top, you are soup because you will probably make nothing much to beat inflation.

Under favorable condition, I will choose atleast two from crypto and then chose from non crypto and then divide my investment into them just to be safer and if should incase one is not ready to be spend for that moment or incase of emergency situations where money will be needed as quick as possible, nobody knows tomorrow no matter how careful you are with your investment.

That's why it's important to diversify your investment. A little over here, and a little over there will help you minimize risks of loss as much as possible. I think the best strategy is to invest half of your money into Bitcoin and Gold. The former is highly-volatitle, while the latter is much more stable in market price. You can leverage between both assets to help beat inflation.

I'm afraid things will continue to get worse, until the conflicts between Israel-Hamas and Russia-Ukraine comes to an end. Once global stability is reached, the economy will recover. At least, that's what we hope for. Who knows what lies ahead in the future?

[South Park]

That's why it's important to diversify your investment. A little over here, and a little over there will help you minimize risks of loss as much as possible. I think the best strategy is to invest half of your money into Bitcoin and Gold. The former is highly-volatitle, while the latter is much more stable in market price. You can leverage between both assets to help beat inflation.

I'm afraid things will continue to get worse, until the conflicts between Israel-Hamas and Russia-Ukraine comes to an end. Once global stability is reached, the economy will recover. At least, that's what we hope for. Who knows what lies ahead in the future?

That is the best case scenario, however what will happen if yet another war or several wars breakout before those conflicts are resolved? This is a likely possibility, and it is not as if the world economy is in such a great shape either, so we could see the markets going down because a powerful country found itself in a major crisis and bring down the world economy with it, so anyone that has not taken a position in an asset that is a store of value should consider doing it now, as we do not know for how long the current balance can be maintained.

[Fortify]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

For the average person who wants to invest with medium risk and reward, it would seem that index funds are the correct way to go - using a global fund with say the top 1,000 companies or in some way diversified across different countries. There will be recessions and there will be peaks along the way, but the best thing you can do is consistently invest over a long term so you capture the best of both. It's when you take an erratic strategy or chase only high risk investments that you fail. As the second poster pointed out, you should try to invest in many different areas, that way if one does badly it could be offset by others that do well.

[shinratensei_]

Trying to avoid inflation or preserve value is something you choose carefully. You can chose government bond and then war happens, you will get delay in payment but there is assurance especially if it's coming from the government but what happen when inflation has exceed the interest rate you are getting in return. If you consider Bitcoin too for example, you can invest this year and bear market will make you lose value of your money, you have to wait for another bull run which can take another 2-3 years before your value will appreciate and if you bought at the top, you are soup because you will probably make nothing much to beat inflation.

Under favorable condition, I will choose atleast two from crypto and then chose from non crypto and then divide my investment into them just to be safer and if should incase one is not ready to be spend for that moment or incase of emergency situations where money will be needed as quick as possible, nobody knows tomorrow no matter how careful you are with your investment.

there are always disadvantage you know even gold current valuation which deemed as something that could combat inflation depends entirely on beliefs that gold could beat inflation while intrinsic value and use case of gold isn't so much, the price derived entirely from speculation without people knowing because its tradition to consider gold as a treasure if things gets worse like war occur its not only bond that gonna be affected pretty much everything in that country gonna be affected and its gonna be tough economy all around, at that point the best investment to make is investment to food and basic needs. maybe if you think the situation could get that worse maybe arable land investment is a good option.

frankly speaking bitcoin is great for investment but only if you are investing from when the price were still low and heavily discounted meaning you invest in bearish cash out at bullish rinse and repeat.
therefore you need the flexibility and lesiure of spending as much time as you can to wait for the right timing.

if I were to fight the inflation though I could just easily invest money to be a landlord so far its the most lucrative way of beating the inflation since the house pricing keep rising but that without taking into account housing bubble which i don't know if it gonna happens anyway.

[kryptqnick]

Honestly, some fiat currencies aren't doing that bad. The USD has consistently low inflation rate, aside from a couple of exceptions (and in those cases, it still outperformed most other currencies). But that still means gradually losing money, around 3-4% every year. Cryptos are all very different, so I'd focus just on Bitcoin as the leading crypto. I like that it's very accessible: you don't have to buy a lot, you don't have to commit to it (you can always sell), you can store it yourself, and it has high liquidity, so you can make fast decisions if you need to. The rest of the options (stocks, real estate, etc.) seem less accessible to me: they often require a serious commitment, sometimes the liquidity can be an issue, and you often need a very decent amount of money to start.

[mamesso]

In this case I exclude other Cryptocurrencies besides Bitcoin to maintain value in offsetting Inflation, Bitcoin is the only Cryptocurrency that grows my confidence in facing Inflation. Its ever increasing price offers many advantages when resold. This is very effective in managing finances to prevent its value from the dangers of inflation. Gold and Real Estate are also the best choices besides Bitcoin in maintaining currency value from inflation, the price of Gold and Real Estate will grow over time but the ratio level is lower compared to Bitcoin. My main choice remains Bitcoin, I will share the percentage level of financial ability to invest in different types of options, from 100% of the funds I allocate to invest I will buy Bitcoin, the rest to buy other assets.

[0t3p0t]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

Cryptocurrency is my best inflation proof asset that needs to be increased in size but I need more time on this. Bitcoin is of course very effective on that regard as it is not affected by inflation. Real estate is good second option for me but I am not into it as of the moment since it needs good capital for it to make it profitable and best back-up asset is the precious metals as they are way more stable than crypto itself.

[boty]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

Cryptocurrency is my best inflation proof asset that needs to be increased in size but I need more time on this. Bitcoin is of course very effective on that regard as it is not affected by inflation. Real estate is good second option for me but I am not into it as of the moment since it needs good capital for it to make it profitable and best back-up asset is the precious metals as they are way more stable than crypto itself.

What you say is very correct to be able to maintain the value of the assets we have. It would be better if we could invest in crypto and I think this makes it a little easier for us because we can start with whatever funds we have to be able to maintain the value of the assets we have from inflation, yes of course it requires a lot of capital to be able to invest in real assets and we can combine the two investments and we can start with crypto first and after making a profit then we can develop the investment we make in real assets of course this will really helps us to protect the assets we own from inflation.

[tsaroz]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

Metals/commodities investment needs too much paperworks here so I have limited investment opportunity. Crypto surely comes first but the current drop has shattered my investments and I'm not willing to make any new soon. I have a good investment on stocks and bonds. Stocks too are risky and fluctuating. Bonds provides some security but they are generally long term and as the bank rate fluctuates, are mostly below the fixed deposit rates provided by the bank. The bank rates were higher a year ago and are now gradually decreasing, that's why I had placed a few fixed deposits for short terms  (6 months) in order to get better rate on interest decreasing market. When they matures, I plan to put them on crypto or stocks depending on the market situation.

[peter0425]

What you say is very correct to be able to maintain the value of the assets we have. It would be better if we could invest in crypto and I think this makes it a little easier for us because we can start with whatever funds we have to be able to maintain the value of the assets we have from inflation

What I really like about bitcoin is that it is not exclusive to an investment option.

It is essentially a way for you to store your money in a way that fights off inflation all at the same time. Ofcourse there are risks associated but it being accessible allows for more control and flexibility from our side.

bitcoin having a smaller unit of its currency in the form of Satoshis has allowed everyone and anyone to buy and hold their money in bitcoin.

[fullhdpixel]

frankly speaking bitcoin is great for investment but only if you are investing from when the price were still low and heavily discounted meaning you invest in bearish cash out at bullish rinse and repeat.
therefore you need the flexibility and lesiure of spending as much time as you can to wait for the right timing.

if I were to fight the inflation though I could just easily invest money to be a landlord so far its the most lucrative way of beating the inflation since the house pricing keep rising but that without taking into account housing bubble which i don't know if it gonna happens anyway.

If a man has money he can make money out of money because if he has money it is not difficult to make money but there is a big difference between making wise decisions and just hoarding money. If I have to go somewhere else or suddenly the situation in the country deteriorates or something like that happens, then what kind of investment is there that I can take with me everywhere? Even if one has accumulated gold, it becomes difficult to carry and protect it from one place to another, unlike if one has invested in Bitcoin or other cryptocurrencies.

So, he can take all his money in his pocket and go to any corner of the world and use it at any time. Also cryptocurrencies I think are the best in modern times as compared to the old way of collecting gold and silver and building properties.

As you said, losses happen, it is true, losses happen, and one of the biggest facts is that a person has to die. But man still builds properties, strives for his better future, because hope is the name of that thing, and we do and should do everything we can to improve our present and future.

[coinerer]

Bitcoin is the only coin that holds inflation value. Bitcoin is the only suitable hedge against inflation in cryptocurrencies, as no other coin can hedge against inflation. If you imagine any coin other than Bitcoin, gold must be preferred. Only gold can lower the price level. A few years ago, the price of gold was so low that if you imagine it now, it would have been very profitable to buy and hold gold back then. This kind of Bitcoin looks promising in the future of Bitcoin.

[oktana]

Cryptocurrency is really a volatile one. But I am not expecting anyone to put all their money in it. What’s a great idea would be to split your money into many of them. So you don’t have all your eggs in basket (just incase the basket were to fall tomorrow). Real Estate is one to invest more in, it is a locative one and people who deal with houses and land are averagely rich. It’s a way to store value for even a long while, yet a way to make money.

[shield132]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

I don't have enough money to care about how inflation will affect my savings, assuming I only own USD but if you want to hear opinions, here am I. If money is much and it's not an issue, then I would save some part of my money into cryptocurrencies (Bitcoin, ETH, BNB, Matic, SOL) and another part in real estate. Real Estate is the most stable way to combat inflation if rent prices aren't regulated by the government in your country.
I don't know Stock and Bond games well, so I would ignore them, especially since they aren't as profitable as cryptos. Precious metals aren't a good way to invest in my country because it will be very expensive to buy them in real life where I live but gold bar certificates can be a good option if you want to keep a stable metal and exchange when you wish.

[sekalitas]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

For me , invest in gold and rental properties is the best way to fight inflation, because my location is quite strategic and the demand is quite high but I'm still exploring other option. As for crypto, I believe only bitcoin is relatively reliable . Other crypto are higher risk due to their volatility . Anyway I think having more options is always better and not put all my eggs in one basket.

[Mrbluntzy]

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

You already have a good choice @shanhaigamefi,  I am considering to hold my assets in Bitcoin and real estate to hedge inflation. Altcoins is not a real asset to use as a store of value because it is not an asset that you can predict the price. Altcoins pumps and dumps, so choose Bitcoin instead.

[fuguebtc]

Hi everyone,

I've been thinking a lot about how to effectively store value, especially in ways that can offset the effects of inflation. With the rising concerns over inflation and the potential devaluation of traditional currencies, I'm curious about the strategies that others in this community are using.

Personally, I've been exploring a few options, including:

Cryptocurrencies、Precious Metals、Real Estate、Stocks and Bond、Commodities。
What about you? How are you managing your investments to combat inflation? Do you think Bitcoin and other cryptocurrencies are effective in this regard? I'd love to hear your thoughts and any strategies that have worked for you.

I don't have enough money to care about how inflation will affect my savings, assuming I only own USD but if you want to hear opinions, here am I. If money is much and it's not an issue, then I would save some part of my money into cryptocurrencies (Bitcoin, ETH, BNB, Matic, SOL) and another part in real estate. Real Estate is the most stable way to combat inflation if rent prices aren't regulated by the government in your country.
I don't know Stock and Bond games well, so I would ignore them, especially since they aren't as profitable as cryptos. Precious metals aren't a good way to invest in my country because it will be very expensive to buy them in real life where I live but gold bar certificates can be a good option if you want to keep a stable metal and exchange when you wish.

People who don't have a lot of money are even more concerned about inflation because if we still don't find a way to solve the inflation problem , our lives will become even worse as that little amount of money is increasingly lost more valuable . That is also the reason why many poor , not yet rich people like us are looking for a solution to increase their assets and investing in bitcoin is the solution we are choosing.

In my opinion , rich people are people who don't care much about inflation because the amount of money they earn is greater than inflation , they have a lot of money so they don't face as many difficulties as we do when inflation rises . Do you see rich people, billionaires, and millionaires talking about inflation ? Most are just poor people like us.

[hafiztalha]

Cryptocurrency is really a volatile one. But I am not expecting anyone to put all their money in it. What’s a great idea would be to split your money into many of them. So you don’t have all your eggs in basket (just incase the basket were to fall tomorrow). Real Estate is one to invest more in, it is a locative one and people who deal with houses and land are averagely rich. It’s a way to store value for even a long while, yet a way to make money.

I also like property to invest in because property investment is safe and I like rental properties because that give monthly fare and we can easily manage our system and we can take liabilities from that money. Many people are confused about liabilities and assets ,they think their house is an asset but house in which they are living,that is liability. So invest in a rental property and get fare from the tenant. Also commercial land is helpful in many cases but it requires a multiple times investment than in rental properties. Plot are benecial if you want to invest in a long term but location of land matters a lot and everything depends on location. If you bought property on a best location,you will be rich in future.

[shield132]

People who don't have a lot of money are even more concerned about inflation because if we still don't find a way to solve the inflation problem , our lives will become even worse as that little amount of money is increasingly lost more valuable . That is also the reason why many poor , not yet rich people like us are looking for a solution to increase their assets and investing in bitcoin is the solution we are choosing.

In my opinion , rich people are people who don't care much about inflation because the amount of money they earn is greater than inflation , they have a lot of money so they don't face as many difficulties as we do when inflation rises . Do you see rich people, billionaires, and millionaires talking about inflation ? Most are just poor people like us.

I speak exclusively from my experience. People who don't have a lot of money, e.g. poor people, don't know what inflation is. I know many poor and middle-class families that sell local currency and buy USD. Our local currency often depreciates against USD and people think that by holding USD, they beat inflation. They don't understand that USD gets inflated every year. There are even categories of people in my country, those who receive money from family members who work overseas. I know a person who receives Euro from his family member who works in Europe and he thinks that if the local currency devalues against the Euro, he will have more local currency in his pocket and will be able to buy more things. Does this really make sense to anyone?