Bitcoin as a government approved retirement plan

[Rustam Meraj]

That is really creative idea. Letting government employees choose Bitcoin for their retirement savings could make big difference. With doing this  government would help employees invest in Bitcoin over time which could lead to big gains in long run. It is also good idea that government would keep investment safe until employee retires so they can not spend money too soon. This kind of investment could give employees a lot of money for retirement. Your idea shows that it is essential to think of new ways to invest in Bitcoin and explore different strategies. It will be interesting to see if governments decide to try this idea in future.

[Finestream]

If only bitcoin accumulation would not be as risky as it is, then the government would find it easily adoptive to be an option for retirement plan. However, this is not the case in reality, because the government itself is even the one who discourage people to stay away from risky investments which I think bitcoin is not an exception.

But, I’ve seen this as a good approach. It’s just that it takes time for people to be educated well enough about the risks and benefits of bitcoin. After all, it’s just an option, people are still free to avoid bitcoin if they don’t want to.

[avikz]

Not a bad idea! In reality, systematic investment over a long period of time, usually gives a very good return because you invest in various price points and market conditions. So it is almost certain that Bitcoin will also provide a mind blowing return for a longer period of time.

But the problem here is the legality of Bitcoin in many countries. In order to count Bitcoin as an investment for pension, Bitcoin needs to be identified as a legal tender. That's where the problem is. If a government declares Bitcoin as a legal tender, it will save the way for pension related investments. Good thought!

[Hazink]

You know what.  If you want to invest in a retirement plan, maybe you should simply put your money straight into Bitcoin.  Why use Escrows or get the Government to be your middle man?

Let's keep the government. There are some private companies that are part of your agreement. My salary for the month is being removed and saved for you as part of your pension, which will be paid to you at the end of your service with them. They save that money in fiat without minding about currency devaluation, which is where the OP's suggestion comes in if it's possible for workers to decide how their pension can be paid and could be saved.

[Botnake]

You know what.  If you want to invest in a retirement plan, maybe you should simply put your money straight into Bitcoin.  Why use Escrows or get the Government to be your middle man?

It may be very enthusiastic for some people.  Particularly for Bitcoiners.  But realistically, how many people who put money into Bitcoin acknowledge the risks involved?  If they decide to invest in a Bitcoin retirement plan, they have to know it may turn out very well or very bad too.  I do not know what to think of this.  A lot of people may involve themselves way too much without realizing the risks they are taking.

I can agree with you mate. If you wish to invest in bitcoin and maximize your bitcoin security, do it on your own without involving other third party because that will be the main cause why you will lose your hard-earned bitcoin. Be practical. If fiat have been a source of graft and corruption, how much more for bitcoin where it's value is thousand times the amount of fiat. Invest but never be fooled by the government.

[Antotena]

I feel Bitcoin enthusiasts would really prefer this option since it would be another opportunity for the government to be DCAing on your behalf and you're indirectly holding for a long period of time (20 - 35 years) or any duration of your active service as the case may be.

The profitability potential of such investment would be mind-blowing at the retirement of such employee, he can be able to live off his the investment of his active years of service. The value of his Bitcoin would be much higher compared with the what he should've had if he should receive fiat benefits.

This is just me thinking out of the box on other possible ways of accumulating Bitcoin, what's your thoughts on this?

This is cool but have you view the other side from another angle? If the government has DCA bitcoin for their civil servants, I think it's going to be the best thing that would happen to anyone but what about when Bitcoin goes down? You don't know and can never tell, most civil servants don't have much time of their own, they work for the government to get paid, what do you think they are going to do if on the day of getting their Bitcoin and see that the price has crash.? That Said.

There is 100% chance that this wouldn't work, you know why? Many government officials are very corrupt and don't have the fear of God. Imagine amount if Bitcoin that is going to be stolen, yes I know there is transparency on Bitcoin network but trust me, people are going to steal Bitcoin from government accounts to other accounts even if they are not going to have access to it, they are very good at stealing government properties and you want to give them Bitcoin. Lol.

[suzanne5223]

As the adoption of Bitcoin increases, I think it would be something worth implementing for the government to include Bitcoin as an option for workers to choose for their retirement savings.

This is a concept that's already been implemented in Switzerland, and some parts of Australia years ago if can remember correctly. However, it was an individual decision since it is something that has to do with investment that comes with risk.

I feel Bitcoin enthusiasts would really prefer this option since it would be another opportunity for the government to be DCAing on your behalf and you're indirectly holding for a long period of time (20 - 35 years) or any duration of your active service as the case may be.

If the Bitcoin won't be just like the ETF, which is another way of treating BTC like Jpeg. If the conditions, and the rules that come with the retirement savings in Bitcoin created by the government are fair. Yes, every Bitcoiner would prefer it as another method for DCA.

[FortuneFollower]

As the adoption of Bitcoin increases, I think it would be something worth implementing for the government to include Bitcoin as an option for workers to choose for their retirement savings.

This is a concept that's already been implemented in Switzerland, and some parts of Australia years ago if can remember correctly. However, it was an individual decision since it is something that has to do with investment that comes with risk.

Never heard of it, but good for them.
In the end, they would be in a much better position than the rest if they get their savings in BTC. 

[ImThour]

If something like this gets implemented in a nation like US, the prices will skyrocket for sure.

21 Million Bitcoin and we have a population of 340 Million in USA, even if we ignore the whole world, we have 0.0617 BTC left for every single individual which is like $6000 atm.
So you can imagine when the retirement money is being invested in BTC, it will no longer be at these price levels.

Every other country should do this as well.

[Kelward]

Bitcoin adoption is increasing rapidly and many people are having the willingness to hodl it so it'll be a good initiative if any government will have it as an option for retirement plans. They will DCA on behalf of interested workers and the perticipants will surely get more ROI on their accumulated Bitcoin retirement payments than those that will receive theirs in fiat. Bitcoin has the potentials to reach ATH in every bull circle so it's way more profitable than fiat in the long term. The advantage of Bitcoin pension plan is that it's taken directly from your salary, you will not have access to collect it till you retire.

Although workers don't need to wait until their government implements a Bitcoin retirement plan before they can use it as their retirement plans. Bitcoin is best held by it's owners, who has the sole custody of their BTC, it is a decentralized digital currency, no need to leave it in the custody of any centralized systems.

[hero_the_bossman]

If something like this gets implemented in a nation like US, the prices will skyrocket for sure.

21 Million Bitcoin and we have a population of 340 Million in USA, even if we ignore the whole world, we have 0.0617 BTC left for every single individual which is like $6000 atm.
So you can imagine when the retirement money is being invested in BTC, it will no longer be at these price levels.

Every other country should do this as well.

Every country has a window of opportunities presented to them.
Once it's closed, it will be much harder to get back right on the track.

[Z-tight]

It is a good idea, but we are talking about a very long time here, ~ 35 years, and who can predict what will be that far away. However, the government can make such an option available for those who may fancy it, but another problem is where the seed phrase to the funds will be stored, you talk about the government holding the seed phrase, is that safe? The other option is depositing it into a centralized service, but that is even worse, not your keys, not your coins, and the centralized service may even collapse long before you are eligible to claim the funds.

[Trout Mask]

The great thing about BTC is you don't need permission to begin saving/investing/leveraging with it.

I have a hefty percentage of my future locked in with BTC.

[john_egbert]

The great thing about BTC is you don't need permission to begin saving/investing/leveraging with it.

I have a hefty percentage of my future locked in with BTC.

Never heard it in this way.

Your future is secured if you are going to hodl for that long, but be aware and don't forget to take the creams at least sometimes.
 

[YUriy1991]

That is really creative idea. Letting government employees choose Bitcoin for their retirement savings could make big difference. With doing this  government would help employees invest in Bitcoin over time which could lead to big gains in long run. It is also good idea that government would keep investment safe until employee retires so they can not spend money too soon. This kind of investment could give employees a lot of money for retirement. Your idea shows that it is essential to think of new ways to invest in Bitcoin and explore different strategies. It will be interesting to see if governments decide to try this idea in future.

That means the government will be more open and accept this currency choice. If pension funds have begun to be discussed in the government budget discussion, I think it should be accompanied by salaries. Regarding state officials investing in BTC and having the opportunity to make long-term profits, this is a rare thing and it happens if they are committed and set aside some of it to be saved, not cashed out.

The reality now is that the income received by government or private employees is only enough to help their monthly living with their families unless they are officials who have special positions, meaning that in addition to salaries, there are other incomes provided by the government in the form of facilities and allowances. For the lower middle class, maybe just the standard. Increase their salaries first, then they can afford it if their conditions are not the same as before.

[Muba20]

If governments choose Bitcoin as a retirement fund for their officials or employees, it can definitely be a good initiative. Especially if they do DCA for long-term Bitcoin holding, then after a long time, governments can also benefit from the retirement fund of employees. The demand for this coin, which has a supply of 21 million, is gradually increasing. First at the individual level, then institutionally, and now Bitcoin is being imagined as a reserve currency for a country. They must have a fund for each official and employee of the government. Especially in less developed countries, governments deposit a part of the monthly salary of the employees in their respective accounts and the government contributes a part to that fund.

If governments do DCA of Bitcoin without depositing fiat money at regular basis among those individuals, then after a long time, they can have a large Bitcoin portfolio. By doing this, governments can get several times the return on their investment. Which would be difficult to get through any other business. Especially since a person's working life is not short. If the government deposits Bitcoin for that long, then 10 to 20 times or more is expected, but it is not impossible.

In the meantime, several countries have taken the initiative to make Bitcoin a reserve currency for their long-term plans. If Bitcoin becomes a reserve currency, governments will benefit from all aspects.

[MusaMohamed]

If governments choose Bitcoin as a retirement fund for their officials or employees, it can definitely be a good initiative.

If they do it, they can not force their federal, provincial and generally governmental staffs to receive retirement fund in bitcoin. It's only one of options for governmental staffs who are free to choose bitcoin or fiat currency.

Especially if they do DCA for long-term Bitcoin holding, then after a long time, governments can also benefit from the retirement fund of employees. The demand for this coin, which has a supply of 21 million, is gradually increasing

Increase of demand on Bitcoin will help its market gets more capital inflow, bigger trading volume and price will be higher than now. It's magical effect of bigger adoption and Bitcoin adoption growth is very good.

Bitcoin total supply and future supply were designed very smartly by the founder Satoshi Nakamoto and now we are in a flat area of the curve already.
How is the 21M bitcoin cap defined and enforced?

In future, more time and resources need to be put in for mining same 1 bitcoin than in past years.
Bitcoin Equivalent Network Time.

[Smartprofit]

Yes, including Bitcoin in a pension plan is an interesting idea! With such initiatives, in my opinion, the price of Bitcoin will certainly grow in the long term.

In addition to state pension plans, such financial incentive instruments for employees can also be created by employers (large corporations interested in long-term cooperation with their employees). Many people are interested in receiving Bitcoins after retirement. After all, Bitcoin is essentially your own bank in your pocket.

However, this idea has its drawbacks. Bitcoin is strong in its decentralized nature. At the same time, in addition to decentralization of mining and decentralization of development, such an indicator as decentralization of storage is very important.

In the situation of the formation of state and corporate pension plans, decentralization of coin storage will be significantly worsened.

[Wexnident]

~

That sounds like a massive mess that's just waiting to hit the person when the market ever dumps itself lol. Other investment options are usually chosen based on the risks involved, and the lower they are, the better of an option it is to be used for these retirement funds. I don't think Bitcoin counts. Yes, so far it's been growing really well considering the past decade, but it's only been a decade. Retirement funds usually take idk, 25, 30 years? God knows what the market would be then.

And I see no reason why the government has to be involved in the first place? Just buy your own!

[Stablexcoin]

You know what.  If you want to invest in a retirement plan, maybe you should simply put your money straight into Bitcoin.  Why use Escrows or get the Government to be your middle man?

Let's keep the government. There are some private companies that are part of your agreement. My salary for the month is being removed and saved for you as part of your pension, which will be paid to you at the end of your service with them. They save that money in fiat without minding about currency devaluation, which is where the OP's suggestion comes in if it's possible for workers to decide how their pension can be paid and could be saved.

It is impossible for workers to choose how their pension should be paid. It has to be what the company wants that will be used as a means pf payment. Even if any company will allow Bitcoin as a means of saving for pension, there should be terms and conditions. Because imagine a case where Bitcoin tend to drop in price over the years on their due date to receive their pension most workers would complain that they receive low. The deal should be that they will receive the equivalent of what is left in their wallet not exact amount to their local currency. That means whatever they see in their wallet over the years is what they will get. If it is higher good for them and if it is lower that is the essence of the savings too.