Another Risk In Bitcoin Investment.

[Btcdeybodi]

I really don't see this as a major risk because the Nigerian naira has been a mess over the years just as you have pointed out, but in other to be able to buy Bitcoin, you need to change the naira to dollar, just that the purchasing power will reduce compared to before, because before we used to buy one day with six hundred naira, but currently speaking it's now #1548, the biggest benefactor of this spike in price is those people that has been holding the us dollar for sometime now before the spike are the biggest winner because their purchasing power are still intact.
So I think that paying attention to how low a country currency is, is just a baseless excuse not to invest in Bitcoin.

You speak like a good investor because if we are to go by what OP is saying then we all need to wait till the currency has returned back to the original state it was before we can start buying Bitcoin with our currency. Such a baseless excuse as you said 

Let me make it very simple for you to understand. I am not saying that you should not invest but make your alternative calculation before investing. You can invest at all time. And the risk is always on you not another person. And if you don't know you have to know now. The fluctuation of US dollar affect bitcoin investment most a country like mine and those countries that have the same fate with mine. Right now $1 is N 1,548 and the price of bitcoin is $94,750. And my interest is not even bitcoin but $/local currencies. If you invest now and you  invest with $2,000 now and in 20 years to come bitcoin hit $700,000+ in my country $1/N100. Do I gain or do I lose? This my point please understand before commenting. You are free to invest at all time and wait to 100 years to come.

This is just a wishful thinking because you and i know that the reason why we are investing in bitcoin is to save our money from inflation which Fiats currencies are likely to suffer over the years and from your analysis, we know that unforeseen events can happen in the future which can make the local currencies to gain value over the US dollar but i know that you are just giving an instance but let's be realistic here, do you think that your local currency can gain so much strength against the dollar in 20 years time? definitely NOT gonna happen.

Even from the calculations you gave above, you still look lost because if the price of Bitcoin skyrockets from the $94,750 to $700k+ in the next 20 years, regardless of your currency conversion rate against the dollar, it will still be profitable to you because there will no longer be inflation or it has reduced to the minimal which means the cost of living will also be lowered as against how inflation drove the cost of living when the price of your local currency was 1,548 naira as against the US dollars. I don't know if am making a sense to you here?

[tygeade]

Let me make it very simple for you to understand. I am not saying that you should not invest but make your alternative calculation before investing. You can invest at all time. And the risk is always on you not another person. And if you don't know you have to know now. The fluctuation of US dollar affect bitcoin investment most a country like mine and those countries that have the same fate with mine. Right now $1 is N 1,548 and the price of bitcoin is $94,750. And my interest is not even bitcoin but $/local currencies. If you invest now and you  invest with $2,000 now and in 20 years to come bitcoin hit $700,000+ in my country $1/N100. Do I gain or do I lose? This my point please understand before commenting. You are free to invest at all time and wait to 100 years to come.

This is just a wishful thinking because you and i know that the reason why we are investing in bitcoin is to save our money from inflation which Fiats currencies are likely to suffer over the years and from your analysis, we know that unforeseen events can happen in the future which can make the local currencies to gain value over the US dollar but i know that you are just giving an instance but let's be realistic here, do you think that your local currency can gain so much strength against the dollar in 20 years time? definitely NOT gonna happen.

Even from the calculations you gave above, you still look lost because if the price of Bitcoin skyrockets from the $94,750 to $700k+ in the next 20 years, regardless of your currency conversion rate against the dollar, it will still be profitable to you because there will no longer be inflation or it has reduced to the minimal which means the cost of living will also be lowered as against how inflation drove the cost of living when the price of your local currency was 1,548 naira as against the US dollars. I don't know if am making a sense to you here?

True. Even in a case where any local currency could gain something over dollar, it is not going to do it against the bitcoin at the same time. If we can invest into bitcoin, we are leveraging ourselves over all other fiats in the world, and that is why everyone who gets into bitcoin, usually stays in bitcoin.

I have seen plenty of people who said they want to leave, and eventually they ended up coming back, because they all see the benefit of bitcoin here and there, which makes things a lot easier for the long term as well. This doesn't mean that we are going to see much changes, it is not going to be easy, but if we can make it work, then we could definitely consider this a very important figure for all of us.

[Redley555]

Local currencies are very unstable especially that of an underdeveloped country with bad government and bad leaders. If you want the determining factor on whether or not to own Bitcoin to be based on local currency you probably will not own any Bitcoin.
Like it is said the best time to buy Bitcoin was years ago based on the price was low but the second best time is now same can apply to the local currency or any other currency. Don't base your Bitcoin aspirations on your local currency.

Yeah, the best time if you missed the opportunity of getting into Bitcoin is now.

[melinoe]

Local currencies are very unstable especially that of an underdeveloped country with bad government and bad leaders. If you want the determining factor on whether or not to own Bitcoin to be based on local currency you probably will not own any Bitcoin.
Like it is said the best time to buy Bitcoin was years ago based on the price was low but the second best time is now same can apply to the local currency or any other currency. Don't base your Bitcoin aspirations on your local currency.

Yeah, the best time if you missed the opportunity of getting into Bitcoin is now.

We buy now - we are happy all the way in the years to come

[KiaKia]

I don't understand what your point is, naira is deprecating and you are talking about risk of buying Bitcoin with naira? Even the said dollar is even opting out for Bitcoin instead of holding and naira is way worser than USD, the thing is USD seem like the hot cake because Naira is bad, for those living in the U.S the dollar isn't very good for them either.

I would rather use all my naira notes to buy Bitcoin and other assets than to lock them up in my bank account, my new bank account is my Bitcoin wallet, Bitcoin is the best safer place to store your money than any Fiat currency.

Bitcoin first, Dollar second before anything else, there is no clear signs that Naira will ever appreciate in the future anymore, and as per past history things never go back the way they are were in Nigeria.

[Sticky Bomb]

Looking very closely at your explanation OP, it is obvious how inflation has hit your currency so hard that it got badly devalued against the dollar which in itself is suffering inflation too. These currencies are very much subject to inflation and devaluation, so I would commend investors to always invest a very large chunk of their discretionary income into bitcoin in order to hedge them against inflation and get more value for their money since keeping them in the bank adds little or no value to the money, but investing it into bitcoin, preserves the value and even gives very good profits in the long-run.

I would rather use all my naira notes to buy Bitcoin and other assets than to lock them up in my bank account, my new bank account is my Bitcoin wallet, Bitcoin is the best safer place to store your money than any Fiat currency.

Bitcoin should be the bank account for your discretionary income and not funds meant for expenses. Fiat is still very much necessary, especially in a country where it has not been adopted freely, Conventional banks are still important for keeping funds meant for expenses, but bad to keep large chunks of discretionary income

[melinoe]

I don't understand what your point is, naira is deprecating and you are talking about risk of buying Bitcoin with naira? Even the said dollar is even opting out for Bitcoin instead of holding and naira is way worser than USD, the thing is USD seem like the hot cake because Naira is bad, for those living in the U.S the dollar isn't very good for them either.

I would rather use all my naira notes to buy Bitcoin and other assets than to lock them up in my bank account, my new bank account is my Bitcoin wallet, Bitcoin is the best safer place to store your money than any Fiat currency.

Bitcoin first, Dollar second before anything else, there is no clear signs that Naira will ever appreciate in the future anymore, and as per past history things never go back the way they are were in Nigeria.

Everywhere fiat is being printed in larger and larger quantities - somewhere it's felt more, somewhere - less, but value that is stored in BTC remains not only the same - but it only grows, I agree.

And the best bank there is is the one where you have all the rights to do what you want

[EL MOHA]

I would rather use all my naira notes to buy Bitcoin and other assets than to lock them up in my bank account, my new bank account is my Bitcoin wallet, Bitcoin is the best safer place to store your money than any Fiat currency.

Bitcoin first, Dollar second before anything else, there is no clear signs that Naira will ever appreciate in the future anymore, and as per past history things never go back the way they are were in Nigeria.

This is one thing I have always been preaching, I am not against the idea that bitcoin is a volatile asset and as such any investment into bitcoin is a risk and as such people should invest an amount that they can afford to lose but personally I will say looking at the local currency depreciation rates over the last few years I will most certainly say it carries a much more risk having savings in my local currency than actually investing into bitcoin.

Bitcoin has proven over the last fifteen years that it is actually going to increase in price in as the adoption rate continues to grow, of all asset there is almost none that has gained value in the last fifteen years than bitcoin. Gold which is the most precious metals in terms of growth isn’t some asset one can actually get to buy easily.

So personally as long as I have a savings I am not going to touch in the next four plus years then bitcoin is my best asset to actually have that savings on rather than saving it on a currency which is depreciating at the moment

[hd49728]

Bitcoin has proven over the last fifteen years that it is actually going to increase in price in as the adoption rate continues to grow, of all asset there is almost none that has gained value in the last fifteen years than bitcoin. Gold which is the most precious metals in terms of growth isn’t some asset one can actually get to buy easily.

Past year performance can be very different with future performances and logically I don't expect to witness better performances in future. We all know that when an asset has bigger market cap, it will become more cumbersome and need more considerable new capital for good growth.

With same ROI, it is more easily achieved with past cycles when Bitcoin has smaller market cap than future cycles and years with bigger market cap.

You can compare Bitcoin with altcoins or compare Bitcoin with gold and easily see this principle as well as effect of market cap on ROI.

[Mahiyammahi]

So you mean if Bitcoin drops another 40% from this position or if we assume that the Nigerian currency Naira pumps 20% and Bitcoin drops 20% then you will get back your capital investment. No currency usually depreciates so much against the dollar. It is common to see that all currencies are higher in value against the dollar. Even then, if you think it is risky, then it seems like you are a day trader. Because none of those who invest in Bitcoin think about short-term profits. The price can go down or up. The decision is yours whether you want to keep Bitcoin until the next generation or not, I think that you have currently made a profit of over 40% from the position you are talking about in 2024. If you want, you can sell and get out.

[YOSHIE]

Don't Just Invest But Check Your Local Currency with the US dollar exchange rate first before investing.

I think that is not necessary, internationally every local currency exchanges for dollars indeed varies, for me it is not an important view in investment, except: you invest your local money in the dollar, it is likely to affect the exchange rate also affects.

But if you invest in Bitcoin it is another version of assessment and exchange.
What I mean is:
Example: You invest in Bitcoin when the price of $50k with N100,000 when the price of Bitcoin rises to $100k NGN value increases to N200,000, regardless of you want to sell it or exchange bitcoin with dollars or with NGN which is essentially your profit increases.

So, investment in bitcoin is influenced by profit and loss because the development of Bitcoin itself, not dollar, that's my understanding.

[0t3p0t]

This is the reason why I keep my weekly rewards in Bitcoin as is so that if local currency will fall my funds are safe not unless I need to withdraw it for my needs. Dollar versus local currencies are on a rollercoaster not unless you are living in countries with currencies dominating dollar like Kuwait, Bahrain, UK and others.

[TheUltraElite]

This is the reason why I keep my weekly rewards in Bitcoin as is so that if local currency will fall my funds are safe not unless I need to withdraw it for my needs. Dollar versus local currencies are on a rollercoaster not unless you are living in countries with currencies dominating dollar like Kuwait, Bahrain, UK and others.

I make sure to convert some of the satoshis to giftcards in my local currency. They are out of the investment pool that I am owning. That way I can pay some bills with the gift cards and not have all my coins as sitting ducks.

Unfortunately there is a huge taxation on crypto to fiat conversion in my country so I have to take this route for now.

It is part of the system and I think this is a risk we have to bear for some time now. Maybe one day it will become easier to exchange coins but not now.

[Uhwuchukwu53]

This is the reason why I keep my weekly rewards in Bitcoin as is so that if local currency will fall my funds are safe not unless I need to withdraw it for my needs. Dollar versus local currencies are on a rollercoaster not unless you are living in countries with currencies dominating dollar like Kuwait, Bahrain, UK and others.

The first solution to every problem is identifying the curse just as the currency keep devalue at all time and we all know that policy if government always affects the local currency such a decision like yours is a great solution because you have identified and following it up wisely, for it's unwise to store one sweat in local currency instead of BTC it diversified to other valuable that will be stable which most of this policy will not easily affect.

[Wake Up]

This applies not only to Nigeria, but to all countries in the system facing financial difficulties, where inflation is eroding workers' wages. The Turkish lira has depreciated significantly in recent years, but those who hold their money in Bitcoin instead of Turkish lira have profited.

For example, 5 years ago today, the dollar was 6.87 TL, and Bitcoin was $9300. If I had decided to keep my money at $9300 at that time, I would have needed ~64,000 TL.

Today, $9,300 is worth 372,000 TL. However, if I had bought 1 Bitcoin with 64,000 TL five years ago, I would have 4.74 million TL today.

It will always be wiser to keep your money in Bitcoin rather than any other currency that is subject to inflation.

[lizarder]

Local currencies are very unstable especially that of an underdeveloped country with bad government and bad leaders. If you want the determining factor on whether or not to own Bitcoin to be based on local currency you probably will not own any Bitcoin.
Like it is said the best time to buy Bitcoin was years ago based on the price was low but the second best time is now same can apply to the local currency or any other currency. Don't base your Bitcoin aspirations on your local currency.

We've seen recessions and inflation destroy the economic resources of most countries both large and small, and recessions can also cause a country's currency to become worthless. The recent case of Venezuela, where their currency was completely worthless, is inextricably linked to a poor government that was unable to properly manage the country. That's also why Bitcoin is so superior because there's no comparison to any local currency. If we compare the Venezuelan currency to Bitcoin for example, if people held Bitcoin before the incident, it wouldn't have affected their current wealth.

Although Venezuela's currency is no longer valuable, if people hold Bitcoin, it won't have a negative impact overall. The reason is simple Bitcoin never loses its value but instead grows based on its performance which continues to increase while the currency itself weakens.

[Boiboi20]

Let me make it very simple for you to understand. I am not saying that you should not invest but make your alternative calculation before investing. You can invest at all time. And the risk is always on you not another person. And if you don't know you have to know now. The fluctuation of US dollar affect bitcoin investment most a country like mine and those countries that have the same fate with mine. Right now $1 is N 1,548 and the price of bitcoin is $94,750. And my interest is not even bitcoin but $/local currencies. If you invest now and you  invest with $2,000 now and in 20 years to come bitcoin hit $700,000+ in my country $1/N100. Do I gain or do I lose? This my point please understand before commenting. You are free to invest at all time and wait to 100 years to come.

This is just a wishful thinking because you and i know that the reason why we are investing in bitcoin is to save our money from inflation which Fiats currencies are likely to suffer over the years and from your analysis, we know that unforeseen events can happen in the future which can make the local currencies to gain value over the US dollar but i know that you are just giving an instance but let's be realistic here, do you think that your local currency can gain so much strength against the dollar in 20 years time? definitely NOT gonna happen.

Even from the calculations you gave above, you still look lost because if the price of Bitcoin skyrockets from the $94,750 to $700k+ in the next 20 years, regardless of your currency conversion rate against the dollar, it will still be profitable to you because there will no longer be inflation or it has reduced to the minimal which means the cost of living will also be lowered as against how inflation drove the cost of living when the price of your local currency was 1,548 naira as against the US dollars. I don't know if am making a sense to you here?

True. Even in a case where any local currency could gain something over dollar, it is not going to do it against the bitcoin at the same time. If we can invest into bitcoin, we are leveraging ourselves over all other fiats in the world, and that is why everyone who gets into bitcoin, usually stays in bitcoin.

I have seen plenty of people who said they want to leave, and eventually they ended up coming back, because they all see the benefit of bitcoin here and there, which makes things a lot easier for the long term as well. This doesn't mean that we are going to see much changes, it is not going to be easy, but if we can make it work, then we could definitely consider this a very important figure for all of us.

Like it’s popularly said by bitcoin investment expert, the right time to invest in bitcoin is now regardless of the of the value of your local currency. Imagine someone who did not invest in the last five years when bitcoin was probably 50 thousand dollars per one btc because is local currency was suffering in the forex market maybe due to poor policy decisions made by the regime in government at that period of time , such person will be in serious regret by now .

The best advice you can give a friend is invest more now in bitcoin whether the economy of the country is favorable or not

[abaeze]

Citizens of developing and underdeveloped countries whose local currencies have depreciated against the dollar due to weak domestic economies should have invested in Bitcoin one to two years ago. Because as time goes on, the price of Bitcoin will continue to increase and the price of local currencies will continue to fall, so now is the time to make self-reliant from this weak economy through Bitcoin. If can plan and invest in the long term, then the risks can be reduced to a great extent.