In a large number of traditional investments there are needs to build up capital prior to being able to invest in them, and surely bitcoin allows very small amounts of purchases - depending on the source. There might be some exchanges that have $5 to $10 minimums, and there also might be private persons who buy/sell bitcoin directly, and they might have minimums that are several hundred dollars.
At the same time, poor people might need to consider fees, to the extent that fees might exist, so there could be some circumstances that they are better off to wait until they have built up a certain amount of cash before using it to buy bitcoin, whether that is $5, $10, $50 or some other amount, yet those are not products of bitcoin, but instead likely rules that third parties may well have created in order to use their service. Sometimes shopping around and learning more about fees can help to identify possible sources that have lower transaction fees.
Another thing is that the fees of the blockchain tend to be different from fees of third parties, and even there can be instances in which using something like the bitcoin lightning network could be a more economical way to buy and/or sell bitcoin.
Surely exchanging goods and services for bitcoin, could also be a good way to either obtain bitcoin or to spend bitcoin.
We can buy Bitcoin in the same way that fees can be reduced when buying Bitcoin. We would really benefit if Bitcoin could be purchased or spent in exchange for a product or service, but hopefully one day there will be a system where Bitcoin will be used in every case.
That is not true. Sure the discretionary funds came from somewhere, but they do not need to continue to flow or to come from some source that is continuing in order to be available to a person at any given time.
Let's say that a person just finds out about bitcoin, and so then they make an assessment of how much money they currently have, and various assets that they might already own.
Such person does not have to have a current job or future income that is known in order to assess if he has enough money to buy some bitcoin, whether that is $100, or $10 or some other amount.
Let's say, for example, that a person finds out about bitcoin, and they make a general assessment of their financial status and they determine that they have right around $10k that is available.. and maybe half of that (around $5k) in cash.
Their monthly expenses are around $1,500, so between their cash and the other assets that they have, they consider that they could live at their current expense level for nearly 7 months.
Does it matter from where they got the money (assets)? Does it matter if they have a job within the next month or two? Sure some folks might consider it to be reckless to invest in bitcoin if future income is not known, but this hypothetical person could easily decide to invest $100 per week into bitcoin for the next 6 weeks, and then maybe to look for a job starting in 6 weeks. Even if someone has a job in which they were making $2,500 per month for the past 10 years, they are not necessarily guaranteed to have that income in the next month. Sure, they might be able to presume that it is likely that they are going to continue to be able to earn the same income for the next 6 months, but it is not necessarily guaranteed that they can, merely based on their own personal history or whatever other factors that they might be considering that gives them assurance of their future income.
We need to invest based on our income and expenses. If we consider the money we have, we can invest something every week from there and in addition, we can find a job to increase our income and when our income increases, we can also increase our investment. I think I have five thousand or ten thousand dollars, I can easily spend a year with these, yes, of course I can spend them, but if I use some of the money from there to invest Bitcoin and then find a job and increase my income, then this will be the wisest thing to do. I want to continue investing if I have money rather than refraining from investing. Many of us may think that we will invest later, your money can be spent in various ways. So if I have $500 today, I can invest $100 from that and spend the remaining $400 and prepare to earn more later.
No you don't.
You might need income to sustain your investment or to continue to live, yet income is not the ONLY thing that is available for a person to assess.. which they can assess their current assets and their current cash on hand that may or may not related to their past income, and surely it does not necessarily relate to whether or not they are going to have a future income.
Investment definitely requires income, but that income may not be consistent. You may be investing consistently from your previous income now. The income you are earning today may not be the same in the future. So a person's wealth cannot be considered by looking at his current income.
That is not true. I am not going to repeat what I already said above. You should be able to differentiate between income and assets/currency on hand.
Of course, being able to differentiate between income and wealth is also a sign of intelligence. Income seems to be the source from which money comes continuously and wealth is what you already have or had. We can invest income and wealth from both places.
You sound confused.
There is also a difference between discretionary income and discretionary funds .. .the first one relates to income and the next one relates to what a person currently has available to him whether or not he had a past income or a future income.
Yes, I also see the difference between discretionary income and prudent funds. By discretionary income, I mean if my monthly income is $500, if I spend $400 from that, what is left is my discretionary income. And prudent funds are a certain amount of money that I can use for investment or for any other purpose.
