Hodl (Naija)

[Son Of Blockchain (SOB)]

🇳🇬 ₦110,830,925 ($83,398 €74,537 £62,872)

Edited..

This was what I was doing before but I have converted all my emergency money to bitcoin, some to PAXG/XAUT, and some to SPCX. I have little left 10% in the bank but they are under savings with 18 to 20% annual interest on Moniepoint, Kuda, Opay, Palmpay and Opay

I earn weekly which I am using the old formula for.

Your choice of diversification and the percentage of your income you choice each investment opportunities is cool but I don't I'll agree with saving an emergency funds in Bitcoin, don't forget that the emergency fund is used for uncertain situations and shouldn't be stored in a volatile asset like Bitcoin.
 It should be kept in a stablecoin since it's less volatile, what if an emergency situation happens during the dip, you could be pressured into using money for your investment to sort it.

[BItcoin Guy@]

I totally agree with you.  Inasmuch as Bitcoin is important, especially when investing for the long term, that doesn't mean one shouldn't save in fiat, because there are other expenses that one will need fiat to cover. This can save one the stress of converting Bitcoin to fiat when money is needed and potentially selling at a loss. That's why people should always plan and not only think about the present but also consider the future. So one has to balance saving in Bitcoin and in fiat.

When Bitcoin as not comes existence, people are all saving in fiat, but since they have something much better then fiat, when they invest, they will get more profit on it. As for me, currently, I can’t advice someone to be saving or investing in fiat anymore, because I don’t see any reason of getting something big, but investing in bitcoin or saving, the price is volatile, and you can be getting better profit when your savings or investments is for a long term purpose. Investors always keep what they will used at that period and keep it in fiat and invest for Bitcoin, and that is the best thing as a experience people that really need something in future.

[Charles-Tim]

It should be kept in a stablecoin since it's less volatile, what if an emergency situation happens during the dip, you could be pressured into using money for your investment to sort it.

I do not see any good reason emergency funds should be in stable coins, I will prefer to save it in naira instead. The naira is not fluctuating as it was before when Tinubu got to office. The foreign reserve is growing and it is like there are excesses now. I may change my decision later if I see pressure on Nigeria foreign reserve like what happened during Buhari time. I am watching it closely.

[Sammysmart001]

It should be kept in a stablecoin since it's less volatile, what if an emergency situation happens during the dip, you could be pressured into using money for your investment to sort it.

I do not see any good reason emergency funds should be in stable coins, I will prefer to save it in naira instead.

For now Naira might be more stable. But local inflation is secretly still eating the value of money sitting in your bank account. That the main reason for stablecoins. USDT is playing a vital role by protecting emergency fund from inflation and also can easily sell out for Naira on P2P in space of 5 min if real emergency happens.
Keeping a small amount of Naira in bank for an instant needs and having to keep the main emergency fund in stablecoins to avoid it from lossing value is a smart balance.

[Karl_3000]

₦107,417,986 ($80,690 €71,952 £60,886).

For now Naira might be more stable. But local inflation is secretly still eating the value of money sitting in your bank account. That the main reason for stablecoins. USDT is playing a vital role by protecting emergency fund from inflation and also can easily sell out for Naira on P2P in space of 5 min if real emergency happens.
Keeping a small amount of Naira in bank for an instant needs and having to keep the main emergency fund in stablecoins to avoid it from lossing value is a smart balance.

Many people do not know that there is inflation in the United States and that their money is also reducing in value but it is stronger than the local currencies in most other countries. People living in the United States look for other means like stocks to protect themselves against the inflation.

[Tongley]

It should be kept in a stablecoin since it's less volatile, what if an emergency situation happens during the dip, you could be pressured into using money for your investment to sort it.

I do not see any good reason emergency funds should be in stable coins, I will prefer to save it in naira instead.

For now Naira might be more stable. But local inflation is secretly still eating the value of money sitting in your bank account. That the main reason for stablecoins. USDT is playing a vital role by protecting emergency fund from inflation and also can easily sell out for Naira on P2P in space of 5 min if real emergency happens.
Keeping a small amount of Naira in bank for an instant needs and having to keep the main emergency fund in stablecoins to avoid it from lossing value is a smart balance.

Yes, I completely agree with you and I also use the same method. I have divided my fund into several parts. For example,

I have kept the largest part in USDT

I have kept some amount in the bank

I have kept the amount of money that I have for additional expenses.

By doing this, we can easily keep our money at hand. For example, if we keep all our emergency funds in the bank, then if there is any problem in our bank account, then our entire emergency fund will be blocked and if an emergency situation arises at that time, we will have no choice but to sell our asset holdings. So whenever we divide our emergency fund in this way, we will definitely be able to protect ourselves from such problems.

[Primark]

₦107,417,986 ($80,690 €71,952 £60,886).

For now Naira might be more stable. But local inflation is secretly still eating the value of money sitting in your bank account. That the main reason for stablecoins. USDT is playing a vital role by protecting emergency fund from inflation and also can easily sell out for Naira on P2P in space of 5 min if real emergency happens.
Keeping a small amount of Naira in bank for an instant needs and having to keep the main emergency fund in stablecoins to avoid it from lossing value is a smart balance.

Many people do not know that there is inflation in the United States and that their money is also reducing in value but it is stronger than the local currencies in most other countries. People living in the United States look for other means like stocks to protect themselves against the inflation.

I think it may not be a good idea to put almost all of your emergency money into Bitcoin or any other investment asset. This is because the function of an emergency fund and an investment fund are not the same. The price of Bitcoin is likely to increase in the long run, but you never know when your emergency will come. Suppose you are buying Bitcoin regularly and the price of Bitcoin drops by 50% and at that moment you have medical expenses, job loss, or a family emergency. What would you do? You may be forced to sell Bitcoin at a loss despite having a good investment. That is why I personally give more importance to liquidity than return in the case of an emergency fund.

[Karl_3000]

🇳🇬 ₦109,662,556 ($82,290 €73,213 £61,790)

I think it may not be a good idea to put almost all of your emergency money into Bitcoin or any other investment asset. This is because the function of an emergency fund and an investment fund are not the same. The price of Bitcoin is likely to increase in the long run, but you never know when your emergency will come. Suppose you are buying Bitcoin regularly and the price of Bitcoin drops by 50% and at that moment you have medical expenses, job loss, or a family emergency. What would you do? You may be forced to sell Bitcoin at a loss despite having a good investment. That is why I personally give more importance to liquidity than return in the case of an emergency fund.

It is very good for someone like me to have my emergency fund in bitcoin, I am not expecting other people to follow what I did. My emergency fund is what I do not use since I have been saving it, I used it to buy bitcoin at $62500 this year. Bitcoin has dropped almost 50% at the time and I was expecting further drop but bitcoin only went to $57780 before rising again.

Anyone that want to invest their emergency money in bitcoin should wait for some drop after all time high and they should know how bitcoin is volatile before doing it. Also investing it in time like this can be also good, but the person can NCA it.

[BluebloodCXVI]

🇳🇬 ₦109,662,556 ($82,290 €73,213 £61,790)

I think it may not be a good idea to put almost all of your emergency money into Bitcoin or any other investment asset. This is because the function of an emergency fund and an investment fund are not the same. The price of Bitcoin is likely to increase in the long run, but you never know when your emergency will come. Suppose you are buying Bitcoin regularly and the price of Bitcoin drops by 50% and at that moment you have medical expenses, job loss, or a family emergency. What would you do? You may be forced to sell Bitcoin at a loss despite having a good investment. That is why I personally give more importance to liquidity than return in the case of an emergency fund.

It is very good for someone like me to have my emergency fund in bitcoin, I am not expecting other people to follow what I did. My emergency fund is what I do not use since I have been saving it, I used it to buy bitcoin at $62500 this year. Bitcoin has dropped almost 50% at the time and I was expecting further drop but bitcoin only went to $57780 before rising again.

Anyone that want to invest their emergency money in bitcoin should wait for some drop after all time high and they should know how bitcoin is volatile before doing it. Also investing it in time like this can be also good, but the person can NCA it.

It’s good that you made this important clarification because i personally wouldn’t recommend anyone to keep their emergency funds in form of bitcoin because there’s always a probability that it might not be liquid and stable enough for a person to use when they actually need to; most people like me prefer to keep emergency funds in form of something that won’t move down 50% for a reason.

But since you have highlighted that it is your own personal preference and not a general advice, i think that caveat is enough to clear the air.

[Primark]

🇳🇬 ₦109,662,556 ($82,290 €73,213 £61,790)

I think it may not be a good idea to put almost all of your emergency money into Bitcoin or any other investment asset. This is because the function of an emergency fund and an investment fund are not the same. The price of Bitcoin is likely to increase in the long run, but you never know when your emergency will come. Suppose you are buying Bitcoin regularly and the price of Bitcoin drops by 50% and at that moment you have medical expenses, job loss, or a family emergency. What would you do? You may be forced to sell Bitcoin at a loss despite having a good investment. That is why I personally give more importance to liquidity than return in the case of an emergency fund.

Anyone that want to invest their emergency money in bitcoin should wait for some drop after all time high and they should know how bitcoin is volatile before doing it. Also investing it in time like this can be also good, but the person can NCA it.

To me, waiting seems like an excuse. You may be suggesting waiting considering all your own aspects. I certainly respect your advice. But I wonder how logical and realistic it can actually be in terms of savings?
I don't think waiting is a good decision for an investor who wants to start. Because he may be waiting to find a price that may not come at all. He may have to wait for years to wait for that particular price. There is no point in waiting for that long. As a new investor, instead of waiting, it may be a good decision to start slowly with small amounts and buy regularly. This reduces the pressure of unnecessary market timing. Even while he was waiting, he would have built up a good amount of savings.

[fredericktaylor]

🇳🇬 ₦109,662,556 ($82,290 €73,213 £61,790)

I think it may not be a good idea to put almost all of your emergency money into Bitcoin or any other investment asset. This is because the function of an emergency fund and an investment fund are not the same. The price of Bitcoin is likely to increase in the long run, but you never know when your emergency will come. Suppose you are buying Bitcoin regularly and the price of Bitcoin drops by 50% and at that moment you have medical expenses, job loss, or a family emergency. What would you do? You may be forced to sell Bitcoin at a loss despite having a good investment. That is why I personally give more importance to liquidity than return in the case of an emergency fund.

Anyone that want to invest their emergency money in bitcoin should wait for some drop after all time high and they should know how bitcoin is volatile before doing it. Also investing it in time like this can be also good, but the person can NCA it.

To me, waiting seems like an excuse. You may be suggesting waiting considering all your own aspects. I certainly respect your advice. But I wonder how logical and realistic it can actually be in terms of savings?
I don't think waiting is a good decision for an investor who wants to start. Because he may be waiting to find a price that may not come at all. He may have to wait for years to wait for that particular price. There is no point in waiting for that long. As a new investor, instead of waiting, it may be a good decision to start slowly with small amounts and buy regularly. This reduces the pressure of unnecessary market timing. Even while he was waiting, he would have built up a good amount of savings.

I think it is not right to wait a long time to invest in Bitcoin, a new investor first have basic knowledge about Bitcoin, in addition to having a discretionary income and a long-term view of investment and gaining knowledge about investment risks so that market volatility does not affect the mindset of holding investments for a long time, it is reasonable to hold Bitcoin for a long time by investing little by little continuously.

It is not a wise investor decision to wait a long time for the price of Bitcoin to fall without investing because Bitcoin is unstable and it is never possible to be confirm how much the price will decrease or increase, so a wise investor does not wait long time to buy Bitcoin but takes every opportunity of Bitcoin and confidently waiting for a long time for ATH.