What Financial Habits Should Nigerians Develop Before Investing in Bitcoin?

[Promocodeudo]

It’s actually not bad to start an investment journey after hearing the benefits, the only problem is people intend to start their journey misunderstanding bitcoin and how it works.

Of course you're right because people get motivated with what they hear, but don't you think that misunderstanding is tied to our individual mindsets, some investor mindset from the onset is that Bitcoin investment is the kind of investment that make them get rich as soon as they start investing, which is the fallacy of the mind, I think newbies and every other investors should understand that there isn't any free money anywhere, that is to say for anyone to get rewarded in Bitcoin investment, you must work for it, everything has it's phase in Bitcoin investment, the foundation laying being the accumulation stage, which is the most important aspect of Bitcoin investment, one must be focused and very patient to be able to hodl for a long-term in other to be rewarded in the future, although it will depend on how much one has accumulated and hodl in the future.

[Youngrebel]

Buying Bitcoin with personal money is actually a good point because a lot think that they can start investing with borrowed money but that's actually a bad idea. Before thinking of starting up a Bitcoin Investment you must first of all build something that's going to generate a source of income for you, investment without income doesn't work out in the long run.

One of the most important financial habits Nigerians need to develop before investing in Bitcoin is always set out an emergency fund, I have read different questions being asked on the forum about investing or using DCA with emergency funds but doing such only puts you in danger. Emergency funds are supposed to be kept or reserved for things that are unplanned.

Lastly, just as I mentioned before, always have a source of income or sources of income separate from your Bitcoin investment, an investment is supposed to be untouched for a long period of time and when you don't have other things giving you money you won't be able to be successful in that investment you are making.

[Brizi5000]

Buying Bitcoin with personal money is actually a good point because a lot think that they can start investing with borrowed money but that's actually a bad idea. Before thinking of starting up a Bitcoin Investment you must first of all build something that's going to generate a source of income for you, investment without income doesn't work out in the long run.

One of the most important financial habits Nigerians need to develop before investing in Bitcoin is always set out an emergency fund, I have read different questions being asked on the forum about investing or using DCA with emergency funds but doing such only puts you in danger. Emergency funds are supposed to be kept or reserved for things that are unplanned.

Lastly, just as I mentioned before, always have a source of income or sources of income separate from your Bitcoin investment, an investment is supposed to be untouched for a long period of time and when you don't have other things giving you money you won't be able to be successful in that investment you are making.

Investing with borrowed money and still relying on the performance of the bitcoin investment to pay back the loan is very unwise and not advisable since profit is not guaranteed as a result of bitcoin price volatility. But if someone is actually borrowing money to invest without relying on the bitcoin investment to pay back the loan, that wouldn’t be much of a problem to them. For sure, beginners need to start out investing with their discretionary income only so that they can comfortably afford to withstand the risk of loss as a result of market downturn and not to start with a borrowed money because they’re still very much inexperienced.

[Btcdeybodi]

... it isn't about the quantity of stream of income but about the quality of income because you can be having multiple income while not earning as someone who has only one source of income that pays well.

You're right but to some extent, someone who has a quality income which implies having a high paying job or a big business that returns huge proceeds can still have a problem in the sense that if that one stream of income fails, he doesn't have any alternative to fall back to and continue with his investment but someone who has different streams of income, no matter the amount he earns, he can be able to manage an investment without many problems because if peradventure anything affects one of his streams of income he will still have other ones to continue with his investment so sometimes it is about being smart and also think about future uncertainty where things you never wished for will happen without a plan. Regardless of how quality one's income is, we should be able to spread it across different streams of income so that we won't be caught up in unforseen circumstances.

[PremiumcryptoHub]

Nigerians are turning to Bitcoin as a favorable investment platform to protect their money from inflation and the continuous depreciation of the naira. Bitcoin has created many opportunities for many people globally, and  I believe that developing good financial habits is very important than buying Bitcoin itself.
One important habit is building an emergency fund. Investing money that will cover up for our life expenses like rent, school fees, or medical bills can force someone to sell during any market price. Saving some money and keeping them reduces that pressure.

The tendency to make profit from Bitcoin investment has being the honeypot that a lot of investors and that isn’t limited to Nigerians but, a lot of those that are actively invested in Bitcoin wants to scoop from.
There are a couple of rich people and corporations that are invested in this space for the same purpose but, if we are to look at the average Nigerian, those that see it as an escape from the struggles a common Nigerian face, you can’t expect them to have life long investments.

For most of them, that’s a position or a way they view investing in Bitcoin. For someone to be invested to the point that they are able to cover their rent, school fees or medical bills for life, that individual must be made.

You don’t need to be that made to invest in Bitcoin. At the very least, you need to have 2 streams of income that can be dependable. That means, you would be able to invest while still figuring the other aspects of your life.

I understand you, one does not have to be that wealthy to invest in Bitcoin, at least those who have a reliable source of income that can earn $15 naira apart from monthly expenses are suitable for investment. We should understand that it is not about the quantity of the income source but it depends on the open-minded decision and holding Bitcoin for the long term.

Many people cannot hold Bitcoin for the long term even if they buy a large amount of Bitcoin at once but we see that there are many investors in this country who buy Bitcoin little by little and hold it for the long term, so it is clear that patience and holding Bitcoin for the long term is more important for investors than the quantity of naira in Bitcoin investment.

[Mr_Brilliant$]

When I saw financial habits, I actually thought you were referring to financial habits like spending below your means, doing in-depth research before investing and all that..
But what you did mentioned are actually solid..
Taking loan to invest in Bitcoin is actually one of the most risky approach to investing, and I’m not just saying this because others are, I’m actually saying this before I have personally seen how some persons did borrow money to invest in crypto, and ended up been in debt..
Using your personal money is the best, as it will help you stay calm and not panic sell during dip, and also enable you hold longterm..

[Rgram]

I see your point but you should also understand that it isn't about the quantity of stream of income but about the quality of income because you can be having multiple income while not earning as someone who has only one source of income that pays well. Being able to invest properly requires you to invest without being bothered about your portfolio falling for at least a certain about of years and you can only do that when you're strong financially which depends on how much money you're receiving from your work as a first timer into the investing world.

Indeed, there is such a thing as the quality of work because, person fit Dey run series of businesses, working like a horse and yet you no Dey see nothing of worth in return. Mainly via say, bills no Dey sleep, them Dey always pile up and when e be say you be family man or person way Dey concerned about watin Dey happen for your household, na hand to mouth lifestyle be that and e get men way dey way be say, their one time collecting na gbojum.

When you know say you no Dey earn like that, omo, na to gather streams of income fit help person o, the kind kontry way we Dey so, na everyday person Dey complain say work no Dey and the few way Dey, if you no sabi person, you fit no Dey lucky.

Na why man gats find en own luck by putting effort for anywhere way e feel say, opportunity Dey and build.

I understand you, one does not have to be that wealthy to invest in Bitcoin, at least those who have a reliable source of income that can earn $15 naira apart from monthly expenses are suitable for investment. We should understand that it is not about the quantity of the income source but it depends on the open-minded decision and holding Bitcoin for the long term.

You mean people way Dey earn $15 naira via monthly pay? Because this money small I no go lie you o, e Dey far below minimum wage and na this level we Dey call hand to mouth, e no go reach you invest anything significant in a long time, not except you double hustle.