Quote from: Shadiq on Today at 04:06:53 PM

Quote from: DubemIfedigbo001 on Today at 03:13:26 PM

At this point you can divert the percentage of income set aside for emergency funds into Bitcoin accumulation to increase your aggressiveness having already built out your emergency funds to a feasible extent.

I disagree with you. Are you talking about trading with your emergency fund? That would not be a good move at all. Emergency funds should always be stored in stable coins or you can store them in fiat. You never know when your emergency is going to come and you never know whether your emergency fund stored in Bitcoin will be profitable or at a loss. If your emergency fund is at a loss, will you be happy with Bitcoin? Or will you accept that loss? Or why would you plan for a high probability of loss?

Bitcoin is a profitable investment for the long term. If you trade or plan for the opposite direction with Bitcoin, you may have to see the reverse side of the currency (loss). Bitcoin is volatile and its price is unpredictable. Similarly, emergencies are unpredictable. The possibility of profiting from Bitcoin in the long term is highest and the possibility of loss is very low. But Bitcoin may not be able to make you happy for an uncertain time.

The biggest reason to keep your emergency fund in a stable currency is the possibility of loss and the time it takes to convert Bitcoin to fiat, which can put you off spending money in an emergency. Fiat or stable coins will be easily exchangeable in your region and there is no possibility of loss. That is why preparing an emergency fund in a stable currency is the safest and most easily exchangeable. Therefore, preparing an emergency fund in Bitcoin may prove to be a wrong move in order to be aggressive in investing.

I would be careful in proclaiming needs to dabble in stable coins, yet the idea of the emergency fund is to keep it in your own fiat or something that is likely to hold value well against your local currency, such as another fiat. There are going to be more risks if emergency funds are being held in various kinds of shitcoins, yet surely on a practical level, there are likely situations where guys might have close to 1 months expenses in physical cash, 1 month in some kind of a bank, and perhaps additional months could be in various other kinds of stable instruments that are fairly easy, quick and reliable to withdraw within a week or two at most. A person could also have emergency funds in stocks and bonds, and they might be a little less stable, but also they might take a week or two to cash out of them, if needed. I am not totally opposed to ideas of having some emergency funds in other than local currency, yet sometimes we may well have to have larger amounts of our funds tied up in various other sources in terms of a cushion regarding volatility of any other fiat, or cash instrument as compared with our local currency (however our bills are usually paid).

Quote from: Sim_card on Today at 04:32:42 PM

Quote from: Jewan420 on Today at 01:38:42 PM

Be careful not to make your backup funds weak compared to your investments.

You emergency funds should be of 3-6 months of your income, and I believe that as you keep you bitcoin investment ongoing with your gradual DCA weekly accumulation, you investment will definitely be bigger than your emergency funds.

Sure it is true that perhaps in the beginning, the amount that you invest into bitcoin will likely be similar to the amount that you are building your various back up funds, whether emergency funds or other kinds of back up funds. The larger your bitcoin becomes, then the more likely that we are going to want to protect it in a variety of ways, yet we also might become more justified in having higher level of back up funds too, so that we don't have to tap into any of our bitcoin, even though surely we can start to feel richer and richer since our bitcoin may well be growing both from our ongoing and perhaps consistent, persistent and aggressive investment into it, yet it could also happen that our bitcoin might go up considerably in value too, as we are investing into it..

Bitcoin's going up in value (price) is not guaranteed, but surely is within the realm of what can happen in bitcoinlandia..

Even if we look at the last couple of years, the amount of time that you have been registered on the forum Sim_card (and presumptively in bitcoin), if you had been able to front load your bitcoin investment, then you might have been able to accumulate a quite a bit of bitcoin in the lower $20ks, at least earlier in your bitcoin investment journey.. and so that portion of your BTC stash had ended up going up in the ballpark of 4-5x. .which truly is a good feeling, yet it also contributes to perceptions of wealth, even if some parts of your bitcoin holding are not going up as large in value as those earliest of purchases that you made (presuming that you were buying the whole time, and hoping you were able to accomplish a bit of front-loading in your bitcoin accumulation).

I guess that part of my point is that we might be building and/or maintaining our emergency funds and our other back up funds while we are simultaneously building our bitcoin holdings, and bitcoin's volatility (and changes in value) can also throw us off in regards to how to manage our BTC accumulation along with managing our various forms of back up funds, so we likely have to maintain our focus and reinforce our practices based on the beliefs that we have in our investment thesis and our beliefs in how to attempt to solidly manage our cashflows.

Quote from: Sim_card on Today at 04:32:42 PM

Quote from: Jewan420 on Today at 01:38:42 PM

Having a strong backup fund is more important than being aggressive in investing

Both of them is important and it's only if you do it tge wrong way that it becomes a problem for you. If you have your back up funds in place which are your emergency funds, reserve funds and floats. You can invest aggressively to increase your bitcoin portfolio as long as you did not overdo it. However, the size of your bitcoin portfolio will determine the level of your aggressiveness.

This is correct, yet I would also say that the strength of your cashflow management also should be helpful in determining how aggressive you can be. We know that some folks have very erratic income and/or expenses that could affect how they invest into bitcoin, and they might get pushed into periods where they want to invest more aggressively into bitcoin, yet the balancing of their income versus their expenses is not allowing them to be more aggressive, without putting themselves at risk of devolving into gambling (or too much risk taking).

Quote from: Sim_card on Today at 04:32:42 PM

Quote from: Olatundespo on Today at 02:14:19 PM

question here is how long you can keep an emergency fund for Bitcoin holdings to be beneficial for protection.

Your emergency funds shouldn't be tampered as long as you are investing in bitcoin or hodling bitcoin. This is because if your emergency funds dries up, your bitcoin investment goes down and that's why you are to always refill your emergency funds when some part has been used to solve real emergency. There is no time duration to keep an emergency funds because it's a necessity.

Hopefully we can attempt to maintain enough funds that we never have to tap into our emergency funds, and surely we know of people who seem to be having emergencies every month or every other month, and if we look more closely at why they are having their emergencies tends to be that they are not managing their cashflows well and/or they are not maintaining enough cash reserves, which like you suggest that the emergency funds should not be touched absent some kind of a real emergency, yet if someone puts themselves into a situation in which they do not have funds beyond their emergency fund, then they will end up tapping into their emergency fund way more frequently than they should be doing (especially if they were to have better cashflow management practices in which they have other funds to tap into based on variances that they might have in their income versus their expenses).

The more known variances in discretionary income then the more justified a person is to keep larger amounts of back up funds to account for such already known variances.

Quote from: bestcandy on Today at 04:56:45 PM

Quote from: Cryptoprincess101 on December 27, 2024, 08:59:02 PM

Quote from: Frankolala on December 27, 2024, 05:18:41 PM

Bitcoin is the best amongst all cryptocurrency and it's unique. This is why you see that US government wants it, big tech firms wants it and everyone who understands this also wants bitcoin. Bitcoin does not have a special or right time to buy and you don't need to have all the knowledge of bitcoin before investing, because it's complex and you can invest and learn at the same time since buying bitcoin is easy and that's all you need to know in the beginning because you are not planning to sell.

You make some sense even though you are calling bitcoin cryptocurrency but i think it will be much better if we single out bitcoin and not include it as cryptocurrency since it is way greater and higher than other fucking shitcoins called cryptocurrency. Indeed, due to the price performance of bitcoin so far, many organizations and countries are now buying and hodling bitcoins for long term future proceeds so absolutely, no one is interested in getting much knowledge about bitcoin again since many people are investing as a result of the current trend it has gotten in the market. I think people are getting more wiser not to sell their bitcoins and that is one of the reasons why bitcoin did not experience an intense drop after it got to $100k because many are now holding their bitcoins firmly without being affected by market fluctuations and volatility.

You guys are making some sense here but Bitcoin to say is more unique at its way, if it is to be consider a cryptocurrency it's more sophisticated.
It's not as easy as you said to aquire a Bitcoin because of it financial intensity, so to acquire a Bitcoin require absolute financial stability. In otherwise, having good knowledge of Bitcoin is also very important as it will help to make a better decision that will give a good return on the investment.

You might be over thinking bitcoin, and surely it is good to learn about bitcoin and stop referring to it as one of the cryptocurrencies, so that you might realize that you don't need to be thinking about shitcoins when you are learning about bitcoin.

Yet more importantly is to get started and start buying bitcoin regularly, consistently and persistently, and perhaps you can even buy bitcoin aggressively once you make sure that you have your cash flow situation sorted out. As you invest into bitcoin, you can continue to study it, yet the main thing in the beginning is to try to build up your bitcoin investment and to make sure that you are investing from within your discretionary income with a commitment to invest for 4-10 years or longer, especially if you want to be a bitcoin investor rather than trying to trade it, which truly we are not recommending and/or talking about trading in this thread.

So you can learn about bitcoin as you go and you can also learn better about your own financial and psychological circumstances in order to hone your investment into bitcoin as you go, including perhaps learning as you go along better about your 9 individual factors, which you do not have to know prior to getting started in your time, energies and value investments into bitcoin.