Even if they don't build up their emergency fund at the beginning of their bitcoin investment, there is no problem with it; they can go ahead and start their bitcoin investment, but they should make sure to build it up as they are accumulating bitcoin. Surely bitcoin investment is applicable on a long-term basis, so anyone who is interested in investing in bitcoin should understand that bitcoin investment is about being patient because it is only in the long run that someone can actually achieve success in bitcoin investment.
This is completely true. Even the poor person should not hesitate in regards to getting started in bitcoin as soon as possible, even though they may have to spend time building their emergency fund simultaneously as they are building their bitcoin (so taking away from how much they can put into bitcoin). Sure the rich person may also need to pay attention to what emergency funds that he has so that he has options, yet by definition, many, if not all, rich people are going to already have a variety of back up places in which they can draw funds, so they rich person may well not be forced into selling bitcoin, but might still be forced into using some funds from some place that he did not want to use because he had not specifically made sure that he had funds that were more liquid and/or available.
That’s absolutely true. Bitcoin accumulation should not only limited to only those that are rich or with deep pockets. Regardless of anyone’s financial situation/status, everyone should consider investing in Bitcoin.
Indeed, the importance of building an emergency fund can never be overemphasized, especially to those investors who are living paycheck to paycheck. No one prays for an emergency that’ll eat up your savings but the truth remains that those unforeseen circumstances are inevitable thus making it overly essential to prepare for these situations so one wouldn’t feel much financial strain and pressure when it finally pops up and Having a cushion can also be a lifesaver you know.
But the thing about this Emergency fund is that, many people believe or thinks that to build an emergency fund, one would necessarily need to put their Bitcoin accumulation on hold, which is a very flawed way of looking at it.
It’s all about finding a way to balance the both situations. You start you Bitcoin investment immediately, regardless of how small the amount is, what’s important is that you do it consistently and regularly, it could be weekly or even monthly, depending on your income flow, and then simultaneously build your emergency fund.
Yeah it’s true that this method might take a lot longer to reach one’s financial goals but at least it’s better late than never. Maybe when you’ve been able to build you emergency fund to a particular point where it can be able to cover for at least 4 to 6 months of your living expenses, then you can stop building and divert that focus on accumulating your Bitcoin, and this time more aggressively.
You’re absolutely correct about rich people not facing the same financial pressures as the poor or those with insufficient income and struggling to make ends meet. The rich have multiple sources of income, diversified investments and a much larger safety net to fall back on in times of emergencies and unforeseen consequences, but that doesn’t in any way imply that they are immune to financial strains.
Regardless of how much a rich man has, it’s still very crucial for them to know how to carefully manage their finances, and also make sure that theirs enough liquid assets available for unexpected expenses too. These situations may not necessarily make them sell their Bitcoin for financial assistance, but it’ll compel them to tap into other funds, which could potentially affect their overall financial strategy.