Post
Topic
Board Nigeria (Naija)
Re: Balancing Financial security and Bitcoin Accumulation
by
JayJuanGee
on 23/07/2025, 02:43:12 UTC
5. Emergency Fund First. Always. I know we’ve been hearing this a lot here on this forum, in fact it was when I joined this forum I started taking my emergency fund more serious.. Bcus it’s one of the most powerful steps. Maybe built at least 1–3 months of your basic expenses in cash or stable value.
When you are building up the amount that you invested in bitcoin to be at least 3 months of your expenses, then during those times, you may well be in position in which it is preferable to build up the emergency fund and the bitcoin holdings at around the same pace, yet once your bitcoin reaches more than 3 months or more that you have put in of your expenses (it might have had grown through bitcoin appreciation too), then you are likely going to be putting your bitcoin at risk if you are letting your emergency fund have less than 3 months - including 1 month of your expenses seems really risky, even though surely guys are free to judge their own situation and to figure out their risk levels.  So many poor people get themselves into trouble because they fail/refuse to build anything close to a sufficient back up funds system, and then their bitcoin end up serving as their back up funds, which ends up leading to their having to sell some or all of their bitcoin at a time that was not of their own choosing, even when they could have had engaged in reasonable levels of back up funds that would have had saved them from such situation, so they end up having fun staying poor... and perhaps never being able to get back to the bitcoin position that they could have had or should have had with the establishment, keeping and maintaining of a bit more preventative precautionary measures in place, and adequate back up funds is one of them and not overdoing and/or shitcoining and/or trading (gambling) with their bitcoin is another those good practice measures that are likely even more important for poor people.
Yup, when one is building up their Bitcoin portfolio to be at least 3 months of expenses, it makes more sense to also build up their emergency funds and their Bitcoin portfolio at around the same pace. When the Bitcoin stash happens to exceed 3 months of expenses, (probably due to appreciation too), the Bitcoin is automatically at risk if the emergency fund is less than e months of expenses. I don't know but IMO, having less than 1 month of expenses in emergency funds kinda sounds pretty much of a big risk. This is why it's important for guys to always assess and evaluate their own personal/unique situation and figure out their risk levels.

It's important for guys to build up a solid and sufficient backup fund, and the reason why poor people often get into lots of trouble with their investment is because they mostly fail to acknowledge this fact, and then they end up dipping into their investment whenever a real financial emergency arises. And this mostly leads to them selling off their Bitcoins at times that wasn't initially of their choosing, and this can potentially keep them stuck in poverty, defeating their original plans of attaining financial freedom through Bitcoin. Having sufficient backup funds and also avoiding getting involved with certain risky practices, like overdoing it, indulging in shitcoin investment, or trading/gambling with Bitcoin is a great way to approach Bitcoin investment, especially for those who are poor investors. In order to avoid getting into financial troubles with their investments, it's very crucial to observe these precautionary measures.

Poor people might have ONLY a very narrow path of opportunities to get out of poverty, and if they spend several years building up something like a bitcoin portfolio, and then they end up screwing up their investment because of their own slopiness they might not be able to recover again... so there could be some poor persons who had spent one or two cycles building up his bitcoin holdings and he does not have much if any of an emergency fund, but then an emergency comes and his whole bitcoin is wiped out because his bitcoin was serving as his emergency fund. .and maybe if the BTC price is down at the same time as the emergency, he might never be able to recover from what he ended up losing.  Sometimes also just a bit of cash can get someone over the rough periods and to prevent a bad situation from becoming even worse because the onhand cash was able to cover the expenses until the person got back on course and started earning an income and/or maybe resolved some expenses.

It sounds slow, but it will protect ur future Bitcoin. Because when something happens, you won't need to sell your Bitcoin in a panic.
6. Mental Peace, involving fast Accumulation
I used to feel bad seeing others saying they already have 0.5BTC or 1 BTC or 2 BTC or more. I felt behind. But I later realized, some of them are deep in debt or under pressure, and they just don't show it.
Our journey should give us peace. If buying Bitcoin is making you anxious, it means you’re overdoing it….    Look, at the end of the day, it is all about balance. Life is long (hopefully), and Bitcoin is not going anywhere. You will be able to stack more when your life is stable, not when you’re always broke and hoping for a pump.

Let our financial security be our foundation, and let Bitcoin be what we build on top of it. That is how we stay in the game long enough to actually win.
Let’s not go broke trying to be early. Let’s be smart, steady and stay in control.
Use of leverage in bitcoin is a more advance technique, and merely because it is advance does not mean it is a good idea to even try to employ it beyond perhaps in some modest ways.   Frequently it is better to start out in bitcoin with straight-forward only longing of bitcoin through regular buying, yet the reality of the matter is that guys might come to bitcoin with an already high level of use of debt and even quite messed up finances based on their poor cashflow management and their already existing debt-ladened situation.  Guys have to figure out how to work with from where they are at which might mean investing in bitcoin and trying to resolve some of the more egregious portions of their debt, yet at the same time, they may have to learn some techniques to be more responsible and to gamble less with their finances, and like you mentioned, setting up systems that help you to not get overly emotional about BTC price moves in one direction or another, even though we likely cannot completely take emotion out o f the equation, there are still ways to lessen the likelihood of high emotional levels.
Leverage is an advanced technique, So I agreed to your points of view, it will be a best idea to start with buying of Bitcoin. But most people are into investing in Bitcoin with an existing debt and poor cash flow management, this makes it hard to concentrate on how to invest in Bitcoin and also have other means of handling their debts and other financial problems, without thinking Bitcoin will only solve the equation, which makes them have high emotional feelings when Bitcoin price lessen, that is why they need to practice discipline and focus while investing on Bitcoin for a long term, for this will help in managing their emotions and be able to navigate through challenges.

Bitcoin do fluctuates, that is why it's essential for one to be careful or cautious when investing, because the price of Bitcoin can drop or go down for a while, and this period of time can determine if it's okay for investors to buy or sell without having enough risks, also this can help investors to improve in their investing strategy and taking care of their financial problems properly.

It surely is problematic to consider that bitcoin is going to directly resolve any problems, and yet there can be needs to invest in bitcoin and resolve debt at the same time, and the amount that is invested into bitcoin may have to be quite whimpy for a long time until some of the cashflow and debt gets resolved. .and surely the bitcoin can help to give motives to organize and to see hope and to see a way out of the problems that sometimes people might not see any way out of their seemingly precarious financial issues since they might be struggling to earn income and keep finances down, and before bitcoin, they might not have had seen any place to put their money in which there was hope that it would not ongoingly lose value.