Quote from: Silikiem on Today at 06:16:03 AM

Quote from: Showlove01 on September 05, 2025, 08:26:50 PM

Quote from: Nightwatchmare on September 05, 2025, 05:11:26 AM

It's unwise to invest in Bitcoin with our savings because that's not the right way to go about Bitcoin investment and any investor who indulge in such practice won't last long in Bitcoin investment since there's a big possibility we will use the money meant for our expenses to invest in Bitcoin, and when it's time for us to solve our expenses, we won't have enough money to take care of our expenses and we will completely depend on our Bitcoin investment to sort ourselves out. It's always wise we invest in Bitcoin with our discretionary income so that we will always be fit to solve our expenses, and it will help us to remain in the game for a very long time.

I agree with you but Investing with discretionary income won't help us to be fit to solve our problem and if I may ask what problem are you talking about? Do you mean financial problem? If you are referring to financial problem then our discretionary won't or can not help us to solve it because our discretionary is only meant for buying or accumulating Bitcoin in order to grow our portfolio. What will help us as an investor to be fit to solve problems is our emergency funds, because after discretionary funds comes emergency funds because that is what we need to offset any problem that will rise or come up and so it is very necessary for an Investor to always have an emergency funds and not just an emergency funds but a good one.

Investments made with a discretionary income and at same time building up or setting aside money for an emergency (emergency funds) is the right way to keeping yourself afloat in your accumulating to invest in Bitcoin for the long term goal . In this sense, you’ll not have to tend to selling off part or all of your bitcoin holdings for any emergency situation which needs money to solve, and at the same time you’ll not use the money meant for other financial obligations to invest or accumulate bitcoin . Your Emergency funds plays a very significant role in achieving a significant level of success in your bitcoin investment and at such it’s of a great priority for every investor to be able to set aside a very strong Emergency funds alongside your accumulation of bitcoin, it’s advisable that at least a 3-6 months worth of your expenses is ideal for your emergency funds.

I totally agree, many people don't get the concept of discretionary income and emergency funds when it comes to using them to invest in bitcoin. Discretionary income is what keeps you from running out of money while you continue stacking the sats, leaving your daily needs no longer secure, but it's not what saves you when life presents you with unexpected expenses, as you rightly mentioned. This is where emergency funds will step in. If you don't, then there's a high risk that when times are bad, you'll sell your Bitcoin holdings and sell too quickly, frequently selling at a bad time.

There must indeed be very clear designated buckets for these funds: first, your living expenses, then build up a safety net of at least 3-6 months of expenses in liquid form, then only use your discretionary income and put it in bitcoin. In this way, you can endure volatility while still having the peace of mind in knowing that you are financially secure. Apart from smart investment, it is also about the sustainability in the long term. Too many investors fail to take this balance into consideration and end up regretting having to dump their coins too early.