I Sold All My Savings To Buy Bitcoin!

about 2 years ago

Yes, it happened this morning! I decided to buy Bitcoin with all of the savings I have done in Fiat. I have been buying Bitcoin daily in tiny amounts (100INR, $1.3) via Bitdroplet, a Bitcoin Savings Investment Plan. Anyone from anywhere in the world can register and invest in Bitcoin on Autopilot. In simple terms, you are dollar-cost averaging into Bitcoin automatically and you can choose to do it on a daily, weekly, or monthly basis. I am not sure which of the countries are excluded but most of you can easily do it. You might also find any local service which provides similar plans. This was done with an intention to start a BTC fund for my son and I would hand over this to him when he grows up! I want him to be responsible for his finances from an early age. They don't teach this in school and I suffered because of that. Only in my 30s, I had realized the importance of investing early and investing often. I will be 32 this year and it's not too late. I would panic once I turn 60. 😂 Better late than never, right?

Hedging Against Inflation & Fiat

Today I kickstarted another fund but this time it was for me. I used all of my savings done in the last 2 years or so to buy Bitcoin. I also bought a ledger to safeguard this fund because I will HODL. Might use it if I see a great opportunity somewhere else but most of it will be locked in a cold, offline storage.

A little backstory - I bought a house 2.5 years ago with my wife where we used 80% of our savings and even then we are under huge debt since we took a loan. @olebulls, you are going through it so you will understand. ✌️ It would probably take us 3-5 years to let go of that debt if we use all of our monthly savings to pay the EMI. Our current salaries are enough to pay the debt and manage our expenses, plus a little room to do some savings. We planned this quite well but since it's life unexpected things (good or bad) happen. A year and a half ago, our son was born and it was a great thing although not planned. 😋 And no, we got pregnant just before covid so we didn't do it when the whole world had nothing to do but to sit in their homes like prison inmates. Anyway, in the past one year, I have realized that our expenses are going to grow as my son grows. Not that I am blaming him, we want to give him a comfortable life and provide all the resources so that he will be able do great things in life, in peace. Even if he doesn't do anything great, that's okay. But parents should try their best.

Since I want to make a career in crypto and I want to completely switch my professional life to it in the next 5 years, I decided to plunge into Bitcoin. It's my hedge against inflation. Also, I don't like fiat at all for several reasons. It's an outdated money system and just like our software, we should upgrade our money. That's what I did today.

Next Step - Sell House?

We are planning to sell our house in the upcoming months because both of us have realized that we did a blunder out of emotion. We bought the house because it was her dream to own one before her 30s. I couldn't back off at that time because she has supported me all my life and made me the man I am. She trusted me when I left my job to get into business full time. Hence, I couldn't say no to her and went with it. Clearly, our planning had loopholes because 3 years later, we are feeling the heat when it comes to our Finances. There are so many things we want to do for ourselves but we can't because we have to repay the debt and manage our monthly expenses. We don't have much room to spend a good chunk to invest or buy anything for ourselves even if we have decent incomes as compared to the majority of Indian households.

Now the interesting thing that happened is that the house we bought appreciated almost 100% in value. Our investment has doubled in just 3 years. I have been hearing stories from @gualteramarelo and @scaredycatguide about how Real Estate investing changed their lives and made them millionaires. Now I get it. We did not buy it as an investment but out of a passion to build our own dream home. Even after cutting 30% on the capital gains, I would be left with a decent chunk of profits plus the money I invested initially out of my own pocket. We would be fools to not consider selling it, get a similar house on rent, and enjoy the rest of our lives. This is not even the best part. Even after paying the rent, we would have a lot more capital every month to save or invest because rent will be a lot lesser than the monthly loan payments. And we can expect similar comfort of our own house although I am going to badly miss it because we put our hearts and souls into it. But at this point in my life, financial freedom is much more important for me and my wife. We will obviously use the profits to invest this time and I am telling you, 30-40% of is going into crypto for sure.

Most of my friends and family members would think that we have gone mad and chasing money. But the thing is, I don't give a shit about what they think. They don't support or manage our expenses, we do. And my mind tells me that this is the best financial decision I will ever make in my life after buying Bitcoin. 😎 Not listening to my heart this time! This is our plan to go Debt free in our early thirties. We can always buy our own home later in life when we have enough money to buy at least three of them.

What do you guys think? Is it a little too extreme? What would you do if you were in my position? Comment below!