Topic: Emergency funds is vital. - page 2. (Read 224 times)
The idea is very good, emergency fund is helpful mostly to step down some urgent need that would have lead's to quick withdrawal of our investment, but no amount of emergency fund one keep can solve the problem entirely because there are some emergency that as good as life sentence where one need money to save life and what you keep as emergency can't cover. My opinion is that why on emergency, one should try other sources and peg for income so that when what is above one emergency fund arise the bitcoin investment won't be the first option to be considered because if such measure is not in place one idea is to practice long time holding the purpose will be defeated. Ordinary in our economy many expenses arrived at daily basis which no matter the money one save it's difficult to cover up, where insecurities occur on daily basis and others heinous crime if one is not earnings in various means and nature have it that you fall victim no amount of found can save you without touching your investment mostly when it comes to do with kidnapers who demand Ransome or once life.
What we need that will enable us survive effectively in this economy is constant money in our circulation. You need to have a means of income that keeps bringing cash to you while you continue with your normal hustle.
Personally I don't see emergency funds as a plus to the holder, it's a liability to a very large extent but if you have something like a small business or an urber that you gave out for someone to be driving for your at the end of the week you are certain that you will be getting an average of 50k which could serve as your emergency funds. You continue doing your regular job as though you don't have such investment while the investment keeps fetching some small small cash that's building up into something big
Personally I don't see emergency funds as a plus to the holder, it's a liability to a very large extent but if you have something like a small business or an urber that you gave out for someone to be driving for your at the end of the week you are certain that you will be getting an average of 50k which could serve as your emergency funds. You continue doing your regular job as though you don't have such investment while the investment keeps fetching some small small cash that's building up into something big
So all you got to do is to increase your emergency funds percentage to be able to keep up with your expenses, so that you won't endup running to withdraw your investment. Because it can't be tempting most time to withdraw your investment just to cover some expenses mostly when it come to desperate measure. So is better to increase emergency funds than to keep on running to your investment, so that you can be able to secure a nice and healthy investing during your accumulation of bitcoin.
Op God bless you for this, I was actually thinking of making a post about this since we were having alot of post about investing in Bitcoin with few post about this in our local board.In order not to be pushed to the wall of having no choice than selling your bitcoin investment especially when the buying price is lower than the selling price.
I know majority of us here use DCA strategies in accumulating our bitcoin but we have to be cautious that we keep a reasonable amount of money as emergency funds to avoid ever being tempted to sell our investment because bitcoin investment are met to be HODL till it yield the ROI that we aim, that is what those who have inspired us to invest in bitcoin did and are still doing, even no matter the dip in price
Here is a scenario were having a low emergency funds is bad, imagine after using majority of your funds to invest in bitcoin and now the price dip though we know already all we have to do is HODL since we know it will move higher with time and so the best thing to do after the dip would have been buying the dip even with an increase funds which may likely would have come from the emergency funds since we may not be able to cut expenses from our upkeep money while sometimes at that point in time you may really be in need for money and then sell your bitcoin at a lost.
But since our naira is depreciating I would advise keeping our emergency funds in USD, EURO or any fiat currency doing well against naira
When it comes to Bitcoin investment, in other for you to hold effectively, emergency fund is very important player in your holding process so that you wouldn't have to fall back to your investment and be eating it bit by bit.
Another thing that balance the equation and make your investment more stable and less likely that you will be thinking of falling back to your investment if your emergency fund alone can't sustain you due to unforseen circumstances, it's source of income.
You must have a source of income if you investment must survive the holding process because, their are monthly expenses and bills emergency funds won't have the capacity to sustain, so having a source of income and an emergency fund are key thing that must be in place for we to hold with selling at the wrong time due to financial challenges.
Another thing that balance the equation and make your investment more stable and less likely that you will be thinking of falling back to your investment if your emergency fund alone can't sustain you due to unforseen circumstances, it's source of income.
You must have a source of income if you investment must survive the holding process because, their are monthly expenses and bills emergency funds won't have the capacity to sustain, so having a source of income and an emergency fund are key thing that must be in place for we to hold with selling at the wrong time due to financial challenges.
Truly in every investment general there is always a need for other means of savings which could be known as emergency funds or reserve funds, although they are both two different things but sometimes can be substitute for each other, so actually in terms of Bitcoin investment emergency funds plays a very vital role because is actually one of the determining factor of your investment success because if there is an emergency funds there is no way any unforseen need will stand as a barrier on your investment because you already have other funds that will take care of those needs. Actually this has been one of the challenges most investors are facing because they always get overwhelmed by there investment and forgetting the things that should be put in place in other for there investment to stay strong such as the emergency funds.
As we all know that as an investor that are planning to hold Bitcoin (for long-term investment ) as things is getting expensive nor easy day by day we will all need good emergency funds to sustain a good and healthy investment. In order to be among the testifies of the next bull run and more that are yet to come.
For those who are new to this space emergency funds are funds set aside for the proverbial rainy day, intended to cover expected or unexpected costs that may pop up over time. Most time there's this urge for one to go all in (in investing in BTC) that is putting higher percentage of your funds or earnings in investing in order to yield good and massive profit leaving only small percentage that may not cover your expenses in a long run before receiving in yah earnings sources again.
What am trying to say is that if one don't have a good emergency funds (mostly this time around things aren't getting better nor cheaper) it would difficult for one to exercise a good long-term investment. Because being short of emergency funds may lead to one withdrawing their investment in a premature state when haven't yield any good profits yet) Inorder to cover some unexpected expenses.
So all you got to do is to increase your emergency funds percentage to be able to keep up with your expenses, so that you won't endup running to withdraw your investment. Because it can't be tempting most time to withdraw your investment just to cover some expenses mostly when it come to desperate measure. So is better to increase emergency funds than to keep on running to your investment, so that you can be able to secure a nice and healthy investing during your accumulation of bitcoin.
For those who are new to this space emergency funds are funds set aside for the proverbial rainy day, intended to cover expected or unexpected costs that may pop up over time. Most time there's this urge for one to go all in (in investing in BTC) that is putting higher percentage of your funds or earnings in investing in order to yield good and massive profit leaving only small percentage that may not cover your expenses in a long run before receiving in yah earnings sources again.
What am trying to say is that if one don't have a good emergency funds (mostly this time around things aren't getting better nor cheaper) it would difficult for one to exercise a good long-term investment. Because being short of emergency funds may lead to one withdrawing their investment in a premature state when haven't yield any good profits yet) Inorder to cover some unexpected expenses.
So all you got to do is to increase your emergency funds percentage to be able to keep up with your expenses, so that you won't endup running to withdraw your investment. Because it can't be tempting most time to withdraw your investment just to cover some expenses mostly when it come to desperate measure. So is better to increase emergency funds than to keep on running to your investment, so that you can be able to secure a nice and healthy investing during your accumulation of bitcoin.
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