Topic: Is it better to save money or invest it? - page 671. (Read 1181233 times)

There is some logic to what you say, because currently fiat money is more liquid than bitcoin, and you can therefore use fiat as an intemediate money type. But you talk as if bitcoin is unusable when there is no fiat money. On the contrary, when the argentinian peso dies, noone will want them, and bitcoin will shine.
 

Never invest all your money into something, I don't even have all my money in banks. I like to keep my money scattered, invested in gold, bitcoin, real estate and other altcoins. A little in bonds and stocks but the quantity is too less, I don't really like the stock market. And I like to spend some in gambling, it ends well for me often

That is so true. We don't have any better or more secure options and we have to choose to save our money in the false belief that it is actually going to be protected. Plus it is also so much risky to invest all  your money on bitcoin  because if there comes a great fall , all your lifelong money is lost. And it is so tragic. So maybe we should not invest our all in bitcoin until it becomes a feasible currency and a great and secure investment.

Its depend on fiat money, because buyers of bitcoins or users are depending on the price of bitcoin, they will used it, buy or sell bitcoin when they know if the price of bitcoin is high or low, So its means bitcoin is depending on fiat money.

I think that is exactly the reason why keeping money in bitcoin wallet isn't reasonable. Why do people save? To enjoy their money at a later time when they don't have much, in case of emergencies, etc. Assuming a person keeps all his money in btc wallet and if he's really low on luck and the market crashes, what will he do then? What if he is facing an emergency? His money will be fucking gone. Btc is an investment, not a place for saving money

I do not think that, old people can survive during their retirement period only with the bank interest at any point of time, they are mainly rely on pension schemes, but the smart move is that they would have done any sort of property investment in their young age itself or else it is hard for them to survive, I agree with your suggestion regards to investment during young stage, however according to me irrespective of age genders, investment is the best solution and it should be planned very well to choose their specific sectors prior to any investment.

This is false, you forgot the third option. You can save your money in form of BTC , put it in a cold wallet and that would be the safest and top notch security to secure your FIAT however there would be always a volatility issue to consider if you are considering to save your money in BTC. Your saving could either be 50 % than the first time you saved them or double fold of the amount due to this issue but if you only look to save then BTC is the best place for it ( also an extra bonus for you if the price increases to 4-5 figures )


BTC price depends solely on demands and order. It is a decentralized currency that is not controlled or depends on any FIAT currency

Bitcoin does not depend on fiat money in any way. It is free market, private money with good money properties.

But bitcoin price are depends on fiat money? so that you can't say that bitcoin will replace fiat money. So we can used bitcoin or fiat money either of that still they have both risk.

Good advice, but I would say bitcoin or gold is the saving, and the bank account is the investment.

It is sad the only way we can save our money is by either keeping it at home which is really dangerous and obviously I advise against it, or to keep it in a bank where we are given a false assumption that our money is saved. When their heads will be on gun point, they will take away all our money from us, similar to the collateral damage of the Greece default and economy collapse.

I would prefer 50 percent saving in bank and the other half in investing in bitcoin and gold, both. Gold is good because of the high rate of inflation and bitcoin is better because well.... do I even need to say it. It just is there are a thpousand reasons why it is better than gold. Do half - half in saving and investing in bitcoin and gold.

Investing had nothing to do with you age apparently . What matters is your financial management if you are choosing to invest instead of saving it. Without it then you are bound to fail no matter how big your capital or how old/young you are.


As a matter of fact, savings in a bank is actually a loss for yourself because the interest rate will always be lower than the yearly inflation rate. That is a risk because in the end the FIAT that you hold could be "worthless" due to inflation and safe deposits could be an answer for that if you are willing to give away the ability to move your FIAT around , the gain of the interest may not be as big as investing your money however it is much more safer .

As for the bolded part, the interest rate were never always the same IIRC and most of the saving interest rate were always below inflation rate (depending on the country inflation rate though)

If you are young you should be investing more than you save.  As you get older you should move out of riskier investments and into low risk or no risk savings but ideally with interest if possible but good savings interest rates are hard to find compared to years ago.

You have always gold, it fluctuates, but is less risky. And you have the fiat paper rectangles.

I think somehow we all rely on banks for now because we do not know what to do of our lifelong savings. How can we put it all in a bitcoin wallet as it is more of an investment right now, if it falls, lifelong money will be lost and no one should take that risk, ever. Once it is adopted and used more like currency and considered less of an investment, I'd put all my money in my bitcoin wallet.

Money in a demand deposit account (your normal account where you receive your wages and spend through cards or via internet bank transfer), is quite different from base money, the actual fiat paper rectangles.
The money in your account, is really debt, it is money that the bank owes you by contract. When you pay, you really tell the bank: The money you owe me, please do not owe that to me any more, owe it in stead to the store!

The two types of money, the rectangles and the deposit money, are different money types with different value. The spread between them is normally small, and the debt money can even sometimes be worth slightly more, since they are very practical for payment.

This is under normal circumstances, when the bank is solvent and liquid, or at least everyone believe it is. But this can suddenly change, and the spread can be large. It happens in greece now. The account money is worth less, and people frenetically try to exchange the deposit money to something of higher value, like home appliances (since they can pay in shops but not withdraw base money). Not so with the euro rectangles, they are hidden in the proverbial mattress.

It is something to think about for long time savers. Money in the bank is not the same as fiat paper rectangles. The spread is normally low, until it isn't any more.

It is noteworthy that the cancellation of withdrawal rights comes when people start to withdraw. So the most careful and quickly reacting people can convert, but the more gullible will always lose, even when they are also quick to withdraw. Only the quickest get the money.

Both saving money in a bank and investing it are equally good and bad. Banking might seem more secure but you only lose in the long term because of the high inflation rate taking place. Additionally, investing in the wrong area is also bad. I'd rather invest than to save in a bank, and I'd rather invest in both gold and bitcoin.

This will depends on how you are seeing your investment is. If you truly value security then BTC is the right investment but if you still actually afraid about the volatility issue then dont put your money in BTC.
Saving money on the other hand is risky as well because your FIAT is exposed to the yearly inflation rate. Even with the monthly interest rate from saving being compunded, I doubt that the interest will be higher than yearly inflation rate. However another option will be safe deposits if you would like to have the minimum risk of "investment" or gold

Yes saving comes first. If you dont save how one can invest in the future? For a medium class person savings is the most important thing. As he want to take care of day to day expenses so saving can only serve the purpose and once you have enough savings then can think of investments.