Every country is experiencing the inflation at its peak. A true example is pictured in the opening post. The right approach is to invest on cryptocurrencies which assure of profit. Even with cryptocurrency one need to do things at the right time without making any delay.
Once savings served as a base for further investment needs. Now things have changed and it is completely upside down. In my country banks are at its worst and few have closed the service. So, banks are no more a place for our hard earned money.
Topic: Savings during inflation - page 11. (Read 9948 times)
A time like this, it is good to go for asset like bitcoin as investment, going for bitcoin now would also be an hedge against inflation over years, just as it was in the past.
Bitcoin can be a speculative asset, but investing when the price is significantly low is a profitable investment strategy and also would be a hedge against inflation, that is what I mean.
Fiat do depreciate, especially in underdeveloped and developing nations, even US and countries in Europe which have good economy were unable to avoid over 7.5% inflation this year.
Not wise at all to save fiat in bank, going for investment is one of the reasons rich people is becoming richer.
Bitcoin can be a speculative asset, but investing when the price is significantly low is a profitable investment strategy and also would be a hedge against inflation, that is what I mean.
Fiat do depreciate, especially in underdeveloped and developing nations, even US and countries in Europe which have good economy were unable to avoid over 7.5% inflation this year.
Not wise at all to save fiat in bank, going for investment is one of the reasons rich people is becoming richer.
Saving ones money is good but could be a disadvantage during inflation. During inflation, price of goods might have increased rending your saved money valueless. In 2020, a friend bought his middle generator at #46,000. I had the same amount but decided to save mine in bank. Last week, I decided to buy the same generator, just to check a store online to see price was now around #85,000.
See the difference in price within 2 year. Bank can never put such difference as interest on the saved money.
CONCLUSION
During inflation,
👉👉always purchase all you need on time without delay to avoid rapid increase of such commodity.
👉👉Unnecessary saving should be avoided. Savings should only be made from excess income which one doesn't need at that moment.
Lastly, investing is highly preferable to savings.
See the difference in price within 2 year. Bank can never put such difference as interest on the saved money.
CONCLUSION
During inflation,
👉👉always purchase all you need on time without delay to avoid rapid increase of such commodity.
👉👉Unnecessary saving should be avoided. Savings should only be made from excess income which one doesn't need at that moment.
Lastly, investing is highly preferable to savings.
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