Topic: (SSS) - A Sane and Simple bitcoin Savings plan (Read 84883 times)

This bitcoin savings plan is awesome 
I really wish I would have read that in 2013 or even 2017, not today 

I think that you have the right ideas; however, I also think that you are sounding like you are a bit over invested in Monero because you have not taken out any.  I think that these SSS principles can apply to any Crypto that you believe long term has exponential upside value, and you seem to feel that way about Monero.  So fine.

You seem to certainly be on the right track in your thinking to customize your SSS to your own situation; however, your problem seems to be that you have not implemented your plan (or some variation of it).

Personally, I have found, with bitcoin, that it has been very good for me to cash out a bit more than 1% of my bitcoin for every 10% that bitcoin prices rise, and then I use some of those cashed out proceeds to buy bitcoin back on dips. 

Surely, the exact terms of my plan is NOT exactly how the SSS plan suggests; however, it does kind of have a similar formula that could achieve nearly a 10% cashing out of my BTC if the BTC price were to go straight up by 100%. 

Also, I feel good about my own variation of the plan, and I feel that it is achieving, for me, some of the same objectives of the SSS plan in terms of my ability to rake out some of my money, to spend some of that money on my own personal matters, use some of that money to buy back BTC (even though the SSS plan does not seem to recommend that), and not to feel like I am way too overinvested in bitcoin as the price goes up. 

It seems to me that cashing out some value can be like an insurance policy in terms of partially protecting myself from some of the downside volatility - not complete protection from downside volatily, but decent protection, depending upon how you tailor your plan in terms of your own finances, risk profile, timeline and views of whichever asset you are using it on.

By the way, I also did a decent amount of tweaking of my own cashing out system because I started selling small amounts of my bitcoin at around $250 in conformity with the terms of my own variation of an SSS plan that I had created. However, as BTC prices went up, and really we ended up getting about a 78x price appreciation at $19,666 (so far), yet even though I have been selling BTC all along and buying back for all of this time, I still have about 91% of my value in BTC and 9% in fiat that is available and in my BTC investment fund.

Even though some folks might consider that I am way too overly invested in BTC, the 9% in fiat feels sufficiently fine for me and my views of the situation in terms of my ability to spend that money if I want, and for me, it remains a sufficiently high quantity of money, and part of that considerable value does have to do with such exorbitant (and a bit beyond expectations) price performance of BTC. 

Funny enough, with the 9% of fiat that I have, I do have BTC buy orders that are already set for a possible BTC crash down to $3k (that would be about a 85% crash down from $19,666), and currently it is set up that my buyback orders would only be using about 2/3 of my 9% funds, so I still have nearly 1/3 of the total current funds as discretionary money that I can from time to time use at my own discretion, such as buying a phone, a computer or a car, for example... hahahahaha  Of course, cashing out more could be beneficial too, but I feel that what I have tailored is good for me - and might not work as well for some other folks and their situations.

Is there anyone here holding XMR that wants to follow the plan?

I skipped a few doublings and have been holding everything until very recently, but I was forced to sell a small percentage.

The way I want to approach it is to keep an eye on the development of the tech, the price and the overall market sentiment.

Monero has some cool development coming up and the possibility of being added to Ledger and Coinbase. Once we have those I don't think there's much to stop it from taking over a significant part of the ecommerce market.

I didn't think the whole crypto market would go up so quickly though and it's making me nervous that a crash will come that will drag Monero down for a while as well.

Is taking out a % at each doubling the optimal thing to do? Would a diminishing percentage increase be better considering the price may follow an adoption curve?

So as a rough example.

1. Take out 10% when it's increased 100%
2. Take out 10% when it's increased 75% again
3. Take out 10% when it's increased 50% again
etc.

Also, do you think it would be better to cash out large sums in a short period of time (market value allowing) or to take out a little bit over a period of time, so Dollar Cost Averaging out.

I'm interested to see what people think.

Does not sound as if you are vindicated, except the fact that you are trying to spin what you said.

Initially, you said something about SSS being inapplicable to modern bitcoin and suggesting that it was not going to have any price runs because bitcoin was beyond that.

Anyhow, pretty much after you typed that bitcoin had a price run of about 7.5x from $2,600 to $19,666.


So, in the end, it might not matter specifically what the fuck your plan was, but part of the point of OP and subsequent discussions in this thread has been to create some kind of plan because sometimes when the price moves, it moves very fast, and therefore, it is good to rake some profits along the way.

Furthermore, aesma, it appears that you did exactly what the plan was suggesting, which was to rake some profits. 

Perhaps, you did not plan, exactly, since you were too busy arguing that the plan was no longer applicable - yet in the end, you may have just gotten lucky because you were able to act in some kind of way that would have already been outlined, if you had been paying attention to some kind of variation of this kind of SSS plan.

In the end, hopefully, you and some other bitcoin naysayers have learned some kind of lesson from this in terms of the value of creating some kind of plan (whatever plan that might be and tailored to your individual circumstances), and learned that bitcoin still is possible to have these kinds of outrageous price runs into the future.  When, exactly, might be another subject matter.

Actually I feel I was vindicated. If you have not sold anything from July to December, you are much richer than if you have sold according to SSS.

For my part I have actually sold a few coins in December, and gotten 100% of my fiat investments since 2013 out of that. My remaining coins are thus free, and I will only sell a few more when/if the price grows a lot more.

The various early July 2017 posts above by aesma go to show how out of touch he was in posting of nonsense and his various assertions that something like SSS does not matter to modern times, blah blah blah.. (you can read above if you want to see his exact nonsensical and ultimately wrong denigrations).

Surely, in summer 2017, some folks had been in bitcoin for a while beginning of 2017 or even earlier,  and just from August 2017 to December 2017, we saw bitcoin go from about $2,600 to $19,666, which constituted more than a 7x BTC price appreciation, and good for any folks who had some kind of raking plan, rather than just sitting back and arguing that SSS is irrelevant to modern times.    

Of course, you do no need to follow the exact SSS plan described in this thread, and likely tailoring any profit raking plan to your own needs, views and timeline will be a good thing too.

So, having an SSS plan remains live and well today, to recent history and likely to our upcoming BTC future as long as you have accumulated some bitcoin, whether recently or further back in time.

Agreed. But the original idea remains same and you can modify according to your needs.

I actually created my own plan based on my portfolio. The gist is to maintain balance between fiat & crypto for risk management so that one doesn't outrun the other by a mammoth margin.

Just bumping this thread as it has valuable insights.

The thread has had regular contributions since its creation but it's from 2013. Many people on this forum are looking for advice. I don't think pointing out that 2013 advice might not apply today is trolling.

I understand that my plan has been tailored to myself and your plan seems to be tailored to yourself, and I guess my main point in my above post was to respond to you coming into the thread and arguing about the limited applicability of SSS, seeming to denigrate SSS and assert that it is not applicable to current times.  - a bit trollish, no?

I have a plan, I buy BTC every time I have some spare money, whatever the price. I never sell. I will only sell when I will be regularly earning BTC from what I have, then I will quit my job and live off sold BTC. Alternatively if my stash is worth millions, I will sell most of it.

Nothing to do with SSS, and your plan is completely different too.

Sure this SSS gives a guideline - but you are reading it way too strictly if you believe that you are not able to employ it to your modern day bitcoin investments or acting as if it only applied in ancient time.

I think one of the central themes of the OP and the thread is to create a plan and to customize that plan to yourself.

Sure, I don't agree with every point of OP, but I do agree that the ideas outlined creates a good framework for thinking about your investment, planning ahead in regards to your various cash out points.. and to establish those ahead of time, somewhat to your best ability.

Even someone who invested in bitcoin 2 years ago in the 200s could have had a large number of opportunities for cashing out, all the way up to $3k..

Personally, I employ more of an incremental hybrid of this.  I cash out approximately 1% of my holdings for every 10% price rise; however, at the same time, I reserve what I cashed out for buying back during price dips... So in essence, I am not  cashing out in any kind of meaningful way with a "rake" as described in OP - however, the concept of rake does allow me to feel o.k. about leaving some of that money on the table.. in the event that the price does not go back down or even completely removing the cashed out money from the system and enjoying myself with it... so yeah, instead of a 10% rake for every 100% rise, I am employing more incrementalism.. while at the same time reinvesting some of it... so in that regard, I have tailored SSS to my own thinking and considerations while attempting to understand the applicability of some of the goals to my BTC investment plan and strategy.  Maybe I am doing a SCS  ?  hahahahaha.. a sane and complex savings plan  or a ICT?  a insane and complex trading plan?   

Whatever, part of my point is that the concepts are still applicable to modern day bitcoin, even if they are not followed strictly, and even if Risto has abandoned the btc ship to monerolandia.   

My eng is not enough, just I agree with all of you said Really Good Topic...

SSS is non emotional but it starts with a lot of money and only sells from there, each time the price doubles. That's not a realistic scenario for today. That's for people who bought/mined thousands of BTC when it was worth a few dollars or less.

Wow this makes a whole lot of sense and puts things in the right perspective when looking at how you handle btc and alt investments. First time i've a post from you dude and would be following future posts

I'd like to see this plan eventually implemented as a smart contract portfolio. The following reminded me of this: https://www.reddit.com/r/ethereum/comments/6eq2up/update_on_prism_fees/did77ym/

Agreed; my "HODL in all situations" is emotional.  The original SSS plan is non-emotional.  I have a small enough basis that I don't care if it all goes to zero in a flash; well, I will be disappointed but ok.  Anyone taking more than an insignificant portion of their wealth into such risky investments should do it with a plan like SSS.

Seems to me that the substance of each of the two above posts from today is very similar, and that is to HODL your bitcoins.

However, I think that the point of the substance of this thread and OP is to make a plan in order to take BTC profits along the way, and that plan might differ for folks, but selling some BTC along the way up can be helpful in realizing profits and to keep you from having too much value tied up in an historically strongly appreciating asset, namely bitcoin (although the same plan could be utilized for any other crypto that has similar realized expectations of price appreciation).

By the time I would want to sell any to use it will be time to use it directly and not convert through fiat.

HODLING is the strategy for winners.

No seriously, I'd say it really depends of how much BTC you have and your objectives. Personally I'm not putting all my money into BTC so that I can still live, buy a house, have a car, travel, etc., so BTC is a long term investment. Once my stash is worth enough fiat to buy an island and retire or something like that, I won't have any hesitation and will sell everything (or almost everything).