Author

Topic: What's the difference between a Bitcoin capitalist and a Bitcoin investor? (Pt1) (Read 201 times)

legendary
Activity: 2576
Merit: 1860
Are you sure we aren't simply making a mountain out of a mole hill? Sometimes I act like a pedant too, but I don't see any relevant reason here why we should make too much out of whatever little difference in meaning between a capitalist and an investor.

At the end of the day, a capitalist is essentially an investor and an investor is essentially a capitalist. Those who invested in Bitcoin in whatever way couldn't do so without a capital. And somebody who has the capital and who spent the same on Bitcoin with the hope of making an ROI in the future is an investor.
sr. member
Activity: 854
Merit: 424
I stand with Ukraine!
For that to understand, you need to make sure you are aware of the meaning of the terms Capitalist and Investor.

A capitalist owns and runs a business to make a profit, while an investor buys assets to profit from their value changing over time.
So if you are using Bitcoin in your business, making it a utility and then profiting from it, you are a Bitcoin Capitalist but if you are just buying Bitcoin directly, that makes you an investor.

That's the most basic difference I could share with you.
Running a business, big or small, is more complicated and unpredictable than pure investment directly in bitcoin. You can consider Bitcoin miners as Bitcoin capitalists with this definition too and as an ex-Bitcoin miner, I can say mining is not easy. It requires many things to do, initial investment, resources for operation, heat ventilation, maintenance and more. It does not guarantee any profit if you have small budget and can not go through hardest tests in Bitcoin market.

Investment directly in bitcoin is more easily, less stressful than mining Bitcoin. Investors have easier works than capitalists.
copper member
Activity: 1498
Merit: 1619
Bitcoin Bottom was at $15.4k
For that to understand, you need to make sure you are aware of the meaning of the terms Capitalist and Investor.

A capitalist owns and runs a business to make a profit, while an investor buys assets to profit from their value changing over time.
So if you are using Bitcoin in your business, making it a utility and then profiting from it, you are a Bitcoin Capitalist but if you are just buying Bitcoin directly, that makes you an investor.

That's the most basic difference I could share with you.
jr. member
Activity: 87
Merit: 6
Some would say bitcoin capitalists are whale or older timer investors while bitcoin investors are minor investors in comparing their asset worths but that is a wrong insight.
The reality is that inventors capitalism is based on their contributions and knowledgeability to the bitcoin ecosystem which even such as the miners, traders and investors including the speculative institutions within the bitcoin communities.
Besides at all courses, they both have  same varieties of roles in giving values to the ecosystem.
Just as @bitmover have said, there is nothing special and
no point at hand to highily make this a sentimental differentiation.
hero member
Activity: 3038
Merit: 634
IMHO, they're both the same. Capitalists are also investors. It looks like the more enthusiastic people are called Bitcoin investors. Not all of us are close to being capitalists because they're already rich and just spreads to any assets and investments that they know that they'll sure make a lot of money.

While a Bitcoin capitalist is one who has enough money to run a mining farm and thus makes a bigger profits than what a DCA strategist investor would gain.
This means that they're also investors, someone who makes a mining farm invests in equipment or ASIC miners. It's confusing to say that they're making more money.

Because there are investors like the Winklevoss Twins who have also made a lot of money by just being a simple early investor.
hero member
Activity: 686
Merit: 403
DGbet.fun - Crypto Sportsbook
OP, who told you that a Bitcoin capitalist makes more money? I think this is where all these is going?

The time that you start to mine Bitcoin matters a lot.
Your electricity bills also matters a lot, and countries electricity differs.
Also the person plan matters, some miners prefer to mine and sell their Bitcoin for USDT Asap.

Those who mine Bitcoin very early will be smiling today only if they hodl till date, many sold very early to survive, and someone who is just starting now will face a lot because it is not as profitable as before.

It is not about what you call them, either capitalist or investor, it all depends on the person's plan.
sr. member
Activity: 532
Merit: 263
It almost seems as if the DCA strategy of investment is for those with small consistent cash supply only and with the discipline to be fateful.
That is false to believe. Bitcoin DCAing I basically strategies that investors could acquire the Bitcoin assets instamentally.

This is an opened strategy for both unstable and stable income investors. It is just a privilege for Investors to accumulate more of Bitcoins as much as they can.

Also, be noted that you can always buy your Bitcoin at any affordable amount and it is every Investors decision to decide what their accumulations target would be while hodling in anticipation of making profits.
 

I would like to think that a Bitcoin capitalist is somehow different from a Bitcoin investor and this begs the question of;
* what is the difference between a Bitcoin capitalist and a Bitcoin investor from your understanding and knowledge?
No contradiction here. Bitcoin capitalists and Bitcoin investors are the same. They both invests their funds on the system with same goals of holding as assets of making profits.

Rather the accumulating rate of these investors differs which the capitalists are recognized to be whale accumulators but still in the categories of Investors.
legendary
Activity: 2870
Merit: 7490
Crypto Swap Exchange
Mind you, a Bitcoin investor  would be classified into either one or more than one between, the Beginner investor, the “HODLers” , the traders and the Early Adopters.

How would you classify those people who also use their Bitcoin to pay for goods or services?

While a Bitcoin capitalist is one who has enough money to run a mining farm and thus makes a bigger profits than what a DCA strategist investor would gain.

We usually call those people as Bitcoin miner. Besides, there's no guarantee they could make bigger profit. There's reason people suggest to buy and HODL Bitcoin when a beginner ask about mining Bitcoin.
hero member
Activity: 1456
Merit: 624
Maintain Social Distance, Stay safe.
Bitcoin Capitalism is a form of global finance that works as a decentralized economic system. It is also an asset in future financial sovereignty.

Bitcoin Investors, including long-term holders or speculators, buy and hold Bitcoin for their financial gains over time.
legendary
Activity: 2114
Merit: 2248
Playgram - The Telegram Casino
It almost seems as if the DCA strategy of investment is for those with small consistent cash supply only and with the discipline to be fateful.
This is a common misconception with DCA; it doesn't necessarily mean the capital investments are small, it just means the investor is putting in fixed and consistent amounts over a long period of time.

• Putting in $100 every month is DCA,
• Putting in $20,000 every week is also DCA.
legendary
Activity: 2310
Merit: 4085
Farewell o_e_l_e_o
Forgive my ignorance, but I to me there's absolutely no need to differentiate them into bitcoin investor and bitcoin capitalist.
It's just life, some people have more money than others and that makes them have more money to buy bitcoin.
The term "bitcoin capitalist" on its own doesn't make sense. Are you saying the people who DCA or early adopters are not real capitalists? Or the people who have enough money to have mining farms cannot be bitcoin investors too? This seems like a made up term to me.
In my opinion, anybody who hold bitcoin for the purpose of making profit out of it is a bitcoin investor.
In my opinion, there are three types of people in the market:
  • Investors
  • Traders
  • Speculators or gamblers.

There are overlaps between them, like people can do both, investment and trading. Bitcoin miners can be investors and traders or speculators too because they can do their business for short term profit and holding rest bitcoins for long term profit.

I really don't feel fine with a term, Bitcoin capitalist.
sr. member
Activity: 686
Merit: 332
Is there a difference? If there is, I don't see it.
It doesn't matter how much you have to buy bitcoin, you're still a bitcoin investor. Forgive my ignorance, but I to me there's absolutely no need to differentiate them into bitcoin investor and bitcoin capitalist.
It's just life, some people have more money than others and that makes them have more money to buy bitcoin.
The term "bitcoin capitalist" on its own doesn't make sense. Are you saying the people who DCA or early adopters are not real capitalists? Or the people who have enough money to have mining farms cannot be bitcoin investors too? This seems like a made up term to me.
In my opinion, anybody who hold bitcoin for the purpose of making profit out of it is a bitcoin investor.
sr. member
Activity: 854
Merit: 424
I stand with Ukraine!
Early adopters who holded for long term are rich today. But they are just people with a lot of money. Nothing special about that.
Many early adopters are not rich today but only some of them who successfully held their bitcoins, became rich and are millionaires or billionaires.

Quote
Amazing, they made a lot of money because they discovered this great idea before others. But they are not special.
Whatever they did with Bitcoin, years ago, investment, mining, if they succeed with Bitcoin, they are Bitcoin-made millionaires or Bitcoin-made billionaires. You can call them with whatever terms, and I believe they simply don't mind about it.

You can care about how to call them, what are differences but these people simply don't care about these things. They just laugh, it's enough with wealth they got from Bitcoin and their right decisions over years.
sr. member
Activity: 224
Merit: 195
Over the years, we have witnessed massive growth in the terms of Bitcoin and cryptocurrencies mining farms.
It almost seems as if the DCA strategy of investment is for those with small consistent cash supply only and with the discipline to be fateful.
Like you said "Almost", but the DCA approach is not only carried out by investors with little start up funds, even large individuals/bodies prefer to use this strategy because of how efficient it is to accumulate at ease, this comes with not being bothered about when is the most suitable moment to catch the Dip, the investor just keep on with the consistent buy and possibly tends to buy at different phases of the market.

* what is the difference between a Bitcoin capitalist and a Bitcoin investor from your understanding and knowledge?

Mind you, a Bitcoin investor  would be classified into either one or more than one between, the Beginner investor, the “HODLers” , the traders and the Early Adopters.

While a Bitcoin capitalist is one who has enough money to run a mining farm and thus makes a bigger profits than what a DCA strategist investor would gain.
May be i am not coming from your own reasoning but from term Bitcoin Capitalist which are different words combined i literally can translate in my own terms what i think it is.

Bitcoin investors are most likely those who invest with the commitment of becoming a holder.

Bitcoin capitalist happens to be one who choose Bitcoin as well but this time, might not just be a holder but left with further options like trading, mining and anything else, capital remains the important factor to become a Bitcoin capitalist. Capitalist believes in firstly issuing a start up funds before anticipating profit from their investment. Bitcoin capitalist extends his grasp on Bitcoin unlike a Bitcoin investor who just prefer to keep his accumulation process on track and hold unto his portfolio safely.
legendary
Activity: 2352
Merit: 6089
bitcoindata.science
Bullshit.

Bitcoin is money. A fantastic money, but money still.

Early adopters who holded for long term are rich today. But they are just people with a lot of money. Nothing special about that.

Amazing, they made a lot of money because they discovered this great idea before others. But they are not special.
full member
Activity: 952
Merit: 232
Over the years, we have witnessed massive growth in the terms of Bitcoin and cryptocurrencies mining farms.
It almost seems as if the DCA strategy of investment is for those with small consistent cash supply only and with the discipline to be fateful.

I would like to think that a Bitcoin capitalist is somehow different from a Bitcoin investor and this begs the question of;
* what is the difference between a Bitcoin capitalist and a Bitcoin investor from your understanding and knowledge?

Mind you, a Bitcoin investor  would be classified into either one or more than one between, the Beginner investor, the “HODLers” , the traders and the Early Adopters.

While a Bitcoin capitalist is one who has enough money to run a mining farm and thus makes a bigger profits than what a DCA strategist investor would gain.

According to the Wikipedia;

Quote
Capitalism is an economic system based on the private ownership of the means of production and their operation for profit.
.
.
.
The accumulation of capital is the process of "making money" or growing an initial sum of money through investment in production. Capitalism is based on the accumulation of capital, whereby financial capital is invested in order to make a profit and then reinvested into further production in a continuous process of accumulation. In Marxian economic theory, this dynamic is called the law of value. Capital accumulation forms the basis of capitalism, where economic activity is structured around the accumulation of capital, defined as investment in order to realize a financial profit.
 In this context, "capital" is defined as money or a financial asset invested for the purpose of making more money (whether in the form of profit, rent, interest, royalties, capital gain or some other kind of return).
https://en.wikipedia.org/wiki/Capitalism

Your opinion is welcomed!
Jump to: