[Altcoin Discussion] - January 2022

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• Discussion related to recent events
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• General questions about altcoins

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Etiquette when someone loses money

My dad lost a lot of money once for his company in a business deal that turned out to be a scam. On the person getting scammed it is an incredibly traumatic and embarassing experience. Confidence tricks play on our flaws and are designed to make us blame ourselves.

All this to say that while I've never owned Bitcoin except for buying Molly on the dark web, I won't be cheering when the music stops. Predicting the outcome of this event on the collective social psyche will be impossible but it's important to understand that these are the kind of transformative experiences that give us the opportunity to learn more about ourselves and create a better future.

Single early 30s HENRY - guidance and resources please

General Info:

Age: early 30s

Status: Single

Location: Bay area

Income: $250k+ annually (bonus potential)

Savings/Cash on Hand: $150k

Recent Event: $120k bonus after taxes (the reason I have $150k in the bank)

Debt: none

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Current Investments:

401k: $150k; max out every year with employee match

Back Door Roth IRA: $15k, max out every year

Stock: $150k

BLPAX Mutual Fund: $50k ($500/month)

Restricted Stock Units (1 out of 4 year vest): $20k

Ethereum: $1k

Bitcoin: $1k

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Insurance:

Whole Life: $7,391 annually

Term: $179 annually

Disability: $1,734 annually

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Hoping to get some general guidance/resources for someone in my situation. I’ve never been particularly interested in personal finance, but I’m realizing that I need to take more ownership. Especially as I want to start a business in the next few years.

I feel like I’m in a really good place, but I’m struggling with what moves to make next. Generally I’m moderate to conservative when it comes to investing.

In 2020 I started consulting with a Northwestern Mutual advisor and ended up purchasing whole life, term life, and disability policies. Like many people, I get term and disability through work. Frankly, I feel like a dumbass for doing this and it was really just because I was too lazy to do the research.

I would like to invest in real estate soon, but I live in the Bay area so I struggle with whether it is a worthwhile investment while I’m single or if it would be better to buy at lower cost in other regions (home state — also high-ish cost of living).

I realize this is a lot so any thoughts/guidance would be much appreciated!

Questions:

• Feedback on supplemental insurance policies - pros/cons?
• Have any tips for getting out of a whole life policy?
• Given my situation, should I use a financial advisor at all?
• Buying real estate to live in vs. income property?
• General investing guidance for my financial situation?
• Recommended resources (books, podcasts, etc)?

The way forward with Crypto and its grim reality

It’s no mystery that in order for cryptocurrencies to have enough critical mass and gain mass adoption among the populous, a “sizable chunk” of suppliers must be willing to accept it for their goods.

There are plenty of companies that already accept Bitcoin (e.g. NewEgg and Microsoft). I however think that suppliers of “everyday goods” like produce, clothes, and other commodities that must be purchased more frequently would go a long way in getting the layperson to start using crypto currencies in their everyday life.

A secondary problem that must be solved is transaction fees being competitive with fees in the current financial system. This is already being addressed with L2 solutions and Proof of Stake (PoS) blockchains.

Cryptocurrency will soon prove to be robust enough to handle the economic demands of the world and it will be a superior alternative to traditional banking for companies and individuals alike.

I think one of the most crucial steps for mass adoption however; the one that could allow society to decouple itself from the state, is the mass adoption of cryptocurrencies as salary.

This will be one of the largest affront to state power. If the layperson can subsist and fulfill their desires without once touching fiat, then there will be no demand for the inferior currency.

The reality however is that the state can already thwart this potential event of mass liberation. With KYC authentication becoming internationally more popular, suppliers of everyday goods will have to abide by this standard in order to do business with you. The state will know the entry point of the Cryptocurrency being paid to you and the exit point via your consumption by suppliers. Any money unaccounted for can be easily audited.

So what can be done? I suspect the state continues to use its monopoly on force to regulate companies and consumers. Cryptocurrency will outcompete the traditional banking system and result in more secure and efficient finance, but the state will remain on top as a mobster taking a cut.