Do you consider yourself rich or poor?
Perhaps you are in the middle-ish like me. Well, lower-middle-ish.
It is actually a little strange to say that, because it is only recently that I started to consider myself moving anywhere near the middle at all. For the rest of my life, there has been financial hardship of some kind and when I have got ahead a little, there has always been something that pulls me back downward. However, I consider myself an economic survivor, who is willing to work to make ends meet.
Since my daughter was born though, making ends meet hasn't been enough and I have been openly working toward a situation where there is some economic stability. It started on Hive almost seven years ago, but my journey here led to other actions, including taking a second job to bring some financial stability to my own business. This has worked out well in terms of stability, as I like my job, have opened up some career paths and it saved us through the Covid shenanigans, which almost killed my own business.
I still ask myself often however, "what I am going to be when I grow up" because I still don't feel that much like an adult. It doesn't matter what I have done and what I can do in my life, I still feel like a little kid trying to work it out as I go. Perhaps that's the way it is for everyone, or maybe it is for those like me, who feel that I still think there is a lot more to learn in this life and I should remain curious. And, perhaps there is some kind of zoom out factor in play too. Maybe when I look at where I am in my life today, I should recognize how far I have come and, where I might be.
I was thinking about this last part a moment ago in terms of crypto holdings and what the value would need to be for me to be able to recognize myself as wealthy. Currently, I do not factor crypto value at all into my wealth model. Obviously, this depends on many factors and "wealth" comes in many forms, but this is more from the financial perspective. For instance, if you looked at the total value of all of your crypto holdings today, what factor do they need to increase by for you to consider yourself rich?
2x, 5x, 10x, 50x?
It is an interesting thing to think about, because if we take the "when in doubt, zoom out" approach on Bitcoin, we could predict that the potential is heading upward.
6c in 2012 is a climb of about 450,000x
Not bad gains for those who held. But we shouldn't expect anything to get those kinds of results in the next ten years, even though it will probably happen on something. But, what we can expect (expectations can lead to a lot of pain), is that when things really start moving, there will be movement across the crypto board and all tokens will rise. There will be a lot of hype that drives some well above the value they can ever offer back, and there will be a lot of FUD that will hold some in a more depressed state, that will continue to offer value regardless.
In time, the industry and business matures and there will be more effort and emphasis put into provable value, where there needs to be business models to back price. A lot of the top 200 are going to fall and there are going to be some new tokens in the mix. I am personally backing HIVE to increase heavily in market value, even if it doesn't become one of the top 100 tokens.
The entire crypto market cap is sitting at just over a trillion dollars, but this is actually a false valuation, because if everyone sold, the real value is zero. But, if people started buying, there is no way that the entire market would sell all their holdings for a trillion in total. For instance, if you held 1000 Bitcoin with a total value of 26.5 million today, at what price would you sell the last bitcoin for? Let's do an easy calculation selling 10% chunks and assuming the goal is to sell it all, selling 100 BTC every time the value doubles.
100 at 50K = 5 million.
100 at 100K = 10 million.
100 at 200K = 20 million.
100 at 400K = 40 million.
100 at 800K = 80 million.
So far, we have sold 500 Bitcoin for 155 million.
100 at 1600K = 160 million.
100 at 3200K = 320 million.
It just gets silly, fast.
100 at 6400K = 640 million.
100 at 12800K = 1.28 billion.
100 at 25600K = 2.56 billion.
That last 10% is more than the rest combined.
Theoretically, someone could have got those 1000 Bitcoin for 6 dollars.
But obviously, this isn't going to happen. Bitcoin is unlikely to ever be worth 25 million. Right? the number is just too big to imagine in total, but my point is, that there are a lot of holders who will always hold, no matter whether the market is in the freakiest of bull, or the most suicidal of bear markets.
But, we needn't go anywhere near that value on Bitcoin for massive things to happen in the crypto industry, because as more businesses come on-chain, the value starts building through the ecosystem, with businesses serving customers, who are not just consumers, but also other businesses. The market is enormous and the entire global economy will be in some way interacting with the decentralized economy, because it has to.
The legacy economy is obviously rigged in the favor of some, and more and more businesses and entire nations will be looking ways to circumvent it, or work around those who have monopolized the economy so far. Of course, those who control it don't want to lose power, so they will fight, but it is inevitable., because their power crushes people who will eventually fight back. It needn't (probably will) be violent, but in stead, all they need do is shift the way they shift their value. Move away from fiat and into decentralized ecosystems.
As the alternative is falling into an inescapable dystopia of monopolization of business that will become the sole government authority, I think it is better to work and hope for a decentralized future instead.
But of course, if the blockchain industry powered by crypto is successful, we don't have to think about monetary wealth as we do now, because fiat will be a secondary system. Instead, we will think about distributed wealth, where the value of what we own is determined by the value of what it does.
So, what do you own and what will it do for you in the future?
Taraz
[ Gen1: Hive ]
Posted Using LeoFinance Alpha
There’s a lot of promise in the future for sure. One of the biggest things I’ve realized is the legacy money system and economy is based purely on artificial scarcity. They make things feel scarce so they can scare people into believing them and allowing them to do their shenanigans. Will we ever have an abundance society, when we are so programmed to think that everything is going to dry up? It’s wild thoughts for sure lol.
It’s hard to say where we would feel comfortable. If I could get a piece of property for my crypto, I would have a hard time considering not to make the trade. After all, what the fuck is the point if we don’t spend it? Lol
Exactly!
There isn't enough money! while they keep printing more and more through debt mechanisms, devaluing the little bit people have tried to scrounge together under the belief it is a scarce resource.
I have been thinking a lot about this lately. For instance, if we had a cheap, clean energy source, should we pay for it at all? If it was free, we could use it to do all kinds of innovative things - but they will likely charge the earth for it, slowing development down, as they are now.
Yep. It depends when and on what. I am only going to trade it for assets, like land.
We do have cheap and ultra clean energy - natural gas. These mother fuckers pump it BACK into the ground when they are in the oil fields in the world! I watched a video, I sadly don’t remember where, I’ve been looking for 2-3 years, where this guy was an oil field foreman for 20+ years in Alaska and he talked about some of the bullshit that goes on. Pumping natural gas back into the ground is one that seriously stuck out for me. So stupid. They need to keep the price up by any artificial means possible.
Yeah trading it for land is what I was referring to. I am tempted to do that if it comes to it!
If you keep selling ten percent... Shouldn't the amount you sell lessen.. Because if I have a hundred dollars and I sell ten percent.... I'd have 90 left... And then ten percent of 90 is 9.... Or we'll that is how I approach things... That way you would always have some amount left.... Right?
Not as important hey.
Myself.... Well I don't care for being rich... I just want to be happy and successful in everything I do... I know it sounds cliche but of course I won't mind having a lot of money at hand...
I will however consider myself rich when I can buy something without needing to worry about the bank balance, you know just swipe it...
Yes. So the higher the price, the greater the scarcity on the market (from the big players), so it constricts the market more. But, it depends on who is holding :)
Yep. And, I don't see a lot of need creep for me, so as long as I keep adding some incoming value, I should find an equilibrium someday. :)
Hmm I do own some BTC, not so much because I am bullish about BTC and the potential gains, but rather as a form of diversification. I still hold the view of having a bit in everything, some bonds, some equities, and some cryptocurrencies too.
A bit of everything, and more of what you believe in :)
I think I would be in the poorer range or low mid range and I don't think I have nearly enough funds to be financially free. At least I can cover expenses so that isn't an issue. I do think crypto is an asset that could definitely help me become financially free. At least that is one of the reasons why I show up everyday on Hive.
I think this is a sign of low-mid, where not every day is a complete struggle. Mid might be where most days are good and there is some left over.
Yep. I think there is a lot of opportunity here and hopefully I have been able to bring some value to those who see it too.
Being in financial hardships is a great way to struggle, grown and appreciate when things gets better. When I was younger, there were many times I simply could not get what I wanted or my classmates were having and this conditioned my mind when growing making me doing also wrong choices in business and people to trust BUT all these things, made me the person I am and I am grateful for that. Sometimes it's much hard being grateful but then I keep remembering that tough times makes people better.
I am trying to build a stack of Hive too thanks to the growing support of the community and in the meanwhile accumulating some BTCs.
Yes. This happens a lot, because we tend to trust "differently" when we are in need. We are probably more gullible and ignore warning signs also. Not a good condition for negotiating complexity.
Keep on building :)
My personal perspective is similar to yours, I do not count my crypto holdings into my wealth at all, but obviously, I "dream" that maybe one day a nice bull push will bring big profits. I tend to analyze the market in terms of industry-added value. In the early internet days, there were many companies trying to get into the train which ended up disappearing because their value proposition was just a "me too" model. I remember big names such as Bol.com (similar to Amazon) or submarino.com just to mention a couple.
With just roughly 12 years of existence, this technology has disrupted several markets already as banking, Finances, Digital Art, Digital Collectibles, and starting to speed up Gaming, most importantly, as it is a horizontal tech like the internet, it can disrupt just about any industry. I am convinced there are still many new models to come. That's where the real value comes in and where the early adopters may get their jackpot if they keep holding a nice amount of their initial investments.
Exactly. "We have a website" : VC values it at 100M.
Then wonder why the bubble bursts.
Yes! Infrastructure technology that makes everything above it better in a number of ways.
I consider myself as poor. I'm just living a minimalist lifestyle, and my income is just enough for my day to day.
With regards to the crypto topic, you made excellent points. That is why I think Hive should focus more on mass adoption of their Hive and HBD tokens. A lot of the other crypto don't have their own stablecoin. Hive with HBD can be used for services and purchasing of goods, and are already happening in some places. If Hive can get more of that, then we can have a bigger lead than other tokens.
Mass adoption of the tokens isn't enough - it has to be mass adoption of the community in order to be able to secure the network.
Poor person who has found a gold mine(hive) and is learning to use it. It has a life changing potential but I am still a noob at mining.
Rather than focus on the mining, focus on the value you bring to the mine. Build the right tools, and the work is easier.
Not poor, not rich, not middle. I am like pendulum. And that kind of is good as it does not make me live monotonous life on most places. However I feel what I consider thrill in such pendulum like life which sustain till 50 then I'd either be middle or poor, because pendulum has no extreme forward movement unless you do something. But it's a good life.
Rock the clock?
I always question myself as to what is a good life and if I have one now, is it sustainable into the future? I am yet to find the answer.
I think it depends on what we can do with our financial power. I can say that I was in middle-ish some years ago. However, under the current conditons, I can't buy a house and won't be able for some years. Therefore, I might seem lower-middle-ish.
Things can change quickly, as even when we might do a lot of things right, unfortunately, a government can wipe it out by doing a lot of things wrong.
Or a man
Poor.
Not in your region, or mine.
Relativity. I'm just speaking on your opening line. You know how I am.
There's no top. Got a million in the bank? Feels good but it means nothing when you got 10. And 10 is piss to a 100.
Exactly my point and a 100
Is piss to a million
But you can feel rich on 100 if you ain't got nothing.
I thought you were correcting the title ;P
And yes, there is no top and there is no end to the chase for wealth. Hopefully though, the definition of what constitutes wealth can change enough to incorporate health and wellbeing into the equation.
The wealthiest people, should be those who help us be our best, not those who monetize our worst.
So. I have my doubts what fucks us in this life will change for the next group.
Society has arms but they're painted on and all we do is trying to figure it out with words. Free speech is fun but talk is cheap. Was thinking about something I called free strength.
Why doesn't anyone ever champion that. Statistically speaking a few do but the rest cheer for them. Meanwhile you got someone else selling it at a discount and their books never work.
I think not much. Rather than providing a solid base to tackle the issues they will face, we have undermined them and made them largely useless victims.
I agree. I'll come back to this in a bit. I just gotta run for a bit.
However, I consider myself an economic survivor.
Forgive me but here in Latin America we are true economic survivors so much so that we will continue to be so in the future 🤣🤣🤣🤣🤣.
Seriously, it must be hard to live with what you have.
Because I went through the same thing.
Cryptocurrencies have been a unique opportunity for many in places where things are at nightmare level with in the case of Venezuela.
It's a bliss at least for you to know hive and be an active article writer 👌.
Perhaps it is economic mismanagement that plays a part there? :D
It is an opportunity for sure, but I also wonder where it leads most people who are utilizing it there. I get that it can put food on the table, but no tap stays open forever, so then what?
If it were that only 😭😭😭😭😭😭
They would be a world power
What a good question, I don't really have an answer for you.
What I do know is that you have to adapt to the times.
Like in the 1900's you had to adapt to the age of industrialization.
Like in the 2000's the era of technology.
That's my point of view thanks for the comment ☺️
Even in a bear market I make 2-3k HIVE per month on Hive-Engine. This is 2-3 salaries in my country. I guess I'm rich, I have a lot of free time and I can work where I like. In the park, in your garden, in a train compartment, at a table in a cafe.
That is a decent income from trading. How much time do you think you spend on it?
I place orders several times a day. Several times for several minutes. But I log into Hive and spend hours here :) I love this ecosystem.
I see myself as rich in fact very rich because a poor person is a person without idea
Cheers
As they say, "Ideas are a dime a dozen" - home many do you have? :D
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I actually don't like to consider or see myself as the poor even though I am. I'm glad that I'm living comfortably and I can afford the little things that I need and I feel that is a step forward.
And I'm sure that I'd be rich
Such a great piece of words, inspiring.
I would love to see hive make it big. If I could find financial freedom by engaging with like minded individuals on a variety of topics I think that would be valuable than anything I have earned from my actual job. We are all wage slaves and I would love to break the cycle.
One of the reasons why I enjoy the crypto market so much is that I can use my money to vote for decentralization and the projects that I think bring value to society. To that end, I hold BTC, ETH, MATIC, ADA, and HIVE. I've gotten out of my positions in DOT, SOL, and ALGO since I didn't like where those smart contract blockchains were headed in terms of centralization. To be honest, I'm not all that pleased with ETH either, but it has the first mover advantage so we'll see what happens in this next bull cycle.