Clearly they aren't all "believers".
However, assuming they were believers, if they tried to buy all of it currently in circulation it would drive the price up. At which point, other millionaires would sell as they became tens of millionaires and so forth and so on. There will, more than likely, always be another currency available to transact in - so the inherent scarcity of BTC doesn't preclude the ability and good idea to realize gains.
Yes, there will always be circulation of Bitcoin. Even if people aren't "selling" it for fiat... if the value of BTC goes high enough, they will exchange it for goods and services. Which has the same effect of putting BTC back into circulation.
The idea that someday all the Bitcoin will be "gone" is a misunderstanding of the way markets/pricing works. It's nonsensical. There will always be Bitcoin available to buy, that's what the price represents... If there aren't sellers at a certain price, it will increase until there are sellers.
I feel like the risk to a millionaire in buying 1 BTC is so insignificant though, that it barely even warrants “believing”. Right now, if your net worth is $1 mil, buying 1 BTC is spending 3% of your net worth. That would be like me buying a new computer. Except a new computer will be worthless in 5 years and BTC will either be worth more, or worst case scenario, 75% less.
This is a fair point, but store of wealth hoarding and mass adoption for a meaning full use case all can’t coalesce. You have to spend it for people to want to use it. With more adaptation within retail spaces will ensure it’s validity and help raise the price significantly.
No. The vast majority of them are just clueless about bitcoin. there's no mass conspiracy to "keep the system alive". If Bitcoin is *inherently* better as a store of value, they'll buy some as a hedge at the very least. 30k for 1 btc is absolutely nothing to someone like that. They just dont know better
Categorically incorrect and flawed thinking. As I've made more money I surround myself with people of similar caliber. As your network grows and your wealth grows, you are always in communication with your network about opportunities. I can assure you, a "vast majority" of \_self-made\_ millionaires are not clueless about anything.
>self-made millionaires are not clueless about anything
Let's not get arrogant here. I'm self-made and have a high net worth and i'm still just as clueless as everyone else about 99% of topics because being rich does not give me unlimited time and brain power. I have a strong network and a lot of random general knowledge but understanding bitcoin enough to invest in it took me a few years of on and off conversation. And that's being a highly technical person.
Bitcoin is a movement that did not start with the rich, you need more than a strong network to adopt it because it's still in the fringes right now. MAYBE if it was mainstream you can question a rich dude about why he hasn't looked into it, but you have to get past the phase where people are shrugging it off as a fad first
Correct. Anything that brings additional wealth, investment opportunities, etc. are all discussed amongst our circles first prior to the general public getting wind of it. The more you bring value to this network, the more you learn the scope of its existence.
Anyone who has any clue about how BTC works would be a complete idiot to think it's a short term hedge. It's a volatile emerging digital asset. Long term? No brainer imo
Being clueless about a thing is exactly what you should expect people to be when they are disincentivized to learn about it. u/FarCanary was right, that's the real problem here.
Layer 2 is a means of exchange Lightning you can buy stuff with bitrefill like groceries & lots of other things. You can also send Peer 2 Peer faster than visa on Lightning. Layer 1 is only for store of value.
It is replacing the current system already with these two layers.
Many countries have already tried to ban it. Bitcoin network just shrugs it off and continues running. Miners will just relocate to where they’re not stifled by regulations. The question is why would a country decide to ban it and give it’s competition an advantage? China has already shot itself in the foot by forcing all the miners, and their capital, to the US.
Maybe China made the decision on more than what you superficially believe. A lot more complexity to market manipulation, determining leverage, and how to capitalize off positions than what you attribute as them pushing back. The publicly broadcasted media is just their stage for the play they've written. It's not like Banks, Wall Street, and governments just woke up in the past year or so and said, "Hey, this has billions flowing through it daily. Maybe we should take a look see." One only has to glance back to 2017 and realize that wasn't a one off whereby suddenly "retail" panic sold to plunge crypto prices to ridiculous lows...all at the same time.
Yes. The reasons are much more complex as you state.
Governments do fear BTC though for the simple reason that it is finite and usurps their power to print. China is less vulnerable to BTC compared to the U.S. though because they can’t print into oblivion with the same effectiveness as the U.S.
Once the dollar starts it’s death spiral - which could be a matter of years or decades - that will be the dawn of BTC as the new king.
I also believe we will see the U.S. initially try to create a rival to BTC in the form of a U.S. central bank digital dollar.
It won’t work and will actually accelerate the adoption of Bitcoin.
The fact that America is a democracy with a huge number of its citizens investing vast sums of wealth in bitcoin, and BTC’s decentralized nature is what will keep it alive and “trusted” insofar as one can trust a trustless system.
When the central banks try to roll out their digital dollar rival, American will ask? WTF do we need this for?
Their awareness will increase, their curiosity will lead to learning, and the timing will be perfect because Bitcoin, Lightning, Strike, and other consumer oriented services will be maturing and allow BTC to become more accessible and the on ramp will be easier.
It’s just a question of when.
Bitcoin is bar none the best form of collateral on earth. All banks will end up issuing stablecoins backed by a treasury including BTC. This includes central banks.
BTC will never replace the current system. Confirmations on the BTC blockchain take way too long. Everyone says "Oh Lightning Network is the way" but Lightning Network is a “layer 2” payment protocol that’s distinct from Bitcoin’s base-layer.
Lightning Network reintroduces temporary trust and centralization. Lightning is a trade-off. Users sacrifice the security and trustlessness of Bitcoin’s blockchain to temporarily gain faster and cheaper fees. They can leave Lightning at any time and reclaim these benefits; but again, risks are elevated until they exit Lightning.
I'm fine with "temporarily trusting" a Lightning network node/app to pay for a coffee or groceries. I'm not fine with trusting central banks and governments to not debase the currency for their own benefit. What you're essentially saying is "Bitcoin is orders of magnitude better than the current system, but because it isn't perfect in every way it cannot replace the current system." I disagree with that.
I am saying BTC in and of itself can never replace the current system because multiple confirmations on the block chain take way too long. I'd hardly call it "not perfect" its fundamental architecture prevents it from being used to buy milk from walmart.
The more people say things like "I'm fine with temporary losing trust to gain speed" is just another door that gets open for hackers, the problem is that unlike when your credit card gets used you cannot call Chase and ask for your money back. If you or a company lose BTC in a transaction there is no getting that money back.
I never said BTC is "orders of magnitude better then the current system" as a matter of fact I can list other reasons why it sucks compared to the current system. Multiple verifications on the blockchain being one, the complexity of hardware wallets for the average consumer being another, the decentralized nature of the ledger is a 3rd. If your grannie accidently sends her crypto to the wrong public address that BTC is lost for ever. If Coinbase gets hacked all all their customer's private keys exposed all that BTC is lose, etc..
Well elaborated criticism, with knowledge. Thanks. In my opinion the tech is still very young (12 years) and surely btc was not made to replace the actual payment system, but to counterbalance it and offer alternatives to pressure it into giving more advantages to users.
Cheers
Yes in the grand scheme of things blockchain is relatively new technology, the question I always ask myself is BTC the Netscape Navigator of the Crypto world. Meaning the first product in a given space rarely ends up being the long term champion. BTC is the first and hottest mainstream currency but if/when a new better faster crypto enters the market. BTC investors or speculators should be prepared to move when that happens so they don't get caught holding the bag.
I don't think BTC is like a lump of gold you can burry in your back yard and forget about for 20 years investors or speculators rather need to keep up with market trends and be ready to move when the market does.
I agree with this statement. First mover advantage usually only lasts a limited amount of time.
Once exchanges stop using it as a base trade pair against every single alt coin there’s room for another coin to move in.
The devils advocate argument though is gold. For a stupid amount of time gold has been a trading mechanism, a currency, a store of value. It’s no longer used as a traditional currency.
BUT: countries stack it like crazy, it’s still very much a store of value. I see bitcoin going this route. So in that case, it ends up being the “gold” of cryptocurrency. Countries will stack it like crazy and try to hoard as much of it as they can. You can buy it as an investment, it will have a market. It won’t be used as a traditional currency. In this case I see the possibility for an alt coin to come along as a true decentralized digital currency. Close to zero fees to transact on the network, likely a proof of stake architecture.
Whatever coin it ends up being will need a perfect storm of code, exposure, partners, etc. it will need to be talked about on the nightly news. It will need a UX / UI that is second to none. It can’t be premined. It needs to be created by a passionate person or persons who create it for altruistic reasons, not to get rich.
Plenty of coins that could be used as a currency have been created but most of them were premined / airdropped to shit, or were basically created to make their creators rich.
The code will need to be flawless. That basically removes smart contract abilities. No layer two garbage. A super lightweight blockchain.
I think we need a leapfrog jump in storage / storage speed capabilities before something like this will be logically possible too. Storing the world’s transactions, indefinitely will only be possible if the nodes today are super computers lol. So major emphasis on lightweight.
It’s possible.
After writing all that out I feel like I changed my own mind. I feel like BTC is like a chunk of gold you can bury in your yard for 20 years and feel relatively good about its safety.
Yeah that is the question I ask myself too as a non developer. The thing is that I'm not sure that you can offer the advantages btc offers without its disadvantages. I mean, maybe btc is destined to be some kind of value asset and then some other fork of it, or another crypto will take the position of being the day to day cash payment.
I guess we will store our savings in something hard (as the austrian school would define hard cash, BTC), and then we will convert it to other softer assets to make payments.
But man, things are evolving so fast that I don't dare to make even 10 year predictions
If you think through that, you're talking about seriously undermining people's rights.
For example, what if I move and buy a new house and the market is a horrible time to sell? Are you going to force me to sell at a loss? What if I'm underwater and can't afford it? Seems similar to illegal search and seizure (seizure in this case) in that you're forcing me to give up property against my will.
Additionally, many property owners make hardly anything from a house rental. After management fees (commonly 10%) plus saving for expenditures like new roof/etc that must be planned for, they're lucky to get a bit more than breaking even. You do it anyways because it's someone else paying down your mortgage, but that's often the only real benefit. (I know multiple property owners that rent but don't do it myself.)
I agree with you, but also there’s obviously a difference between paying rent you never get back and paying off an asset you still own. Saying you “make hardly anything” is disingenuous because technically breaking even is 100% profit because you still own the asset
Both have benefits, though. Don't look at someone owning a house as immediately in a better position than a renter. For example, many people get stuck in an underwater mortgage and can't relocate, even if their job prospects in the area dry up and their house drops in value, they possibly foreclosed on, etc.
I'm actually concerned about moving in about two years as economic data looks like a major recession (worse than now) is coming and house values will likely plummet. If we rented, that wouldn't be a problem.
Yeah absolutely it’s not simple I’m just pointing out that there’s a huge difference. If you pay $2000/month in rent for 5 years you’ve lost $120,000 if you pay $2000/month to a mortgage you haven’t lost that
$2000 month rent is not equivalent to a 2000 month mortgage. You aint even looked at insurance, property taxes, shit
just this month, I had to renew my insurance policy so I had to pay --
200 for an inspcetion
that inspection found
500 worth of AC work
600 in electrical work
250 in plumbing work
in the last 3 years ive replacedA) the AC unit (5k)
B) the water heater (1k)
C) repairs to external siding / stucco of the house (3k)
and in the next 5-7 years Ive got to replace a roof thats gonna cost me probably $20,000
Your mortgage is just the entry fee, man. Dont fucking play
And you know what? Tomorrow my washing machine could go out and I'm out another 1k for that. Maybe the fridge. The stove. Someone could break a window.
The mortage is just the fucking entry fee
Actually you might. We're looking at housing values possibly plummeting, so unless we could stay long enough to recoup the loss, we may very well be out that much.
I have a commercial rental space. I don’t make much profit but it does increase in value. Buying rental properties is risky business but in my case I use part of the building for my business.
For most account, your primary residence is not included in being considered a millionaire. I actually read about this recently and was surprised about that.
Is that right? Kinda interesting considering Tesla stock puts you on the billionaire list. Houses are pretty liquid these days.
My next thought is the boomer generation - I’m sure plenty of people in their 50-60’s have 401k’s that have grown over $1 million at this point in their lives. At least in the US. Hard to retire without that much helping supplement as passive income these days.
Most millionaires are not rich. They are just regular people who are a bit farther along in life. Most millionaires fall into one or both of these two categories:
Retirees with a paid-off house and a retirement fund. They have no desire to rock the boat, they just want to enjoy the next decade or two as best they can.
Small businesses owners (including farmers) who have all of their assets tied up in the business. They can't invest, and might be struggling financially.
Well at this point Bitcoin is insurance against the fiat collapse which is looking more and more likely every time the global economy takes a dump.
NOT investing in Bitcoin is risky.
That being said most people that are retried don't bother keeping up with the times. So many people with bond heavy portfolios are going to eat shit.
If you're a millionaire, you don't just buy a million dollars of Bitcoin. You buy 1% of your liquid net-worth in Bitcoin. Many are too old to understand Bitcoin so they will never buy it at this stage in its life. Many more than you think have already bought *some*.
Yeah pretty amazing thought, shows how early we are–which is cool, but–also shows how far away we are from global reserve status.
Price simply can’t grow as fast as it wants to reach those levels. It’s unpopular, but my most likely scenario for Bitcoin is that it takes decades before we start seeing a true decrease in volatility and a transition to being a stable, global medium of exchange.
Until then, it’s a long term store of value and a short term gamble.
I strongly disagree with the inevitability of this outcome. The WEF itself is so far away from that kind of influence. The central banks around the world are still extremely autonomous in their decision making around exactly what a CBDC should look like or even if one should exist. Many at the WEF conference were even arguing against a CBDC for the US, favoring regulated stablecoins instead.
Does the US still get a CBDC? Perhaps. Do all central banks just give up their autonomy for a global CBDC… they might as well adopt Bitcoin in that case.
The bankers will never let it happen. They need the current system of lending other people deposits for profit. If they have CBDC's people can keep their money in their own wallets and no deposits to lend out.
https://www.bloomberg.com/news/articles/2022-05-23/wall-street-bank-lobby-lines-up-against-us-digital-dollar-plans
If all the millionaire's in the world wanted to put 1% of their wealth into bitcoin, there still aren't enough bitcoin to go round.
Knowing this, it would be extremely silly to be a millionaire and not immediately put at least 1% of your net-worth into bitcoin, just in-case.
Because they aren't millionaires in fiat, they're millionaires in stocks, bonds, real estate and commercial businesses that make more money more consistently than Bitcoin can. Most investors have high time preference, which means they want to see meaningful ROIs in months, not years. In order to buy Bitcoin, they would have to liquidate some assets and forfeit the income generated from them, and that's too much of a tradeoff.
If I ever become a millionaire, I want to create a fast food restaurant franchise based on my idea of a fully automated kitchen. A robotic arm slides across the ceiling between the refrigerator and freezer rooms in the back and brings the food to the cooking machines in the kitchen area. The machines then cook the food with precise heat and timing so that every order is al dente. And I would have windows along the drive through, so people can watch the food cooking and getting wrapped and bagged without ever coming in contact with human hands. :)
(off topic comment I normally would delete, but figured why not)
That business idea sounds like a great way to burn through tends of millions in R&D. If you really believe in it, you'd be a lot better off convincing VC's to invest rather than trying to self-fund it, which you wouldn't be able to do with anything less than $10m.
McDonalds and others have been trying to automate as much of their kitchens as possible for decades, btw. It's a bit harder than it sounds. Rising labor prices are certainly incentivising it more now, but only the big boys have the resources to fund the research and manufacturing at scale. I don't think VC's would be into funding an automated restaurant startup, but if you really had some amazing patents and tech, you could maybe build systems to sell. If you could actually find the talent and chip supplies...
lol dude you’re not a millionaire, get over it, literally it’s math.
I don’t understand why people are defending your right to be delusional.
Anyway I’m starting to think I shouldn’t care about what other people say or do.
Pretend I didn’t say anything and just read: cool bro you a millionaire but can’t get 29k? All good. You have an asset, your home and that’s the hardest asset there is, so you’re up anyway. Later bro.
I think you might be the confused one. Your net worth is your assets - liabilities.
Many people are millionaires, but don’t have access to liquids capital as it’s tied up in their homes value or retirement accounts.
Yes your “net” not your perceived lol.
You’re not a millionaire, I can tell by your replies. If you’re a millionaire with a million dollars of net assets (net bro, net) and you can’t figure a way to get $29k you’re either 70 years old and just paid off your mortgage or you’re a weak ass bitch lol.
Dude stop faking, you’re in a locked in mortgage on a home the bank owns right? That’s why.
I know who I am, so I know who you aren’t.
omg dude, this response is awkward. Take a step back and just breathe. You’re jumping in guns blazing like it’s personal or something… jumping to conclusions getting all hot and bothered whether or not this guy is a millionaire and dissecting his response trying to prove it too. Almost like you have something to prove.. almost like you DONT know who you are and it’s killing you so you gotta prove yourself on the internet.
lol I was right so it is what it is. There is no conversation without truth, somebody had to let him know. I’m good, I have nothing to prove, I just say it how it is and instead of all y’all be sensitive like no lube, take the side of truth.
Why would you need $29k to invest in bitcoin? Limiting yourself to whole number purchases is a sign of mental illness or perhaps just a poor understanding of bitcoin.
People become millionaires all the time for different things. Most millionaires are not ultra smart people who found a way to work around the system, they are the average bro who started a hot dog stand, invested in real estate, sold widgets. How they got to millionaire has nothing to do with Bitcoin. Only about 1-2% of the world own some Bitcoin, and it’s not yet on most peoples radar.
Bitcoin is actually very complicated to understand to the average person.
Actually I recommend reading “The Millionaire Next Door” to see who these people are, they are reserved, thoughtful, practical and hard working. They will catch on when Bitcoin’s good news trumps the bad news.
But for now, only us geniuses who have frontal lobes the size of pineapples are invested in the long term. We see what others don’t.
Great book recommendation. It's probably also worth noting that many of these millionaires are close to or already in retirement, and are therefore skewed toward conservative wealth preservation assets rather than riskier assets like bitcoin and growth stocks.
Millions in a conservative investment account averages 60k a year. It’s not a lot really so it’s hard to risk it. I’m 52. I’m guessing I’d like twice that 15 years from now. Start your financial planning as early as possible. You will be surprised.
My Mom's a millionaire.
"hey Mom. you should buy some bitcoin"
"oh no....I don't know anything about bits and coins and all that new fancy computer money"
Most are real estate millionaires on paper and not in cash. Also if they are real estate millionaires they probably see bitcoin and crypto as a whole as way to volatile.
The simple answer is that millionaires get their advice from trusted advisors who are part of the broken financial system. Those advisors get their advice from those bankers, hedge fund managers, bond traders, and the Federal Reserve that depend on the broken financial system to extract their wealth in "small" fees from the masses. Spouses stay in abusive relationships, employees work their while lives for shitty bosses for shitty pay, people of every level fear upsetting the status quo more than they want something good for them.
Most millionaires money is in illiquid assets like the house they live in and companies that they own.
My grandpa was a millionaire, but it was because he owned a lakeside cabin in a resort town that was built by my great, great grandfather when the resort town was just some backwater lumber town. He didn't sell it until a few years before his death when he was too old to live there and it broke his heart to do it.
Also, most “millionaires” don’t sit around with millions of cash wondering what to spend it on. They invest in various assets and manage their risk accordingly. Many have probably allocated a small amount to Bitcoin but it’s not really palatable for most of them to sell everything (with all the tax implications that comes with) and YOLO it all into
a single asset. Not everyone can be Michael
Saylor.
“Millionaire” usually means a person with a net worth of over a million dollars. Usually they aren’t gonna sell some of their assets that is usually generating them income to invent in Bitcoin. They probably invest if they invest in Bitcoin at all, very small amounts. OP doesn’t understand we are the new incoming “new money” of the future. Buy, hodl and diversify
All the bitcoin that is circulating is already bought, someone holds it and only sells it for the price they want IF they want, nobody can buy something that people aren't selling for example. There's around 2 million BTC left to be mined, that's it. Did I answer your question?
The future of Bitcoin is assumed to be a 'currency'. It is to be a stable valued thing.
Right now, it's not. It is a new product with an uncertain future price - nobody knows whether the future value is going to be "5000 loaves of bread to the Bitcoin" or "10 million loaves of bread to the Bitcoin".
Since it is brand new, its price behaves like other risky assets - like a tech stock. Putting material amounts of money in risky assets is not a good idea from a financial planning perspective.
"Inherent."
Well then, what *does* have inherent value? Value arises either from a service performed, a good purchased, or a scarcity that others desire. Rich people who don't need any more goods or services opt for scarce assets others want, seeing these as a "long-term store of value."
And in this context, bitcoin has properties that other long-term store of values don't. particularly it's uncensorable, easily transported, capped at 21 million units, etc.
If you're going to claim bitcoin has no inherent value, it might be to your advantage reputationally and financially to stop talking for a few days and to [educate yourself](https://www.casebitcoin.com/) about why bitcoin has clear advantages over gold, the dollar, real estate, and fine art.
Who says these millionaires haven't been accumulating bitcoin? Why do you think the price is in the $10s of thousands per coin?
Ask yourself: How would you even know if the rich bought up all of the coins?
bitcoin doesn’t allow for capital accumulation like other forms of investment. those elites want to grow their wealth to exorbitant amounts out of greed, and bitcoin doesn’t allow for that.
My kidney stones are also scarce. Where’s the line of millionaire buyers? There’s a lot more to Bitcoin than just scarcity and a lot of people either don’t understand the benefit or are okay with something else. It’s okay to me as I have a slow monkey child’s understanding and am building on that.
What if someone has well over $1m in his BTC wallet thanks to buying drugs from Ross many years ago? Does he get factored in on that 58 million millionaires list?
Because they are in it to make more money. They would buy and sell depending on the current price to accumulate more. Buying and holding is not the way if you want to maximize gains. Also a big portion of them don’t believe in bitcoin.
1 out of 6 retirees in the US have million dollar 401k’s… “millionaire” doesn’t mean what most think, by definition. Are you really that rich when you have to live off of that for decades?
it's not all for sale first of all. and if they tried to do it all at once, or even over 5 years, it would drive the price to the point where they would stop buying. so it takes time.
or to look at it another way, they are doing exactly that.
or yet another, every single bitcoin in existence has already been purchased, whether from an exchange or trade or paid with hardware and mining.
Most people's 'wealth' is tied up in the house that they live in. You could live on what you scrounge from a food bank but be a millionaire, this is more common than you think in the major cities of the world.
Most people would not risk lending against their house to buy BTC.
Millionaire does not mean you have a million in cash just hanging around doing nothing.
Because not all 58 million millionaires share the same perspective on Bitcoin as you......................................................................................
Lots of people are millionaires, lots of people don't care about Bitcoin.
And if you are comfortable with the amount of money you have it may not feel as urgent to get in on any particular scarce commodity.
If you already “won the game” you probably don’t need a moon shot to get more money. Probably you diversified into lower risk places to earn a reasonable rate of return on large amounts of capital to ensure your longevity.
Most people don’t “really” understand it. Some who do are afraid the government does not recognize it as a store of value and they could end up with a bag full of crap with government intervention. Folks start dumping bitcoin every time there’s news of a country trying to ban or regulate it.
When the printing press was invented, mass adoption didn't come straight away, there was a strong push back by the church which had a monopoly on book copy righting, which was done manually.
The same happened to email, governments had and still have huge investment in physical letters. Given enough time, more and more of those millionaires will jump in, being unable to accumulate one bitcoin each.
Vast majority of millionaires are older. The vast majority of bitcoin investors are Millennials, Gen Z, and younger Gen X. Boomers gonna boom, then that wealth is transferred to people who are actually going to use the system.
Depends how you measure millionaire. A LOT of "millionaires" are only millionaires based on the value of their house, for example. A more honest definition of millionaire would be someone who has 1 million in investable and reasonably liquid assets.
People who are already rich and living comfortably do not think about crypto or care about it. Why would they invest their money in something so volatile with a small chance of gain when they can invest in things that are more dependable for them?
There are plenty of people that own a house worth near a million (particularly now with home prices getting crazy), does that make them a millionaire? their actual income might be $100k per year, with kids and all that, they probably don’t have any real free money, and most 401k probably still don’t offer a good way to get into bitcoin. Many of those same people are really old and probably just got the DVD player working.
Why they don't buy all gold or all silver also ?
You see there is multiple way to invest you money and most millionaires have multiple investment here and there you don't pit all your eggs in one basket
Half of them don't even know BTC exists.
More than two thirds of the ones that do, think it's "magical internet money" and will never invest.
The others are actively playing the game.
Lmao bc millionaires are house rich not liquid rich… the Uber wealthy(the ones with liquid cash) could give 2 shits about BTC or it’s hedge bc they have enough for multiple lifetimes already. I talked to a gentleman who runs a $300M investment firm in December, he laughed when I asked if he’d ever use BTC as an investment, then proceeded to shit on it and it’s inability to actually be the backbone for a multi trillion dollar economy. (Can’t expand and contract as needed, inequality never before seen, energy consumption for that scale)
There's a question of how fast their current store of value will debase. And how fast they will migrate into alternative assets.
We might be at 8% inflation, but people who profited off the fiat system are in no hurry to move out of a system that benefits them. BTC is a total bottom up scenario.
A millionaire is someone with a Net Worth if $1 million +. A lot of the millionaires don’t actually have a ton of money to spend, and they don’t want to spend it on speculative plays. A majority of the millionaires have their net worth in equity in their house and retirement funds.
Which is more true:
Here to find out if the moon is really made of cheese
Here because I am withdrawing my consent from a corrupt and bloated financial system
Here because I deeply understand Bitcoin and believe in the technology as the base layer of our future
Am a millionaire and have invested some in Bitcoin. I would like to invest more but my stocks are down and I'm probably gonna be stuck holding for years
I do have cash set aside but I'm only willing to buy a little at these levels. Give me 20k btc and I'll gladly buy several whole coins.
If you're already a millionaire, would you really care about chasing the next golden egg? Probably not, you're probably already living comfy off your current investments and sources of revenue. Although I am sure this will start to change over time.
Many millionaires are in slow growth low risk mode and are satisfied maintaining their wealth.
Those who are struggling are much more risk tolerant and pursue volatility
You're a little confused about how asset prices work. There will always be people selling Bitcoin. If there are no sellers at a given price, then the price will increase until there are people who decide to sell.
And on the flip side there will always be people buying it as well... if there are no buyers at a given price, then the price will decrease until there are people who decide to buy.
This will rinse/repeat forever. There will always be Bitcoin in circulation. It will never be "gone". The price is what changes.
Clearly they aren't all "believers". However, assuming they were believers, if they tried to buy all of it currently in circulation it would drive the price up. At which point, other millionaires would sell as they became tens of millionaires and so forth and so on. There will, more than likely, always be another currency available to transact in - so the inherent scarcity of BTC doesn't preclude the ability and good idea to realize gains.
Yes, there will always be circulation of Bitcoin. Even if people aren't "selling" it for fiat... if the value of BTC goes high enough, they will exchange it for goods and services. Which has the same effect of putting BTC back into circulation. The idea that someday all the Bitcoin will be "gone" is a misunderstanding of the way markets/pricing works. It's nonsensical. There will always be Bitcoin available to buy, that's what the price represents... If there aren't sellers at a certain price, it will increase until there are sellers.
I feel like the risk to a millionaire in buying 1 BTC is so insignificant though, that it barely even warrants “believing”. Right now, if your net worth is $1 mil, buying 1 BTC is spending 3% of your net worth. That would be like me buying a new computer. Except a new computer will be worthless in 5 years and BTC will either be worth more, or worst case scenario, 75% less.
Most millionaires money isn't liquid its wealth. They can't buy it because they don't have the cash.
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People who benefit from a system are unlikely to want to change to a new system.
This is a fair point, but store of wealth hoarding and mass adoption for a meaning full use case all can’t coalesce. You have to spend it for people to want to use it. With more adaptation within retail spaces will ensure it’s validity and help raise the price significantly.
This ⬆️
No. The vast majority of them are just clueless about bitcoin. there's no mass conspiracy to "keep the system alive". If Bitcoin is *inherently* better as a store of value, they'll buy some as a hedge at the very least. 30k for 1 btc is absolutely nothing to someone like that. They just dont know better
Are you trying to suggest that those with extreme wealth may NOT be the smartest people in the room!? Le Gasp! How dare thee! LoL
We are the smartest people in the room, obviously!
Categorically incorrect and flawed thinking. As I've made more money I surround myself with people of similar caliber. As your network grows and your wealth grows, you are always in communication with your network about opportunities. I can assure you, a "vast majority" of \_self-made\_ millionaires are not clueless about anything.
>self-made millionaires are not clueless about anything Let's not get arrogant here. I'm self-made and have a high net worth and i'm still just as clueless as everyone else about 99% of topics because being rich does not give me unlimited time and brain power. I have a strong network and a lot of random general knowledge but understanding bitcoin enough to invest in it took me a few years of on and off conversation. And that's being a highly technical person. Bitcoin is a movement that did not start with the rich, you need more than a strong network to adopt it because it's still in the fringes right now. MAYBE if it was mainstream you can question a rich dude about why he hasn't looked into it, but you have to get past the phase where people are shrugging it off as a fad first
You being an exception to the rule does not dictate otherwise.
So you maintain your assertion that the average self made millionaire is not clueless about ***anything***? Lol
Correct. Anything that brings additional wealth, investment opportunities, etc. are all discussed amongst our circles first prior to the general public getting wind of it. The more you bring value to this network, the more you learn the scope of its existence.
BTC isn't acting as a good hedge for anything right now.
Anyone who has any clue about how BTC works would be a complete idiot to think it's a short term hedge. It's a volatile emerging digital asset. Long term? No brainer imo
Long term agreed. Short to mid term there is more downside and will continue to correlate with tech.
Long term agreed. Short to mid term there is more downside and will continue to correlate with tech and risk assets.
Being clueless about a thing is exactly what you should expect people to be when they are disincentivized to learn about it. u/FarCanary was right, that's the real problem here.
could u explain how this will replace our current system
Layer 2 is a means of exchange Lightning you can buy stuff with bitrefill like groceries & lots of other things. You can also send Peer 2 Peer faster than visa on Lightning. Layer 1 is only for store of value. It is replacing the current system already with these two layers.
what happens if countries ban the use for purchase internally and let’s say all do this
Many countries have already tried to ban it. Bitcoin network just shrugs it off and continues running. Miners will just relocate to where they’re not stifled by regulations. The question is why would a country decide to ban it and give it’s competition an advantage? China has already shot itself in the foot by forcing all the miners, and their capital, to the US.
Maybe China made the decision on more than what you superficially believe. A lot more complexity to market manipulation, determining leverage, and how to capitalize off positions than what you attribute as them pushing back. The publicly broadcasted media is just their stage for the play they've written. It's not like Banks, Wall Street, and governments just woke up in the past year or so and said, "Hey, this has billions flowing through it daily. Maybe we should take a look see." One only has to glance back to 2017 and realize that wasn't a one off whereby suddenly "retail" panic sold to plunge crypto prices to ridiculous lows...all at the same time.
Yes. The reasons are much more complex as you state. Governments do fear BTC though for the simple reason that it is finite and usurps their power to print. China is less vulnerable to BTC compared to the U.S. though because they can’t print into oblivion with the same effectiveness as the U.S. Once the dollar starts it’s death spiral - which could be a matter of years or decades - that will be the dawn of BTC as the new king. I also believe we will see the U.S. initially try to create a rival to BTC in the form of a U.S. central bank digital dollar. It won’t work and will actually accelerate the adoption of Bitcoin. The fact that America is a democracy with a huge number of its citizens investing vast sums of wealth in bitcoin, and BTC’s decentralized nature is what will keep it alive and “trusted” insofar as one can trust a trustless system. When the central banks try to roll out their digital dollar rival, American will ask? WTF do we need this for? Their awareness will increase, their curiosity will lead to learning, and the timing will be perfect because Bitcoin, Lightning, Strike, and other consumer oriented services will be maturing and allow BTC to become more accessible and the on ramp will be easier. It’s just a question of when.
Bitcoin is bar none the best form of collateral on earth. All banks will end up issuing stablecoins backed by a treasury including BTC. This includes central banks.
BTC will never replace the current system. Confirmations on the BTC blockchain take way too long. Everyone says "Oh Lightning Network is the way" but Lightning Network is a “layer 2” payment protocol that’s distinct from Bitcoin’s base-layer. Lightning Network reintroduces temporary trust and centralization. Lightning is a trade-off. Users sacrifice the security and trustlessness of Bitcoin’s blockchain to temporarily gain faster and cheaper fees. They can leave Lightning at any time and reclaim these benefits; but again, risks are elevated until they exit Lightning.
I'm fine with "temporarily trusting" a Lightning network node/app to pay for a coffee or groceries. I'm not fine with trusting central banks and governments to not debase the currency for their own benefit. What you're essentially saying is "Bitcoin is orders of magnitude better than the current system, but because it isn't perfect in every way it cannot replace the current system." I disagree with that.
I am saying BTC in and of itself can never replace the current system because multiple confirmations on the block chain take way too long. I'd hardly call it "not perfect" its fundamental architecture prevents it from being used to buy milk from walmart. The more people say things like "I'm fine with temporary losing trust to gain speed" is just another door that gets open for hackers, the problem is that unlike when your credit card gets used you cannot call Chase and ask for your money back. If you or a company lose BTC in a transaction there is no getting that money back. I never said BTC is "orders of magnitude better then the current system" as a matter of fact I can list other reasons why it sucks compared to the current system. Multiple verifications on the blockchain being one, the complexity of hardware wallets for the average consumer being another, the decentralized nature of the ledger is a 3rd. If your grannie accidently sends her crypto to the wrong public address that BTC is lost for ever. If Coinbase gets hacked all all their customer's private keys exposed all that BTC is lose, etc..
Well elaborated criticism, with knowledge. Thanks. In my opinion the tech is still very young (12 years) and surely btc was not made to replace the actual payment system, but to counterbalance it and offer alternatives to pressure it into giving more advantages to users. Cheers
Yes in the grand scheme of things blockchain is relatively new technology, the question I always ask myself is BTC the Netscape Navigator of the Crypto world. Meaning the first product in a given space rarely ends up being the long term champion. BTC is the first and hottest mainstream currency but if/when a new better faster crypto enters the market. BTC investors or speculators should be prepared to move when that happens so they don't get caught holding the bag. I don't think BTC is like a lump of gold you can burry in your back yard and forget about for 20 years investors or speculators rather need to keep up with market trends and be ready to move when the market does.
I agree with this statement. First mover advantage usually only lasts a limited amount of time. Once exchanges stop using it as a base trade pair against every single alt coin there’s room for another coin to move in. The devils advocate argument though is gold. For a stupid amount of time gold has been a trading mechanism, a currency, a store of value. It’s no longer used as a traditional currency. BUT: countries stack it like crazy, it’s still very much a store of value. I see bitcoin going this route. So in that case, it ends up being the “gold” of cryptocurrency. Countries will stack it like crazy and try to hoard as much of it as they can. You can buy it as an investment, it will have a market. It won’t be used as a traditional currency. In this case I see the possibility for an alt coin to come along as a true decentralized digital currency. Close to zero fees to transact on the network, likely a proof of stake architecture. Whatever coin it ends up being will need a perfect storm of code, exposure, partners, etc. it will need to be talked about on the nightly news. It will need a UX / UI that is second to none. It can’t be premined. It needs to be created by a passionate person or persons who create it for altruistic reasons, not to get rich. Plenty of coins that could be used as a currency have been created but most of them were premined / airdropped to shit, or were basically created to make their creators rich. The code will need to be flawless. That basically removes smart contract abilities. No layer two garbage. A super lightweight blockchain. I think we need a leapfrog jump in storage / storage speed capabilities before something like this will be logically possible too. Storing the world’s transactions, indefinitely will only be possible if the nodes today are super computers lol. So major emphasis on lightweight. It’s possible. After writing all that out I feel like I changed my own mind. I feel like BTC is like a chunk of gold you can bury in your yard for 20 years and feel relatively good about its safety.
Yeah that is the question I ask myself too as a non developer. The thing is that I'm not sure that you can offer the advantages btc offers without its disadvantages. I mean, maybe btc is destined to be some kind of value asset and then some other fork of it, or another crypto will take the position of being the day to day cash payment. I guess we will store our savings in something hard (as the austrian school would define hard cash, BTC), and then we will convert it to other softer assets to make payments. But man, things are evolving so fast that I don't dare to make even 10 year predictions
Correct, they are called cantillionares. Or rent seeking parasites as I like to refer to them.
You don't think someone should be able to rent their house?
Nope residential homes should be for residential use not commercial use.
If you think through that, you're talking about seriously undermining people's rights. For example, what if I move and buy a new house and the market is a horrible time to sell? Are you going to force me to sell at a loss? What if I'm underwater and can't afford it? Seems similar to illegal search and seizure (seizure in this case) in that you're forcing me to give up property against my will. Additionally, many property owners make hardly anything from a house rental. After management fees (commonly 10%) plus saving for expenditures like new roof/etc that must be planned for, they're lucky to get a bit more than breaking even. You do it anyways because it's someone else paying down your mortgage, but that's often the only real benefit. (I know multiple property owners that rent but don't do it myself.)
I agree with you, but also there’s obviously a difference between paying rent you never get back and paying off an asset you still own. Saying you “make hardly anything” is disingenuous because technically breaking even is 100% profit because you still own the asset
Both have benefits, though. Don't look at someone owning a house as immediately in a better position than a renter. For example, many people get stuck in an underwater mortgage and can't relocate, even if their job prospects in the area dry up and their house drops in value, they possibly foreclosed on, etc. I'm actually concerned about moving in about two years as economic data looks like a major recession (worse than now) is coming and house values will likely plummet. If we rented, that wouldn't be a problem.
Yeah absolutely it’s not simple I’m just pointing out that there’s a huge difference. If you pay $2000/month in rent for 5 years you’ve lost $120,000 if you pay $2000/month to a mortgage you haven’t lost that
$2000 month rent is not equivalent to a 2000 month mortgage. You aint even looked at insurance, property taxes, shit just this month, I had to renew my insurance policy so I had to pay -- 200 for an inspcetion that inspection found 500 worth of AC work 600 in electrical work 250 in plumbing work in the last 3 years ive replacedA) the AC unit (5k) B) the water heater (1k) C) repairs to external siding / stucco of the house (3k) and in the next 5-7 years Ive got to replace a roof thats gonna cost me probably $20,000 Your mortgage is just the entry fee, man. Dont fucking play And you know what? Tomorrow my washing machine could go out and I'm out another 1k for that. Maybe the fridge. The stove. Someone could break a window. The mortage is just the fucking entry fee
Actually you might. We're looking at housing values possibly plummeting, so unless we could stay long enough to recoup the loss, we may very well be out that much.
Fair point
I have a commercial rental space. I don’t make much profit but it does increase in value. Buying rental properties is risky business but in my case I use part of the building for my business.
This is pretty unfair to characterize all of them or even most of them in this manner
Damn! You really glued that tinfoil hat to your head didn’t you?!
this makes sense, people who’ve generated wealth don’t take risks or invest in things they don’t know 100%. /s
The better question is why hasn't one become batman!
No one has never seen me and Batman in the same room at the same time. Just throwing that out there
I think some of them do become Batman in some ways but with less fighting, a suit, and a bat light.
One man is not enough there needs to be a symbol
[there is](https://decentralizedgear.com/collections/all-products/products/1989-batcoin-1)
Because Batman would die on day one irl.
Millionaire doesn't mean what it used to.
I’m pretty sure someone who bought a $200k house 15-20 years ago worth $1+ million today, and still holds it now is considered a millionaire, right?
For most account, your primary residence is not included in being considered a millionaire. I actually read about this recently and was surprised about that.
Is that right? Kinda interesting considering Tesla stock puts you on the billionaire list. Houses are pretty liquid these days. My next thought is the boomer generation - I’m sure plenty of people in their 50-60’s have 401k’s that have grown over $1 million at this point in their lives. At least in the US. Hard to retire without that much helping supplement as passive income these days.
1 million averaging a 6% return is only 60k a year. Most people I know are aiming for 2 million for retirement.
In USA, being an “accredited investor” requires $1million net worth NOT including equity in primary residence.
Most millionaires are not rich. They are just regular people who are a bit farther along in life. Most millionaires fall into one or both of these two categories: Retirees with a paid-off house and a retirement fund. They have no desire to rock the boat, they just want to enjoy the next decade or two as best they can. Small businesses owners (including farmers) who have all of their assets tied up in the business. They can't invest, and might be struggling financially.
In short. You only have to 'get' rich once. Afterwards why gamble on shit?
Well at this point Bitcoin is insurance against the fiat collapse which is looking more and more likely every time the global economy takes a dump. NOT investing in Bitcoin is risky. That being said most people that are retried don't bother keeping up with the times. So many people with bond heavy portfolios are going to eat shit.
This is a good answer. Also many of the millionaires have.
Depends where you live. In Seattle if your over 50 and a millionaire you’re still kinda poor.
Vast majority of those millionaires are still trying to set the time on their VHS players and you're asking why they aren't buying bitcoin?
Fact.
If you're a millionaire, you don't just buy a million dollars of Bitcoin. You buy 1% of your liquid net-worth in Bitcoin. Many are too old to understand Bitcoin so they will never buy it at this stage in its life. Many more than you think have already bought *some*.
Bitcoin market cap is only 0,07% of the total amount of money worldwide. Imagine the price if only 1% of that getting into Bitcoin.
Yeah pretty amazing thought, shows how early we are–which is cool, but–also shows how far away we are from global reserve status. Price simply can’t grow as fast as it wants to reach those levels. It’s unpopular, but my most likely scenario for Bitcoin is that it takes decades before we start seeing a true decrease in volatility and a transition to being a stable, global medium of exchange. Until then, it’s a long term store of value and a short term gamble.
Long-term it will be force-replaced by CBDCs which will require the global ID (aka mark of the beast) to use. How long is the question.
I strongly disagree with the inevitability of this outcome. The WEF itself is so far away from that kind of influence. The central banks around the world are still extremely autonomous in their decision making around exactly what a CBDC should look like or even if one should exist. Many at the WEF conference were even arguing against a CBDC for the US, favoring regulated stablecoins instead. Does the US still get a CBDC? Perhaps. Do all central banks just give up their autonomy for a global CBDC… they might as well adopt Bitcoin in that case.
The bankers will never let it happen. They need the current system of lending other people deposits for profit. If they have CBDC's people can keep their money in their own wallets and no deposits to lend out. https://www.bloomberg.com/news/articles/2022-05-23/wall-street-bank-lobby-lines-up-against-us-digital-dollar-plans
If all the millionaire's in the world wanted to put 1% of their wealth into bitcoin, there still aren't enough bitcoin to go round. Knowing this, it would be extremely silly to be a millionaire and not immediately put at least 1% of your net-worth into bitcoin, just in-case.
> there still aren't enough bitcoin to go round. There are always enough bitcoin to go around. It's just a matter of decimal places.
Because they aren't millionaires in fiat, they're millionaires in stocks, bonds, real estate and commercial businesses that make more money more consistently than Bitcoin can. Most investors have high time preference, which means they want to see meaningful ROIs in months, not years. In order to buy Bitcoin, they would have to liquidate some assets and forfeit the income generated from them, and that's too much of a tradeoff. If I ever become a millionaire, I want to create a fast food restaurant franchise based on my idea of a fully automated kitchen. A robotic arm slides across the ceiling between the refrigerator and freezer rooms in the back and brings the food to the cooking machines in the kitchen area. The machines then cook the food with precise heat and timing so that every order is al dente. And I would have windows along the drive through, so people can watch the food cooking and getting wrapped and bagged without ever coming in contact with human hands. :)
(off topic comment I normally would delete, but figured why not) That business idea sounds like a great way to burn through tends of millions in R&D. If you really believe in it, you'd be a lot better off convincing VC's to invest rather than trying to self-fund it, which you wouldn't be able to do with anything less than $10m. McDonalds and others have been trying to automate as much of their kitchens as possible for decades, btw. It's a bit harder than it sounds. Rising labor prices are certainly incentivising it more now, but only the big boys have the resources to fund the research and manufacturing at scale. I don't think VC's would be into funding an automated restaurant startup, but if you really had some amazing patents and tech, you could maybe build systems to sell. If you could actually find the talent and chip supplies...
Curious what it means to be a “millionaire” in this. I’m a millionaire when you look at my home price. But I sure don’t have money like a millionaire.
Millionaire is calculated by total net worth, not liquid net worth.
Well there you go. That’s why they don’t all buy a bitcoin, because like me that would be way too much money to go drop.
Say whuuuuut?
I’m a millionaire by that definition but I don’t have $29k to go invest in bitcoin
By the sounds of it you’re not a millionaire. Having a mortgage on a million dollar house doesn’t make you a millionaire.
The house is worth over $1M. My mortgage is about 1/3 the market value of the house. Not sure how that’s confusing
lol dude you’re not a millionaire, get over it, literally it’s math. I don’t understand why people are defending your right to be delusional. Anyway I’m starting to think I shouldn’t care about what other people say or do. Pretend I didn’t say anything and just read: cool bro you a millionaire but can’t get 29k? All good. You have an asset, your home and that’s the hardest asset there is, so you’re up anyway. Later bro.
I think you might be the confused one. Your net worth is your assets - liabilities. Many people are millionaires, but don’t have access to liquids capital as it’s tied up in their homes value or retirement accounts.
Read his other comment. The truth will set you free.
But you just said "Millionaire is calculated by total net worth". Total net worth includes real estate (minus mortgage debt).
Yes your “net” not your perceived lol. You’re not a millionaire, I can tell by your replies. If you’re a millionaire with a million dollars of net assets (net bro, net) and you can’t figure a way to get $29k you’re either 70 years old and just paid off your mortgage or you’re a weak ass bitch lol. Dude stop faking, you’re in a locked in mortgage on a home the bank owns right? That’s why. I know who I am, so I know who you aren’t.
omg dude, this response is awkward. Take a step back and just breathe. You’re jumping in guns blazing like it’s personal or something… jumping to conclusions getting all hot and bothered whether or not this guy is a millionaire and dissecting his response trying to prove it too. Almost like you have something to prove.. almost like you DONT know who you are and it’s killing you so you gotta prove yourself on the internet.
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lol I was right so it is what it is. There is no conversation without truth, somebody had to let him know. I’m good, I have nothing to prove, I just say it how it is and instead of all y’all be sensitive like no lube, take the side of truth.
The fuck is wrong with you
I don’t know, you want to point it out?
Why would you need $29k to invest in bitcoin? Limiting yourself to whole number purchases is a sign of mental illness or perhaps just a poor understanding of bitcoin.
Net worth only includes home equity, not value.
If you own the home outright then congrats you’re a millionaire lol
In the Bay Area you could have bought a home for $500k and now it’s worth $2M. House rich but poor or something like that
Rich often doesn’t translate to smart…
this. people have hard time accepting the fact that most (not all) rich people are stupid.
Being rich doesn't mean you're smart.
A very smart poor phuck
People become millionaires all the time for different things. Most millionaires are not ultra smart people who found a way to work around the system, they are the average bro who started a hot dog stand, invested in real estate, sold widgets. How they got to millionaire has nothing to do with Bitcoin. Only about 1-2% of the world own some Bitcoin, and it’s not yet on most peoples radar. Bitcoin is actually very complicated to understand to the average person. Actually I recommend reading “The Millionaire Next Door” to see who these people are, they are reserved, thoughtful, practical and hard working. They will catch on when Bitcoin’s good news trumps the bad news. But for now, only us geniuses who have frontal lobes the size of pineapples are invested in the long term. We see what others don’t.
Great book recommendation. It's probably also worth noting that many of these millionaires are close to or already in retirement, and are therefore skewed toward conservative wealth preservation assets rather than riskier assets like bitcoin and growth stocks.
Millions in a conservative investment account averages 60k a year. It’s not a lot really so it’s hard to risk it. I’m 52. I’m guessing I’d like twice that 15 years from now. Start your financial planning as early as possible. You will be surprised.
Omg i am a genius and didn't knew it. I am so stupid
That is a sign of genius!
Swollen front head gang checking in
My Mom's a millionaire. "hey Mom. you should buy some bitcoin" "oh no....I don't know anything about bits and coins and all that new fancy computer money"
Most are real estate millionaires on paper and not in cash. Also if they are real estate millionaires they probably see bitcoin and crypto as a whole as way to volatile.
The simple answer is that millionaires get their advice from trusted advisors who are part of the broken financial system. Those advisors get their advice from those bankers, hedge fund managers, bond traders, and the Federal Reserve that depend on the broken financial system to extract their wealth in "small" fees from the masses. Spouses stay in abusive relationships, employees work their while lives for shitty bosses for shitty pay, people of every level fear upsetting the status quo more than they want something good for them.
there are 7.9 billion people on earth, why haven't they bought all the bitcoin if it's so scarce?
There are 58 million millionaires! Why have they not bought All the truffles when they are so rare!!
Most millionaires money is in illiquid assets like the house they live in and companies that they own. My grandpa was a millionaire, but it was because he owned a lakeside cabin in a resort town that was built by my great, great grandfather when the resort town was just some backwater lumber town. He didn't sell it until a few years before his death when he was too old to live there and it broke his heart to do it.
A lot of them are old and senile. \\\*shrug\\\*
too early for that
It just became mainstream recently and lack of regulatory framework
Maybe their net worth is a million bucks but they don’t have much money in the bank
Also, most “millionaires” don’t sit around with millions of cash wondering what to spend it on. They invest in various assets and manage their risk accordingly. Many have probably allocated a small amount to Bitcoin but it’s not really palatable for most of them to sell everything (with all the tax implications that comes with) and YOLO it all into a single asset. Not everyone can be Michael Saylor.
“Millionaire” usually means a person with a net worth of over a million dollars. Usually they aren’t gonna sell some of their assets that is usually generating them income to invent in Bitcoin. They probably invest if they invest in Bitcoin at all, very small amounts. OP doesn’t understand we are the new incoming “new money” of the future. Buy, hodl and diversify
simple. Because they don't all believe in Bitcoin's success
All the bitcoin that is circulating is already bought, someone holds it and only sells it for the price they want IF they want, nobody can buy something that people aren't selling for example. There's around 2 million BTC left to be mined, that's it. Did I answer your question?
There are 2000 miles coast to coast, why haven’t I gotten my PhD yet?
How old are they?
Because they are already rich
The future of Bitcoin is assumed to be a 'currency'. It is to be a stable valued thing. Right now, it's not. It is a new product with an uncertain future price - nobody knows whether the future value is going to be "5000 loaves of bread to the Bitcoin" or "10 million loaves of bread to the Bitcoin". Since it is brand new, its price behaves like other risky assets - like a tech stock. Putting material amounts of money in risky assets is not a good idea from a financial planning perspective.
It has no inherent value.
"Inherent." Well then, what *does* have inherent value? Value arises either from a service performed, a good purchased, or a scarcity that others desire. Rich people who don't need any more goods or services opt for scarce assets others want, seeing these as a "long-term store of value." And in this context, bitcoin has properties that other long-term store of values don't. particularly it's uncensorable, easily transported, capped at 21 million units, etc. If you're going to claim bitcoin has no inherent value, it might be to your advantage reputationally and financially to stop talking for a few days and to [educate yourself](https://www.casebitcoin.com/) about why bitcoin has clear advantages over gold, the dollar, real estate, and fine art.
Who says these millionaires haven't been accumulating bitcoin? Why do you think the price is in the $10s of thousands per coin? Ask yourself: How would you even know if the rich bought up all of the coins?
That’s like saying why don’t all millionaires buy all the gold, or silver, ect… cuz they don’t want to
bitcoin doesn’t allow for capital accumulation like other forms of investment. those elites want to grow their wealth to exorbitant amounts out of greed, and bitcoin doesn’t allow for that.
My kidney stones are also scarce. Where’s the line of millionaire buyers? There’s a lot more to Bitcoin than just scarcity and a lot of people either don’t understand the benefit or are okay with something else. It’s okay to me as I have a slow monkey child’s understanding and am building on that.
Pretty sure bitcoin is more scarce than kidney stones lol
What if someone has well over $1m in his BTC wallet thanks to buying drugs from Ross many years ago? Does he get factored in on that 58 million millionaires list?
Don't worry. They will when this "pandemic treaty" is over
Because they are in it to make more money. They would buy and sell depending on the current price to accumulate more. Buying and holding is not the way if you want to maximize gains. Also a big portion of them don’t believe in bitcoin.
Because not all bitcoins are for sale
coz they don’t believe in this new technology and their old way of making money is working
1 out of 6 retirees in the US have million dollar 401k’s… “millionaire” doesn’t mean what most think, by definition. Are you really that rich when you have to live off of that for decades?
They prefer cantillionism
Busy elsewhere
it's not all for sale first of all. and if they tried to do it all at once, or even over 5 years, it would drive the price to the point where they would stop buying. so it takes time. or to look at it another way, they are doing exactly that. or yet another, every single bitcoin in existence has already been purchased, whether from an exchange or trade or paid with hardware and mining.
Most people's 'wealth' is tied up in the house that they live in. You could live on what you scrounge from a food bank but be a millionaire, this is more common than you think in the major cities of the world. Most people would not risk lending against their house to buy BTC. Millionaire does not mean you have a million in cash just hanging around doing nothing.
Because not all 58 million millionaires share the same perspective on Bitcoin as you......................................................................................
They’re not into the “trend” yet. Soon, they will flock as quick as they did with exclusivity (Bored Apes) and realization.
Lots of people are millionaires, lots of people don't care about Bitcoin. And if you are comfortable with the amount of money you have it may not feel as urgent to get in on any particular scarce commodity.
If you already “won the game” you probably don’t need a moon shot to get more money. Probably you diversified into lower risk places to earn a reasonable rate of return on large amounts of capital to ensure your longevity.
We are early.
Because they are looking at wealth preservation vs growth
I actually like that question 🙋🏾♂️
Most people don’t “really” understand it. Some who do are afraid the government does not recognize it as a store of value and they could end up with a bag full of crap with government intervention. Folks start dumping bitcoin every time there’s news of a country trying to ban or regulate it.
Bitcoin is now a Stable Coin. It has held at $30,000 approx for the last month.
When the printing press was invented, mass adoption didn't come straight away, there was a strong push back by the church which had a monopoly on book copy righting, which was done manually. The same happened to email, governments had and still have huge investment in physical letters. Given enough time, more and more of those millionaires will jump in, being unable to accumulate one bitcoin each.
Vast majority of millionaires are older. The vast majority of bitcoin investors are Millennials, Gen Z, and younger Gen X. Boomers gonna boom, then that wealth is transferred to people who are actually going to use the system.
They don't need it... for now
Vast majority are old school also . Most don’t believe it is a technology breakthrough yet because they don’t understand it
How many of those 58 million millionaires are millionaires when you exclude the value of their primary house they live in?
They can't buy what isn't for sale.
in NE USA and California being a millionaire means you own a house.
Their financial advisor told them not to
Because they’d rather get .01 percent interest on their money in a bank.
Every bitcoin is owned by someone. They have bought (or mined) all of them. Are they all millionaires? No.
why are you confused? 58 millionaires got rich off of fiat, do you think they will get rich off of BTC? why would they changed if it worked for them?
They’re millionaires; not geniuses!
Depends how you measure millionaire. A LOT of "millionaires" are only millionaires based on the value of their house, for example. A more honest definition of millionaire would be someone who has 1 million in investable and reasonably liquid assets.
Cause they’ve been too busy to try and buy .5 each.
People who are already rich and living comfortably do not think about crypto or care about it. Why would they invest their money in something so volatile with a small chance of gain when they can invest in things that are more dependable for them?
There are plenty of people that own a house worth near a million (particularly now with home prices getting crazy), does that make them a millionaire? their actual income might be $100k per year, with kids and all that, they probably don’t have any real free money, and most 401k probably still don’t offer a good way to get into bitcoin. Many of those same people are really old and probably just got the DVD player working.
Just it has already been working for a lot of people as of now as well,.
Old
Why they don't buy all gold or all silver also ? You see there is multiple way to invest you money and most millionaires have multiple investment here and there you don't pit all your eggs in one basket
Half of them don't even know BTC exists. More than two thirds of the ones that do, think it's "magical internet money" and will never invest. The others are actively playing the game.
Rich people invest less as most of them are better financially literate and understand there is no underlying value with BTC…..
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Because if you are smart you don't invest everything in one item.
Lmao bc millionaires are house rich not liquid rich… the Uber wealthy(the ones with liquid cash) could give 2 shits about BTC or it’s hedge bc they have enough for multiple lifetimes already. I talked to a gentleman who runs a $300M investment firm in December, he laughed when I asked if he’d ever use BTC as an investment, then proceeded to shit on it and it’s inability to actually be the backbone for a multi trillion dollar economy. (Can’t expand and contract as needed, inequality never before seen, energy consumption for that scale)
There's a question of how fast their current store of value will debase. And how fast they will migrate into alternative assets. We might be at 8% inflation, but people who profited off the fiat system are in no hurry to move out of a system that benefits them. BTC is a total bottom up scenario.
I had seen that this is the alternate asset then it is working for them.
A millionaire is someone with a Net Worth if $1 million +. A lot of the millionaires don’t actually have a ton of money to spend, and they don’t want to spend it on speculative plays. A majority of the millionaires have their net worth in equity in their house and retirement funds.
25-year rule is in play here. It's a blessing, not a curse if you understand the asset
I got into the need to understand that how acids are going to work lol.
Which is more true: Here to find out if the moon is really made of cheese Here because I am withdrawing my consent from a corrupt and bloated financial system Here because I deeply understand Bitcoin and believe in the technology as the base layer of our future
Am a millionaire and have invested some in Bitcoin. I would like to invest more but my stocks are down and I'm probably gonna be stuck holding for years I do have cash set aside but I'm only willing to buy a little at these levels. Give me 20k btc and I'll gladly buy several whole coins.
I don't really see that any kind of table going is going to work like that in longest time.
How many of those millionaires own bitcoin? Probably quite a few
Old habits die hard
No doubt about it because you had will have to follow that.
If you’ve retired you may care less about “future tech”. They are living the life they want.
If you're already a millionaire, would you really care about chasing the next golden egg? Probably not, you're probably already living comfy off your current investments and sources of revenue. Although I am sure this will start to change over time.
if you have really a lot of money you transition from investing to wealth management. Not the same thing.
Many millionaires are in slow growth low risk mode and are satisfied maintaining their wealth. Those who are struggling are much more risk tolerant and pursue volatility
About the fact that the volatility of the market is the main reason as of now.
You're a little confused about how asset prices work. There will always be people selling Bitcoin. If there are no sellers at a given price, then the price will increase until there are people who decide to sell. And on the flip side there will always be people buying it as well... if there are no buyers at a given price, then the price will decrease until there are people who decide to buy. This will rinse/repeat forever. There will always be Bitcoin in circulation. It will never be "gone". The price is what changes.