Last month I had two posts about starting to build up my retirement plan. If you missed them, you can read them here:
The Final Plan
Since then I had time to look around and weigh my options and because this is a long term project, safety is key here. This is why investing in the two main cryptocurrencies seems the best option. It'll be decades till I reach retirement age (based on state set standards), so the plan must be bullet proof.
After some thinking I decided to invest $10/week, or let's make it easier, $40/month.
My plan is to invest half in BTC and the other half in ETH. ETH is getting more and more important and very soon it'll be equal to BTC in some ways.
Today I made the first payment, have bought 0.001233 BTC with approximately $40. Due to problems related to transferring cash and converting on Binance, I had to opt for BTC only, as this option was the only good one, without paying extra fees. But I'm not going to stop here. This month I'd like to also buy $40 worth ETH to make it even and next month I need to make sure to have USDT on Binance to be able to buy both assets.
The beauty of these assets is volatility, which gives me a certain degree of hope that my funds will be worth much more in the future, but as the price evolves upward, I will be able to buy less and less with $40/month. When BTC reaches its ATH, this month's investment will be worth double and I would be able to buy 50% less BTC with $40. This is why at some point I'm going to have to increase my monthly investment and in the meantime hope this sideways phase lasts a little bit longer, to be able to accumulate more at this price.
This wallet is a separate one, not part of my spot or long term hodl wallet, so it's add & accumulate only. The value of the wallet will be updated constantly, but that's all.
There's a golden rule in crypto (among many others) that says don't invest your retirement funds and I want to live by this rule. The purpose of the retirement fund is to keep you safe when the time comes, so no gambling with the money. The only thing that I see fit in this situation is locked staking in a safe place, but I'm not going to chase high APY and risk my funds.
Unlike the obsolete state retirement fund system, I can buy my assets anytime I want, or better yet, when the price is right. At the beginning of the month for example, or at the end, or I can invest in advance if I have spare cash. No one is stopping me and this way I can take advantage of a good price action in case the opportunity knocks on my door.
The other advantage is I can diversify my portfolio in time if I think it's a good idea. Times are constantly changing, at the beginning we only had BTC, now ETH is worth considering as well as it has everything it is needed to last in time. In a few years we're going to have more cryptocurrencies to rely on besides these two.
What's next is the most important in this plan. I have to be consistent and allocate the necessary $40/month, no matter what happens. There's no exception here. No matter what I have to give up on, this is No. 1 priority!
A few leofinance users have thought my plan is a good one, one that worth to follow. I encourage you to think about your future, set up a plan that works for you and start securing your future.
This year is an interesting one, the market is extremely volatile. I'm going to bet back to you with updates on my portfolio towards the end of the year, to see if my plan is a good one. Till then, stay safe and secure your future.
Posted Using LeoFinance Beta