The wealth-building thread

[Plcamp]

I have moved as I age into higher % dividend paying securities, and paid more attention to tax and estate planning…such that maximum wealth is retained even after we exit.

So far it’s worked. We live below our means now, and after tax and inflation have been growing.

I fear that can collapse from fiat effects.

 

[Ingenieur]

I never set goals, that would imply priority or importance.
I set rules, that if followed will improve my financial health.
The $ will be a consequence, not the reason.

Work hard in a job you like.
Never turn extra work down.
Be frugal, sacrifice, save something every month.
Incur debt only for a home or car, save enough down payment to prevent going in upside down.
Max out 401/IRA, at least to matching limit.

More important imo, learn to say no...to yourself. Being raised poor helps in 2 ways:
$ means nothing since you never had any
You can be happy without it

I plan on leaving nothing behind other than making my wife secure. It only causes problems. Family infighting over $ is common, no one ever thinks it will happen to them, but it does. I started out with zip, my kids had a good start, no college debt, $ for a home down payment.

I never understood this $ centric society.
Especially considering when you're sucking your last breath you'd spend every $ you have for one more. A lifetime of 'wealth' for a few seconds and a liter of air. lol!

 

[Chromatischism]

So which ones are the good ones?

Edit: Saw you mentioned a few options later in the thread. Will be watching Etherium out of pure curiosity to see if it hits 9k in January.

I don't think that will happen in January. We'll need some patience.

 

[Ingenieur]

So which ones are the good ones?

Edit: Saw you mentioned a few options later in the thread. Will be watching Etherium out of pure curiosity to see if it hits 9k in January.

3700 to 9000 in 3 weeks?
Those projections will drive the price up.
We have gone from
Brick & mortar to
Paper to
Digital

Less and less real value

The governments need to regulate this and tax it. A lot of people are going to lose money when it implodes, and it will. You can only kick the can down the road so far before the ponzi collapses.

 

[Chromatischism]

3700 to 9000 in 3 weeks?
Those projections will drive the price up.
We have gone from
Brick & mortar to
Paper to
Digital

Less and less real value

The governments need to regulate this and tax it. A lot of people are going to lose money when it implodes, and it will. You can only kick the can down the road so far before the ponzi collapses.

That word has been beaten to death. Ethereum is not a Ponzi any more than the stock market.

 

[levimax]

That word has been beaten to death. Ethereum is not a Ponzi any more than the stock market.

I agree the crypto market is not a Ponzi scheme. A Ponzi scheme is one where someone lies about their returns and uses "new money" taken in with the promise of high returns to give to older investors and needs to continue to attract new investors to stay afloat. https://en.wikipedia.org/wiki/Ponzi_scheme What ever crypto turns out to be it is not that, Bernie Madoff was the most recent well know Ponzi scheme.

 

[raistlin65]

That word has been beaten to death. Ethereum is not a Ponzi any more than the stock market.

Right. They are more akin to penny stocks.

Nothing wrong with speculating on them if someone doesn't mind the risk. Not a good investment, though.

 

[Ingenieur]

That word has been beaten to death. Ethereum is not a Ponzi any more than the stock market.

Well, a bit more.

Produces nothing
Offers no service
Sole purpose is to generate speculative investing
Likely contributing to tax evasion, criminal activity, money laundering, terrorism, with no known association to the $ manipulated.

To each their own.

 

[Ingenieur]

Right. They are more akin to penny stocks.

Nothing wrong with speculating on them if someone doesn't mind the risk. Not a good investment, though.

Or shorting mortgages
That you hold


My professor

Kortanek Kenneth Otto | Physics Conference 2022 | Conferenceseries Ltd

Kortanek Kenneth Otto is Visiting Professor, The University of Pittsburgh since November, 2003. He published over 134 refereed papers and guided 24 PhD students towards completion. He received tenure at Cornell University in Ithaca, New York in 1968, and have held a professorship in mathematics...

physics.physicsmeeting.com

He said I was one of the best students he's had. So perhaps not a good judge of skill sets. Lol

Biography​

Kortanek Kenneth Otto is Visiting Professor, The University of Pittsburgh since November, 2003. He published over 134 refereed papers and guided 24 PhD students towards completion. He received tenure at Cornell University in Ithaca, New York in 1968, and have held a professorship in mathematics for 17 years at Carnegie Mellon University in Pittsburgh, and a Murray Professorship at the University of Iowa in Iowa City for 16 years.

Research Interest​

Computational Finance, Optimization, Technical Analysis

 

[Ingenieur]

I agree the crypto market is not a Ponzi scheme. A Ponzi scheme is one where someone lies about their returns and uses "new money" taken in with the promise of high returns to give to older investors and needs to continue to attract new investors to stay afloat. https://en.wikipedia.org/wiki/Ponzi_scheme What ever crypto turns out to be it is not that, Bernie Madoff was the most recent well know Ponzi scheme.

What backs a bit coin?
What causes the increase in value?
It sells more widgets?
Produces more food?
Builds more structures?
Creates music, movie, entertainment?
At least Facebook/Google/etc. generates ad revenue
It's a money video game.

It's related to the power it wastes to mine them.
It's environmentally harmful with 0 benefit.
Scam is more appropriate.
A ponzi involves real money

Speculative investing
Criminal tool
A means to circumvent financial regulation

 

[Chromatischism]

Right. They are more akin to penny stocks.

Nothing wrong with speculating on them if someone doesn't mind the risk. Not a good investment, though.

Not a good investment, hmm. *Looks at Ethereum performance over the last 6 years*...yeah, looks like it would have been life-changing money to me.

 

[Chromatischism]

Well, a bit more.

Produces nothing
Offers no service
Sole purpose is to generate speculative investing
Likely contributing to tax evasion, criminal activity, money laundering, terrorism, with no known association to the $ manipulated.

To each their own.

The only person who writes a post like this is someone who's never even looked into blockchain and smart contracts so has made no attempt to understand how it works.

 

[Chromatischism]

What backs a bit coin?
What causes the increase in value?
It sells more widgets?
Produces more food?
Builds more structures?
Creates music, movie, entertainment?
At least Facebook/Google/etc. generates ad revenue
It's a money video game.

It's related to the power it wastes to mine them.
It's environmentally harmful with 0 benefit.
Scam is more appropriate.
A ponzi involves real money

Speculative investing
Criminal tool
A means to circumvent financial regulation

I suggest you do more research if you really want to understand this. You are making the exact same mistake that Buffett and Munger are making in their dismissals of the tech.

People dismissed the internet, too.

 

[Ingenieur]

I suggest you do more research if you really want to understand this. You are making the exact same mistake that Buffett and Munger are making in their dismissals of the tech.

People dismissed the internet, too.

I understand it.
Just checking to see if you do. I see you don't.

Buffett has made 100 billion mistakes.
Not sure you are qualified to judge his financial acumen.

But thanks anyways

 

[Ingenieur]

The only person who writes a post like this is someone who's never even looked into blockchain and smart contracts so has made no attempt to understand how it works.

I understand:
A bunko mechanism for speculative investors which makes nothing, comforts criminals, hides taxable income, wastes resources, and performs no useful function.

Hey, it's your money
Go for it

 

[Ingenieur]

For all we know this could be a Chinese intell op. Didn't Mao say we will defeat with the $ not the bullet?

Around the year 2017, over 70% of the hashing power and 90% of transactions were operating from China.

It's a good scam, coins aren't depleted until 2140. Every 4 years the reward for solving the puzzle is halved doubling the worth.

One operation at one time controlled >51% of the hashing power. Now only 40%.

If we wanted to wreck havoc van it, get the IMF to do the same. Never allow it to be converted to government currency without taxation.

That day not be far off.
It's already happened in some places.

 

[elvisizer]

For all we know this could be a Chinese intell op.

how would chinese intel benefit from speculation on cryptocurrencies?

 

[Ingenieur]

how would chinese intel benefit from speculation on cryptocurrencies?

Not buying it or investing.

By starting it and controlling it: mining most of it and driving the price up.

All for burning piles of coal, which they have tons of.

They could spend it in ways that are undetectable.

If they want, crash it.

There is no way 70% of the hashing and 90% of the transactions could be happening in China without government involvement.

I would be disappointed if US intell was not mining in an effort to crack into the system, perhaps get the distributed ledger. Or mine funds for off the book ops.
Try to find out which criminals/terrorists are using it.

They are:

CIA Works on Crypto-Focused Projects: Bolstering Blockchain Units?

The intelligence community seems to be widely interested in applying blockchain technology for crime-fighting.

finance.yahoo.com

Funny, all private cryptocurrency is illegal in China. But not governmental.

Beijing court rules bitcoin mining contract 'void' | TechCrunch

As crypto investors widely know, China has declared all cryptocurrency transactions illegal and outlawed crypto mining activities. Lately, a court

techcrunch.com

 

[Ingenieur]

State cryptocurrency has become mandatory.

UK intelligence agency concerned over Chinese Renminbi for its likely negative effects on global transactions - Times of India

The Government Communications Headquarters (GCHQ), UK's intelligence and security organization recently raised serious concerns with respect to the possible control of China through its digital renminbi. GCHQ fulfills the duty of securing information of the UK. and coordinating the cyber defense...

m.timesofindia.com

 

[raistlin65]

Not a good investment, hmm. *Looks at Ethereum performance over the last 6 years*...yeah, looks like it would have been life-changing money to me.

Hindsight is 20/20.
Basic principle of investing: Past performance is not indicative of future results.