Trading Bitcoin, Productive Assets, and Synthetic Dividends

1 year ago
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In this video, I discuss the risks of trading in and out of Bitcoin, as well as whether it makes post-tax sense to convert some of your Bitcoin holdings into a productive asset or an asset with yield, like stocks, bonds, rental properties, or businesses.

I also discuss how to create a "synthetic dividend" for any asset, including Bitcoin.

Just as it never makes sense to trade back into a hyperinflationary currency like the Turkish lira or Argentine peso, it probably doesn't make sense to liquidate your Bitcoin for USD.

Real estate, stocks, and bonds are great, but they are less portable and more subject to confiscation risks than Bitcoin. There is also the risk that they do not end up preserving your purchasing power as well as Bitcoin.

Bitcoin allows one to sidestep operational risk and confiscation, as well as elude regulatory risk thanks to Bitcoin's portability and confiscation resistance.

Bitcoin is the apex predator of assets. Moving out of it into anything else is more "di-worsification" than diversification, in my opinion.

Not investment advice! Consult a financial advisor.

The Dangers of "Taking Profits" On Your Bitcoin:
https://www.youtube.com/watch?v=TP-YgQ26hJs&ab_channel=BitcoinUniversity

Cash is much less stable than you think:
https://twitter.com/oicur12ru/status/1690760402848591872
https://www.visualcapitalist.com/wp-content/uploads/2021/03/Purchasing-Power-of-the-US-Dollar.jpg

Chart of Argentine peso to USD:
https://www.xe.com/currencycharts/?from=USD&to=ARS&view=10Y

Chart of Turkish lira to USD:
https://www.xe.com/currencycharts/?from=USD&to=TRY&view=10Y

If you sell any BTC, you might never get back in again:
https://twitter.com/luke_broyles/status/1690388268603396096

Bitcoin Matrix meme:
https://pbs.twimg.com/media/EYu_jJ1U4AAllbZ.jpg

I am not being paid or otherwise compensated by any company or cryptocurrency project that I mention in my videos. My opinion is not for sale. Please do not contact me with any affiliate or advertising deals.

#Bitcoin
#trading
#dividends

Disclaimer
Neither Bitcoin University, nor any of its directors, officers, shareholders, personnel, representatives, agents, or independent contractors (collectively, the “Operator Parties”) are licensed financial advisors, registered investment advisors, or registered broker-dealers. None of the Operator Parties are providing investment, financial, legal, or tax advice, and nothing in this video, on this YouTube channel, or at www.Trader.University or www.BitcoinUniversity.com (henceforth, “the Sites”) should be construed as such by you. This video, channel, and the Sites should be used as educational tools only and are not replacements for professional investment advice. Trading or investing in new and volatile assets like Bitcoin can be risky.

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