how to protect cash against inflation?

[FlirtLife]

I own a lot of Ethereum, second largest holding behind bitcoin, but completely disagree. They serve very different roles and Eth carries considerably more risk. With eth, we have no idea yet if it can scale or if proof of stake works. It also has a growing list of competitors and it carries considerable founder/corp/regulatory risk. Since you have to rely on people/corps that they will not become bad actors it really gets away of what is most important, decentralization. It is not nearly as secure or robust as BTC. On the other hand, Bitcoin is basically finished product and as is, the market cap can grow considerably. Any scaling or transaction issues can be solved on layers build on top of it. You do not have to trust a vitalik or eth foundation that they will do the right thing. Nobody can change the rules or has outsized catastrophic influence. In fact when there is a large stressor, like China ban, the network adapts by natural market forces that cause the network to a become more robust. I believe Bitcoin will be the foundation of the entire eco system and everything else will constantly evolve and change. It will be trusted foundation that can always be reset to and able to rebuild.

Anyway, this is just my opinion and things could very well play out differently. That's the great thing about investing, you can allocate to where your beliefs lie and your return is your report card. Buffet has some great insights but like everyone else they have thier own strengths and weakness's. Just have to determine what parts are useful

I agree Bitcoin's proof of work is proven, unlike proof of stake (which ETH transitioned to recently). Bitcoin is the established leader - there's an ETF that tracks the Bitcoin Futures market. But that doesn't extend to Lightning or potential added layers, which require separate trust and verification. Someone can trust Bitcoin, and not trust Lightning, for example. I would also point to the Bitcoin Core Team as centralization, especially since the members (last I checked, years ago) all worked for the same start-up.

Ethereum has something similar, I believe, "EF". But it's my understanding Vitalik owns 0.0% of ETH currently, so trust in the co-founder of Ethereum is not required. Etherum has been in 2nd place for long enough that the competition has an uphill battle, to say the least. If you want to mention specific coins we can discuss that, or not as you prefer. I haven't followed competing coins closely.

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For others who read my posts and think of buying crypto, keep Dogecoin in mind. It's one of the most well known crypto currencies... and does nothing. It was created as a joke. There are thousands of crypto currencies even riskier than Dogecoin - buyer beware.

 

[EyeBRollin]

Do you have links to an authoritative source, or not?

Link already provided. What do I know though? Only about half my neighbors moved from NYC to NJ.

 

[jaygreenb]

I agree Bitcoin's proof of work is proven, unlike proof of stake (which ETH transitioned to recently). Bitcoin is the established leader - there's an ETF that tracks the Bitcoin Futures market. But that doesn't extend to Lightning or potential added layers, which require separate trust and verification. Someone can trust Bitcoin, and not trust Lightning, for example. I would also point to the Bitcoin Core Team as centralization, especially since the members (last I checked, years ago) all worked for the same start-up.

Ethereum has something similar, I believe, "EF". But it's my understanding Vitalik owns 0.0% of ETH currently, so trust in the co-founder of Ethereum is not required. Etherum has been in 2nd place for long enough that the competition has an uphill battle, to say the least. If you want to mention specific coins we can discuss that, or not as you prefer. I haven't followed competing coins closely.

---
For others who read my posts and think of buying crypto, keep Dogecoin in mind. It's one of the most well known crypto currencies... and does nothing. It was created as a joke. There are thousands of crypto currencies even riskier than Dogecoin - buyer beware.

I really like Eth and think there is a lot of potential upside, I own a lot of it, just two completely different types of allocations in my opinion. If a nation, individual, pension fund etc wanted to park their money somewhere for 10-20yrs in cold storage. You can safely assume that the rules will be the same, you own the same percentage of the network and you have avoided any risks from bad actors or marginalized by another tech company out competing you. The beauty and lower risk profile is in its simplicity and decentralization. There isn't a person, group or company to use as an attack vector. Everything in the space can fail like FTX, yield products and potentially lightening network and you can always revert back to Bitcoin in cold storage. Without the foundation being able to be corrupted you can always rebuild. Those qualities in my opinion make it a much better candidate to be a global reserve asset. If the base of the entire eco system can be corrupted, everything else goes down with it.

Eth like all software has to constantly change and evolve to be competitive, maybe it is a great success but also carries the risk that does not. You also do not have the benefit of knowing what percentage of the network you will own 10-20yrs from now. The network can look completely different a decade from now and that unknown is a risk.

By far, I think ETH is the best bet for an L1, the point I'm trying to make is you have many companies trying to supplant it. Nobody else is really trying to be Bitcoin. ETH also had a massive premine where groups/people received a benefit that only certain people/groups can benefit from. As opposed to Bitcoin, it was set free into the wild and everyone had the opportunity to mine. This is why it is the only one classified as a commodity currently. Its growth was entirely organic with no marketing department.

To sum it up, I look at Bitcoin as a digital reserve asset/commodity and Eth more as a software/tech company. Love both, just different.

 

[Sigmapocalypse]

Gold, silver, firearms, ammo, land, food, water, tools, trucks, generators/solar, garden etc etc. Tangible assets.

 

[FlirtLife]

Link already provided. What do I know though? Only about half my neighbors moved from NYC to NJ.

I stand corrected - you provided a link to a Forbes Home article citing 2019 data. Where I get confused is how that 2019 data relates to the net change in people moving in or out of New York.

"The latest data shows that 58,664 people made the move to the Garden State during the year of the study, 2019."

When residents move out of New York, they most often head to these 5 states, data shows

Researchers analyzed the latest available state-to-state migration information from the U.S. Census Bureau.

www.silive.com

 

[EyeBRollin]

I stand corrected - you provided a link to a Forbes Home article citing 2019 data. Where I get confused is how that 2019 data relates to the net change in people moving in or out of New York.

"The latest data shows that 58,664 people made the move to the Garden State during the year of the study, 2019."

When residents move out of New York, they most often head to these 5 states, data shows

Researchers analyzed the latest available state-to-state migration information from the U.S. Census Bureau.

www.silive.com

Metro NYC real estate will always be valuable. The cycle, as been for decades is:

US Immigration + Transplants from other states + Births = NYC population growth

Decline = Outmigration to neighboring states & Florida (retirement)

If you live here long enough you’ll know that most of the in-migration to NJ, Western CT, and Northeast PA comes from NYC. That’s why despite the alarmist articles, real estate in NYC-metro is always a good bet.

 

[jaygreenb]

Metro NYC real estate will always be valuable. The cycle, as been for decades is:

US Immigration + Transplants from other states + Births = NYC population growth

Decline = Outmigration to neighboring states & Florida (retirement)

If you live here long enough you’ll know that most of the in-migration to NJ, Western CT, and Northeast PA comes from NYC. That’s why despite the alarmist articles, real estate in NYC-metro is always a good bet.

This issue with NYC now is they are losing affluent residents who pay a lot of taxes and some are being replaced by low skilled immigrants who will not contribute tax wise nearly enough.

New York City has lost 5.3% of its population — about 468,000 people — since the beginning of the pandemic, and many are setting up new homes down south

That's 1 in 20 New Yorkers gone.

finance.yahoo.com

‘House of cards waiting to collapse’: This major hotel company just wrote off San Francisco, stops payments on 4-star properties due to 'major challenges' — will others follow suit?

Is it a bad sign for the entire market?

finance.yahoo.com

 

[EyeBRollin]

This issue with NYC now is they are losing affluent residents who pay a lot of taxes and some are being replaced by low skilled immigrants who will not contribute tax wise nearly enough.

Wrong. Affluent residents in NYC are not static. NYC grows affluence. The ones who leave are replaced. Who do you think is paying those ridiculous real estate prices?

 

[jaygreenb]

Wrong. Affluent residents in NYC are not static. NYC grows affluence. The ones who leave are replaced. Who do you think is paying those ridiculous real estate prices?

Wrong, pretty naive. Says 5.3% of population left since covid. Real Estate is a lot more complex than population movements. Last few years was mainly pushed by record low rates and mass amounts of stimulus.

 

[EyeBRollin]

Wrong, pretty naive. Says 5.3% of population left since covid. Real Estate is a lot more complex than population movements. Last few years was mainly pushed by record low rates and mass amounts of stimulus.

The article is garbage. It cherry picks March 2020 until July 2022, and falsely links the decline with Southern state migration. I’ve already posted the correct data; which is that top 5 NYC migration states are NJ, FL, PA, CA, and CT. This has been the same for decades. But go ahead and keep wishing for a decline that won’t happen. Try buying Metro-NYC real estate right now. Properties aren’t even staying on the market for a week.

 

[jaygreenb]

The article is garbage. It cherry picks March 2022 until July 2022, and falsely links the decline with Southern state migration. I’ve already posted the correct data; which is that top 5 NYC migration states are NJ, FL, PA, CA, and CT. This has been the same for decades. But go ahead and keep wishing for a decline that won’t happen. Try buying Metro-NYC real estate right now. Properties aren’t even staying on the market for a week.

I never referenced that past couple decades, the entire time I only talked about last couple years. That is when the shifts started to happen. You have to learn how to use relevant data, maybe one day. I will pray for you

 

[EyeBRollin]

I never referenced that past couple decades, the entire time I only talked about last couple years. That is when the shifts started to happen. You have to learn how to use relevant data, maybe one day. I will pray for you

Im in the market for real estate as we speak. Try buying in the metro-NYC area. They don’t stay on the market longer than a couple days.

 

[jaygreenb]

Im in the market for real estate as we speak. Try buying in the metro-NYC area. They don’t stay on the market longer than a couple days.

Again, because real estate is selling doesn't mean people haven't moved or changed behavior. Markets are complex and have many variables

 

[jaygreenb]

Blackstone Announces Major Asset Liquidations As Redemption Requests For Its REIT Continue

Blackstone real estate investment trust (BREIT), which recently made news for exercising a clause that restricted owner withdrawals for several consecutive months, has not taken the news lying down. Blackstone’s opportunistic funds recently announced the sale of $3.1 billion worth of its...

www.yahoo.com