After a lot thinking, reading, and researching, last week I completed putting my savings into Bitcoin. I did it over a span multiple weeks (following the dollar-cost averaging strategy). I haven't told people that they know me about this, and not planning to (for security reasons). Here is my thinking about why I did it and things that I considered:
- I'm debt free and have no responsibilities (not married, no kids, etc.), so for me the time is right.
- I came across crypto first back in 2017, I was interested in the technical side more than the finical side. Bought a little back then, never sold it. Seen it dropped more than 50% in the short term and gained more than 200% in the long term. In the long term, it increases.
- I'm in it for the long term (minimum: 10 years, maximum: forever).
- There will be never more than 21 million Bitcoin. That's scarcity, scarcity has value.
- Bitcoin adoption is increasing rapidly.
- Everything in life has a risk factor, for me holding a fiat currency in a bank that is losing value and purchasing power due to inflation is riskier than buying Bitcoin.
- I did my homework about crypto and security back in 2017 (private keys, cold storage, etc.), so jumping in is technically easy.
- I kept 1 year worth of expenses in fiat.
- I have a full time job so even if the price goes to zero I can start over.
- I'm a skilled software engineer so even if I lose my job I can find another one or do freelancing.
After all, maybe I will be wrong, and yes, maybe I will lose it all, but I'm willing to take my chances. The important thing for me is that I feel good about my decision.
Disclaimer: this is not a finial advice by any mean, I'm just sharing my experience. Everyone's life and circumstances are different, and never put what you cannot afford to lose.