Oddbean new post about login | logout My wife still hasn't thanked me for the thousands of hours I committed towards education to learning about Bitcoin. We've been struggling with the decision of trying to pay down the mortgage vs buying Bitcoin (to eventually sell to payoff the mortgage). The mortgage is the last thing in the way of financial freedom. She just said buy #Bitcoin. Still no thank you.
Lol I would’ve been stacking more debt with a HELOC to buy corn.
We are incredibly anti debt. It doesn't align with our values. It's not Christian.
But you still forsaked your values in getting the mortgage in the first place.
Our path to financial freedom was not an optimal one, but we've been able to pursue life from a position of financial strength. Bitcoin is presenting my family with the opportunity to change that for our future generations. One centered around investing in and developing community and multi generational family living.
The crazy thing is, bitcoin beats fiat so bad that mathmatically not optimal decisions won't cripple you over time.
Nothing gets paid off a day sooner than it has to anymore.
Makes no mathematical sense.
Finance is personal more than it is mathematical. A mathematical approach leaves one empty and unfulfilled, wandering without direction once the goal is reached from what I've seen. Had I continued that approach I wouldn't have found Bitcoin and I'd already be financially free. Instead, I have developed strong passions and a growing family within an amazing community. Life is significantly more free on this path for me.
Being deliberate about one's cash flow decisions is certainly advantageous, especially currently
wives shouldn’t have to thank their husbands for having a brain, being your wife is the validation.
She knew me well before I knew Bitcoin. She's seen the changes (good and bad) and has zero interest in the world of finance. Someone has to take the responsibility to claw families out of the fiat pit.
Thank you AC for going down the rabbit hole and educating yourself to make great low time preference moves for your family's future! Many of us have people in our lives that reap the benefits of our financial discipline and our delayed gratification...also, we get our moxie stress tested every few years as well. I'm sure she's appreciative of your efforts, and although she might not vocalize it, her actions demonstrate her commitment to you and your family, and you'll both enjoy a more prosperous life together because of your diligence.
I'm not begging for it. Just a tease of her when Bitcoin comes up 😉
What’s the interest rate on your mortgage? If the interest-rate on your mortgage is lower than the inflation rate, you are arbitrating the dollar. Basically, as the number of dollars it would take to buy your home goes up the value of the money you’re paying on the mortgage goes down.
I get the mathematical or engineering approach, but when it's literally the only thing in the way of freedom that changes things in my mind. You would have to save significantly more money according to the 4% rule to cover the mortgage than if you just pay it off and grow the gap between incomes and expenses. What you say is true, assuming inflation is what they claim it to be and wages keep up with inflation.
The CAGR on Bitcoin far exceeds interest rate on mortgages. Even a house with no mortgage continues to have a carrying cost. Its best to maximize BTC acquisition, and avoid paying debts faster as long as their interest rate is less than the CAGR'