# TLDR; Summary
This note introduces FITS (Financially Independent, Time Sovereign), a concept designed for bitcoiners as an evolution of the traditional FIRE (Financially Independent, Retire Early) movement. While FIRE has gained traction for enabling individuals to escape the "rat race" by accumulating wealth and retiring early, FITS redefines this goal under a bitcoin standard, emphasizing not just financial independence but also sovereignty over one's time.

Bitcoin’s unique properties, such as scarcity and resistance to inflation, position it as a superior asset for long-term wealth accumulation. Unlike FIRE, which typically relies on diversified investments in fiat-based assets, FITS leverages bitcoin's deflationary nature to provide a path to financial and time sovereignty. This document contrasts traditional FIRE strategies with the FITS method, detailing how bitcoin’s characteristics can be harnessed to escape fiat dependency and achieve a state where work is a choice rather than a necessity.

The note also provides actionable steps to get started on the FITS journey, covering everything from accumulating bitcoin through strategies like Dollar-Cost Averaging (DCA) to planning for withdrawals in a way that considers bitcoin's inherent volatility. By the end, readers will understand how to transition from merely surviving within the fiat system to thriving in a state of true time sovereignty under a bitcoin standard.

| **NOTE BEFORE YOU START** |
| --- |
| The links in the article may include referrals where the author of the article gets a small portion of the sales price for bringing the business to Amazon. Please consider using these links to support the author, or donate sats using SovereignOrigin@primal.net |

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# What is FIRE?

FIRE is abbreviated from “Financially Independent, Retired Early”. It’s a financial strategy and lifestyle adopted by many as part of the so-called FIRE-movement, where people aim to escape the rat race created by the fiat system.

At its heart, FIRE advocates for living below one's means by cutting unnecessary expenses and focusing on maximizing savings. Practitioners often strive to save and invest 50-70% of their income, leveraging frugality as a key tool. This disciplined saving is coupled with aggressive investing, primarily in low-cost index funds, to build a portfolio capable of sustaining them through the withdrawal phase. By optimizing both spending and income, FIRE adherents aim to accumulate sufficient wealth to retire decades earlier than the norm, shifting from a life dominated by work to one where personal passions and meaningful activities take precedence - without financial constraints. These concepts and approach to retirement were popularized by influential voices like Mr. Money Mustache.

While FIRE practitioners aim for similar goals as many bitcoiners, their means are not the same, nor are their methods. In both FIRE and traditional employment, work is often reduced to selling time for money—usually fiat currency that cannot preserve the value of one’s time. However, the underlying motivation for many seeking early retirement or bitcoin accumulation is the desire to achieve true time sovereignty, where one's time is no longer dictated by the need to exchange it for depreciating fiat.

| **EDUCATIONAL BIT** |
| --- |
| A fiat currency is government-issued money that is not backed by a physical commodity like gold or silver. Instead, its value is derived from the trust and authority of the government that issues it. The value of fiat money can be eroded by inflation, especially when governments print more money to cover deficits, leading to what many call 'fiat dependency. A great source to understand more about how fiat money came about is [The Creature of Jekyll Island](https://www.amazon.com/Creature-Jekyll-Island-Published-Griffin/dp/B00NBJGFD8?crid=3NJVV65YTZHID&dib=eyJ2IjoiMSJ9.eaTmU-Pgb2SYTyJxXgHlfZuNdD3U-WZvitDhDQM37VGYfeIVhjvcz9L2fSkJ9DpeX_bsYWZw4zEBpadZzOz2TjcNelY6CeJ60vk_y-Aqk68_GB-uQQAfk9Nec-KC03PuliIRw7EVE4CKsZqqlPHDd2O6Bw3lqYxDh1GRySjJsdIzKkjdYB3Gw-U0hMHkWbEP5-OvDEQ9T2-U4VLEH2-xeDwmYqgretbmpCHSCv6BM8g.Q08Cw47ipgZ_INx9-IHHpZ52nCGpquN_4clxEHvLWlU&dib_tag=se&keywords=the+creature+from+jekyll+island&qid=1724875624&s=books&sprefix=the+creature+from+jekyll+island%2Cstripbooks-intl-ship%2C175&sr=1-2&linkCode=ll1&tag=fitsblog-20&linkId=5aa3f178559c11b65178fc915c25d544&language=en_US&ref_=as_li_ss_tl). |

## Why FIRE?

People adhering to the FIRE movement principles aim to get out of the fiat rat race early. Their ultimate pursuit is to obtain financial independence, i.e. not being dependent on income from third party sources, such as an employer, or possibly even avoiding the need for self-employment.

While these strategies have proven effective for many, the traditional FIRE approach may not fully align with the principles that guide those invested in the bitcoin ecosystem. As we explore further, you'll see how the FITS (Financially Independent, Time Sovereign) method offers a fresh perspective tailored to bitcoiners, where financial independence is just the beginning of a journey toward true time sovereignty.

### What is the “rat race” we refer to?
The rat race is the need for any person to stay employed to maintain the ability to pay for their livelihood: food, shelter, healthcare, … and to do so against a backdrop of ever-increasing cost of living and monetary inflation, where the fiat money system offers only a broken money that does not allow one to store their wealth over time. Hence, a race where we are all rats in a wheel, designed to keep us running as long as possible.

For most people, the rat race lasts until legal retirement age, at which point the financial dependency moves from an employment to a (combination of) legal pension, pension plans paid by employers throughout their working careers, and savings or investments. Depending on the country one lives and works in, the balance between these so-called pillars can be vastly different. In some jurisdictions, the legal pension can almost guarantee a reasonable living standard after the legal retirement age, while in other jurisdictions the legal pension is nonexistent. Then, one is entirely dependent on their own ability to save and store their wealth over time, even necessitating continuing the endless drag of working life well past reason. Commonly, inflation will eventually render even reasonable legal pensions a poor income and necessitate minimum savings in order to maintain the same living standard after legal pension age as before.

The rat race pushes us all to keep up with rising costs and inflation as a byproduct of fiat dependence. Both FIRE practitioners and bitcoiners recognize the importance of escaping this cycle, but their methods diverge—FIRE adherents measure wealth in fiat, whereas bitcoiners measure time and value in sats. Accumulating bitcoin is not just a financial strategy but a path to reclaiming time sovereignty—preserving and appreciating time as a scarce resource, free from the constraints of inflation and fiat currency.

| **EDUCATIONAL BIT** |
| --- |
| Bitcoin offers an alternative to the rat race by providing a store of value that is immune to inflationary pressures. Bitcoin’s fixed supply offers a way to preserve time and labor value, which is increasingly attractive to those seeking financial independence. This alternative is explored in-depth in [The Bullish Case for Bitcoin](https://www.amazon.com/Bullish-Case-Bitcoin-Vijay-Boyapati/dp/1737204118?crid=1DIRVMVSVZVMO&dib=eyJ2IjoiMSJ9.8JSZ4Yv_EFmKJAtEdF544ZCMuYEXqyTmFjcsFNJ2cJyrbXyqISu450um8kmx1PfDLtBPlsjDE2RX6mXzbXMmmfh1vAVnvREsduG6zquwMTmtQHC77ScrvYxHLuyqEKcXrVxv2-ceG7wvu1MUuje1ilsbDs4FaQNaU-7qe_T8folwNeDWJWBzzuA71gF5tN-bHSI1zFfXKckaModrUp2mSisH5BcbEKDGcDocTS7tvWg.lh8FoVlOsW1QsIFUGJa8wRKtxXzpaB-PlGO9r77bIJo&dib_tag=se&keywords=the+bullish+case+for+bitcoin&qid=1724875679&sprefix=the+bullish+case+%2Caps%2C166&sr=8-1&linkCode=ll1&tag=fitsblog-20&linkId=02b0acf64bd431356c538721b4dfa77b&language=en_US&ref_=as_li_ss_tl). |

| **EDUCATIONAL BIT** |
| --- |
| A “sat”, or satoshi, is the smallest denomination of bitcoin, 8 places after the comma: in other words, 1 bitcoin is equal to 100,000,000 sats. |

With this we conclude the treaty of the first portion of the FIRE moniker: Financial Independence. The FIRE movement aims to reduce the remarked dependency and ensure one can be wholly independent of outside funding sources.

Now let us review the second part of FIRE: ++early retirement++, where financial independence is a clear requirement to retire before the legal retirement age.

## What is retirement?

It must be noted that “retirement” as a concept is understood by most people as a withdrawal from the workforce, i.e. no longer *selling time for money* as part of any (self-)employment. It benefits us here to take a side-step and say a few words about work.

### What is work?

We don’t mean the physics definition involving energy expenditure but rather the commonly used meaning in human language. Often work is used to refer to employment, i.e. a job. From Marriam Webster, work is defined as an “activity in which one exerts strength or faculties to do or perform something: … that a person engages in regularly to earn a livelihood”. Without work, no livelihood. We must work! Remember the rat race.

Roughly around adulthood, in most places in the world, one is expected to start contributing to society in two major ways; (1) through employment and spending time for the benefit of others in the community and (2) through taxation, such that government can decide for some pre-allocated percentage of the salary where to allocate this resource for the “common good” - hence the employee automatically losing control over the resulting wages for that percentage of their time spent. Note discussion of the true cost of taxation is outside of the scope of these writings. It does raise the question of work as a productive endeavor.

We pose that employment is (by design) not intended for the benefit of society; instead, it is for the benefit of the employer. Nobody will pay more than the value that was produced during the employment. There is a profit motive. All value produced is owned by the employer. One could claim that if companies persist, there must be a demand for their products or services. However, we would argue that the incentives do not often align between society and corporations, or their shareholders, either. In fact, many companies can go on - indefinitely on a fiat monetary system - as a so-called “Zombie” company on cheap debt through stock and bond issuance, and credit lines. Such companies should have gone under in a free market, however government intervention (subsidies and taxes, preferential policy, price controls) cause manipulation of demands for goods besides the cheap credit. Shareholders clearly do not profit from bankrupt companies they own, so they rather see these monetary interventions.

Returning to the core position, for the employee, the only material outcome obtained from employment is the monetary reimbursement, not the effective product. This is not to say the job content cannot be (thoroughly) enjoyed by an employee - that would be the best case. The reality is that any job is simply selling time for money - usually, fiat money, unable to store the time and energy expended over time.

For bitcoiners, work is a means to build personal sovereignty rather than merely a way to survive within the fiat system. By focusing on accumulating sats instead of fiat, individuals can align their work with personal values and long-term goals, transforming it from a necessity into a path to freedom. This shift means that work becomes an investment in future time sovereignty, allowing them to eventually choose work as an optional pursuit rather than an obligatory one. This concept is further deepened in [The Sovereign Individual](https://www.amazon.com/Sovereign-Individual-Mastering-Transition-Information/dp/0684832720?crid=1G5TMXXSI38E0&dib=eyJ2IjoiMSJ9.Ytm5t69XZawP_2jAD388HJuZu5z4KV1bipfJh_HKkqQr76KRzGZJ3WLzu2fhjsjo13vJh4X535UyHyJkw1xm2V2zJmaXt4nshho-tyhxdNGV_Y9ntqmaAuZjUR2dPhbY1W0aXoccJyzSPArzehw182Qyl3yCyHX6BsiscvzZtH2RklWRoy5AeMpAlh9WpdwUZulyYdOIEtvvLM-tbeHtcNnnIuxhUmfjpctp2FU3aj8.6eT8TwmBT_U9Ekt97kiPYZSsCbwj7iQj3GvlShgDJWc&dib_tag=se&keywords=the+sovereign+individual&qid=1724875730&sprefix=the+sovereign+ind%2Caps%2C176&sr=8-1&linkCode=ll1&tag=fitsblog-20&linkId=fcc1a9fbf8a45943a2d5a71a9ce0c89d&language=en_US&ref_=as_li_ss_tl). As a result, people could also transition to spending a smaller portion of their time for “work”, which in the rat race is very often not an option. Employees in full-time roles would prefer an improved work-life balance over salary - in other words, if financial obstacles would be removed - see [this study by Aviva](https://www.aviva.com/newsroom/news-releases/2022/08/work-life-balance-overtakes-salary-post-pandemic/).

### Does the FIRE movement aim to stop working?

While for some FIRE practitioners, the common definition of work and retirement indeed apply, it is our understanding that most FIRE practitioners do not necessarily uphold the same concepts of work and retirement. While indeed the aim is to no longer be occupied in a job, retirement is rather defined as a phase in their lives where they can focus entirely on creative, productive activities from which they stand to  benefit themselves: the fruit of their labor, the personal growth obtained, or the satisfaction of seeing a certain task addressed. This is understandable: the goal of FIRE is to retire early, so there is lots of time ahead to spend on such creative, productive activities.

Indeed, often FIRE practitioners are naturally drawn to create value for the local community’s needs they are a part of, when money is no longer required to be on the table as a reward.

So here, then, is the conundrum. If you don’t stop working, are you technically retired? It seems to us the real underlying motivation is to become fully independent of others (sovereign) with regards to time expenditure. Hence, the proposal to drop the FIRE moniker and move over to FITS: financially independent, time sovereign.

### Defining Time Sovereignty

It is often said “the only thing scarcer than bitcoin is time”. In other words, a bitcoin standard motivates one to become Time Sovereign, which implies upon retirement one can decide what to do with their time, no longer answering to any employer demanding them to fulfill tasks that do not align with their own benefit.

Hence it is crucial to stress the novelty of this over the traditional FIRE definition of retirement. We escape the rat race with the goal of owning our future time, besides our financial future. On a bitcoin standard, defining that future time as “retirement” is a conceptual gap that this introduction of FITS aims to close.

In other words, when one is Time Sovereign, it doesn’t imply one to retire (early), but rather to choose the work (and the amount of it) that you want to do. "Value" isn't produced without work, even subjective value. People who are actively engaged in producing value after retirement tend to thrive more than those who are passive or have no productive goals.

So, when considering retirement in the context of bitcoin, the human aspect of work is invigorated by recognizing the fulfillment it can bring, especially given the choice to spend time on the work is entirely one’s own, and the outcomes and benefits are for the worker themselves. Thus, the FIRE pursuit of creative, productive activities for one’s own benefit aligns well with a bitcoin standard where time sovereignty is the goal. A common trend among financially independent bitcoiners is the pursuit of endeavors that add value to others, driven by personal motivation rather than directives from an employer.

Having established that bitcoin is suitable for wealth building and obtaining time sovereignty, where this is the true “retirement” goal for bitcoiners, let’s dive into how bitcoin accumulation is the first simple step towards this goal.

Before we move on to the bitcoin standard and how FITS would look on one, let’s dig into the methods used by traditionalist FIRE practitioners to reach their goal.

## The FIRE method

The FIRE practitioner will first accumulate wealth in order to live off the wealth during the withdrawal phase. Let’s explore these two phases and the general methods and principles used.

### Accumulation phase

#### Live below your means and fast-track your career

The first important “method” of a FIRE practitioner is to drastically reduce their living expenses. Everything goes onto a budget and all items are critically reviewed for necessity. After scrapping all items not strictly required, items that persist are reviewed for alternatives; from cheaper housing, alternative mobility options, ….

Then, everything left-over is allocated to investments. Typical savings rates of 40-60% are not unheard of. This disciplined saving is coupled with aggressive investing, primarily in low-cost index funds, to build a portfolio capable of sustaining them through the withdrawal phase. As detailed in '[Your Money or Your Life](https://www.amazon.com/Your-Money-Life-Transforming-Relationship/dp/0143115766?crid=6EZHTCESY00H&dib=eyJ2IjoiMSJ9.VILqOcJRq2hYAQ8_H2naoNkiT3GsYA0Dz6O0Ju0yY8WGPrGL_R-YYcHOx-phqtQ9isRsHCRFJBAnT56wsSXDSK38U_xfcr98l32jzFuIFg7VxymBewgeOtq_OT1CNWt7ClrB-4Zch1x5oCCJMhReV1DdNkgSvoaSm3caE7wkgzj5lHsEi0wva_QOZdsB0zbbkOfOrHXUvBifyrp8JG-5k9lvSfNokqF2PDWdsdI62V4.A6n7ofK4bDs8-vwsOtoqjZrqff5SRZ-GigvavygFQwA&dib_tag=se&keywords=your+money+or+your+life&qid=1724875762&sprefix=your+money+or+your+lif%2Caps%2C172&sr=8-1&linkCode=ll1&tag=fitsblog-20&linkId=55addb2df794fefa19080dd59b112b18&language=en_US&ref_=as_li_ss_tl),' this approach encourages individuals to carefully evaluate the trade-offs between time and money, pushing them towards a life less reliant on traditional employment.

This approach is a common topic of discussion in online communities like the [FIRE subreddit](https://www.reddit.com/r/Fire/). While FIRE practitioners typically diversify their investments across multiple asset classes, bitcoiners might view bitcoin itself as the apex store of value. In this way, a bitcoin-focused strategy simplifies wealth accumulation by reducing the need for traditional diversification.

Admittedly, very high savings rates may be mostly possible for people in lush FIRE circumstances: living with parents, co-housing, house-hacking, DINK, and/or dual-job WFH hacking. Note we do not wish to downplay these as possibly great ideas to accelerate FIRE, while acknowledging these may be severe sacrifices in living conditions not suitable for everyone. Then again, FIRE is not for everyone as it pushes the practitioner to extreme living standards.

Secondly, on the income side, the optimization is similarly made: side-gigs to augment income are common, and there is a general awareness in the community of the necessity for raises and promotions to raise the income pool. It is also common to continuously look for alternative employment options with the goal to raise the income.

In this context, it should be noted that it is not uncommon that the drive for high income will eclipse other items on a typical employee’s motivator wishlist such as meaningful work, recognition, autonomy, work-life balance or flexibility. Hence, it is not uncommon for burn-outs to occur during the FIRE trajectory.

In contrast to the above, those with a bitcoin inclination might instead prioritize accumulating bitcoin as their primary savings vehicle - we will dive in soon. Given bitcoin's unique properties as a deflationary asset, it offers an alternative path to wealth accumulation, potentially requiring less reliance on extreme frugality or career optimization.

| **EDUCATIONAL BIT** |
| --- |
| A deflationary asset is one whose supply decreases or remains fixed over time, leading to an increase in value as demand grows. Bitcoin is considered deflationary because its total supply is capped at 21 million coins, making it increasingly scarce as more people adopt it. A great source to understand monetary properties and how bitcoin differs from fiat money is [The Bitcoin Standard](https://www.amazon.com/Bitcoin-Standard-Decentralized-Alternative-Central/dp/1119473861?crid=ZUSC4GEE914H&dib=eyJ2IjoiMSJ9.EQ3Po26y381E7IdHhCqDMFHRJC9IoPv8fqm_9dPJEgVEAoVdacE9WIa-nUkKDOz1oJbMCTfCEK5COG8p6MDsMCxyibq9-YY7NkwYApX_8_C58Aaa6IYgn-7Ka2oO9_eiIPPj0oNZhw_fWW1FMIdCB8Cf_UOdy2HgbaRHvjjVFZsWpp0mX8xuYV1C2zWm6CjtU1VedJOn6ipHL_pFD0OQnCZg1rLgZ7bFlQac2ZncSRk.a1Yr8_ZTCzNyyPHhm3NesEnQdT8SBHwrglDWmCGPDnw&dib_tag=se&keywords=the+bitcoin+standard&qid=1724875796&sprefix=the+bitcoin+stand%2Caps%2C177&sr=8-1&linkCode=ll1&tag=fitsblog-20&linkId=bdf5a3e768095ae7531ad831b9de3f00&language=en_US&ref_=as_li_ss_tl). |

#### Diversification is king in FIRE

The investment portfolio for FIRE is essentially a lazy one: diversify into “the world”. Maybe take 80% world ETFs, 15% emerging-market ETFs, and sprinkle in 5% of picked stocks or CrYpTo if you’re feeling lucky.

Since global markets capture global liquidity, this is not a bad strategy in a fiat world. Money printed inevitably seeks yield, return on investment. Often the so-called “Cantillon effect” furthers this reality: when a government seeks to stimulate a certain part of the economy, it may print money to subsidize a particular industry. When said industry obtains this money they can opt to invest in capital, equipment, people, or do stock buybacks. In any of these cases, the stock value will go up, hence correlating to global liquidity.

| **EDUCATIONAL BIT** |
| --- |
| The Cantillon Effect refers to the phenomenon where the first recipients of newly created money (often financial institutions and the wealthy) benefit the most, while those who receive the money later (wage earners and savers) experience inflationary pressures without corresponding increases in income or wealth. This effect exacerbates wealth inequality. Named after Richard Cantillon in his foundational work “Essai sur la Nature du Commerce en Général“. An excellent recent source deepening the impact of the Cantillon effect on modern society and economics is [Broken Money](https://www.amazon.com/Broken-Money-Financial-System-Failing/dp/B0CG8985FR?crid=1D0GORC09INH4&dib=eyJ2IjoiMSJ9.Vs1A5Fp1qKk_32wykc7RoibGUbPqQwOtOfNhhjnxnrcJylPWy2_q-EofmEVlC2K0B8TzBKzEqOSolAZN2859X4Af9J4v7ZvBUwHCw10qX4lp0QL0-2iehwUhJRVIUDTKxxISMt0BEXcG8nQ3jabXPHg2izIqIs3DpNAIyb1_SD1qK4n3Mff2io_SmVra4pzXSP1q6BPG6ajs7KypwL0qGJVvXb0qv-8XPAvzxv9mnAU.VEL2shYflEfS1veE5zulL1P7bOEPjumpCNp6lh8IQVA&dib_tag=se&keywords=broken+money&qid=1724875828&sprefix=broken+money%2Caps%2C176&sr=8-1&linkCode=ll1&tag=fitsblog-20&linkId=6d277ba17540ce77d870cdb167048635&language=en_US&ref_=as_li_ss_tl). |

Secondly, if people (as opposed to companies) obtain direct hand-outs from government printing action, like stimulus checks, loan forgiveness programs, tax cuts or social programs, significant portions of these direct and indirect measures will also end up in bigger and smaller funds, again taking form as global liquidity and thus equity markets are directly affected.

Diversification is also touted as the way to go for FIRE since it simplifies the investment principle: buy “everything” and hold. Since global liquidity will go up, whether that money goes left or right, your portfolio is going up because you own a small percentage of everything. There is no need to study individual companies besides specific stock picks adopted mostly as a hobby. Diversification furthermore helps to sleep at night: global equities are not very volatile.

#### The FIRE “world wonders”: yield on yield and exponential returns
Time in the market beats timing the market. This common phrase is studied and applied within the FIRE ecosystem as holders are accumulating over a relatively long time period, typically 10-25 years, and remain invested throughout retirement.

So-called accumulating ETF funds do not pay cash dividends to investors but instead re-invest and further help grow the ETF fund value. This yield-on-yield incentivizes long-term holding.

Second, a percentage increase on a yearly basis translates to an exponential growth trajectory. Eventually, any such trajectory has a “doubling time”, which can be estimated by dividing 72 with the annual growth rate in %. For example, if an investment grows at 7% per year it has a doubling time of 10.3 years. This implies every 10.3 years, the investment would double.

The "point of no return" in the context of an exponentially growing investment refers to the stage where the investment's growth becomes so rapid and significant that the returns start to increase significantly beyond the initial investment. At this point, the compounded returns themselves become the primary source of growth, making the investment less sensitive to short-term market fluctuations or new contributions.

These two effects are often referred to as “world wonders” since for many starting out they are a discovery. Of course, they are nothing new and do require continuous growth to hold true. As the common disclaimer goes: results from the past offer no guarantee for the future.

In the context of a bitcoin standard, one might aim to live off the natural appreciation of bitcoin’s purchasing power instead, maintaining a steady bitcoin balance that continues to appreciate over time reduces the need for frequent selling, or eventually altogether for conversion back to fiat currency.

The principle of "time in the market", then, holds even greater significance. The mindset shifts from merely seeking exponential returns in fiat terms to focusing on the accumulation of bitcoin as a store of time. Stack sats, stack time. By accumulating bitcoin, you’re not just building wealth; you’re also securing more control over your future

Whether through traditional investing or bitcoin accumulation, the goal remains the same: escape the rat race. While FIRE focuses on doing so within the current system, bitcoiners seek a more radical departure by embracing a currency that defies inflationary pressures. For them, accumulating bitcoin is not just a financial strategy but a path to reclaiming time sovereignty, i.e. preserving and appreciating time as a scarce resource, free from the constraints of inflation and fiat currency. While FIRE adherents might still measure their wealth in fiat, subject to inflation, bitcoiners instead measure their wealth in sats and increase their purchasing power over time thanks to the power of absolute scarcity. This fundamental difference underscores the divergent approaches to achieving and maintaining financial independence.

### Withdrawal phase
A variety of retirement goals exist for FIRE retirees. First and typical,the retiree would like to be able to live until their death without being forced to go back to work. Second, an estate target is often defined, where the retiree wants to leave something to children, family, non-profit organizations, or personal philanthropic goals.

In the modern FIRE movement, various "flavors" have emerged, each catering to different retirement goals and lifestyle preferences. Among the most well-known are LeanFIRE, CoastFIRE, and FatFIRE. These variations primarily reflect (1) the desired living standard after early retirement—FatFIRE, for instance, targets a more luxurious lifestyle, necessitating a significantly larger accumulation of wealth; and (2) the approach to transitioning into retirement. CoastFIRE, sometimes humorously referred to as "BaristaFIRE," involves gradually easing into retirement by maintaining part-time work, such as a barista job, while allowing investments to grow over time until they can fully support retirement. While we won't delve into all these variations in detail here, a good resource for exploring the more common ones is the blog post "[Types of FIRE](https://moneymountaingoat.com/types-of-fire/)”.

Let’s now consider some typical risks that may occur during the FIRE withdrawal phase.

#### Sequence of return risk
Sequence of return risk denotes the risk that returns of the assets chosen for the portfolio are often not the same as the yearly average, that is, returns may be up one month, down the next, down another, before moving up again. If one downward move is exceptionally strong, you may have to withdraw much more than anticipated, leading to significant drop in future returns for that portion of the portfolio.

In case such volatile asset price actions are not part of your estimates, withdrawal periods may be significantly reduced and the retiree may face the consequences. We will revisit this topic later on a bitcoin standard, since, for bitcoiners, volatility is a way of life—as measured in fiat terms.

#### One-More-Year

A common pitfall is the uncertainty of when to start withdrawing from your portfolio and when to keep contributing to the portfolio. There are several reasons this could happen.

It could be due to poor planning (not actually meeting your target at planned date), perceived market downturn coming (bad time to start withdrawing), work addiction (remember we are pushing the career, step by step) or not having a plan for life after work (similar problem, different reason to stay on the grind).

As a result, FIRE participants often delay retirement well after the date they planned for. Some reasons are more valid than others. Good planning—with margin—and healthy work-life balance towards leaving the workforce are key to follow through on the plan.

#### Forced back-to-work

When already withdrawing, being forced back to work due to the risk of funds running out is devastating, and can occur when the withdrawal rate was chosen on the edge of “safe” in order to go faster.

Often, retirees at this point lack motivation, skills, and energy and may find their respective past companies or industry has moved on and they can no longer become active in their past employment without extra training. In this case, there is even the risk of having to take a lower-paying job and having to stay at it for significantly longer times until the portfolio value is safe from running out again.

This can happen when early in the withdrawal phase there is a significant market downturn or significant inflation that dilutes the value of retirement savings. Since FIRE supposes significant year-over-year real growth of the portfolio assets during the withdrawal phase as well, and where the “hockey-stick” yield-on-yield phase may have barely started depending on how fast people are pushing for early retirement, the first withdrawals are the most significant.

#### Unexpected future changes

Unexpected life events are problematic to plan for, because—well—they are unexpected. In case of, for example, family size increases, serious disease, and creeping increases in spending patterns over time, the risk exists that the portfolio may run out early.

For these listed reasons, from sequence of returns to unexpected changes, it is paramount to plan in a significant margin. A second general recommendation is to keep partial income during the start of retirement, for example a part-time gig or a job that is really engaging but doesn’t earn as much as the FIRE-accelerating high-earning job. Such a period can also allow the retiree to get used to being out of the rat race and adjust.

# An alternative: the bitcoin FITS method

## Introduction to FITS: FIRE on a bitcoin standard

First things first—why would a bitcoiner be interested in FIRE? Isn’t this all about separating money from the state and their ability to print more?

Well yes, of course. However, bitcoin remains a “number-go-up” technology and not only in $ terms but in purchasing power. Hence, whether “early retirement” of some sort or another is of interest, financial independence may inevitably dawn on your portfolio as time passes naturally. It is a race against the clock (another type of rat race?) to figure out what to do with your time once you reach time sovereignty.

Would the concept of retirement laid out earlier, as in non-work, be suitable on a bitcoin standard?

Specifically, in bitcoin, proof of work is a core concept, deeply ingrained as a value: do the work and prove you spent the energy before it will be valued. The same principle applies on a mathematical basis to the way bitcoin itself operates: compute the hash with a random number until you satisfy the difficulty requirement. If the network spends sufficient energy and time, the block subsidy and fees are awarded to the miner who shows the proof of work first. So would it be acceptable to just stop working a job?

It can be argued that this is a truly harsh and cold definition of work, where the human component is entirely removed and work is reduced to repetitive energy expenditure—very close if not purely aligned to the physics definition of work. As we have seen, a job could lead to fulfillment but is essentially selling time for money.

## FITS accumulation strategy: building wealth with bitcoin
In the FITS strategy, the accumulation phase centers around bitcoin. Here’s why bitcoin is uniquely suited for this approach and how you can effectively accumulate it.

There are several reasons why bitcoin and bitcoiners are suited for FIRE and would be naturally drawn to the mindset.

First of all, bitcoin is NGU technology by design: as long as governments print fiat, bitcoin will appreciate in fiat terms. It is easy to appreciate that bitcoin could be a vehicle to become financially independent. It has outperformed all other asset classes in the past 15 years, and its fixed-supply property of 21 quadrillion satoshi (21M bitcoin) is mathematically set for infinite appreciation. This deflationary nature underpins the FITS strategy, eliminating the need for diversification and focusing on time sovereignty through bitcoin accumulation.

Second, we pose that as a money alternative, bitcoin has exquisite properties for true financial independence: it is a decentralized and permissionless currency that is censorship resistant. It is true property, a bearer asset that can’t be seized or blocked. It is available in any country its holder would travel to without jurisdictional interference. This is true independence; no brokers, no banks, no governments.

Unlike fiat currencies, which are subject to inflationary pressures and government control, bitcoin offers a fundamentally different paradigm. In a world where value is measured in sats, bitcoin’s growing acceptance as digital gold and its decentralized, censorship-resistant properties provide a compelling case for why it stands apart as the ultimate store of value.

Finally, bitcoin is money for the long haul. Bitcoin is known for the ability to “transport energy over time and space”, where the time aspect is especially important in FIRE. Each satoshi saved today represents time and freedom gained tomorrow, underscoring the belief that in a world of finite bitcoin, time sovereignty is within reach for those who choose to stack and hold.

### Isn’t bitcoin completely contrary to the diversification principle?

Absolutely. Michael Saylor was famously quoted to have said “Diversification is selling the best chair you have to buy some chairs that aren't as good.” You only need one chair!

Alternatively, the key view that bitcoiners add to the portfolio strategy perspective is that globally the FIRE practitioners are solely trying to save money and using global equities as a vehicle for liquidity absorption to achieve this end goal. However, equities, real estate, land, bonds, and gold all have been monetized: some percentage of their capitalization has no bearing to the underlying value of the assets besides having no better place for people to store wealth. Thus, wealth flows to all these assets (including global markets) because there is no better alternative in the views of these investors.

Bitcoiners beg to differ: bitcoin is money. We no longer need to circumvent the issue of broken money and can instead rely on bitcoin as our single chair savings vehicle. Eventually, bitcoiners expect that bitcoin will demonetize all other assets; equities will fall back to their base value and appreciation rates not based on monetary inflation and government market meddling but instead good or bad business practices. Real estate can once again become buildings for people to live in, business to operate in, and communities to come together. Land can once again be owned by farmers to grow crops needed by locals, or locals could opt to own more land for this purpose at its marginal cost of utility. Bitcoin is the ultimate store of value, the single chair we only need one of. Eventually, when fiat dies, bitcoin can further be adopted as a medium of exchange alternative and grow into its third monetary role: unit of account.

If this sounds like utopia, it may be. It does not matter if bitcoiners are right eventually as long as we are directionally right. However, can a bitcoin-only portfolio withstand the test of time? What about volatility? Let’s dive in.

## Handling bitcoin’s volatility

### DCA for bitcoin accumulation

When it comes to accumulating bitcoin, especially within the FITS framework, adopting a DCA strategy can be an incredibly effective approach. Not only does it align with the low time preference mindset that is central to both the FITS philosophy and Austrian economics, but it also mitigates the psychological traps that bitcoin's inherent volatility can set.

#### Why DCA?

Dollar-Cost Averaging is a strategy where you invest a fixed amount of money into bitcoin at regular intervals, regardless of the price. This consistent investment approach reduces the impact of market volatility by smoothing out the purchase price over time. Instead of trying to predict market highs and lows—a nearly impossible task even for seasoned investors—DCA allows you to accumulate bitcoin steadily, capitalizing on both the highs and the lows.

#### Low time preference and DCA

The concept of low time preference is at the heart of the FITS strategy. In economic terms, low time preference means prioritizing long-term benefits over short-term gains. In the context of bitcoin, it means valuing the accumulation of satoshis over time rather than seeking immediate profits from speculative trades.

DCA is the perfect embodiment of low time preference. By consistently purchasing bitcoin, regardless of its current market value, you focus on the long-term accumulation of wealth rather than the short-term fluctuations in price. Over time, this strategy tends to yield a more substantial bitcoin stack, as it takes advantage of the market's natural ups and downs without the emotional stress of timing the market.

#### Volatility and the gambler's trap

Bitcoin's notorious volatility can draw out the gambler's nature in people, enticing them to try and "buy the dip" or sell during a peak. While these actions might occasionally pay off, they are more often fraught with risk. The temptation to time the market can lead to missed opportunities and significant losses, especially in a market as unpredictable as bitcoin’s.

DCA helps neutralize this gambler’s mindset by setting a disciplined approach to buying bitcoin. You remove the emotional component of decision-making, thereby reducing the risk of making poor investment choices based on short-term price movements. Instead of trying to outsmart the market, you let the market work for you by consistently investing over time.

#### Time in the market beats timing the market

The traditional investment adage, "time in the market beats timing the market," applies as much to bitcoin as it does to traditional assets. The longer you stay invested, the more likely you are to benefit from bitcoin's long-term appreciation, driven by its fixed supply and increasing global adoption.

DCA ensures that you're always in the market, steadily building your position regardless of what the price is doing on any given day. Over the long term, this strategy has historically proven to be more effective than trying to time the market. As bitcoin's price continues to rise over the years, your consistent investments made during periods of both high and low prices will average out, providing you with a robust and growing stack of sats.

In conclusion, DCA is not just a strategy; it’s a philosophy that aligns perfectly with the principles of FITS. It enables you to maintain a low time preference, avoid the pitfalls of market volatility, and focus on the long-term accumulation of bitcoin. By embracing this approach, you're not just securing your financial future—you're also moving closer to true time sovereignty. Remember, in the world of bitcoin, the key is not to time the market but to spend time in the market, steadily stacking sats as you go.

### Why is volatility important to include in withdrawal projections?

Sequence of return risk is the risk an investor takes when withdrawing from their portfolio in sequential steps, where the price adjustments between one withdrawal and the next affect the purchasing power variations of the asset. When projecting a withdrawal strategy that does not include volatility, it assumes the appreciation between point A and point B follows a mathematical equation, while real markets move irregularly. This is especially true for bitcoin, where the scarcity is absolute and it should be expected significant supply or demand shocks continue to dominate the market.

Since sequence of return risks exist, a significant deviation in outcome or funding requirements can exist between a model that takes volatility into account and one that does not include volatility.

Usually an under-appreciated point, but sequence of returns can also affect the accumulation phase of somebody who wishes to execute a FIRE strategy, as usually a DCA-type strategy is targeted, which in this case also implies less purchasing power can be stored in bitcoin from one purchase to the next.

Bitcoin's volatility, while often seen as a risk, is embraced by many bitcoiners as the price of sovereignty. This willingness to accept short-term fluctuations for long-term gains aligns with the low time preference mindset that underpins both the FITS strategy in general and bitcoin's deflationary nature established earlier ([Fidelity Digital Assets](https://www.fidelitydigitalassets.com/research-and-insights/bitcoin-investment-thesis-bitcoin-aspirational-store-value-system), 2020).

### Will bitcoin become less volatile over time?

Bitcoin is absolutely scarce unlike any other asset, and it should be expected that significant supply or demand shocks continue to dominate the market.

As the issuance of bitcoin will grow asymptotically to reach 21M coins, a fixed number of coins will represent ever more purchasing power. Therefore, it is also expected that large holdings will gradually dissipate and be distributed over more smaller holders naturally, since holders of large coin quantities will capitulate to the progression of time: either coins are sold (taking profit in terms of purchasing power), passed on to weaker hands that will sell before their time (e.g. inheritance or gifts), or lost at the holder’s death without an inheritance plan.

For the latter case, it is important to note that lost coins are another unique aspect of bitcoin’s absolute scarcity; these coins can never be recovered, even over many hundreds of years. Lost coins effectively represent a purchasing power appreciation to all holders, unlike inflation in fiat where supply issuance represents purchasing power depreciation to all holders.

### FITS withdrawal phase and modeling
Let us now review the withdrawal phase for FITS, on a bitcoin standard. First of all, in both FIRE and FITS, a variety of withdrawal strategies for Financial Independence exist:

A simple fixed withdrawal rate:
* This is a simple strategy that relies on Monte-Carlo modeling of historical stock market trajectories. The “safe withdrawal rate” or SWR is often quoted as the rate that “can’t go wrong”, as in, all Monte-Carlo iterations pass the requirements. Fixed withdrawals can be taken weekly, monthly, yearly… This is up to the retiree. Like Dollar-Cost Averaging (DCA) being a good idea for asset purchasing, DCA is also a good idea for withdrawing, as it takes emotion out of the equation and helps with peace of mind.
* Variable rate, adjusted based on actual market returns:
This requires flexibility and the ability to reduce spending in critical market down-turns. It may allow for reduced average withdrawal over lifetime and may reduce risk of running out of funds early.
* Specific planned withdrawals for life events:
As part of specific retirement goals, retirees could withdraw to enable life events, such as children’s weddings, education programs, or involvement in philanthropic activity.

It is hard, if not impossible, to predict exactly when the fiat system will fully cease to exist. Therefore, modeling bitcoin in fiat terms is key in order to understand when “enough bitcoin is enough” in the real time domain.

For the reasons outlined above, supply and demand shocks are expected to continue to dominate market behavior, and it seems a sound approach to model volatility, even—or maybe especially—when projecting for very long time windows (>30 years) over which withdrawal will take place.

-----------
**More information**
- The "Founding Note": [The New “FIRE” for Bitcoiners: FITS (Financial Independence, Time Sovereignty)](https://habla.news/u/sovereignorigin@primal.net/1725905906844)
- Website: https://bitcoin.fits.money

The FITS (Financially Independent, Time Sovereign) philosophy offers bitcoiners a path to financial independence and complete control over their time by leveraging bitcoin’s deflationary properties. Unlike traditional FIRE, FITS empowers individuals to escape fiat dependency and work on their own terms.

By adopting a FITS strategy with bitcoin accumulation and carefully planned withdrawals, you can secure lasting freedom over both your wealth and time. FITS is your roadmap to reclaiming personal sovereignty and thriving in a world where your time is truly your own.


**In a world where traditional financial strategies are constantly being challenged, a new approach has emerged for those seeking more than just financial freedom.**

FITS (Financially Independent, Time Sovereign) is a philosophy tailored for those who want to break free from the constraints of both traditional work and the fiat system. Unlike the popular FIRE (Financially Independent, Retire Early) movement, which focuses on accumulating wealth to retire early, FITS takes it further by incorporating the unique properties of Bitcoin to achieve not only financial independence but also sovereignty over one's time. This allows you to live a life where the goal is not just to stop working, but to take back the reigns and control what your time is spent on.

> Bitcoin’s deflationary nature, with its fixed supply, offers a powerful tool to store value and preserve purchasing power. In contrast to fiat currencies, which are subject to inflation, Bitcoin enables individuals to save in a currency that increases in value over time.

FITS leverages this aspect of Bitcoin to create a more sustainable path to freedom. By accumulating Bitcoin through strategies like Dollar-Cost Averaging (DCA), you can build a financial foundation that grows stronger with time, making financial independence more attainable.

What sets FITS apart from FIRE is its focus on time sovereignty. While FIRE advocates for saving and investing in fiat assets to retire early, FITS goes beyond, encouraging people to take control of their time by accumulating Bitcoin, a currency immune to inflation. The goal is not just to retire, but to live a life where you are no longer dependent on trading your time for money. In a world where time is the most valuable asset, FITS helps you reclaim it, allowing you to spend it on what matters most.

The path to FITS begins with educating yourself about Bitcoin and adopting a long-term perspective. Unlike traditional investing, which often involves diversifying across fiat-based assets, the FITS strategy simplifies wealth accumulation by focusing on Bitcoin as the apex store of value. With its ability to grow in purchasing power, Bitcoin provides the foundation for true financial and time sovereignty, offering a radical alternative to the traditional financial system.

If you're ready to break free from the constraints of the fiat system and take control of your time and finances, FITS offers a roadmap to get there. To dive deeper into this philosophy and explore how you can start your journey, read our comprehensive long-form article. It provides actionable steps and detailed strategies to help you achieve financial independence and true time sovereignty. Start your journey toward freedom today!

-----------
**More information**
- The "Founding Note": [The New “FIRE” for Bitcoiners: FITS (Financial Independence, Time Sovereignty)](https://habla.news/u/sovereignorigin@primal.net/1725905906844)
- Website: https://bitcoin.fits.money

Introducing FITS: A Path to Time Sovereignty

Introducing FITS: Financial Independence, Time Sovereignty - a flavor of FIRE on a bitcoin standard.


I need this right now. Thank you kind stranger.


hmmm.

Citi?


thanks! appreciate the feedback. that's a great addition!


sorry fren, didn't see this the same day.

keep on buidling


⚡ 200 SATS each FOR MY NEXT 10 FOLLOWERS ⚡

I am new to Nostr and looking for some great connections.

LETS CONNECT AND GROW TOGETHER!

make sure to:
Like the Post ✅
Follow me➡
Repost 🔁

#Nostr #GrowNostr #PlebChains #Bitcoin #Introductions #Nostrasia


Done! Sats plz 😇

Moar #bitcoin = moar value


GM #bitcoin #nostr

nostr:nevent1qqsw2v67r9cf88u0p0uma8jxhhvneyxzu3y720k9f57ktt0f7hc6l0spp4mhxue69uhkummn9ekx7mqzyz3wmkexfwmrdzhhh42l405xffzz2ruwsl6d3r5uqaw5kwlzs69gqqcyqqqqqqge2qkz7


Careful with that coffee though


What's this user account kind ser, something about cash?


GM!

....

GN!!!


It seems you looked into it


Just did ! Does it still count for today's roll call?


Yes - they should know better. They are technical and very intelligent people.

"Why not?"
"It's risky, it uses a lot of energy, and I don't need it"

I'm like, just so fed up with this bullshit, you know. Like it's not worth fighting the good fight with these people.
I think it'll be a HFSP from here-on-out, no mention unless asked. Very hard because I actually mean well by them and would wish they could save their money the right way.


Spoiler: the train kept on going 😄

🚂


Yep, keep your savings off the bank balances and in the timechain.

Stack sats, stack time


We like the #nostrich


Yes. After all these years. After I bring bitcoin books and wear nostr merch
still bailing on me


GM

Is the train still not stopping?
Can we do a prediction market for the next banking #bailout?

Feels like that time

#bitcoin #brrr


Samourai Wallet has been forked. Some brave souls have picked up where Samourai Wallet left off and the fight for privacy lives on.

Excellent work in reigniting this flame in the darkest hour. Running your own Dojo now required.

https://ashigaru.rs/

http://ashigaruprvm4u263aoj6wxnipc4jrhb2avjll4nnk255jkdmj2obqqd.onion/


Yearly weekend with the boys, they got fiat on the bank and diversified ETFs. One guy invested into real estate.

I ask
"You still got 0 #bitcoin?"

They laugh


Yes I know, hence asking for the proof of your other reserves :)


GN #nostr

What did you build today?


Bien! Bienvenidos al red mejor y all nuevo Internet decentralisado


Didn't you just start a strategic #bitcoin reserve?


I see what you did there


🤔 Guess i should get off the nonfiltering relays?
 https://image.nostr.build/48adc9118aeea07674f77d564bdadadac33fcb5c71c6872dc12131dc9ddc699e.jpg


Yeah pretty much. #Unpillable


I think he groks it 100%

He is just part of the media machine leeching off the engagement it brings.


As long as the thing you stack is #bitcoin

True ownership is misunderstood

Hardly own your own body these days

Make sure you apply best practices to protect your keys


#ProofOfWork https://image.nostr.build/337e5933b93c57571bad14feec250f32ea82933cc5a488f6530a4c9325fcd82d.jpg


Your replies are still full of reply guys for my on #amethyst

#nostr

nostr:nevent1qqs2snf6kh7aaxm4h60sm89qrqhxpcskjvley0994f06xajh2vz73rcpz3mhxue69uhkummnw3ezummcw3ezuer9wcpzqx78pgq53vlnzmdr8l3u38eru0n3438lnxqz0mr39wg9e5j0dfq3qvzqqqqqqypd5uj7


Contract*


Contact limit IS the risk and market manipulation we are out to get rid of with #bitcoin

nostr:nevent1qqsfk2rwa9w4dtyske5ke0jwedwgw7gx63x6gfeqfae2fzgq9q922hcpp4mhxue69uhkummn9ekx7mqzyrer8p45w65jjsy6xa4cwg5ppnrzwvwls5jzc462rxk6j004r5s62qcyqqqqqqg0vrt7n


Stack sats 🪙, stack time ⏳


Welcome!


Coworker complained I'm not impartial when sharing my #bitcoin narrative because it would pump my bags if they buy in.

How would you respond? 🤔


What is it?


Tomorrow is my 4 egg breakfast.
Yesterday my 4 egg lunch.

Pump those numbers


#asknostr
nostr:nevent1qqs0rvzvj275yxqz2pg2mdrwsuy4ny9754aasjhwql2z9ed6c9ecrespzamhxue69uhhyetvv9ujuurjd9kkzmpwdejhgtczyq7s83fkppq4k8t333mcdmsshk6wv77w6v3q0cegsrhfu3psrgv7cqcyqqqqqqgvwew7r


Would love to know this


Agreed 🤝


I was told I would be able to buy #bitcoin on a discount in September!!

I want to talk to the CEO!


GM, up only (your stack, that is, who cares about fiat denominations)!

#coffeechain


It's working for you :-)


Competition is still good here.
Please think about communities and long-form.


How about we truly lose trust in them and make them obsolete?

#nostr #bitcoin

H/t Nicolas Dorier


Keep an eye on nostr:npub1xmukhjctkf99yt8zct5x0np4fr4ycj8e2xhyn5j05v8hgtln3z9s2ev4dt and the content he puts out if you care about freedom technology and free people 🔥

nostr:nevent1qqsygpffdvtz4m0e2hlnsx3509jyawrgfxfen3maadlhkr7ym9mfacqpp4mhxue69uhkummn9ekx7mqzyqm0j67tpwey553vutpwse7vx4yw5nzgl9g6ujwjf73s7ap07wygkqcyqqqqqqga64t0t


That's amazing GG!! Showing how it's done!


Anyone who have seen this, has lost his right to ask why we save in #Bitcoin.

https://m.primal.net/Ksjv.mp4


Gm $58k fam

Time to wake up


#Zapping from my node
#Feelsgoodman

#bitcoin #nostr

NWC for the win


Tomorrow marks the beginning of the end for the DOJ's campaign against privacy & open-source devs.

All the best to the Samourai Wallet team. Kick the tires and light the fires, guys 👊

Support their legal defense fund: https://p2prights.org/donate.html


Is this how Bitcoin FITS?

Look at this empty #community on #nostr - teasing more to come 😉
Join us!

https://nostrudel.ninja/#/c/FITS/npub15tkakfjtkcmg4aaa2hatapj2gsjslr587nvga8q8t49nhc5x32qq3fnhq4


The concept of FITS—Financially Independent, Time Sovereign—offers a refreshing alternative to the traditional FIRE (Financially Independent, Retire Early) movement. While both approaches aim to escape the "rat race," FITS redefines the pursuit of financial independence through the lens of bitcoin, focusing on sovereignty over one's time. Here are the 10 core principles that guide the FITS strategy, derived from its unique perspective on wealth, work, and life.

## The 10 Rules of FITS

### 1. **Primary Goal**: Time Sovereignty
- *Rule*: Prioritize the freedom to control your own time above all else.

Unlike FIRE, which centers around early retirement, FITS aims for complete time sovereignty. This means the ability to spend your time as you see fit, without being tied to traditional employment or external demands.

### 2. **Core Strategy**: Bitcoin Accumulation
- *Rule*: Accumulate bitcoin as your primary form of wealth.

FITS advocates for bitcoin as the cornerstone of wealth accumulation, viewing it as a superior asset due to its deflationary nature and resistance to inflation. This strategy contrasts with the diversified investments typical in FIRE.

### 3. **Wealth Measurement**: Bitcoin
- *Rule*: Measure your wealth in bitcoin, not fiat currency.

While FIRE followers often focus on growing wealth in fiat terms, FITS emphasizes the importance of bitcoin as the ultimate store of value. In a FITS framework, wealth is measured in sats (satoshis), the smallest unit of bitcoin.

### 4. **Risk Management**: 1 BTC = 1 BTC
- *Rule*: Embrace bitcoin’s fixed supply as your primary risk management strategy.

FITS relies on the intrinsic value of bitcoin's fixed supply—21 million coins—rather than traditional diversification to manage risk. The principle "1 BTC = 1 BTC" underscores the belief in bitcoin’s long-term value preservation.

### 5. **Time Perspective**: Low Time Preference
- *Rule*: Adopt a low time preference, focusing on long-term gains.

In the FITS philosophy, the concept of low time preference is central. This means prioritizing long-term benefits over short-term gratification, mirroring the "time in the market" approach but within the context of accumulating bitcoin.

### 6. **Store of Value**: Bitcoin
- *Rule*: Use bitcoin as your primary store of value.

Unlike FIRE, which diversifies across global equities and other assets, FITS singles out bitcoin as the most reliable store of value. This is due to its deflationary nature and increasing global adoption.

### 7. **Work Motivation**: Sovereignty Building
- *Rule*: Work to build your personal sovereignty, not just for financial necessity.

FITS redefines work as a means to build personal sovereignty. While FIRE views work primarily as a way to accumulate financial resources, FITS encourages individuals to work on things that align with their values and long-term goals.

### 8. **Economic Alignment**: Bitcoin Standard
- *Rule*: Align your financial strategy with the principles of a bitcoin standard.

FITS advocates for a financial strategy that operates outside the traditional fiat system, aligning instead with the principles of a bitcoin standard. This means reducing reliance on fiat currencies and embracing the decentralized nature of bitcoin.

### 9. **Market Volatility**: Embrace It
- *Rule*: Embrace bitcoin's volatility as a necessary aspect of its growth.

FITS encourages embracing market volatility as an inherent part of bitcoin's growth journey. Unlike FIRE, which seeks to minimize risk, FITS views volatility as an opportunity for long-term gains.

### 10. **Lifestyle Adjustment**: Stack Sats, Stack Time
- *Rule*: Focus on stacking sats (satoshis) as a means of reclaiming time sovereignty.

The FITS approach to lifestyle adjustment is encapsulated in the phrase "Stack Sats, Stack Time." This means that by accumulating bitcoin, you're not just building wealth—you're also securing more control over your future, reclaiming your most valuable resource: time.

## Comparing FITS and FIRE

FITS - Financial Independence, Time Sovereignty - is a wealth accumulation strategy that aims to obtain time sovereignty. At first sight, it seems similar to the FIRE concept popularized for a while. The following table compares the two head-on to show there are fundamental differences beyond the first glance.

| Aspect | FIRE | FITS |
| --- | --- | --- |
| *Primary goal* | Early retirement | Time sovereignty |
| *Core strategy* | Diversified investment | Bitcoin accumulation |
| *Wealth measurement* | Fiat currency | Bitcoin |
| *Risk management* | Diversification | 1 BTC = 1 BTC |
| *Time perspective* | Long-term planning | Low time preference |
| *Store of value* | Global equities | Bitcoin |
| *Work motivation* | Financial necessity | Sovereignty building |
| *Economic alignment* | Fiat system | Bitcoin standard |
| *Market volatility* | Minimized | Embraced |

## Conclusion
FITS represents a paradigm shift in the pursuit of financial independence. By focusing on bitcoin as the primary vehicle for wealth accumulation and emphasizing time sovereignty, FITS offers a strategy that goes beyond early retirement. It’s about reclaiming control over your time and aligning your financial practices with the principles of a bitcoin standard.

As you follow these 10 rules, you'll find yourself not just financially independent, but truly sovereign over your most valuable asset—your time.

-----------
**More information**
- A concise introduction: [Introducing FITS: A Path to Time Sovereignty](https://habla.news/u/sovereignorigin@primal.net/1726434326410)
- The "Founding Note": [The New “FIRE” for Bitcoiners: FITS (Financial Independence, Time Sovereignty)](https://habla.news/u/sovereignorigin@primal.net/1725905906844)
- Website: [https://bitcoin.fits.money](https://bitcoin.fits.money)

The 10 Rules of FITS: A Pathway to Time Sovereignty

This note introduces 10 core principles ("Rules") for FITS - Financial Independence, Time Sovereignty, a Bitcoiner alternative to the so-called FIRE movement. Furthermore, it includes a clear head-on comparison between FITS and FIRE.


This one was hard to read in all caps.

If you're Elon, I think you still prefer to store, distribute and verify posts yourself only. Broken incentives?


Another power company using wasted renewal energy to mine #Bitcoin

https://www.nobsbitcoin.com/japans-largest-electricity-provider-explores-bitcoin-mining-with-surplus-renewable-energy/


ignorance 🌱


Look into SeedQR and stateless signing.

Verify firmware signatures before running it.


What does this WoT stand for that I keep seeing as the magical cure to replyguy?
Any step by step is appreciated ser

Thanks 😉


In the coming days and weeks, I will start to publish content about something I've been working on quite a while.
This will introduce a #bitcoin standard take to the so-called "#FIRE" strategy common in Fiat circles.

My plan is to stick to nostr for publishing this, and X will have to make due with a deeplink to nostr 😄
#grownostr

Follow this space to keep it live!

STACK SATS, STACK TIME


How did he evolve ?


Turns out bitcoin doesn't fix this.

Or maybe it does, you could try putting the sticker on top of the damaged area 😃


Nice to meet you fren! Tell me what you need to complain about? 🫡


👀⚡🥜🌱💜🤙
nostr:nevent1qqsy53ac5fss0mn8pky3yj5hjr4wtfkyrpzj3mrrmrnqk3dufeplyaqpp4mhxue69uhkummn9ekx7mqzypzj80jc6w2mrvvk4xuvs2cr3d5ftjczk6papsjn492sdrd6r7kdqqcyqqqqqqgzq089z


404 #ETHBTC NOT FOUND

Let's break this down. Eth is going to Zero #bitcoin.
 https://image.nostr.build/1263a1e395dc086ea4ba28e268a30f5b0b877c9ddf841c7ff1ec700581e91b6e.jpg


had to look this up but its true. reserve ratio requirement is still at 0%. lmao. https://i.nostr.build/p0apWUrfaVZYvCM3.jpg


Break bread with #bitcoin hodlers. They're decent folk.

And you've got somebody to complain to about basically everything!


Just recorded my first #podcast ever with nostr:npub1xmukhjctkf99yt8zct5x0np4fr4ycj8e2xhyn5j05v8hgtln3z9s2ev4dt! Thanks for making this such a pleasant first show, friend!

Hope my crazy mask will leave a lasting impression 😁

Stay tuned for when it comes out!

Stack sats, stack time 💯

#bitcoin


Instantaneous. value. transfer. through. space 🤯

How is your mind not blown yet?
#bitcoin #nostr

nostr:note15erkwmzruhn86q4keagw43tz8sxlrfh5jmq5z4kt9axxahczku5q9s80pw


Could it be that primal does not support long-form post (not type 1 notes) ?
Nostrudel is a great reference client on web to figure out various technical details on a per-note level in my experience.


Life changing opportunity for somebody....

nostr:nevent1qqsz9hl5udnu6prvqp7ytjxggetex9ehezz24xacesztmhpny8sddmspp4mhxue69uhkummn9ekx7mqzyrzw4whphc70v4aurp27up0xnh5lqkwt0gzeyfck3wqt39mpe0zwqqcyqqqqqqg6vfckd


Nothing stops my zap to you, Lyn.


Brings back bad memories. Should have stacked harder.

😪


Are you #zapping yet? It's a prime #nostr feature, powered by the venerable #bitcoin, and a daily feelgood to calm your nerves.

#Value4Value


Thanks for reading and your note, it's appreciated


GM

Stay strong today, and do something small that betters humanity and improves our chances to survive on this giant floating rock.

#bitcoin


Hi Educator, make sure you educate yourself on Zaps on nostr so we can send you some sats for joining the fold 😉


"If an institution [Federal Reserve, ed.] is incapable of achieving its objectives, there is no reason to preserve it-unless it can be altered in some way to change its capability. That leads to the question: why is the System incapable of achieving its stated objectives? The painful answer is: those were never its true objectives."

- The Creature from Jekyll Island


Is just a scratch!

What doesn't kill it makes it stronger. We should overcome it.


It worked! Congratulations!


Thanks for the sats! Very generous !


Have a look at my first long form article on #Nostr about building a #selfsovereign #website, integrating #bitcoin into #wordpress using an Amazon EC2 instance.

Enjoy and let me know what you think!

https://njump.me/naddr1qvzqqqr4gupzpghdmvnyhd3k3tmm6406h6ry53p9p78g0axc36wqwh2t803gdz5qq9z8wue69uhh2dp5v9a8vufnvdmx7cm6vdchzmttwamkyvm90g6xz6mvv9cnycm6d56h2vndd9c8yurvw3c85mmrv3hkz6fkd35kgtn0de5k7m30qyxhwumn8ghj7cnjvghxjme0qq2kv7jdg5uysjzv0puyzvpk0pn5zuzg0pzyjl65680


-----------
# Introduction

> I recently started a new #website, and decided I wanted to get some simple, out-of-the-box, self-sovereign #bitcoin on it.

It turns out there were quite a few steps involved, but mostly is actually out of the box.

So, I share with you, my first long-form #Nostr article, which aims to summarize the things you could use if you wanted to do the same, without actually building your own software.

This article runs through the following steps:
Step 1: get a Bitcoin node
Step 2: get website infrastructure
Step 3: Configure your Bitcoin node
Step 4: Configure your Bitcoin-based website

Before we dive in, a few small disclaimers:

- "Do Your Own Research"
- I am not responsible for any failures of your ability to follow these steps - take the guide as-is and on face value, and dive in where you need to. Starting points only. I will help where I can, you can always try to DM me!
- Suggestion to talk to ChatGPT or Google about Lightning Network and Bitcoin basics (here's a GPT created by yours truly for that purpose: [Bitcoin Beacon GPT](https://chatgpt.com/g/g-t1ZfHJzuH-bitcoin-beacon)).
- I am not affiliated with any of the sites, services and tools mentioned here. They are what I used and what worked "out of the box" while not giving up self-sovereignty.

> I strongly recommend you consider donating to ALL developers in this guide or paying them for their products offered.

# Go build it!
-----------
## Step 1: get a Bitcoin node

Self-sovereignty requires a bitcoin node. If you depend on another person's node, there is no final verification of blockchain data possible. Luckily, obtaining one is quite convenient nowadays, since several out-of-the-box boxes exist that you can buy, almost fully set-up.

![image](https://yakihonne.s3.ap-east-1.amazonaws.com/a2eddb264bb6368af7bd55fabe864a44250f8e87f4d88e9c075d4b3be2868a80/files/1725742338668-YAKIHONNES3.png)

### Hardware
These do come at a cost. It may be more cost effective to find your own #hardware, whether it's an old laptop, a Asus NUC mini-PC, or a self-built device. I only recommend having a RaspBerry Pi if it is one of the newer types with lots of RAM, otherwise your initial block download will take forever.

Also consider a 2TB disk size (at least) so you are safe for a while to come. Soon, 1TB will not be sufficient to store the bitcoin blockchain data without pruning (remember, we're self-sovereign, this is the best data storage you invest in).

This article does not intend to be a catch all article with many details about hardware, so please DYOR about the details and if you want out-of-the-box, I recommend [start9.com StartOne](https://store.start9.com/collections/servers/products/server-one)

### Software
This is easier. I wholeheartedly recommend (again) Start9's [StartOS](https://start9.com/). Here's a [DIY link](https://docs.start9.com/0.3.5.x/diy/) if you're doing this on your own hardware and aren't buying their excellent hardware offer. I did this, and it was quite convenient. The main difficulty I had was that I required a ethernet connection to my box during the install, since WiFi is not set-up until afterwards. This was not obvious because, well, I had a big box and had to carry that downstairs to my router. I also connected a screen, mouse and keyboard to make it all work. Nothing I couldn't overcome. Again, if you are worried - just buy the box.

-----------
## Step 2: configure your Bitcoin node

### Installing all apps on your node
The package I have consists of:

- [Bitcoin Core](https://www.bitcoin.org) - Not sure why this is here, but I do see about a 4MB download happening every 10' so I guess it is doing something. Seriously people, DYOR.
- [LND](https://github.com/lightningnetwork/lnd) - it runs Lightning Network on your node, thus allowing you to connect to other lightning network nodes and set-up channels to receive payments onto.
- [Ride the Lightning](https://www.ridethelightning.info/) - your management tool so you can send and receive payments.
- [Nostr Wallet Connect by Alby](https://blog.getalby.com/connect-your-startos-node-to-any-app-with-nwc/) - amazing tool that provided the secret sauce to make payments to your website easy. Extra benefit: you can Zap directly from your own node, with any mobile or web client connected through NWC !
- Optional (but not really): [BTCPayServer](https://btcpayserver.org/) if you want to run any form of commerce on your website - I assume you got here to stack some sats, and this is the tool for making it easy for your customers to pay you.
- Optional (but not really): [Mempool](https://github.com/mempool/mempool) instance so you can check all your transactions without leaking metadata <-- THIS IS WHY YOU RUN A NODE, ANON!

All these things are 1-click installs, 2-click configuration, and possibly a few more to get set-up properly. This is why you go through the pain of making the Start9 setup work (or pay them, and it is literally going to work after unpacking the box...)

### Get inbound liquidity

| NOTE: Securing Your Node and Website |
| --- |
| Ensuring the security of your self-sovereign setup is critical. Start by implementing regular backups of your node, wallet, and website, ideally using encrypted external storage solutions. Monitor your node’s activity to ensure it's functioning securely, and consider setting up additional authentication measures, such as multi-signature wallets or hardware wallets for larger amounts. Additionally, to safeguard your server from unauthorized access, set up a firewall, limit SSH access to specific IPs, and enable 2FA on all related services. Tools like [Fail2ban](https://en.wikipedia.org/wiki/Fail2ban) can help protect against brute-force attacks, and keeping all software up to date is essential for preventing vulnerabilities. Always store your private keys and recovery phrases securely and offline. |

Deposit bitcoin to your own wallet (use RTL to generate an address). I recommend in the order of 1M sats for any UTXO depending on your willingness to take risks - this is a hot wallet even though security is very good by default.

First, go to Mempool and check out a few [Lightning nodes with high connectivity](https://mempool.space/lightning/nodes/rankings/connectivity) (= high channel count, high capacity) to connect to. Open a few channels to them with (some) capacity from your 1M sats. Public channels. FYI: you are now ready to start zapping on a mobile client for #Nostr, e.g. #Amethyst on Android or #Damus on iOS - or #Primal on either - or if you're on the web, #YakiHonne and #Nostrudel are my go-to clients.

Second, go to [Amboss Magma](https://amboss.space/magma), connect with your node (or use [Alby's excellent Firefox Extension](https://addons.mozilla.org/en-US/firefox/addon/alby/) that you can easily hook up to your node and connect through "WebLN"). You need to sign a message, it can be done in RTL.

Third, set-up at least 1 paid inbound channel pending your liquidity needs after the website gets up and running and you are actually selling anything.

-----------
## Step 3: get website infrastructure
I will admit we can not be truly independent if we want to be out of the box. Especially webhosting is something not recommended from a home server, for multiple reasons (security being one), even if StartOS could probably do it on your node.

### Domain name
There are many sources here, you should pick something. I used [GoDaddy](http://godaddy.com/) but there are no rules, just costs, convenience, ... the usual trade-offs. GoDaddy has a convenient URL searcher and comes with recommendations and clear pricing, with nice discounts for the first year (your project may be doomed to crash prior to that...

### Hosting
I did find the hosting options at GoDaddy quite expensive. So I just registered with AWS for an EC2 instance. In the Amazon Free Tier you basically get a free linux box with a public facing domain during a year. Another nicety about AWS is that you can very easily upgrade your hosting needs with them, compute, memory, disk, ... and services.

### Host configuration
This costs significant time per this method, and is not for the faint of heart. One-click installs would include having this all done by a hosting provider.

#### WordPress installation
[WordPress](https://wordpress.com/) is an all-in-one website building tool that requires an extremely low acumen of CSS, HTML or databases. It all gets pre-configured and pre-setup while having a host of tools and systems available to support pretty much any feature a modern website would want. Disclaimer; there is definately NOT enough #Nostr content yet.

Here, I do go into some bits and pieces regarding the bitcoin side of things on WordPress. However I don't know what you want on your website, so I recommend you dive into the details on what's possible on WordPress regarding generall web functionality yourself as I consider it out of scope for this article.

One step in being self-sovereign is hosting your own WordPress - even if on a third party host - so that you fully control it and are sure nobody else can access the MySQL databases, configurations, ...

Luckily, this is very easy on an [AWS](https://aws.amazon.com/) instance. Wordpress can be simply installed as a package, and configuration is literally going to /wp-admin and setting things up. At that point it becomes click-click, write content, launch.

You can opt for a [Docker](https://www.docker.com/)-based installation as well, so WordPress has all dependencies satisfied. However, this comes at the risk of misconfiguration of the persistant volumes, and thus wiping your entire install at a Docker crash - not recommended.

Make sure you set the owner / group (chown) for the wordpress installation folder structure to nginx:nginx (see next subsection) and the file properties (chmod) to 644.

#### Web server

I had a lot of fights with [Nginx](https://nginx.org/en/) since I needed a reverse proxy functionality for a docker application the server was also running, plus having the system Nginx serving up the wordpress site.

Anyway. If you don't need any of that - most likely you don't - just run nginx and set-up the config file to a port 443 (SSL / HTTPS) connection and ensure you redirect regular HTTP traffic on port 80 to the HTTPS. Use [Let'sEncrypt](https://letsencrypt.org/) with [certbot](https://certbot.eff.org/) on the Amazon instance to get certifications for your domain. After setting it up, check that automatic renewals for the certificates are also set-up:
`sudo certbot renew --dry-run`

If not, add a cron item on your AWS instance (sudo crontab -e) and add the following line to restart nginx after every renewal:
`0 */12 * * * certbot renew --quiet && systemctl reload nginx`

Ensure you forward the ports 80 and 443 on your DNS records for the domain to the public-facing IP from the AWS instance.

Pro Tip: You can review rate limiting from Amazon, but it comes at a cost. Alternative, just configure your nginx to do rate limiting for you, here is a reference code snippet to set it up for the relevant server blocks in your nginx configuration:

```
limit_req_zone $binary_remote_addr zone=one:10m rate=1r/s;

server {
    location / {
        limit_req zone=one burst=5;
        ...
    }
}
```

#### Forwarding the BTCPayServer .onion address through to clearnet through your AWS instance

| **Disclaimer** |
| --- |
| This section assumes a moderate understanding of Tor, Nginx, and reverse proxies. For more in-depth tutorials on these topics, we recommend reviewing external resources such as the [Tor Project Documentation](https://tb-manual.torproject.org/) and the [Nginx Reverse Proxy Guide](https://docs.nginx.com/nginx/admin-guide/web-server/reverse-proxy/). As setting up reverse proxies and Tor for a Bitcoin node can be complex, these instructions are not exhaustive, and configurations may differ based on your hosting environment. Please ensure to consult these resources for further detail and troubleshooting .|

Annoyingly, but also purposefully, the average bitcoin node does not expose anything to public clearnet besides on local LAN. Instead, it exposes public interfaces on Tor which you need the exact address for to access (=high entropy).

However, for your BTCPayServer instance to connect to your website, you need to be able to connect to it from that website. This is where a so-called reverse proxy once again needs to save us. To make matters worse, you don't have Tor by default on AWS machines (on my EC2 instance it ran Amazon Linux 2023) so we need to build from source. I suggest you ask instructions to ChatGPT; Pro-Tip: Copy-paste parts of these notes and let him explain exactly what you need to do!

You could set a subdomain e.g. btcpay.yoursite.com to be accessible for your .onion redirect on the AWS instance. Here is an example configuration snippet:

```
server {
    listen 443 ssl;
    server_name btcpay.yoursite.com;

    location / {
        proxy_pass http://127.0.0.1:80;
        proxy_set_header Host $host;
        proxy_set_header X-Real-IP $remote_addr;
        proxy_set_header X-Forwarded-For $proxy_add_x_forwarded_for;
        proxy_set_header X-Forwarded-Proto $scheme;
    }

    ssl_certificate /etc/letsencrypt/live/yourdomain/fullchain.pem;
    ssl_certificate_key /etc/letsencrypt/live/yourdomain/privkey.pem;
}
```

-----------

## Step 4: configure your Bitcoin-based website

Finally, we come to the cool part. What can we do with all these things?

So, on WordPress, I recommend the following plugins:

- [Alby's LN Publisher](https://guides.getalby.com/user-guide/v/bitcoin-lightning-publisher-for-wordpress-by-alby/bitcoin-lightning-publisher-for-wordpress-by-alby) - it seems they need to test it on the latest WordPress version - but this tool worked for me. It connects to your NWC instance on the node and implements easy paywalls.
- BTCPay For Woocommerce V2 - to connect to your store and creating that flawless interface for your customers.
- [WooCommerce](https://wordpress.org/plugins/woocommerce/)

Getting BTCPay for WooCommerce set-up is detailed in this [guide](https://docs.btcpayserver.org/WooCommerce/).

-----------

# Importance of Backups

Backups are a critical part of any self-sovereign setup, especially when handling sensitive data such as your Bitcoin node and website. Without proper backups, any unexpected hardware failure, software corruption, or cyberattack could result in permanent loss of data, including your wallet, transactions, and important website configurations.

For your Bitcoin node, regular backups of wallet.dat and Lightning Network channel states are essential to prevent loss of funds or access to your Bitcoin. In the case of your website, especially a self-hosted WordPress site, backups of both the database and the files (such as plugins, themes, and media uploads) will safeguard your content and configurations.

Though creating an automated backup strategy is beyond the scope of this guide, it is highly recommended that you:

* Set up regular, automated backups for both your Bitcoin node and website.
* Encrypt your backups to ensure that sensitive information remains secure.
* Store backups offsite or on external media to mitigate risks from local hardware failures.

Investing time in a robust backup solution will protect your self-sovereignty, ensuring that even in the event of failure, your node, funds, and website can be restored.

----------------

That's all for now, folks. There surely will be issues you run into. Let me know through a DM, or ask away below - me or like-minded individuals (probably a few on #nostr more expert than me) can help out!

This article is a guide for setting up a self-sovereign Bitcoin-based website, highlighting the steps from obtaining and configuring a Bitcoin node to setting up website infrastructure. It provides detailed instructions on using out-of-the-box tools such as Start9's StartOS, WordPress, and BTCPayServer, making it accessible to users without advanced technical knowledge. The article emphasizes self-sovereignty, including managing a Bitcoin node, establishing Lightning channels, and configuring plugins like Alby's LN Publisher for payments.

This is a long form article, you can read it in https://habla.news/a/naddr1qvzqqqr4gupzpghdmvnyhd3k3tmm6406h6ry53p9p78g0axc36wqwh2t803gdz5qqq2kv7jdg5uysjzv0puyzvpk0pn5zuzg0pzyjlfhmsl


-----------
# Introduction

> I recently started a new #website, and decided I wanted to get some simple, out-of-the-box, self-sovereign #bitcoin on it.

It turns out there were quite a few steps involved, but mostly is actually out of the box.

So, I share with you, my first long-form #Nostr article, which aims to summarize the things you could use if you wanted to do the same, without actually building your own software.

This article runs through the following steps:
Step 1: get a Bitcoin node
Step 2: get website infrastructure
Step 3: Configure your Bitcoin node
Step 4: Configure your Bitcoin-based website

Before we dive in, a few small disclaimers:

- "Do Your Own Research"
- I am not responsible for any failures of your ability to follow these steps - take the guide as-is and on face value, and dive in where you need to. Starting points only. I will help where I can, you can always try to DM me!
- Suggestion to talk to ChatGPT or Google about Lightning Network and Bitcoin basics (here's a GPT created by yours truly for that purpose: [Bitcoin Beacon GPT](https://chatgpt.com/g/g-t1ZfHJzuH-bitcoin-beacon)).
- I am not affiliated with any of the sites, services and tools mentioned here. They are what I used and what worked "out of the box" while not giving up self-sovereignty.

> I strongly recommend you consider donating to ALL developers in this guide or paying them for their products offered.

# Go build it!
-----------
## Step 1: get a Bitcoin node

Self-sovereignty requires a bitcoin node. If you depend on another person's node, there is no final verification of blockchain data possible. Luckily, obtaining one is quite convenient nowadays, since several out-of-the-box boxes exist that you can buy, almost fully set-up.

![image](https://yakihonne.s3.ap-east-1.amazonaws.com/a2eddb264bb6368af7bd55fabe864a44250f8e87f4d88e9c075d4b3be2868a80/files/1725742338668-YAKIHONNES3.png)

### Hardware
These do come at a cost. It may be more cost effective to find your own #hardware, whether it's an old laptop, a Asus NUC mini-PC, or a self-built device. I only recommend having a RaspBerry Pi if it is one of the newer types with lots of RAM, otherwise your initial block download will take forever.

Also consider a 2TB disk size (at least) so you are safe for a while to come. Soon, 1TB will not be sufficient to store the bitcoin blockchain data without pruning (remember, we're self-sovereign, this is the best data storage you invest in).

This article does not intend to be a catch all article with many details about hardware, so please DYOR about the details and if you want out-of-the-box, I recommend [start9.com StartOne](https://store.start9.com/collections/servers/products/server-one)

### Software
This is easier. I wholeheartedly recommend (again) Start9's [StartOS](https://start9.com/). Here's a [DIY link](https://docs.start9.com/0.3.5.x/diy/) if you're doing this on your own hardware and aren't buying their excellent hardware offer. I did this, and it was quite convenient. The main difficulty I had was that I required a ethernet connection to my box during the install, since WiFi is not set-up until afterwards. This was not obvious because, well, I had a big box and had to carry that downstairs to my router. I also connected a screen, mouse and keyboard to make it all work. Nothing I couldn't overcome. Again, if you are worried - just buy the box.

-----------
## Step 2: configure your Bitcoin node

### Installing all apps on your node
The package I have consists of:

- [Bitcoin Core](https://www.bitcoin.org) - Not sure why this is here, but I do see about a 4MB download happening every 10' so I guess it is doing something. Seriously people, DYOR.
- [LND](https://github.com/lightningnetwork/lnd) - it runs Lightning Network on your node, thus allowing you to connect to other lightning network nodes and set-up channels to receive payments onto.
- [Ride the Lightning](https://www.ridethelightning.info/) - your management tool so you can send and receive payments.
- [Nostr Wallet Connect by Alby](https://blog.getalby.com/connect-your-startos-node-to-any-app-with-nwc/) - amazing tool that provided the secret sauce to make payments to your website easy. Extra benefit: you can Zap directly from your own node, with any mobile or web client connected through NWC !
- Optional (but not really): [BTCPayServer](https://btcpayserver.org/) if you want to run any form of commerce on your website - I assume you got here to stack some sats, and this is the tool for making it easy for your customers to pay you.
- Optional (but not really): [Mempool](https://github.com/mempool/mempool) instance so you can check all your transactions without leaking metadata <-- THIS IS WHY YOU RUN A NODE, ANON!

All these things are 1-click installs, 2-click configuration, and possibly a few more to get set-up properly. This is why you go through the pain of making the Start9 setup work (or pay them, and it is literally going to work after unpacking the box...)

### Get inbound liquidity

| NOTE: Securing Your Node and Website |
| --- |
| Ensuring the security of your self-sovereign setup is critical. Start by implementing regular backups of your node, wallet, and website, ideally using encrypted external storage solutions. Monitor your node’s activity to ensure it's functioning securely, and consider setting up additional authentication measures, such as multi-signature wallets or hardware wallets for larger amounts. Additionally, to safeguard your server from unauthorized access, set up a firewall, limit SSH access to specific IPs, and enable 2FA on all related services. Tools like [Fail2ban](https://en.wikipedia.org/wiki/Fail2ban) can help protect against brute-force attacks, and keeping all software up to date is essential for preventing vulnerabilities. Always store your private keys and recovery phrases securely and offline. |

Deposit bitcoin to your own wallet (use RTL to generate an address). I recommend in the order of 1M sats for any UTXO depending on your willingness to take risks - this is a hot wallet even though security is very good by default.

First, go to Mempool and check out a few [Lightning nodes with high connectivity](https://mempool.space/lightning/nodes/rankings/connectivity) (= high channel count, high capacity) to connect to. Open a few channels to them with (some) capacity from your 1M sats. Public channels. FYI: you are now ready to start zapping on a mobile client for #Nostr, e.g. #Amethyst on Android or #Damus on iOS - or #Primal on either - or if you're on the web, #YakiHonne and #Nostrudel are my go-to clients.

Second, go to [Amboss Magma](https://amboss.space/magma), connect with your node (or use [Alby's excellent Firefox Extension](https://addons.mozilla.org/en-US/firefox/addon/alby/) that you can easily hook up to your node and connect through "WebLN"). You need to sign a message, it can be done in RTL.

Third, set-up at least 1 paid inbound channel pending your liquidity needs after the website gets up and running and you are actually selling anything.

-----------
## Step 3: get website infrastructure
I will admit we can not be truly independent if we want to be out of the box. Especially webhosting is something not recommended from a home server, for multiple reasons (security being one), even if StartOS could probably do it on your node.

### Domain name
There are many sources here, you should pick something. I used [GoDaddy](http://godaddy.com/) but there are no rules, just costs, convenience, ... the usual trade-offs. GoDaddy has a convenient URL searcher and comes with recommendations and clear pricing, with nice discounts for the first year (your project may be doomed to crash prior to that...

### Hosting
I did find the hosting options at GoDaddy quite expensive. So I just registered with AWS for an EC2 instance. In the Amazon Free Tier you basically get a free linux box with a public facing domain during a year. Another nicety about AWS is that you can very easily upgrade your hosting needs with them, compute, memory, disk, ... and services. Many things we'll cover later I arranged by coding it up with some help from ChatGPT in the Amazon linux environment, but are things Amazon also offers.

### Host configuration
This costs significant time per this method, and is not for the faint of heart. One-click installs would include having this all done by a hosting provider.

#### WordPress installation
[WordPress](https://wordpress.com/) is an all-in-one website building tool that requires an extremely low acumen of CSS, HTML or databases. It all gets pre-configured and pre-setup while having a host of tools and systems available to support pretty much any feature a modern website would want. Disclaimer; there is definately NOT enough #Nostr content yet.

Here, I do go into some bits and pieces regarding the bitcoin side of things on WordPress - in a later section. However I don't know what you want on your website, so I recommend you dive into the details on what's possible on WordPress regarding generall web functionality yourself as I consider it out of scope for this article.

One step in being self-sovereign is hosting your own WordPress - even if on a third party host - so that you fully control it and are sure nobody else can access the MySQL databases, configurations, ...

Luckily, this is very easy on an [AWS](https://aws.amazon.com/) instance. Wordpress can be simply installed as a package, and configuration is literally going to /wp-admin and setting things up. At that point it becomes click-click, write content, launch.

You can opt for a [Docker](https://www.docker.com/)-based installation as well, so WordPress has all dependencies satisfied. However, this comes at the risk of misconfiguration of the persistant volumes, and thus wiping your entire install at a Docker crash - not recommended.

Make sure you set the owner / group (chown) for the wordpress installation folder structure to nginx:nginx (see next subsection) and the file properties (chmod) to 644.

#### Web server

I had a lot of fights with [Nginx](https://nginx.org/en/) since I needed a reverse proxy functionality for a docker application the server was also running, plus having the system Nginx serving up the wordpress site.

Anyway. If you don't need any of that - most likely you don't - just run nginx and set-up the config file to a port 443 (SSL / HTTPS) connection and ensure you redirect regular HTTP traffic on port 80 to the HTTPS. Use [Let'sEncrypt](https://letsencrypt.org/) with [certbot](https://certbot.eff.org/) on the Amazon instance to get certifications for your domain. After setting it up, check that automatic renewals for the certificates are also set-up:
`sudo certbot renew --dry-run`

If not, add a cron item on your AWS instance (sudo crontab -e) and add the following line to restart nginx after every renewal:
`0 */12 * * * certbot renew --quiet && systemctl reload nginx`

Ensure you forward the ports 80 and 443 on your DNS records for the domain to the public-facing IP from the AWS instance.

Pro Tip: You can review rate limiting from Amazon, but it comes at a cost. Alternative, just configure your nginx to do rate limiting for you, here is a reference code snippet to set it up for the relevant server blocks in your nginx configuration:

```
limit_req_zone $binary_remote_addr zone=one:10m rate=1r/s;

server {
    location / {
        limit_req zone=one burst=5;
        ...
    }
}
```

#### Forwarding the BTCPayServer .onion address through to clearnet through your AWS instance

| **Disclaimer** |
| --- |
| This section assumes a moderate understanding of Tor, Nginx, and reverse proxies. For more in-depth tutorials on these topics, we recommend reviewing external resources such as the [Tor Project Documentation](https://tb-manual.torproject.org/) and the [Nginx Reverse Proxy Guide](https://docs.nginx.com/nginx/admin-guide/web-server/reverse-proxy/). As setting up reverse proxies and Tor for a Bitcoin node can be complex, these instructions are not exhaustive, and configurations may differ based on your hosting environment. Please ensure to consult these resources for further detail and troubleshooting .|

Annoyingly, but also purposefully, the average bitcoin node does not expose anything to public clearnet besides on local LAN. Instead, it exposes public interfaces on Tor which you need the exact address for to access (=high entropy).

However, for your BTCPayServer instance to connect to your website, you need to be able to connect to it from that website. This is where a so-called reverse proxy once again needs to save us. To make matters worse, you don't have Tor by default on AWS machines (on my EC2 instance it ran Amazon Linux 2023) so we need to build from source. I suggest you ask instructions to ChatGPT; Pro-Tip: Copy-paste parts of these notes and let him explain exactly what you need to do!

You could set a subdomain e.g. btcpay.yoursite.com to be accessible for your .onion redirect on the AWS instance. Here is an example configuration snippet:

```
server {
    listen 443 ssl;
    server_name btcpay.yoursite.com;

    location / {
        proxy_pass http://127.0.0.1:80;
        proxy_set_header Host $host;
        proxy_set_header X-Real-IP $remote_addr;
        proxy_set_header X-Forwarded-For $proxy_add_x_forwarded_for;
        proxy_set_header X-Forwarded-Proto $scheme;
    }

    ssl_certificate /etc/letsencrypt/live/yourdomain/fullchain.pem;
    ssl_certificate_key /etc/letsencrypt/live/yourdomain/privkey.pem;
}
```

-----------

## Step 4: configure your Bitcoin-based website

Finally, we come to the cool part. What can we do with all these things?

So, on WordPress, I recommend the following plugins:

- [Alby's LN Publisher](https://guides.getalby.com/user-guide/v/bitcoin-lightning-publisher-for-wordpress-by-alby/bitcoin-lightning-publisher-for-wordpress-by-alby) - it seems they need to test it on the latest WordPress version - but this tool worked for me. It connects to your NWC instance on the node and implements easy paywalls.
- BTCPay For Woocommerce V2 - to connect to your store and creating that flawless interface for your customers.
- [WooCommerce](https://wordpress.org/plugins/woocommerce/)

Getting BTCPay for WooCommerce set-up is detailed in this [guide](https://docs.btcpayserver.org/WooCommerce/).

-----------

# Importance of Backups

Backups are a critical part of any self-sovereign setup, especially when handling sensitive data such as your Bitcoin node and website. Without proper backups, any unexpected hardware failure, software corruption, or cyberattack could result in permanent loss of data, including your wallet, transactions, and important website configurations.

For your Bitcoin node, regular backups of wallet.dat and Lightning Network channel states are essential to prevent loss of funds or access to your Bitcoin. In the case of your website, especially a self-hosted WordPress site, backups of both the database and the files (such as plugins, themes, and media uploads) will safeguard your content and configurations.

Though creating an automated backup strategy is beyond the scope of this guide, it is highly recommended that you:

* Set up regular, automated backups for both your Bitcoin node and website.
* Encrypt your backups to ensure that sensitive information remains secure.
* Store backups offsite or on external media to mitigate risks from local hardware failures.

Investing time in a robust backup solution will protect your self-sovereignty, ensuring that even in the event of failure, your node, funds, and website can be restored.

----------------

That's all for now, folks. There surely will be issues you run into. Let me know through a DM, or ask away below - me or like-minded individuals (probably a few on #nostr more expert than me) can help out!


Good progression in this story!


My mom liked it, too.

She now stacks sats and stays humble.


Because my mom told me to


RTL


Don't speak much French but do endorse this lovely wine seller. Zap for you!


You should also set up zaps, can't even zap you for helping about zaps 🤣


Welcome fresh nostrich!

Get your zaps set up and i will zap you 🙏


A few, maybe 2-3, to well connected nodes, look at amboss magma to get some inbound channels with inbound liquidity in order to receive payments if you don't have it already.


Tried zapping you, doesn't find a route. Need more channels 🙏


Such games normalise that everybody has an equitable shot at getting there and leveling up. Not true.... normalising it is damaging our brains. Playing those games long enough...


Did you consider digital games where NPC enemies just keep spawning back infinitely.... its the same!! No limit resources are a scam.


Yes, spot on! So even our games teach money the way it is, this normalising this insanity 🥲


#gems are beauty expressed

Keep doing what you do.

And yes, fuck the system


Stay calm?
Nah, go nuts everyday 🌱


also pinging nostr:npub1ky9s6hjl46wxcj9gcalhuk4ag2nea9yqufdyp9q9r496fns5g44sw0alex for any help? 🙏


hmm that's unexpected

alternatively, try wallet of satoshi, it's only a wallet (no nostr integration as far a i know) but does give you a lightning address to then use on nostr, which you can add to your profile. then you can zap from there and receive zaps on that wallet


Beautiful ! Great colours. How is it made?


Have you read the monopoly rules though?


Hi Cory! Can we zap you? I want to zap you!
Welcome nostrich 💜🌱


Fountain.fm app does that with Clips, or at least has a UX for audio aamplea through nostr, I think. Maybe that helps?


Checked, on primal can't find anything indeed

On amethyst: https://image.nostr.build/a90dc09df11f0e9de2dc5eb89798c830196851bd1431b37ea0e11a745e4ef039.jpg


what client are you using?


Great new initiative for a circular economy!

nostr:note1p9djwt7zz50nfd7v9sm2g3f8zwwaynuwd79y7kfau4003gl8a5pqeq4xla


correct

hang in there padawan


Reminder🚨🚨🚨 WE BROKE THE ATH BEFORE THE HALVING!!!!!! STFU AND SMASH BUY #Bitcoin