Crypto & Web 3.0

Essay #91

One of the easiest ways to determine if you should be investing in cryptocurrency is knowing whether or not the money you contribute would have an impact on your financial situation if it went to $0. Meaning if you only have a little bit of money saved for retirement and don't have an emergency fund, you probably shouldn't be investing in crypto because there are more impactful things to be doing with your money.

I believe it’s important to be informed about what they are and the risks involved. If you want to start investing in NFTs, it’s important that you have the basics of personal finance taken care of so you’re not spending money that could be better used elsewhere.

Once you understand how bitcoin works, why it has value, how blockchains work, and how it all works together - you begin to understand other aspects of the crypto world because you can piece together the knowledge you've gained from other places.

During times of digital evolution, all that everyone truly wants is an easier, better, or more efficient way to accomplish tasks that are already being done - and a digital currency and blockchain-based ecosystem allows that exact thing to happen. That same technology is also serving as the foundation and railway for wealth equity across the world.

With a strategy in place, you can potentially earn more on your savings by diversifying out of cash and placing a portion of your savings into a higher-interest asset, such as stablecoins. You can limit the risk of pursuing higher interest assets by only using a certain percentage of your savings rather than the entire amount.

But all 3 of these solutions have one key common denominator. They allow for self-custody.‍ What's self-custody? Basically, it means that you're in full control and ownership of your assets.

Financial IQ #39