Future Proofing my life: Deposit saving then MFW journey in under 13 years

WelshmansDaughter

He probably advises people who are quite similar in mindset to him.
I do think it is funny when people think crypto is any different from any other value exchange method. We made them all up 🤦

LadyWithAPlan

KajiKita said:

Could the Kie*l’s face cream be out of date and that’s why it might be making you a bit puffy? I’ve had something similar happen in the past.

KK

@KajiKita it was new and unopened (so still sealed ) from last Xmas so should be fine 
I tried without my eye cream I am also working down  last night and this morning  face seems less puffy .. I never buy eye creams but have loads as they turn up in advents /beauty boxes … 
I will throw the current eye cream away or use on my decollatage. No waste in LaPlan's dispensary

KajiKita said:

That advisor was so patronising! Well done for keeping your head … I didn’t know that some were asset backed - the idea that some are is interesting to me. Do you know why they have come into being?

Ok here is my overall brief beginners crypto lecture )
I note my crypto is now £157.19 today having been £150 2 days ago and £138 5  days ago ... v volatile after US elction

Please be aware anyone who is reading this is a very volatile asset but I have bought a small amount to learn about it as it is definitely part of the future,.

Blockchain  is  the 'why'  KK   -   it is the backbone of the cryptocurrency market. 
A blockchain is a digital ledger of transactions replicated and distributed across a network of computer systems, securing the information. It allows any person with internet access to make financial transactions independent of banks, financial firms and the government. 

Cryptocurrencies use blockchain technology to record all transactions. This public ledger is highly transparent and nearly impossible to alter, which helps prevent fraud. Many blockchains are also secured by complex encryption and consensus mechanisms, making it difficult for hackers to compromise the network. However you do have to be smart and cautious, the hackers are clever.

Given how fast tech is moving many of  the new crypto coins are underpinned with smart contracts  (see below) and money can move quicker, faster, cheaper  without a bank as an intermediary, 

 Crypto can also be seen as a hedge against inflation -  one argument  is that private money will replace government money given the historical tendency for governments to devalue their currencies. Devaluation robs individuals by shrinking the amount of goods, services and labor that money can be exchanged for.
Crypto keeps the govts out of it.

Diff  types of crypto coins

Stable coin - asset backed and linked 
eg USD Coin (USDC) is a stablecoin, a cryptocurrency backed by U.S. dollars or dollar-denominated assets like U.S. Treasury securities. USDC's cash assets are held in segregated accounts with regulated U.S. financial institutions and its reserve portfolio is held at the Bank of New York Mellon.

Another example of a stable coin is PayPal USD is designed to maintain a stable $1 USD value. It’s backed by dollar deposits, US treasuries, and cash equivalents.
 Of course with all the paypal transactions that exist, it is easier to understand why Paypal dont want to have to pay bank fees


Bitcoin  - the first and the biggest
Bitcoin is like cash  - no underlying asset but is the mamma of crypto
It was launched  in January 2009 and its founder Nakamoto introduced the blockchain system,  then a few months later bitcoin biut idea been around since the 1980s

Smart contracts 

Smart contracts are code written into a blockchain that executes the actions two parties agree to outside the chain. By automating these actions, the need for an intermediary or trust between the parties is removed. So like a  vending machine, you add money in and then get sweets out - no middle man needed..

Ethereum and Solana are two of the most popular blockchains for building and running smart contracts and you can buy these as well. 
Ethereum and Solano  are used by developers  who can  create custom contracts, such as transferring ownership of digital assets, automating payments, or even creating complex financial applications (like lending or insurance).

Pros of crypto
You can opt in to earn rewards (basically interest) paid in your crypto sometimes up to 20%
You can borrow against your crypto so not pay capital gains and hope the crypto goes up and covers your loan against it .. (it may go down) 
Decentralization and Independence from Banks:
Financial Inclusion: - people without access to banks or in countries with high inflation
Fast and Low-Cost Transfers:
Potential for High Returns:
Innovative Applications (DeFi, NFTs, and Smart Contracts):
Transparency and Security 

Cons of Cryptocurrency
High Volatility and Speculative Risk:
Regulatory Uncertainty: govts stilll deciding
Security Risks and Scams:
Environmental Impact: mining 
Limited Adoption and Usability: most people still buying it as a long term asset, though some do get paid in crypto..
Potential for Loss of Funds:

LadyWithAPlan

WelshmansDaughter said:

He probably advises people who are quite similar in mindset to him.
I do think it is funny when people think crypto is any different from any other value exchange method. We made them all up 🤦

Indeed, very wise WD -  look at diamonds - De Beers added huge value to them  via a monopoly,  restricting supply, that 1947 'a diamond is forever' campaign as well as the idea a ring should cost 2 months salary (also from de beers ad agency in 1977 - here is the YT https://www.youtube.com/watch?v=8pU6WQXkiOU&ab_channel=RetroCommercial.com

~FlowerPot~

Hi. Delurking! 
Thank you so much lwap for explaining the crypto currency. I am really interested, but like many a bit to scared to give it a go. 
But i love that you are giving it a go and leaning about it. 
That silly arrogant man could have learnt alot from you if he had the sense to stop forcing his views and actually listened. His loss! 
Are there any yt videos that you would recommend to help learn more.
I have been intrigued since one of DH colleague 'retired' early after making a million on bitcoin. He now lives off the interest 3000 a month!! 

KajiKita

Thank you so much for that huge write up! 😊 I read it last night but wanted to reread it when I was less tired. I have now copied and emailed to myself …

I suppose my one remaining question is how you protect yourself against the hackers? Is it the same approach as you would use with any other financial institution - get a message requesting / demanding action and go straight to whoever your provider is rather than responding to the original message? Or are there other aspects we should consider? 

Thinking of dipping half of one of my toes, just for the fun, and so I come to understand it a bit more (don’t wanna be a dinosaur) so will go and have a look at PayPal, Ethereum and Solana 😊

KK

triple_choc_chip

Avoiding the cerebral stuff to comment on the eye creams - they should be applied onto the orbital bone around your eye and then the action of your sphincter muscle when you blink transports the active ingredients into the area.  Puffiness is usually due to too much oil being absorbed through the thinner skin under the eye or on eyelid.  Thin skin means some women are better suited to using gels. 

LadyWithAPlan

~FlowerPot~ said:

Hi. Delurking! 
Thank you so much lwap for explaining the crypto currency. I am really interested, but like many a bit to scared to give it a go. 
But i love that you are giving it a go and leaning about it. 
That silly arrogant man could have learnt alot from you if he had the sense to stop forcing his views and actually listened. His loss! 
Are there any yt videos that you would recommend to help learn more.
I have been intrigued since one of DH colleague 'retired' early after making a million on bitcoin. He now lives off the interest 3000 a month!! 

Happy to have helped and nice to ‘meet’ you ! 

I just dated someone for 6 months who lived off his crypto largely so I really asked a lot of questions ! 

Imagine me at a romantic dinner quizzing him about ‘halving’ and ‘crypto security’ ! I am such 
a prize  

 (So yes that man this week was a fool to know nothing and just be angry about an increasingly important asset class -  makes him clearly less knowledgeable to his clients - ) 

My ex even had a crypto card he could pay for dinners in etc - he also would research new coins which he thought would go up in value (new cryptos may be based on new projects that need funding so there is a price upside potential and also interest can be paid up to 20% ) 

On your OH  colleague - I guess he got in early - crypto is super volatile but you can earn between 1-20% interest depending on what crypto you earn - that interest is paid back in the crypto you have 
Plus the tax advantage (as capital gains tax now on crypto) is you can borrow a loan against your own crypto -  a loan is not taxable - the idea is you don’t pay the loan back but hope the crypto goes up enough to cover the loan (it can go down ) - they do have margin calls so they will sell your crypto if your loan % becomes too large LTV v the underlying - as I only have £157 I have not tested this as yet 

However I set it all up myself as security is a big thing - 
My crypto £157 is a tiny part of my savings - if I lost it it’d be ok which is why I am learning this way - I stated with £30 and now invested £132 
I have yet to sell my crypto to test that but it’s flying up at the moment so leaving it be but I will sell even £10 worth before I go past the £200 mark as it all needs properly testing 

there is the bankless podcast I listen to but they get very in depth and detailed so not always great for beginners as they  sling acronyms but you quickly get with the the slang !

 I am sure there must be beginners guide to crypto books however I have just googled for you and this is v clear and has link to enrol in a free course run by Princeton on crypto basics and how to start - covers everything from costs to security to understanding https://www.coursera.org/articles/how-does-cryptocurrency-work

reddit have a lot of forums on it - this below post has some real wisdom for beginners in it - never respond to dms or let anyone invest for you  - you need to learn yourself  https://www.reddit.com/r/CryptoHelp/s/K19H4qPJE4

To start you can join a crypto exchange (much like a share and funds platform ) to buy and sell 
I joined Kraken as they have a good rep and fees not too bad -there are other big more expensive ones 
(1% so if I buy £5 crypto they charge me 5p) you can invest from small amounts eg I have added £10 before 

Obv FTX went down but that was the head guy moving the clients money around not cryptos fault - however  after a while  when my  holdings gets bigger I will buy a cold wallet (basically an external hard drive with software) - so then my crypto is not on an exchange but I have it personally in my home - they about £80 upwards - this is for additional security and what you read about people losing their crypto - you have 12 seed words so you can always get back in

you have to be incredibly aware of scammers as they next level in crypto especially for beginners so hence never click on links, don’t respond to DMs if you learning about crypto on say  Reddit 

I do like looking at my SIPP v s&s ISA v my crypto balances - it’s all education - slow and steady 
I do think to add even a tiny portion of my wealth long term onto crypto is a good thing as it’s an asset class that has real value - I am however just buying and holding - not trading it or looking at the spread between different crypto’s (some people do this ) 

WelshmansDaughter

Rather like the London property market LP 😂🤷

Suffolk_lass

 I am now down to the cut open tube of my much loved Future Renew serum - I have another 3 or 4 unopened serums in the waiting... They are like Henry V111 wives, many of his future/next wives were ladies in waiting at court - even Lady Jane Grey was one - she would not sleep with him til he got divorced, but he still chopped her head off.. yes the analogy of a boots serum to Lady Jane Grey execution -  its all action here on LaPlan's mfw blog !!

I think you have confused your Janes and who was when a bit. It was Anne Boleyn who refused to sleep with Henry until he was free to marry (he divorced his first wife Catherine), and Jane Seymour was Anne Boleyn's successor after Anne herself was beheaded. Lady Jane Grey was Jane Seymour and Henry's grand niece; Edward Vl's cousin, who Edward named as his successor instead of his Catholic half-sister, "Bl**dy Mary". Queen Jane lasted 9 days (and was indeed executed) - in, out, chop it all about - the analogy works for me though!

WelshmansDaughter

LaPlan they have a list of estate agents in the credits of Lx3. Might be worth noting them down if you’re intensifying your search