The question of how much bitcoin you should own is a timeless question. Each person is different and therefore the amount may differ for each person as well. While the ultimate goal for most people is to someday reach that magical milestone of owning a full bitcoin. We have to face the facts that bitcoin is nearly at a price fifty thousand dollars and that dream has become unachievable for many. The world and the people who run the world are quickly catching on to bitcoin and adoption has begun to pick up at a blistering pace. Bitcoin will not always be easily available to purchase like it is today. This market is like a game of musical chairs. The music is currently playing and everyone is walking around the chairs peacefully. But soon the music will stop and the panic to sit in a chair will begin. To be able to sit in a chair, is to have bitcoin. Do you have enough?
I want to repeat that last thought, because it is something that most people don't really consider. The world is a buy-on-demand type of society. You can find anything you possibly could want to buy on the internet. Perhaps that new iPhone or other item you want to buy is currently out of stock, but you can still buy it and it will be delivered later. Nothing is ever really "not available." Bitcoin is different. Yes, you can easily purchase bitcoin on exchanges now, but the real game is happening behind the scenes. Over-the-counter buying of bitcoin on exchanges has been picking up at an extreme pace. This all leads to the amount of bitcoin held on exchanges to drop drastically. People aren't concerned or excited about this, because they aren't seeing any different or effect on the bitcoin price. But, that is precisely why these people are transacting over-the-counter. They want to avoid pushing the price higher. Instead they want to buy as much bitcoin as cheaply as they can. But this cannot go on forever. There is a hard limit of 21 million bitcoin. Of those 21 million, it is generally agreed upon the 4-6 million of those coins have been lost forever. That leaves around 15-17 bitcoin only. Then with each having cycle the new bitcoin minted halves. This will only cause the demand to rise while the supply available to buy decreases. This was all before bitcoin's use case became mainstream. Before the dollar inflation craze began, before covid. Now businesses, hedge funds, normal people, and even countries are waking up to bitcoin. You can quickly see that there isn't enough bitcoin to go around.
But let's say that we split up bitcoin evenly and gave an equal amount to every human on Earth. Using the total supply of bitcoin at 21 million, each human could own approximately 0.0028 BTC. Or 280,000 Satoshis. This amount can currently be bought for about $130. Now remember that I just mentioned that approximately 4-6 million bitcoin have been lost for ever. This makes the amount available for each person to drop even further. Think about it like this. There are approximately 56 million people in the world who are millionaires. If they all decided they wanted to buy a full bitcoin, it would be impossible, as the supply of bitcoin is not available. There will be millionaires who cannot own a full bitcoin. There will be millionaires who have a very small bitcoin portfolio.
So let's go back to my main question. How much bitcoin should each person strive to own? I'm a firm believer that even though it is a lofty goal, everyone should still strive to own a full bitcoin. Keep dollar-cost-averaging, buying with every paycheck, lending out btc to earn an even higher yield, and take advantage of price dips to help reach your goal fast. We should all dream big.
But, you need to set smaller, easier to achieve goals along the way too. Setting easier goals along with your ultimate goal is the best way to keep yourself motivated. After all, that ultimate goal of owning 1 full bitcoin can seem impossible and this might cause you to lose motivation. But by setting smaller goals and achieving them; this is the way to keep yourself motivated.
The first goal I would recommend is 0.0028 BTC. This is the equally divided amount for each human on earth. You should first strive to obtain your share. This only costs $130 today and is very achievable. While it is probably unlikely to expect that this amount of bitcoin will ever make you rich. It could someday turn into a nice cornerstone of your savings or retirement fund. Once you have reached this first milestone this is where the fun begins. I call it the bitcoin buffet. When you go to a buffet restaurant, there is a lot of food available for a large amount of people. It is first come, first serve. If I see a delicious piece of ham or steak and rush to grab it, it is something that the next person will not be able to have. So now every time that you accumulate bitcoin above that first goal, it is taking another person's share of bitcoin that they will never be able to accumulate.
The situation is much more extreme than most people even imagine. Yes the equal share for each person to own bitcoin is 0.0028 BTC, but then you need to take into account the lost bitcoin, and also the bitcoin whales. For example, Microstrategy, and the Winklevoss twins both own more than 100,000 bitcoins each. There are several other whales, companies, hedge funds, and people that own multiple bitcoins, hundreds of bitcoin, thousands of bitcoin and sometimes hundreds of thousands of bitcoin. You can quickly see that most people will never be able to accumulate 0.0028 bitcoin.
I'm a big fan of setting short-term bitcoin accumulation goals and these are goals that I set for myself and have achieved and I highly recommend you to do something similar.
GOALS
1) 0.0028 BTC. 2) 0.01 BTC 3) 0.05 BTC 4) 0.10 BTC 5) 0.25 BTC
6) 0.50 BTC. 7) 0.75 BTC 8) 1 BTC. 9) 1.25 BTC. 10) 1.50 BTC
11) 1.75 BTC 12) 2 BTC 13 2.5 BTC. 14) 3 BTC. 15) 5 BTC + Continued.
If you have been paying attention to the world, it is pretty obvious that things are moving towards bitcoin. The only real question is are you doing everything that you possibly can to accumulate as much as you can before that happens. People are going to be very surprised when the change to hyper-bitcoinization takes places. You still have a great chance to build a portfolio that will bring you life-changing gains; don't miss it.
How about you? Are you reading for for hyper-bitcoinization? How far along are you in your bitcoin accumulation journey?
As always, thank you for reading!
I do not have that big of BTC but I am holding them as per now. I am hoping to buy more as well as BCH. And that is my plann