The 23 Worst Pieces of Advice Ever Received in the Bitcoin World Since Its Inception
r/bitcoin edition.
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Lists of good advice and best practices are legion in the Bitcoin world. I've written some myself on several occasions. The constant influx of new people into the Bitcoin world makes what may seem repetitive to some necessary. Reminding people of the golden rules and good security practices is vital for two reasons.
The first is to ensure that beginners can truly access the liberating power of the Bitcoin revolution. The second is to remind those who have been around longer not to slacken off by continuing to apply good practices.
On the other hand, I see less frequently articles detailing the worst advice that has been given about Bitcoin. This is a very interesting thing, however, and it will show you how you should not listen to others and make up your mind to take full advantage of Bitcoin in the future.
To gather as many opinions as possible, I had fun asking the question directly on the subreddit r/bitcoin:
“What is the single worst piece of advice you ever received relative to Bitcoin?”
This question was very successful. It allowed me to collect a lot of very interesting pieces of advice received. In what follows, I propose to come back to the 23 worst pieces of advice ever received relative to Bitcoin by giving you my commentary each time.
“Don’t buy Bitcoin, It’s a scam”
This advice is a classic one that has been constantly repeated in the second half of the 2010s by the powerful people at the head of the current monetary and financial system. Their interest is clearer to you today, I suppose: to prevent you from opening your eyes to the flaws of the current system so that you can benefit from a fairer system that belongs to the people. In this case, Bitcoin.
This cliché is still used by some, but it is outdated. You will rarely hear it these days. The year 2020 has played a tipping point in this regard.
“Bitcoin is a Ponzi Scheme”
This argument was frequently used in the first part of the 2010s. It has been dismantled many times since. It's hardly used now, but those who followed the advice back then have huge regrets today. This is where you see the importance of checking for yourself.
Bitcoin advises you to do this if you stick to its motto: “Don't Trust, Verify”. It is by developing critical thinking skills that you can truly take back the power over your money, and ultimately your life. It is up to you to make this choice.
“Bitcoin has no value”
This horrible advice in retrospect was given by Warren Buffett himself on CNBC during 2017. The Oracle of Omaha recommended at the time not to buy Bitcoin. Since his advice, the price of Bitcoin has taken a 6-fold increase. Those who listened to him have only their eyes to cry.
If Warren Buffett will forever be remembered as one of the greatest investors of all time, you should be aware of his limitations: he doesn't understand new technologies. He missed the wave of Google, Facebook, Netflix, and other major disruptions of the last twenty years, just as he missed Bitcoin.
Even the greatest investors have their limits. Warren Buffett has shown us this over and over again in recent years regarding Bitcoin.
“Bitcoin is not as good as real gold”
Bitcoin is often compared to digital gold. This comparison has allowed many people to come to learn about the properties of Bitcoin. Once this is done, you quickly understand that Bitcoin is far superior to gold, as Bitcoin is not only a great store of value, it is also a leaderless decentralized payment system.
For some, the fact that Bitcoin is digital is problematic. The advice given at the time to discourage you from buying Bitcoin questioned whether something digital like Bitcoin could have value.
This is still one of the six excuses some people use to not come and embrace this incredible monetary revolution.
“Bitcoin will get hacked”
Bitcoin is a monetary revolution whose monetary attributes are made credible by a major technological disruption: the Blockchain. Bitcoin and the Blockchain are inseparable. The genius of Satoshi Nakamoto was to assemble 7 already existing technological components to make the Bitcoin system a success.
Some people had trouble perceiving the power of this system and kept saying that such a decentralized system would be quickly hacked. Almost thirteen years after the Bitcoin system was launched on January 3, 2009, Bitcoin has never been hacked.
“It’s too late to buy Bitcoin”
This is a classic argument that keeps coming back to discourage you from buying Bitcoin. Some people love to say that you are too late to take advantage of this monetary revolution. In reality, this bad advice has been repeated for several years. If you had bought Bitcoin in early 2017 when it was already too late for some, you would have made at least an x10.
Bitcoin is still in its infancy. There are many signs that you are still an early adopter if you opt for the Bitcoin system now. It's up to you not to be fooled.
“It's too late for Bitcoin, but you can still make huge gains from this Altcoin"
People who tell you it's too late to buy Bitcoin are usually Sh*tcoiners who will then try to promote their Sh*tcoin. Don't be fooled there again. Bitcoin is the real monetary revolution that will change your life for the better by giving you back the power over the fruits of your labor.
The day you understand this, you will reach the level of confidence to become a Bitcoin HODLer no matter what, and be patient.
“The Government is going to ban Bitcoin one day, so it's not worth it”
Some people keep saying that if Bitcoin gets too big, then governments will do everything to ban it. A certain Ray Dalio, for example, repeats this over and over again, while having bought Bitcoin himself, just in case as he says.
You must understand that Bitcoin cannot be banned. Bitcoin cannot be stopped. A decentralized system like Bitcoin cannot be stopped. Moreover, governments trying to do this will have more to lose than to gain in the long run.
On the other hand, more and more powerful people in the current system will try to take over this revolution by trying to become intermediaries between you and Bitcoin again. This is the case of banks, for example, which are starting to offer Bitcoin to their customers.
The mistake here would be to re-enter a system where you let a third party have power over your money. Bitcoin was created to give you back the power and free you from these middlemen. Don't let the bankers or others steal the Bitcoin revolution from you.
“Sell now and then just buy back lower!”
Greed is a huge flaw in human beings. It is this flaw that makes the current monetary and financial system so flawed, and not fixable.
In the Bitcoin world, some people will listen to others telling them to sell now and then buy lower and get more BTC. The old strategy of people trying to time the market.
It may work once or twice, but in the long run, you will lose more money than anything else by risking it. The best thing to do is to adopt the best strategy you can with Bitcoin: buy in DCA mode and HODL no matter what. This is the key to taking full advantage of the Bitcoin revolution with peace of mind.
“Wait for the dip before buying”
The perfect time to buy Bitcoin is always now. This is what I constantly tell those who say they are waiting for a dip before buying. Those who think this way never take action and usually never buy Bitcoin.
Why do they do this? Simply because these people always wait for the price of Bitcoin to fall even further before acting. Except that there is always a time when the price of Bitcoin rebounds. So these people will still wait for it to fall again, but it won't. And if it did, they would still be waiting for it to fall more.
The best thing to do is to take action and be consistent.
“Don’t buy Bitcoin, because its price is manipulated via Tether printing out of thin air”
This opinion is very controversial in my opinion. Some people keep telling you not to buy Bitcoin because its price is manipulated by Tether printing USDT out of thin air to artificially inflate its price. The Tether FUD has not stopped since I've been in this world. And it never will.
That's why its rival, the USD Coin, is thriving and catching up. More and more investors are opting for USDC, and the great flippening is fast approaching in my opinion. If you ever need to sell Bitcoin, it's best to go with USDC for more security.
“Don't invest more than you can afford to lose”
Again, this is controversial advice. In the investment world, you are constantly told never to invest more money than you can afford to lose. In the Bitcoin world, the view is now: buy Bitcoin with money you can't afford to lose.
This is because the value of fiat currencies keeps falling over time due to monetary inflation. In effect, any money you put into the Bitcoin network is protected from the flaws of the current system.
However, it is not always possible to do a Bitcoin all-in depending on the country you live in. With the hyperbitcoinization of the world, this will become possible in the future, but for now, you should put the money you want to protect for your future into the Bitcoin system. Keep your fiat currency for everyday use.
“Fiat money is better because it is backed by trust”
This advice is still sometimes given to me by people I meet who have total confidence in the current system. They are fiatcoiners who think that everything their governments and central bankers say is the truth. They think that the central bankers are doing the right thing.
So these fiatcoiners think that fiat currencies are better than Bitcoin because they are backed by trust.
The same is true for Bitcoin, which is backed by trust. However, there is a big difference. The trust in Bitcoin is not imposed on you by powerful people like with the current system. Bitcoin has managed to surpass 130 million users without any power struggle. Everyone is free to come and buy Bitcoin and believe in what it brings to the world.
Bitcoin means freedom on all levels.
“Take a loan to buy BTC”
At the end of 2020, when the price of Bitcoin surpassed $20K to rise steadily, some people fell into euphoria and advised others to take bank loans in fiat currency to buy more BTC.
This advice can be both bad advice and good advice.
It all depends on who takes it. Michael J. Saylor did this back in the day via issuing bonds to buy more BTC with MicroStrategy. In his case, this is a good thing, because he knows what he is doing. For beginners in the Bitcoin world who are not financially strong enough, this is probably not a good idea.
You'll have a hard time holding on mentally during the next Bear Market. In short, it depends on your profile. Some people can take this advice and enjoy it. For others, it will be a disaster. So handle with great care!
“Bitcoin is just for drug dealers”
This is an attack constantly used by the powerful in the current system to say that Bitcoin is only used for illegal activities. Governments will tell you that Bitcoin is the favorite tool of drug dealers. This is not true, as it has been proven time and time again that the US dollar is still the preferred tool of criminals.
Nevertheless, it is enough to scare some people away from buying Bitcoin. The only thing to do here is to do your research. You will quickly see that the reason Bitcoin can be used for criminal activity is simply that it is a functioning payment system.
It's the same with the U.S. dollar or the euro. You will never stop criminals from using the money for their activities.
“Bitcoin is too risky”
Don't buy Bitcoin because it's too risky. This fallacious argument comes up frequently. In reality, Bitcoin is only risky if you don't know what you are doing with it. That's why you need to do your research before you buy Bitcoin. If you do, then you will be acting with full knowledge of the facts, and Bitcoin will no longer be risky.
The risk in life is simply not knowing what you are doing, as Warren Buffett once said.
After understanding the why of Bitcoin, the real risk for me is not to buy it! This is a major paradigm shift that you will face when you understand Bitcoin.
“Use leverage trading to get more money with Bitcoin”
Greed is always at play here. Some will tell you that to make more money with Bitcoin, you need to use leverage trading. As I frequently explain, this is something that should be avoided by 99% of Bitcoin investors.
You risk losing a lot of money and putting your hard work to waste. The best thing you can do is to be smart and apply the best strategy that exists with Bitcoin. Be patient.
“Take Profits”
In the investment world, you will often hear that it is never a bad idea to take profits. I agree with this adage. However, you must understand that Bitcoin is not just another investment. Bitcoin is not about money in the first place, but about power.
So taking profits with your Bitcoin would be like selling hard money that gives you total power for weak money that locks you into an unfair system where you can be censored at any time. So it's not a good idea.
Again, it all depends on how much confidence you have in the Bitcoin revolution. If you have full confidence in what lies ahead for Bitcoin, then you will be patient.
“Gamble on Sh*tcoins to make money, then buy more BTC”
I often see this advice come up. The thesis behind this advice is simple: Sh*tcoins will be pumped out from time to time, allowing the owners to make big profits. Of course, this is only if you get out before the dump, because these Sh*tcoins, like SHIBA INU, are manipulated by Whales.
If you manage to get out in time, then you will have more money and you can get more BTC.
It may work once or twice, but in the long run, you will never know how to stop and by wanting more and more, you will end up losing everything. Always greed will lose you. The best thing to do is to build your game patiently with Bitcoin.
Finally, don't forget that you can also win big by playing casino in Las Vegas. However, this is not a smart long-term investment. With Sh*tcoins, it's the same problem.
“Exchanges are safe now. You can store your Bitcoin on exchanges”
The golden rule of Bitcoin is clear: “Not your Keys, Not your Bitcoin”.
If you don't have the private keys associated with your Bitcoin, you own nothing!
You trust someone else to keep your Bitcoin safe. You fall into the same trap as with the current system by putting yourself at the mercy of third-party censorship. You protect yourself from monetary inflation, but not from censorship. You miss out on the liberating power of the Bitcoin revolution.
The fact that exchange platforms have made huge strides in security since the early 2010s should not distract you from the absolute necessity of taking possession of your Bitcoin's private keys as soon as possible.
“You need to plan your Bitcoin exit strategy”
Some people think that you must have a Bitcoin exit strategy. These people are still thinking about the codes of the American dollar system. If you understand the meaning of the Bitcoin revolution, then you will understand that Bitcoin is your exit strategy.
Bitcoin allows you to leave the vicious circle of generalized impoverishment represented by the current system. There is no point in selling your Bitcoin for weak money. The only way out is the hyperbitcoinization of the world.
“Listen to financial advisors that argue against Bitcoin”
During the 2010s, many people made the mistake of listening to financial advisors telling them not to buy Bitcoin. Today, those same financial advisors are preparing to advise their new clients to buy Bitcoin...
You need to understand that these advisors are simply salesmen looking to get the maximum profit on your back.
If you want to take care of your money future, you need to educate yourself. Only you can make the right decisions for your future and your family's future.
“Bitcoin technology is outdated. Buy this project that is the next Bitcoin”
Altcoiners keep saying that Bitcoin's technology is outdated. These people do not understand that Bitcoin's advantage is not its technology. Bitcoin's superiority comes from its monetary attributes and decentralization. Bitcoin invented digital scarcity. It can only exist once. Bitcoin has reached the maximum of what is possible in encrypted P2P money.
Don't waste time looking for the next Bitcoin. Bitcoin is already the next Bitcoin. Bitcoin is solving the money problem. This represents the foundation for everything that will come next (Smart Contracts, DeFi, or Web 3.0).
The big developments to come will be on top of the Bitcoin Blockchain. That's where you should look to go if you're an entrepreneur looking to take advantage of this incredible revolution: building products and services on top of Bitcoin that will improve the daily lives of users.
Final Thoughts
This roundup of the worst advice received by various users in the Bitcoin world over the past few years was exciting. It's here to remind you of the importance of developing your critical thinking skills with Bitcoin so that you can make up your mind.
This is essential, as it will allow you to take power over the fruits of your labor, but also avoid having eternal regrets in a few years when Bitcoin's market cap will have surpassed gold's.
Some reading
BoE Warns Bitcoin Could Become “Worthless” – It’s True, and That’s Why Bitcoin Is So Valuable. No one forces you to believe that Bitcoin has value. You choose to believe that Bitcoin has value.
Indestructible King for 50 Years, the U.S. Dollar Will Face a New Kind of Competition With Bitcoin. The world deserves an apolitical and neutral reserve currency like Bitcoin.
Discover How a Transaction Is Added to the Bitcoin Blockchain and Secured via Mining in 9 Steps. Understanding the fundamentals of Bitcoin is essential.
Fed Accelerates Tightening – Bitcoin and the Markets Go Green Again. Why? The Fed blew the whistle on the party, but more importantly ended the uncertainty. The markets like it.