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Millennials Are Overconfident With Money: Is It True?




Millennials (born between 1980-2000) are always a topic of discussion, especially when it comes to money management. Some people claim they are overconfident with money, while some claim they lack necessary financial knowledge.

What are they exactly doing with their money?

Well, this kind of topic automatically needs a comparison between the two generations so we can learn more.

In this article, we will compare millennials with baby boomers because both the generations have faced the economic downturn. It is better to come up with another financial topic on Gen X financial behavior.

Well, when it comes to baby boomer’s knowledge on money management, some people are inclined to give them a 10 out of 10. Most of the people think, our previous generation possesses more financial knowledge than the millennials. It’s said that millennials are delusional about money.

Even the previous older generation often claims that millennials are clueless on every subject, especially about money.

Though millennials are managing their student loans, meeting their targets at work, home loans, they lack the ability when it comes to financial know-how.

But millennials consider themselves as financially savvy.

We should find out what stats are saying about it?

Unfortunately, many survey reports reveal that millennials fall short on financial knowledge.

A research was conducted by the Financial Industry Regulatory Authority’s Investor Education Foundation. During the research, a number of financial literacy questions had been asked to more than 5,500 young people (aged 23 to 35).

Based on that research, a recent survey was held by the National Endowment for Financial Education and George Washington University. The report revealed that only 8% of the surveyed people have profound financial knowledge, while a quarter or 24% have only a basic understanding of money management.

The shocking fact is 69% of them claimed that they are quite savvy on financial know-how.

Ted Beck, the endowment’s president and CEO, said that “This generation is diverse and highly educated. However, their overconfidence puts them in an extremely fragile financial position, and sadly, they don’t realize it.”

Confidence is a good thing; it develops self-esteem, but overconfidence can be dangerous when it comes to managing finances.

Kay Pfleghardt, a registered financial associate with Family Wealth & Legacy LLC., is a millennial and claims that millennials often underestimate the value of financial peace.

If millennials give importance to their student loan obligations, they can easily build a golden nest egg for their future. If they prioritize on an emergency fund, they will never fall into further debt obligations and they will gain a sense of accomplishment.

She quoted that, “This is especially true for millennials, as the vast majority of other millennials around them have failed to do this one simple thing.”

Besides all negative impressions about millennials’ money behavior, some research revealed their credibility on money management.

According to a 2016 Bank of America/USA Today report, it is true that millennials are less likely to pay their rent and health insurance premiums. They even contribute a very insignificant money to their retirement fund.

But it is also true that they are more burdened with student loan debt than the previous generation. Unfortunately, millennials appeared on a shaky economic situation compared to the previous generation.

As per the Young Invincibles report on Federal Reserve data, millennials earn 20% less money than the baby boomers did at the same age.

Pew Research Center’s senior editor Bruce Drake has said, “Millennials are the first in the modern era to have higher levels of student loan debt, poverty and unemployment and lower levels of wealth and personal income than their two immediate predecessor generations had at the same age.”

The Great Recession impacted all millennials’ financial behavior. It has changed how they save, spend, and deal with banking issues.

The good sign is they learned some valuable financial lessons in a hard way.

According to the 2015 Goldman Sachs report, millennials are good in making important financial decisions. They often postponed marriage until they settled with good savings, a home, and a car. They also dislike spending money on luxury goods.

One of the most important things is they have profound knowledge on technology, which helps them gain financial savvy.

According to a survey, “The Great Recession also made millennials more averse both to credit cards and credit card debt.” Nearly 36% of them have no credit card debt.

Well, a lot of statistics are there. But we need to find out who deals with finances better – a millennial or a baby boomer.

Millennials vs baby boomers: Who manages money better?

Millennials are now the largest living generation in America, but when it comes to saving money, baby boomers are the winners.

There are 75 million baby boomers (aged 52-70) who control nearly about 70% of all disposable income in our nation. They will inherit about $15 trillion dollars over the next 20 years. As per the financial analysts, baby boomers will continue inheriting it over the next several years.

1. Money management

Baby boomers are really remarkable money managers. They are more careful about saving money and building a good retirement fund for their future.

The baby boomers took advantage of employer retirement fund, pension fund, and other retirement savings fund to grow their hard-earned money.

They saw a big growth in investment during the 70s, 80s, and 90s when interest rates were in double figures. However, sadly, they faced less profit later due to the downturn in the investment market. But today interest rates are below 1%. They didn’t ignore their monthly financial obligations (rent, utility bills, credit card bills, etc.).

On the other hand, millennials are more concerned about their living cost, mortgage, and student loan debt. Since the millennials’ earning is not decent, they are unable to establish their retirement fund.

But when it comes to living within means, millennials beat the baby boomers. The extreme economic turmoil teaches them how to survive with lower wages and job insecurities.

Many millennials have huge student loan debt, which engulfs the major portion of their monthly income. They have the less available capital for savings and investments. But, they survive by doing hard work at their job. Most of the millennials have more than one or multiple income sources to manage their lifestyle.

2. Investment

It is said that in investment, millennials are more risk tolerant than baby boomers. The older generation often took the help of financial advisors before investing their money. This is because when they were growing up, they weren’t able to get financial information easily.

Now, millennials can get important information from the internet so millennials are more hesitant to seek financial advice. They often make their own investment decision. Thus, they often encountered loss in investment.

It is also true that due to the rising educational cost and lower wage, either they are investing insufficiently, or starting the investment journey late.

What financial experts think about millennials’ financial behavior

Millennials are the generation who are haunted with the huge student loan debt burden. It has a great impact on their financial behavior.

Due to their outstanding loans, many millennials delay in achieving some major milestones in their life (buying a home or a car, getting married, and having children). And 48% of millennials admit that they have no emergency fund and they are unable to come up with $2,000 to combat an emergency.

Less than one-third or 32% said that they have only 3 months of household expenses saved. While 30% of millennials had overdrawn their bank account; either took out a loan with their retirement account or made a hardship withdrawal.

But financial experts warn that if they don’t change their financial behavior, the consequences of their actions will affect their financial future.

Here are some financial experts’ suggestions for millennials to improve their financial health.

1. Kay Pfleghardt, a registered financial associate with Family Wealth & Legacy LLC. suggests:

Setting up an automatic transfer to a savings account is important.

According to her, building an emergency savings cushion is important to avoid incurring credit cards debts.

She says, by depositing the money directly into the checking account, millennials can build their emergency saving fund easily. They just need to set an automatic transfer in their bank account.

Thus, the money gets deposited on the day they receive their paycheck. She advises to simply automate your savings. It is the simplest way to build a habit of saving money by keeping the disposable income out of sight and out of mind.

2. Robert Johnson, president, and CEO of The American College of Financial Services suggests:

Investing for retirement is crucial instead of saving for retirement.

According to him, accumulating wealth over a longer period is one of the greatest assets one can achieve in life.

The UBS study (The Union Bank of Switzerland) showed that millennials had an asset allocation (large percentages in cash and little in equities) that was similar to the baby boomers.

He said millennials are reluctant to embrace investment risk, but they have the ability to bear the risk. So they need to invest in the long-term equities instead of buying bonds and stacking cash. Thus, they can get higher return than ever.

He quoted “If Millennials remain unwilling to embrace risky assets, they will find that they will have to set aside a much higher portion of their income for retirement or to work much longer than they planned to.”

3. Flynn Zaiger, a Millennial founder of a digital marketing agency located in New Orleans suggests:

Improving money knowledge is imperative.

Due to poor financial knowledge, most of the millennials fail to achieve their financial goal. He suggests them to save money proactively. Thus, they can achieve their financial goals with time.

He quoted, “Connecting their current situation with their future is the best way to increase the desire for greater money-management knowledge in Millennials.”

Most of the financial experts agree that in some ways, millennials are smarter than baby boomers. Here’s why:

3 big ways millennials are ahead of the baby boomers

1. Millennials are quick to learn new payment technologies

Almost 51% of millennials are taking advantage of new mobile-based payment technologies over cash, debit and credit cards. In comparison, only 17% of baby boomers are able to understand this new payment method. Some of the smartphone accessible payment methods (Mobile check acceptance, digital wallets, and mobile bill pay) are very popular among this generation.

2. Millennials know credit card debt is a “no-no”

According to a survey by Princeton Survey Research Associates International, almost 63% of people aged 18-29 don’t keep a single credit card.

They prefer to use cash, mobile pay, or prepaid cards for purchasing things. Thus, they can track their spending easily. Also, using prepaid cards instead of credit cards help them to avoid incurring credit card debts.

According to David Smith, head of marketing for Kaiku Finance, a provider of prepaid products, “Already immersed in student loans, millennials are not interested in running up credit cards and accruing more debt. They like the convenience, the transparency regarding fees, and the predictability that prepaid cards have to offer.”

3. Millennials prefer to buy home that they can afford

Millennials are calculative; they know the huge mortgage obligation can overwhelm them. They take their time and prefer to buy a home by staying within their means. They don’t believe in “the bigger, the better” concept. They believe that staying in a small cozy home is better than counting a big amount of mortgage payment every month.

Pamela Hanson, founding partner of Downcity Home Closing in Barrington, R.I, said “A trend we’ve noticed as a residential home closing firm is that more often than not, millennials buy under their means. Not so with the generations that preceded them where bigger was better, and the plan was to finance as much of their home purchase as possible.”


At the end of this detailed discussion, we can conclude that the millennials are not at all dumb when it comes to handling their finances.

They prefer to follow their own terms. They are more willing to adopt the latest trend and apply it even when it comes to finances. And they don’t want to follow their previous generation’s financial methodology.

They have taken a lesson from the investment market when baby boomers experienced a bad phase in the investment market. They have also learned some crucial financial lessons from the Great Recession, but they still need to learn more things in the financial field.

They have to work hard to prove their credibility on building a good retirement fund to protect their financial future, saving money for an emergency fund and savings account, making monthly payment obligations (utility, insurance premiums, debts), investing, and financing their child’s education, etc.

It is a good sign that millennials are no longer budget haters. And with the help of the online budgeting apps, the task of crafting a monthly budget is becoming easier.

TD Ameritrade’s study has revealed that “Millennials are 10 times more likely to use budgeting apps than our previous generation. 80% of millennials have a budget in place as opposed to a mere 61% of baby boomers.”

Lastly, both the baby boomers and the millennials have experienced a difficult economic situation. While the millennials faced extreme financial constraint, baby boomers have seen an extreme investment downturn due to poor investment market performance.

Both of them got affected by the poor economic phase. Millennials lost their jobs or forcefully had to join a low-salaried job. They delayed their marriage or home purchase. They are still facing sky-high education cost.

On the other hand, baby boomers were unable to build good retirement savings due to the poor performance of the investment market. Many of them have faced an uncertain retirement or worked until their death, to survive.

To sum it up, instead of being overconfident, if the millennials concentrate on basic financial principles laid out in this article than they can succeed financially.

Author’s Bio: Amy Nickson is a web enthusiast. She completed her graduation from Oglethorpe University, Atlanta, Georgia. She works as a financial writer and she shares her expertise through her crisp and well researched articles based on money management, money saving ideas, debt, and so on. You can follow her on Oak View Law Group where she shares her expertise on the personal finance field.



Interview: Multi-Millionaire & Founder, Dan Wesley




It’s not every day I get to interview an early Internet power player like this guy.

Dan Wesley founded in 2003 and then exited this startup 8 years later with an 8 figure payout. He’s also been a contributor for top publications like Forbes, Mashable, Huffington Post, and Inc.—among other impressive accomplishments.

Confident that Mr. Wesley is rich in knowledge and you guys would take away some solid insights from him, I asked him for an interview and he happily said yes.

The main topics covered below are financial ones like student loans, credit cards, personal loans—you know, that important stuff that ultimately decides how much money you end up with, which controls how free you are to do what you love. And then the interview finishes off with Dan sharing some of his best life lessons.

Getting your money right is a big deal and Dan is going to help us.

Let’s just dive into this goodness so you don’t have to wait any longer.

1. What led you to start and help millions of people financially in the process?

Humble beginnings – I grew up well below the poverty line with the deck stacked against me, like millions from all walks of life, face today. So, I decided to do something about it long before the Nerdwallet’s of the world.

As you can imagine in 1998, Google is, what, 3 years old? Yahoo, Lycos, Netscape are the main events. It took me awhile to get going (2003 is when I really started to publish consistently). It’s been a fairy tale of sorts, as I ended up completely bootstrapping this from a $5,000 tax return to an 8 figure exit.

I still run the business today, the only regret is I only started to scale things (with venture capital) just a year ago.

I could have been Nerdwallet… but I’ll take it!

2. Where do many college students go wrong with student loans and what should they do instead?

That’s a really great question. I’m 40 and while I don’t have college bound children yet, I took student loans to survive. I was the first to graduate in my family with a college degree. So my parents had just as much understanding as I did of student loans plus long term implications. This is a fancy way of saying basically no party had ANY idea what I was getting myself into lol!

But if I had a child college bound today, they would definitely be a beneficiary from my student loan experience. So is it survival? Generational knowledge gap equaling naivety across the board (parent <=>)? The lack of obvious life experience for most college students? You only learn from making mistakes right? Is that inevitable? I don’t know.

Personally, I know I should’ve just stuck to subsidized loans but I ended up taking on unsubsidized as well (I don’t believe these exist anymore and rightfully so). The student loan alternatives: are grants (is Matthew Lesko still around? ha!), employer tuition assistance, military GI bill, and scholarships.

3. Since 1998, when you started helping consumers on financial issues, until now in 2017, what’s changed most about personal finance in your opinion?

Great question! First off, the amount of personal finance information on the web, hands down. They call it “content shock”. Digital information overload plus ubiquity of mobile with always being “connected” (love this graphic…worth a 1,000 words I tell ya).

I read a few years back (2012 I believe), over 2 million pieces of content are published everyday. I can’t imagine how that has grown exponential today. Moreover, I think there’s a form of censorship in play (unintentional in my opinion, explained below).

As the top finance Google results are dominated by brands (nerdwallet, bankrate, thesimpledollar, thebalance) it’s tough for small businesses with better end user value propositions to overcome these behemoths. But I don’t think Google is doing this on purpose—naturally you have so many bad players that Google (as the police officer) ends rewarding the brands that are trusted the most.

If they are trusted the most, you can assume they’re content is commensurate (plays right into Google’s “yo money, yo life” search ranking guidelines).

At the end of the day, the consumer votes with engagement metrics and all Google does is aggregate that against the population of finance sites—it’s that simple in my opinion.

We always pander to the user, not the search engine.

4. Do you recommend 20+ year olds get a credit card? Why or why not?

Can we really stop them? Paraphrasing a great quote, “The only substitute for life experience is being 20”, right?

I’m 50/50 on this. It’s situational – some 20 year olds act like their 40 and others act like they are 10. The key here in my opinion, is limit yourself to just 1 major credit card. You want that credit card as an outlet, safety valve (discretionary or not, things happen and we are human after at all).

In my opinion, no credit card equals no life experience, more risk, potentially more costly to a 20 year olds’ cashflow. (Example: overdraft fee or a late electric bill payment sometimes exceed the interest only payment of that respective credit card.)

In my opinion, a credit card equals life experience if used responsibly; you want that credit card as an outlet, safety valve (discretionary or not…things happen and we are human after at all). Bad credit, as we know, has a nasty butterfly effect when you are trying to finance a car, get an apartment, it unnecessarily complicates your life (I’ve been there begging my parents to co-sign).

Related: Credit Cards Are Your Best Friend

5. How many credit cards do you personally have? What ones? And what’s the purpose behind each one?

I have an Amex Black, Discover, Visa Black. Primary use is, honestly, an additional layer of security (would rather have my credit card compromised vs my bank card).

The Amex Black is awesome for making a point though. I don’t play the I’m-a-multimillionaire-card (you can ask anyone). I’m a pretty laid back, humble guy, but I can totally upend any perceived judgement, underestimation fairly quickly ;).

6. I’m sure there’s a wealth of information you could go on and on about when it comes to this. But what’s your best single piece of advice for a young adult who needs a personal loan?

My single best advice involves one sheet of paper and two columns: pros on the left, cons on the right. Then you can truly figure out if it’s a need or a want.

Use cause and effect exercise so you can identify the drivers of obtaining a personal loan.

Secondary to that, if you embark on the personal loan quest, be sure to shop around. Get at least 3 quotes: 2 digital (like our site or lending club) and 1 brick n mortar (your local bank).

7. Say I’m 27 years old needing a mortgage for my first home. What’s a key point I need to know to come out with the best interest rate possible?

Due diligence, as you know, many governors in play here. Your credit score and income are two items that single-handedly dictate everything.

Assuming those items are in line, I would advocate for comparative shopping (get 3 quotes).

With so many businesses out there, like Nationwide at times, competing for your business, fully maximize that leverage and use points to buy down the rate.

8. Is there one final knowledge bomb you want to drop on us?

Take things one day at time,  can’t stress this enough. If one day at a time is too overwhelming, slow it down even further. One hour at a time, whatever it takes to catch your breath.

It’s so important. I always remind my 8-year-old son (he plays baseball) when his team is losing:

“How many runs can you score at once?”

He replies: “1 dad…”

I reply: “Then work on 1, son, then 2, then 3”, one at a time.

This puts the most important things into perspective, so you bite off what you can chew and this usually leads to a much better outcome in my experience.

Also, here are a few “Danisms”: “refuse to be a statistic”, “never be denied”, and “move like you got a purpose in life”.

9. Where can we go to learn more about what you do and you?

Here’s my LinkedIn profileI will be launching my personal website by EOY.

Like I mentioned before, I do write for Entrepreneur and my work has been featured in over 150 articles across 61 publications including Time Magazine, WSJ and Business Insider. has also been featured in over 48 books and in 2011, I helped Guy Kawasaki launch his new book (view here).

Final Words

There’s a ton of important information shared in this interview.

But, if you’re a regular reader of Take Your Success, you should know by now that life isn’t about absorbing knowledge and calling it a day. You need to take what Dan Wesley said and put it to action if you desire to see positive results.

I want you to win. Do you want yourself to?

Related: The Best Time To Start Is Now

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Why Your Salary Is Costing You Millions In Earned Income




The average person craves a salaried job the for comfort, security, and the guarantee they can pay their bills.

But a salary will cost countless people millions of dollars in earned income throughout their career.

It’s ironic that we want a guaranteed income so we can live comfortably leading up to and through retirement.

That’s what society promises, at least, until things become uncomfortable.

Once something bad happens—you get fired, laid off, don’t save enough, salary increase doesn’t keep pace with inflation, make bad financial choices, have expensive kids, get divorced—and now you’re far away from a comfortable retirement nest egg plus have less skills and determination to go make your own money.

The salaried gig looks great on the outside, until you dive deeper to see that it’s often the single biggest demotivator and limiting factor to earning more money.

Your Salary Kills Urgency And Entices Laziness

Though not entirely similar, a salary shares some common characteristics of communism.

You get the same paycheck every month regardless of your performance—pretty close to communism.

At many jobs, a guy like Bill will voluntarily show up at 6 AM every work morning and leave at 8 PM, while slacker Johnny over there shows up at 8 AM and leaves at 6 PM and is paid the exact same wage as Bill.

The paycheck doesn’t reflect the reality that Bill worked 20 plus more hours than Johnny and got a heck of a lot more done than Johnny.

Talk about unfair? The salary gig is cruel, I’m telling you.

And since that situation isn’t fair, human nature will get Bill to think, “Stop working so hard. Why bother to put in the extra hours if I’m not rewarded? I’m going to start acting like Johnny because he’s doing just what’s asked of him and the boss doesn’t notice my performance.”

Now I’m not naive to think that bonuses, raises, and promotions aren’t a thing in the workforce—a differentiator from communism.

However, those are just too much out of your control to count on and you’re not rewarded until months or years later. And they often require smart salary negotiation, which is difficult if you’re not practiced, on top of luck.

Plus, in the example above, if Bill decides to work less and deliver less value then he won’t get the bonus or raise even if there’s one available.

The idea is that a salary often persuades workers to do the bare minimum to keep their job and keep getting paid.

It doesn’t entice individuals to give their all each and every day to not only make themselves double the income, but the company double the return on investment in them as well.

Knowing a paycheck is coming has a cocaine effect where you’re addicted to that monthly guaranteed income even though it’s not in your best interest to rely on it.

What’s worse is the damage it does to your overall net worth.

Guaranteed Income Costs You Millions Of Dollars

The addiction of needing a salary will costs millions of people, millions of dollars in lost income.

Let’s take a look at the multiple reasons why a salary sets you up to fail in the chase towards wealth.

For one, the average salary increase in the US doesn’t match the potential of a hustler who gets to decide their own income based on their work ethic.

A May 2017 forecast from WorldatWork predicts that salary increase budgets for U.S. employers will grow 3 percent on average in 2018 across most employee categories.

Say you make $50,000 a year at your 9 to 5 job you despise. Are you going to bust your butt for 261 work days in the year for a 3% salary increase? I’m not. We’re only talking about $1,500 at that rate.

The work compared to the payoff doesn’t add up to a good deal. It’s not motivating to me. It shouldn’t motivate you.

I could work at McDonald’s and come out with more dollars per hour than that thievery.

You’ll drag your feet for a 3% salary increase (+$1,500), but perform like a workhorse if you have a definite opportunity to double your current income (+$50,000).

That’s a difference in $48,600 between the two of them for the year and this is just the beginning. The difference is exponential over the lifetime of a career.

Second, when your income is entirely in your hands—be it as a beginner entrepreneur, commission sales rep, recruiter, or other job—your butt is on the hot seat from the get go to perform.

There’s no room to take it easy if you want to eat that week and keep your business alive.

Plus, you’ll be motivated to save extra money since this can turn into the business’ emergency fund or a payroll account to hire some contractors or full-time employees.

Meaning each dollar you earn has a higher purpose than eating expensive meals and treating yourself to materialistic clothing purchases.

And by investing in your business, your company and you personally will take home more profits than if your income was tied down by a normal 9 to 5 job.

I’m not surprised when I look at the richest people in each state only to find that none of them are salaried works but entrepreneurs and business owners.

Now you don’t have to be an entrepreneur, but you do need a job with no ceiling on your income if you want to get maximum performance out of yourself and the rewards that come with it.

Third, the rate of your learning is immensely sped up when you have to rely on your own work ethic to make money and pay the bills. You can’t afford to be out of the know in your industry if you want to compete with your competitors.

This is the pressure that forces you to gain knowledge and then use that experience to win more deals for yourself.

Plus, you can compound your knowledge to make more money in the future or consult others on the keys to success based on your experience. These opportunities aren’t there in the corporate world.

By getting off the addicting salary drug and choosing your own medicine, you force yourself to provide value to others so you can ultimately get paid what you’re worth.

And the more patient and skilled you become, the greater this income increases over years then decades.

That’s how your income grows by hundreds of thousands of dollars every year, which adds up to millions, instead of 3% and $1,500 (if that) every year.

Work Like You’re Not On Salary

You only get to do this thing called life once.

Why take the safe and boring road with a salaried job that is like driving a minivan straight on a flat road until retirement, when you can take the thrilling road in a sports car up a mountain with jagged cliffs and unbelievable views?

Bet on yourself. Work your face off. And work like you’re not on salary.

By mixing things up, you’ll discover if your company rewards you for going above and beyond what’s asked of you.

And if they do incentivize your efforts then you don’t need to find a different job. Maybe it doesn’t though and you see the writing on the wall: you’re worth millions more than you will ever earn here so you find a better job you love.

It’s like any pursuit in life, you need to get out of your comfort zone to truly push yourself, grow, and become the best version of yourself.

Happiness comes from personal growth. So take the jump and make the most of it.

Millions of dollars are nice, but the feeling of personal satisfaction from working incredibly hard and getting rewarded for it will far trump the money—every time.

Related: Would You Live Off A Dollar A Day To Achieve Your Dreams?

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Why 1 Bitcoin Can Be Worth $100,000 In A Few Years



Bitcoin. What is it? How much is one worth? And how much is it going to be worth in a few years and long term?

You have questions. I have ideas.

Let’s break it down one by one. Because when we’re talking cryptocurrencies (already confused by that word?) like Bitcoin it can be easy to get lost in terminology and explanations.

For the sake of brevity, here’s my definition and my dumbed down explanation in parenthesis:

A Bitcoin is a digital currency (internet money) that is decentralized (completely independent of a central bank or country) and uses blockchain (encryption, or a digitally secure method) to prove transactions have been made and to keep an accurate ongoing record of activity.

Still confused? That’s alright.

People were confused about cars and the internet when they first heard about it. But they learned and those two inventions turned out to win the day over horses and newspapers.

Basically a Bitcoin is internet money for the people, and belongs to no bank or country. If you want another explanation, this piece from Coindesk should help.

The current market value of 1 Bitcoin at this exact time of writing this blog post is $3,630—well now it’s over $5,000 in just a week or two later when I first drafted this article. Excuse my Captain Obvious (just being mindful of the rookie investors here): that’s the rate you have to pay if you’re going to buy one today and the return you’d get if you’re selling one right now.

For a little personal back story, the first date I bought Bitcoin was in May 2016. That’s around 16 months before posting today’s article. That’s 16 months to grow in value—and let me tell you, it has been the best investment of my entire life to date. (Tesla is up there, but this takes the cake by far.)

I’ll do another video about my Bitcoin story to fill you guys in.

But for now it’s all about the crazy high potential of Bitcoin and why I see a rich future in this cryptocurrency years and decades from now.

What Will Bitcoin Be Worth In A Few Years?

Before anyone gets too carried away in what I’m about to write, let me preface this with a blunt statement: No one knows (including me) the future price of Bitcoin.

(And don’t trust anyone that claims they know. They’re either liars, or they’re liars and thieves trying to steal your money for their personal gain.)

However, I wouldn’t be surprised if in the future 1 Bitcoin is worth $100,000. That’d mean it rockets in price to be worth 20 times more than it’s worth today!

Though it’s not just me who sees insane potential in Bitcoin.

Check out what John McAfee—remember the guy famous for inventing the McAfee anti-virus software? this is the same man—tweeted:


While no one may be as bullish on Bitcoin as McAfee, other recent estimates from super smart people in finance see high growth for this revolutionary cryptocurrency coin:

Here’s why I hold this lofty marker for Bitcoin and why I think it (along with other cryptocurrencies) can change the world as we know it.

(As the note at the bottom of this blog posts suggests, this is just my opinion and not investment advice.)

Strong Advantages Bitcoin Has Going For It


I’m not just making a wild prediction when I say Bitcoin has the potential to be worth $100,000 someday. I don’t say stuff like that on pure whims.

My hopefulness is backed by some hard facts that Bitcoin has going for it:

  • Bitcoin is the first and top brand of all cryptos. Being the bellwether brand in this space gives Bitcoin more staying power and a better likelihood of reaching mainstream adoption than anything else. The first mover always has rare advantages that other coins have a difficult time catching up to. (See Facebook as an example of early acceptance and then dominating at the top spot.)
  • It costs money for miners to mine Bitcoin. Since it costs human resources, machine power, and money to mine Bitcoin (thousands of dollars or more), there’s real value in the coins unlike printed money where the federal banks can print as much as they want and create inflation.
  • Bitcoin and the blockchain can be a transcendent technology. Inventions like electricity and the internet changed the world forever and the early adopters in the internet are still reaping the absurd financial benefits today. Since Bitcoin eliminates the middle man (banks) in financial transactions to save people fees and time to send or receive money, this technology has the potential to completely upend the banking system, world financial system, and how society is run as we know it. If or when it does that, a serious price increase will follow.
  • Anyone can buy it, not just rich people. Investing in startups, real estate, and private companies is only allowed if you’re already wealthy, but you don’t need a private invitation to invest in this cryptocurrency and the others. The fact that anyone can buy Bitcoin gives it a tremendous advantage over other investment assets. By allowing the masses to get in this game or put their money into Bitcoin to protect themselves against government inflation, it makes Bitcoin more likely to be a fixture in the future.
  • The rising usage of Bitcoin means rising price and long-term value. As countries like India “legalize” Bitcoin and places like Japan open up Bitcoin ATMs the exchanging of Bitcoins is going to rise, which raises its monetary value. Plus more usage leads to more word of mouth marketing from businesses to non-profits to neighbors.
  • Talent is flocking to work on blockchain technology. Working in Silicon Valley used to be the hottest trend for the world’s brightest minds, but there’s been a flocking of brilliant people who are spending their every working hour on Bitcoin, the blockchain, and related opportunities.
  • There is a limited supply of 21 million Bitcoins. After all 21 million Bitcoin are mined, no more Bitcoins can be mined since that’s the limit. Then the supply plummets and the demand skyrockets. The problem with cash is the Federal Reserve and governments can always print more so supply is always there. The lack of unlimited Bitcoin supply will drastically raise its value over time.

Keep in mind two more things.

First, those details above are just some of Bitcoin’s advantages. I could have gone on longer but those are what I feel are the main benefits that give it insane potential to grow in price to multiples of the current value.

Second, none of those advantages mean Bitcoin is a guaranteed winner and it’s by no means a risk-free investment. Countries like China and Russia have been clamping down on cryptocurrencies which poses threat (or maybe more potential for success) to this space.

Final Words

In complete transparency, although I’d say I’m well read and “in the know” about Bitcoin, by no means am I an expert or the smartest guy out there on the subject.

What you read are just my quick thoughts off the top of my head that I intentionally tried to keep simple to avoid confusion.

What do you think about Bitcoin, its future worth in a few years, and the cryptocurrency space in general?

And while I’ve personally had unbelievable financial success investing in Bitcoin and I am still long on the technology going forward, it could drop by 50% or 100% of its value and go to $0 at any moment.

Tremendous risk surrounds this cryptocurrency space as of now.

So don’t invest money you can’t afford to lose. Don’t risk losing your car, house, or the stability of your family because you did something stupid and got burned.

Be smart with your money. Start small if you’re going to invest in anything, including Bitcoin. And realize that you can lose the shirt off your back if you make bad investing decisions.

Also, read the note below to be clear about the intention of this blog post. Good luck!

The above references an opinion and is for information purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.

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