Copacabana, Rio de Janeiro: 25oC, warmish, sunny and slightly overcast.
It is hot, humid, and cloudy. I took Perola for a walk and did some exercise early. It is trying to rain, but it is not succeeding.
Thursdays are the days with the most classes, especially in the afternoon when I have a presential class with Dona Vera in Copacabana. I like going there. She has been very good to me and Yasmin; she is a special person.
Now that she is getting older and her health is a little fragile, it is good to say that my classes help her. She has told me that the classes boost her daily life, and she always looks forward to my classes on Tuesdays and Thursdays. While in Copacabana, I stopped by to visit an old flame who owns a shop. I am friends with her and the girls who work there. I really enjoy their energy and company. I always feel comfortable and at ease when I visit. They are simple but genuinely kind, generous, and extremely hardworking; I admire them.
Sometimes when I visit, I bring chocolates, which they love. Women really adore chocolate. I believe women love chocolate more than men. I even think that if given the choice, they could easily do without men, but chocolate? Never. They usually make coffee and we have a laugh and a joke.
I enjoy having conversations, sharing gossip, and laughing with them and others. I like to provoke them and others. I like to provoke my pupils to think and speak in English in class and in relationships. I naturally provoke people because with harmless provocation comes deeper thinking, often resulting in greater understanding.
For some reason, today, we got onto the topic of cryptocurrency. I recently opened an online bank account and have been buying cryptocurrency for about two months. I also opened a savings account last month, but these days, a savings account does not help your money grow; it just indexes it to inflation. People often talk about stocks and shares, but it is not the right time for that, especially in a country like Brazil, where the future is uncertain.
In a country like Brazil, the government could suddenly change a law. This change could significantly impact an industry or sector you may have invested in. A previously profitable company could suddenly find itself at a disadvantage due to government actions. This lack of stability can lead to financial losses and make it difficult to compete in the market.
A country needs judicial and economic stability, which is currently lacking in Brazil. Despite Brazil’s large market with over two hundred million people, the unpredictability of government decisions can pose a significant risk for investors.
Lastly, cryptocurrency. I have had ups and downs in understanding cryptocurrency, which is new. I have been thinking for a long time that buying crypto in small parts and small values will not make an enormous difference to your whole portfolio or your day-to-day budget. If crypto plunges, you will not feel it so much. If it goes up, then it is all profit and good.
Warren Buffett has repeatedly stated that he believes crypto is worthless because it does not create anything of value. He argues that its worth is only determined by the next person willing to buy it. If others are willing to buy at a higher price than you bought it for, then that is good. However, if there are no buyers, the value will drop, and you will lose money. In essence, it is a buyer’s market; if there are buyers, it is good, but if there are not, it is a problem.
I am not an economist, but as far as I understand, crypto was created as an international currency without geographical boundaries, free from government influence and manipulation. Whether this is true or not, I am not entirely sure.
However, the world is in utter chaos at the moment, with many imbeciles running countries and our societies in general. There is set to be another Great Recession, greater than anything before, in the next couple of years. If this is true and there is going to be a massive world economic recession, with mega economies and companies going to the wall, then people will probably migrate to crypto to guarantee value for their money In any part of the world, they are.
If my theory is correct, that would be great. However, if not, the final cost might be expensive for me and anyone else. I am currently buying R$ 5.00 or R$ 10.00 Reais of cryptocurrency daily or whenever I receive some payment. I buy small amounts of cryptocurrency to avoid impacting my daily budget.
If the value goes down, the loss will not dent my financial situation because the values were so small. However, these small investments, accumulated over time, could become significant if valued and appreciated in the future.
My advice if you want to invest in crypto is to regularly buy insignificant amounts of cryptocurrency that will not significantly impact your budget. If the value of the cryptocurrency increases in the future, it will be a sound investment. On the other hand, if the value decreases, since you have only invested small amounts, it will not significantly impact your budget or finances.
This is my rudimentary and simple economic investment tip, for whatever it may be worth.
In bed by 9.30 pm.
Thank you.
Thanks for reading this blog post. Please explore my other posts and share your thoughts in the comments section.
Richard
