Let’s face the elephant in the room and talk about Why Expats Should Invest in Cryptocurrency. It might seem like a completely unreasonable proposition, but some of us are putting back cryptocurrency for a rainy day of inflation, fiat instability, world events, and maybe even an apocalypse.
For those of us who live in a foreign country the situation can be even more tenuous.
You have a modest pension, a comfortable life abroad, and maybe even a small income teaching English part-time for fun at coffee shops.
A couple years ago you sold off your house in the US and bought a condominium estate in a warm climate down south. Dance classes, music, sports, charity or even orchid growing associations are all great low-intensity options for staying busy while meeting new people.
One day you realize that while you were enjoying your dream lifestyle the dollar hyper inflated, a bank holiday was declared and now your pension is gone and your savings are worthless.
The peso is no longer viable either. The shortfall of agricultural production, lack of shipping availability, and distribution personnel were the nails in the coffin of world commerce. During this chaos different modes of value may become viable at different times.
As travel grinds to a halt once again, the world decides that cash as a currency is too “dirty,” or “virus-laden” then they may demand an electronic system of payouts.
If in some scenario the internet is down, then food, resources and even silver or gold may have value as means of trade between people like us who are able to keep it together and continue producing.
This isn’t a problem for you because your assets are diversified between real estate, cryptocurrency, physical silver, gold, and even basic necessities such as seeds, tools, cigarettes, and even a little bit of alcohol.
People like YOU will earn fortunes during these times because they covered all their bases, including a long term investment in privacy coins on the digital blockchain.
Keep sipping your piña colada knowing that while this isn’t an “all-in” approach, it might pay off one day.
This article is going to give you a simplified explanation of cryptocurrency basics for the beginner investor and our reasoning as to why expats should invest in cryptocurrency.
What is the Blockchain?
Imagine a public database (the chain) with boxes delivering value and information (the blocks) from one place to another = via the Blockchain. Each box carries something we could describe as a “proof of work” telling the chain who it is from where and who it is going to there via “hash codes” which turns the information into letters and numbers which are essentially a unique address.
Privacy on the blockchain comes from private keys which only the the intended owner can access, while a public key, like the addresses listed at the bottom of this article, can be used by anyone who wants to send cryptocurrency to a friend or neighbor.
This is a very loose description. To fully understand the blockchain requires a constant exploration and study of the system. You won’t learn it all at once, or even overnight, which is why not everyone is running out and doing it. As wallet and exchange interfaces become easier to navigate, more people will begin to understand the function the system, while it and its assets will continue to gain value.
Our involvement has been via the Steemit ecosystem since 2017, where our editor, to date, has earned between $500 and $1,000 USD in “STEEM” a cryptocurrency paid on the system via “upvotes” and redeemed via TRON. Justin Sun is the owner of the company which bought Steemit in February of 2020. Read more here >>
Hopefully by now you are seeing that blockchain based ecosystems do exist. There’s a facebook equivalent called Flote, which has crypto-transaction infrastructure. Will they eventually adopt a payout system similar to Steemit?
As our income potential changes, so must our strategies. Cryptocurrencies should not be seen as an all-in investment strategy. It is only one of what should be many diverse strategies to protect against hyperinflation, or currency devaluation scenarios. It is not superior to physical assets, only a possible avenue at an opportune moment.
What is Bitcoin (BTC)?
The core function of Bitcoin is to create monetary transactions which can’t be edited or hacked. It’s creator, Satoshi Nakamoto referred to it as “a new electronic cash system that’s fully peer-to-peer, with no trusted third party.”
When you purchase cryptocurrency, Bitcoin (BTC), is your starting point. Like many countries who have to convert their currency into dollars in order to conduct international trade, Bitcoin is the starting point for moving money when you are a beginner.
Related Crypto News: Pablo Escobars Brother Announces His Own Privacy Coin
The limiting factor of Bitcoin is that everyone, even the central banks and/or government, can see who is moving what amount of money at any time. This transparency has opened the door for legislation regulating taxes for people who use BTC.
Due to the overwhelming amount of red-tape from the US tax authority, the Internal Revenue Service, there are crypto exchanges which have either blocked Americans or put them on separate platforms in order to comply with IRS guidelines governing tax information disclosure. Binance is an example of this situation. Here’s a segment from another article laying out the situation:
“The worldwide platform has been the target of regulatory scrutiny since its debut in 2019. Regulators in the United Kingdom and Italy have also banned them from operating, whereas officials in Hong Kong and Japan have alerted investors about it, among other things. According to a report by Bloomberg, the US government had been investigating on tax fraud, money laundering, and insider trading as recently as September 2021.” Read More Here >>>
As governments around the world tighten their belts and the taxes rain down, privacy focused individuals will need new strategies. There are ways to save part of your assets from a bankrupt system which is hungry for every last scrap it can get.
What is Privacy Coin?
If Bitcoin is the fully transparent industry standard or starting point, privacy coin is your destination. There are many decisions which we, as men and women, must begin to make. One of them is how intrusive we are going to allow governments to become with regards to our financial decisions.
The best way to secure that privacy is through cryptocurrencies which guarantee both security and privacy. Here are the ones we like, and some of the reasons why we recommend them.
Note: This is not meant to be financial advice, only our opinions about Why Expats Should Invest in Cryptocurrency as a hedge against inflation, and which coins we like!
Monero (XMR), is the oldest, most mature privacy coin which is readily available on most exchanges. It can also be sent between most crypto wallets easily much like Bitcoin. This is our top pick as a privacy stable coin.
If one of your other coins suddenly shoot up in value, you can transfer some of that value into Monero to guard against a situation where it goes back down. When it goes back down, you purchase again and then ride the wave back up – rinse and repeat.
Piratechain, is the DOGE coin for the privacy minded. It was created on April 29th, 2018 which means that as of this publishing it has had four years to stabilize and begin to present its potential.Not only does it have a very trendy image, it captures the freewheeling sensation we get when we see Jack Sparrow sailing off to adventure in Pirates of the Caribbean.
This one is much cheaper to get into than Monero and has a lot of future gain potential as it continues to stabilize. You will see at the bottom of the page that we are leaving both Piratechain and Monero addresses below if you would like to contribute to future articles and investigations.
Dero, is the coin for online freelancers who want to create contracts at the same time they receive payments. Also very inexpensive to get into, some of the crypto investors we follow feel that it will be a good bet for the future.
Disclaimer: We do not claim to be experts about cryptocurrencies. Our ideas about why expats should invest in cryptocurrency are based on personal opinions, research and experiences. If you want to learn more about cryptocurrency, follow the people we follow at The Dollar Vigilante.
Why Expats Should Invest in Cryptocurrency to Safeguard Against Inflation
The two things we find to be universally true about expats is their willingness to experience a new adventure, and the idea that we can improve our lives by going abroad. Hurdles to life abroad can include moving money across international borders, and exchange rate fluctuations.
One of the robbery set-ups that are common in Colombia, are inside corruption – bank tellers who work with an outsider to let them know that someone is pulling out money. Then that person might get dosed with scopolamine to make them more cooperative. If you store value in Pirate you remove that middle man who can potentially give away your data, the same way Bitcoin reveals transaction data.
If a criminal, or government, doesn’t know about it, they can’t take it. And that is why Expats should invest in cryptocurrency to safeguard against inflation.
Another reason to spend time learning cryptos is exchange rate fluctuation. Especially if you have an American bank account, you will face hurdles getting your physical cash into electronic currency without facing scrutiny.
We have had our card company put a “suspicious activity” block on transactions with Atomic Wallet. This led to a call to the bank to get the block taken off and move forward with the payment. A little bit of bitcoin, moved into another exchange, changed into privacy coin, and we go back to hodling.
If that bank fails – our cryptocurrency will still be there because it is in a completely different place and the rules or framework is much more private.
The best way to get started, is buy a little bit, move it around, and learn to feel at ease with the transaction protocols that can help you protect your assets during market fluctuations. There are pitfalls, you must do your homework.
But…you will sleep better knowing that you have another option that doesn’t recognize new frontiers, only a long number/letter password which leads to your private stash.
How do I get started?
It is easier to start with a bigger exchange like Edge Wallet, or Atomic Wallet with Bitcoin, and then send it to an alt-exchange like TradeOgre.com where your anonymity will be more well preserved.
In May 2022, we bought $200 worth of Bitcoin on Atomic Wallet, then exchanged it for Monero, where it has remained trapped due to some kind of incompatibility with recent upgrades of the app. Bitcoin didn’t have an issue.
Keep in mind that you must find a careful discreet system to save your passwords. Don’t put them on your cell phone, or in easy to access folders. If you write it down physically have a system for keeping it hidden and secure.
When you send money, it must be in the same type of currency, and you must pay close attention to the address when you go to copy/paste it. Always double check the beginnings and endings of the address you are sending to. Don’t be afraid to verify it letter for letter.
Accidents can and do happen, so test it by sending a little, verify that it arrived, then send the rest.
If one day you need to pay for something that goes beyond your UBI allotment, this will give you a more private option to ensure you get all the basic essentials you need to live comfortably in times of chaos.
Never invest more than you are willing to lose. Always buy low and sell high. Don’t let emotions get to you. Use your head, not your heart.
If you found this article helpful and would like to support our growth and content production, feel free to make an anonymous donation of Pirate (ARR) to the following address: zs17w8uf0snq3wnl7qnj95r3qy237kr5lcuwusu0gxut0f3pghr75v8p547j9hml2grv06uvfveut2
Or Monero (XMR): 82aF2iZqf9p5SRPHiQHQroSucTmiphHxh5o8vq3o4Ro9a7hyQb9y9fkBdVJ9nfiaUXTnTSLRCvuWMfxBzXgBTkPbHzzrwvt
For the cost of a cup of coffee ($5/month) you an also donate to us via Patreon and unlock exclusive content revealing the inner secrets of the coffee axis and Colombia:
Sources Why Expats Should Invest in Cryptocurrency:
- Blockchain basics: https://pirate.black/beginners-guide/blockchain/
- Why is Binance banned in the US? https://www.cryptopolitan.com/why-is-binance-banned-in-the-us/
For more information about how to get involved in cryptocurrency, or to find a lifestyle abroad in Colombia, Click here and keep reading! >>>