Friday August 19, 2022 ▪ 3:00 pm ▪
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Retirement does not have the same meaning among workers. For some, it refers to the cessation of professional activities and the collection of a pension to cover the former employee’s fixed expenses. For others, it may mean the end of a state of stability and the beginning of financial vulnerability. This is where retirement savings products come into play. If it weren’t for this inflation, many retirees wouldn’t have to worry about their future. However, she made sure that all the plans fell through. That is until the bitcoin option comes along.
Bitcoin, a serious retirement plan?
No one has been left behind by the current inflation. In France, the posting rate is around 6.1%. We have not seen for 10 years if we take this curve of French Inflation into account.
It will not stop until there is stability in terms of energy prices. And you are not unaware that the war waged by Vladimir Putin in Ukraine does not help things at this level. In addition there is the increase in the prices of food products, services and others.
Our government may take things in hand, but nevertheless it is impossible to have a positive impact on millions of families in France.
For French pensioners, there is a bill related to purchasing power that politicians have been working on for some time. The Minister of Economy does not hide that he comes to the rescue of these people.
But since the war between Russia and Ukraine is still not over, will our Retirement Savings Plans (PER) be able to withstand inflation?
Such a question makes us review the existing solutions.
What about bitcoin as a new retirement account? Elsewhere, the alternative is already being discussed. This is especially true in the United States, where representative Byron Donalds has established a project to include it in 401 (K) retirement plans.
By the way, in the land of Uncle Sam, retirees have Fidelity that facilitates the placement of bitcoins on similar plans.
Note also that there is a rapprochement of bitcoin with American devices of the type Individual Retirement Account which we developed at the beginning of the year. As a token, the IRA is equivalent to our Individual Retirement Savings Plan (PERIN) in France.
In short, the integration of bitcoin in the retirement savings plan is not at all utopian.
How can bitcoin help retirees?
A contributor from Bitcoin Magazine believes that bitcoin would be a retirement investment for several reasons.
Bitcoin is appreciated forever
We all know that bitcoin is limited to a maximum supply of 21 million coins. That’s what we call ” inelastic supply “. Thanks to this, the value of bitcoin will keep increasing with the demand. The principle of scarcity of obligation.
By adopting bitcoin as a retirement fund asset, all employees will be guaranteed that their holdings will be reviewed upward when they leave. Imagine that one day the prediction by Finder experts that the price of bitcoin will hit $193,000 in 2025 comes true. How much will you earn in 2 years buying at the current price of $23,000?
You are the only controller
Thanks to bitcoin and blockchain, the ability to bypass banking services and related fees is emerging. You have surely been among those who complain about the high cost of retirement banking services.
In addition to the deductions made from your assets, there are also hidden costs that will sooner or later affect their value. But at the moment of discovery, there will be no going back.
To say that with bitcoin, you have transparency, 100% control over your assets and a lower cost of ownership. In fact, buying is simple hardware wallet enough to secure the proudly purchased bitcoins. Do not steal or collect without your knowledge to fear.
Bitcoin rims with no tax
With cryptocurrencies wisely kept in a cold Ledger wallet, it will be difficult for the state to force pensioners to invest in anything. And even less to levy taxes on these assets.
FYI, be aware that BTC and ETH are tax exempt in Germany in case of sale. Provided they are kept for a period greater than or equal to 1 year.
In short, this leads us to rethink existing retirement plans, both for employees and financial players. Bitcoin and other cryptocurrencies already have open opportunities to deal with inflation. All that remains is to adapt, and even innovate, the offers for retirees to ensure a peaceful retirement.
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The blockchain and crypto revolution is underway! And the day the effects are felt on the most fragile economy in this world, against all hope, I will say that I was involved.