"The Psychology of Money" by Morgan Housel is the book I've re-read the most in recent years.
Packed with insights on investing, mindset and our relationship with money. Very valuable with the current pace of markets.
Here are 8 takeaways 🧵
I feel like people do not fully understand how much life changed for our species between 1900 and 2000.
I still struggle to comprehend it.
These events are 66 years apart.
~Thread of quotes~
1) A fit body, a calm mind, a house full of love. These things cannot be bought - they must be earned.
~ @naval
For every retweet, I will add another.
The only "fundamental" who pays in the markets.
Others fundamental is generally an ego trip to know - afterwards- if you were right or not (hint: being right, rarely pays).
When trading, moods will want to influence your decisions.
How to minimize this:
• Have a plan
• Know thyself
• Trade sizes that keep your emotions in check
• Don't focus too much on money
• Focus on trading well
• Understand your system—what it's attempting to do
Government on Bitcoin:
2012: 😂
2013: 😂
2014: 😂
2015: 😂
2016: 😂
2017: 😅
2018: 😂
2019: "Bitcoin is unstoppable money. Bitcoin, not shitcoins. Bitcoin is nothing but thin air. Bitcoin is a risk to the system. Bitcoin is a store of value like gold."
That escalated quicky.
When I got into Bitcoin, the only thing I was sure of was that I was late to the game. It was hundreds of dollars for 1 BTC - so expensive! Clearly the ship had sailed.
It always feels that way at first. We’re still early and it’s still cheap.
1₿ = 1% of 1%
Wholecoiners are the 1% of the 1%.
So many bitcoins are already owned by early adopters that the number of people who can ever own one whole bitcoin is fewer than a million (there will only ever be 21 million bitcoins), in the 99.99 percentile of people on Earth.
This is an important talent in finance since being wrong is such a big part of the process. The best investors are wrong A LOT. But they learn to be wrong less often and in less destructive ways.