I just sold pretty much my entire stock portfolio and I'm now putting
it into Bitcoin, and in this video I'm going to explain why.
Stick around.
Greetings SuperFriends, Jonathan Levi, and yes, I did it.
After many, many years of deliberation, hem hawing, and
begging my wife, I finally did it.
I sold just about my entire stock portfolio on all the various different
apps from Robinhood to Wealthfront,
and I am now in the process of gradually putting that money into Bitcoin.
Yes, I have exited the market and I know that right now is literally the
worst time to sell because the market is at pretty much record lows, but I
wanna walk you all through why that decision came to be and why I feel
like this is the right decision for me.
Now there's a few different factors I want to consider here
and things that I wanna point out.
The first is just the caveat and being completely transparent, I really only
had about 5% of my net worth in the stock market as it is, and I have
a significantly larger percentage of my net worth already in real
estate, Bitcoin and other things.
I'm a really big believer in real estate for a simple reason:
real estate is cash flowing.
And I do not believe that having a higher net worth, as in tens of
millions of dollars worth of Bitcoin or a hundred million dollar stock
portfolio, is going to improve my life or the quality of life of my family.
What I am interested in, especially as I transition towards working more in the
Bitcoin space on projects like this, which frankly don't really pay the bills, I'm
interested in monthly cash flow, and my stock portfolio was just not doing that.
So, whereas when I invest in real estate, I can get 5 to 8% of my money
back every single year and live off that money and enjoy that money and use
that money to spoil my beautiful wife,
who's sitting right behind me.
With the stock market, I was getting incredibly low dividends,
somewhere in the range of 0.7%, and that's not much better than putting
the money in a savings account.
Now, I went back and I looked at my stock portfolio from 10 years ago.
I dug up the statements and I realized that the amount of money that I was
playing with, 10 or even 8 years ago, was less than the amount it is today.
Leave that entire lie and story that they tell us, you know, on average, the
stock market performs about 4 to 7% a year, and if you put that money in the
stock market for 40 years, even a hundred thousand dollars will be like 10 million.
It's all bullshit, you guys.
It's complete bullshit because that narrative has been carefully crafted
by the folks on Wall Street who wanna get people like you to put
your hard-earned money into what is,
honestly, not that much better than a basic Ponzi scheme.
The stock market is largely dominated by tremendously large hedge funds,
algorithmic traders, and BlackRock.
And so they are able to manipulate it and they are able to win and beat you every
single time if you're a retail investor.
And frankly, even if you're putting in something big, like the S&P 500 as I was,
well, the numbers don't lie.
You can tell me that over time on average is gonna be so much better, but
let me present to you two scenarios.
One, I put this money in a stock portfolio in 2013 and today it's worth
less than it was almost 10 years ago.
And on the contrary, I put a similar amount of money at a similar
time period into real estate, and
that has more than 5x itself.
Not to mention it is paying out every single month in passive income
so that I can actually use that money to improve my quality of life.
So now that you understand all of that, you understand why I sold off this
entire shitty stock portfolio, which was doing literally nothing for me.
Now that doesn't mean that I am completely giving up on stocks.
I did keep one stock in my play portfolio and that is Tesla, which
I bought on the Robinhood app.
And the only reason I kept that is because I did really, really well on
that one stock, and I don't really wanna pay the capital gains, especially
not this year when I'm hoping to have some other large transactions.
So I'm delaying that and hoping that Tesla's gonna go up to a thousand.
But honestly long term, I'm gonna sell that too, because I just no
longer believe in the stock market.
It's people betting on the future of a company.
And as my wife and I have seen with her company stock, it really has nothing to do
with the actual performance of the company and everything to do with speculation.
And I talked about this in a past video when I talked about why people don't
respect Bitcoin and why that is wrong.
So, what am I doing with the money?
It is a large sum and yes, I have decided to put all of that money into Bitcoin.
Doesn't mean that I'm gonna put all of my money or my family's money into Bitcoin.
I'm still heavily investing in real estate because I believe it offers things
that Bitcoin cannot offer such as, as I mention, passive income every month
and also tremendous tax benefits that don't exist in any other asset class.
Things like being able to 1031 exchange and roll forward your tax basis and
never pay the appreciation taxes, and the ability to bequeath or give your children
tremendous amounts of wealth up to 10 or 11 million with no inheritance tax.
That's something you can't do with cash, Bitcoin stocks or anything
else, but you can do with real estate.
So I'm still very much a believer in real estate, but I have to say that this
small amount, this amount that I was just gonna let ride in the market, I'm
putting it all into Bitcoin gradually over the course of weeks and/or months.
But I can say I have already put a lot of that into Bitcoin
and I already feel much better.
I believe as many of you probably believe that Bitcoin is not only going
to a hundred thousand dollars, but it is going to a million dollars, and
that's not the reason I'm buying it.
To be honest, I don't care if it stays exactly where it is.
What I care about is the fact that over the course of 10 years, I actually
lost money in the stock market, and that's before you factor in the fact
that we've seen 9, 10, or even 12% inflation in the last 2 years alone.
So in addition to actually losing dollars, I've lost an even larger
percentage if you factor in inflation and you count in purchasing power.
So I'll be very happy if Bitcoin just keeps up with inflation and
stays at a certain level where I can get the same level of purchasing
power as when I buy that Bitcoin.
But that's not at all what I believe is gonna happen.
I believe that as we get to the next halving in 2024 and beyond,
Bitcoin is only going to skyrocket higher and higher and higher.
And I like the idea of at least beating inflation, but I also
love the idea of being able to use that Bitcoin in the future.
Again, I'm not a person who goes for moonshots.
I'm not interested in having a huge payday in the future.
I'm investing in Bitcoin because it is a hedge against inflation.
But I'll be very happy if it does much, much more.
But let me know
in the comments below, what do you think?
Are you still invested in the stock market?
Do you believe in the stock market?
Do you think I'm an idiot for pulling out of the the stock market?
I'd love to hear all your comments.
Make sure you're subscribed 'cause I've got a ton of
great content coming out soon.
Thanks for watching and take care.