Jean Galea

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How Personality Tests Help You Understanding Yourself

Published: September 14, 20222 Comments

personality tests

One of the most important journeys we need to embark on throughout our lives is the journey of self-discovery.

I truly believe that many people make big mistakes in their lives due to not having dedicated enough time to themselves and really understanding what makes them tick and what they need to be happy.

Enter Personality Tests

One of the best bang-for-your-buck investments in learning about yourself is to take personality tests. There are many free or cheap ones available online and they can bring out amazingly accurate descriptions of you and your skills.

Tip: Always show the results to someone who knows you well and ask them whether they feel it’s an accurate reflection of your personality. Sometimes we are completely blind to elements of our personality that are very obvious to others who are close to us.

My Results

Here are the tests I’ve tried out and the results.

My 5 major strengths according to the Strengths Finder test:

  • Focus
  • Futuristic
  • Restorative
  • Discipline
  • Significance

My dominant tendency according to the Grethen Rubin Four Tendencies test: Questioner.

Another popular psychological test is the Myers-Briggs test. My result is INTJ, which stands for Introvert, iNtuitive, Thinking, Judging.

According to the Enneagram test I’m an Achiever.

According to 16Personalities, I am now classified as INTP-T (Logician), whereas a few years ago I had been classified as an ENTJ-T (Commander).

Another psychological test you might want to check out is the Big Five Traits test.

How Have Personality Tests Helped Me?

I have used personality tests in multiple ways.

Understanding Myself

Together with other self-discovery practices, like retreats and working with a psychotherapist, personality tests have helped me unearth my internal programming and understand what drives me. This has really helped me to understand what my close circle of friends should look like, as well as what I need to be doing on a daily basis to feel fulfilled.

There were also some behaviors that I saw in a negative light, but within the context of the results of the personality tests, I discovered they are actually strengths that I should potentialize rather than try to suppress, whether consciously or unconsciously.

Lessening Conflict within the Family

Unlike our spouses and close friends, we don’t get to choose our family members, and while typically we feel somewhat similar to our parents and siblings due to genetics and upbringing, there can also be some glaring differences between us.

Within my family, they have helped bring more understanding to certain behaviors that caused clashes between members. They have allowed us to know that there is no malicious intent when someone speaks or acts in a certain manner, but it’s simply a result of how they are internally wired.

On the other hand, once you understand why a certain behavior can be annoying to someone who is wired differently, you can adapt and be better equipped to avoid conflict.

Hiring People

I like to hire people primarily based on their character and not their skill set. I find it extremely hard to work with people who don’t share the same core values as me. Personality tests help achieve an initial understanding of candidates from a mindset perspective and help discover what their aptitudes might be.

Have personality tests helped you? Do you know of any other good tests? Let me know in the comments section below. 

Filed under: Thoughts & Experiences

My Next Project – Becoming an Artist

Last updated: February 10, 20231 Comment

gen art example

One of my very first generative art experiments

Over the course of my adult life, I’ve come to realize that I really enjoy going on multi-year adventures where I dive in really deep into one topic and strive to become world-class at it.

I guess that in a way it’s similar to those journalists who decide to write a book about a specific niche or industry and spend months or even years getting to know the ins and outs of it, interviewing people etc. Authors like Michael Pollan come to mind as an example.

Through my exposure to NFTs, I slowly got really interested in art and art history. I’ve always been a very visual person, but discarded any interest in art early in my life as I felt that I couldn’t really draw, and art meant drawing in my head.

This interest in art is totally new to me, as I had previously always been more interested in technology, and later on in life in finance and investment.

In recent years I’ve taken an interest in world history, and art is really an integral part of that as well. I feel that the great art pieces that have survived offer us windows into historical daily life and important events, but without knowing how to look at art and appreciate what the artists are trying to say, much of that knowledge is inaccessible.

I’ve since discovered that the art world is so much broader than “drawing” or “painting” – there are many roles to play and art history is deeply fascinating in its own right. As I started to educate myself and dig into the history of art I learned that the art we create is a very sincere reflection of the collective thoughts, struggles and trends of each generation.

I became fully engrossed in learning as much as possible about the art world – the history and different art movements, famous artists, the financialization of art, art fairs etc.

I’ve also decided to teach myself how to draw, as I realized I had never given myself a real shot at it when I was young. Having a young son that is creating his first drawings provides me with the perfect opportunity to learn alongside him and spend quality time together.

Much of my studies so far focussed on the following:

  1. Art history
  2. The Art Market
  3. Creating my own art

The art forms that are most accessible to me as a creator are:

  • Generative art (I can code and like to think I have good taste)
  • Photography (was big into that when I was younger)
  • Simple art with a philosophical message (line drawing and zentangle are of particular interest)

Generative art was how I got started really as it was the most accessible art form due to the NFT connection. I started out by collecting a few generative art pieces as part of my NFT journey, then eventually had the pleasure of meeting some top generative artists whom I found to be really deep humans and supremely interesting in their way of thinking. The fact that generative art is created by code makes it much more accessible to me. In a nutshell, it’s something that I can see myself being able to create, since I’ve studied computer science and spent several years developing software products.

Another early simple example with p5js

I do know that I am a very creative person, but so far my only real avenue of expression has been writing, and that has its limitations. An image can evoke an instant emotional impact and provide a visual sensorial pleasure that words cannot.

My plan for becoming immersed in this world is as follows:

  • Learning the history of art
  • Understanding the main art movements to date
  • Appreciating the biggest artists and their works
  • Cultivating relationships with generative artists
  • Experimenting with generative art

I’ve also started my own online community, and one of our subgroups is dedicated to art and NFT collecting, where I’ve gathered a nice group of collectors and artists. If you’re an artist or art collector and want to connect, I’d love to do so, just contact me.

What I’ve done so far

I’ve gone all in on art and am trying to learn as much as possible to get myself to a level of decent understanding. I had zero knowledge of art so far in my life, and I’m working hard to change that. That means reading books, attending conferences and fairs, speaking to artists and collectors, watching documentaries, and doing my own art experimentations.

Keep in mind that, as I mentioned, NFTs were what got me into art, so a lot of what I’ll be doing will probably be skewed toward this space and digital art.

NFTs solve many of the big problems present in the traditional art market. Authenticity, opaque pricing, difficulty in logistically acquiring art, and storing art problems are vastly improved with NFTs. While other NFT use cases are still experimental, the art use-case is the strongest, in my view.

In 2022 I attended some big NFT events, the chief of which was NFT NYC, which was an amazing week. But one of my best highlights was a little-known conference taking place that week, Token Art, where I got to mingle with the exact crowd I was craving: generative artists and early collectors.

Token Art – one of my highlights at NFT NYC 2022

I’ll continue to post any highlights of my journey here for accountability and tracking my progress, and also for the benefit of anyone looking to do the same thing.

  • Attended conferences:
    • Token Art (NYC)
    • NFT Show Europe (Valencia)

YouTube Channels

I’ve also been going through the following channels on YouTube:

  • Antonio García Villarán – commentary on artists and styles (in Spanish)
  • Art History School – commentary on artists and styles (in English)
  • Perspective – broad analysis of art
  • The Conspiracy of Art – explanation of misunderstood things in the art world
  • The Coding Train – best free p5js tutorials

Books

Here are some books about art that I really enjoyed:

Art History

  • The Story of Art
  • Garder’s Art through the Ages

Art Market

  • The $12 million stuffed shark
  • The Art of the Deal
  • Boom: Mad Money, Mega Dealers, and the Rise of Contemporary Art
  • 7 days in the art world

Being an Artist

  • Steal like an Artist
  • How to be an artist
  • 7 days in the art world

Art and Mathematics

  • Mathematics & Art: A Cultural History
  • Math Art: Truth, Beauty, and Equations
  • The Golden Ratio: The Divine Beauty of Mathematics

Doodle Art

  • One Zentangle a Day
  • Doodle Art Club

Websites

There are a ton of websites you can learn from, and Instagram is always a great source of inspiration. Cravepainting has a great post on how to learn drawing where you can find more tips on getting started.

  • Cravepainting
  • Artwork Archive

Video Courses

  • Skillshare
  • Khan Academy
  • Coursera

Museums

Visiting museums is one of the best ways to learn about art, since they offer you an amazing way to experience art up close and personal, along with snippets about each artwork. Start out by visiting your local art museum, and then aim to visit the leading art museums in the world.

I found it really interesting as a beginner to read about each era of art and the motivations behind the artists who pursued these styles. I think it gives a great grounding in art history to know these more or less by heart, and makes visiting museums a more pleasurable experience:

  • Medieval art
  • Renaissance 1300–1600
  • Baroque 1600–1730
  • Rococo 1720–1780
  • Neoclassicism 1750–1830
  • Romanticism 1780–1880
  • Impressionism 1860–1890
  • Post-impressionism 1886–1905
  • Expressionism 1905–1930
  • Cubism 1907–1914
  • Futurism 1910–1930
  • Art Deco 1909–1939
  • Abstract Expressionism 1940s
  • Contemporary Art 1946 — present

I’ve been to the following major art museums:

  • London art museums:
    • The National Gallery
    • Tate Modern
  • New York art museums:
    • MOMA
    • Guggenheim
  • Berlin art and photography Museums:
    • Alte Nationalgalerie
    • Neues Museum
    • Pergamonmuseum
    • Bode Museum
    • Hamburger Bahnhof (Under renovation – terrible in current state)
    • Museum für Fotografie

I’ll continue to populate this post throughout my art journey, and in the meantime, please do let me know of any resources you recommend.

Photographing Art

I was initially going to focus mostly on generative art and drawing on my iPad, but I really fell in love with using physical materials to produce art. The problem I then faced was how to photography that art in order to upload it in digital form to the web.

Luckily, I have the latest iPhone as well as a DSLR with a macro lens, both of which do a great job at this task. The trick was stands and lighting. Again, I used what I had handy, two tripods from Manfrotto and Joby, and 2 Aputure MC lights. Here’s a video showing a setup using these lights.

Products

  • Canvas
  • Neewer Ring Light Kit
  • Phone stands

Articles

  • 8 simple Tricks to take great Photos of your Artwork
  • 4 Steps to Photographing Your Art Like a Professional
  • 4 Tips To Taking Great Photos Of Your Artwork

I’m looking forward to being able to focus more and more on art as I re-align my life around this new aim. This is an exercise that is never easy, and there is typically a big trough of self-doubt when the initial excitement wears off. Time will tell how far I can take this, but for now, I’m enjoying the ride.

Filed under: Thoughts & Experiences

How and Why I Launched an Online Community / Startup Society

Last updated: February 10, 2024Leave a Comment

I’m the founder of an online-first community called The Good Life Collective. I started the community in 2022, and in this article, I’ll tell you the story of why and how I embarked on this journey.

First of all, who is the community for?

The Good Life Collective is a community for high-agency people who embrace a growth mindset and are focused on continually bettering themselves. We help each other to achieve breakthroughs in health, wealth, relationships and wisdom.

One of our core beliefs is that a good life can only be lived by surrounding ourselves with the right people and playing long-term games. We are not looking for an echo chamber; the only way to grow is to be open and continuously challenge our views through deep and meaningful conversations, experiences, and active knowledge-seeking.

In this article, I’ll give some background as to why I started the community and what motivates me to nurture it.

Here goes…

Why Start a Community?

But where did the idea of myself starting a community come from?

Over the past 15 years, I’ve been delving into the history of religions, civilizations, and politics, and it became apparent to me that humans thrive when they are part of some type of tribe that they are passionate about. I saw how the internet had offered us the possibility of connecting with anyone globally, but at the same time, also resulted in humans becoming more isolated in their online worlds, with depression rates and loneliness sharply on the rise in the last decade.

There had to be a new way of connecting and building tribes for the internet (metaverse?) age.

But let’s rewind a bit more and go through the timeline that brought me to the point of starting a community…

The Influence of Religion

I grew up in a very religious country, and I got exposed early on to the power of tribes that rallied behind a well-defined set of ideas and principles.

During my youth, I was pretty active in a couple of small communities under the umbrella of the local Church, and those groups were very beneficial to me in those formative years. I have many fond memories of the experiences I had and the relationships built during that period.

During my twenties, however, it became all too apparent to me that religious belief was no longer compatible with my worldview, and as I slowly exited all involvement with the Church, I also started thinking about how to recreate some of the best elements of religious life within the secular world.

The Digital Nomad and Expat Life

Apart from renouncing any notion of organized religion, I also left my country of birth (to which I had been very attached) and got married to a person who came from a pretty different culture from mine. Together we traveled extensively in a digital nomad fashion before that term was even a thing.

We eventually slowed down and decided to start building bases for the longer term, thus becoming expats. The experience of marrying into a different culture, and exposing ourselves to radically different ways of living forced me to become much more open to new ideas and experiences.

It instilled in me a deep desire to learn more about the world we live in, the people that have inhabited it over the ages, and the reasons for their behaviors. I must also mention that this period of growth and transition into becoming a citizen of the world was quite painful at times. It’s not easy to accept radically different behaviors, and you’re forced into expanding your tolerance threshold as well as reading up on various topics to try to make sense of those behaviors.

Along with religion, over the past few centuries, citizenship has been one of the most defining traits of every person.

It all started with the French Revolution and the concept of tying everyone together in a new and equal national community. Being a citizen meant more and more perks over time (think education, healthcare, jobs) and of course, some responsibilities too (like joining the army, serving on a jury, paying taxes). This was different from the usual talk about human rights – it was about making equality real and practical, not just something that sounds good on paper.

This whole idea of what it means to be a citizen – and the state’s role in it – hit its high point in the 60s and then started to lose steam. It’s still about belonging, whether you’re born into it, inherit it, or earn it by sticking around long enough. But the concept has become less substantial, you could say. Rights have been trimmed back (so long, welfare state), duties have lightened up (less tax pressure), and some are even gone for good (like mandatory military service). With the rise of the ‘every-man-for-himself’ mindset, citizenship turned into something you can trade, like a commodity. You can now buy passports from countries like Malta and Cyprus, among many others.

These days, people are also much more mobile. They move around depending on the conditions and are much more likely to date and marry people from other countries. This means that many of our children have a much weaker nationality trait than we had. I think this is a very positive thing and allows us to form richer relationships and develop a greater understanding of the world and its many cultures. However, it also means that we need to think harder about which values we want to espouse as families and communities.

Bitcoin’s Impact on My Views

At some point, I went down the Bitcoin rabbit hole and quickly understood that it was much more than an online-native currency. Indeed this was the gateway to a new way of life. It was unsurprising to see people rally behind Bitcoin with such enthusiasm, displaying the kind of fervor commonly seen within religious communities.

Perhaps the biggest lesson Bitcoin taught me was about the importance of looking at people’s incentives as well as embracing low time preference. The phrase “Don’t Trust, Verify” is very popular in the Bitcoin community and can be applied in many areas of our lives.

Connecting with People Online

While building several online businesses and enjoying success as an investor, I shared my insights and life lessons on this blog. Through my writing, I ended up developing some very deep connections with people who resonated with my writing and reached out to me to talk further and even meet up.

Although I thoroughly enjoyed these conversations, it eventually became obvious that I couldn’t possibly sustain many 1-to-1 chats over the long term, and a better solution was needed. I also found myself connecting people or wishing that we had some space to collectively think through certain ideas that arose in those 1-to-1 conversations.

Building Products and Services Community-First

The indie hacker community, which typically consists of solopreneurs who build products and services in public, has served to highlight the importance of community in the early stages of entrepreneurship. These indie hackers are very active on social media platforms like Reddit and Twitter and share their daily ups and downs. Over time they build a community that is interested in their journey and what they are building, and this gives them valuable feedback in their initial iterations, as well as ensuring they have an audience ready to buy when they launch their product to the world.

A more extreme version of the concept took place in the first NFT boom. Here we saw that community was everything. I believe this worked especially well because we were still in a Covid era and people were sorely missing their regular communities, hence the drive to find alternatives online.

Through NFT-based communities, I was able to connect with many like-minded people very rapidly. As a sidenote, they also served as an onramp to the art world, which I had previously felt distant and excluded from.

NFTs and Web3 made me realize that we might be witnessing a shift in how products and services come to market. Rather than a startup founder having a stroke of genius or systematically reading trends in certain cultures and subsequently building products to address the perceived wants and needs, we can now start with building a community first.

Once the community is formed, we next form alliances and small teams within that community and build products and services that directly address the needs of that community. Chances are that those products and services will also be valuable to thousands or millions of people who are not yet part of that community.

While the jury is out on whether the NFT way will stand the test of time, there are obvious signs that communities will be more and more important for the creation of products and services in the future.

The Network State

Ideas about online communities have been circulating and becoming more insistent and defined in the last few years, especially with the rise of NFTs, social tokens and DAOs.

But one of my favorite thinkers, Balaji Srinivasan, released an amazing book entitled The Network State in 2022 that takes things to the next level. He proposes the idea that distributed states will rival the monopoly of nation-states in the future. This is a very Bitcoin-centric and libertarian view of things, but it aligns a lot with my worldview.

Here’s a short definition of the network state as Balaji envisions it:

A network state is a social network with a moral innovation, a sense of national consciousness, a recognised founder, a capacity for collective action, an in-person level of civility, an integrated cryptocurrency, an archipelago of crowdfunded physical territories, a virtual capital, and an on-chain census that proves a large enough population, income, and real-estate footprint to attain a measure of diplomatic recognition.

Of course, there are also intermediate community setups if one does not wish to establish a full-blown new state. A startup society is what the initial community can be described as, and successive iterations and growth will determine how far along the network state model it eventually lands at. Balaji’s thinking encapsulates most of my thinking on the subject and has given me extra motivation to continue building this community and exploring the possibilities that technology is now enabling.

The Good Life Collective would most likely be described by Balaji as a startup society, which is the initial phase for building a network state. There is no necessity to go all the way to becoming a network state, a community can find its sweet spot at any point in the continuum between startup society and a full-blown network state. I might add that it remains to be seen whether the network state is even achievable. That would be one monumental milestone in human history for sure.


All these elements in my personal history led to me launching this community as an experiment, but as it gained traction I soon realized that this was something that I had an inner calling for. Hence I decided to dedicate my time towards building a community and iteratively continuing the experiment.

After looking at why I created the community, let’s delve deeper into the who, as in, who is this community for?

Who Should Join the Community?

Right from the start, it was very clear to me that I wanted to curate the membership process for the community.

Therefore I decided to seed the community with people whom I have met and who have left their mark on me and my way of thinking. I also wanted to use my judgment to make sure that every new member was a good fit with the rest of the group.

The Internet – A Noisy Place

I feel that the internet in general has become an extremely noisy space. Giving a voice to everyone turns out to be pretty chaotic, and we all tend to waste too much time on people spouting nonsense that we shouldn’t be reading in the first place, let alone engaging with.

Secondly, even in communities that are focused on specific topics, it is still a struggle to keep a cohesive conversation going, and discussion often degenerates into noise and filler talk.

Real Names – Real People

One of the pillars of the community is openness, members must be comfortable letting the rest of the group know their real names, professions, interests, locations etc. Again, while there is a time and place for anonymous accounts on the web, I wanted my group to be an intimate place where people can feel comfortable knowing who they are sharing their thoughts with. This has fostered a very open environment where people are not afraid to discuss sensitive topics or personal issues that others might help them with.

The value you gain is directly related to how much you participate in the conversations. It has been my experience that the more you give, the more you get in return.

Freedom to Speak Your Mind

We are currently living in a world where political correctness and virtue signaling have become extremely important drivers of behavior, both online and offline. People get offended at the drop of a hat, and as a result, it’s become hard to get honest and hard-hitting conversations going. I wanted to hang out in a community where people can speak their minds without any fear.

Avoiding the Echo Chamber

The challenge with having a gatekeeper is avoiding creating an echo chamber.

The solution to the echo chamber problem, as I discovered, is to have people who have a shared set of core values and a specific mindset.

Balaji’s idea is that a society should have one commandment that is shared among all members.

Once we all share the same mindset and values, there is no problem with unnecessary conflict, while at the same time, there is enough flexibility to discuss topics where we can individually have wildly different opinions. The fact that the underlying mindset and values are the same enables us to speak freely about our differing opinions while keeping an open heart and mind to what others are saying.

To illustrate via an example, you can have a community that has a growth mindset and whose core belief is that “Bitcoin is the best form of money known to man”. While promoting fiat money versus Bitcoin is bound to cause issues within that community, there would be no problem with a discussion on, say, alcoholic beverages. You could have people discussing their passion for wines while others might be teetotallers, and there is no issue because the merits and demerits of alcohol consumption are not a core belief of the community.

So far, even though the chat channels are very active and a very wide range of thorny topics have been discussed, we haven’t yet had a significant conflict arise between members. I am convinced that the shared values and mindset are what enable this.

Is all this resonating with you? Apply to join the Good Life Collective here.

How to Start and Run a Community

Running a community is not an easy task, and you need to have very clear ideas on what you want from that community. On the other hand, a digital-first community gives you quite some flexibility in refining the scope over time. We are also lucky to have a plethora of tools designed specifically for running communities, while more mainstream and traditional tools like WordPress can also be adapted for most communities’ needs.

Chat Platform

The platform choice for building a chat-based community right now lies between two very successful applications: Telegram and Discord.

Discord

While I like the way a server can be organized and divided into various channels, Discord remains a niche tool with its own reputation, and in its current incarnation is not an ideal solution for a community unless it’s a community that falls into the gaming/crypto niche.

Telegram

Chat apps like Whatsapp and Telegram are more mainstream and straightforward. Telegram is better for communities than Whatsapp in my opinion, and most people I know already have their Whatsapp in a cluttered state. So Telegram offers a clean alternative to Whatsapp that most people who have used Whatsapp will find intuitive to use.

Website

The GLC website includes a member directory, recommended resources, upcoming events and other useful tools. I chose to build the site with WordPress since I’m very familiar with the system and it’s probably the most flexible one out there, giving me the agility to pivot features if necessary.

Mobile App

One downside of chat-based apps like Telegram is that announcements and important conversations get lost over time. That is why we are now building a mobile app that will house important announcements, polls and frequently used resources for easy access. The ability to use push notifications could also be very important.

Community Size

Group size is an ongoing experiment and I don’t have any big conclusions so far. At around 50 members it still feels very cozy and manageable, but I’m curious to see how that will change when/if we hit bigger numbers. One other benefit of the curated membership process is that we don’t have a sudden influx of new members. I can sustainably add members and take corrective action if we see that the chat is getting out of hand or if any other problem has been created due to bigger numbers.

IRL Meetups

I am a big believer that there is tremendous value in connecting with people in real life. I’m certainly not a fan of Zoom meetings with people that matter to me. Online meetings have their place and are a blessing in the work context, but I will always prefer meeting people face-to-face when I want to have a deeper experience with them. I also want to be able to share real-life experiences with my circle of friends, such as a good meal, a sunset, playing some sport, or enjoying time with our families and kids playing together.

For this reason, we are putting a lot of effort into IRL meetups during the year where we can get together and strengthen our bonds of friendship and have deeper conversations are encouraged.

In 2022 we had our main meetup in Barcelona, where 7 international families got together. It was amazing to see how smoothly things went, especially considering the number of young children present and the fact that most of the people were meeting each other for the first time. The feedback was great and I was impressed that we had zero issues during the whole weekend. To me, this was a sure sign that we have the right kind of people in the community. It was lovely to see the kids all playing together happily, as one of my main ideals is to give memorable experiences to our kids that they can remember and build upon as they grow older.

We also held a retreat in Montserrat, which was a much more intimate experience; only three members joined this time round. We spent 5 days together, working on our own stuff while also spending a lot of time walking in nature and discussing topics that came to mind. I like doing retreats of this sort and undoubtedly this is something we can expand on in the future.

I hope that we can also use these occasions to travel to new places and explore the world, in so doing also broadening our consciousness and understanding of world culture.

Conclusions so Far

The community has been a great success so far, and I am very excited about working to induct more members and add more value.

The initial injection of funds through the yearly membership will help build a pool of capital that can be used to start building things like a website, and has definitely motivated me to think up further things that can be done further down the line.

Here are some things I am thinking of implementing in the near future:

  • Small Mastermind groups.
  • Access to premium content on the website, curated lists, and a member directory.
  • Monthly group calls around a specific topic.
  • Periodic newsletter highlighting topics discussed and some other extras.
  • Further research and a report on certain topics discussed in the chat.
  • Events: retreats and city meetups.

Interested in joining the community or discussing the topic? Apply here.

Are you also experimenting with network states, startup societies, and online communities? Drop me a line, I’d love to hear about your experience. You can also leave a comment below.

Filed under: Thoughts & Experiences

Should You Buy Bitcoin Right Now? – An Expert Opinion

Last updated: April 02, 2024Leave a Comment

As Bitcoin goes through its ups and downs over the years, the question on everyone’s mind is whether this is the right time to buy.

“Hey Jean, do you think this is a good time to buy myself some Bitcoin?”

My inbox has been flooded with slight variations of this question, so I wrote this article to help my friends, family, and the general public process this decision and arrive at an informed decision.

I am a strong believer in the long-term future of Bitcoin due to its fundamental properties, which we’ll delve into later in this article. I have therefore been happy to buy at any price point since Bitcoin’s inception, as I think the price has a long way to go still and we’re in the early years of crypto, comparable to watching the dawn of commercial internet usage in the mid to late 90s.

I consider Bitcoin to be the best investment of our lifetime and will do my best to explain why I think so in the rest of this article.


How to Get Started with Bitcoin

I know you might now have time or even sufficient interest to read the rest of this long article, so again, if you’re already convinced about buying, here are my basic recommendations for entering the Bitcoin space.

In the meantime, if you’re already convinced and you came here looking for the best places to buy Bitcoin right away, here’s what you need to do next:

  1. Sign up at the leading crypto exchange Coinbase
  2. Transfer money (EUR, USD etc) from your bank to the exchange.
  3. Buy Bitcoin
  4. Start thinking about how you prefer to custody your Bitcoin.

There are hundreds of places you can buy Bitcoin from, but I would suggest that you stick to the exchanges that have been established for many years and have a perfect security track record. It’s important that these exchanges are regulated where applicable. These are my recommendations:

  • Buy Bitcoin on Binance – the exchange with the biggest volume worldwide) – read my review
  • Buy Bitcoin on Coinbase – the most well known exchange – read my review

They are the world’s safest, biggest and most reputable exchanges and you can’t go wrong with them.

I’ve also written a guide on how to buy Bitcoin in Europe where I go into further detail on how you can get your hands on some Bitcoin.

Once you have your Bitcoin, you can purchase a Ledger Nano to store that Bitcoin offline and away from any hackers.

Trade Bitcoin on Binance

If you just want to hold your Bitcoin while earning good returns, you can check out some crypto platforms that offer a savings account. My favorites at the moment are YouHodler and Nexo,but you can learn more about those options here.

Towards the end of the article, I will again discuss some of the ways that you can make money with Bitcoin.


Waiting to Buy the Dip

By far the most frequent follow-up question I get and the biggest block I see people facing, is this:

“What price should I buy at?”

I don’t believe in timing the market on any investment, unless there is a big macro event like the financial crisis of 2007-2008 and the COVID dip of March 2020.

Therefore, for any investment I make, I’m typically looking 5-10 years ahead and thinking about how much value that investment can generate within that timeframe. The whole crypto space is still in its infancy, and Bitcoin has enormous room for growth, thus any price point is a good entry in my opinion.

I think we’ll be seeing many more similar tweets in the coming months and years:

#Bitcoin is $40,400 right now.

You could have bought it for $29,000 last week. Still waiting for the dip?

— Bitcoin Archive (@BTC_Archive) February 6, 2021

Unfortunately, people are really attracted to the idea of buying the dip. The problem is that the dip may never come, and if you know people who did buy some dip, it’s likely that they were in a position to buy at an even lower price a few months earlier but didn’t have the courage to pull the trigger. If that’s not the case, in 90% of the cases I would attribute managing to buy a dip to pure luck.

Even in the case of the major macro events like the 2007 crisis and March 2020 dip, to make the most of those events you’d have had to have a lot of spare cash lying around and ready to be invested. Again, mostly, a question of luck.

See also: The Best crypto trading apps and exchanges

However, if you feel uncomfortable about choosing a particular price point to make your entry, consider investing a fixed amount periodically, say every month. In that way, you’ll smooth out any drastic price variances and you’ll be building up your Bitcoin portfolio over time. The disadvantage of that strategy is that Bitcoin might make a sharp move upwards in the meantime.

Ok, with those preliminary recommendations out of the way, let’s proceed with the reasons why I think Bitcoin is the best investment of our generation.


Why am I Bullish on Bitcoin?

In 2020, as a response to the COVID fears, Bitcoin dipped heavily in March and I had thought it was a great time to increase one’s Bitcoin holding, as the market was ruled by fear.

Since then, the price has risen steadily, breaking through its former all-time high in a dramatic way. As always, since we are still early, there are wild swings up and down, and that’s to be expected for an emergent asset class.

Before we continue, let me reiterate that nobody can predict Bitcoin’s price, and neither can I. Even if I had some hunch, I would not want you to blindly follow what I say, because I am against getting financial advice online.

However, I use this blog as my own small space to think about things, and writing is how I best formulate my ideas. As an added benefit, I get to interact with other investors and people whose ideas contrast mine, thus helping me further refine my thoughts.

The way I see it, Bitcoin seems to be following the stock-to-flow model when we view its price over the long term. Proponents of this model had predicted that the price of Bitcoin should reach somewhere between $100k and $200k at some point in the next few years. This is based on an analysis of the demand and scarcity of this asset, and comparing it to other assets like gold.

Read more: The Best Books about Bitcoin and Crypto

This is a very bullish target price, although it does seem realistic given Bitcoin’s ATH. Irrespective of the price swings, I remain very bullish on the Bitcoin network long-term, due to the fundamentals being stronger than ever.

Let’s now consider a few major themes that add to the bullish argument for Bitcoin.

Bitcoin’s track record VS the S&P500

Bitcoin has been the best investment asset within the past 10 years by a long stretch. Take a look at how it outperformed the S&P500 index during the past few years:

Bitcoin vs SP500

However, even with such a historical track record in place, I would suggest looking beyond the charts. The basis for my investment is a philosophical one based on my belief that Bitcoin solves a need as a totally independent store of value that is not at the mercy of any government or company. I am happy to invest some of my net worth in cryptos for this reason, and I know that I’ll be happy about my decision in the future whether prices rise or fall, as it is based on that reasoning and not just speculation.

Bitcoin as a Safe Haven

The US federal reserve printed ungodly amounts of dollars in 2020 and then pumped into traditional financial markets last year to keep them from faltering. The European Union followed suit. It’s quite logical that with more money in the system, the value of your existing stash will lose value as money is less scarce than it was before. Bitcoin on the other hand maintains its hard cap on the total amount that can ever be issued.

Hence we get a chart like this, where fiat currencies unequivocally lose value against hard assets like Bitcoin.

fiat vs bitcoin

Big institutions and corporate entities have understood this very well. In fact, their main play is that of protecting their financial reserves, rather than buying Bitcoin in the hope of exponential growth. They want to protect the store of value they have accumulated over the years, and they know that if they don’t buy a hard asset like Bitcoin that value will be greatly diminished by the effects of money printing and other fiscal policies.

The Great Upcoming Wealth Transfer

Check this report entitled “Inheriting USDs & Acquiring BTCs: How ‘The Great Wealth Transfer’ Will Fuel ‘The Great Bitcoin Adoption.’”

According to the report, if American Millennials were to invest at least five percent of their inherited wealth into Bitcoin (BTC), they could drive the price up to $350,000 in 2044. This would effectively give the generational group almost $70 trillion of value from a $971 billion investment.

With many older Americans on the verge of retirement, the report suggests those in younger generations who are not only more familiar with but more accepting of Bitcoin will have more options investing in the future.

“…a disproportionate percentage of the Millennials and Gen X will continue to be the driving force of adoption [of cryptocurrency] for the foreseeable future. While this can be explained in part by the fact that both generations harness a greater technological competence than their elders, we should also consider that bitcoin’s current volatility is unsuitable for individuals nearing or in retirement.”

Baby Boomers in the United States currently control approximately 57% of the total wealth, $50 trillion of which will pass to Millennials and Gen Xers in the next two years. This redistribution is referred to as the “Great Wealth Transfer”.

If younger people were to use just 1% of this wealth to then invest in BTC, the price could rise to $70,000 — if not more — in 2044. This is based only on investors in the U.S., meaning the actual numbers could easily be higher.

Bitcoin entering the Fourth Era

According to an analysis by Bitwise Asset Management, Bitcoin is entering its fourth era in which it will go mainstream, and if previous eras are anything to go by, we should be seeing a big run-up to $100,000 or more in the next 2 years.

European countries legalizing Bitcoin

As reported by Les Echos, Bitcoin now has the official status of money in France.

Meanwhile, Bitcoin has been qualified as a financial instrument in Germany. Portugal, on the other hand, is well-known as possibly the most crypto-friendly nation in Europe, and does not impose any taxes on crypto gains.

Bitcoin is the result of many previous projects and research

Many people seem to think that Bitcoin is a recent thing, even a bubble, but it can’t be further from the truth. Bitcoin has already been working for more than ten years, while being itself just the latest in a series of projects that tried to achieve the aim of a censorship-resistant and digital money and store of value.

Here’s a chart illustrating how far the Bitcoin prehistory goes:


The Biggest Hurdles that Bitcoin Faces

bitcoin problems

While I firmly believe that Bitcoin is here to stay and that we will see a massive increase in price over the coming years, there are still some big and important hurdles for this new technology to overcome before it can really go mainstream.

Investors in the crypto space should weigh both the benefits and problems of the space when putting their money into any crypto project or asset. The benefits and problems are not set in stone, both can change over time.

Many people believe that Bitcoin has already gone mainstream, but the reality is that outside of the world’s most developed nations and, ironically, some of the most troubled nations (Venezuela, Argentina are two examples) the vast majority of the world’s population has little or no knowledge of Bitcoin, let alone any holdings.

I, therefore, believe that it is still very early days for the crypto space, and that there is enormous potential for growth both in terms of technology and in terms of valuation. However, there are some important hurdles that need to be progressively overcome in order for this crazy experiment to succeed long-term.

These are the big problems that need to be tackled by Bitcoin and other cryptocurrencies in the coming years.

Bitcoin’s Confused Narrative

Bitcoin was created to serve as “a peer-to-peer electronic cash system”, to quote Satoshi Nakamoto in the whitepaper that was released in 2008.

Over time, however, the narrative has mutated and we still don’t have a clear idea of what is really the biggest purpose for holding Bitcoin.

In my view, at the moment, it is clearly the “digital gold” narrative that wins out over all other narratives. The peer-to-peer cash narrative never really took off. People in developed countries nowadays can easily send money to each other using digital banks such as Revolut or N26, and even traditional banks have developed ways for their users to easily send cash to each other. Big transfers remain a good use case for Bitcoin, but most potential users are not really seeking a solution for transferring thousands or millions of dollars between them.

Bitcoin’s Bad Reputation

There are a couple of things that hurt Bitcoin’s reputation, and that of the whole crypto space in general.

  1. The myth that Bitcoin is mostly used for nefarious reasons (money laundering, arms dealing, drugs etc). This myth has been disproved many times but was popular a few years back and many people still believe it.
  2. The second myth that Bitcoin is for those who want to hide their monetary activity and evade taxes. The reality is that Bitcoin only offers pseudonymous privacy and there are several blockchain analysis firms that can determine who is behind an account and to whom they are sending and receiving money from.
  3. Get rich quick schemes, which can be further divided into two:
    1. The ICO craze of 2017 – many people lost money trying to get rich quick investing in things they didn’t really understand.
    2. There are many scams that use crypto as a vehicle. They prey on people’s poor financial and technical knowledge by making ridiculous promises and either cheating them out of their precious Bitcoin or else use the lack of regulation within the crypto space to run their scams with impunity.

When people lose money, they tend to turn against whatever and whoever they blame for that loss, and write off that space completely. It is easier to do that than to admit that you went in beyond your head and didn’t know what you were doing.

The rational thing to do would be to double down on your learning and add a new and higher dose of skepticism when evaluating investments. The emotional thing that is most likely to happen is to write off the whole crypto space as money black hole and vow to stay away from it.

Then there are thoes people who are a bit more experienced and have seen their fair share of scams or even have been burned by some of them (not in the crypto space). Crypto enthusiasts tend to talk about their trading and investments in a way that is very similar to the marketing machines used by scams, so that usually puts these experienced guys on the alert. They then proceed to write off the investment due to this and it being “too complicated”.

Holding Bitcoin is Still Complicated, Cumbersome and Prone to Loss

Not your keys, not your Bitcoin, is a phrase we hear over and over in the Bitcoin community. The idea here is that you should take possession of your private keys by pulling your Bitcoin off exchanges and into your hot or cold wallet.

That’s all well and good, however, the majority of people don’t want to deal wit the anxiety, stress and technical complications of self-custody.

Self-custody usually involves a cold storage device such as a Ledger Nano or a Trezor, which has to be bought and set up. Then you have to transfer your crypto from the exchange to your device, which in itself can lead to losing all your Bitcoin if you copy the addresses incorrectly, although this is a relatively small risk.

Ledger Nano X - The secure hardware wallet

It’s too easy to lose or misplace a seed phrase. Inheritance of such crypto asset setups can be very complicated, as in many cases only the original owner has clear knowledge of how to access the crypto that was stored in cold wallets. The incentive of the holder is to prevent anyone else to have access to their Bitcoin, which is generally a good incentive but becomes a major stumbling block in an inheritance situation.

Solutions such as Casa are a move in the right direction, as they eliminate the need for the seed phrase backup and introduce multisig transactions. They introduce a 3 of 5 key setup. If you misplace one of those keys, it can be rotated out and replaced. By putting customer support in place they also hope that people will be more inclined to practice self-custody, as they are never alone in the whole process but have someone to call if they need help in setting things up or if they are having problems transacting or accessing your Bitcoin. This paradigm is much closer to how people think of their relationship with their banks.

Inheritance is also taken care of through Casa covenant. This involves a 3 of 6 key setup. The 6th key is held by your lawyer who holds it until you pass. Two other keys are accessible within the legal system upon your passing. One of them is held by Casa and the other one is held in a safety deposit box. The latter two keys require a court order issued upon the original owner’s passing to access them.

I think that although Casa’s solution is more robust when compared to a DIY setup, it’s still too complicated for the average person, hence adding one more stumbling block to mass adoption of Bitcoin.

Another solution for inheritance is the dead man’s switch, which passes on information about recovering your Bitcoin to someone else unless you take a particular pre-determined action within a pre-established timeframe. The problem, of course, is that if the owner forgets or is impeded by the tribulations of life from taking that action, then that critical information might end up being passed on before it was intended to.

I think Casa’s solution is a step in the right direction, but its cost might be prohibitive for many people, and hence is probably most suitable for people with significant holdings of crypto assets. The overall problem of Bitcoin/crypto custody remains.

The solution to this problem? I think it’s three-pronged.

  1. I believe there will be a rise of Bitcoin banks in the next few years. These will be licensed and regulated institutions that will be able to hold your crypto assets at a low cost while also insuring those assets against loss. Basically the same way we think of storing our fiat money in banks. This system has been in place for many years and people are used to offloading the responsibility for storing their assets to a third party, so we need to replicate that in the crypto space for mass adoption to take place.
  2. An improvement in the technology and user experience for hot and cold wallets and multi sig solutions. Once the technical barrier is sufficiently lowered, significant portions of the general population will be open to self custody, especially the younger, more tech-savvy generations.
  3. Companies like Casa and Unchained Capital will become ubiquitous and provide the sovereignty and non-confiscatory advantages of self-custody while providing the peace of mind and customer support typically associated with banking institutions.

There is probably another possible solution, and that is that the biggest exchanges will in time start having their holdings insured and become as robust as today’s banks in terms of guaranteeing their customers’ crypto holdings. In that case, self-custody will become less important from the point of view of protecting your investment from loss due to security breaches or bad actions on the exchange’s end.

As far back as 2010, Hal Finney had posted about this topic in the bitcointalk forum, saying that he thought the ultimate fate of Bitcoin would be as a reserve currency for banks that issue their own digital cash.

Time will tell, but it’s exciting to see all the different solutions being proposed and implemented at the moment.

Bitcoin’s Correlation with the Stock Market

Although Bitcoin is frequently touted as an uncorrelated asset and this is, in fact, one of its major narratives, we have seen how its behavior has at times mirrored the stock market very closely. It has behaved very similarly to a tech stock.

For those who are specifically looking for an uncorrelated asset, especially if they are looking at Bitcoin as a potential gold alternative, this is a major downer.

I don’t see this correlation as a big issue and expect Bitcoin to become less correlated as it matures.

Electricity Consumption

This topic has been discussed ad nauseum, and I really don’t think it presents any issues, although it is frequently mentioned as a downside or problem with Bitcoin. Read this article and this follow-up.

Safe and Easy Storage Solutions

Cryptos can easily be lost or stolen by inexperienced users; this is one of the biggest problems I see as most people simply find it too technical or daunting to buy and store cryptocurrencies.

For those investors who are technical enough and have the resources to invest heavily, on the other hand, there is the significant headache of storing hundreds of thousands of dollars worth (or even millions) of crypto. Thankfully, we are seeing new crypto custody solutions popping up, but it’s still early days.

Peer-to-Peer Payments are Still Hard to Do

Most banks have implemented systems that allow P2P payments between friends in a really easy fashion. Although Bitcoin was invented to enabled such peer to peer transactions of value of any size, there is still some way to go until we can say that the average person knows how to do that via his smartphone. Transaction prices are still high for lower transfer values (but the lightning network promises to change that).

Bitcoin Payment Acceptance is Low

There was a time where many online sellers and even brick-and-mortar stores were adopting Bitcoin as a method of payment, but I see less of them these days.

The tax implications of paying for small items with Bitcoin can be big, as in many countries every sale of Bitcoin is a taxable event. So you need to keep track of every item you purchase with Bitcoin during the year (including coffees and other low-value purchases) and calculate the capital gains tax at the end of the year. Few people want to bother with that yet.

Even if we ignore the tax consequences, paying with Bitcoin is still not easy from an app point of view.

In many countries, Bitcoin is not legal tender and cannot be used to purchase big items like a house, car or even pay your taxes. Some states in the US and some countries allow it, but we’re still a long way off.

2017 ICO and Crypto Bubble

Many people still have the 2017 ICO and crypto bubble in their recent memory, where cryptos rose very quickly in value only to come crashing down again a few months later. A lot of people jumped on the bandwagon when the price was rising without knowing what they were getting into, and then logically got burned when the prices declined sharply.

These people are more likely to have written off Bitcoin as they try to stave off the painful memories of losing money. Those who invested in ICOs fared even worse as many ICOs were outright scams.

It’s Not Easy to Get Hold of Crypto

Many banks are still blocking transactions to and from Bitcoin exchanges, and without a way to get their fiat currencies onto an exchange people are thus blocked from getting hold of Bitcoin. The alternative would be to exchange services for Bitcoin, but I personally don’t know anyone who would be ready to pay for services in Bitcoin, so it’s hard to get hold of Bitcoin in this way.

Unclear Legislation

Many countries still have not clearly stated their position with regard to cryptocurrencies, while others have outright banned cryptos. It is important for people to know the following from their governments:

  • Whether the buying and selling of cryptos implies a VAT-able transaction.
  • Whether there are any capital gains taxes when selling at a profit.
  • Whether the holding and usage of crypto is legal or not.

The answers to those questions mostly lies in what financial instrument it considers cryptocurrencies to be. Some treat them as currencies while others treat them as intangible assets; those are the two major categories we’ve seen so far. ICOs, for example, fell into a grey area as what a lot of the companies were selling were actually securities, and they needed to be classified as such.

Some governments also opt not to tax long term capital gains, while others due, implying a huge difference in the ultimate tax bill for investors.

China has banned crypto exchanges from operating in the country while India has announced a ban on the purchase and sale of crypto currencies.

To conclude, while it’s anyone’s guess where the value of Bitcoin will be in a few years time, or whether it will still be the leading cryptocurrency, there’s little doubt that blockchain technology is here to stay, and even institutions like banks and governments are investing huge amounts of money and resources into this technology.


Profiting from Bitcoin

Since I know many people visit this article with the idea of making money from crypto, here are some of the ways you can do so. I purposefully left this section towards the end of the article as it’s very important to educate yourself before you dive in.

Do your own research always, as this is a very volatile space that is in its early stages. Having said that, for those who know what they are doing, the returns can be incredible.

Buy and Hold Bitcoin

If it’s your first time getting into Bitcoin, an easy strategy would be to just buy and hold this crypto. I recommend buying from these exchanges:

  • Binance
  • Coinbase
  • Bitpanda
  • CoinSmart
  • Changelly

I would recommend then storing your Bitcoin and other crypto-assets offline using a Ledger Nano or Trezor. You should store the 24-word seed phrase on a Billfodl or Cryptosteel.

If you want to read more about custodying your Bitcoin, read my in-depth article on that subject.

Need Cash? Take a crypto loan instead of selling

‍If you need quick liquidity, you typically sell-off some of your assets. Anyone can run into an emergency situation.

But there are alternatives to selling. Crypto backed P2P loan platforms are very popular, big holders of crypto prefer to get loans in fiat currency using their crypto as collateral instead of selling their crypto.

You could also use your crypto to earn interest using platforms like YouHodler.

While buying and holding has traditionally been the easiest and probably best way to profit from the Bitcoin boom, there are several other ways to make money by getting involved with Bitcoin.

Arbitrage Trading Software

A common scam – avoid outright. There are many websites that promote their software that purportedly generates insane daily profits through some proprietary genius trading and arbitrage techniques.

Predictably, they are all scams and Ponzi schemes, and you are sure to find a referral program meant to be the main driver of any returns. Examples include Bitconnect, Arbistar, Mind Capital and Kualian.

bitcoin in europe

Bitcoin’s rise has been truly remarkable to see. However, the crypto market is little more than a decade old and is still very much in its early stages. Now is as good a time as any to enter this space. So, before we talk about how you can buy Bitcoin with Euros, let’s look at the remarkable rise of this revolutionary asset.

The Rise and Rise Of Bitcoin

A little over six years ago, cryptocurrencies were looked down upon as scams and shunned by the corporate world. It is pretty hard to believe how far BTC, and the entire crypto market, has come along over the last 2-3 years. Once thought of as the dark web’s favorite mode of payment, Bitcoin has risen to become the premier store-of-value and the perfect hedge against financial fluctuations.

Companies such as MicroStrategy and Tesla have purchased billions of dollars worth of BTC. Investors like Ray Dalio, Stanley Druckenmiller, and Carl Icahn, who handle multi-billion dollar portfolios, have openly discussed holding Bitcoin. Plus powerhouse companies like Paypal, Starbucks, and Yum! Brands (parent company of KFC, Pizza Hut, and others) accept or test bitcoin payments in various territories.

So, if you are ready to dive deep and buy Bitcoins with Euros, read on.

How Can I Start Buying Bitcoin With Euro?

Alright, so you have decided to get your hands on some Bitcoin. Awesome. But this is where the research part begins. You now need to find a cryptocurrency exchange which:

  • Offers local funding methods for Euro like SEPA
  • Has a simple and straightforward interface which is crucial if you are a beginner.
  • Is secure enough to protect your holdings from potential hackers.
  • Has done the homework needed to fulfill all regulatory requirements.
  • Has low fees and enough liquidity.

Coinbase ticks all these requirements. Use its simple-to-use interface to buy and sell Bitcoin, Ethereum, Litecoin, Ripple, Stellar, EOS, Cardano, Bitcoin Cash, and Tether with EUR. Getting started with Coinbase is very easy. These are the steps you’ll need to follow:

  1. Create a Coinbase account and complete your KYC verification.
  2. Deposit EURO into Coinbase using SEPA from your bank account.
  3. You can also fund your crypto purchases using your credit card or deposit crypto that you already own.
  4. Buy Bitcoin or the other major cryptocurrencies with your EURO balance.

The deposits are credited to your account the same day they are received. Along with these features, Coinbase has comprehensive tutorials and industry-leading customer support to make cryptocurrency accessible to everyone and anyone.

Concluding Thoughts

I think we should focus on the long term, the big picture. If you have faith in this technology you know this is the worst time to panic sell and the best to keep hodling, or better yet, buy more crypto.

The other alternative is to engage in trading, if you have the right skills to do so. In shaky times like these when the price tends to be quite volatile, trading can be a very profitable endeavor.

Given the huge upside potential and promise for Bitcoin, I think that the easiest and most fool-proof strategy right now is to just buy Bitcoin and store it safely. Wait a few years and if all goes according to the ideas exposed above you will be sitting on a nice increase in your net worth.

I like to use the Whatifihodl tool to figure out how much a current Bitcoin stash will be worth in the future based on price projections. You could also use Hodlcalc to see how much Bitcoins bought in the past would be worth today. It’s a great tool if you fancy ending up kicking yourself for not getting involved earlier than you did 🙂

Alternative Currencies to Buy

While you can profit off trading on many cryptocurrencies, if you want to adopt a buy and hold long-term approach, then there is not much worth investing in beyond Bitcoin and Ethereum.

Taxation

You also need to keep in mind that in most countries crypto trading is taxable. Read about how crypto is taxed around the world or how crypto investors have scored a great deal with Portugal.

If you already know how your country taxes Bitcoin and you just want to find a way to quickly prepare your taxes, I strongly suggest you take a look at Cointracker.

This is a service that only tracks your crypto portfolio across various exchanges and cold storage devices, but can also prepare your taxes for you in a few minutes. They can also execute strategies like tax loss harvesting. If you do any trading or use bitcoin for payments this is an essential tool as you will have many transactions to record for tax purposes, and you can’t afford the possible mistakes that come from the tedious manual work of calculations.


In conclusion, I think that we are seeing a clear trend toward Bitcoin adoption. Whether or not you “believe in bitcoin,” it’s here to stay.

It took 12 years, but it’s gained acceptance and there’s no going back.  The companies, asset managers, and governments that stop fighting the rising tide and decide to surf it will be the ones that fare the best.

If you’re ready to buy Bitcoin and cryptos and want to read more about the buying process, do check out my guide to investing in Bitcoin and cryptocurrencies.

Over to You

What are your opinions on Bitcoin and the whole crypto space in general? What are the hurdles that you see going forward, and do you agree with my ideas? Let me know in the comments section below.

Filed under: Cryptoassets, Money, Top Post

The Real Malta – A Dusty, Dirty Construction Site Fuelled by Anarchy, Greed and Selfishness

Published: August 08, 20229 Comments

malta downtrend

It’s been more than ten years now since I left Malta (click here to read my original article about why I left), and in recent years I’ve preferred not to comment much on Malta, both because I had personally moved on from thinking about the country or following its news, and also from a sense of responsibility. Since I hadn’t been spending much time there, I thought I should let others do the talking since I couldn’t be sure whether things had stayed the same, worsened, or maybe improved since I left.

This year, however, I spent a month in Malta with my family. I thought it would be a good way for my young kids to experience the place where I grew up, or at least the good parts that remain of it. I consider myself very lucky to have been born and brought up in Malta. Some problems that led to me leaving have existed for many many years, way before I was even born, but my childhood and teenage years were certainly great, and Malta was, in my opinion, passing through some of its best times back then.

So what do I think of the current state of Malta after having again spent some time there?

Well, I’m afraid the situation doesn’t look pretty to me.

In short, I would describe the country as an anarchic construction site, and certainly, as a third-world country masquerading as a modern and flourishing European nation.

The Locals’ Views are Changing

There’s one thing that has really stood out to me. When I wrote my article on why I left Malta, and especially when I had actually left a few years before, the feeling was that the problem was mine, and nobody else really felt there was any problem with Malta. This feeling of being the odd one out was probably one of the reasons that drove me to leave and try out other places to see if I was the insane one or not, now that I think of it.

However, that has changed over the years. In my recent trip and even other shorter trips before that, I’ve actually had to resort to imploring friends and even people I met for the first time to talk about something else rather than complaining about the state of the country and how they’d leave if they could. There is a shared sense of pessimism that definitely wasn’t there 5 or 10 years ago. This feeling of mine is mirrored in recent surveys done on Malta’s younger generations. Most of them want to leave and think that the future of Malta isn’t bright.

What Laws?

I describe Malta as being in a state of anarchy because even though there are laws and regulations just like anywhere else, people seem to completely ignore them in the most in-your-face manner imaginable. Of course, some people manage to flaunt the law more than others, after all this is a country that has become known for its corruption at the highest levels, as its greylisting indicates. While corruption and nepotism has always existed on this island, the current Labour party has taken things to another level.

One Big Construction Site

As for the construction site part, you just need to spend a few hours driving around Malta to understand why I describe it that way. There’s dust everywhere (forget dust control measures in Malta, nobody cares), and everywhere you look are cranes and bulldozers destroying traditional terraced houses and erecting the next ugly block of flats. Not to mention the building in what was previously green areas, again thank the unscrupulous political parties for that.

No wonder the cases of asthma and other respiratory diseases have gone through the roof. Oh, and I forgot to mention the lax safety standards in place when demolition and construction takes place. A few people died due to their houses collapsing while works were being done on the adjacent buildings, but this is Malta, and the people responsible get to continue living their lives while the victims suffer on.

The country has always been very limiting geographically; as a resident or native Maltese, you pretty much get to know every part of the islands by heart, meet the same people, go to the same restaurants etc. On the other hand, in bigger countries, you always have the sense that you can do something new, and that was also one reason why I left. With the destruction of Malta’s natural environment, the increase in population, and corresponding traffic and pollution, it has become downright suffocating.

Greed and Selfishness – A Way to Cope?

The greed and selfishness in the acts of people in Malta are unlike anything I’ve seen anywhere else. The interesting thing is that for the most part, these people are not even aware that they are doing something that might be an inconvenience or harm others. In fact, if you talk to some of these people in the street, they might come across as very friendly. That’s one of the paradoxes that really drives me crazy on this island.

I have a theory about this. There is only so much abuse one can watch and suffer on a daily basis before instinctively they will act in a similar way. In this way, people begin to justify small misdeeds, perhaps with a typical Malta “u ijwa” or “mhux xorta?” (meaning “it doesn’t really matter” or “it’s ok”). It’s ultimately a way to cope and normalize life in the conditions that Malta is in right now.

But the Foreigners are Coming in Droves!

Touching on the population increase, today 20% of the Maltese population was not born there. While some try to promote this fact by saying that many expats are moving to Malta because it is so great, the reality is somewhat different. Most foreigners are laborers and occupy low-skill jobs that the Maltese no longer want to do. They move here just because it’s slightly better than the previous place they were based in and struggle to make ends meet. I have made respect for many of these immigrants who not only work hard to earn a living, but actually support the rest of their families thousands of kilometers away in countries like the Philippines, India and Pakistan, as well as many African nations.

So let’s be honest, they didn’t move to Malta because of all the supposed virtues that are trumpeted in the glossy tourist ads, they are there for the money, and will move to another place when things change. A much smaller percentage of expats move to Malta for the weather, and more importantly for tax reasons. Given the destruction of Malta’s environment and climate change making the weather even hotter than it was before, I suspect the weather will become less of a factor, while the Maltese tax system has long been in the EU’s crosshairs and might very well become less attractive if they decide to apply more pressure on Malta to change the fiscal incentives.

Quo Vadis Malta?

Malta the island remains a gem, despite all the harm that has been done to it over the years. There remain a few pockets of beauty but it is getting harder and harder to find them and enjoy them without being disturbed by the actions of other irresponsible people.

As for the local people, I want to stress that there are many extremely friendly, honest, and genuinely great Maltese people, and I have the honor of counting on some of them as friends and family. I admire them for their tenacity in trying to do good things and even change the status quo, despite the adversities. However, the tragedy of the commons is all too apparent in Malta, and the growing number of bad apples ruins the overall pie.

While it’s sad for me to say it, Malta, when all things are considered, is on a steep decline and there’s not much that gives me hope for the islands.

Malta’s two main economic drivers are tourism and the financial industry. These two currently fuel and support the construction frenzy we are seeing, but all this construction is making Malta less attractive for tourists, while the financial industry is heavily dependent on Malta being able to retain its tax incentives. So in my view, both tourism and the financial industry are on shaky territory, and when one or two of those are affected, you can expect a huge construction bubble to pop.

Now that I have kids, the most important question for me has changed from being where I feel the best living, to where I want my children to grow up. And if I was quite confident with my answer to the first question, the second one I can answer even more unequivocally – I can’t ever imagine my kids growing up in Malta.

Filed under: Thoughts & Experiences

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Jean Galea

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