It’s only a loss if you sell, right?

Nayib Bukele proclaimed himself “the world’s coolest dictator”.

His jokes aren't clear.

El Salvador's 43rd president self-proclaimed “CEO of El Salvador” couldn't be less presidential.

His thin jeans, aviator sunglasses, and baseball caps like a cartel lord.

He's popular, though.

Bukele won 53% of the vote by fighting violent crime and opposition party corruption.

El Salvador's 6.4 million inhabitants are riding the cryptocurrency volatility wave.

They were powerless.

Their autocratic leader, a former Yamaha Motors salesperson and Bitcoin believer, wants to help 70% unbanked locals.

He intended to give the citizens a way to save money and cut the country's $200 million remittance cost.

Transfer and deposit costs.

This makes logical sense when the president’s theatrics don’t blind you.

El Salvador's Bukele revealed plans to make bitcoin legal tender.

Remittances total $5.9 billion (23%) of the country's expenses.

Anything that reduces costs could boost the economy.

The country’s unbanked population is staggering. Here’s the data by % of people who either have a bank account (Blue) or a mobile money account (Black).

According to Bukele, 46% of the population has downloaded the Chivo Bitcoin Wallet.

In 2021, 36% of El Salvadorans had bank accounts.

Large rural countries like Kenya seem to have resolved their unbanked dilemma.

An economy surfaced where village locals would sell, trade and store network minutes and data as a store of value.

Kenyan phone networks realized unbanked people needed a safe way to accumulate wealth and have an emergency fund.

96% of Kenyans utilize M-PESA, which doesn't require a bank account.

The software involves human agents who hang out with cash and a phone.

These people are like ATMs.

You offer them cash to deposit money in your mobile money account or withdraw cash.

In a country with a faulty banking system, cash availability and a safe place to deposit it are important.

William Jack and Tavneet Suri found that M-PESA brought 194,000 Kenyan households out of poverty by making transactions cheaper and creating a safe store of value.

2016 Science paper

Mobile money, a service that allows monetary value to be stored on a mobile phone and sent to other users via text messages, has been adopted by most Kenyan households. We estimate that access to the Kenyan mobile money system M-PESA increased per capita consumption levels and lifted 194,000 households, or 2% of Kenyan households, out of poverty.

The impacts, which are more pronounced for female-headed households, appear to be driven by changes in financial behaviour — in particular, increased financial resilience and saving. Mobile money has therefore increased the efficiency of the allocation of consumption over time while allowing a more efficient allocation of labour, resulting in a meaningful reduction of poverty in Kenya.

Currently, El Salvador has 2,301 Bitcoin.

At publication, it's worth $44 million. That remains 41% of Bukele's original $105.6 million.

Unknown if the country has sold Bitcoin, but Bukeles keeps purchasing the dip.

It's still falling.

This might be a fantastic move for the impoverished country over the next five years, if they can live economically till Bitcoin's price recovers.

The evidence demonstrates that a store of value pulls individuals out of poverty, but others say Bitcoin is premature.

You may regard it as an aggressive endeavor to front run the next wave of adoption, offering El Salvador a financial upside.

UST depegs and LUNA crashes 99.999% in a fraction of the time it takes the Moon to orbit the Earth.

Fat Man, a Terra whistle-blower, promises to expose Do Kwon's dirty secrets and shady deals.

The Terra community has voted to relaunch Terra LUNA on a new blockchain. The Terra 2.0 Pheonix-1 blockchain went live on May 28, 2022, and people were airdropped the new LUNA, now called LUNA, while the old LUNA became LUNA Classic.

Does LUNA deserve another chance? To answer this, or at least start a conversation about the Terra 2.0 chain's advantages and limitations, we must assess its fundamentals, ideology, and long-term vision.

Whatever the result, our analysis must be thorough and ruthless. A failure of this magnitude cannot happen again, so we must magnify every potential breaking point by 10.

Will UST and LUNA holders be compensated in full?

The obvious. First, and arguably most important, is to restore previous UST and LUNA holders' bags.

Terra 2.0 has 1,000,000,000,000 tokens to distribute.

• 25% of a community pool

• Holders of pre-attack LUNA: 35%

• 10% of aUST holders prior to attack

• Holders of LUNA after an attack: 10%

• UST holders as of the attack: 20%

Every LUNA and UST holder has been compensated according to the above proposal.

According to self-reported data, the new chain has 210.000.000 tokens and a $1.3bn marketcap. LUNC and UST alone lost $40bn. The new token must fill this gap. Since launch:

LUNA holders collectively own $1b worth of LUNA if we subtract the 25% community pool airdrop from the current market cap and assume airdropped LUNA was never sold.

At the current supply, the chain must grow 40 times to compensate holders. At the current supply, LUNA must reach $240.

LUNA needs a full-on Bull Market to make LUNC and UST holders whole.

Who knows if you'll be whole? From the time you bought to the amount and price, there are too many variables to determine if Terra can cover individual losses.

The above distribution doesn't consider individual cases. Terra didn't solve individual cases. It would have been huge.

What does LUNA offer in terms of value?

UST's marketcap peaked at $18bn, while LUNC's was $41bn. LUNC and UST drove the Terra chain's value.

After it was confirmed (again) that algorithmic stablecoins are bad, Terra 2.0 will no longer support them.

Algorithmic stablecoins contributed greatly to Terra's growth and value proposition. Terra 2.0 has no product without algorithmic stablecoins.

Terra 2.0 has an identity crisis because it has no actual product. It's like Volkswagen faking carbon emission results and then stopping car production.

A project that has already lost the trust of its users and nearly all of its value cannot survive without a clear and in-demand use case.

Do Kwon, how about him?

Oh, the Twitter-caller-poor? Who challenges crypto billionaires to break his LUNA chain? Who dissolved Terra Labs South Korea before depeg? Arrogant guy?

That's not a good image for LUNA, especially when making amends. I think he should step down and let a nicer person be Terra 2.0's frontman.

The verdict

Terra has a terrific community with an arrogant, unlikeable leader. The new LUNA chain must grow 40 times before it can start making up its losses, and even then, not everyone's losses will be covered.

I won't invest in Terra 2.0 or other algorithmic stablecoins in the near future. I won't be near any Do Kwon-related project within 100 miles. My opinion.

Can Terra 2.0 be saved? Comment below.

Note-taking is a vital skill. But it's mostly learned.

Recently, innovative note-taking apps have flooded the market.

In the next few years, Evernote and Craft will be important digital note-taking companies.

Evernote is a 2008 note-taking program. It can capture ideas, track tasks, and organize information on numerous platforms.

It's one of the only note-taking app that lets users input text, audio, photos, and videos. It's great for collecting research notes, brainstorming, and remaining organized.

Craft is a popular note-taking app.

Craft is a more concentrated note-taking application than Evernote. It organizes notes into subjects, tags, and relationships, making it ideal for technical or research notes.

Craft's search engine makes it easy to find what you need.

Both Evernote and Craft are likely to be the major players in digital note-taking in the years to come.

Their concentration on gathering and organizing information lets users generate notes quickly and simply. Multimedia elements and a strong search engine make them the note-taking apps of the future.

Evernote and Craft are great note-taking tools for staying organized and tracking ideas and projects.

With their focus on acquiring and organizing information, they'll dominate digital note-taking in 2023.

Pros

• Concentrate on gathering and compiling information

• special features including a strong search engine and multimedia components

• Possibility of subject, tag, and relationship structuring

• enables users to incorporate multimedia elements

• Excellent tool for maintaining organization, arranging research notes, and brainstorming

Cons

• Software may be difficult for folks who are not tech-savvy to utilize.

• Limited assistance for hardware running an outdated operating system

• Subscriptions could be pricey.

• Data loss risk because of security issues

Evernote and Craft both have downsides.

1. The risk of data loss as a result of security flaws and software defects comes first.

2. Additionally, their subscription fees could be high, and they might restrict support for hardware that isn't running the newest operating systems.

3. Finally, folks who need to be tech-savvy may find the software difficult.

Evernote versus. Productivity Titans Evernote will make Notion more useful. medium.com

People are slowly recognizing entrepreneurship's downside.

Growing up, entrepreneurship wasn't common. High school class of 2012 had no entrepreneurs.

Businesses were different.

They had staff and a lengthy history of achievement.

I never wanted a business. It felt unattainable. My friends didn't care.

Weird.

People desired degrees to attain good jobs at big companies.

When graduated high school:

• 9 out of 10 people attend college

• Earn minimum wage (7%) working in a restaurant or retail establishment

• Or join the military (3%)

Later, entrepreneurship became a thing.

2014-ish

I was in the military and most of my high school friends were in college, so I didn't hear anything.

Entrepreneurship soared in 2015, according to Google Trends.

Then more individuals were interested. Entrepreneurship went from unusual to cool.

In 2015, it was easier than ever to build a website, run Facebook advertisements, and achieve organic social media reach.

There were several online business tools.

You didn't need to spend years or money figuring it out. Most entry barriers were gone.

Everyone wanted a side gig to escape the 95.

Small company applications have increased during the previous 10 years.

2011-2014 trend continues.

2015 adds 150,000 applications. 2016 adds 200,000. Plus 300,000 in 2017.

The graph makes it look little, but that's a considerable annual spike with no indications of stopping.

By 2021, new business apps had doubled.

Entrepreneurship will return to its early 2010s level.

I think we'll go backward in 5 years.

Entrepreneurship is half as popular as it was in 2015.

In the late 2020s and 30s, entrepreneurship will again be obscure.

Entrepreneurship's decade-long splendor is fading. People will cease escaping 9-5 and launch fewer companies.

That’s not a bad thing.

I think people have a rose-colored vision of entrepreneurship. It's fashionable. People feel that they're missing out if they're not entrepreneurial.

Reality is showing up.

People say on social media, "I knew starting a business would be hard, but not this hard."

More negative posts on entrepreneurship:

Luke adds:

Is being an entrepreneur ‘healthy’? I don’t really think so. Many like Gary V, are not role models for a well-balanced life. Despite what feel-good LinkedIn tells you the odds are against you as an entrepreneur. You have to work your face off. It’s a tough but rewarding lifestyle. So maybe let’s stop glorifying it because it takes a lot of (bleepin) work to survive a pandemic, mental health battles, and a competitive market.

Entrepreneurship is no longer a pipe dream.

It’s hard.

I went full-time in March 2020. I was done by April 2021. I had a good-paying job with perks.

When that fell through (on my start date), I had to continue my entrepreneurial path. I needed money by May 1 to pay rent.

Entrepreneurship isn't as great as many think.

Entrepreneurship is a serious business.

If you have a 9-5, the grass isn't greener here. Most people aren't telling the whole story when they post on social media or quote successful entrepreneurs.

People prefer to communicate their victories than their defeats.

Is this a bad thing?

I don’t think so.

Over the previous decade, entrepreneurship went from impossible to the finest thing ever.

It peaked in 2020-21 and is returning to reality.

Startups aren't for everyone.

If you like your job, don't quit.

Entrepreneurship won't amaze people if you quit your job.

It's irrelevant.

You're doomed.

And you'll probably make less money.

If you hate your job, quit. Change jobs and bosses. Changing jobs could net you a greater pay or better perks.

When you go solo, your paycheck and perks vanish. Did I mention you'll fail, sleep less, and stress more?

Nobody will stop you from pursuing entrepreneurship. You'll face several challenges.

Possibly.

Entrepreneurship may be romanticized for years.

Based on what I see from entrepreneurs on social media and trends, entrepreneurship is challenging and few will succeed.

I shouldn't generalize, yet this is true.

Spending is simpler than earning.

Prove me wrong, but with home debt at $145k in 2020 and individual debt at $67k, people don't have their priorities straight.

Where does this loan originate?

Under-50 Americans owed $7.86 trillion in Q4 20T. That's more than the US's 3-trillion-dollar deficit.

Here’s a breakdown:
🏡 Mortgages/Home Equity Loans = $5.28 trillion (67%)
🎓 Student Loans = $1.20 trillion (15%)
🚗 Auto Loans = $0.80 trillion (10%)
💳 Credit Cards = $0.37 trillion (5%)
🏥 Other/Medical = $0.20 trillion (3%)

Images.google.com

At least the Fed and government can explain themselves with their debt balance which includes:

-Providing stimulus packages 2x for Covid relief

-Stabilizing the economy

-Reducing inflation and unemployment

-Providing for the military, education and farmers

No American should have this much debt.

Don’t get me wrong. Debt isn’t all the same. Yes, it’s a negative number but it carries different purposes which may not be all bad.

Good debt: Use those funds in hopes of them appreciating as an investment in the future

-Student loans
-Business loan
-Mortgage, home equity loan
-Experiences

Paying cash for a home is wasteful. Just if the home is exceptionally uncommon, only 1 in a million on the market, and has an incredible bargain with numerous bidders seeking higher prices should you do so.

To impress the vendor, pay cash so they can sell it quickly. Most people can't afford most properties outright. Only 15% of U.S. homebuyers can afford their home. Zillow reports that only 37% of homes are mortgage-free.

People have clearly overreached.

Ignore appearances.

5% down can buy a 10-bedroom mansion.

Not paying in cash isn't necessarily a negative thing given property prices have increased by 30% since 2008, and throughout the epidemic, we've seen work-from-homers resort to the midwest, avoiding pricey coastal cities like NYC and San Francisco.

By no means do I think NYC is dead, nothing will replace this beautiful city that never sleeps, and now is the perfect time to rent or buy when everything is below average value for people who always wanted to come but never could. Once social distance ends, cities will recover. 24/7 sardine-packed subways prove New York isn't designed for isolation.

When buying a home, pay 20% cash and the balance with a mortgage. A mortgage must be incorporated into other costs such as maintenance, brokerage fees, property taxes, etc. If you're stuck on why a home isn't right for you, read here. A mortgage must be paid until the term date. Whether its a 10 year or 30 year fixed mortgage, depending on interest rates, especially now as the 10-year yield is inching towards 1.25%, it's better to refinance in a lower interest rate environment and pay off your debt as well since the Fed will be inching interest rates up following the 10-year eventually to stabilize the economy, but I believe that won't be until after Covid and when businesses like luxury, air travel, and tourism will get bashed.

Bad debt: I guess the contrary must be true. There is no way to profit from the loan in the future, therefore it is just money down the drain.

-Luxury goods
-Credit card debt
-Fancy junk
-Vacations, weddings, parties, etc.

Credit cards and school loans are the two largest risks to the financial security of those under 50 since banks love to compound interest to affect your credit score and make it tougher to take out more loans, not that you should with that much debt anyhow. With a low credit score and heavy debt, banks take advantage of you because you need aid to pay more for their services. Paying back debt is the challenge for most.

Choose Not Chosen

As a financial literacy advocate and blogger, I prefer not to brag, but I will now. I know what to buy and what to avoid. My parents educated me to live a frugal, minimalist stealth wealth lifestyle by choice, not because we had to.

That's the lesson.

The poorest person who shows off with bling is trying to seem rich.

Rich people know garbage is a bad investment. Investing in education is one of the best long-term investments. With information, you can do anything.

Good with money shun some items out of respect and appreciation for what they have.

Less is more.

Instead of copying the Joneses, use what you have. They may look cheerful and stylish in their 20k ft home, yet they may be as broke as OJ Simpson in his 20-bedroom mansion.

Let's look at what appears good to follow and maintain your wealth.

#1: Quality comes before quantity

Being frugal doesn't entail being cheap and cruel. Rich individuals care about relationships and treating others correctly, not impressing them. You don't have to be rich to be good with money, although most are since they don't live the fantasy lifestyle.

Underspending is appreciating what you have.

Many people believe organic food is the same as washing chemical-laden produce. Hopefully. Organic, vegan, fresh vegetables from upstate may be more expensive in the short term, but they will help you live longer and save you money in the long run.

Consider. You'll save thousands a month eating McDonalds 3x a day instead of fresh seafood, veggies, and organic fruit, but your life will be shortened. If you want to save money and die early, go ahead, but I assume we all want to break the world record for longest person living and would rather spend less. Plus, elderly people get tax breaks, medicare, pensions, 401ks, etc. You're living for free, therefore eating fast food forever is a terrible decision.

With a few longer years, you may make hundreds or millions more in the stock market, spend more time with family, and just live.

Folks, health is wealth.

Consider the future benefit, not simply the cash sign. Cheapness is useless.

Same with stuff. Don't stock your closet with fast-fashion you can't wear for years. Buying inexpensive goods that will fail tomorrow is stupid.

Investing isn't only in stocks. You're living. Consume less.

#2: If you cannot afford it twice, you cannot afford it once

I learned this from my dad in 6th grade. I've been lucky to travel, experience things, go to a great university, and conduct many experiments that others without a stable, decent lifestyle can afford.

I didn't live this way because of my parents' paycheck or financial knowledge.

Saving and choosing caused it.

I always bring cash when I shop. I ditch Apple Pay and credit cards since I can spend all I want on even if my account bounces.

Banks are nasty. When you lose it, they profit.

Cash hinders banks' profits. Carrying a big, hefty wallet with cash is lame and annoying, but it's the best method to only spend what you need. Not for vacation, but for tiny daily expenses.

Physical currency lets you know how much you have for lunch or a taxi.

It's physical, thus losing it prevents debt.

If you can't afford it, it will harm more than help.

#3: You really can purchase happiness with money.

If used correctly, yes.

Happiness and satisfaction differ.

It won't bring you fulfillment because you must work hard on your own to help others, but you can travel and meet individuals you wouldn't otherwise meet.

You can meet your future co-worker or strike a deal while waiting an hour in first class for takeoff, or you can meet renowned people at a networking brunch.

Seen a pattern here?

Your time and money are best spent on connections. Not automobiles or firearms. That’s just stuff. It doesn’t make you a better person.

Be different if you've earned less. Instead of trying to win the lotto or become an NFL star for your first big salary, network online for free.

Be resourceful. Sign up for LinkedIn, post regularly, and leave unengaged posts up because that shows power.

Consistency is beneficial.

I did that for a few months and met amazing people who helped me get jobs. Money doesn't create jobs, it creates opportunities.

Resist social media and scammers that peddle false hopes.

Choose wisely.

#4: Avoid gushing over titles and purchasing trash.

As Insider’s Hillary Hoffower reports, “Showing off wealth is no longer the way to signify having wealth. In the US particularly, the top 1% have been spending less on material goods since 2007.”

I checked my closet. No brand comes to mind. I've never worn a brand's logo and rotate 6 white shirts daily. I have my priorities and don't waste money or effort on clothing that won't fit me in a year.

Unless it's your full-time work, clothing shouldn't be part of our mornings.

Lifestyle of stealth wealth. You're so fulfilled that seeming homeless won't hurt your self-esteem.

That's self-assurance.

Extroverts aren't required.

That's irrelevant.

Showing off won't win you friends.

They'll like your personality.

#5: Time is the most valuable commodity.

Being rich doesn't entail working 24/7 M-F.

They work when they are ready to work.

Waking up at 5 a.m. won't make you a millionaire, but it will inculcate diligence and tenacity in you.

You have a busy day yet want to exercise. You can skip the workout or wake up at 4am instead of 6am to do it.

Emotion-driven lazy bums stay in bed.

Those that are accountable keep their promises because they know breaking one will destroy their week.

Since 7th grade, I've worked out at 5am for myself, not to impress others. It gives me greater energy to contribute to others, especially on weekends and holidays.

It's a habit that I have in my life.

Find something that you take seriously and makes you a better person.

As someone who is close to becoming a millionaire and has encountered them throughout my life, I can share with you a few important differences that have shaped who we are as a society based on the weekends:

-Read

-Sleep

-Best time to work with no distractions

-Eat together

-Take walks and be in nature

-Gratitude

-Major family time

-Plan out weeks

-Go grocery shopping because health = wealth

#6. Perspective is Important

Timing the markets will slow down your career. Professors preach scarcity, not abundance. Why should school teach success? They give us bad advice.

If you trust in abundance and luck by attempting and experimenting, growth will come effortlessly. Passion isn't a term that just appears. Mistakes and fresh people help. You can get money. If you don't think it's worth it, you won't.

You don’t have to be wealthy to be good at money, but most are for these reasons.  Rich is a mindset, wealth is power. Prioritize your resources. Invest in yourself, knowing the toughest part is starting.

Thanks for reading!