Bitcoin is the best-performing asset class over the past decade. Why? Because central banks print more money every single year, meaning you need more-and-more dollars to buy the same amount of goods and services.

Take a look at this chart, which shows the number of Bitcoins required to purchase a home in Australia since 2010. Back in 2010, it cost about 4,200,000 BTC to buy a house, where the median house price was $420,000. Whereas it now costs 6.25 BTC to buy a home with a median house price of $1,000,000 AUD.

Governments sell this to us as inflation, but it’s actually our currency devaluing over time. Bitcoin solves this problem because its protocol has a finite supply hard-wired into it—a safe bet in a world of fake money.

Here are five things every newbie Bitcoiner must do before they start stacking ‘Sats’ (each Bitcoin comprises 1,000,000 Satoshis):

1. Check the Mayer Multiple: - https://charts.bitbo.io/mayermultiple/ DO NOT buy any more Bitcoin once its price goes above 2.4. If it surpasses 2.4, it is a sign that Bitcoin is overbought and primed for a correction. Watch the price soar and prepare for the inevitable crash. Wait until Fear of Missing Out (FOMO) has turned to Fear, Uncertainty, and Doubt (FUD) before you start stacking Sats again. 

2. Start with the end in mind: Are you planning to: Pay off your mortgage early, build a deposit for a cash-flow positive investment property so you can replace your income, or create a legacy asset for your kids' inheritance? Only take chips off the table after the Mayer Multiple crosses 2.4 and do something meaningful with the proceeds. 

3. Use the right structure: Consider a Family Trust or SMSF outside your personal name to optimise your tax position. Please consult with your accountant if you need to establish a new entity.

4. Not your keys, not your coins: If you don’t self-custody your Bitcoin, it isn’t yours. Get your assets off a centralised exchange and into a cold storage wallet for maximum security. Don’t ever forget that the two most notable centralised crypto exchanges failures. Mt Gox (2014) and FTX (2022) both went down due to humans being greedy and incompetent. Don’t risk your family's financial future by leaving your Bitcoin in someone else's hands. Get your coins off the exchange today.   

5. Have a succession plan: If you drop dead, will your Bitcoin be lost forever? Make sure your loved ones know enough to keep HODLing (Holding On For Dear Life) when you’re pushing up daisies. Sleep well at night knowing that your family will know what to do if the worst-case scenario ever happened.

For many, all this technical information can be a little tricky, which is why Empowered Provider developed a Bitcoin Incubator program. We take the guesswork out of crypto and make it easy for providers to acquire, store and preserve Bitcoin as a legacy asset. For five weeks, we guide providers in a 1:1 setting to ensure they are set up for success and avoid any costly errors. If you want to find out more about our Bitcoin Incubator program, click here.