232. Why We Just Bought $100,000 of Bitcoin

Welcome back to another episode of the bennetbergs podcast. I'm Ben, your favorite high school dropout and founder of Collective Shift. Along time is Bergs, your favorite MBA and CEO of Collective Shift. We're here to bring you world class crypto research strategies and insights to help you crush this crypto bull market. Plus get an exclusive behind the scenes look as we scale as one of the world's leading crypto research companies. If you like the podcast, you can leave us a follow or if you're on YouTube, please subscribe. It's how we grow the podcast each and every week. And Bergs mate, I bought a stack of bitcoin the other day and people are wondering why, what's the strategy? How did you do it?

And you know, looking back and reflecting from an outsider's perspective, like it can seem without the context, like this thing where you get excited and you just throw a bunch of money in the market and whatever else but underlying. I essentially bought bitcoin it was last week now and the thesis behind it was to show people and explain.

That I am under exposed to bitcoin, right. And you know, we own a fair bit of crypto but I never have and never feel like I've got enough exposure to bitcoin. I didn't buy all coins, I bought bitcoin. And that bitcoin purchase was for a 10 year play. And my point to people when I post about this and I shared with our platinum clients is that I don't care about the price. I do not care. I'm buying Bitcoin for 10 years. It's not all the cash I have. We have more cash. This was another.

You know, stacking sats position.

To grow my long term stack. It's not a short term play at all. Don't care about the price, didn't even blink. And for some people they get really caught up in those short term price movements. And it's the point that I was trying to make is I don't give a flying fuck about the short term price movements for bitcoin.

Exactly right. And when you say a little bit, it was 100 bands worth mate.

And this is the, this is the whole thing where Michael Seller used to say that he once he got bitcoin he would wake up in an anxious sweat because he didn't have enough and think about this like he related to like land in Manhattan. And you just know that place is going to be amazing. It's buzzing and there's something that you can own that is going to Have a very bright future. You know, it's going to be very good for future collective shift and future Ben. And you can put the foot down now and you can have that financial and investment discipline. Look at that long term and be like, I don't care Whether Bitcoin's 120k, 150, 80k, it doesn't matter. Because when I need this thing or the way I'm thinking, it's going to be a million bucks. It's going to be significantly more than it is today. And you don't care and you have the money and you push it in. And that's the mentality you need to bring to this game.

Totally. And it's not putting in all your cash. It was not all our cash at all. I think a lot of people make the mistake of getting excited, throwing everything they have and then they don't have flexibility. No. What actually happened? We bought $100,000 of Bitcoin for our long term stack. We had a correction yesterday. We started to accumulate a smaller amount into altcoins and position our altcoins stack when we had a 15% correction and alts are up 6% overnight. So we're accumulating bitcoin for our long term stack. We're growing our altcoins in the short term, in the right altcoins to essentially be able to sell down at the top of this cycle and buy more bitcoin. Because that's the ultimate goal and we're doing it strategic points based on our goals. And it's where so many people go wrong, is they're like, oh, what should I buy? How much should I buy? Well, what are you buying it for?

Oh, well, yeah. Or do I take profit now or when do I take profit? It's like the first question is, well, what are your goals? Have you achieved those goals? If so, if so, you've done it. Go and harvest and go and live your life.

Yep. Are you accumulating this for long term? Are you trying to like speculate and make a bunch of money in short term? Like what? Like what are you doing? You don't start building a business without a plan. You don't build a boat without knowing where you're taking. You don't drive a car without knowing the destination. Why should you investing be any different?

Exactly. Right, mate. I love that. That's it. Have you got the right boat? Is it big enough? Will it get you across the ocean? How many people do you need to put on there? This is exactly it. And for us it's like the business throws off cash flow and it's like we need that, we need working capital and we need to reinvest in the business. But, but for every marginal dollar we have, that's either sitting in a bank earning what, 2% interest they offered you, mate.

Yeah. If you, if you lock it in for bloody six months, you get 2%. I think it's 0.7% you get otherwise out of control.

Exactly. So we buy Bitcoin, we hold it, it funds our treasury and it's going to do us really, really well. And when you start to think long term, you're not worried about those day to day fluctuations or even yearly or intra yearly, like even now all the gains are coming and we're like, great, I mean, waiting four years for this, this is what I started accumulating for. And now those gains start to increase and you can start to achieve those goals, which is just, man, it's the best feeling. It is such, such a good feeling as an investor to know that I have control over my life and the things that I want to do and I have the freedom and choice because of the decisions I made years ago. 100%.

And again, you've got to have conviction of what you're buying. If you don't know what you're buying, of course you're not going to have a clue what you're doing. Right. But it all comes down to macro and this was an article that our head of director of research wrote yesterday to our clients was around like, crypto is such a small part of global markets. Like it's, it's the end of the day, we're so small in this space. All right. But crypto is driven on macro and our investment outlook is almost entirely driven by our macro outlook. Right. And the reality is we've got plenty of upside from central banks looking to cut rates over the next one or two years. Global liquidity continues to trend higher and looks, looks to continue to grow. The Fed has or hopefully will be expected to officially end its multi year program of quantitative tightening. And then Trump has also continued to promise and incentivize the markets not only within the stock market, but also crypto from the US So long term we've got so many things behind us. There is a lot of volatility at the moment in the short term with different things going on around the world. But again, my point is here is that we don't stress about short term price movements. You overstress about short term price movements. You just get yourself in a rough.

And another thing is you don't need to know what happened. Right? Like there'll be some weird movements like oh my God, what happened? I have to figure out. I need to know why you don't. You only need to know if something has fundamentally changed in the market or yeah, you know, there's been a massive fraud or a blow up or there's, you know, you're not allowed to own Bitcoin anymore. They're the things you need to know about. We'll keep you apprised of that. But if there's a correction of 5, 10, 20%, it's just crypto. It's okay. You don't always need to spend your mental energy on finding the reason, the exact reason. And the reason you find is probably not going to be the reason anyway. It's going to be the one that fits in with your cognitive bias. You go, oh yeah, that makes sense to me. And then you turn your computer off and you go for a run. Yeah, like no one really knows what causes these things.

Usually there's no reason or there's a million reasons. Like you can come up with any bias you want. Crypto trades 24,7. There's millions, billions of. Not billions, millions of people that trade this space. There's volatility, there's leverage trading, there's ETFs, there's spot. There's like there's so many reasons that's not.

And by the time you figured it out, things have moved on. You're much better spending your energy on, hey, this was my thesis before. Does it still hold? That's like a five minute scan. Yes. Bitcoin's still great. Nothing has fundamentally changed or my other little investments. Great, let's keep executing against the strategy and spend your time there instead.

Yes. And the thing I want to leave everyone with, and this is something I continue to hound with our clients, is that the amount of time you put into crypto does not equal returns. This is not a job. You do not get paid by the amount of hours you see on your screen. Refreshing your screen. You have zero, including me and Burgs 0 impact on the markets. The markets don't give a flying fuck about you, me, anybody. And the more time you spend, you probably the worst your results are going to be. Honestly, if you're not full time in this space, if you're just a busy investor because you're going to get confused and you get stressed, you're going to get emotional and you're going to make Poor decisions. So step back and just let it play out.

Time does not equal outcome. And people do this because it's weird. Putting money somewhere and then more money coming out. You feel like you need to do something and you need to earn it. And there was this beautiful study in organizational behavior where, you know, packet cakes. Whereas, like, they basically made it so that you could just add water to it. All the eggs and milk and everything were powdered inside. People made the cake and put the I pricing on it, but people didn't like it because they didn't put in enough effort. They didn't feel ownership over the cake. And, like, they made it themselves. So they took the eggs and powdered milk out. You now add your eggs, your milk, your water. You then beat it up and you make the cake. And that's the perfect mix where people put in enough effort so they feel like they own it.

I love that.

So wild. You don't have to be that person. You can just put your money in, let the market work, and you can harvest your money and be happy with your life.

Leave it there. What a what? 10 minutes of absolute fire there, Burks.

That was a what about banger.

Absolute banger.

We're back.

Guys. If you have a friend that is stressing out, let's look at the short term that he's just getting way too stressed about. You know, the market in crypto. Send them this episode. Tell them Benneberg sent them. Check it out. It's how we grow the podcast each and every week. We don't do advertising, so we need you guys to help us grow it by giving these good little bits of education out, because it's how we can help more and more people do right in this space. Thank you very much, everyone.

Exactly.

We'll see you next time.