This Part 1 of a 7 step series applying teachings from the famous book “The Richest Man in Babylon” to Bitcoin as a revolutionary savings technology.
In his well known book, “The Richest Man in Babylon”, George Clason shares a set of principles that the common man can easily apply. These are designed to lead him to a life of prosperity and financial independence.
Here we will examine the book’s 7 Key Rules for Financial Success, and apply them to the modern money we call Bitcoin.
Bitcoin will return the natural function of money to the world. It should not be complicated - savings is good, and debt is bad, and its as simple as that!
These short pieces substitute Bitcoin for gold as written in Clason’s “7 Cures For a Lean Purse.”
Start Thy Purse to Fattening - (Start Stacking)
The lean purse of a man in Babylon had no gold. No silver. No copper.
The varying “monies” of that day.
Today’s lean purse could be likened to the guy or gal who lives paycheck to paycheck. They work hard, pay their taxes, pay their bills, and are good citizens.
Can you relate? You just can’t seem to get ahead when it comes to your finances.
Perhaps you haven’t been paying yourself first?
“A part of all I earn is mine to keep”
This is the bedrock, the cornerstone of building wealth - you must pay yourself first!
Everyone loves to spend money, and just to get by in life there are necessities. But paying yourself first is the only way to get the ball rolling.
Don’t put it off, don’t make excuses. Don’t say “next year” or “when I get a raise” I’ll start. Start with the next paycheck you get.
Just do it.
Your next question on the path to financial freedom is going to be “save in what?”
Gold and silver”
Dollars? (What no, are you insane?)
You Save in Bitcoin, Satoshis, and More Bitcoin
Saving in dollars is so 1823.
Back then, you could save in dollars and actually be just fine. The dollar was backed by gold and silver, and easily held its value over decades.
But 200 years later, and my-oh-my how things have changed. The dollar, even as the best fiat currency out there has lost massive purchasing power over the last 50 years. Sorry to say, this trend is only going to continue as the United States inflates away the $31 trillion dollars it owes to its own citizens and the rest of the world.
No, you don’t stick your savings in dollars. You use freedom money to achieve financial freedom. The whole system we play in now is based on debt money.
You buy Bitcoin religiously, no matter the current dollar price, and you wait.
How much of your pay should you save?
Your Minimum Stack - 10% of Your Net Pay
In The Richest Man in Babylon the advice given is as follows:
It should be not less than a tenth, no matter how little you earn. It can be as much more as you can afford. Pay yourself first.
Always pay yourself first with a minimum of 10% of your pay.
Of course it can always be more than that as you can afford it, but 10% is the lowest amount to set aside.
As you work, you’ll get fiat pay increases, promotions, new jobs where you earn more. Maybe you hustle on the side, work a second job, etc.
Always bump up your contribution when you earn more fiat. Pay yourself 10% first, in Bitcoin.
The Journey or the Destination - How Long to Save?
If you save 10% of your net pay in Bitcoin for the next 10 years you will be far, far ahead of 99% of the people on earth.
Combine that with Bitcoin network doing the heavy lifting for you and you will be well on your way to financial independence.
In The Richest Man in Babylon, this is to become a lifelong habit. And you really won’t go wrong by continuing the habit for the rest of your days.
But today we are undergoing a monetary revolution. Billions, actually trillions of dollars worth of purchasing power will be drawn into the Bitcoin network over the next two decades.
You are not too late to Bitcoin!
You are early. By simply starting thy purse to fattening - investing 10% of your pay into Bitcoin for a decade, you will reap massive benefits from this revolution.