This article discusses whether you should invest in gold vs. crypto and which one adds more value to your investment portfolio. We sat with Robert Kiyosaki and discussed all things crypto vs gold, and this article contains all his insights on the matter.
If you’re not familiar with Robert, well, he’s one person whom you should listen to when it comes to money or cryptocurrency matters. He’s a successful businessman and author, and he’s the founder of the Rich Dad Company.
After thousands of years, gold has still not lost its luster – crypto may have taken quite a few knocks last year, but interest in gold has never wavered. In fact, once again, interest in gold is rising – and not just with investors.
Many countries, most notably China, are buying up gold as a hedge against a weak dollar. It’s all about getting prepared for the worst-case scenario. So if you’re not doing likewise, you run the risk of major losses. To learn about ways to diversify your assets, including buying gold or overseas real estate, talk to us today about an offshore Action Plan.
The Three-Day Rule
Before getting caught up in the middle of investing in either gold or crypto, there’s something that most entrepreneurs and investors have to keep in mind. According to Robert, the three-day rule is a method that most people should be familiar with.
After all, this is something that he has perfected and practiced himself.
In his younger years, Robert served with the U. S. Marines. This is where he first heard about this rule – Where can you be in three days?
There was an old story that originated in China, and it said that you should always have some gold bars, a second set of papers, some passports, and a fast boat near the harbor. Nobody said what these items were for, but if we were to guess, then it could be a way to escape or leave as fast as you can.
Robert strongly believes that three days is all you need. Nothing more, and nothing less.
Taking Time Into Consideration
Most people give themselves a minimum of six months, and if their plans don’t make it to fruition, then that’s when they decide to leave.
Some people even give themselves the luxury of figuring it out for a whole year, sometimes more. As we’ve probably realized, time is a luxury that most people don’t have.
So three days is all you need. Although, how doable is it?
Whenever a particular government comes up with new tax laws, some people think that they might want to move out of the country. They might even believe that they want to give up or renounce their citizenship.
These bills are proposed, then a week later, it turns into law. Then what else is there to do? You’re affected, so you forget about it.
This is a method and a way of life that Robert believes in. You have to be out and relocated in three days. It doesn’t matter what you do, and it doesn’t matter where you go. It simply means that you need to have that second or third option, and once the market crashes, you have to be ready to go.
The Waiting Game, And Why You Should Avoid It
Many people think that the longer they wait, the better it’s going to be for them. However, this isn’t something that you should do when you decide to invest.
Some people think that if the economy of the United States falls, then everywhere else will follow. Although, how true is that?
Robert said that you have to learn just as much as anybody else. It doesn’t matter whether you’re a seasoned CEO – you still have to sit with everybody else. Life is an ongoing learning process, and with it comes the journey that most entrepreneurs and investors take on.
To his benefit, Robert has already been a global capitalist for decades. He’s been to different places in different parts of the globe, and he’s had the chance to inspect some of the areas that most young investors are running to.
You don’t have to wait longer than you’re supposed to because the waiting game wasn’t supposed to be played like this.
As Robert has mentioned, three days is all it takes. You have to be in position, and you have to be ready so that you can be fully functional and fully operational in three days.
Advice on How to Deal with Gold vs Crypto Investments
Today, Robert is taking a break from trading and says that he’s waiting for the next crash. Although, what does that really mean? If you’ve never traded before, or if you’ve got some experience but want to know more. Then Robert has some pretty informative pieces of advice.
He mentioned that the reason why people go broke is that most of them chase something on the way up. They get this thing called “fear of missing out” or FOMO. The adrenaline they get makes them happy. Although, to be an entrepreneur means that you have to understand what it feels like to be sad.
Back in the day, deals in Hong Kong were made even though people said that the country was falling apart. Then again, where were you supposed to buy properties? In 5th Avenue, where everything seemed perfect?
There’s something unique and quite thrilling when purchasing property or investing in places or cities with great potential – especially when not everybody sees it.
Today, it seems as if there are way too many people saying so much when it comes to investing, then they’re doing the exact opposite.
As Robert said, when something gets really, really bad, then to him, it’s perfect. When crypto went from 20 to 7, he looked at the indicators, and he knew that it was now going to take another run-up.
He knew what was going to happen, so he waited, but he knew when to make his move. He picked it up at 9, and he stopped. When asked why, he simply said, “I’m not greedy.”
Yes, he wanted to chase it, but he’s still waiting. He’s waiting for phases where he can fully decide whether he’s buying more or whether it’s time to stop.
The Gold vs Crypto Debate
Today, there’s an ongoing gold vs crypto investment debate and which ones have a higher value. People even go as far as claiming that gold is dead, but what does Robert think of it?
Robert explained that gold and silver are God’s money. Why? Well, those metals were already here when the earth was formed, even before humans walked on the face of the planet. Both gold and silver are part of the periodic table of elements, and they’re still going to be here even when we’re all gone.
Think ahead to nine million years from now, gold will still be here, but do you think Bitcoin will?
Although, he clarified his statement that gold and silver are God’s money and that crypto is the people’s money. For this reason, he said that he’d probably continue buying gold. He thinks you should too.
So in the Gold vs Crypto debate, who wins?
Robert simply answers, “Who’s got the most?”
The Role Debt Has in Making Entrepreneurs Succeed
Dave Ramsey popularized the debt-free lifestyle, and he might disagree with Robert in his claim that it’s better to live with debt. There were some things that Robert said that didn’t sit well with people.
Then again, he’s not looking to please people.
This is such an exciting topic since who would even think about using debt as money? That’s not something that most people, or even most entrepreneurs, think about when they’re starting their businesses.
He claims that he doesn’t need cash and doesn’t see the point of saving dollars. Robert has taken cash, and with it, he bought gold, silver, and bitcoin. He also claimed that if he’s going to buy something, he’s going to use debt.
This is such an underrated statement, but is it applicable to most people?
Using Debt as Money
Who would’ve thought that playing Monopoly at the age of nine would open Robert’s eyes and would attract him to financial education?
He never really envisioned that he would talk about gold vs crypto. However, today, he owns a bunch of hotels, almost 8,000 rental units, and these were purchased using debt.
He recently borrowed another $160,000,000 with a 3% interest rate because Robert sees no point in saving money when the government is simply giving it away.
This is why he uses debt to buy apartments, like the 160 units that he just bought in Houston, Texas. These properties pay the cash flow while the debt is tax-free. He pays no taxes because he owns real estate.
Although, if he owned mutual funds or an ETF, then those investments are taxable. So he tries to stay away from it as much as possible.
Although, he reiterated that for the average person with no financial education, it’s always better to live debt-free.
Switching from Living A Debt-Free Life to A Life of Debt
Mr. Henderson (Founder of Nomad Capitalist) asked Robert when the switch from living a debt-free life to a life of debt would be made. Robert simply says, “Get educated.”
For some reason, that sounds like a reasonable answer, especially in this day and age where countless resources are freely available to people who want to learn more about the economy and financial freedom.
It does take time and education, as Robert said
He told us a story of when he came back from the Vietnam War. His dad pushed him into flying for an airline, but he was already making $250,000 annually. By then, he knew he could make more as an entrepreneur.
It’s essential to choose your teachers and mentors correctly because they can shape your life and mentality. This is something that most people should be doing correctly.
Would You Rather Invest in Gold vs Crypto?
As an entrepreneur, Robert knows that he can make his assets. It doesn’t even matter whether he’s buying or investing in gold vs crypto.
Throughout his lifetime, he has already taken three companies public, and one even went to China.
Upon raising $26,000,000 in the Toronto Stock Exchange, he bought a gold mine in China’s Dalian Province. Then he recalled that as soon as his team struck gold, the authorities were there to confiscate it.
Robert said that he didn’t blame the authorities – he blamed himself and his stupidity. Why would you do business in a country where you know their government can confiscate your wealth? Gold confiscation is prevalent all around the world, and this may be a reason to stop investing in gold or any other type of precious metal.
Robert popularly said that he doesn’t trust the government in general. It’s an exciting time, and that’s why our work at Nomad Capitalist is so important. We’re opening people’s minds, and that’s one of the most important things that we can have today as a society.
Talk to us today to discover how we can add value to your life.
Can You Trust Your Government?
Robert said that if he could go somewhere, he would go to South Carolina in the United States.
New Zealand and Singapore aren’t preferred by him. He does have a place in Switzerland, and he said that he trusts the Swiss. So that’s probably a step in the right direction.
We might think about our ancestors, and we get amazed at how they moved in the olden days from all over the world. They were carried in ships that sailed for months and months, and we got inspired by their hopes and passions.
Although, why won’t we do the same thing? Today, travel has become more accessible and cheaper, so why don’t we try and do the same thing? Why don’t we all go where we’re treated best?
According to Robert, it’s probably because we went to school, and in school, they punish us for making mistakes. Then again, how would you learn to walk if you don’t fall?
The thing that scares people is that they’ll end up in the wrong place and that they’ll make so many mistakes. Although we all make mistakes, it’s from these mistakes that we learn from. They’re our stepping stones, and making mistakes is part of the learning process. It’s life.
The Deals We Might Regret Doing
Andrew asked Robert if there was ever a deal that he regretted doing. Well, Robert is a Marine, and he did say that he’s a firm believer in the phrase “no pain, no gain.”
However, one of his worst deals was from a CEO he hired because he had the credentials to graduate from Harvard MBA.
This CEO ripped him off, and Robert said that the pain he felt was extreme. Honestly, if Robert has been ripped by someone like this, how could we trust others with the same credentials?
Although, he knows that most entrepreneurs make mistakes. Then again, you’d need a great community to surround you. Because if you didn’t have a solid support system, you’d start to make mistakes that you’ll regret.
We always ask ourselves where we’ll run when the question we should be asking ourselves is who we are running with. The people that you have alongside you are essential.
This is why, if you’re going to move in three days, you need to have a team in place. That’s where we come in. Our team can help you go where you’re treated best.
Go Where You’re Treated Best
It all comes back to this one rule, his golden rule, that you’ve got to be relocated in three days.
To him, it doesn’t matter if you invest in gold or crypto as long as you invest in something and have the means to be in a safe place when things go south – all within three days.
If there’s a crash tonight, then where will you be in three days? This is the question that Robert Kiyosaki wants us to answer.
That’s why we help people go where they’re treated best. Whether you want a second passport as a Plan A or as insurance against tricky times, we can help you get it from a country that values you. Talk to us today to discuss your Action Plan.