• The article examines how the teachings of the Talmud can be applied to modern-day investing, such as with Bitcoin.
• According to the Tractate Baba Mezi’a 42a, one should divide their wealth into thirds between land, merchandise and cash on hand.
• Real estate is seen as one of the most reliable investments due to its growth rate over the years.
The Ancient Teachings of Talmud
This is an opinion editorial by Konstantin Rabin, a finance and technology writer. As a supporter of all things crypto and especially Bitcoin, my thoughts often drift to what our forefathers would think about this revolutionary technology and how we can apply their teachings to our modern existence? While money management strategies from thousands of years ago might seem irrelevant today, I have always tried to look past the words on the page and into the meaning behind them for possible lessons that could be taught in modern times.
Investing According To The Gemara
One night while chatting with a friend who was familiar with Jewish traditions, we considered why Bitcoin might even be backed by Talmudic teachings. The Gemara is a component of the Talmud which incorporates investment advice and is known for its simplicity and effectiveness. It states that “One should always divide his wealth into three parts: (investing) a third in land, a third in merchandise, and (keeping) a third ready to hand” -The Gemara, Tractate Baba Mezi’a 42a. This would mean having assets divided equally among land or real estate investments, cash on hand and risky assets according to traditional Jewish diversified portfolio concepts.
The Benefit Of Investing In Land/Real Estate
Land or real estate has been an investment practice for thousands of years that still holds true today since it is predicted that these markets will grow at a compound annual growth rate of 10.7% from 2022-2031 making it ideal for wealth preservation purposes. Furthermore, this type of investment provides stability since there are no fluctuations in market prices like those found when dealing with stocks or bonds which further makes it attractive for those wanting secure returns over time without taking too much risk in their portfolios.
Why Does Bitcoin Fit Into This Investment Model?
Bitcoin fits into this model because it is decentralised which means no single entity controls it making it resistant to inflationary pressures similar to those found when investing in commodities like gold or silver – another popular asset class used by investors looking for stability during periods of economic uncertainty or financial crises as was seen during 2020 when global stock markets crashed but cryptocurrency prices stayed relatively steady throughout these trying times without any major losses incurred compared to more traditional investments like stocks or bonds etc…
A Balanced Investment Approach For All Types Of Investors
Overall this balanced approach towards investing allows individuals from all walks life access potentially profitable options through diversifying their portfolios – something not easily achievable before cryptocurrencies came along as they provide exposure not only regular asset classes but also digital ones too allowing people greater flexibility when choosing what type(s)of investments suits their personal goals best depending on whether short-term gains are desired versus long-term objectives etc..
