The final factor is downright terrifying. Electronic currencies like Bitcoin are not regulated by the Central Bank. It’s used for online payments between individuals – it’s Internet money, so to speak. These transactions happen as fast as email and in a flash could accelerate the speed of crisis from a minor shock to an all out collapse.
So what should everyday people be doing now to protect themselves in advance?
1) The first thing is preparation of capital. Stow away as much cash in your 401(k)’s, 529’s, IRA’s, savings accounts, etc., as you can and invest it as wisely as you can in income producing assets that will be recession proof. Think twice about gambling with your retirement money.
2) Secondly, strive to earn as much as you can while you have a job. Now is not the time to be complacent. That doesn’t mean to simply ask your boss for a raise. Find a way to get connected to a higher stream of income at your job, either by building more relationships, gaining new skills, or even switching employers.