# What To Do About It

# Buy Hard Assets, Borrow Against Them, Defer Taxes

"Buy land, they're not making it anymore." - Mark Twain

This devaluation makes scarce, desirable assets like waterfront real estate, successful stocks, or cryptocurrencies like Bitcoin and wstETHereum more attractive, as their nominal value rises over long time horizons while their intrinsic value remains steady amid depreciating fiat money.

In the long term, this makes such assets phenomenal vehicles for leverage, so long as liquidation or margin calls can be avoided in the short term or the assets cashflow sufficiently to sustain the debt.

In the traditional financial world, this is typically done by leveraging one’s reputation (credit), extending debt revisitation intervals (duration), or via financial instruments that provide protection from various calamities (insurance, derivatives).

Individuals and firms who implement leverage successfully can turn government-induced inflation into a beneficial force, provided the cost of borrowing remains below the gain from the inflation.

This general strategy of buying hard assets, borrowing inflationary currencies against them to live off of while avoiding margin calls, and dying so as to pass on a stepped up cost basis on one’s assets to their estate, can gracefully be summarized as “buy, borrow, die” and has been used by the ultra wealthy to achieve generational wealth amidst extravagant spending by governments.