| Question | Short answer | Longer explanation |
| Why did the one‑off investment jump ≈ 75 % in a year? | Bitcoin’s price almost doubled between Aug 2024 and Aug 2025. | BTC moved from ~US $65 k to > US $114 k. The surge was driven by scarcity (fixed 21 M supply), the April 2024 “halving” that cut new‑coin issuance 50 %, a wave of U.S. spot‑BTC ETF approvals, and renewed risk appetite as global rates stabilised. When the underlying asset rallies ≈ 75 %, your lump‑sum grows the same proportion. |
| Why does the dollar‑cost‑average (DCA) plan show “only” +50 %? | You bought at many different prices, some higher than today’s. | Nine equal purchases between Aug 2024 and Apr 2025 averaged in at ~US $80 k. Later dips (e.g., a pull‑back to US $70 k in March) pulled your average cost up. DCA smooths volatility and lowers timing risk—returns are steadier, but not as explosive as a perfectly‑timed lump‑sum. |
| Why is the 5‑year HODL return so massive (+873 %)? | Time in the market + Bitcoin’s exponential cycles. | In Aug 2020 Bitcoin was ~US $11.8 k, still rebounding from the 2018 bear market. Each four‑year halving epoch historically compresses supply while adoption rises—so longer horizons capture full boom‑bust cycles. A single Saigon salary from 2020 has ridden two bull markets (2020‑21 and 2024‑25). |
| Why is Bitcoin more lucrative than a VND bank deposit? | Deposit rates (~5‑7 % p.a.) are linear; BTC returns are nonlinear—but so are BTC draw‑downs. | Bitcoin’s upside comes with high volatility (draw‑downs of 50–80 % are common). If you need certainty, a term‑deposit beats holding BTC through a crash. The trade‑off is higher—but riskier—growth potential. |
| Why bother with DCA instead of waiting for “perfect timing”? | Because “perfect” rarely happens in real life. | DCA turns price swings into opportunity: you buy more satoshis when price dips and fewer when it spikes, building discipline and emotional neutrality. Over multiple cycles it often beats ad‑hoc attempts at market‑timing. |
| Why quote salaries in BTC at all? | It reframes earnings in a hard‑capped, global unit. | Converting part of your paycheck into BTC is akin to swapping local‑currency income for exposure to a scarce digital asset—a hedge against VND depreciation and inflation. Whether that hedge pays off depends on BTC’s acceptance and macro trends. |
Key forces behind Bitcoin’s 2024‑25 rally
- Halving economics: On 20 Apr 2024 the block reward fell from 6.25 BTC to 3.125 BTC—instantly slashing new supply.
- Institutional doors open: Multiple U.S. spot‑BTC ETFs (BlackRock, Fidelity, Ark, etc.) began trading in early 2025, funnelling billions in regulated capital.
- Macro tail‑winds: Cooling inflation and rate‑cut expectations pushed investors back toward risk assets; BTC benefited as a perceived “digital gold.”
- Emerging‑market demand: Countries with weakening currencies (₫ included) saw growing retail adoption as a store of value.
- Network effects: Layer‑2 scaling (e.g., Lightning) and corporate treasuries holding BTC added fundamental demand.
Caution flags to remember ☝️
- Volatility: BTC can plunge 60 % in months (2022 drop from US $68 k → US $16 k).
- Regulatory swings: A ban or tax change could hurt local liquidity.
- Opportunity cost: Capital tied in BTC isn’t funding VND‑denominated goals (housing down‑payment, tuition).
- Psychology: Watching savings swing wildly tests even seasoned investors.
Bottom line
Saving part of a VND 9 – 10 million Saigon paycheck in Bitcoin can multiply your purchasing power—if you stomach the roller‑coaster and hold through full market cycles. The eye‑popping gains you saw result from:
- Perfect or long‑term timing +
- Bitcoin’s scarce supply and boom‑bust adoption cycles.
Stick with DCA for discipline, diversify beyond crypto, and invest only what you’re prepared to watch bounce around like a karaoke dance floor on a Friday night. Keep learning, keep saving, and let compounding (in any asset class) be your hype engine! 🎉🚀