The concept of FITS—Financially Independent, Time Sovereign—offers a refreshing alternative to the traditional FIRE (Financially Independent, Retire Early) movement. While both approaches aim to escape the “rat race,” FITS redefines the pursuit of financial independence through the lens of bitcoin, focusing on sovereignty over one’s time. Here are the 10 core principles that guide the FITS strategy, derived from its unique perspective on wealth, work, and life.
Read onward to learn about the 10 Principles or Rules of Bitcoin FITS.
1. Primary Goal: Time Sovereignty
- Rule: Prioritize the freedom to control your own time above all else.
Unlike FIRE, which centers around early retirement, FITS aims for complete time sovereignty. This means the ability to spend your time as you see fit, without being tied to traditional employment or external demands.
2. Core Strategy: Bitcoin Accumulation
- Rule: Accumulate bitcoin as your primary form of wealth.
FITS advocates for bitcoin as the cornerstone of wealth accumulation, viewing it as a superior asset due to its deflationary nature and resistance to inflation. This strategy contrasts with the diversified investments typical in FIRE.
3. Wealth Measurement: Bitcoin
- Rule: Measure your wealth in bitcoin, not fiat currency.
While FIRE followers often focus on growing wealth in fiat terms, FITS emphasizes the importance of bitcoin as the ultimate store of value. In a FITS framework, wealth is measured in sats (satoshis), the smallest unit of bitcoin.
4. Risk Management: 1 BTC = 1 BTC
- Rule: Embrace bitcoin’s fixed supply as your primary risk management strategy.
FITS relies on the intrinsic value of bitcoin’s fixed supply—21 million coins—rather than traditional diversification to manage risk. The principle “1 BTC = 1 BTC” underscores the belief in bitcoin’s long-term value preservation.
5. Time Perspective: Low Time Preference
- Rule: Adopt a low time preference, focusing on long-term gains.
In the FITS philosophy, the concept of low time preference is central. This means prioritizing long-term benefits over short-term gratification, mirroring the “time in the market” approach but within the context of accumulating bitcoin.
6. Store of Value: Bitcoin
- Rule: Use bitcoin as your primary store of value.
Unlike FIRE, which diversifies across global equities and other assets, FITS singles out bitcoin as the most reliable store of value. This is due to its deflationary nature and increasing global adoption.
7. Work Motivation: Sovereignty Building
- Rule: Work to build your personal sovereignty, not just for financial necessity.
FITS redefines work as a means to build personal sovereignty. While FIRE views work primarily as a way to accumulate financial resources, FITS encourages individuals to work on things that align with their values and long-term goals.
8. Economic Alignment: Bitcoin Standard
- Rule: Align your financial strategy with the principles of a bitcoin standard.
FITS advocates for a financial strategy that operates outside the traditional fiat system, aligning instead with the principles of a bitcoin standard. This means reducing reliance on fiat currencies and embracing the decentralized nature of bitcoin.
9. Market Volatility: Embrace It
- Rule: Embrace bitcoin’s volatility as a necessary aspect of its growth.
FITS encourages embracing market volatility as an inherent part of bitcoin’s growth journey. Unlike FIRE, which seeks to minimize risk, FITS views volatility as an opportunity for long-term gains.
10. Lifestyle Adjustment: Stack Sats, Stack Time
- Rule: Focus on stacking sats (satoshis) as a means of reclaiming time sovereignty.
The FITS approach to lifestyle adjustment is encapsulated in the phrase “Stack Sats, Stack Time.” This means that by accumulating bitcoin, you’re not just building wealth—you’re also securing more control over your future, reclaiming your most valuable resource: time.
Comparing FITS and FIRE
FITS – Financial Independence, Time Sovereignty – is a wealth accumulation strategy that aims to obtain time sovereignty. At first sight, it seems similar to the FIRE concept popularized for a while. The following table compares the two head-on to show there are fundamental differences beyond the first glance.
| Aspect | FIRE | FITS |
|---|---|---|
| Primary goal | Early retirement | Time sovereignty |
| Core strategy | Diversified investment | Bitcoin accumulation |
| Wealth measurement | Fiat currency | Bitcoin |
| Risk management | Diversification | 1 BTC = 1 BTC |
| Time perspective | Long-term planning | Low time preference |
| Store of value | Global equities | Bitcoin |
| Work motivation | Financial necessity | Sovereignty building |
| Economic alignment | Fiat system | Bitcoin standard |
| Market volatility | Minimized | Embraced |
Conclusion
FITS represents a paradigm shift in the pursuit of financial independence. By focusing on bitcoin as the primary vehicle for wealth accumulation and emphasizing time sovereignty, FITS offers a strategy that goes beyond early retirement. It’s about reclaiming control over your time and aligning your financial practices with the principles of a bitcoin standard.
As you follow these 10 rules, you’ll find yourself not just financially independent, but truly sovereign over your most valuable asset—your time.