Very nice analysis. I still like real estate as an asset class but what scares the crap out of me with real estate investing is once governments can't drink from the borrowed money spigot anymore they are coming for your equity. Here in Canada they are raising the capital gains tax and some on the Democrat side in the US are talking about taxing unrealized gains and we haven't even hit a gov funding crisis yet. Imagine when the treasury auctions start failing and the government needs to show it is committed to raising revenue from other sources. I don't think we are that far away from something like this happening and they tax unrealized gains and other taxes on real estate as they know it is an asset that is not portable.

However, on the flipside Trudeau said something I found interesting recently. He said housing costs were too high and they wanted to bring them down but they had to be cautious as real estate prices dropping too much would negatively affect retirement savers. I didn't expect him to essentially admit that we will have a retirement crisis real estate drops too much. But I still think if he had to choose between funding his gov and the retirees he would tax the shit out of the retirees and offer them medically assisted dying when they are too broke to feed themselves.

Bitcoin and real estate have distinct long-term growth potentials driven by their fundamental characteristics:

Bitcoin's Long-Term Growth PotentialBitcoin's Long-Term Growth Potential

• Bitcoin has a strictly limited total supply of 21 million coins, making it a scarce digital asset.[4][5] This predetermined scarcity, combined with increasing adoption, can drive significant price appreciation over time based on supply and demand dynamics.[1][4]
• Bitcoin's recurring "halving" events, where new supply is cut in half every 4 years, create a deflationary pressure that has historically triggered major price rallies after each halving.[1][3][4] The next halving in 2024 could spur another rally.
• Bitcoin's current market capitalization is still relatively small compared to traditional assets like gold ($15.8 trillion), suggesting massive upside potential if it achieves broader adoption and market share.[1][5]
• As a borderless, digital, and easily transferable asset, Bitcoin can benefit from increasing globalization and digitization trends.[4]

Real Estate's Long-Term Growth PotentialReal Estate's Long-Term Growth Potential

• Real estate tends to appreciate gradually over long periods, driven by factors like population growth, economic expansion, and limited land supply in desirable areas.[1][2]
• Rental income from investment properties provides a steady cash flow that can compound returns over time.[1][2]
• Real estate is a tangible asset with intrinsic value and utility as shelter/commercial space.[2]
• Leverage through mortgages can amplify returns, but also amplifies risks.[1][2]

While both assets have growth potential, Bitcoin's scarcity and potential for broader adoption give it an asymmetric upside, but also higher volatility and risk.[1][3][4] Real estate offers more stable but relatively lower returns driven by economic fundamentals.[1][2] Diversification across asset classes is recommended.

Sources
[1] Bitcoin vs. Real Estate: A Detailed Comparison of the Two - D-Central https://d-central.tech/bitcoin-vs-real-estate-a-detailed-comparison-of-the-two/
[2] Bitcoin vs. Real Estate: Where should you invest? https://www.goodfinancialcents.com/bitcoin-vs-real-estate/
[3] Bitcoin vs. Real Estate: Which Is The Better Store Of Value In Times ... https://www.nasdaq.com/articles/bitcoin-vs.-real-estate%3A-which-is-the-better-store-of-value-in-times-of-conflict
[4] Bitcoin vs. Real Estate: Which Is The Better Store Of Value In Times ... https://bitcoinmagazine.com/markets/bitcoin-vs-real-estate-which-is-the-better-store-of-value-in-times-of-conflict-
[5] Bitcoin vs. Real Estate: Which Is the Safer Investment? https://www.gobankingrates.com/investing/strategy/bitcoin-vs-real-estate-which-is-safer/