Forget cryptocurrency: This is the secret source for a millionaire's retirement

While many would agree that the stock market has historically been the best way to build wealth over the long term, digital currencies have claimed that title in recent years. For example, the five-year returns for Bitcoin and Ethereum were 700% and 310% respectively, while the total return of the S&P 500 at the time was only 73%.

But with digital currencies at full risk, now is a good time to reevaluate your investment philosophy and the path you want to take to achieve the right financial return. And if you want to withdraw from a millionaire, you can validate that avoiding cryptocurrencies entirely might be the right course of action right now.

Are cryptocurrencies a good investment?

Don't chase the bright

With stories of people becoming millionaires almost overnight by trading digital assets, what many non-crypto investors feel is undoubtedly a fear of loss. It is human nature. We want to imitate this behavior immediately when we see other people achieve tremendous success by doing something. But the problem is that it's the complete opposite of what a rational person should do. What really matters is how consistently an individual saves, the time to retirement and their risk tolerance. The ultimate goal is to have a financial plan that will help you achieve your personal goals.

STUDY: Confusion Doesn't Stop Ambitious Crypto Investors

While some cryptocurrencies have dominated stocks in recent years, they are not suitable investments for everyone. First of all, digital assets are exorbitantly volatile, with daily movements exceeding 10%. And with the sector as a whole entering its teens - Bitcoin was launched in January 2009 - the potential range of outcomes for the emerging asset class is huge. That's a lot of uncertainty for the stomach.

Additionally, the lack of regulation of cryptocurrencies,

which does not happen in the traditional financial system, increases the risk. There are countless stories of fraud. Even with legitimate projects, the total risks of different crypto companies are simply unknown. 

Late Game: Despite Biden's Executive Order, US lags behind other countries that regulate crypto global -

While it may be tempting for some speculators to take advantage of the cryptocurrency hype, especially given the tremendous returns they have reaped from buying digital assets, it is safer to focus solely on owning stocks over the long term.

Do this instead

There's no secret to retiring a millionaire. It is actually quite simple. People should start investing from a young age and leave the rest to the configuration.

But what's the right way to invest? If you have the time to study and research different businesses, then actively picking stocks might be a viable option. Blue-chip stocks such as Apple, Berkshire Hathaway, and Coca-Cola are great companies to help build a solid foundation for well-diversified portfolios. On the other hand, if you simply want to adopt a passive approach, buying exchange-traded funds such as the Vanguard S&P 500 ETF or Vanguard High-Dividend ETF is a good idea as well.

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Based on the S&P 500's average annual return of roughly 10% since 1900, someone who invests as little as $200 per month starting at age 25 would have a $1 million nest egg at 65. Of course, increasing the time horizon, increasing investment and achieving higher returns will lead to the creation of a larger retirement fund.

Some important points to keep in mind are that investors should expect significant declines, such as the dramatic declines we are seeing now. Volatility is the price of success in the stock market. Also consider the long term, ideally aiming to generate returns over several decades.

With this mindset, you are on your way to becoming a millionaire. And the best part is that you can do it without digital currency.

10 Best Stocks to Buy in 2022

The 10 stocks that should be added to the portfolio after 2022 are listed below:

There are literally thousands of publicly traded companies you can invest in, not to mention the many exchange-traded funds (ETFs) and mutual funds you can buy, so it's not surprising many investors don't know where to begin. And, with the recent market downturn, there are plenty of stocks trading for significantly less than they were just six months or a year ago.

While we don't have a crystal ball that tells what stocks will deliver the best returns, we have tried to do the next best thing here. In this article, we have discussed 10 stocks that we think could be great buys in 2022 for long-term investors looking to put their money to work.

Before we get to the stocks you're here for, let's acknowledge three caveats:

1. Choosing the best stock to buy today is highly dependent on your personal financial situation. To get an idea of ​​your position, read our guide to investing in stocks.
2. We like these stocks as a long term investment. I have no idea what they will be doing in the next few weeks or months. If inflation lasts longer than expected, or if the US goes into recession, it is indeed possible. Most or all of these will decline in the short term.
3. Added some diversity, but the list below is not intended to represent a fully diversified portfolio. Instead, they are the most confident stocks to outperform in 2022 and beyond. The best way to diversify your holdings at once is to center your portfolio around the base Vanguard Total World Stock index fund.

Top 10 shares in 2022

1. ETC (NASDAQ: ETSY), $ 10 billion
2. Pinterest (NYSE: PINS), $ 13 billion
3. MercadoLibre (NASDAQ:MELI), $40 billion
4. Sea Limited (NYSE: SE), $44 billion
5. Shopify (NYSE:SHOP), $45 billion
6. Block (NYSE:SQ), $48 billion
7. Intuitive Surgery (NASDAQ:ISRG), $78 billion
8. Walt Disney (NYSE: DIS), $198 billion
9. Berkshire Hathaway $687 billion
10. Amazon (NASDAQ: AMZN), $1.25 trillion

(Market seasons rounded to the nearest billion as of June 3, 2022.)