From minimalism to digital nomadism to FIRE (Financial Independence, Retire Early), our culture is seeing an uprising in alternative lifestyles.
Minimalism is a lifestyle that simplifies one’s habit of consumption, by owning or using essentials and reducing or eliminating clutter and excess. Minimalists reject the degree of influence that materialism and consumerism have over our lives and day-to-day choices on how we spend our time and money.
Digital nomadism is a lifestyle that requires an occupation that is not location-dependent. A digital nomad is free to live and work wherever they are legally permitted, with their source of income not being dependent on their physical location.
FIRE is a lifestyle where one seeks to reduce their expenses and increase their income through investments or passive sources at a rate that allows them to retire as early as possible.
The young adults of today are quite different from who their parents were at their age…
…or are they?
It seems like what is viewed as the ultimate goal in life for those who live in the Western world is still, and has always been, happiness.
What’s changed is that young people of today no longer think that certain things are absolutely necessary to achieve in order to arrive at that ultimate goal.
For instance, many young professionals believe that working in an office is not necessary to achieve high levels of productivity and profitability. More and more young professionals are also switching from employment to freelance, part-time, or “gig” work in order to experience flexibility and autonomy.
However, there are still certain milestones that haven’t changed in their significance. CNBC reports that “nearly three-quarters (74%) of American adults still view homeownership as a top hallmark of achieving the so-called American Dream.”
While homeownership may be the top hallmark, many of the Millennial and Gen Z demographic struggle to accumulate the capital that is required. This may explain why alternative lifestyles have become popular in the first place, as frugal saving and spending is a common theme.
Chief financial analyst of Bankrate.com Greg McBride says that “insufficient income, high home prices, and not being able to afford a down payment or closing costs” are common barriers to owning a home.
There is indeed a gap between the achievement of home ownership and the economic realities that have given rise to alternative lifestyles. That gap may be bridged by investing in defi real estate tokens, which represent a fraction of real property, making real estate more accessible to those who cannot afford to invest by traditional means.
Some individuals do not want to own property in the traditional sense but do want the opportunity to capitalize on the appreciation of real estate assets. An individual may invest in a real estate investment trust that has large-scale ownership of income-generating properties. The decentralized alternative is to leverage the blockchain in real estate, which provides security and liquidity with smart contracts. Moreover, these properties are listed on online marketplaces like Real T, which facilitate tokenized real estate investing.