Nick Szabo  🔑

Throwing money at stocks hoping they can beat the inflation rate devaluing cash balances is not investing, but the complete opposite. Malinvestments are capital allocations which wouldn't occur on the free market, which is exactly what many stocks and RE "investments" are.

It may not be investing by definition, but isn’t owning stocks the best strategy to beat inflation? I am referring to the non-bitcoin part of a diversified portfolio. Property can also work but I prefer liquidity. Thoughts?

No. Inflation was rampant in the 1970s while the U.S. stock market was flat in nominal terms. In real terms it lost about 90% of its value.

Right. Weren’t CDs and such paying very high interest rates? I remember my dad, who was horrible at money so take with a grain of salt, enjoying 12-13% CD returns for years. So not stocks in that environment, but today it seems reasonable. Anything better?

Sure, but you couldn't predict whether a CD would finish ahead or behind the CPI. Usually ahead, but sometimes not. Gold was the best investment of the 1970s.