Today we will talk about a concept that may seem a bit old but has a surprising relevance in our modern world. It is ataraxia, a Greek term Epicurus, the Hellenistic philosopher, used to describe the supreme state of serenity and tranquility. Interesting?🤔
According to Epicurus, Ataraxia is a form of inner peace that comes from the absence of fear or restlessness and is vital to achieving happiness, according to his philosophy. For him, the ultimate goal of life should be to achieve this state, along with aponia, which is the absence of physical pain.
And how does one achieve this? Epicurus suggested that ataraxia can be achieved by minimizing unnecessary desires, leading a simple and modest life, and seeking knowledge to reduce fear and uncertainty.⚖
Now, although Epicurus was a hedonist, that is, he believed that pursuing pleasure is the ultimate goal of life, he did not advocate unbridled indulgence in sensory pleasures. On the contrary, he saw ataraxia and aponia as the highest forms of pleasure, most effectively achieved through a life of moderation and philosophical understanding.
The cotton market
But what does all this have to do with the modern world? To answer that, let me tell you the story of Jesse Livermore.
In 1916, this famous trader decided to venture into the cotton market. Although he had accumulated great wealth in the stock market, he wanted to expand into other markets and believed he could bring his speculative strategy to the cotton market. However, his strategy could have succeeded.
Unlike the stock market, the cotton market was more vulnerable to unpredictable factors such as weather, and his tactics proved inadequate. In a short period, Livermore lost more than $1 million.
This financial failure also resulted in significant personal stress for Livermore, who described in his autobiography the anguish he felt during this period and how his obsession with recovering his losses led him to neglect other areas of his life.
William Delbert Gann describes him as a fantastic trader but a lousy money manager.
Greek philosophy and investments
So where does Epicurus come into all this? If we apply his teachings to cryptocurrency investing and digital entrepreneurship, we can find three valuable lessons:
1️⃣ Wishfulness minimization
In the cryptocurrency market, it's common to see people motivated by greed, always looking for the next big gain. But, as we saw in the case of the Bitcoin bubble in 2017, that attitude can lead to rash decisions and significant financial losses. An epicurean investor might opt for a more moderate strategy, investing only what they are willing to lose and avoiding getting caught up in the cycle of greed.
2️⃣ Enjoy simple pleasures
Digital entrepreneurs often lead hectic lives, spending long hours in front of the computer, focused on their work. An entrepreneur who follows Epicurus' philosophy might remember the importance of pausing to enjoy simple pleasures, whether it's a home-cooked meal, a walk in nature, or quality time with friends and family. These moments can contribute to greater mental well-being and efficiency at work, help you maintain a balanced perspective, and avoid burnout.
3️⃣ Ataraxia
Tranquility and freedom from fear are particularly relevant in the investment world, which can be highly volatile and stressful. An epicurean investor might take a long-term view, research carefully before investing, and avoid constantly checking market fluctuations to maintain a calm and objective attitude.
So, the next time cryptocurrency market fluctuations stress you or feel overwhelmed by the pressure of running your business, remember Epicurus. Remember that true happiness is not found in material wealth or business success but in inner peace, fulfillment of superficial desires, and freedom from fear.