Pension funds are considered to be among the most conservative investors nowadays, and for relatively obvious reasons.

It's still hard to present blockchain, Bitcoin, and other investing opportunities behind arising from innovative technology to future pensioners, as they are focused on steady, guaranteed paybacks of their hard-earned fiat money.

Taking a closer look to European pension plans reveals that if you, for example, decided to trust the German government, or a German pension fund manager with 20,000 hard-earned euros today, you'd only get back 19,976 euros after thirty years of holding.

Analogizing the situation, I can only question myself and the readers: Why would anyone invest in Pension Funds, or trust the government to hold their money for thirty whole years, only to get compensated with less than what was initially contributed?

The thing with pensions is that given the thirty years threshold, a big portion of what should be paid back to Pensioners is frozen, or distributed back to the pension fund manager company or government fund, and not distributed between the remaining pensioners, if let's say a future pensioner passes away before the date they would be compensated.

At the same time, no-one can really guarantee you or the pensioners that the euro will still be as strong as it is today in thirty years time. Inflation could simply make your "less than what you initially deposited" funds worth even less if used to purchase inflated physical or digital goods in the future.

So why are future pensioners trusting traditional pension funds, and could Bitcoin be a better alternative?

The blind trust working class pensioners lend to the established governmental network allows the later, to present unfair solutions when it comes to managing people's money.

Similar to traditional banking institutions, pension fund managing entities are not really trying to figure out how to make your life happier in the future, but instead, they are paid to be focused on how to make more money in the present.

It can seem easy to trust someone who presents you a one-pager to sign, compared to a process of creating digital wallets, securing your private key, distributing your public key with caution etc., and that is the main reason traditional Pension Funds are the main long-term investment choice for many workers even today.

Of course, more and more people involved in the pensions chain realize the vast potential of Bitcoin and cryptocurrencies in general, with companies like Morgan Creek Capital already convincing some pension funds in the United States to make cryptocurrency-related investments.

In one of our previous articles, we talked about how and why Bitcoin could act as a safe-haven for investors, during uncertain times.

Reading it, you can generate some clearance on the matter and understand why and how Bitcoin is meant to prevail in the long-term, being a much more stable and trustworthy investment compared to almost any traditional fund, asset, or monetary system.

Many believe Bitcoin is not just a solution for investors and/or Pension Funds, but a pillow that will serve as a life-boat during the upcoming global financial recession.

In short, Bitcoin provides long-term stability, transparency of operations (pension fund managers must have good reasons to move your funds to a third wallet and start using them on their own accord), security and integrity during transactions, and a 24/7/365 market that literally never sleeps, unlike the 09:00-17:00 market traditional funds operate under.

In addition, the short and immutably limited total supply of Bitcoins (only 21 million BTC can ever exist) is a welcome feature compared to fiat currency, where governments can increase the supply of money as they deem fit.

Finally, Bitcoin is not controlled by central power-brokers such as banks, governments, and private companies, but it is a decentralized system distributing its operations between its own users.

Therefore, storing your hard-earned fiat money in order to get "rewarded" in the future, whether for Pension reasons or personal investment, allows you to get your funds back at any moment and price you see fit, and you don't have to wait until you're practically dead to get compensated with your own money.