Robert Kiyosaki: Most Poor People Are Poor Because They Break These 2 Laws of Money

ROBERT KIYOSAKI speaks at the 2024 FreedomFest at the Caesars Forum Conference Center in Las Vegas, Nevada.
Gage Skidmore / ZUMA Press Wire / Shutterstock.com

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As the author of “Rich Dad Poor Dad,” Robert Kiyosaki has long been dissecting what makes some people rich and some people poor. And in a recent post on X, he explains that many people are poor because they break two important laws of money.

According to Kiyosaki, here are the laws of money you shouldn’t break if you want to be rich.

Law 1: Gresham’s Law

Gresham’s Law is an economic principle that states that “bad money drives out good money,” or as Kiyosaki put it, “When bad money enters a system….good money goes into hiding.” When applied to currency markets, the law states that legally overvalued currency will drive legally undervalued currency out of circulation.

In Kiyosaki’s interpretation, he believes that people should focus more on obtaining assets like precious metals and cryptocurrency instead of stockpiling cash.

“In ‘Rich Dad Poor Dad’ I stated, ‘Savers are losers,'” he wrote on X. “In 2025, poor people are working for and saving fake money and not saving real money … gold, silver, bitcoin.”

Law 2: Metcalfe’s Law

Metcalfe’s Law has to do with the power of networks. It states that “the value of a network grows as the square of the number of its users.”

“McDonald’s is a franchise network,” Kiyosaki wrote on X. “Mom Pop burgers is not. That’s why they’re poor. FedEx is a network. Joe’s one truck package delivery is not.”

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Kiyosaki uses this principle to decide which cryptocurrencies he invests in, believing that currencies that have a larger network behind them are also the most valuable.

“I invest in bitcoin because [it] is a network,” he wrote. “Most cryptos are not.”

Why Kiyosaki Believes These Law Are Key To Being Rich

Kiyosaki obeys these laws himself, and believes they are key to building wealth.

“If you want to be rich, obey the laws,” he wrote on X. “Michael Saylor’s rich man’s words of wisdom are: ‘Only invest in things … a rich person will buy from you.’ Think about that.

“I do not save U.S. dollars because the U.S. dollar violates Gresham’s Law,” Kiyosaki continued. “I do not invest in … coins without networks, because they violate [Metcalfe’s] Law. That’s why I save gold, silver and acquire bitcoin. They obey the laws.”

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