With the collapse of Terra and the huge selloff of Bitcoin and other crypto currency, I am curious, are some of you guys that were touting crypto now having doubts? Or do you see this as a market shakeout and still believe in the concept long term? [Confession - I am on the record as believing it is a scam, and will not buy ten cents worth, so call me a Crypto Skeptic]
Bitcoin and other Crypto (cont.)
- Thread starter Tskware
- Start date
Cryptos haven't cost me a penny. No reason for S & F to join one now after decades.
I own like 6 different currencies that 6 to 18 months ago, were touted for this reason or another (mostly by my BIL). Invested about $600 and its basically at $300 now.
It's too volatile for me, and still waiting for it to actually be useful. The only thing I'll maybe do from here, if anything, is to just buy some extremely cheap coins (like Shiba) like it's a powerball ticket.
It's too volatile for me, and still waiting for it to actually be useful. The only thing I'll maybe do from here, if anything, is to just buy some extremely cheap coins (like Shiba) like it's a powerball ticket.
That’s the allure to me. Otherwise I don’t have enough money to just throw around on something so volatile that I barely understand.
The store of value description sure seems in doubt huh? What I found striking is at the end of last year, crypto people in their various sales pitches were all of a sudden touting this technology as an inflation hedge replacing gold. As it turned out, nothing could be further from the truth. Gold has been flat while BTC is down 39%.
That being said if you were high on crypto before, now's the best time to inch back in. Not at all-time highs. Same with stocks.
That being said if you were high on crypto before, now's the best time to inch back in. Not at all-time highs. Same with stocks.
Diamond hands. Won’t touch this money for forty years anyway. Buy, hold, buy some more when you see fit.
Seems like a darned solid investment to me.
What’s a reasonable price for a made up fiat currency with a very high transaction fee that is not backed by anything?
This plus people must know the us government is either going to regulate it or destroy it. I suspect the latter was already put into motion and we're seeing those fruits.
The fed will not allow anything to challenge it's position. Zero chance. So even if it rebounds now, it's just a matter of time.
The hits keep coming.
What the market thinks of the assets backing it up. What assets are backing up cryptos? Tulip bulbs?
“If you owned all of the bitcoin in the world and you offered it to me for $25, I wouldn't take it,” Buffett said
It seems to constantly tank.
My buddy has a lot invested in it but never seems to be phased at these dips. He has tons of faith in it. But it's just too volatile to me and I really don't fully understand it.
Isn't bitcoin similar to the hundreds of .com companies during 2000-2002 that had no revenues, no assets but their stock price was $100+? When one of my clients ask about it (I'm a financial advisor by trade), I equate it to baseball cards. Somebody says such-and-such baseball card is worth $X but only if someone else is willing to pay you $X for it. There is no revenue stream to discount, no business model, etc. on the price of a baseball card. There is no mathematical formula from which you can derive a 'true' value of a baseball card - it's all about what someone else's opinion is and their willingness to part with cash at the time. Same with bitcoin.
Having said that, I always feel a bit bad when someone gets scammed out of money and I feel bitcoin will turn out to be just another in a long line of scams.
Having said that, I always feel a bit bad when someone gets scammed out of money and I feel bitcoin will turn out to be just another in a long line of scams.
It's not so bad. I mean 3% losses today ain't near as much money as 3% 3 months ago.
Yes, but at the moment, that applies to my 401K as well.
OTOH, I am pretty sure Amazon, Apple, Bk of America, et al will come back sooner or later. Bitcoin, uh, not so much.
No worries. Enron, Bear Stearns, and Worldcom also bottomed temporarily, too.
Well...
- Enron was basically a fraudulent company where even the external auditor was in on it.
- Worldcom overstated its assets by $11B
Unfortunately, we may find out Bitcoin is a fraud or at least just a mechanism for money laundering, human trafficking, gun running, drug dealing, etc. When you own Bitcoin, what, exactly, do you own? A number on someone's spreadsheet. Think many of Madoff's clients owned similar numbers.
Blockchain tech may end up having an impact but an electronic currency that is backed by nothing, not even a promise? I just can't see that happening worldwide. But, hell, who knows?
I don't think Bitcoin is a fraud. Madoff and Co. were lying about the value of their accounts. That equals a fraud. Bitcoin is an electronic currency built on a blockchain that costs a **** ton in energy bills to track. It is backed by nothing except individual trust that there is a market for it. I don't think anyone lied about it. If you bought in and it goes to zero that's on you.
If you took a banking class in college you will understand that a dollar - despite its loss in value - is at least tied to assets. And therefore a currency like Bitcoin - which is tied to nothing - should never work. Stable coins are interesting to me. I see value in that... sort of. Not as a way to make money, but to actually perform transactions/
I agree. There is actual value there. It just has yet to be discovered. Reminds me of the dotcom bubble. Now that we’ve got the scammy **** off the table we can start to find the real value and potential.
I'm not so sure about the store of value in the coins or NFT's themselves. However, the technology has tremendous value I'd say. Doesn't mean it survives the onslaught of sellers, although I suspect it will.
Yes. The underlying technology has value and there is good money to be made utilizing it.
It's certainly possible with the right idea, product and execution. Microsoft didn't invent the PC or the Internet. They just figured out how to market and utilize products like DOS, Windows, Word, Excel and Internet Explorer.
Correct me if I'm wrong but there seem to be four reasons to own crypto:
- You think the value of it is going to go up and you want to ride the wave
- You want to buy something illegal and don't want to get caught
- You live in a 3rd world country and your banking system is ia train wreck (like 50% of the world population).
I just want to point out that I know what the Tulip Bubble was.
I bought into a few crypto about a year ago, knowing nothing other than very general info and that several of my friends had done so with success. Got Doge, Shiba, Cardano & Bitcoin.
As of today, my $11k investment was at $3k haha. At this point just gonna ride it out and if I lose the remaining, which I understand is likely, so be it. Sucks but live and learn I suppose.
As of today, my $11k investment was at $3k haha. At this point just gonna ride it out and if I lose the remaining, which I understand is likely, so be it. Sucks but live and learn I suppose.