World, Writing, Wealth discussion
Wealth & Economics
>
Cryptocurrencies, an asset or a liability?
date
newest »
newest »
message 1:
by
Jack
(new)
May 04, 2024 06:34AM
There's a lot going on in the world of cryptocurrencies. People getting rich and people getting poor. There's a plateau of perspective we can adopt about cryptocurrencies. And I want to know what's your perspective.
reply
|
flag
Wouldn't touch them with a bargepole, Jack. If you get nervous holding cash, buy gold.
That wouldn't be a problem for me. But I'm curious to know why you adopted such perspective. Have you been unlucky with investments?
Hi Jack and welcome! Kudos on taking initiative. This topic can probably go along with another one: https://www.goodreads.com/topic/show/...
Many people I know toy with crypto - some make dough, many - lose. My main problems with crypto is that mining, where needed, is very energy consuming and that most illegal transactions switched to cryptocurrencies from drugs through transplants to terrorism and more.
Yet, it becomes (became) a popular investment venue, almost mainstream by now. Very speculative, as one Musk tweet can have a sizeable influence.
Thanks Nik! I've been watching some news about that and you're totally right. One thing is certain. It's been a game-changer for the better and for the worse. Personally I believe that it's a golden opportunity for anyone that is wise enough to educate themselves in the right way.
Hi Jack, I haven't had any negative experiences with crypto (or any other investments), but I like to keep life simple and don't go in for anything high risk. I favour physical assets, like property, precious metals and cash.
I view crypto as too high risk - a bit like the .com bubble on the stockmarket 25 years ago - something 1/2 way between a proper investment and a trip to the casino/ bookmakers.
Sure, I might not get rich taking this view, but I know I'm not going to lose money I can't afford to lose either. I might not sleep on silk sheets, but I do sleep well :)
I view crypto as too high risk - a bit like the .com bubble on the stockmarket 25 years ago - something 1/2 way between a proper investment and a trip to the casino/ bookmakers.
Sure, I might not get rich taking this view, but I know I'm not going to lose money I can't afford to lose either. I might not sleep on silk sheets, but I do sleep well :)
It's a perspective nonetheless. The volatility of crypto is indeed like gambling sometimes but when u have enough info about the markets there's interesting things you can achieve.
My view of crypto is it has no backing, and there is nothing that depends on it, so in principle it could suddenly collapse to nothing. One could argue that other currencies are simply printed money, but there dependencies. Thus the US economy would fall to pieces if the USD fell to zero value, so Americans would not let that happen. The USD is a medium for transactions, but crypto is really not a medium at all except for transactions involving narcotics, etc. If governments decided to outlaw it, it would collapse other than as a gambling medium, like dutch tulips.
A really interesting outlook. Gives me the feeling that we should take the opportunity to enjoy it's good side while it's still active.
Interesting, and for me it’s a new trend, every other person I speak to has recently ventured into crypto trading. Some lose some earn, but the sheer influx of new money should keep the mass of coins 🪙 afloat and rising. It might be self feeding as a Fonsi scheme while expanding, but once folks switch to a new “fad”… what happens then?
As history shows us, that's when they start to lose big time. The bigger the bubble blows, the louder it pops.
When everyone starts trading in something it is time to get out. Every bubble has ended some time. The only difference with crypto is that its use for criminals gives it a value of sorts.
Great perspectives. Although I feel it might not be the case for every cryptocurrency out there I do feel like bitcoin will hold its value for a while still. Given that fiat money is losing its value due to inflation that also adds up to the equation.
I thought this was an interesting article worth a look.https://cointelegraph.com/news/inside...
Kinda James Bondish stuff.
Nik wrote: "Hi Jack and welcome! Kudos on taking initiative. This topic can probably go along with another one: https://www.goodreads.com/topic/show/...
Many peopl..."
Indeed, that's a very good point but the benefits of cryptocurrency go far beyond that It has garnered significant global attention and this trend is set to continue While cryptocurrencies had numerous flaws in the past recent improvements and innovations have transformed them into an irreplaceable asset I believe that, in the future, cryptocurrencies will eventually replace the US dollar and become the mainstream currency on the blockchain This also validates the adaptability of a new age product making it one of the most valuable products of the blockchain era!
I see these things as nothing more than a scam. Nothing backs it. At some point, it is going to end.
Agreed, but it will float along while greed is unconstrained
