Are we all into cryptocurrency because we missed bitcoin in the early years ?
Sometimes I wonder if we are all such believers in crypto currencies because we missed bitcoin in the early years.
We already missed out one shot to become millionairs.
So are we true believers or do we just want to miss another bitcoin story ?
There's a Chinese saying that I like to apply to crypto: "The best time to plant a tree was 20 years ago, the second best time is NOW". For all those who missed the early years of Bitcoin and crypto, this time is a second opportunity as it is still in the early adoption fase. We still have a really long way to mass adoption, and also in terms of blockchain technology development. Choose your projects now wisely and expect the whole crypto market to grow at least x10 in the next 10 to 20 years.
I really hope so. We are all supporting this !!!
Yes but more no, bitcoin is still good as currency and even more as investment!
Yes I agree but maybe that's also the origin of the issue :)
Very true I even might be a victim.
Yeah same here. Its quite obvious but too tempting :)
This is so true! A lot of people jumping into crypto might be taking huge risks by playing in some of the alt coins.
At least we have the excitement of trying and dreaming !
What do we have if not our dreams ... of financial freedom hahahaha
That's one way to look at it as hindsight is always 20/20. Another way, though, is to think that even if you focus on bitcoin, it may still shoot to the moon. Think about it: Only 21 million bitcoins will ultimately exist. Many of those have been documented to be lost from the early days when they weren't as highly valued. So even if you own just a few bitcoin today, there is a potential to amass great wealth as the vast majority of people still are not active in this ecosystem.
However, a more important points aside from speculation is to consider what the true beauty of bitcoin is: individual monetary freedom. That is, you can transact with another party in private, without permission, without disclosure and nearly instantaneously at a fraction of the cost of traditional financial transactions. That is a massive paradigm shift in world economics. Of course, other cryptos offer this too, but bitcoin was first and in my opinion will dominate the space for the time-being.
So don't just yet give up on bitcoin. If you think you missed the boat because of the price, ask yourself the same question when it doubles within two years (this can happen). I remember people hitting themselves over the head around four years ago when bitcoin shot up to $100. They were saying, "Man I wish I had bought at $11". Now what would they say?
Yes very true. Also I cannot complain. I accumulated some bitcoins since 2013 but the real wealth is with the people who were in from around 2010.
I had some nice gains but I still follow every chance to really make a big one.
I also tell everybody I believe bitcoin will go to 50K. And I really believe it but based on what ?
Sometimes I doubt we are not all fortune seekers and everything will crash down from the moment we will realize this will not happen.
I agree it's a great technological invention. But is it of that kind of magnitude to really have a paradigm shift ?
Only time will tell. I do tend to compare blockchain technology to the formation of the Internet. There are many parallels as to value. To me, it is next to impossible to say that blockchain technology will die as some sort of fad. There are just far too many uses and innovators are discovering new ones all of the time.
The tricky part is determining which of the cryptocurrencies (existing or yet to be implemented) will be the winners. For me, if we can get passed all of the block sizing debate, whatever form bitcoin will take should lead it to be the big gorilla in the room. But to be safe, it is best to diversify somewhat or at least watch this space and be agile as to shift into alternative forms. Don't lose hope and keep spreading the word about blockchain tech to everyone you know. The more people that realize the wonder of this, the quicker the adoption rate.
Indeed I tend to agree on the internet comparison. The only fear I have cryptos are just one of the developments of the internet.
We do everything on the internet : meet friends, buy medicine, learn stuff. So what is so special about internet money ?
I mean it's handy to have an easy currency on the internet but does it make sense to put any value in the token itself ?
"Does it make sense to put any value in the token itself?" was your question. Well does it make sense that an artist can put a few strokes of paint on a canvass and fetch $1 million for that painting? As Carl Menger and the Austrian economic school teach, value is subjective. That means each individual finds value according to his own preferences, perception, needs, desires, etc. So given that so many people (and this is growing everyday) find value in bitcoin and cryptocurrencies is enough indication to me that it has some use as people are willing to trade dollars for BTC. We do not have to define why bitcoin is valuable, we just need to observe that people do find it valuable and also that we can find the value in it for ourselves (I gave some examples of this above).
Indeed people are putting value to the tokens. Even fiat money is worth what people attribute to it.
But what if there is a killer blockchain fully linked to dollar (so infinite supply). Do we really need that extra currency with his own volatility.
Isnt the blockchain technology enough ?
That's in fact my biggest fear. We adopt blockchain but just link it to an existing fiat currency.
Backing a cryptcurrency with fiat money isn't really employing the model of blockchain technology. Namely, blockchain money is by nature decentralised. Some central banks like the Bank of Canada attempted to call their version of cryptocurrency (CAD-coin) as using blockchain technology, but in fact these schemes aren't decentralised at all. It is still one entity controlling the money supply. It seems they are just trying to jump on the crypto bandwagon or trying to co-op the movement. I say good luck with that.
Remember fiat money is simply money by decree (of a government). With bitcoin, there is no authority forcing anyone to use it. With fiat, governments force their subject to settle contracts, pay taxes and receive benefits with only that decreed money. That is, there do not allow a free market (think: competition) in money. Cryptocurrencies can change all of that.
As it stands the volatility as people perceive it lies in the exchange rate of cryptos to existing fiat currencies. In a world of no fiat and many cryptos there would still be volatility and arbitrage opportunities just as there is today in the forex market.
So I wouldn't fear blockchain fiat as I think that is a dead-end for governments, my main concern is that crypto applications aren't yet simplified enough for the common layman. If we make improvements here along with the scaling debate mention earlier, there can be some real opportunity in terms of massive adoption. Time will tell.
Very clear man. And to be honest I'm fully with you on this.
Massive adoption is indeed another issue. But ok this was the same with internet. In the beginning it was just us dialing in with our Modems.
I still remember the exciting sound and feelings :-)
I just recently started in crypto currencies, mainly because I do feel I missed my chance on the early years on bitcoin. One day in the early years I actually thought of buying about $100 worth of bitcoin but was too lazy to actually do the homework and see what it all was about, seeing the prices now it is natural that I don't want to miss out on another oportunity, I have been doing the research and have become more and more conviced that this is the future, wich is why I´m not missing my chance again.
We are clearly all in the same boat. Let's hope it's the money boat :)
lol. Great point!