Hi. I'm going to follow you to see where your investments take you and how the conversation evolves. I'm an amateur investor, mostly focused on technology and IPOs. I almost invested in Bitcoin very early, in 2011, when a software developer friend of mine tipped me off to it. I've started keeping a close eye on cryptocurrencies recently as the prices have exploded and I've had to deal with some mild regret about not securing the coins when they were cheap. What interests me however, and comforts me to some extent, are the wild swings in the market. Even if I had invested when Bitcoin was below $20, I imagine I would have sold well before 2017 when it hit its huge peaks; the market volatility would have tortured me. I'm curious too about Digix (is it really backed by gold?) as well as the blockchain technology and how that will continue to evolve for various uses. What about Litecoin, which I understand some think is more efficient and secure? I'm curious too about how you deal with the wild market gyrations and how you feel about Bitcoin's major losses in the first month of this new year? It will be fascinating to see what happens -- no doubt!
Great to meet you!
You made the first comment on my steemit blog so I am honored.
How cool that you were told about Bitcoin back in 2011. You know your attitude is a good one though, and I am sure I would have done the same and sold whatever I had well before the peak in 2017.
What I have learned is to keep some of my money in fiat or stablecoin (USD, DAI) so I can take advantage of these big downward swings. I am implementing that strategy now, dollar cost averaging in as the market has tanked.
Each DGX is backed by 100 grams of gold, so that token will be a good stable store of value to hedge against big dips in the market. The DGD token gets dividends from the usages of the DGX token; their platform is going live soon, been in development for a year or two I have read.
MakerDAO has a DAI token pegged to $1 USD, and it accomplishes that by having people put up their Ether as collateral and then generating DAI from that. So DAI is a stablecoin that you could move crypto into to hedge against market dips. The MKR token is the governance token over DAI, where you can vote on how DAI is generated, and the value of MKR should go up in value over time as to redeem DAI people have to burn MKR tokens, thus decreasing the supply.
Litecoin is more efficient, and I use it to transfer crypto from one account/exchange to another as it typically has lower fees and is faster. Whether long term it has appreciating value is still a big question.
Overall I think Bitcoin and all crypto will appreciate in value. How long that will take, I'm not sure, but I do think this dip will be a blip on the radar ultimately to the overall appreciation in value.
Thanks for commenting; we'll keep chatting!