Yep, just like fiat currency.
Until they are well understood and accepted by most, cryptocurrencies are a tempest in a teapot. When the gas is turned off, the agitated frenzy will cease and all that will be left is some water at the bottom of the pot.
“Don’t put in more money than you can afford to lose.”
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Hardly novel investing advice, but it is especially prudent when it comes to this.
A comedy show about nothing (Seinfeld) worked, but it’s not such a good plan for investments.
I seem to like the idea that no one country can mess with my BTC.
Sounds like this guy cashed out for American greenbacks and is now “warning” of a massive price drop. Just a guess.
It does have a basis in reality in that it can be exchanged for real goods. The valid objection to abstract currencies has always been that a government can inflate them at will and can be expected to always do so. That isn't true for these cryptocurrencies.
You can't eat paper dollars. You can't wear them or build a house out of them. What basis in reality do they have apart from their exchange value? And nowadays you hardly ever see the paper form of dollars anyway. Most dollars exist only as numbers in ledgers in banks, and are exchanged through electronic means.
The intrinsic value of cryptocurrency is ZERO. The US dollar has at least “the full faith and credit” of the US government behind it. Cryptocurrency has nothing but the full faith and credit of a few ‘miners’ sitting mostly in their parents basements in their underwear faithfully ‘mining’ their currency. It may have their faith, but their credit is worth zero.
We’re enjoying a vacay in Florida now thanks to a BTC investment, and believe me, the sun, sand and surf are very real.
When I see “Cryptocurrencies”, I hear “Tip Toe Through The Tulips”.
https://www.youtube.com/watch?v=zcSlcNfThUA
These guys are just trolling people to get their name in the news. Cryptos are going to zero anytime soon.
What reason is there preventing them from dropping to zero?
99.9% of US dollars are in the form of a digital cryptocurrency.
And the only thing backing them up is the shared delusion that they’re worth something.
This was bound to happen.
Don’t feel sorry at all for those who sold everything they had for Bitcoin and anything else like it.