Cryptocurrencies have certain things in common with Gamestop investment.
Most modern scams rely on this idea that the world is changing, and tech savvy people can take advantage of this Brave New World. It may. of course, be entirely legitimate. The bits that scare me are:-
1. It is not a "cryptocurrency". Firstly, it is not hidden, and secondly it is not a currency. It is closer to a stock. 2. Unlike every other legal investment, it falls outside of the loads of regulation that protect investors, from the Financial Conduct Authority to the Ombudsman 3. All sorts of "facts" provided on the internet, provided by people with absolutely no relevant qualifications, but accepted as gospel 4. Look at that guy who has dumped his hard drive. He can prove he bought the "currency", prove he hasn't sold it, but because he hasn't followed certain rules, he forfeits it. Think-who benefits from that? Because the first rule of accounts is that there is always a credit for every debit.
Things that sound too good to be true. They are normally exactly that.
Some people will make money. And others will get their fingers burned. It's a question of when. Not if. If form is any guide. It is a massively risky investment. Anyone who tells you you are not risking ALL of your investment is divorced from reality.
With massive risk comes the potential for massive profit. But people never want to tell you the flip side.
"They’ll get it. They’ll get it all from you, sooner or later, 'cause they own this fvcking place. It's a big club, and you ain’t in it." - George Carlin
This is derailing the original thread-if this continues, it needs a thread of its own.
However, the main point here is that there are all sorts of rules concerning investment advice for the buying of stocks (not as yet for Bitcoin) which message boards seem to be ignoring.
GME was the biggest investment scam of all time for me. It's nothing to do with populism, more like the greed of the people who thought up the pump and dump scheme and used the main street vs wall street argument to fill their boots at the lowest price possible and dump at the top of the market. There's a few anonymous WSB reddit contributors that are now multi millionaires. I don't believe for one minute they held onto their shares. Same applies for XRP but to a lesser extent.
Cryptocurrencies have certain things in common with Gamestop investment.
Most modern scams rely on this idea that the world is changing, and tech savvy people can take advantage of this Brave New World. It may. of course, be entirely legitimate. The bits that scare me are:-
1. It is not a "cryptocurrency". Firstly, it is not hidden, and secondly it is not a currency. It is closer to a stock. 2. Unlike every other legal investment, it falls outside of the loads of regulation that protect investors, from the Financial Conduct Authority to the Ombudsman 3. All sorts of "facts" provided on the internet, provided by people with absolutely no relevant qualifications, but accepted as gospel 4. Look at that guy who has dumped his hard drive. He can prove he bought the "currency", prove he hasn't sold it, but because he hasn't followed certain rules, he forfeits it. Think-who benefits from that? Because the first rule of accounts is that there is always a credit for every debit.
Things that sound too good to be true. They are normally exactly that.
Some people will make money. And others will get their fingers burned. It's a question of when. Not if. If form is any guide. It is a massively risky investment. Anyone who tells you you are not risking ALL of your investment is divorced from reality.
With massive risk comes the potential for massive profit. But people never want to tell you the flip side.
1. Agree that the term crypto currency is misleading, for a lot of the crypto's. A lot of them function more as a "share" in the company. I don't think that should put you off though. Cryptography is used in several aspects of Bitcoin and other cryptos, even if it doesn't result in the transactions themselves being private. Although there are ones that offer this feature either as an addon or natively. 2. Agree. But this has positives and negatives. Unregulated environments allow for much innovation and value to flow much more freely. It also means its a bit of a wild west, and scams are much more likely. The space is in the process of becoming regulated, as much as it can be anyway. The internet is allows information to flow without regulation and look at how much that has added to the world. Allowing value to flow in the same way will have just as large an impact in my opinion, opening up a far more efficient global economy. 3. Totally true. but it doesn't detract from the legitimacy of the technology. traditional stocks suffer from the same thing, except there are far fewer people that understand crypto so the weighting is far more to the utter bs side unfortunately. 4. This is one of the drawbacks of having a currency that cannot be controlled by a central party. I have mentioned before though that if you don't want to take the risk of being your own custodian you can pass that risk on to a 3rd party, just like you can with cash. Infrastructure is growing daily it seems in that regard too.
Was just going through some old accounts last night and came across my Coinbase account.
I,d left £30 odd quid in there just over a year ago on Bitcoin and its now worth £240. I was going to withdraw it but instead decided to put another £100 into my account and buy some more.
I don,t have the first clue about these things but was thinking it might be best to not have it all in Bitcoin and buy another coin as well.
Does anyone know a good coin to buy at the moment?
Anybody have thought on Coinbase stock tomorrow? BTC is such a bull market atm that I can see COIN, as it will be listed, really mooning. There are so many retail investors about and, let's face it, they're all going to say buy surely?
I'm personally avoiding buying tech stocks atm, given that everything is so overpriced.
That said, if you have faith in crpyto for the long-term, then Coinbase could be a good stock to buy and HODL. I expect there'll be better chances to buy in the future though. From my limited crypto knowledge, a crash later in the year, followed by a relatively dull period, seems quite likely. Coinbase's income took a massive hit after the last crypto crash, so the same could well happen again.
Of course, if you expect the crypto bull-run to carry on for a long time, then you want to buy in straight away. But for me, crypto and tech look bubbly right now.
The other problem is, it's not a good way of diversifying your portfolio if you're already heavily invested in crypto. It will do well when crypto is doing well and poorly when crypto is doing poorly.
I think the retail investor boom should mean COIN is only going one way in the very short term. This might be the one time I try and spread bet a stock for a relatively quick buck.
Comments
Most modern scams rely on this idea that the world is changing, and tech savvy people can take advantage of this Brave New World. It may. of course, be entirely legitimate. The bits that scare me are:-
1. It is not a "cryptocurrency". Firstly, it is not hidden, and secondly it is not a currency. It is closer to a stock.
2. Unlike every other legal investment, it falls outside of the loads of regulation that protect investors, from the Financial Conduct Authority to the Ombudsman
3. All sorts of "facts" provided on the internet, provided by people with absolutely no relevant qualifications, but accepted as gospel
4. Look at that guy who has dumped his hard drive. He can prove he bought the "currency", prove he hasn't sold it, but because he hasn't followed certain rules, he forfeits it. Think-who benefits from that? Because the first rule of accounts is that there is always a credit for every debit.
Things that sound too good to be true. They are normally exactly that.
Some people will make money. And others will get their fingers burned. It's a question of when. Not if. If form is any guide. It is a massively risky investment. Anyone who tells you you are not risking ALL of your investment is divorced from reality.
With massive risk comes the potential for massive profit. But people never want to tell you the flip side.
"They’ll get it. They’ll get it all from you, sooner or later, 'cause they own this fvcking place. It's a big club, and you ain’t in it." - George Carlin
However, the main point here is that there are all sorts of rules concerning investment advice for the buying of stocks (not as yet for Bitcoin) which message boards seem to be ignoring.
2. Agree. But this has positives and negatives. Unregulated environments allow for much innovation and value to flow much more freely. It also means its a bit of a wild west, and scams are much more likely. The space is in the process of becoming regulated, as much as it can be anyway. The internet is allows information to flow without regulation and look at how much that has added to the world. Allowing value to flow in the same way will have just as large an impact in my opinion, opening up a far more efficient global economy.
3. Totally true. but it doesn't detract from the legitimacy of the technology. traditional stocks suffer from the same thing, except there are far fewer people that understand crypto so the weighting is far more to the utter bs side unfortunately.
4. This is one of the drawbacks of having a currency that cannot be controlled by a central party. I have mentioned before though that if you don't want to take the risk of being your own custodian you can pass that risk on to a 3rd party, just like you can with cash. Infrastructure is growing daily it seems in that regard too.
https://www.forbes.com/sites/billybambrough/2021/02/03/visa-reveals-bitcoin-and-crypto-banking-roadmap-amid-race-to-reach-network-of-70-million/
Elon Musk, the richest man in the world (smartest too?) has recently declared his support for bitcoin, after being on the fence for years.
I,d left £30 odd quid in there just over a year ago on Bitcoin and its now worth £240. I was going to withdraw it but instead decided to put another £100 into my account and buy some more.
I don,t have the first clue about these things but was thinking it might be best to not have it all in Bitcoin and buy another coin as well.
Does anyone know a good coin to buy at the moment?
Thanks
P
That said, if you have faith in crpyto for the long-term, then Coinbase could be a good stock to buy and HODL. I expect there'll be better chances to buy in the future though. From my limited crypto knowledge, a crash later in the year, followed by a relatively dull period, seems quite likely. Coinbase's income took a massive hit after the last crypto crash, so the same could well happen again.
Of course, if you expect the crypto bull-run to carry on for a long time, then you want to buy in straight away. But for me, crypto and tech look bubbly right now.
The other problem is, it's not a good way of diversifying your portfolio if you're already heavily invested in crypto. It will do well when crypto is doing well and poorly when crypto is doing poorly.
It went well for the first 4 minutes then it was a full on nosedive. £500 down the bog.