Crypto Currency

[Monahorns]

I guess having the value of their money drop 41.7% in a year surprised El Salvador. Thank goodness for that country's stabilizing effect on bitcoin. I'm sure the citizens are thrilled with their cabbage patch dolls.

The comparison you are making isn't the appropriate one. Do you know if or how prices in BTC in El Salvador changed. Did their prices go up 41.7%. Maybe but I haven't seen. The 41.7% is in terms of dollars not necessarily goods in a certain market.

Also, I didn't say that El Salvador would make BTC prices stable. I said as more and more countries make it legal tender that will help stability.

 

[iatrogenic]

The comparison you are making isn't the appropriate one. Do you know if or how prices in BTC in El Salvador changed. Did their prices go up 41.7%. Maybe but I haven't seen. The 41.7% is in terms of dollars not necessarily goods in a certain market.

Also, I didn't say that El Salvador would make BTC prices stable. I said as more and more countries make it legal tender that will help stability.

I don't need to know the price of goods. I need to know how their prior currency changed relative to the dollar, and it was a 15% weakening. Therefore, Bitcoin was 26% worse than the prior currency.

Bitcoin has been around long enough to find a stable footing, but it has not. Look at the facts as they are, not as you hope they will be as an investor. All the techno-geek talk of "block chain" and other vacuous mumbo jumbo sounds good, and as a conveyance of information it is good, but beneath the sweet allure is a steaming pile of cow manure.

Not everyone in El Salvador was happy about the change. Governments have an almost inexhaustible list of failed decisions.

 

[Monahorns]

I don't need to know the price of goods. I need to know how their prior currency changed relative to the dollar, and it was a 15% weakening. Therefore, Bitcoin was 26% worse than the prior currency.

Yes you do because currencies relative position changes all the time without the prices for goods changing necessarily. There are more factors than just the one comparison. Prices are simply ratios of value between goods anyway.

Bitcoin has been around long enough to find a stable footing, but it has not. Look at the facts as they are, not as you hope they will be as an investor. All the techno-geek talk of "block chain" and other vacuous mumbo jumbo sounds good, and as a conveyance of information it is good, but beneath the sweet allure is a steaming pile of cow manure.

Yeah. 9 years. But monetary systems in the past developed over centuries. Put yeah. It should already be done while many governments fight its use.

 

[iatrogenic]

Yes you do because currencies relative position changes all the time without the prices for goods changing necessarily. There are more factors than just the one comparison. Prices are simply ratios of value between goods anyway.



Yeah. 9 years. But monetary systems in the past developed over centuries. Put yeah. It should already be done while many governments fight its use.

Nobody lives in a closed system.

Six months in, El Salvador’s bitcoin gamble is crumbling.

Why Bitcoin Is Losing Its Shine in El Salvador

El Salvador’s Bitcoin Law Is a Farce

What happens when a whole country switches to bitcoin?

 

[iatrogenic]

Matt Damon Makes New Commercial Apologizing For Telling You To Buy Crypto

 

[huisache]

Waiting for somebody to tell Damon his pal Howard Zinn was a commie snake oil salesman

 

[Monahorns]

Nobody lives in a closed system.

Articles linked brought to you by the CIA!

The first article was mostly about how the infrastructure wasn't built out enough and the transaction costs. That is more an issue with the implementation not the currency.

 

[iatrogenic]

Articles linked brought to you by the CIA!

The first article was mostly about how the infrastructure wasn't built out enough and the transaction costs. That is more an issue with the implementation not the currency.

Yep, the CIA caused Crypto to fail. It wasn't a bad idea.

 

[Chop]

Did most of y’all who dabble in crypto get out before this crash?

 

[Monahorns]

No. Still in. Do you pull everything out of the stock market when it turns down?

 

[iatrogenic]

No. Still in. Do you pull everything out of the stock market when it turns down?

Do you get out of a burning house before it kills you?

 

[Chop]

No. Still in. Do you pull everything out of the stock market when it turns down?

I don’t give investment advice, but as for me only, yes—when it breaks key support levels and keeps going down, I personally get the heck out of Dodge and don’t get bloodier and bloodier and bloodier as it goes down further. I set reasonable stop losses and don’t get mauled on any one trade. If it’s strong enough to the downside, I MIGHT even short it (on a pullback—actually a “pull-up” if it’s going down). That’s just what I generally do. I have no recommendations whatsoever for anyone else though.

Everybody in the markets should seek the advice of a qualified investment advisor, don’t risk more than you can afford to lose, and don’t follow some random guys on an internet sports forum.

 

[Monahorns]

I'm not following anyone on the board. Jeez.

But Chop you don't exit the whole stock market. The stock market has crashed many times in history and the next 10-20 years are predicted to be great. You cashing out?

 

[iatrogenic]

Mona, the stock market is nothing like Crypto. It's a terrible analogy.

 

[Monahorns]

It is treated by law as a financial asset like a stock. So it is indeed a good analogy.

 

[iatrogenic]

If you say so.

 

[Monahorns]

It is an indisputable fact that the law treats cryptos as financial assets.

 

[iatrogenic]

That is true, but you know that the stock market and the market for crypto are hugely different. Why are you even arguing that?

I hope you make billions on the asset, but that argument is silly.

 

[OrangeShogun]

@Monahorns, is there a floor at which you would dump your crypto holdings? Conversely, if the opportunity arises, is there a level at which you would take profits?

 

[Monahorns]

I hadn't thought of it. Maybe $10,000 - $15,000, but I don't have much in it total anyway. At this point I wouldn't take profits.

 

[iatrogenic]

So, how are the vaunted "block chain" super assets known as magical Crypto Currency doing? Just curious. Hopefully, you flushed that investment long ago.

 

[Monahorns]

Imagine saying this after the dollar losing 99% of its value over the last 40 years.

 

[iatrogenic]

Imagine saying this after the dollar losing 99% of its value over the last 40 years.

Okay, I imagined it. Then I thought, hey, hopefully you invested those dollars and received a return. The way that works is a financial asset has a real return plus an inflation adjusted return, and you buy accordingly. That way, you offset inflation losses.

 

[Monahorns]

Okay, I imagined it. Then I thought, hey, hopefully you invested those dollars and received a return. The way that works is a financial asset has a real return plus an inflation adjusted return, and you buy accordingly. That way, you offset inflation losses.

You have to invest only because the money constantly devalues. Making investment gains isn't because of the dollar. You can do the same thing with any currency. You could make economic gains with bread and salt.

 

[Clean]

I saw an interview with billionaire Carl Ichan last week. He was asked about the crypto currencies, some of them were suffering horrendous losses that day. He said that he was a fairly smart person and that he’d invested a lot of time researching them. He said he couldn’t understand them, so he didn’t own any. I believe he added that he may have shorted them a few times. I’m the same way. I could never understand the crypto concept even though I’d taken the time to read a few articles on the subject.

 

[iatrogenic]

Icahn understands the asset. That’s why he didn’t buy it. Electronic cabbage patch dolls.

At one time in my life I had the opportunity to guarantee an Enron pipeline project in Columbia. I thought I was good at analyzing financial statements and judging risk. I read Enron’s statement and could not figure them out. I turned the opportunity down. I was a little depressed thinking I wasn’t the securities analyst I though I was. Turns out, I did understand them. Mark to market b.s. Blue sky. Fraud.

 

[Monahorns]

The point that y'all are missing is that the point of bitcoin or crypto isn't to be an investment. It isn't a financial asset, or at least that isn't the purpose. The purpose is to provide a medium of exchange that is stable and not controlled by central banking.

There is a long way to go for bitcoin to become what it was intended for, but that is the fact.

 

[mchammer]

It isn't a financial asset, or at least that isn't the purpose. The purpose is to provide a medium of exchange that is stable and not controlled by central banking.

Fiat currency >>> crypto

 

[Mr. Deez]

Fiat currency >>> crypto

Right now, perhaps. Long term, probably not.

 

[AC]