Crypto currency (IF banned from CA)

[SerenityNigh]

why do nocoiners always go looking for an arguement,
they contribute nothing to this thread except bitterness and anger,
the resentment is saddening!

I would love to understand the fundamentals but the responses I get tend to be "you just don't understand" or "have fun being poor" and I've already got 1.5 teenage boys and am still bad at video games, so my life is full of that sort of contempt atm

 

[SerenityNigh]

All HEX does is take a system that already works in the real world, CDs/Government bonds and puts it on the blockchain, so to say it has no value is just wrong. There is such a thing as the time value of money, thats why the US/China CD market is worth something like 7 trillion

If HEX is truly an index and the outstanding shares are 100% represented by the underlying asset, then I actually have no issue with it, except that i don't understand the reasoning behind a T-bill index.

 

[Goat]

I would love to understand the fundamentals but the responses I get tend to be "you just don't understand" or "have fun being poor" and I've already got 1.5 teenage boys and am still bad at video games, so my life is full of that sort of contempt atm

The concept of trading commodities that people will never own has been around for hundreds of years.

Its the way these online Gordon Geckos think they are breaking new gound that always amazes me.

 

[SerenityNigh]

So let me get this straight....

Crypto is either the great leveller. A way to shake up the establishment and orthodox economics.

Or.

A pseudo-progressive wheeze which allows closet tories to get rich and pay no dues (the New Labour of finance).

And / or

The chosen commodity for very very very bad people. Sex offender level bad people.

Wow.

It's probably all of these; the best take I've seen recently (and granted, I'm a nocoiner imbecile so I may just be stupid) is that crypto has a future, but its future looks nothing like how it works today.

 

[SerenityNigh]

Come on man, if you are trying to wind them up post the hex performance, 260,000% in 18 months

See, it's not tied to the underlying asset...

 

[SerenityNigh]

Im gonna invest all my money into trees.

That's more or less what my dad does now he's retired. That and collect bricks.

I have no explanation, thems just the facts.

 

[DuuuncanHadaPigeon]

See, it's not tied to the underlying asset...

its a combination of speculation and fundamental value, just like nearly every other asset. The price of amazon stock is not directly proportional to profits and performance of that company. Take TSLA for example, even elon himself said it is massively overvalued.

 

[SerenityNigh]

The concept of trading commodities that people will never own has been around for hundreds of years.

Its the way these online Gordon Geckos think they are breaking new gound that always amazes me.

Scamming young people for money does seem a new wrinkle on scamming old people for money, but my personal knowledge of history isn't that large

 

[SerenityNigh]

its a combination of speculation and fundamental value, just like nearly every other asset. The price of amazon stock is not directly proportional to profits and performance of that company. Take TSLA for example, even elon himself said it is massively overvalued.

Every investor understands and admits this, but most companies settle in a PE range of 30x - 75x or so. What's the PE on HEX vs the interest paid out on the T-bills/CDs it owns? Has to be in the 10s of 1000s if not factors more.

 

[nikom court]

Just because something had a huge rally though doesn’t mean that will continue - indeed that sort of huge increase without a corresponding “return to mean” would be pretty unusual.

Lumber was doing brilliantly earlier in the year and yet despite decent long term fundamentals is now not an asset you’d want to be in.

how long a timeframe would you like?
heres a 10 year chart!
you compare it to lumber that pumped for a couple of weeks lol

 

[SerenityNigh]

how long a timeframe would you like?
heres a 10 year chart!
you compare it to lumber that pumped for a couple of weeks lol

Mate, I don't think anyone here is arguing BTC hasn't performed brilliantly over (most of) the last 10 years. I think the argument/question is whether it will do anything useful over the next ten years, and fundamentally why?

I'm sure everyone in this here forum is aware, but it wasn't that long ago that the most valuable item in the world was tulip bulbs.

some in this thread may be tulip bulbs

 

[DuuuncanHadaPigeon]

Every investor understands and admits this, but most companies settle in a PE range of 30x - 75x or so. What's the PE on HEX vs the interest paid out on the T-bills/CDs it owns? Has to be in the 10s of 1000s if not factors more.

Yes agreed, and that comes with the territory of crypto. It has the biggest swings and is massively volatile. But within that chaos you have the opportunity for gains that are inconceivable in the traditional markets.

Bitcoin has crashed 85-95% 3/4 times in its history, but then goes on to make bigger all time highs and has done 6 million x from a penny upto 60k

The markets both stock and crypto are methods of transferring wealth from the impatient to the patient, I think that is a buffet quote

 

[DuuuncanHadaPigeon]

Mate, I don't think anyone here is arguing BTC hasn't performed brilliantly over (most of) the last 10 years. I think the argument/question is whether it will do anything useful over the next ten years, and fundamentally why?

I'm sure everyone in this here forum is aware, but it wasn't that long ago that the most valuable item in the world was tulip bulbs.

some in this thread may be tulip bulbs

I agree and I am not a fan of BTC it is expensive and slow and will never be used for its original use case of p2p digital cash.

See (and I am not directing this at you @SerenityNigh ) but a lot of people in this thread cant fathom that you can be anti bitcoin but pro crypto

 

[nikom court]

Mate, I don't think anyone here is arguing BTC hasn't performed brilliantly over (most of) the last 10 years. I think the argument/question is whether it will do anything useful over the next ten years, and fundamentally why?

I'm sure everyone in this here forum is aware, but it wasn't that long ago that the most valuable item in the world was tulip bulbs.

some in this thread may be tulip bulbs

fundemently bitcoin is the scarcest asset in the world,digital gold.
When the supply of an asset is so scarce that it cannot meet demand, the price goes up.

 

[Efcjake]

Yes agreed, and that comes with the territory of crypto. It has the biggest swings and is massively volatile. But within that chaos you have the opportunity for gains that are inconceivable in the traditional markets.

Bitcoin has crashed 85-95% 3/4 times in its history, but then goes on to make bigger all time highs and has done 6 million x from a penny upto 60k

The markets both stock and crypto are methods of transferring wealth from the impatient to the patient, I think that is a buffet quote

It always does... until it doesn't and the bubble bursts for good.