https://finance.yahoo.com/news/bitcoin-breaks-10-000-apos-212100191.html
11k per coin now. Chaching! No I don’t have any.
Pretty wild ride isn’t it. What’s that almost 3X in 10 weeks or so?
https://finance.yahoo.com/news/bitcoin-breaks-10-000-apos-212100191.html
11k per coin now. Chaching! No I don’t have any.
Internet has a short history. It’s internet shiny
Bitcoin as well as gold make no sense assuming all investors were rationale and boglehead like. But most investors aren’t.
Bitcoin as well as gold have no intrinsic value. They don’t pay out interest or dividends. People attribute value to things which make no sense and will for generations to come. That said, I am a 3 fund dry boring investor with 99.9% of my money. I would not be surprised if bitcoin is a grand slam or a turd.
But I do not think it’s going anywhere. Congressman Sherman recently introduced a bill to ban bitcoin and cryptos because he is concerned that it poses a threat to US international financial power.
One day we’ll have the vanguard total crypto fund. First to predict it here. Laugh all you want.
Internet has a short history. It’s internet shiny
Bitcoin as well as gold make no sense assuming all investors were rationale and boglehead like. But most investors aren’t.
Bitcoin as well as gold have no intrinsic value. They don’t pay out interest or dividends. People attribute value to things which make no sense and will for generations to come. That said, I am a 3 fund dry boring investor with 99.9% of my money. I would not be surprised if bitcoin is a grand slam or a turd.
But I do not think it’s going anywhere. Congressman Sherman recently introduced a bill to ban bitcoin and cryptos because he is concerned that it poses a threat to US international financial power.
One day we’ll have the vanguard total crypto fund. First to predict it here. Laugh all you want.
How about gold? An intrinsically worthless metal with few practical applications. More keeps getting uncovered. There is an abundant supply of metals, but people assign more value to gold over others. Somehow people have been valuing gold for centuries? The bubble of gold never burst.
Who said anything about investing? It’s a wager. It has huge upside gains for a relatively small bet. It’s certainly not going anywhere, been 10 yrs now, and only gaining traction.
Sure, but if you make a small bet, your upside is also relatively small. Say you take $50k and wager it. Say it goes back up to $20k/bitcoin (now it’s about $8k/bitcoin). Congrats, you’ve made $75k pre-tax.
That doesn’t buy you the private island. I’ll take the money, don’t get me wrong, but it doesn’t drastically change my life. If you want a little play money, that’s fine, but the upside is not huge unless you bet huge.
There is a small <5% chance that bitcoin will be digital gold. If you believe some of the arguments on the internet (written by some really smart people who know it’s a long shot), then we’re talking >100k a coin or much more.
Remember there’s only a finite supply. It’s estimated only about 1 mil coins are in circulation and others are held long term by relatively few people or lost. This equilibrium may also take many years, but there has been some progress like institutional dollars flowing in and a lot of interest in creation of ETFs, gray scale bitcoin trust, and many millennials preferring it over gold. Agree though that it’s more likely to go no where but worth a wager in my opinion given the potential.
I think the supply of digital coins is potentially unlimited.
Hence I think the long term expected return will be very low.
I would rather buy a lotto ticket.
How about gold? An intrinsically worthless metal with few practical applications. More keeps getting uncovered. There is an abundant supply of metals, but people assign more value to gold over others. Somehow people have been valuing gold for centuries? The bubble of gold never burst.
Who said anything about investing? It’s a wager. It has huge upside gains for a relatively small bet. It’s certainly not going anywhere, been 10 yrs now, and only gaining traction.
Sure, but if you make a small bet, your upside is also relatively small. Say you take $50k and wager it. Say it goes back up to $20k/bitcoin (now it’s about $8k/bitcoin). Congrats, you’ve made $75k pre-tax.
That doesn’t buy you the private island. I’ll take the money, don’t get me wrong, but it doesn’t drastically change my life. If you want a little play money, that’s fine, but the upside is not huge unless you bet huge.
There is a small <5% chance that bitcoin will be digital gold. If you believe some of the arguments on the internet (written by some really smart people who know it’s a long shot), then we’re talking >100k a coin or much more.
Remember there’s only a finite supply. It’s estimated only about 1 mil coins are in circulation and others are held long term by relatively few people or lost. This equilibrium may also take many years, but there has been some progress like institutional dollars flowing in and a lot of interest in creation of ETFs, gray scale bitcoin trust, and many millennials preferring it over gold. Agree though that it’s more likely to go no where but worth a wager in my opinion given the potential.
I think the supply of digital coins is potentially unlimited.
Hence I think the long term expected return will be very low.
I would rather buy a lotto ticket.
Who said anything about investing? It’s a wager. It has huge upside gains for a relatively small bet. It’s certainly not going anywhere, been 10 yrs now, and only gaining traction.
Sure, but if you make a small bet, your upside is also relatively small. Say you take $50k and wager it. Say it goes back up to $20k/bitcoin (now it’s about $8k/bitcoin). Congrats, you’ve made $75k pre-tax.
That doesn’t buy you the private island. I’ll take the money, don’t get me wrong, but it doesn’t drastically change my life. If you want a little play money, that’s fine, but the upside is not huge unless you bet huge.
There is a small <5% chance that bitcoin will be digital gold. If you believe some of the arguments on the internet (written by some really smart people who know it’s a long shot), then we’re talking >100k a coin or much more.
Remember there’s only a finite supply. It’s estimated only about 1 mil coins are in circulation and others are held long term by relatively few people or lost. This equilibrium may also take many years, but there has been some progress like institutional dollars flowing in and a lot of interest in creation of ETFs, gray scale bitcoin trust, and many millennials preferring it over gold. Agree though that it’s more likely to go no where but worth a wager in my opinion given the potential.
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