Cryptocurrency mega-thread

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bzparkes said:
I'm not saying they're the same thing in reality but to the person who lost everything in crypto vs the person who's now homeless because the bank repossessed or the building company went under, there's no difference.
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Yes: if you lose your asset you lose your asset.

How many people forget the keys to their house and so can never get back in or sell it?

How many people have their house hacked and stolen away to the other side of the world?

When your house drops in value, do you have to move out or can you still use it to live in?
 
Chief said:
Yes: if you lose your asset you lose your asset.

How many people forget the keys to their house and so can never get back in or sell it?

How many people have their house hacked and stolen away to the other side of the world?

When your house drops in value, do you have to move out or can you still use it to live in?
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Not really sure why you're comparing crypto with houses, in all honesty. Better off comparing the stock market.

Also, if you hold your funds on a reputable exchange, you can still access them anyway, because they're not held in a private wallet.

Plenty of options for people to invest, based on their tolerance for risk.

And it's the computers that get hacked, not people's wallets. People are simply too stupid to enable password protection, 2FA, or simply give their pass phrase to someone pretending to 'help'.

You can't stop stupid from being stupid, regardless of the asset class they choose to invest in.
 

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Seeds said:
They cant do that if you own the house. Thats only if you dont own the house.
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How many new home buyers actually 'own' their house these days?

What if the government decides to build a highway straight through where you live?

I'm not suggesting that's probable to happen but it is part of the risk and could happen.
 
bzparkes said:
How many new home buyers actually 'own' their house these days?

What if the government decides to build a highway straight through where you live?

I'm not suggesting that's probable to happen but it is part of the risk and could happen.
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Yes but the house isnt your asset if you dont fully own it.

no one is borrowing money from the bank to buy crypto. I.e. If you own crypto you own it completely. And if people did borrow for crypto purchases the bank could repossess that if you stopped paying back the loan.

as for the second example, you would be paid out for the asset if the government decides to build a freeway. You dont simply lose your asset. You get paid out for it and usually above market rates.
 
Seeds said:
no one is borrowing money from the bank to buy crypto. I.e. If you own crypto you own it completely. And if people did borrow for crypto purchases the bank could repossess that if you stopped paying back the loan.
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This is absolutely not true, at all.

In fact, the biggest issue crypto faces, in my opinion, is margin lending, especially when exchanges were offering 100x lending on your investment.

Those gigantic crashes you see form time to time? Those are margin traders being liquidated and losing everything in their account.

There's also heaps of lending protocols that people borrow from to swing into other positions, not to mention people who actually do borrow personal loans from the bank to invest in crypto.

I don't do any of the above, as I think they're not for your average punter because you just get rekt. Leverage for instance, is essentially world-series trading, where you're competing against the best of the best.

With futures, you don't even own it in the first place.
 
bzparkes said:
I would never do that. I'm not prepared to invest anything I can't afford to lose.

Plenty of people do though, unfortunately.
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So we're back to: When your crypto loses value, it's gone and has no residual utility.

When your house loses value, you can still live in it.

To go one step further: When your shares lose value, they may still have a company behind them that will still give dividends and so on.

With crypto, the price you can sell it for is essentially all that it is.
 
Chief said:
So we're back to: When your crypto loses value, it's gone and has no residual utility.

When your house loses value, you can still live in it.

To go one step further: When your shares lose value, they may still have a company behind them that will still give dividends and so on.

With crypto, the price you can sell it for is essentially all that it is.
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No different than the stock market. Companies go under all the time and people take big losses. It just happens a lot faster in crypto.

When my crypto loses value then, meh. I put small amounts into riskier ventures that could pay off big time and I mitigate my risk by keeping the majority in BTC and ETH, which I don't believe are going anywhere.

You could always just spin your crypto into a stable coin and earn interest. Just like any investment though, you need to do your due diligence and understand the risks before getting involved.

I'm not at all concerned by the current market condition and am quite looking forward to accumulating over the next 2-3 years before the next run after the halving.

You only need to look at on-chain data to see what the biggest players have done in previous market cycles and are doing right now.

Don't listen to what they say, do what they do. It's always the exact opposite. When media outlets and big invest firms are bearish, it's time to accumulate, because that's what they do.

When they're bullish, look for an exit because they're putting out the good news so they can exit their own positions.



Houses? Well, considering current wages vs property prices well, let's just say I'm hard pressed getting a deposit, let alone a property itself. Not even worth thinking about.
 

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bzparkes said:
No different than the stock market. Companies go under all the time and people take big losses. It just happens a lot faster in crypto.
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Yeah, but it is different.

Your shares aren't in danger of being lost or stolen out from under you by third parties.

Anyway, again I was not going to get into these arguments in this threa.
 
Chief said:
Yeah, but it is different.

Your shares aren't in danger of being lost or stolen out from under you by third parties.

Anyway, again I was not going to get into these arguments in this threa.
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Most scams in crypto involve the victim giving out their private details, which defies all warnings everywhere in the space.

No different to people who have their bank accounts drained by scam emails/texts.

If someone manages to steal your identity then yes, they can sell your shares and steal the cash.

Public banking/trading isn't nearly as safe as people like to believe it is, nor is crypto as dodgy as mainstream consensus.
 
Kram said:
Buying crypto isn't 'investing', it's speculating. Not that there is anything wrong with that.
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Investing and speculating are intertwined in any asset class. I invested into the house I currently live in because I speculated it was in an area that would appreciate in price more than others, so I could sell later on for a nice profit and invest in a family home. I invest into crypto because it is a technology I believe in and I am speculating it will give me nice returns at some point.
 
Chief said:
So we're back to: When your crypto loses value, it's gone and has no residual utility.

When your house loses value, you can still live in it.

To go one step further: When your shares lose value, they may still have a company behind them that will still give dividends and so on.

With crypto, the price you can sell it for is essentially all that it is.
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What about the houses built on the flood plains in northern NSW or QLD?
Or on the ones built on the lower east rift in Hawaii? Those houses need lava-shoes to get to now. The value of the house and land it was built on in now $0.
Crypto is risky. It's closer to gambling than investing at this stage. But like gambling, if you put in the time and effort you can make money within the system but it's not easy.
 
Nothing said:
What about the houses built on the flood plains in northern NSW or QLD?
Or on the ones built on the lower east rift in Hawaii? Those houses need lava-shoes to get to now. The value of the house and land it was built on in now $0.
Crypto is risky. It's closer to gambling than investing at this stage. But like gambling, if you put in the time and effort you can make money within the system but it's not easy.
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Oh. How common is it for your HOUSE TO BE CONSUMED BY LAVA??
 
Stack Sats and stay humble. It's going to $100k, it's just going to take two years.
 
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