What you need to know about Bitcoin

A lot of monkeys lived near a village.
One day a merchant came to the village to buy these monkeys!
He announced that he will buy the monkeys @ $100 each. ๐Ÿต๐Ÿ’ต
The villagers thought that this man is mad.๐Ÿ˜‡
They thought how can somebody buy stray monkeys at $100 each?๐Ÿค”
Still, some people caught some monkeys and gave it to this merchant and he gave $100 for each monkey. ๐Ÿ˜ฌ
This news spread like wildfire and people caught monkeys and sold it to the merchant.๐Ÿ˜ฌ
After a few days, the merchant announced that he will buy monkeys @ 200 each.

๐Ÿต๐Ÿ’ต๐Ÿ’ต
The lazy villagers also ran around to catch the remaining monkeys!
They sold the remaining monkeys @ 200 each.

๐Ÿ˜‹
Then the merchant announced that he will buy monkeys @ 500 each!
๐Ÿ˜ฎ
The villagers start to lose sleep! โ€ฆ They caught six or seven monkeys, which was all that was left and got 500 each.

๐Ÿ™Š ๐Ÿ’
The villagers were waiting anxiously for the next announcement.๐Ÿ™„
Then the merchant announced that he is going home for a week. And when he returns, he will buy monkeys @ 1000 each!๐Ÿต
He asked his employee to take care of the monkeys he bought. He was alone taking care of all the monkeys in a cage.

๐Ÿค 
The merchant went home.๐Ÿ˜Ž
The villagers were very sad as there were no more monkeys left for them to sell it at $1000 each.

โ˜น๏ธ๐Ÿ˜ž๐Ÿ˜“
Then the employee told them that he will sell some monkeys @ 700 each secretly.

๐Ÿ˜ถ
This news spread like fire.

Since the merchant buys monkey @ 1000 each, there is a 300 profit for each monkey.๐Ÿ˜ฌ
The next day, villagers made a queue near the monkey cage. ๐Ÿต๐Ÿ’
The employee sold all the monkeys at 700 each. The rich bought monkeys in big lots.

The poor borrowed money from money lenders and also bought monkeys!

The villagers took care of their monkeys & waited for the merchant to return. ๐Ÿ˜•
But nobody came! โ€ฆ๐Ÿ˜ค Then they ran to the employeeโ€ฆ๐Ÿค 
But he has already left too !๐Ÿ˜‰
The villagers then realised that they have bought the useless stray monkeys @ 700 each and unable to sell them! ๐Ÿ˜ฉ๐Ÿ˜ซ๐Ÿ˜จ๐Ÿ˜ฐ
The Bitcoin will be the next monkey business
๐Ÿ˜œ
It will make a lot of people bankrupt and a few people filthy rich in this monkey business. ๐Ÿ’๐Ÿ˜‰๐Ÿ˜…
Thatโ€™s how it will work๐Ÿคฃ John Bayley #2623823, posted on January 31, 2018 at 11:17 am
It is sad to see that at a supposedly libertarian site there are so many people apparently eager to denounce Bitcoin as a โ€˜scamโ€™ or compare it to the tulip mania.
In most cases, the above commenters demonstrate that they have little idea of what crypto-currencies actually are and how they function, and yet they are quite firm in their negative opinions.

Yet, consider the following:
Our existing government-mandated money has no intrinsic value, apart from the fact the government[s] make it their legal tender.
It is being systematically debased by the central banksโ€™ self-declared โ€˜targetโ€™ of 2% p.a. โ€“ and it is actually debatable whether the real number may not be much higher. Even at 2%, the real loss of value over oneโ€™s working life will mean at least half of each dollar saved will go up in the inflationary smoke.
The gradual move to phase out cash will remove any remaining financial privacy we still enjoy, as every purchase will be recorded and traceable.

In comparison, Bitcoin and similar crypto-currencies are a free-market invention. Their dollar-denominated value may be in a bubble right now, but then again this may simply be due to an increasing number of people who think the debt-based, centrally-planned fiat money system is on its way to an inevitable collapse.

Also, let us not forget the massive bubbles in just about every financial asset class that we can observe wherever we look.
While BTC is not truly anonymous, several other crypto-currencies are. While the BTC network is not particularly efficient and the transactions are therefore now slow and relatively expensive, this can be solved by software upgrades โ€“ like its earlier fork, Litecoin, has already done.
Crypto-currencies do not have an inherent value, but then so does nothing else, including gold; value is always and entirely subjective. They nevertheless offer a potential shelter from the next stock and bond market crash, which after a decade of โ€˜unconventionalโ€™ policies is certain to be a doozy. Case in point โ€“ Venezuela, where apparently Litecoin mining has gone through the roof as the bolivar spirals ever further into hyperinflation.
I may not be as smart as Jamie Dimon (the CEO of one the largest US banks, who apparently โ€“ and not surprisingly โ€“ does not like Bitcoin!), but I am quite certain that a little insurance in cryptos and gold is not an imprudent strategy to adopt.
The doubters above are of course entitled to their own opinion.

Clearly Australia is different and we can never become another Greece, Argentina or Cyprus. Tel #2623893, posted on January 31, 2018 at 12:40 pm
Even at 2%, the real loss of value over oneโ€™s working life will mean at least half of each dollar saved will go up in the inflationary smoke.
Only if you save cash and never spend it. The point of a circulating currency is that each holder passes it on to the next, which is why monetary inflation was invented to give you a little nudge of incentive and make you want to spend sooner. Dr Faustus #2623895, posted on January 31, 2018 at 12:40 pm
In most cases, the above commenters demonstrate that they have little idea of what crypto-currencies actually are and how they function, and yet they are quite firm in their negative opinions.

John: What is abundantly clear is that most market participants have no real idea how cryptocurrencies and their markets function.
This is highlighted by the case of Bitfinex/Tether avoiding proper disclosure of its financial position, sacking its auditors, and the ongoing CFTC investigation . This may, or may not have a serious impact on BTC (and others), but anyone who believes they understand the value implications is either inside, or taking a risk position in a market brim-filled with unknown unknowns.
Iโ€™m quite firm on that opinion. DM OF WA
John Bayley #2623823, posted on January 31, 2018 at 11:17 am It is sad to see that at a supposedly libertarian site there are so many people apparently eager to denounce Bitcoin as a โ€˜scamโ€™ or compare it to the tulip mania.

In most cases, the above commenters demonstrate that they have little idea of what crypto-currencies actually are and how they function, and yet they are quite firm in their negative opinions.
Sadly, your post is one hundred percent correct. DM OF WA #2623911, posted on January 31, 2018 at 1:00 pm
I am reminded of the Dot Com bubble of the nineties. There was wild and unrealistic enthusiasm for Internet commerce back then and a lot of people lost a lot of money.

However, amidst all the hype, the technological foundations on which that boom was based were solid. It was just ahead of its time and it lead to the successful giants of today: Google, Facebook, Apple and many others.

So 8t is with cryptocurrencies. The current cryptocurrency mania presages another technological revolution. flyingduk
John Bayley #2623823, posted on January 31, 2018 at 11:17 am It is sad to see that at a supposedly libertarian site there are so many people apparently eager to denounce Bitcoin as a โ€˜scamโ€™ or compare it to the tulip mania.
Here here John!!
As a libertarian, I was initially attracted to bitcoin several years ago as a hedge against government predation.

I had just come back from 6 months in Afghanistan and was acutely aware how your own government (or someone elses) can reach into your life to your detriment. Having made that initial purchase, however, that โ€˜skin in the gameโ€™ was an incentive to learn more about cryptocurrencies. I learned that bitcoin is just the first โ€˜appโ€™ being run on the new underlying computer platform (distributed ledger/blockchain) and that there are literally thousands of other business cases for the technology. I went on to invest substantially in other cryptos as well. Yes, the market is down 30% off its top, but that is normal, I have seen it a half a dozen times in the last couple of years and it always recovers and makes new highs.

I am up over 10x on every crypto I have invested in. This is the real deal. The cryptosphere is the new internet. It holds enormous promise for freedom. I really do hope that the rest of our libertarian colleagues can open their minds to its potential, instead of reflexively regurgitating the the โ€˜fear uncertainty and doubtโ€™ being spread by the old order. Speedbox #2624120, posted on January 31, 2018 at 3:58 pm
The current cryptocurrency mania presages another technological revolution.
Yep.

As I have mentioned in other previous threads, I have been accumulating assorted cryptos for some time. I am what is known as a HODLer (holder). That is, that I donโ€™t trade my crypto coins for immediate short-term profit, but hold them for the long term.
There are currently over 1400 crypto coins on issue and that number rises by 2-4 more coins per week. Realistically, within the next 2-3 years, most of those coins will be gone taking their investors money with them.

BUT, BUT, BUTโ€ฆ..there are 20-30 coins that have a realistic, practical and achievable objectives that will revolutionize industry or the way we communicate, invest, relate across counties and across the globe. Some will have an impact not unlike the invention of the internet โ€“ yes, that profound.

The crypto market is full of charlatans, spivs and assorted snake-oil salesmen. Pump and dump of coins is not uncommon. It is unquestionably the wild west of investing. Only those with a strong risk appetite (and who do their own research) should consider placing their hard-earned fiat money into a crypto coin.

Parallels between the current crypto market and the Dot Com bubble are accurate. What people need to remember is that the Dot Com bubble produced some fantastic technology that is in wide spread use today, and crypto will do the same.
Word to the wise โ€“ combine your crypto coin investment with investment in blockchain development companies and thereby potentially gain from both sides. DM OF WA.

admin

Crypto 24 / 7 sources news from across the internet about various crypto currencies and reports the views to it user base. You can use this to make an informed decision when investing in your coin of preference

Leave a Reply