Novogratz's Crypto Trading Desk Lost $136M in Nine Months • Hacker News Board

Re: Novogratz's Crypto Trading Desk Lost $136M in Nine Months

#131

Post by tim333 » Wed, Dec 19, 2018, 9:37 PM UTC

dkoston wrote: post #5

It amazes me that funds hold long positions in a market without safeguards and regulations and that really has yet to formalize. I'm bullish on digital currencies but there's going to be a ton of turmoil while the world figures out how to deal with this new asset class and major shake ups as regulations start to formalize or continue to formalize in some cases. Long plays in this market are massively risky bets. They…

Normal investment funds don't pretty much. Hedge funds are less regulated and and can punt on pretty much anything.

Re: Novogratz's Crypto Trading Desk Lost $136M in Nine Months

#132

Post by tim333 » Wed, Dec 19, 2018, 9:39 PM UTC

NicoJuicy wrote: post #28

You can't win in a losing market ( market capitalisation). I explained it to a friend of mine and he didn't want to hear it. Now we're one year further and he says it will go up again... Some people just don't understand :)

You can short it on the way down, in principle.

Re: Novogratz's Crypto Trading Desk Lost $136M in Nine Months

#133

Post by gammateam » Thu, Dec 20, 2018, 1:02 AM UTC

tim333 wrote: post #128

gammateam wrote: post #121

Earlier quoted context omitted.

Commodities are volatile and seasonal Bitcoin is a commodity steered by the same level of supply and demand pressures but held to a higher fictional standard by people that trade and evaluate it like a different asset class (equities)

It's not really a commodity like oil. I feel The Onion was closer in calling it "crazy imaginary internet money" https://www.theonion.com/bitcoin-plunge-reveals-possible-vul...

Why isnt it also a commodity like oil? it is the fuel for its blockchain. You cant use that public resource without it. It is built to plunge and surge just like oil prices do, based on supply and demand, which also comes in seasons just like oil.

Most commodities have seasonal patterns. Bitcoin trades like those.

It isnt controversial when a conmodity plunges and surges. Its actually better for different parts of the population at different times.

Re: Novogratz's Crypto Trading Desk Lost $136M in Nine Months

#134

Post by paulie_a » Thu, Dec 20, 2018, 1:07 AM UTC

chillacy wrote: post #119

paulie_a wrote: post #103

Earlier quoted context omitted.

Its personal investing so I pull profits to use for myself. And find something else to invest in. I usually keep around 500 invested. Not a lot of money but if I lost it all it wouldn't be the end of the world. It's been over the course of 15 years. Sometimes 10-15 trades in a year. But over a two year period with two trades it was 6800%. I'm not attempting to brag, I'm just saying the professionals are not any bette…

The difference is professionals manage amounts that can buy more than chicken tendies.. some strategies don’t work at scale.

And apparently they are terrible at scaling.