Bitcoin & the crypto world has always felt like a cult to me.
The Bit Short: Inside Crypto’s Doomsday Machine
141–150 of 297 posts
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#142Standard FUD.
Anonymous blogs with heavy dialogue to reach a conclusion? Where is the evidence? Oh it’s just a narrative.
Tether is used heavily in Asia. The fact that they cannot audit Chinese inflows is to be expected.
This reminds me of all the FUD around Tesla in 2018. Just loading up the spring even more.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#143It seems that this guy decided to go heavily into Bitcoin because of a mistaken belief that seems all too common: "At the time, I saw a market dislocation and the likelihood of significant dollar inflation due to the US Government’s likely response to the unfolding pandemic." He thought that government responses to severe crises that inject lots of money into the economy will cause "significant dollar inflation". In…
CPI is a very distorted view of actual living costs over time. House prices aren't included and we've seen prices balloon over the last decade. Sure, your apples cost the same but good luck trying to buy property.
Yes we have the usual supply constraints, etc.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#144Earlier quoted context omitted.
So, you are glad to see articles that support your viewpoint? Don't you regret at all missing all the gains you have made along the years by not buying small amount of BTC? In the end the guy who wrote this article made quite good amount bu buying BTC low and selling high. Lets see how it ages.
Honestly I don't care about articles that support my skepticism, they largely bore me as well. What made this article and others like so amusing is the tremendous irony of demanding regulation, irony that the author seems completely oblivious to. Do I regret missing out on all of the crypto gains I could have had? Honestly I don't really think about it that often and when I do it's largely because I work in tech and…
What irony? I've been involved with bitcoin since 2010, and I too think all exchanges should have reserves enforced and audited.
Not all bitcoin enthusiasts are anarcho-capitalist extremists.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#145Is there any way to "short" bitcoin? I don't really trust any of the fly-by-night cryptocurrency exchanges, but is there a real derivatives market somewhere?
LedgerX options.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#146I am afraid of Bitcoin because of Tether.
However, there is one part of this argument that I don't quite understand:
If we woke up tomorrow to find out that Tether caused a disruptive event overnight and BTC/USD fell from $30,000 to $10,000 or $3,000.....
Wouldn't there be a gigantic line of people who have been experiencing FOMO for the last 6 months ready to jump in at the new attractive price level, driving the price straight back up?
Or is the side of people who could lose out on Tether just so huge that the newcomers would not be able to cover them all?
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#147We are due a cryptocurrency correction. The question is, how low will Bitcoin go on Tether collapse? $20k? $10k? Or will things get even crazier with $100k bitcoin crashing to $60k?
The tether market cap value that is in Bitcoin, so it's 3% + normal overreaction. My estimation: 9%.
That's not how markets work. There isn't an infinite buy wall at the current spot price.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#148Earlier quoted context omitted.
Because if you made a better return by hoarding cash then by investing -- holding bonds, buying apartment buildings-- investment would stop and people would stuff cash into mattresses.
Is that necessarily a bad thing? Growth at the cost of everything doesn't seem to bode well long term. What would the potential consequences of an economy not based on continuous growth? Genuine question, not trying to be inflammatory.
The proceeds from whatever growth there is should go to the people involved in growing it, not uninvolved previously-wealthy bystanders. With deflationary currencies, any growth in the total amount of stuff leads to one dollar corresponding to more stuff, which is like a tax on all of the people making stuff paid to the people holding mattress money. That's the most powerful argument against the gold standard, for example. People who spend gold to do actually useful things are punished and people who pile it up are rewarded.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#149It seems that this guy decided to go heavily into Bitcoin because of a mistaken belief that seems all too common: "At the time, I saw a market dislocation and the likelihood of significant dollar inflation due to the US Government’s likely response to the unfolding pandemic." He thought that government responses to severe crises that inject lots of money into the economy will cause "significant dollar inflation". In…
CPI is a very distorted view of actual living costs over time. House prices aren't included and we've seen prices balloon over the last decade. Sure, your apples cost the same but good luck trying to buy property . Yes we have the usual supply constraints, etc.
Yep, the new money has flowed into capital assets rather than consumption goods. But inflated, prices have.
It would be like saying there’s no inflation because milk prices are steady, ignoring that cows cost three times as much.
Re: The Bit Short: Inside Crypto’s Doomsday Machine
#150Earlier quoted context omitted.
Because if you made a better return by hoarding cash then by investing -- holding bonds, buying apartment buildings-- investment would stop and people would stuff cash into mattresses.
Is that necessarily a bad thing? Growth at the cost of everything doesn't seem to bode well long term. What would the potential consequences of an economy not based on continuous growth? Genuine question, not trying to be inflammatory.
Yes, that's a bad thing.
This is the primary mechanism that has stagnated Japan's economy since their asset bubble burst in the 80's.
If you want to start a business you need investment and customers. You will get neither if everyone is hoarding cash. Investors will not stomach your risk when they can just safely sit on their balance. Customers will hesitate to buy your product because they will always expect your prices to go down the longer they wait.