Crypto - What Is It, Who Understands It and Who Cares?

cheaplee on 17/09/2020 - 19:34
Last edited 17/09/2020 - 21:28 by 1 other user

Why do they all have stupid names?

Are they made up chemicals like on avatar? Which by the way is the single most overhyped movie of all time.

Or am I ignorant and they are complex star systems?

Bitcoin was the only name that made any sense.

And I saw this post about Cypherium or some such using 'new' blockchain methods. What was wrong with the old method?

How many successful crypto billionaires are there? And since when did buying some made up currency make you rich?

Maybe Australia should just make a new crypto currency. Is that our way out of this recession?

Financial Cryptocurrency

Comments

  • poboy on 17/09/2020 - 19:37
    +5

    It's the new MLM for 99% of people.

    • pegaxs on 17/09/2020 - 22:43
      +2

      It’s more like a giant digital Ponzi scheme

  • AustriaBargain on 17/09/2020 - 19:44
    +2

    It is something unique that is only worth whatever people think it is worth. A crypto currency may wall end up being the world currency, but I don't think any of the ones that exist right now will get there. Far from being a currency, you should think of it more like rare pokemon cards. Pokemon could fall out of favour with investors at any time, but until then your holographic charizard could end up increasing in value a lot, before suddenly being worth nothing.

  • Cheap Steve on 17/09/2020 - 20:01
    +3

    It’s the tulip mania for millennials.

    Proving that current generations are just as stupid and greedy as those before them.

  • Soluble on 17/09/2020 - 20:02
    +3

    And since when did buying some made up currency make you rich?

    Aren't all currencies 'made up'?

  • NFC on 17/09/2020 - 20:21

    Tracked XRP/ETH/BTC pre 2017 and never took much of an stake in any(unfortunately). At that time it seemed that crypto prices were mainly dependent on backing by political figures and illegal trade on the dark net. Even now i'd compare many cryptos to penny stocks which can be pumped and dumped. A $600 investment in to XRP jan 2017 would've netted like $360k or something within a year.

    • AustriaBargain on 17/09/2020 - 20:56

      I feel like if Back to the Future were made today, then instead of a sports almanac it would be a book that charts the complete history of each cryptocurrency.

    • pegaxs on 17/09/2020 - 21:06

      I bought into a little XRP back as it was going nuts. I bought in at about $1.80 and it went up to just over $4… I held off as it dipped a little, went to bed one day and woke up the next morning and it had bellied overnight down to around $1.25… it's now down to around $0.35.

      Not really the worst $300 I have ever spent. And who knows, maybe some whale will get on and do some pumping and it will at least go back to parity and I can jump off at the station.

      • crashloaded on 17/09/2020 - 21:51

        I bought xrp at $0.08 and cashed out at $2.50

        • pegaxs on 17/09/2020 - 21:51

          Noice!

          • crashloaded on 18/09/2020 - 10:07

            @pegaxs: Just wish I had more money I was willing to lose at the time 😂

            • pegaxs on 18/09/2020 - 10:12

              @crashloaded: I should have cashed out when it doubles, but like any gambler, I thought, what if it triples? What is in a month it’s 10x… what if in a year it’s $14,000!

              Nope, lasted a few days and crashed… can’t complain. I’ve spent more on a hand of baccarat and lost it in less time that that.

              I do know people who mortgaged their house and sold everything and poured it into bitcoin when it was around the $22,000 mark…

  • Trying2SaveABuck on 17/09/2020 - 21:16
    +3

    Crypto is scam that accidentally turned into a good investment for some and a scam for most….

    Bring on the haters

  • trustnoone on 18/09/2020 - 00:09

    Blockchain
    I might be butchering this a bit as my knowledge isn't the best, but initially there was the blockchain. This is essentially a special ledger or list of records as it were. First you have a single record, and then you create the second record with a key (number/letter value) that is made using the data of the first record. Then to create the third record, you use the data of the second record which uses the data of the first record. Then you have the fourth record key (number/letter value) created using the first, second and third).

    The idea of which means that you can't fake the third record because the fourth and second record key wouldn't make sense. You'd actually have to fake the third, second and first record to be able to connect to the fourth.For cryptocurrency these records I think are the transaction made on the blockchain.

    Mining Cryptocurrency
    Now for the currency part, there's many ways they can make it that you create currency, but for bitcoin you essentially "mine" for them, as I understand it, they use your computers processing to do advanced mathematical calculations and for bitcoin verify the transaction made into the block, awarding a certain amount of bitcoins.

    Cryptocurrency in General
    Initially cryptocurrency was small and a super novel idea, it provided hidden private transactions to occur (unlike banks/cash) it was an all out digital currency and was based on some interesting technology (block chain).
    But like anything in the world prices go up when people want more of something and there's less to go around, this is true for cryptocurrency when bitcoin went through the roof! People buy, people sell and price changes over time.
    From this people saw it as a possible way to make money, just like the stocks! But unlike the stocks where you you'll probably be hit with a $20 fee for trying to invest $100. Here its almost free and you can put whatever money you want to buy off some reseller.
    This is also added with the fact that a lot of people are more technically minded now and think the idea is novel and probably way easier to understand then normal stocks.

    As you can guess though, with many digital currencies once one took off people have been following suit, either creating their own currency and mining it while they're small to hopefully make it through the roof and sell em all off again. And then theres many spin offs in how to make it more secure/less secure better algorithm/worse algorithm etc.

    For most people I saw though, people largely lost money, (then again they did so in stocks as well), but every now and then the trend goes up and it gets advertised on tv and it goes up again.

  • ndea on 18/09/2020 - 06:22

    Fortunately for those who fear or don't understand bitcoin, there will always be fiat.

    Everybody trusts something. In Australia, the trust lies in the big 4 banks, negatively geared investment properties, and government.

  • whooah1979 on 18/09/2020 - 09:30

    Government agencies around world have classified crypto as a commodity, property, digital currency, security or other assets. Both the government and the judicial system has accepted that crypto has intrinsic value. People are now required to report their crypto gains on their tax returns. An Australian court has accept that crypto can be used as payments in settlements.

    MSTR just spent USD425m accumulating BTC. Grayscale has a USD5.1b fund. FDA is also joining in with minimum USD100k investment.

    People that don't understand the technology will say that it's a scam while those that do know are reward with gains.

    • pegaxs on 18/09/2020 - 10:15

      This is one thing I never really understood about declaring gains on your tax. If I have to declare gains, does that mean I can also claim losses? It seems to me that playing the crypto markets is more like gambling, but I don’t have to declare winnings if I have a good night at the casino… but by the same token, a bad night at the casino, I also cannot claim as a loss…

      • whooah1979 on 18/09/2020 - 11:02
        +1

        If I have to declare gains, does that mean I can also claim losses?

        Yes. The ATO wants people to report their crypto gains and losses just like any other investment instrument.

        It seems to me that playing the crypto markets is more like gambling,

        Crypto can be used as an investment instrument. Traders and investors speculate on the price of crypto just like they do on other markets.

        Commodities, derivatives, futures, options, forex, securities, stocks, bonds, tangible properties, digital assets, etc, are all speculative assets.

      • SBOB on 18/09/2020 - 19:15

        does that mean I can also claim losses? I

        Yep..and I thank the government for letting me offset my poor crypto decisions :)

  • Saul Goodman on 18/09/2020 - 10:22
    +4

    Hello, is it me you're looking for?

  • Strahany on 18/09/2020 - 22:56

    Surely OP is trolling

    • cheaplee on 19/09/2020 - 09:11

      Surely your are

      • Saul Goodman on 19/09/2020 - 10:03
        +1

        and don't call me surely.

  • whooah1979 on 23/10/2020 - 01:09

    https://www.youtube.com/watch?v=qLZCSBdJteo

    The Future of Crypto: Asset-backed lending for crypto - Zac Prince, Robert Kiyosaki, Kim Kiyosaki

    • cwongtech on 24/10/2020 - 09:08

      Robert Kiyosaki

      Lol

  • whooah1979 on 25/01/2021 - 15:00

    ETH is at ATH and is taking the alts into an alt spring. 👏 to anyone that hodl on this special day. 👍 🎉 🚀.

  • Tiredman on 26/01/2021 - 08:56

    I'm up 400% this year so pretty happy. BTC used to make me happy, now it's ETH and shitcoins. I could stand there and find fault with every opportunity and things that i don't understand or make the effort to learn about it and make the best use of it.

    • whooah1979 on 26/01/2021 - 09:19

      Most people don't like 💲 They prefer to work hard for 💲 instead of having the 💲 work for them.

      Btw 👏 on your gains. There is more to come in 2021. Biden will takeover from where Trump left off.

Login or Join to leave a comment
Login Join