BITCOIN

tranquility1

darren232002 said:

tranquility1 said:

I've got £1k of BTC.  £1K of DOGE.  And £100 of XLM.

I will be putting a grand or two more into crypto this week.  Which coins do people recommend?


I am interested in XLM and XRP because some say they could be used heavily in the economy in future.  But XRP isn't on Coinbase, and I can't be bothered with other exchanges...

On what basis do you believe that they could be used heavily in the future? What qualifications do the people that say this have? Do these people have a fiduciary duty towards you? Might they perhaps have alternative motivations?

Ripple Labs (creator of XRP) have a colossal amount of XRP in their possession (because they created it obviously). Its been a long time since I looked at the actual numbers, so these might be a little off but they will illustrate the general idea... The XRP on their balance sheet is valued (at market rate) at ~$30B, their company is valued (by shares) at ~$5B. One of those prices must be incorrect.

Honestly, if you believe in using metcalfes law to value crypto networks then DOGE has won half the battle - it has a loyal community of people willing to engage with it. However, it has no development team, doesn't even secure its own blockchain, has hugely problematic wallet structures and has little in the way of actual adoption. These issues can be overcome (but not by posting jpegs on twitter) and I genuinely think a 100% DOGE portfolio may outperform me over the next 12 months - but its a little precarious to say the least.

Just DCA in to BTC and ETH and sleep soundly at night.

Regarding XRP:

Jennifer Arcuri (Boris' old sqeeze) is one of the people who has shown some evidence that she thinks XRP will be used as the IMF's currency.  If you want more info you're best off finding her account on Telegram, were she has written a thread about it.

Regarding XLM:

See above.  XLM is, according to her, going to be used for transactions.

thompson_2009

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

eskbanker

thompson_2009 said:

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

If that's the extent and rigour of your due diligence and analytical capabilities then it would certainly appear that crypto isn't for you!

tebbins

eskbanker said:

thompson_2009 said:

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

If that's the extent and rigour of your due diligence and analytical capabilities then it would certainly appear that crypto isn't for you!

We all start somewhere, it's comforting to see someone (apologies if I assume wrong) newish to the investing game be able to work out Bitcoin isn't for them on their own initiative.

eskbanker

tebbins said:

eskbanker said:

thompson_2009 said:

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

If that's the extent and rigour of your due diligence and analytical capabilities then it would certainly appear that crypto isn't for you!

We all start somewhere, it's comforting to see someone (apologies if I assume wrong) newish to the investing game be able to work out Bitcoin isn't for them on their own initiative.

I'm sure it's the right decision, but my point was that it's for the wrong reasons - it's one thing to choose not to buy into it on an informed basis but foolish to dismiss it out of hand because of misconceptions and misunderstandings....

TimSynths

thompson_2009 said:

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

Its not hard!

https://www.coinbase.com

Even has how too guides. If you can order your dinner from Just Eat you can buy yourself some Bitcoin.

tranquility1

Although I'm not convinced crypto won't be regulated out of existence in the future, I am convinced that genuine diversification is needed.

And genuine diversification doesn't mean simply a global tracker and bonds.  That's not diversification in my opinion.

Diversification in my view is:  owning property, global tracker, bonds if you must, gold, silver and crypto.

There are probably more asset classes people can use.


But having everything in your tracker/bonds, and thinking it's "diversified" is short sighted.  Sure you're diversified compared to a guy who only has shares in Tesco.  But you are 100% exposed to the stock market.  And even bonds largely mirror what is happening in equities.

tebbins

tranquility1 said:

Although I'm not convinced crypto won't be regulated out of existence in the future, I am convinced that genuine diversification is needed.

And genuine diversification doesn't mean simply a global tracker and bonds.  That's not diversification in my opinion.

Diversification in my view is:  owning property, global tracker, bonds if you must, gold, silver and crypto.

There are probably more asset classes people can use.


But having everything in your tracker/bonds, and thinking it's "diversified" is short sighted.  Sure you're diversified compared to a guy who only has shares in Tesco.  But you are 100% exposed to the stock market.  And even bonds largely mirror what is happening in equities.

That's not nearly far enough, personally I also hoard wool, cotton, coal, floppy disks and Guinness at home. I'm also looking at adding some Japanese whisky, some local art and toasted coffee beans to make sure I'm fully diversified. Don't forget Jelly Babies, roundabout adverts, Molybdenum.
What do you think of investing in manure?

[Deleted User]

eskbanker said:

tebbins said:

eskbanker said:

thompson_2009 said:

Hi have been looking into btc and it looks very dodgy, even those sites that say they are genuine have multiple websites. And scammers are always putting scam adverts on Facebook. Nothing about it is trustworthy. 

If that's the extent and rigour of your due diligence and analytical capabilities then it would certainly appear that crypto isn't for you!

We all start somewhere, it's comforting to see someone (apologies if I assume wrong) newish to the investing game be able to work out Bitcoin isn't for them on their own initiative.

I'm sure it's the right decision, but my point was that it's for the wrong reasons - it's one thing to choose not to buy into it on an informed basis but foolish to dismiss it out of hand because of misconceptions and misunderstandings....

Really the purpose of your comment was to question someone else's intelligence and make a snarky comment, but taking it at face value, I think being overly sceptical about Bitcoin when you don't fully understand it is quite sensible. The consequences of not investing in something for the wrong reasons are fairly minimal.

It's far more dangerous to think you're investing for the right reasons but have a massive blind spot that you haven't properly considered. A little bit of knowledge is a dangerous thing, as they say.

tranquility1

tebbins said:

tranquility1 said:

Although I'm not convinced crypto won't be regulated out of existence in the future, I am convinced that genuine diversification is needed.

And genuine diversification doesn't mean simply a global tracker and bonds.  That's not diversification in my opinion.

Diversification in my view is:  owning property, global tracker, bonds if you must, gold, silver and crypto.

There are probably more asset classes people can use.


But having everything in your tracker/bonds, and thinking it's "diversified" is short sighted.  Sure you're diversified compared to a guy who only has shares in Tesco.  But you are 100% exposed to the stock market.  And even bonds largely mirror what is happening in equities.

That's not nearly far enough, personally I also hoard wool, cotton, coal, floppy disks and Guinness at home. I'm also looking at adding some Japanese whisky, some local art and toasted coffee beans to make sure I'm fully diversified. Don't forget Jelly Babies, roundabout adverts, Molybdenum.
What do you think of investing in manure?

You've got the right idea!