Allocating to crypto

[Anonymous]

Anonymous wrote:The majority of people pumping cryptos are the one who got in early and need to bring in new buyers to keep the prices inflated...sorta like fattening up the pigs for slaughter.

Come to think of it, the newcomers also need to pump it to work their way up the pyramid.

[Anonymous]

If you are new to crypto, be aware there a lot of big swings. 10% in one day can happen. With crypto most of the big rises may only happen five times in an upswing before a big crash. You can’t time them. Dollar cost average in and when things get high, dollar cost average out. This is too much work for most people and there are no dividend. So it’s not great for a long term investment. Best time to buy is when there is lots of bad news and the price drops in half.

[Anonymous]

I have about $100k worth of crypto. My overall net worth is about $7 million, so it’s about 1.5 percent. I’m prepared to lose it if I have do. It’s an incredibly volatile asset. Eighteen months or so ago it was worth $225k. Earlier this year it was only worth $50k. You need a strong stomach for it, and don’t bet your life’s savings.

[Anonymous]

I have a bunch of tulip bulbs I could sell you instead.

[Anonymous]

This is speculation, not investing. Treat it like going to a casino, and you'll be fine.

[Anonymous]

Many replies in this thread are ignorant. Major asset managers like Paul Tudor Jones and Ray Dalio have publicly said that they hold a small amount of crypto (with Jones saying in May 2020 he had put 1-2% of his portfolio into crypto). The market cap of gold is almost $13 trillion. The market cap of bitcoin is $730 billion. Bitcoin should continue to cannibalize the market cap of gold as boomers get older and pass their wealth on to computer literate generations who prefer a fixed supply cryptographic currency secured by the most powerful computer network in the world, not a shiny yellow hunk of metal.

[Anonymous]

Anonymous wrote:Many replies in this thread are ignorant. Major asset managers like Paul Tudor Jones and Ray Dalio have publicly said that they hold a small amount of crypto (with Jones saying in May 2020 he had put 1-2% of his portfolio into crypto). The market cap of gold is almost $13 trillion. The market cap of bitcoin is $730 billion. Bitcoin should continue to cannibalize the market cap of gold as boomers get older and pass their wealth on to computer literate generations who prefer a fixed supply cryptographic currency secured by the most powerful computer network in the world, not a shiny yellow hunk of metal.

you must have missed the major defenestration of Ray Dalio this week...

[Anonymous]

Anonymous wrote:
you must have missed the major defenestration of Ray Dalio this week...

Actually yeah, I did. Was it so bad that I should listen to financial advice from crypto bears on DCUrbanMom instead of him?

[Anonymous]

No. Have you not learned anything from FTX and Sam Bankman Fried?

[Anonymous]

Anonymous wrote:No. Have you not learned anything from FTX and Sam Bankman Fried?

I bet you don’t buy stocks because of Elizabeth Holmes either

[Anonymous]

Anonymous wrote:Many replies in this thread are ignorant. Major asset managers like Paul Tudor Jones and Ray Dalio have publicly said that they hold a small amount of crypto (with Jones saying in May 2020 he had put 1-2% of his portfolio into crypto). The market cap of gold is almost $13 trillion. The market cap of bitcoin is $730 billion. Bitcoin should continue to cannibalize the market cap of gold as boomers get older and pass their wealth on to computer literate generations who prefer a fixed supply cryptographic currency secured by the most powerful computer network in the world, not a shiny yellow hunk of metal.

I remember in the 2000’s when people would talk about nothing but investing in gold and mining companies. Stocks outperformed eventually but it took 10 years of doldrums before stocks took off.

[Anonymous]

Anonymous wrote:I have about $100k worth of crypto. My overall net worth is about $7 million, so it’s about 1.5 percent. I’m prepared to lose it if I have do. It’s an incredibly volatile asset. Eighteen months or so ago it was worth $225k. Earlier this year it was only worth $50k. You need a strong stomach for it, and don’t bet your life’s savings.

Ok....but aren't there quite a few better things to do with your $100k? Doesn't the trends in crypto pretty much show it was created to solve some sort of problem that didn't exist? I almost think sports betting with good strategy would be better.

[Anonymous]

I'm not selling what I have. Perhaps I will lose all of it, but since I don't have much, I keep it as a little experiment.

I would NOT buy any more, OP. Crypto is 100% speculation.

[Anonymous]

Anonymous wrote:Many replies in this thread are ignorant. Major asset managers like Paul Tudor Jones and Ray Dalio have publicly said that they hold a small amount of crypto (with Jones saying in May 2020 he had put 1-2% of his portfolio into crypto). The market cap of gold is almost $13 trillion. The market cap of bitcoin is $730 billion. Bitcoin should continue to cannibalize the market cap of gold as boomers get older and pass their wealth on to computer literate generations who prefer a fixed supply cryptographic currency secured by the most powerful computer network in the world, not a shiny yellow hunk of metal.

Sure OP can put 1% of their portfolio in crypto. I don’t think that’s probably $100k more like $100

[Anonymous]

Anonymous wrote:

Anonymous wrote:No. Have you not learned anything from FTX and Sam Bankman Fried?

I bet you don’t buy stocks because of Elizabeth Holmes either

What a comeback, she never even got an IPO to issue stock. That’s why WeWork fell apart, when they went to IPO everyone in the market saw the nonsense because of regulatory filings and said “no thanks”.

I can see how a stock is earning money, what assets the company has, and liabilities. Yes I can track things on the blockchain, but the value of bitcoin in terms of fiat currency — completely arbitrary and no insight into how it generates wealth since no profits or revenue — just hope for a greater fool.