Bitcoin ~ Hype if the Century So Far
I've had this debate with several associates recently. The last on was at our company Christmas party. As the event was winding down the subject of crypto currencies came up. In this small group of about 10 people the whole range of opinions and knowledge was present. Only 2 or 3 people had actually bought into any of the cryptos. I think everyone had "heard the buzz" and was somewhat aware. There were at least 3 people who asked how to buy into the crypto craze and indicated they were going to jump in. I kept my thoughts to myself not wanting to be the disruptor.
While Bitcoin's price has sky rocketed to be sure if you bought within the last 60 days you are probably upside down by now. Today's opening price is $9,200 down from the peak of over $19,000. While many prominent people have cheered this hysteria on there are many others that predict a bad ending. I fall in that category.
Here is my take and few rebuttals to what the cheerleaders say.
1) Bitcoin was made from whole clothe. Someone, and no one knows who for sure, dreamed up this scheme. It's not a company.
2) Bitcoin produces nothing.
3) They say it's rising because it is "limited" to 21 million coins ever. This is simply not true. The allow these "forks" which is merely another way to change the name and call it by another name. On top of that there are now about a dozen new options.
4) It is nearly impossible to "spend" in any normal way. The fees are high, the time lapse from start to end takes almost an hour during which time neither party can know the "value" upon execution.
5) Let's face it, the value is in the hope that another person wants your piece of a coin more than you and will pay you for it. When price volatility is like it has been at some point that will end.
No one knows what will happen in the future. The "pros" have recently taken notice and this isn't good sign for the commoners. They will just work the price up and down making money both ways. The other folks making money are the miners with their fees.
Buyer be ware.
Morris “Bill” Austin ~ REALTOR® ~ Team Price Real Estate
Austin Texas Metro ~ Serving Sellers & Buyers successfully since 2007
Text ~ Email ~ Call ~ 512-709-6343 ~ bill@teamprice.com
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