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I feel a little guilty about posting these non-stories. But I want to use this to pose a real question: Crypto is clearly being being driven by a bubble mentali
by marojejian 9y ago
I feel a little guilty about posting these non-stories. But I want to use this to pose a real question:
Crypto is clearly being being driven by a bubble mentality.
Is that:
a) Bad - because it will all crash and undermine the concept.
b) Not bad but irrational - the technologies that actually serve a purpose will rise from the ashes when needed.
c) Not bad AND rational: - Maybe the "store of value" use case is a real one (driven by distrust of government etc.) - If one believes that some currency will at some point become a significant store of world wealth in the future, you should pay a huge amount for it now (what if you happened to know where a lot of oil was, before it was used for transport) - "irrational" pricing is not forecastable. E.g. Amazon was super over valued in 1999 (by any metric at the time). But it was STILL an amazing long term buy. So it was, in reality, very under valued.
Not sure. but would love thoughts!
- ideal0 9y agoI think it's something that will be forcibly turned into a good thing by the SEC. They have a mandate to reign this sort of thing in and ensure the right balance of innovation in capital markets versus cutting down on fraud and overhype - it's exactly what they did during the excesses of the junk bond era. Here's an article about it on Hackernoon: https://medium.com/@seiso_matt/investor-liability-for-icos-could-be-downturn-catalyst-e902ffdb9eeb https://medium.com/@seiso_matt/investor-liability-for-icos-c...
- fullshark 9y agoI learn towards C, but just like the dotcom bubble which was entirely rational in retrospect a lot of people are going to lose a lot of money.