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I believe this to be a good decision. Investment should not be driven by advertisement but by facts. In my experience, any investment advertisement tying to app
by _aeneas 9y ago
I believe this to be a good decision. Investment should not be driven by advertisement but by facts. In my experience, any investment advertisement tying to appeal to mass audiences is fraud. This is no different for cryptocurrencies and reminds me of the penny stock scams.
- amelius 9y agoCan't most products be viewed as investments, from a house or car to a pair of shoes?
- blattimwind 9y agoYou buy into an investment because you expect a capital gain. You don't buy shoes in expectation of a capital gain.
- neals 9y agoIt's never that easy though: I can invest in a pair of shoes to get a job that makes me more money. It's a slippery slope and with the decentralization revolution that is happening, this will only keep on getting more blurry.
- shaki-dora 9y agoYou’re just redefining “investment” to be meaningless. There’s no slippery slope, unless your new shoes have leather soles.
- MadSudaca 9y agoI agree with the other commenter. The same could be said about anything you buy for yourself. I buy food so that I can keep my body functioning, in order to be able to produce value and make money. So buying potatoes is a kind of investment.
- ada1981 9y agoAssets vs. Inputs.
- ada1981 9y agoIf you buy potatoes to eat, or even really to turn into french fries and sell, its an input. If you buy them to HODL because you think potato options are going to bring you a return, it's an investment. If you've invested in a global, decentralized game of hot potato, well, that's crypto ;)
- gus_massa 9y agoIf you are going to HODL, buy soy or corn or other cereal, potatoes rot too easy. [This is not financial advice!] Somewhat related: A few years ago, in Argentina it was usual that the farmers keep most of their production of soy in big long bags in the field, because if they sold them they only could get pesos and with a 30% annual inflation it was better to keep the grains and sell them when they need to buy something. (In Spanish) https://es.wikipedia.org/wiki/Silo_bolsa https://es.wikipedia.org/wiki/Silo_bolsa autotranslation https://translate.google.com/translate?sl=es&tl=en&js=y&prev=_t&u=https%3A%2F%2Fes.wikipedia.org%2Fwiki%2FSilo_bolsa&edit-text=&act=url https://translate.google.com/translate?sl=es&tl=en&js=y&prev...
- drusepth 9y agoThanks a ton for the financial advice. Gonna cash out my 401k to buy massive quantities of cereal for hodling.
- hobofan 9y agoSure you do. You buy higher-end business shoes and suits to be eligible for management positions that pay better. Might not be the case in SV and the startup world, but it certainly is at most other companies.
- gnode 9y agoThat's not what capital gain means; you're not expecting to sell the shoes themselves to make a profit.
- saosebastiao 9y agoCorrect, it's not a capital gain. It's a dividend.
- annabellish 9y agoand you invest in food because if you don't eat, then you'll die and make no more money! That definition of "investment" includes almost everything anyone can possibly do.
- briandear 9y agoNo it doesn’t. One invests because the asset they are purchasing will either appreciate or generate cash flow. “Food” doesn’t generally appreciate or generate cash flow. (Outside of obvious restaurant contexts.) You can call food an “investment” but you could also call a dog a cat — that doesn’t make it so.
- Trundle 9y ago"That"
- saosebastiao 9y agoOf course you don't expect a capital gain on shoes (for most people...there's always an exception [0]). But you can still expect returns on shoes. Construction boots for construction workers, for example, are as much an investment as construction tools. An investment is more than just something that accrues value over time. [0] http://www.businessinsider.com/18-year-old-entrepreneur-makes-fortune-selling-rare-sneakers-to-celebrities-2018-1 http://www.businessinsider.com/18-year-old-entrepreneur-make...
- briandear 9y agoAn asset is something that puts money in your pocket. A liability is something that takes money from your pocket. Unless you are a professional runner or buying rare vintage sneakers — buying shoes isn’t “an investment.”
- nybble41 9y agoThe purchase of shoes which reduces expected medical expenses associated with improper footwear may well be "something that puts money in your pocket", provided the expected savings outweigh the marginal opportunity cost of the shoes. A durable good which you own in order to make yourself more productive is known as a capital good. Shoes, clothes, and shelter qualify, to the extent that having these things increases productivity. Food would not qualify, since it a consumable and not a durable good. The purchase of capital goods, for the purpose of increasing productivity, is investment.
- wccrawford 9y agoI feel the same way about prescription drugs. Those are for doctors to prescribe, not for patients to request.
- rorykoehler 9y agoThat's why advertising drugs is banned world over.
- rastaaaaaa 9y agoNot in the USA apparently.
- r_singh 9y agoYes, Rx marketing to general public is legal in the USA, but the ads are regulated.
- rorykoehler 9y agoLots of things banned world over are legal in the USA.
- pjmlp 9y agoLike carrying guns as if we were still in 1800.
- kurthr 9y agoThe first percussion cap for a cartridge wasn't patented until 1807, not in common use until 1825-30 when the bolt action arrived, and not popularized until the Colt revolver in 1835. Rapid firing guns of more than ~6 shots didn't arrive in the US until the civil war.
- pjmlp 9y agoIf you prefer to be pedantic regarding English sentence construction, instead of the actual problem that costs lives every single year, > Like carrying guns as if we were still in the 19th century.
- kasey_junk 9y agoThe entire index fund & etf industries spent lots of advertising dollars educating the market about their products, including Vanguard. Those are clearly not fraudulent. That said, the crypto ads are less like that & more like the auction prize site ads, so good riddance.
- astura 9y agoPretty much all legitimate brokerage firms advertise to consumers. Quite a lot.
- philipodonnell 9y ago> Investment should not be driven by advertisement but by facts. In my experience, any investment advertisement tying to appeal to mass audiences is fraud. That's just not how advertising works. Investments are products like anything else and advertising is literally designed to expand the number of people who might purchase a product. You can say this about any product with differing utility among possible users. > Truck buying should not be driven by advertisement but by facts. In my experience, any truck advertisement tying to appeal to mass audiences is fraud. I don't need a truck to live in the city, but that doesn't mean Chevy should be banned from running advertisements in a city.
- charlesdm 9y agoIn case you didn't know, most investment decisions are made by advertising or access. If you step into a large bank, they'll tend to get a cut on each fund they sell you -- whether that is a good fund or a bad. Often these funds are also run by the bank, and they charge excessive fees for managing.