4 ms·
Yea, sure, you can cherry pick dates. Like if you bought the S&P 500 last September at an all time high. However, it's not about making and losing money when yo
by TACIXAT 8y ago
Yea, sure, you can cherry pick dates. Like if you bought the S&P 500 last September at an all time high. However, it's not about making and losing money when you're hedging against major crashes. It's about it retaining some semblance of value when something else tends to zero. I'd be very happy to own $100k of BTC if my (hypothetical) 5 billion USD suddenly evaporated, even if that $100k of BTC used to be $200k.
- arcticbull 8y agoExcept if you bought the S&P at the all-time high you'd still have 95% of your money, instead of 10% of your money. Further when the stock market crashed, BTC did too, it didn't help. My point is there are so many hedging options out there, why this one?! If gold dropped to 10% of its value one day how many goldbugs do you think would be screaming HODL and STORE OF VALUE? Or "what if there's a financial apocalypse" when their portfolio looks like they've already weathered Black Tuesday. There are tons of assets out there that haven't dropped huge amounts. Is it sunk cost? Religiosity? I guess what I'm trying to say is nobody would declare nascent tech stocks to be a great store of value and a hedge against the apocalypse. There's tons of volatility and by most peoples' assessment (not mine though) it's the young up-start go-getter. What makes this different?