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you should be able to understand that even the possibility of that becoming the new ICE has to be priced in, of course you are free not to do it though.
by pietrod 5y ago
you should be able to understand that even the possibility of that becoming the new ICE has to be priced in, of course you are free not to do it though.
- jolux 5y agoPriced in, only if you're completely insane. Have you priced in the risk that the SEC shuts down the offramps before it gets there?
- solveit 5y agoObviously both of those possibilities are priced in. Investors aren't stupid, Gamestop notwithstanding.
- jolux 5y agoI think severe regulation is more likely than Coinbase becoming the next NYSE, but the valuation suggests investors think the opposite.
- ldbooth 5y agothe bet is whether US regulators have the panache to regulate a financial market anymore.
- solveit 5y agoAll that the valuation suggests is that Coinbase is a company with 1 bn in revenue last year, and 1.8 bn just last quarter. By virtue of upsides being unbounded while downsides are bounded by the money you invest, the downside case really doesn't matter with a good enough upside case. Coinbase going down in flames may be the most likely outcome. That doesn't matter as long as you're not YOLOing your entire portfolio into Coinbase. What matters is the average outcome. And the average outcome is pretty good despite Coinbase failing in 9 out of 10 scenarios.
- GlennS 5y ago> Investors aren't stupid I think it's pretty clear by now that they are. We just hope that the stupidity on the buy and sell sides more or less balances out, and what's left to determine the price is people with some real insight.
- solveit 5y agoInvestors in the aggregate are not stupid, and if you disagree, you can make yourself a fortune and prove yourself right.