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> There's risk associated with every investment As things are now (and as GP points out) speculation is probably the right word, not investment. From Wikipedia
by gphilip 12y ago
> There's risk associated with every investment
As things are now (and as GP points out) speculation is probably the right word, not investment. From Wikipedia [1]:
Speculation is the practice of engaging in risky financial transactions in an attempt to profit from short or medium term fluctuations in the market value of a tradable good such as a financial instrument, rather than attempting to profit from the underlying financial attributes embodied in the instrument such as capital gains, interest, or dividends.
[1] http://en.wikipedia.org/wiki/Speculation http://en.wikipedia.org/wiki/Speculation
- ISL 12y agoPerhaps the word 'purchase' is more appropriate... "there's risk inherent in any purchase" ?
- sillysaurus3 12y agoIf I had fully appreciated that there was a significant risk of my purchase completely vanishing overnight, I wouldn't have made the purchase. I had planned for "What if the price falls to 1/3rd of its current value?" At least I'd still have 1/3rd of the money. But zero is a much lonelier number. Bitcoin is speculation. Not only is it speculation, but it's the kind of speculation where you can fail for reasons beyond your control and which no one knew existed. (See transaction malleability, which hit the reincarnation of Silk Road pretty hard.) Losing your coins to theft or third party loss is simply spirit shattering, and unless people are truly okay with their coins literally vanishing, I would hold off on converting a sizable portion of your wealth into coin. It's easy to say that you'd be okay with losing it all, but the reality of it is much harder to deal with.