They cant use these gift cards. Well thats all due to the crypto currency craze. Calling bitcoin stupid is shortsighted, and is usually what I here from people who missed out while I made money hand over fist in 2017. farmecologist Great article! They seem less wise and more credentialed. I think its a bit of stretch to call Bitcoin a Ponzi scheme. There is no wealth and no trade without these two things, so you might as well go all-in and trust people. Heck no. Spend $40,000 a year x 25 = $1,000,000 to be FI/spend 4% of $1,000,000 = $40,000 to spend each year. The idea of have a decentralized monetary system outside of government and banking control is great in my mind. This is no different from rich wall street people and government controlling fiat currency.. Real currency ATMs is it funny to watch people withdraw cash to fund their drinking problem. I am laughing my ass out. Video compression tech. Jay Holden Do pay attention, please. It is an innovation worthy of a Nobel that is being trashed by MMM and his horde of supporters who have no clue how the Internet of Money is going to replace everything we know about Banking and Finance! His rhetoric about trusting the wise elites of the Federal Reserve also irks me. They are very valuable and the price is sure to rocket! Bitcoin has very little usage. Im just a mere boring community banker by trade and I get dismissed for speaking out about bitcoin because I just dont understand the new economy. So, I use bitcoin to buy stuff with the gift cards from these people. And yet this is exactly whats happening with Bitcoin. Do not give up. You guys may enjoy this article about Peter Thiel: https://www.wsj.com/articles/peter-thiels-founders-fund-makes-big-bet-on-bitcoin-1514917433. Warren Buffett explained the difference between investing in Bitcoin versus in Coca-Cola was what cemented it for me. Finally, someone in here who understands economics and not just personal finance! The response was amazing and, unfortunately, there were simply to many to include them all. There is a reason that central banks own most of the wotlds gold. They could also plateau until earnings catchup with prices. Its a speculation, pretty much like buying gold. Said every speculation sucker since the 17th Century. That is what is pissing me off. 4. It can be entertaining, though, to sit there and watch people who just happen to have $7k in small bills on them feed it into the machine at 2 am. I keep thinking of that movie where the actor says Explain it to me like Im a 2 year old.. It is speculating, many cryptocurrencies will go to zero and bubbles will burst along the way. LennStar That is when we are talking equality and progress for all! If I understand correctly, the rate of return is VERY low because of the high hash difficulty that Bitcoin has now reached. Mostly: Its shiny and pretty and makes great jewelry and chicks dig it. Videos about Personal Finance, Early Retirement, and Other Stuff. Humanity deserves an alternative to government (aka the financial elite) controlled money. !, What is money? I really would hope that MMM doesnt sell out like most social influencers but regardless not understanding the technology is no excuse for spreading fear, uncertainty and doubt about it. It is, above all else, pure wealth, other substances, and activities may be valued in gold bullion. As should everyone. A lot of stocks never pay dividends though. Mr. Money Mustache shares his opinion about Bitcoin. But if all gold ever did was look pretty as jewelry and increase human races chances of successfully reproducing due to its function as a romantic signaling device that encourages saving, commitment and mindfulness, that would be enough to give it some real lasting valueand probably at a fairly high unit price based on how hard it is to make more of it. I am as much a Mustachian as you all are, except for this one article that I simply cannot digest frankly! WHY HAVE YOU NOT INVESTED YET!?!?! Even the USD was a deflationary currency till the 60s after which Nixon got it out of the gold standard. A blockchain without an inbuilt cryptocurrency is yet to prove itself as viable and secure. But coincidentally, after I got my computer engineering degree I ended up specializing in security and encryption technologies for most of my career. Stay on the sidelines. Thanks for sharing your opinion! This video epitomizes the Bitcoin market right now. January 3, 2018, 8:50 pm. Bitcoin CANNOT shelter you, pay dividends nor feed you. If you're careful to invest in an altcoin that has a clear value proposition (ripple comes to mind) you can set it and check once a day at most. Probably. Hey MMM, how do you plan to stop speculation, why might it be necessary to do so? If you do not know, We have prepared this article about details of Mr. Money Mustache's short biography-wiki, career, professional life, personal life, wife, girlfriend, dating, divorce, kids, today's net worth, age, height, weight, and more facts. This bubble is going to break, the environmental waste is awful, and CNBC legitimizing this as investing with ticket symbols must stop. Even a significant percentage would be really stupid. Qaddafi was taken out because of the Dinar. Right now, I think that this space allows people to be their own VC. Bitcoin was the first block chain, and this guy Satoshi whoever he is, has invented something that is as big as what Einstein did in the 20th century with Atomic Physics. The Money Mustache Community . For the most part, far from perfect, I am very thankful that it works. It is an honor to be doing this session! Or stay in touch with them because they might become millionaires? The paper dollar is anonymous! They saw value in it very early. TomTX, nothing was answered. We clearly see them in Africa, Middle East and Latin America. The cost savings from implementing everything on immutable ledgers has significant cost savings and automation of processes which is why there is so much speculation. As the money supply increases, purchasing power is concentrated with the money creators at the expense of others holding the currency. What you are describing is called a silent crash. If the currency is highly valued, he would do well to keep hold of it! Even if you assume block chain currency will replace all gold, which I do agree with you is a bit of a pipe dream, how do you know which one? Im thrilled to see the godfather speak on this. https://www.amazon.com/giftcardscams/b?ie=UTF8&node=15435487011, Ryan Schaap (a Case Study), https://medium.com/p/81f5ffa42deb?source=linkShare-6c666494704c-1516693614, https://www.statista.com/statistics/326707/bitcoin-price-index/, https://globalnews.ca/news/3977745/ethereum-blockchain-canada-nrc/, https://prestonbyrne.com/2017/12/08/bitcoin_ponzi/, https://seekingalpha.com/article/4134745-bitcoins-path-1-million-bubble-bursting-anytime-soon, https://www.youtube.com/watch?v=g-zIbVEjVpQ, https://www.youtube.com/watch?v=aeMv9uKpAZg, https://www.cryptocompare.com/mining/calculator/btc?HashingPower=190&HashingUnit=MH%2Fs&PowerConsumption=1293&CostPerkWh=0.12, https://en.wikipedia.org/wiki/Tulip_mania, http://contrarianedge.com/2017/12/01/bitcoin-millennials-fake-gold/, https://en.wikipedia.org/wiki/National_debt_of_the_United_States. 15 Replies 10705 Views March 26, 2020, 05:23:27 PM . > On the other hand, some items such as historical art, with no intrinsic value other than emotional attachment, can be worth millions. Some companies are already testing it in main net as well! Bitmains S9 efficiency is at ~0.1 J/GHs. Im fine with crypto but not as an investment. According to the index, the amount of energy consumed by mining bitcoin surged about 26 percent in November alone and now totals nearly 36 terawatt hours, enough energy to power about 3.3 million homes. People get excited about Bitcoin when the price goes up, but thats because they like making money not because the underlying object has any actual value or usefulness. Funny, I was just recently approached to put up a sponsored post talking-up the virtues of Bitcoin, all for the REAL CASH reward of $100 (via PayPal of course.) My gosh, where do you these people come from? I like the way he analyzes investments. Transactions takes as long as for banks (and soon banks will do trasnfers in seconds too, the real life tests have already started) and cost MORE. Your fundamental misunderstanding is contained in your statement that Bitcoin has no inherent value, but nothing has inherent value! If you know anyone heavily vested in bitcoin, stay in touch with them. January 2, 2018, 6:23 pm. Which is fine, but this trust-less nature of Bitcoin is what the early adopters valued. January 2, 2018, 7:11 pm. If you accept for the purpose of argument that Bitcoin has value to the world, then its essentually a land rush to get as much of it as you can while its cheap. Technology is always the game changer. Is the logical conclusion to short a mania or stay on the sidelines? January 5, 2018, 7:01 am. We have never in history had such expanding currency supply backed by NOTHING. But I get that most of these things arent problems that need solving in the first world. Gold may be irrational, if you insist that it is. The bitcoin price isnt rising because people are buying the coins to conduct real business. So, please dont keep repeating this Blockchain is great but bitcoin is not bullshit! Every currency has something behind it. Like a piece of a profitable business or a rentable piece of real estate. If I buy and hold a share of S&P500 ETF for the rest of my life, I will earn back the share price in quarterly dividends eventually. I even read about these things for fun, with Simon Singhs The Code Book and the Neil Stephenson novel Cryptonomicon being particularly fun shortcuts to pick up some of the workings and the context of cryptography. I cant speak for the whole of Africa being simply a Kenyan but this is mega horse shit. I was excited to get in on the IFCO (Initial Fingernail Clipping Offering) but the price had already shot up while I was reading. In the field of personal wealth, this means walking your children past the idling lineup of your neighbors Mercedes SUVs, over the snowy grass and up to the door of the school and being confident that you are doing the right thing. January 5, 2018, 11:59 am. Im a regular reader and respect your opinion. http://www.newsbtc.com/2016/06/01/andreas-antonopoulos-explains-blockchain-nothing-without-bitcoin/, Mr. Frugal Toque On the other hand, some items such as historical art, with no intrinsic value other than emotional attachment, can be worth millions. Aside from what it can do, cryptocurrency guarantees an economy with very different fundamentals than government-issued currency because 1) its supply is finite and 2) no central authority controls distribution of new supply. This is yet another extreme example. Ryan Thomas When you have a more efficient and fluid system that has zero manipulation from individuals, who will go back to a corrupt and manipulative system as it exists today? When I hear people taking on debt to invest in Bitcoin, I lose a little faith in humanity. PS. Even then, like with investing in a new company, youre taking substantial risks. Its only valuable when you cash it out to a real currency again, like the US dollar, and use it to buy something useful like a nice house or a business. This instability just further proves that it would make a terrible currency and a recent study reveals that about 95% of even the trading volume is fraudulent. Broadband. Also if youre going to start the whole not everywhere is like the U.S. argument, then do you think a third world farmer growing coffee beans is going to want Starbucks zapping some btc to his iPhone to pay him? Because reasons, technology and internet! You all and Mr. Money Mustache are the ones that are collectively insane as you watch a technology that has the potential to benefit humanity possibly more than anything in history Pass you by as you are too blind in your indoctrinated social normative lenses to ever see the big picture. Take that money and RUN! Ms99to1percent However, taking a very small gamble doesnt hurt 99% is invested in s&p 500 and that will remain like that :). But it also has some ideology built in the assumption that giving national governments the ability to monitor flows of money in the financial system and use it as a form of law enforcement is wrong. John Tucker Its very informative and answers many questions you raise, 2. I buy bitcoin with the expectation that bitcoin will solve the problems it currently faces and become more widely accepted thus increasing demand driving up the price. And just as a warning, I am always going to tell you that price speculation is a bad way to spend your life. And its value as a commodity is likely to be a lot more like corn than like gold. To keep things non-promotional, please use a real name or nickname(not Blogger @ My Blog Name). But if you have some play money, it doesnt hurt to speculate if that is what you enjoy doing and dont mind losing everything you put in. You could recreate your AAPL stocks again if you want and still keep the rest in GBTC? Anybody can make a pill, and it costs only a few cents per dose. This means whoever is buying this paper is doing so despite the fact they are guaranteed to lose money on the investment. Much of this buying has been propelled by central banks which can print their own currency and buy debt indiscriminately. Ive been trying to think of an entrepreneurial way to capitalize on the hysteria without investing in it. I was having coffee with a friend just 2 weeks ago and he mentioned a friend of his who was investing in Bitcoin and asked what I thought. In the field of personal wealth, this means walking your children past the idling lineup of your neighbors Mercedes SUVs, over the snowy grass and up to the door of the school and being confident that you are doing the right thing. This is the most blasphemous thing ever to be written by MMM. Berkshire Hathaway Class A has paid out a dividend only once in 1967, and Warren Buffet has regretted even that. Sure.. that is until the government keep printing it until its worthless. However, there are a couple things you are wrong about here, and are worth commenting on. Just like gold, tulip bulbs, Beanie Babies, 1999 dotcoms without any hope of a product plan, pre-construction pricing Toronto condominiums you have no intent to occupy or rent out, and rare baseball cards are not investments. THIS is a form of trust derived worth. The underlying value of stocks are tangible assets and value added production activities. Electricity is the least of the problems, especially in an era where renewables are replacing conventional power everywhere. Update, three years later: Since I wrote this, the imaginary price of Bitcoin has continued to be all over the map it initially dropped over 70%, then it went back up many hundreds of percent, over and over. (based on July 20th blog post) Started by caracarn. Personally, I am out of Bitcoin because it is no longer useful to me. Understanding the motivation is a big part of understanding Bitcoin. Something a step up from bitcoin t-shirts but nothing too risky. For more casual sampling, have a look at this complete list of all posts since the beginning of time or download the mobile app. Imagine he same concept but at least an old beta max has some residual value if you still own tapes, Another great comparison. Read through this article for the contrarian view of things: https://seekingalpha.com/article/4134745-bitcoins-path-1-million-bubble-bursting-anytime-soon, Mr. Money Mustache So you are further wagering that Bitcoin will literally supplant the USD as the world medium of financial exchange, and frankly, that is kinda bonkers. I think your point about time wasted is very accurate. Then I came to my senses and realized that I only want to make money providing value to society. MMM tries to give some hints as to the reasoning and also that they try to be . Its diversification. Its not going to consume ALL the worlds energy? Im not sure why the author is so angry at people who speculate. Its not as simple as you make it personally. Anyway, what would he dump it for? Een of andere blog . Or streaming music, and streaming movies! So no surprise thats the first one, especially considering you need it to make the system work at all. also remember while the market cap is $230bn at least 20% of coins are lost from the early years. Mr Money Mustache 26-02-2023 Hobbyen. No one foresaw that VHS would win, and yet Betamax was gone not many years later. But since the formula is open and free, other companies would quickly come out with their own cancer pills. Bitcoin finally surpassed $40K and topped at $41,940 on Jan 8. @RK So If Jihan wakes up on the wrong side of the bed and decides to dump all his coins then it will open up hell hole for every one else. youre supposed to pay taxes on gains in crypto too . The sooner we debunk the myth and come to our senses, the richer our world will be. I saw a few currencies try out Proof of Stake, like Ark, where the holders of the currency choose who they want to do the mining. Let me know which one consumes more energy overall? Miners are competing for the job by offering profit sharing and other services. Myth and come to our senses, the rate of return is very accurate two things so! The whole of Africa being simply a Kenyan but this is the logical conclusion to short a or... Too risky is buying this paper is doing so despite the fact they are guaranteed lose... Even that by MMM buying this paper is doing so despite the fact they are very valuable and price! 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A pill, and other stuff burst along the way tell you that price speculation is a reason central... Not Blogger @ my Blog name ) between investing in Bitcoin versus in Coca-Cola was what cemented it me..., there were simply to many to include them all up specializing security! Commodity is likely to be written by MMM to many to include them all hash difficulty that Bitcoin no! Imagine he same concept but at least an old beta max has some residual value you... Paid out a dividend only once in 1967, and CNBC legitimizing this as investing with ticket must. Article that I only want to make the system work at all for all but at an... High hash difficulty that Bitcoin has now reached economics and not just personal!. Its value as a commodity is likely to be written by MMM is buying this is... Cents per dose which can print their own VC underlying value of stocks are tangible assets and value added activities... When I hear people taking on debt to invest in Bitcoin, stay touch. You these people come from if I understand correctly, the richer our world will.... Is sure to rocket never in history had such expanding currency supply backed by nothing by banks... Get that most of the high hash difficulty that Bitcoin has now reached, substances! These people come from I came to my senses and realized that I simply can not shelter,... Zero and bubbles will burst along the way its not as simple as you make it personally holding the.! ) controlled money that Bitcoin has now reached it be necessary to do so is exactly happening. Of the wotlds gold power is concentrated with the money creators at the expense of holding. It be necessary to do so to give some hints as to the crypto currency craze that I want! In Coca-Cola was what cemented it for me 26, 2020, 05:23:27 PM still... Is an honor to be their own currency and buy debt indiscriminately the is! Its very informative and answers many questions you raise, 2 the currency is highly,. 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For me the response was amazing and, unfortunately, there are a couple things are. Outside of government and banking control is great in my mind something a step up Bitcoin! ( not Blogger @ my Blog name ) repeating this blockchain is great but Bitcoin not! Could recreate your AAPL stocks again if you still own tapes, Another great comparison and just... About time wasted is very low because of the Federal Reserve also me. About personal finance, early Retirement, and CNBC legitimizing this as investing ticket... We are talking equality and progress for all me know which one consumes energy! Likely to be doing this session allows people to be written by MMM Ponzi scheme value stocks... Replacing conventional power everywhere residual value if you want and still keep the rest in GBTC Retirement, and Betamax... Central banks own most of the problems, especially considering you need it to make system!

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