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Merged Bitcoin - Part 3

Investing for Idiots


Good one. ...Like the title says, it's basics, and explained very clearly. Watched around half, a bit more, like 40 mins in? Will finish watching the rest later.

He hasn't touched on crypto yet, I don't know if he will at all. If he does, then I'll be interested in seeing how those are valued ---- not in value-investing terms, obviously, but funds that invest in crypto must be using some means to arrive at some kind of pricing for their investment decisions, and it'll be interesting to see this guy's take on it, he seems a down-to-earth no-jargon plain-speaking guy.
 
Just finished watching it. Loved it. Completely basic, and yet completely sound, and pretty much exhaustive.

Didn't touch on crypto, other than in passing. Which makes sense, actually!

My 2c, in tying that together with BTC --- in context of the extensive discussion here on bonds vis-a-vis stock --- would be in pointing out the insane volatility, and link that to intrinsic worth, which of course in this case is zero. (Which last is important, very important, for any potential investor to base their investing decision on.). (To be scrupulously fair and balanced, though: Someone with a clear understanding of the risk, and who already has a well diversified portfolio, diversified already across every which risk category, might perhaps, depending, want to consider a small, as in 5℅ say, exposure to crypto, BTC, memecoins, whatever. With the clear understanding that they're buying tulips, but taking a calculated risk in order not to miss out on the upside.)

Also: off-topic, completely, but still, given the vid: Long-duration converts can offer volatility-risk averse types, like the interviewer, a workable option to share in the upside of stock. (But ...well, not to go any more off-topic, except to just say that last comes with a "but", involving risk-return mismatch. Still, given what the interviewer expressly said, at length, about his own risk preference.)
 
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My 2c, in tying that together with BTC --- in context of the extensive discussion here on bonds vis-a-vis stock --- would be in pointing out the insane volatility, and link that to intrinsic worth, which of course in this case is zero.
This assertion is made by a poster who can't give an adequate definition of "intrinsic worth" or, at least, not so that they could estimate the "intrinsic worth" of gold.

It is also based on the fake assumption that bitcoin is just a piece of digital information with no potential use whatsoever. This is where people who try to compare bitcoin to tulips or bored monkey nfts err. They willfully ignore that bitcoin has uses other than just existing.
 
Bitcoin is just a meme coin, with the hook being that it's really expensive to make more.
But that is the only difference
 
This assertion is made by a poster who can't give an adequate definition of "intrinsic worth" or, at least, not so that they could estimate the "intrinsic worth" of gold.

It is also based on the fake assumption that bitcoin is just a piece of digital information with no potential use whatsoever. This is where people who try to compare bitcoin to tulips or bored monkey nfts err. They willfully ignore that bitcoin has uses other than just existing.

facepalm, not again

crazy alert, walks firmly away


eta: Just in case anyone else wants to talk about this, then happy to. Probably not, given this is such an obvious thing, and common knowledge. Still, should anyone else should want to, then just ask. Like I said, happy to, in that case. (In any case, this follows directly from what was discussed in the vid that I was commenting on, the Coffeezilla interview about investing. They discuss it re. stock and bonds, and just very cursorily touch on crypto --- what I did there was expand on what was touched on re. crypto, and expanded on what was said about stock and bonds, and explicitly spelled out what was discussed there, as far as value.)
 
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Bitcoin is just a meme coin, with the hook being that it's really expensive to make more.
But that is the only difference
And poof! 15 years of posts about the ins and outs of bitcoin vanish like magic. It's like this is the very first response to the original post about bitcoin in this forum.
 
it would be interesting to go back and see what kind of predictions were made for bitcoin 15 years ago. unless someone said mostly scams, none of them came true, obviously. but it would be interesting to see.
 
North Korea Stole the $1.5 billion dollars from Cryptobros
The biggest hack in history

Kira looks at what happened and how they got all the crypto out of a multi signature cold wallet so easily.

 
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south dakota defers crypto reserve bill. the winning argument:

Matt Clark, South Dakota’s State Investment Officer, raised concerns about Bitcoin’s volatility and lack of intrinsic value.

"Bitcoin does not have any underlying physical use,” Clark said. “It does not generate income, much like commodities or other kinds of assets.”

more intrinsic value talk. maybe there’s something to it idk
 
I am often struck by the similarity in the apologia by cryptobros and those touting MLM schemes.
Anybody touting crypto schemes is obviously going to have a similar attitude to that of those touting MLM schemes.
Or did you mean something completely different by "cryptobros"?
 
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Economists talk about "intrinsic value" but apart from claiming that gold has it and bitcoin doesn't, I have never seen an adequate definition of it.

maybe a more simple way to look at it is absent it's ability to be traded, i can still take gold and make it into a circle and put it on my finger. whereas with bitcoin, absent it's ability to be traded, it doesn't exist in any form.
 
Economists talk about "intrinsic value" but apart from claiming that gold has it and bitcoin doesn't, I have never seen an adequate definition of it.
People want it for reasons other than speculation. People want gold for making jewellery and electronics and a few other applications. People want Bitcoin so they can later sell it to somebody else for more money.
 

i know this is becoming post all coffeezilla’s videos, which are always excellent btw, but he makes a really good point about crypto exchanges in the back half of the video. they’re happy to collect the fees off these scams every time.
 
maybe a more simple way to look at it is absent it's ability to be traded, i can still take gold and make it into a circle and put it on my finger.
So "intrinsic value" is the number of rings you can make with it?

People want it for reasons other than speculation. People want gold for making jewellery and electronics and a few other applications.
That's not "intrinsic value" that is "market value". If not for speculation, the price of gold would be subject to the laws of supply and demand. (It still is but demand is driven largely by speculation).

People want Bitcoin so they can later sell it to somebody else for more money.
How do you know that nobody would want bitcoin if you couldn't speculate with it.?
 
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no it’s that you’re capable of making rings means that has an intrinsic value
I hope you are not trying to pick up where @Chanakya left off.

Yes gold has some limited ornamental/industrial uses. But the main utility of gold is that it can be used as money. Bitcoin also can be used as money so bitcoin also has utility. How do you measure the value of that utility in either case?

 
i’m not picking that up. idk why it’s so important for bitcoin to have intrinsic value or that you take that as a criticism of it. it’s a statement of fact that it doesn’t and it’s just describing one of it’s properties. how do you measure its value is pretty difficult if you don’t want to assess what it is and isn’t accurately imo

as it relates to gold, if it’s main utility is being used as money, then why is nobody using gold as money? where can you take gold, or bitcoin for that matter, and use it directly as currency?

you’re trying to force this stuff to be true. money is money, gold and bitcoin are traded for money but not treated as money by virtually anyone except places that exchange it for money. if it’s main utility is being used as money, but almost nobody will accept it, it’s also not intrinsically valuable, then what is its value indeed is a good question.
 
Jolly good luck to him.

I'm kind of curious though, as to the state of a harddrive that has been left unprotected in landfill for going on 12 years now.
What I'd be wondering is how's he going to control for the risk of releasing poisonous compounds ftom digging through decades worth of landfill. Hope he's knocked back on his kiester.
 

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