September 3, 2021•375 words
Someone left a comment on my previous post -> Crypto Currency - Thoughts - Part 1
That comment was:
how about crypto as novelty ?
I'm understading that comment as "holding Crypto" because it's a novelty item. In that case, Crypto is definetly new and interesting, and I wouldn't fault anyone for holding it for those reasons. From a technical perspective, it's very cool. It's going to take its place in the history books. That's for sure.
Unless the commenter meant, "Crypto as novelty" in the sense of another reason to stay away from it. In that case, it could take #5 as another reason to stay away from it.
5. It's Novelty
Crypto is new, interesting and exciting for many, but the novelty will most likely wear off in the future. At least for a majority of the Crypto out there. I would expect, if any, only a few, or even one, to survive in the long term. Making picking that specific one very difficult.
Regardless of what the commenter meant, I'm looking at it from an investing perspective, and personally believe I should stay away from it.
However, my crystal ball is broken and I have no idea what will happen in the future. I could be wrong, and I will most definetly make mistakes in my investing career. So, if you believe in Crypto for whatever your reason(s), by all means, don't listen to me and go for it.
This comment got me thinking about Crypto again, and I noticed I missed something in the previous post. I missed the blockchain. So here is my number six reason for staying away from crypto.
6. The Blockchain
The interesting thing about Crypto is what it's running on. That is the Blockchain, and I believe the blockchain is the technology that we need to focus on as investors. The blockchain is the technology of the future. Watch for talk about QR codes. It's all about data collection. It will run on and be secured by the blockchain. Remember, data is the new gold mine. Today all the hype is about Crypto currencies, but the hidden element under it all is the Blockchain.
This post is not investment advice. It's just my own opinion.