2/04 ANDY HOFFMAN (CryptoGoldCentral.com): Religion Versus Reality, And The Beauty of The MWC “Hedge”
In 15+ years in Precious Metals, I learned, too well, what it means to be a “goldbug.” Not that I was one, as I decidedly was NOT. However, I came across hundreds over that time – who on average, by my estimate, are over 65 years old. The way I define them, are people with tunnel vision about sound money – who believe ONLY gold and silver have ever been money, and ever will be. In other words, cultish beliefs that cannot be swayed – no matter how much money they lose, or how far from reality their views stray. Let alone, when better money comes along, like cryptocurrency.
Fortunately, I recognized that mining stocks were DONE as investments in 2011 – though I wish I had recognized this earlier. However, I was ridiculed for years for having a differing view, despite how right it turned out to be. And ditto for physical gold and silver in 2017, though the jury on this decision remains out – as while they are essentially the same price, they are not far from the all-time inflation-adjusted lows they traded at a few months ago. And oh yeah, when I sold my metal back in mid-2017, I sold it for Bitcoin.
When BTC rose from $400 to $20,000, its cult grew to epic proportions – rivalled, in my lifetime, only by the dotcoms in 1999. Those who owned dotcoms believed they’d all be profitable; just as all who owned Bitcoin believed it would take over the global monetary system. Fortunately, I didn’t believe in the former – and thus, sold my dotcoms just after they peaked. However, I’m guilty as charged regarding the latter – and thus, didn’t sell my Bitcoin until the “Hoffman Line” broke, at $5,700.
The problem with Bitcoin today, is it still has way too many cult-like believers, who fail to acknowledge something might be wrong. Many are smarmy Millennial “maximalists”; many of whom, possess very little Bitcoin - but are proud to “lead” the Bitcoin army. They don’t worry about WHY the Hoffman Line breach occurred – or the ramifications of the wholesale exit of institutional money from the asset that was supposed to take over the world; much less, catalyzed by something as seemingly innocuous as the SV fork.
They also don’t consider that new technology developments are a reality – that possibly could compete with Bitcoin. Yes, the SV fork - and related SHA 256 Hash War - should be taken seriously; as in my view, there’s no way the Bitcoin price would have reacted so negatively if something wasn’t afoot. To that end, Bitcoin holders need to watch MimbleWimble closely – as assuming it works, which thus far seems to be the case, it is indeed a far more efficient, and private, blockchain protocol.
Yes, I understand the maximalist mantra well – that nothing can stop Bitcoin, as any new technology will inevitably be subsumed…which may well turn out to be the case. However, given how unprecedented Bitcoin is; and how rapidly crypto technology advances; it would be wise to consider such possibilities, no matter how small - particularly when you are given opportunities to “hedge” BTC bets with free airdrops like MimbleWimbleCoin (MWC); i.e., a new MW coin with superior store-of-value qualities to Grin, Beam, and other MW alternatives.
Stay tuned, as Bitcoin airdrop registration begins April 20th, ahead of the July 19th snapshot. For more information, please check out the MWC website.