You are viewing a single comment's thread from:
RE: Ultimate Cryptocurrency Guide - Know What You Are Buying! - Pay Coins Ripple On The Pond - Part 1
This is just the sort of mumbo-jumbo I warn against...
Explain it in 2 simple sentences telling me why anyone would ever use this coin.
@cryptogee,
Exactly right (although, I might be a bit more generous than 2 sentences).
Anyway, the mumbo-jumbo comment is dead on. As I read through many of the blogs here on Steemit (and elsewhere), concerning cryptocurrencies, I am often stuck by the magnitude of delusion expressed by so many cryptoenthusiasts. (I say this as a guy who used to run a currency hedge fund.)
The overwhelming majority of the approximately 2,000 cryptocurrencies in existence are worth precisely nothing. Zero. Not a single centime. Brochures are baloney ... I know, I make them.
If a thing is not useful ... it's useless. If a crypto doesn't have a reason to exist, it won't. There will be a great reckoning sooner than later. To be honest, I can't imagine why it hasn't happened already. Some of these cryptos clearly have no purpose. One would think that that would result in some pretty obvious conclusions.
Besides obvious usefulness, watch a crypto's periphery. The service providers (financial more than technological) will make or break a crypto. The derivatives market (futures and, especially, options). Fortune 500's and institutional investors can't use cryptos in any meaningful way until they have the ability to hedge. Hedging requires Market Makers.