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Kurns-Jo
Methuselah @Kurns-Jo

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Thinking about getting ETH

Posted by Kurns-Jo - 11 days ago


Given the way inflation is going and the tendency of payment processors, banks and governments to be overly controlling, especially recently, crypto-currency is starting to look like a good idea.

Bitcoin at this point is basically a Ponzi scheme with a stupid energy consumption, ETH is about 1000 times more efficient has faster transaction time, and incorporates Smart contracts, which could well have a promising future.

It is admittedly less secure and more centralised than Bitcoin, but you cant have everything.


It's more likely to catastrophically and permanently decrease in value than normal currency or most other assests, but atleast for the next few years that seems fairly unlikely as global instability continues, it is also much more likely to drastically increase in value than other assets, which given the global circumstances and the more dubious nature of the competing Bitcoin market seems fairly likely.


As a medium term store of value it seems a reasonable bet, the long term is more uncertain, as a form of currency it is inferior in most cases to most conventional money but it has advantages that are only set to increase.


Ideologically from an anti-authoritarian standpoint it seems like a good thing to engage with.


So what am I missing?


2

Comments

please do not

why?

@Curtis-Jones i really don't trust crypto or blockchain like ethereum, theres a really high chance the value goes down and you lose a big chunk of your money or investments

It's always a possibility

Why not give all of your money to me and I will personally invest it in a nice car and a cool leather jacket? Time limited offer, clock's ticking.

Tempting...

The possibility of getting money in Crypto is low, but never zero

It's not foolproof and it's high risk, but I don't think it's that low, compared to stocks or whatever then maybe.

The possibility of having positive returns is near 100% if you invest in an index ETF for 10-15 years.

The probability of the whole thing going tits up to sufficient degree for that not to happen in the next 10-15 years is not negligible, past performance does not guarantee future returns.
There's a reason both attract capital.

@Curtis-Jones
It is very unlikely to lose money in the long term, regardless of market conditions. This is a very reasonable risk to take for an average 7-10% annual return.

If you are unwilling to tolerate any risk, you could have just park all savings in cash. But even banks can go bankrupt so it is not really risk free either.

It is clear that the current model is not sustainable and is facing increasing challenges which are not being adequately addressed, it's not just an issue with the market it is a societal and political problem, which cause issues that don't resolve as easily.
Also many top companies are morally reprehensible so I'd sooner not give them anything.

So somehow you think 2025 will be the magic year where everything falls apart. I have bookmarked this page and will come back and show you the return 10 years later.