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Bitcoin Farm => 210 MW

Discussion in 'Too Hot for Swamp Gas' started by G8trGr8t, Apr 20, 2021.

  1. gator10010

    gator10010 GC Hall of Fame

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    Hindsight is 20/20 but there was no guarantee that Ethereum was going to survive in 2017 either. Never the less you still got into Ethereum relatively cheap and should be showing very nice returns right now.

    I agree with your strategy even though some of those tokens burned you.
     
  2. gator10010

    gator10010 GC Hall of Fame

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    What if the islanders kicked the Englishman off the island and kept the new form of limited currency?
     
  3. oragator1

    oragator1 Premium Member

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    it’s not gotcha anything, it’s reality. I don’t invest in things I can’t price, and I am far from alone there. To this point it’s a strategy done very well for me. In fact, arguably the greatest investor in history has said many of the same things I have said here, but maybe he doesn’t understand basic supply and demand either.
    Warren Buffett blasted Bitcoin as a worthless delusion and 'rat poison squared.' Here are his 16 best quotes about crypto.

    And again, diamonds have other uses, it’s one of the reasons they are transferable and valuable. They aren’t valuable simply for being valuable. Every store in the world could take Bitcoin tomorrow, and that would make them more liquid, but wouldn’t give a merchant for example any reason to hold them. In fact making them more liquid technically reduces their value, because they are easier to obtain (Bitcoin’s own form of inflation). Part of its value right now is driven because people can’t decide if it’s a currency or a commodity, so the commodity holders are driving the price by making it more scarce to buy. If it becomes more of a currency the price will fall.
    If you make millions off of it over time, congratulations. I will applaud you for being right and hope you enjoy your wealth from it. Seriously, I don’t begrudge anyone for taking risk and being right. But 74 percent of fund managers think it’s already a bubble that will pop. These are people whose very jobs depend on being right about this stuff.
    https://www.cnbc.com/2021/04/13/bit...nt-of-bank-of-america-survey-respondents.html

    And while not speaking of you specifically, many crypto supporters are cult like about it, they refuse to hear bad news, contrary views, only the good, with wild predictions about where it’s going. Which always ends badly. And every time I have these discussions here, I acknowledge the possibility of its continued rise, and whomever I’m talking to never seems to accept the possibility it can fall substantially over any decent period of time, or worse be a bubble. Which is another huge warning sign.
    So good luck with it, truly. It’s just not for me. I will be fine financially either way, so it’s more of an object lesson experience for me than anything. If you win the debate based on performance, congrats.
     
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  4. gator10010

    gator10010 GC Hall of Fame

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    Well if we are going strictly off performance to date then there is no debate Bitcoin wins.
     
  5. oragator1

    oragator1 Premium Member

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    to date being the operative phrase. People that got in at 1 or 2k or less will likely be ahead for many years if not forever. But if it flattens out in value similar to gold, then in ten years anyone who got in at 10k or so likely breaks even roughly compared the market. If it goes down like gold has periodically over time then they lose, and that could happen in well under 10 years. If it goes up in any substantial way they win big. Even at 5k the outlook is rosier but far from assured. Count the stocks and commodities that have lost 50 percent or more (even all) of their value relatively permanently and it’s not a short list. I have had employee stock in 2 companies that went belly up, and was part of two others that are currently at less than 10 percent of their historical value. And some of those names would have been considered nearlyImpossible to fail by many. But it going down isn’t allowed in the conversation as if it’s impossible
    My problem isn’t people taking a flyer on this stuff, have at it. It’s the complete disregard or denial of risk by many as prices continue to skyrocket (at last until this month), which is almost the definition of a bubble.When things ike Doge, being jokes when created jump 12000 percent, that should be a massive warning sign. I fear looming back people are going to ask why it wasn’t more obvious to those investing how crazy and overheated it was.

    Don’t know why, but this whole discussion reminds me of the zen master scene in Charlie Wilson’s war. No one knows what’s coming, to behave otherwise or assume only good is to eventually invite loss.


    I will leave my participation there, good luck with it.
     
  6. danmann65

    danmann65 GC Hall of Fame

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    It feels like a bubble to me, a massive, massive bubble. I could be wrong but i would only have your wtfn monet in it.
     
  7. WarDamnGator

    WarDamnGator GC Hall of Fame

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    Anyone who won't acknowledge that it could fall doesn't know Bitcoin. It has pretty consistently gone through a 4 year bull/bear cycle. Obviously, right now is the bull cycle. I wouldn't buy more at these prices, but I would buy more if it take a big dip over the next few years.
     
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  8. gator10010

    gator10010 GC Hall of Fame

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    Research the crypto bull market. Also, look at the returns of Bitcoin over the last decade.

    Right now if we were to chart the US dollar vs the peso in Argentina the US dollar looks like a bubble.

    Do you recommend dumping the US dollar and moving to the peso?
     
  9. gator10010

    gator10010 GC Hall of Fame

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    I think this is where how you plan on investing in Bitcoin comes into play.

    If you are a short term investor then you have missed the boat and you will need to wait for the next bull market.

    But if you are a hodler Bitcoin at $50k will probably look like a bargain one day.

    I know people in 2017 who bought an entire Bitcoin at $20k only to see the bottom fall out of it but today they are damn glad they bought Bitcoin at $20k.

    Again, it depends on your strategy and if you watch the volatility every day then it's probably not for you.....but if you can buy and hold and ignore all the FUD then there is a lot of opportunity in Bitcoin.
     
  10. gator10010

    gator10010 GC Hall of Fame

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    I'm not assuming that there is only good in Bitcoin.

    You are a finance guy, so I'm guessing you like to hedge your bets, implement safety nets in case trades go bad....right?

    What's your hedge against the US dollar? What is your hedge against the US government's monetary policies? What is your hedge against the US government in general?

    Chances are you are going to tell me gold or bonds in Australia or some sort of emerging market play.....but in today's world where can you really hide from the US dollar?

    There are not a whole lot of options and if the US dollar were to collapse then I believe that you would agree that you would need some assets to be very mobile.

    Bitcoin protects you from the US dollar, Bitcoin allows your assets to be mobile within 30 minutes, at any time of the day, any day of the week, right from your cellphone.

    If you don't see anything of value at all when it comes to Bitcoin, you can look at it as insurance and throw 1 or 2% of your net worth at it.....you know just to hedge your bets a little.
     
  11. danmann65

    danmann65 GC Hall of Fame

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    Lol, says the true believer.
     
  12. gator10010

    gator10010 GC Hall of Fame

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    You missed the point but that's ok.
     
  13. WarDamnGator

    WarDamnGator GC Hall of Fame

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    Eh, since someone mentioned Warren Buffet, he has a famous quote that was something like "be greedy when others are fearful, and be fearful when others are greedy" ... it's probably just another was of saying "buy on the dips". I divide my portfolio into 5 assets classes and put money every month into which ever one has done the worst over the last 12 months. That means I was regularly buying cryptos again in 2018 and most of 2019 when they seemed to be the dying... that worked out well.
     
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  14. G8trGr8t

    G8trGr8t Premium Member

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    yes, the moment that oil starts trading in pesos and the peso becomes the world currency for all major financial transactions
     
  15. G8trGr8t

    G8trGr8t Premium Member

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    commodities priced in dollars is a natural hedge against the dollar
     
  16. gator10010

    gator10010 GC Hall of Fame

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    Meh, maybe....the US dollar touches so many things do you really think that investing in the oil commodities market is a good hedge against a US dollar collapse?

    I'll agree that it will protect you from inflation but what about a collapse of the US dollar? In a dollar collapse everyone will be trying to sell US dollar denominated assets when no one wants to buy those US dollar denominated assets. It would be terrible and make hyperinflation look very appealing.
     
    Last edited: May 15, 2021
  17. gator10010

    gator10010 GC Hall of Fame

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    So you would only move a weaker asset into a stronger asset is what you are saying....which isn't a bubble.
     
  18. gator10010

    gator10010 GC Hall of Fame

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    That's a very good long term plan. Just curious what are you buying in 2021?
     
  19. littlebluelw

    littlebluelw Premium Member

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    its all a fugazzi
     
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  20. WarDamnGator

    WarDamnGator GC Hall of Fame

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    Lately it's been boring old bonds. Everything else I own is up 30% or more over the last over the last 12 months.
     
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