Thanks for the charts! They looked disappointing at first, then I realized they are logarithmic.Think of 25,000 of them as penny stocks that you don't want to mess with.
Weight your crypto portfolio as you would a stock portfolio.A percentage toward blue chip,a percentage towards those that you have researched and see potential in (studied in the same way you would a stock) and the lowest percentage toward rumour mill,group buy,meme,etc,high spec coins(managed daily,ideally intra daily).
Some charts I found that may be of interest:
Actually,having re read your last post,that is exactly what you are doing.
Youre on the right track.
Theres so much to learn in this space.Keep absorbing information and the potential continues to reveal itself.
Best of luck.
What’s the need for alt coins?
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Yep,they threw me a bit at first too.Haha
I was crunching some numbers earlier.
The forecast for BTC adoption is 10% by 2033.
Applying a 5% adoption rate to the top 4 highest adopting countries(USA,Nigeria,India and Vietnam-2.1 billion people combined),would mean around 105 million investors/users.
That's a lot of demand coming into a 21 million unit investment space.
And,I believe,those figures are conservative.Adoption will be rapid for a very intense period and after that a normalising period where we may see some 5 and 10 percents.
While I like the numbers I have doubts about adoption rate. Most of the world doesn't have wealth to store and won't adopt BTC unless it is used as a currency to make everyday purchases with. Right now it's being used as a security (except El Salvador) and the only real adoption will come from the small percentage of the population that has wealth to store. These people have had to store wealth in the past and are familiar with traditional things like stock, bonds, and real estate. While the promised returns of BTC are much higher than those typically are, they're definitely not guaranteed. I believe that the people you are counting on to completely adopt crypto are very skittish and could spook easily if they see an acceptable return in something they are familiar with. Right now all that is hazy with the wars, no clear direction in the stock market, and the crazy interest rate action. So currently I'm a BTC bull but I could easily dump it and leverage myself in S&P futures if I thought there was an opportunity. I feel more confident in that market and I assume that others would too. What did Fink say? Flight to value or something like that? I believe that it is a flight to anything that is promising a return. It's not confidence in BTC, it's lack of confidence in everything else. What's good for my current position is that it doesn't take a large majority of investors to move the BTC needle drastically in my direction. A small percentage would do just fine. It's like being leveraged when you aren't using leverage....
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That's not what I meant that to fit the blockchain and cryptos into whatever real-world situations
Crypto digital assets are a new financial system
You're still thinking in terms of the current centralized systems. If you ever watched the Matrix, once you get out, you have a different perspective
Don't worry about the other altcoins, you don't need them, yet and may never need them at all
Bitcoin is the easiest to understand as a SoV like gold, but digital
And since you're already invested in it, imo, you'll do well
I know. I was just using my industry as an example of how blockchain is being implemented without an associated cryptocurrency. They will be financed by a traditional service for a fee system. I guess they could sell you a purpose built crypto beforehand and not send a monthly fiat bill. Which would be better? I don't know. My point was that a lot of the benefits of the coming blockchain technology don't require crypto. I'm just trying to argue both sides. I can't afford to not consider a scenario where my position is wrong.
The altcoins are not for you, they are for the users of crypto digital asset ecosystem, which is why you are having difficulties in trying to understand them
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You already have a good understanding of Bitcoin as hard money - unit of account, medium of exchange, store of value
Bitcoin is a global digital asset
My whole family moved to Asia at the beginning of this year our bitcoins (and altcoins) which are on the blockchain, native to the internet, are accessible from anywhere, there is no need to move or transfer them
After we moved, our funds in the US bank accounts are very costly to access and use here, so used most of the funds and purchased bitcoins and withdrew to local wallet
So now, have additional bitcoins that can be spent easily through conversion to local fiat
But what if I don't want to spend my bitcoins for living expenses?
I can use a crypto (banking) platform, use my bitcoins as collateral and borrow USDT digital crypto $ to spend
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What if I want to speculate on crypto perpetual futures but don''t want to sell my bitcoins?
I can use a crypto (banking) platform, use my bitcoins as collateral and borrow USDT digital crypto $ to use as collateral on the dex (decentralized exchange) crypto perpetual futures platform
Why use a dex?
Because it's an indefinite hold trade-position and do not want to have funds too long on a cex (centralized exchange) in case it gets hacked/shutdown/bankrupt
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What if I want to invest on a new altcoin but don't want to sell my bitcoins?
I can use a crypto (banking) platform, use my bitcoins as collateral and borrow USDT digital crypto $ to buy the new altcoin and add to my crypto digital assets portfolio
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Crypto (banking) platform does not have a payment schedule such as monthly payments. There are no set payments at all, pay whenever and however much, the important thing is not get liquidated by exceeding the LTV ratio
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In summary, altcoins and the crypto projects are useful for crypto assets owners, but of little or no use to non-crypto folks
I do not think you should worry much about altcoins, focus on Bitcoin, you'll do well, imho
Valid concerns.
What initially piked my interest in BTC was adoption for use in near 3rd world communities.What I observed was that whilst many have smart phones,very few have bank accounts or similar.Further,few have I.D's or anything to support a bank type application.
Peer to peer transactions in those sorts of communities could be huge.It also allows them to make purchases from vendors that aren't in their direct circle.
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When I first heard of Bitcoin these were the arguments they were making to use it in first world countries. But it’s now a decade later and there isn’t a mechanism to do peer to peer transactions easily on a phone to pay for a T-shirt at a swap meet. I mean, I would love to set up a shop and accept BTC as payment but it’s not so simple to do. I’m baffled because one of the first videos I saw back then was showing a guy with a booth at a swap meet that was accepting Bitcoin with a QR code on his table. I’ve never seen that in real life. It needs to happen but the ruling powers can’t let it yet. They have to get their cut.
You moving money across borders is the part that will be fought the hardest. Avoiding taxation is a huge threat to the government and it can’t let BTC exist as ANYTHING unless they can figure how to get their cut.
you speak of “crypto banks”, does one exist yet? As soon as crypto is officially recognized as an asset banks could start lending against it. And the no-payment model does exist for some types of lines of credit but it’s at the discretion of the lender.
show me a pure BTC peer to peer payment system and I’ll open a business that will accept it as payment. Show me a crypto bank like you described and I’ll start using it. My argument is that these things might as well be the plot of a sci-fi show right now as we currently can’t use them. If we could, I would be worried about guys in army boots showing up at my door and demanding that I prove I’ve paid my share of taxes.