This is a risky product and there is real chance of losing all the money "invested".
Blah blah blah, don't blame me if you lose money.
I'll get straight to the point.
I've been kinda lazy these days so I don't want to write too long of a post.
I don't like crypto. My views are similar to Warren Buffet and Charlie Munger.
https://www.cnbc.com/2021/05/01/charlie-munger-calls-bitcoin-disgusting-and-contrary-to-the-interests-of-civilization.html
'Of course, I hate the bitcoin success and I don't welcome a currency that's useful to kidnappers and extortionists, and so forth. Nor do I like just shoveling out a few extra billions and billions of dollars to somebody who just invented a new financial product out of thin air
- Charlie Munger
So I'll not talk about why I don't like it any further.
HOWEVER, despite me not liking it, I do believe everyone should "invest" in it.
Note the parenthesis.
Anyway.
Simply put.
I think it would make logical sense to put 0.5% - 1% of ones' current assets into crypto.
You may or may not want to increase the absolute amount as your other assets outgrows the initial "investment".
I'm not saying Bitcoin. I'm saying crypto, so ... pick your poison.
The thing is... well... in 5-10-30 years... IF... and that's a big IF... the prices jump by 100x or 1000x.
Then this small allocation could result in a life changing jackpot.
IF it drops to zero. Then there's no real big loss.
There is greater risk to NOT be "invested".
IF crypto becomes widely accepted in whatever function, this could bring forth an entire new industry.
Note, that people in the industry are also fumbling around trying to find some direction on how this will turn out and how to develop this technology and product.
So no one really knows how this will turn out or end.
So yes... I have decided to put a small amount into crypto, into what I believe to be the next generation of cryptocurrencies.
This small amount will be written off completely, and not be considered as part of my overall portfolio.
I will probably not be adding anymore to this lottery ticket.
As I am betting into the future of this industry, so until the industry stabilizes, I will not be expecting to be selling these anytime soon.
Also, will need to take note of counterparty risk.
The crypto wallets are managed by the exchanges, and there have been cases where the owner just disappears with the crypto wallet and no one is able to trace him.
This is not like some bank where there is recourse. There is NO way to recover the wallet.
As this is expected to be a bet into the super long future, I am planning to transfer all the crypto onto my own wallet as that would be safer in the long run.
The risk for managing my own wallet is if I lose the "username" and "password".
Cos once again, there is no recourse. If I lose the way to access my own wallet, then there will be no way to retrieve my cryptocurrencies.
Nope, I don't have any exchanges to recommend.
Nope, I also don't have any next generation cryptos to recommend.
I don't even like doing this "investment". It does not make me feel good.
I'm just putting this idea out there.
Hope for the best, expect the worst.
*Disclaimer, blah blah blah, this is my own opinion, past performance is not indicative of future performance, do your own research, just cos I buy doesn't mean everyone should go out and buy.
This is a risky product and there is real chance of losing all the money "invested".
Blah blah blah, don't blame me if you lose money.
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