Comment on Selling BTC or not..?
XeroxCool@lemmy.world 2 days ago
As a rarity on Lemmy, I’m neutral on bitcoin as an investment. Yes, it’s very voltaile, but it does continue to have a record of going up over any 3 year period. So does the traditional stock market. The argument against bitcoin is that it could collapse at any moment and is only propped up by those who keep buying into the pyramid scheme. OK, and? Same can be said about traditional stock markets. The prices are entirely fictional there, too. We have supposed outlier cases like Tesla being massively overvalued, leading to crashes. The same could be said about any other company because the metrics are subjective, feigned as objective because someone made some predictive mathematical formulas. Neither one is actually run by the small-time inveators/buyers like you and me, it’s all operated by massive investment companies. They have an interest in winning and we hope we can hold onto our shares through economic downturns in order to ride the total bullshit profit trains they fuel after each crash.
Back to the question at hand, like any investment, once you sell, don’t look back at what you could have had. You sell the item in exchange for money, then that money buys you something of comparable value at the time of the transaction. It’s hard to do, but that’s the only clean way too look at it.
So from an isolated viewpoint, there’s nothing wrong with selling now at its latest high and turning it into something tangible. But as others have said, make sure the current $1500 value would not be that important to you otherwise. You could ask yourself what you would decide if you simply had $1500 extra in the bank. Would it still be justified? Would you still be comfortable? Would you still be able to handle a reasonable financial setback? I don’t know your life, location, or situation (and don’t want to know) so that’s your decision.
Sludgeyy@lemmy.world 1 day ago
Not true at all.
Microsoft has 7.4B stocks outstanding.
Microsoft has a valve as a company.
Owning 1 stock gets you 1/7.4Bth of the physical company.
If Microsoft goes bankrupt or dissolves you could get some value out of your share.
There are 19.9M BTCs
BTCs have no intrinsic value
Owning 1 BTC gets you 1 BTC
If BTC goes under you get nothing
The stock market does have artificially inflated/deflated prices but they are roughly based on a company’s value. The stock is backed by the company.
untakenusername@sh.itjust.works 1 day ago
I agree with some of what you’ve said but not all
Bitcoin has intrinsic value because its simply more practical for society to collectively hallucinate that it’s valuable, because it allows for more trade. And at the same time, its deflationary, causing that collectively hallucinated value to increase over time. The only case in which Bitcoin could ever fall to zero would be in a 51% attack if the attacker chose to double spend a ton of coins, hyperinflation the currency - but that would never happen, because it would be super expensive, and because its not in the attackers economic interest, so it makes sense to rule out that scenario. This is arguably less likely than nuclear war.
untakenusername@sh.itjust.works 1 day ago
I agree with some of what you’ve said but not all
Bitcoin has intrinsic value because its simply more practical for society to collectively hallucinate that it’s valuable, because it allows for more trade. And at the same time, its deflationary, causing that collectively hallucinated value to increase over time. The only case in which Bitcoin could ever fall to zero would be in a 51% attack if the attacker chose to double spend a ton of coins, hyperinflation the currency - but that would never happen, because it would be super expensive, and because its not in the attackers economic interest, so it makes sense to rule out that scenario. This is arguably less likely than nuclear war.
untakenusername@sh.itjust.works 1 day ago
I agree with some of what you’ve said but not all
bitcoin has intrinsic value because its simply more practice for society to collectively hallucinate that its valuable, because it allows for more trade. and at the same time, its deflationary, causing that collectively hallucinated value to increase over time. The only case in which Bitcoin could ever fall to zero would be in a 51% attack if the attacker chose to double spend a ton of coins, hyperinflation the currency - but that would never happen, because it would be super expensive, and because its not in the attackers economic interest, so it makes sense to rule out that scenario. its arguably less likely then nuclear war
gazter@aussie.zone 1 day ago
There is no physical company. I can’t eat Microsoft any more than I can eat a Bitcoin, as much as I might want to.
Sludgeyy@lemmy.world 1 day ago
A corporation is an entity
It has assets and profit tied to it. The “share” is a share of that.
Is a share worth it is debatable. But the share is a physical piece of the corporation
gazter@aussie.zone 1 day ago
The way I understand it, a physical asset is something you can see and touch, like a house or a hammer. There’s things that a share gives me that BTC does not, but ultimately they are more similar to each other than to something like a physical chunk of gold or a silo full of grain.