,” Lyn Alden puts it best, “Although it has no industrial use, [bitcoin] is scarce, durable, portable, divisible, verifiable, storable, fungible, salable and recognized across borders, and therefore has the properties of money. Like all ‘potential’ money, though, it needs sustained demand to have value.”
Bootstrapping from $0 to global money is one of the most significant accomplishments of any technology. Bitcoin’s price reflects demand and adoption – nothing more and nothing less. We are living through the monetization of bitcoin, and the ride will be bumpy and anything but linear.,” summarizes it like this: “No one alive has seen the real-time monetization of a good , so there is precious little experience regarding the path this monetization will take.
The United States will probably be the last place to need better money. We’ve had the “exorbitant privilege,” as French President General Charles de Gaulle said in 1965, of being the world’s reserve currency, allowing us to be less impacted by bad money. And I won’t claim in this piece that the U.S. dollar will fail .
However, for most clients of advisors, bitcoin is the asymmetric allocation that, if wrong, doesn’t hurt them – but if correct, it’s a lifeboat to preserve their lifestyle. The proper allocation for that preservation is how you earn your keep as an advisor over the next decade. The ego of too many financial professionals will prevent them from making a bitcoin recommendation until it’s reached full consensus. By then the asymmetry will be gone – although owning bitcoin will never be bad. The only wrong allocation in 2023 is zero.
IDFinancial The value for Bitcoin is being proven everyday all around the world!
IDFinancial So, by that logic, we should all invest in Beanie Babies again? Tamagotchi pets were once the Bitcoin of the playground, but let's not forget about the McRib sandwich hype. ValueGrowingDoesntMeanLongTermValue.