GM
Would you suggest investing in Bitcoin to any fren who didn't understand Bitcoin?
I wouldn't.
Do you understand this?
Discussion
Basically, he's saying becuase his company issues stock, that people can invest into, or against Bitcoin (indirectly) through his company.
Realistically speaking this complex web could cause issues for Bitcoin's price if anything goes wrong.
I think I would. They don't really need to understand it to understand that they should figure out a fixed amount they can afford to invest every payday, or every month, and make regular purchases on a regular schedule. They can learn as they go, but the actual mechanics of DCA, and the process of purchasing is easy and straightforward. Tell them, just keep buying, and don't worry about the price.
"They don't really need to understand it?"
So don't verify, trust?
Just like the banks back in 2007/8 or with Enron?
No, I'm saying they don't have to fully understand what bitcoin is and how it works to understand the basics, and the basics of DCA investing. And if they have someone who does understand who's recommending it, and who can answer their questions as they go, then they can move forward with some basic investing at a level they're comfortable with, and then increase their purchases over time, as they learn more about it, and their comfort level increases.
Yes Bitcoin is a learning curve and you can put in $10 before you understand much about it.
But would you go all in on Bitcoin if you only understood the basics.
Risk is not what you think risk is. Risk is an inability to judge naivety.
Those who don't understand Bitcoin, believe Bitcoin is risky.
Those who study Bitcoin know Bitcoin has nearly zero risk.
Nobody but Saylor and perhaps a few board members understand $MSTR because, despite it being a public company, only a small part of it is made public.
In my company Densitron, we always knew what the company was and what it was doing and shareholders never did. They can't, they have never spent even a single day inside the company.
Nobody outside the boardroom of a private or public company understands any company.
So I'll ask again, and I'm trying to make you think rather than just give me a stock answer, beyond $10, or a few hundred, or a few thousand, depending on your wealth and personal risk (naivety) level, would you go all in on something you don't understand?
Then the next question, would you put any money in if you knew you didn't understand.
I believe, if you're answering yes to any question above, then this is risk and this is naivety and this means there is little difference between investing in a public company or $HAWK, or Enron or credit default swaps.
However, if the world worked on that model, there would be no investment industry, nothing would get produced and no human technological evolution would happen.
Therefore risk, naivety, is part of the normal investing world.
Bitcoin is different, for me at least.
On I definitely wouldn't go all in without knowing what I was getting into. But that's the you asked. You asked if I would suggest investing in Bitcoin before they understood it. And my answer remains. Yes, I would recommend it. But I'd also teach them and make myself available to answer their questions similar to what I described in my prior response. I wouldn't tell them to sell all their investments and put it all in Bitcoin within the next 24 hours. I'd give them the basics, and help them make their first purchase. And I'd talk about DCA investing, and show them how to make additional purchases when they're ready. And I'd help them learn all about it for as long as they wanted my help.
That's perfect and I would do the same.
But $MSTR you're never going to know anything beyond the basics because it's a closed system.
Yeah, I would never invest in that, or recommend it to others. I don't really understand how they operate, and I'd never recommend something that I didn't fully understand myself. It's one thing to experiment with your own money, but quite another to recommend it to someone else.
Agreed 💯
Even today after nearly 8 years after getting my first SATS I haven't gone all in,
because I can't.
I need cash money, cards, bank accounts to function and where I am bitcoin is unregulated but the state authoritarian and the banks are gatekeepers.
This. #Bitcoin is indeed different.
Corporations have an objective reality of what they are and how they operate that isn't observable to investors on the outside.
Bitcoin, on the other hand, has no outside, no objective reality separate from its "investors". The people who have invested in the network are the network. The intersubjective understanding of what bitcoin is and should be (consensus) is in fact bitcoin's objective reality.
The understanding of bitcoin is the understanding of bitcoin's consensus en large.
Bitcoin, consensus, and "understanding bitcoin" are so closely related that they can essentially be considered one and the same thing.
You cannot really invest in bitcoin if you do not understand it. That's why HODLing and self-custody are the litmus test of being a Bitcoiner.
💯
GM 🍵
I think I understand it enough to know it's effectively an infomercial. I'm certainly not going to suggest investing in anything solely based on that.
I don't knock Saylor for shilling his product; but, the lack of any critical push-back at all from any of the multitude of venues that eagerly host his sales-pitch is pretty astounding. A simple, "so what would happen to shareholders if an extended 50% downturn in Bitcoin forced you to also liquidate a significant amount of the Bitcoin you had accumulated for them in order to satisfy paying back the bond holders?" would be a good start. "what if it's an 80% downturn?" would be an even better follow-up. I know what would happen with BTC: 1 BTC would still equal 1 BTC.
Agreed
Only at $20 and I might give it to them... But yeah... No...
When I first got excited about bitcoin, I think I gave complete stranger a 1/4 of a bitcoin... Where is the kicking myself emoji?!?
