Quick, Get Grandma In
Mortgages to Buy Bitcoin? Why Not?
Will Bitcoin Oust the Euro?
Mike "Mish" Shedlock
Perhaps governments will step in to try to regulate Bitcoin, or other Cryptocurrencies. That is just one more unknown. I'm not sure how that would go. Would it be "the end" of bitcoin, or an event that takes it to the next level?
Isn't all this just another way to create a black market ? This is a giant money laundering operation for somebody. It is highly surprising the US, EU, Japan etc haven't come out with some regulations on it.
Bitcoin, and the blockchain technology behind it, is an interesting invention. It is designed to act as a currency/exchange-medium which allows you to bypass financial intermediaries and governments when making transactions. Recently, it has transformed into a speculative asset, which makes it far too volatile to act well as a currency. Though I have made a lot of money from my original position (7 bagger) I have reduced that position twice now to lock in my profits, but keep a small investment in bitcoin. I am not a big speculator, but occasionally will risk a 1% position in something speculative, like bitcoin. It is entirely possible, in the long run, that bitcoin can become entrenched as the currency of choice for the majority of transactions worldwide. It is also possible that it can be supplanted by other cryptocurrencies, and become a mere footnote in financial history. Anyone who says with "certainty" that they "know" what's going to happen to bitcoin, should invest every penny they have in making a fortune from this amazing "knowledge". Put your money where your mouth is.
As far as I can tell, Bitcoin is useless. Unless you are running a ransomware operation.