GroovyGuru

Is investing in Crypto just a get rich quick scheme?

221 posts in this topic

I know this is a strange place to ask a question about investing but I trust this community and most people in the crypto realm are sketchy as hell. 

I’ve been starting to get into investing and personal finance the last couple months and reading some books, watching some videos etc about various investments and things of that sort. I set up a Roth, put $3000 into a Vanguard index fund, and mostly focusing on paying off school debt. 
 

Now that crypto is blowing up again I feel like I need to get educated on it so I don’t miss a big opportunity. But trying to research this stuff is so overwhelming, there’s a billion different people saying a billion different things and it seems nobody knows what the hell is actually going to happen with it. I obviously admit that I’m uneducated on it, but I just don’t understand how crypto is even an “investment”. Isn’t it just a medium of exchange? Why is it valued at what its at exactly? I don’t understand what’s driving it’s value besides people simply thinking it’s valuable for whatever reason and buying more and more of it. It seems empty. 
 

Should I commit some time to trying to understand it more? Where’s the best place to learn? I already learned my lesson when in 2017 I broke the #1 rule of investing (buy low, sell high.) I literally bought crypto at its peak, held for 3 years and eventually sold for a slight loss. I don’t want to make the same mistake. 
 

 

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Well, BTC did hit 40k USD even with all this covid thing going on, if anyone would of invested in it, they've would of made money. BTC has been around for quite a while now, and we see more and more institutions pouring millions in it, we see shops starting to offer crypto payments, we start to see crypto ATM's, hell, even paypal now offers BTC & ETH payments, so does pornhub, others will follow.  Of course the avarege Joe resists change, and governments don't like it because it's not transparent enoug, but it's obviously comming, and IMO it's already here and here to stay.

Edited by meow_meow

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@GroovyGuru

Most people invested in crypto are engaging in glorified gambling. They have very little to no interest in the social impact of their investing, they are just trying to beat the market.

That said, I see crypto as having the potential to disrupt the current economic system. Anything that messes with the money supply is a big deal.


Loving a new world into being.

Energy healing, music making, tree hugging, sacred being.

YouTube channel: https://youtu.be/k_gzVJIeTlI

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I am studying it, I think its an interesting thing!


It's just turtles all the way down.

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@StarStruck Trust me, I know. But there’s also the inevitable fear of missing out. I’m not going to act on that fear, but I also have no clue whatsoever how low it’s going to drop so I can dip my toes in it. It seems so risky

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this video relates to what you're talking about. basically don't buy into fomo but be strategic in your investing. bulk of your money making needs to be in a more reliable manner. and there are many other investments like this that spike like this but bitcoin just gets particular hype. there are a few other points I didn't mention

Edited by Jacob Morres

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You would want to consider the cost of production to the market value. It costs about $12,000 to mine one BTC right now. In 4 years that doubles over and over. People are paying a premium versus the mining prices because of supply shortage. I would consider some at $12,000 or less personally. 

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Just Dollar Cost Average into BTC & ETH if you have FOMO. Big correction today, so could potentially be the time to set it up. 

If you want to go into Alt coins, then do more research into each project & if you believe it has a future & actually has value then DCA into those as well. 

There's literally 100s if not 1000s of Crypto YouTubers, listen to ones who aren't just trying to sell you stuff, people that have skin in the game too. 

I've seen crazy predictions of 500k Bitcoin long-term (this is based on BTC market cap matching Gold & becoming Digital store of value, doesn't factor in if it actually becomes a means of currency) & Eth of like 50k+ - Here's some up to date videos after today's correction- 

If that ever happens these prices will look like huge bargains, but whether it will is something nobody 100% knows, research & then if you decide it's for you just DCA in every week at whatever you can afford in BTC & ETH mainly and then any Alt coins you believe in. 

As always, do your own research before investing in anything!!


'One is always in the absolute state, knowingly or unknowingly for that is all there is.' Francis Lucille. 

'Peace and Happiness are inherent in Consciousness.' Rupert Spira 

“Your own Self-Realization is the greatest service you can render the world.” Ramana Maharshi

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Of course it is, because you're not adding any value to society by doing this. You are looking to steal value. And so don't get surprised if you end up punished.

Focus on giving massive value to society. Not being a value vampire.


You are God. You are Love. You are Infinity. You are Leo.

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You are looking to steal value.

@Leo Gura

I don't see a problem with that. Can be very lucrative.

 

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8 minutes ago, Yali said:

@Leo Gura

I don't see a problem with that. Can be very lucrative.

And a rapist sees no problem with rape.


You are God. You are Love. You are Infinity. You are Leo.

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9 minutes ago, Leo Gura said:

And a rapist sees no problem with rape.

@Leo Gura

The point is not to get punished.

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well i wouldnt exactly call it "quick" or "rich". unless you become a hardcore savvy trader or are putting in loads of money, it's more like a gradual-but-not-guarenteed-increase-of-your-investment-over-several-years-scheme.

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19 hours ago, GroovyGuru said:

I don’t understand what’s driving it’s value besides people simply thinking it’s valuable for whatever reason and buying more and more of it. It seems empty. 

 

BItcoin's value is simple. It's limited in supply unlike dollar which has infinite supply. It's like digital gold. The reason why it's rising so much is because everyone is printing money.

 

And Bitcoin's is also unconfiscatable. No one can steal it away from you.

Edited by vinc3nc

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@vinc3nc Except all the hackers who can break into your wallet and steal it away from you

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@Leo Gura What about taking the earnings from something like this to help create the massive value?

I see why you are not pro on a lot of this stuff. I can see it being a big trap. 

Do you just plainly hold cash and not invest? 

I have found some joy in researching and sharing some information on this stuff. I seem to actually be better at making money with investing, than I am with business. It's crossed my mind to do it on a higher level, but it isn't my life purpose. I just see it as a way to reach that level of getting me to that independence to be able to create something great to share with the world. 

 

 

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@Average Investor I would say if you enjoy it & aren't causing anyone harm why stop it? 

From a financial standpoint holding excess cash is losing money & only benefitting the banks, investing in projects you believe in to me is providing value as you are helping provide these companies / projects resources to fulfil their mission. 

In fact, in a recent UK based finance book I read, the author made a great point that if the majority of people were financially literate, the world would be in a much better way, as companies would have far more investors & be able to raise far more capital. So really important industries like BioTech would be able to grow rapidly etc. 

Same with Crypto, and Crypto could literally change an entire industry IF successful, I expected this Forum to be a lot more Bullish on it

@GroovyGuru  It's not a get rich quick scheme, unless you're Day Trading, you're likely going to be investing in whatever coins you choose, treat it similar to how you're going to treat your Index Funds & other investments. 

Even then, Day Trading is certainly not a Get Rich Quick scheme either, takes great skill & resilience which is why most Day Traders fail.

9 hours ago, Leo Gura said:

Of course it is, because you're not adding any value to society by doing this. You are looking to steal value. And so don't get surprised if you end up punished.

Focus on giving massive value to society. Not being a value vampire.

 

How is Investing stealing value? The alternative to investing in general is holding cash, which is quite literally allowing inflation to steal value from you & simply benefits the banks.

8 hours ago, vinc3nc said:

 

BItcoin's value is simple. It's limited in supply unlike dollar which has infinite supply. It's like digital gold. The reason why it's rising so much is because everyone is printing money.

 

And Bitcoin's is also unconfiscatable. No one can steal it away from you.

 

Yes, and because it's market cap Right now is tiny compared to Gold, so if it is to truly become digital gold, this is only the beginning. That's not to mention if it ever gets adopted as a form of currency. 


'One is always in the absolute state, knowingly or unknowingly for that is all there is.' Francis Lucille. 

'Peace and Happiness are inherent in Consciousness.' Rupert Spira 

“Your own Self-Realization is the greatest service you can render the world.” Ramana Maharshi

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Videos explaining the value of Crypto / Bitcoin - Investing in general is certainly not being a 'Value Vampire' & here's a short explanation of Bitcoin's value- 

Blockchain + Digital Currency + Money+ Community = Revolutionary Potential. 

 

Edited by LfcCharlie4

'One is always in the absolute state, knowingly or unknowingly for that is all there is.' Francis Lucille. 

'Peace and Happiness are inherent in Consciousness.' Rupert Spira 

“Your own Self-Realization is the greatest service you can render the world.” Ramana Maharshi

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I recommend this Podcast which goes over the fundamentals of Bitcoin. 

 


'One is always in the absolute state, knowingly or unknowingly for that is all there is.' Francis Lucille. 

'Peace and Happiness are inherent in Consciousness.' Rupert Spira 

“Your own Self-Realization is the greatest service you can render the world.” Ramana Maharshi

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