Why This Computer Scientist Says All Cryptocurrency Should “Die in a Fire”

Discussion in 'Crypto Assets' started by Frederick Foresight, Aug 18, 2022.

  1. You really ought to read Buffett 101, or any basics on value investing! :banghead:
     
    #101     Aug 20, 2022
  2. deaddog

    deaddog

    I have and don't agree with them. I'm more in the camp of O'Niel, Darvas and Minervini.
    I out perform BRK.
     
    #102     Aug 20, 2022
  3. SunTrader

    SunTrader

    It was only an example to make a point. Nothing more.
     
    #103     Aug 20, 2022
  4. deaddog

    deaddog

    And the point is?
     
    #104     Aug 20, 2022
    virtusa likes this.
  5. He may not have sold at a loss, but he is sitting on a loss at this moment in time. How else would you describe a decline in the value of holdings, irrespective of what the intention may be?
     
    #105     Aug 20, 2022
    virtusa likes this.
  6. SunTrader

    SunTrader

    A trade or investment. No profit or loss till trade is closed.

    Same when in a paper profit. Don't count your chickens till they hatch.

    Why is the concept hard to understand?
     
    #106     Aug 20, 2022
  7. So then you would regard an investment that went down 90% in value as roughly the same as one that went up 10-fold simply because neither one was closed out?
     
    #107     Aug 20, 2022
    virtusa likes this.
  8. SunTrader

    SunTrader

    See post# 103. GN
     
    #108     Aug 20, 2022
  9. deaddog

    deaddog

    It is hard to understand when you step from the individual trade. Your brokerage sends you a statement at the end of each month. The value of your investments change. Your liquid networth is calculated based on the current price of your assets.

    It would be hard to put up a security as collateral for a loan based on the price you paid for it,especially if the value has dropped.

    The only ones who care what you paid for an asset is you and the taxman. If your liquid net worth is dropping each month then you are losing money. Trying to convince yourself otherwise is only fooling youself. Nobody lies to themselves worse than a trader who is underwater.
     
    #109     Aug 20, 2022
    virtusa likes this.
  10. d08

    d08

    Hope you wrote that tongue-in-cheek because that line of thinking is only used by losers and scammers.
    If you have an asset that is 90% down, try to go to a bank and use it as a collateral valued at the purchase price, tell me if they smirk, laugh or ridicule you.
    Everything is mark-to-market.
     
    #110     Aug 21, 2022
    Frederick Foresight and virtusa like this.