Bitcoin is more than just gold - it’s the most sound form of money in the world, and will eventually be treated as such. It’s not really meant to make you more money, it’s meant to be a store of value.
Altcoins - like you said - are like stocks or securities. It’s a bet. Altcoins are absolutely not going to operate as legitimate currencies, but some might have other uses. And they’re “investments”, whereas bitcoin isn’t technically an investment, it’s savings.
Altcoins is a fun game to play - a lot play it before they decide to go “bitcoin only”.
Here are the risks to consider:
Altcoins are not regulated yet, but they’re on their way. Fortunately the SEC seems to recognize a fundamental difference between bitcoin and others, but the point is you have to think about what’s going to happen when altcoins start getting regulated.
A lot will drop in value, and most will go to zero. Their functionality is build on the lack of regulation. Companies that depend on holding funds will need to get a license to do so and without it could go bankrupt.
And, most importantly… the admin key is a problem. A lot of these shitcoins have functionality built in so that the admin of the blockchain could change whatever they want.
So… it’s a bet. At least you’re trying to make an educated bet, and more power to you. I love getting free crypto so I can turn it straight into bitcoin. Holding sounds insanely risky.
This is how I think about it:
Bitcoin is more than just gold - it’s the most sound form of money in the world, and will eventually be treated as such. It’s not really meant to make you more money, it’s meant to be a store of value.
Altcoins - like you said - are like stocks or securities. It’s a bet. Altcoins are absolutely not going to operate as legitimate currencies, but some might have other uses. And they’re “investments”, whereas bitcoin isn’t technically an investment, it’s savings.
Altcoins is a fun game to play - a lot play it before they decide to go “bitcoin only”.
Here are the risks to consider:
Altcoins are not regulated yet, but they’re on their way. Fortunately the SEC seems to recognize a fundamental difference between bitcoin and others, but the point is you have to think about what’s going to happen when altcoins start getting regulated.
A lot will drop in value, and most will go to zero. Their functionality is build on the lack of regulation. Companies that depend on holding funds will need to get a license to do so and without it could go bankrupt.
And, most importantly… the admin key is a problem. A lot of these shitcoins have functionality built in so that the admin of the blockchain could change whatever they want.
So… it’s a bet. At least you’re trying to make an educated bet, and more power to you. I love getting free crypto so I can turn it straight into bitcoin. Holding sounds insanely risky.