— SteemCN

Exactly right (although, I might be a bit more generous than 2 sentences).

Anyway, the mumbo-jumbo comment is dead on. As I read through many of the blogs here on Steemit (and elsewhere), concerning cryptocurrencies, I am often stuck by the magnitude of delusion expressed by so many cryptoenthusiasts. (I say this as a guy who used to run a currency hedge fund.)

The overwhelming majority of the approximately 2,000 cryptocurrencies in existence are worth precisely nothing. Zero. Not a single centime. Brochures are baloney ... I know, I make them.

If a thing is not useful ... it's useless. If a crypto doesn't have a reason to exist, it won't. There will be a great reckoning sooner than later. To be honest, I can't imagine why it hasn't happened already. Some of these cryptos clearly have no purpose. One would think that that would result in some pretty obvious conclusions.

Besides obvious usefulness, watch a crypto's periphery. The service providers (financial more than technological) will make or break a crypto. The derivatives market (futures and, especially, options). Fortune 500's and institutional investors can't use cryptos in any meaningful way until they have the ability to hedge. Hedging requires Market Makers.

RE: Ultimate Cryptocurrency Guide - Know What You Are Buying! - Pay Coins Ripple On The Pond - Part 1

You are viewing a single comment's thread from: