Goldman Sachs: Bitcoin can be useful for a troubled economy

According to the report of Goldman Sachs, Bitcoin and other crypto-currencies can be a good alternative to the national currency for countries with an unstable economy.

 Analysts at Goldman Sachs Zack Pandle and Charles Himmelberg said that digital currencies and, in particular, Bitcoin, can become a viable means of payment in countries where traditional money is not sufficiently provided.

Goldman Sachs experts: crypto-currencies can help the troubled economy

In recent years, blockchain technologies have given rise to a new industry. Numerous fintech startups create innovative solutions to radically change the world which we live in today.

SWIFT 2.0 on Blockchain

Ripple Labs, Inc. – a company developing cryptocurrency of the same name (Ripple) – is a good example of how the blockchain can be used to transform the landscape of modern financial transactions. Ripple solves the existing problem in the world of finance.

Today, we can send letters instantly by using emails instead of traditional postal service. We can send any information to anywhere in the world in one click. But we can’t say the same about money. We can’t make a transfer of money from a sender to receiver as fast as a transfer of information. The existing solutions that the current world can offer are very slow and expensive.

If you want to send, say, $10,000 from New York to London, it will be faster to take cash, go to the JFK airport and fly through the Atlantic on the plane. Because traditional interbank transfer will take from 2 to 5 working days.

Ripple makes cross-border payments faster and cheaper. It takes only 4 seconds to make a transaction through Ripple blockchain network, and it costs at roughly $0.0004 even for the amount of hundreds million dollars.

Crypto Derivatives

Step by step, cryptocurrency is being recognized by the traditional financial world as a new kind of digital asset with many benefits. Wall Street approached crypto by establishing derivatives contracts. In December 2017, the two largest U.S. Futures Exchanges – Chicago Board Options Exchange (CBOE) and Chicago Mercantile Exchange (CME) – launched futures trading on Bitcoin. This opened up crypto-market for big money of institutional clients and hedge funds.

Since the launch of futures, there has been a heated debate about the expected Bitcoin ETFs on New York Stock Exchange (NYSE). If this is launched, you will be able to buy shares of such ETFs as stocks which price will be correlated with the price of Bitcoin.

Next level of crypto derivatives is option contracts, both options on Bitcoin futures and options on Bitcoin itself. Whilst CBOE and CME are still discussing the possible launch of options on Bitcoin futures, the Bitcoin options already being traded on several crypto-exchanges such as LedgerX and Deribit.

After the Bubble

The tech sector of U.S. stock market is determined by the NASDAQ indexes that include stocks of numerous tech companies, and many of them were born during the famous Dotcom bubble in 1995-2002.

At its climax in March 2000, NASDAQ Composite index peaked at a high of over 5,000 points and then lost about 80% of its value dropping to a low of around 1,000 points in October 2002.
A new all-time high has been reached only after 15 years in 2015, surpassing the level made during the Dotcom bubble.

The charts of NASDAQ index in 1999-2000 and Bitcoin price in 2017-2018 are incredibly similar, with the only difference that velocity of Bitcoin price increase is several times faster than the velocity of NASDAQ growth.

Many companies created during the Dotcom bubble were really ahead of their time. For example, Amazon, which was founded in 1997 as an online bookstore, is now among world’s top-5 tech companies. Amazon has finally become an integral part of lives of the most U.S. residents but this has happened only with the passage of time and the introduction of the Internet into everyday life.

The same happens with Crypto now. Today, the blockchain technology is really ahead of its time. It is possible that after several years many blockchain projects will be implemented in the real world, and Crypto will emerge from a new Renaissance. Until then, the Bitcoin price can possibly suffer decline and continuous depression, just as NASDAQ did.

The recent sharp drop in the crypto market caused the decrease in volatility and the decline in public interest. The initial excitement is gone now and the market has calmed down. This is a sign that the new market is moving into the maturity phase.

Big money like quiet markets. So, news has begun to come that hedge funds with the money of Soros, Rockefeller, and even Rothschilds family are moving into the world of crypto.

These financial sharks seem confident in the bright future of crypto-markets. And the most interesting time is yet to come.

Read full article here: https://bokka.com/cryptocurrency-news/the-future-of-cryptocurrency/

I came across a very nice experiment of one of my compatriots. He started to put up around $ 50 a month for pension. I will add that pensions in my country are low.

Description of the experiment:

"What is going on?
One of my many areas of interest are cryptocurrencies. There is a good chance that you have heard about bitcoin. A smaller chance that you know litecoin or dogecoin. If you want to know the technical side or economic cryptocurrency - use google. For the needs of my retirement, it is enough to know that cryptocurrencies act as cash in a modern version. They have their value (they are listed on the stock exchanges, they have their course), they can be safely stored, they can be sent immediately to any distance, practically free of charge and - with a little effort - they are anonymous. And they are today at the initial stage of development. Everyone who touches them is still an early employer, and this means that - with a high probability - a long-term investment in cryptocurrencies will be very profitable. I chose 4 cryptocurrencies for my retirement basket and gave them percentages indicating their presence in the basket. When making my choice, I based my own - already several years - experience in the cryptocurrency industry, the capitalization value of a given cryptocurrency (market cap) and the features that distinguish it from other coins on the market. And so I chose:


How much do I put aside? I did not want to set any fixed amount. Because you know - inflation, fluctuations in financial markets, etc. ... So I decided that the value of a monthly investment will depend on the minimum wage in Poland. In 2017, it is an amount of $ 540. And every month I invest 10% of this amount, that is 50 $. "

He has currently invested $ 1,600, and the rate of return since early 2017 is 1,600% = $ 27k.
It's a great idea, right?

Its no longer news that an ICO in Japan has lost over $400 million to hackers. They promised to pay back investors who invested in their ICO. Thsi is a huge loss. After I read that news, I began to wonder. How safe is Bitcoin and Other altcoins? What measures should we take to avoid being hacked ?

The oil price is going up and many people expect it will go above 100 USD per barrel,or even 120 USD per barrel.How this will impact the world economy and the cryptocurrency prices?
I have many own theory about this and I will share it later,but know I'm waiting for other opinions.
Is this good or is it bad for bitcoin?

There are so many scam projects going on. people are now afraid of joining ico.
1.  i think ico should be removed. because the frauds have multiplied and people are now having difficulty in distinguishing the truth.

2. if there is no money to develop the project, please do not try to project it. also from the ico when it comes to the stock market is not 3k 5k. even lower than the price you get. because the investor does not know which one to buy.

3. no one is buying token, my regimen does not want to spend 3 or 5 years. when it gets 10% higher than it bought.

4. there are hundreds of projects in each stock exchange. Someone stop them.

supply is exactly the problem. In order to mind a BTC you pay 2-5k $ in electricity. Why should BTC be worth more then the cost to produce it? Or let me put it this way: why should I pay 20,000$ for 1 BTC when I can mine it for 5,000$? Unless you create artificial high demand it's only worth a bit more then the costs (labor + profit)

Of course yes because almost of them invest at low price. And the worst is the bitcoin holder are panicking to sell their bitcoins because they read a fake news about bitcoin will end this year. But the truth is no one could ever predict what exactly will happen to bitcoin this year.

Before MTGOX nightmare ends i prefer to wait.Every whale looking to mtgox wallets and try to spot dumping time.
Also these dumps are good buying opportunities for them too.

Bitcoin earning can be taxable and you are not going to have much problems outside availability of internet for day to transactions.  I think our governments incurred Alot of cost by investing into the products of fiat money and bitcoin can eliminate such cost. 

It vies from technology to technology. If we talk about ETH and Bitcoin, both of them are secure and I have not heard in a while from anyone about the security issue of the money they have invested in the business. All the technologies should really keep it their first priority to make sure the system is running secure and to assure people that the technology is safe to invest in. Yes the presence of hackers is alarming but that does not affect the Bitcoin technology and few other.

I want to address these emphasized points because some of them get to the heart of crypto as an investment. "Every dollar that is made by someone, someone will lose money." Essentially, this is absolutely correct. As an investment, Bitcoin is inherently worthless. It is an unproductive asset because it doesn't produce income. You buy it and the only way to make money is to sell it to someone else for more than you bought it for. So in this sense, the only dollars you get out of owning Bitcoin come from someone else.

"This market is basically made to make money from new users like a scheme."  Correct, in that it wasn't designed to operate like a ponzi scheme, but it does operate like a ponzi scheme for anyone buying crypto trying to get rich on it. That's because, again, the only way you can make money on Bitcoin is to sell it for more than you bought it for, and the only reason someone else would pay more for it is they also think they are going to be able to sell it to someone else down the line for yet more money. So the earliest people into crypto make the most money, and it requires ever-increasing amounts of people to get into the market for the later people to make money. This isn't intentional by Bitcoin, it's just what naturally happens when mania takes over and large groups of people chase pipe dreams.

"For example can you actually believe that if you would've put 10k usd into bitconnect you would have a monthly return of about 3400 every month by lending?"  Lending in crypto is the same as any other currency, it can be repaid through the extra economic activity it allows without anyone losing money, so your conclusion that people have to lose money through lending is not correct. However Bitconnect was a clear ponzi, and anyone who invested in that got exactly what they deserved. Anyone offering stupid ridiculous returns shouldn't be trusted, except everyone in the Bitcoin community has been so conditioned to expect those eye popping returns that it didn't seem abnormal, and that's a case where the mania over Bitcoin has warped everyone's expectations and left them susceptible to being scammed. I don't feel bad about that because the only thing that's going to restore sanity is people losing loads of money and collectively realizing this Bitcoin bubble is not normal and not sustainable. But it's worth noting the difference between something designed to be a ponzi (Bitconnect) and something that only operates as one because everyone is behaving recklessly (Bitcoin). The dangerous difference is that people who are investing in crypto don't realize the risk they've taken on in doing so, because it operates like a ponzi in that you can only ever make the money you take from later buyers, even though nobody has set up crypto to intentionally be function this way.

If you buy 1 Bitcoin for $5,000 you will get 100% profit when Bitcoin reaches $10,000. Bitcoin starts falling from $9500. Dream run of high profitsis over.

Bitcoin will be the only currency for internet payments replacing credit cards so in next five years we may see bitcoin is single largest currency on bitcoin

Trading will not effect bitcoin prices continue to decline.

OP ask why bitcoin price going down? trading will create a fluctuating price which means the price will rise and fall, this normal condition that we will see per day in market cryptocurrency. But the cause of bitcoin continues to decline is the number of users who sell bitcoin because there is news or negative information coming to the world of cryptocurency, such as the government's ban regulations against bitcoin and so forth.

If bitcoin does not go to POS, the price can be more than a million dollars for 1 bitcoin in 10 years. The price of bitcoin depends on the mining. If the price of bitcoin is lower than the cost price of mining, one can speak of the collapse of the cryptology

as of this writing, btc is at $7,885... perhaps all the news about electricity costs of btc mining and how that affects the environment is influencing sell offs. that and news regarding regulations, and more trash talk aimed at bitcoin is weighing the price down i think

Crypto prices frequently skyrocket so there is a very big chance of BTC reaching that 100k-500k mark.
Now if that's gonna happen in 10, 20 or 30yrs that's debatable.

yes, I agree with you, I do not care if they just want to see my data, maybe they want to improve their service, but if they want to lurk and intend with certain intentions, I might refuse it, because personal data is very important if used for a bad goal would be very detrimental to its users,

If you do not have an idea what you want to create and the type of business that you want to administer then you're not ready to create a business you are not even ready to invest in cryptocurrencies forget about it, you're still very new to this market take your time and learn the most that you can before you make any kind of investment because if you do it before you're ready you are going to lose the money.