Another step up the ladder we go. I’ve now had multiple people ask me about whether or not they should cash out their retirement and put it all into Bitcoin. This is usually a sign of a top but it’s definitely a sign that people who watch Bitcoin are starting to get fomo. With so much good news in the pipeline things may stay exciting for a while.
You know alot of stupid people.
Do you ask them why they didn't already do that?
Here are some real merits
And here are some thoughts on Giants and "Number Go Up"
One characteristic of Giants is that sometimes they buy certain classes of assets at what seem to be very high prices. All kinds of interesting stuff. Below is one case, who buys this stuff? $91,000,000??
https://www.theguardian.com/artanddesign/2019/feb/04/wow-91m-jeff-koons-blow-up-dogs-record-prices-paris-oxfordGiants, defined in a certain way, have so much money (as well as more money coming in), that the LAST thing they need are more businesses, generating more CA$H. It's almost a problem. So what do some of them do? They buy a Store of Value that they like and have confidence in. The Koons Balloon Dog was bought by a Giant. I presume he liked it, wanted it. It's not generating income. But as a Store of Value, it just could be that the owner could sell that Dog if he wanted..., to whom? Another Giant.
Once a Giant has, say, 5 castles in Europe, do they want more? Look, the Rothschilds have been GIVING away castles & palaces in recent years. The Marginal Utility of another palace is NEGATIVE for them now. Another example would be high-end car collectors, at some point it becomes more of a pain-in-the-butt collecting evermore Mercedes, Lambos.. There are several assets (perhaps better said: asset classes) that work a little better than others for Giants. One clue: for some (most?) of these assets, as the price goes up, they are harder to find/buy. Hmm.
Bitcoin behaves a little differently from typical assets owned by the Giants.
I'm still trying to figure this one out (where BTC falls on the spectrum of desired assets of Giants). It does look like the Marginal Utility of owning more BTC declines slowly though, VERY typical of assets wanted by the Giants. Let's see if this scarcity notion of most Giants' Assets holds in the case of BTC. Perhaps rather than becoming physically more scarce, the BTC price increases might just be more dramatic than usual if/when the BIG $$$ start to flow in. "Number Go Up even more Bigly." But, like I wrote, Bitcoin may not follow the other assets I try to track. It's a New Asset, really a new asset class. And it is risky IMO, as .gov seems to hate it.
"Following in the footsteps of Giants" may require some out-of-the-box thinking. But, almost everyone who buys Bitcoin is
at least part way there. We recognize value (and at least the idea, even if unspoken, of Marginal Utility). Following in their footsteps, fortunately, usually does not require HUGE INVESTMENTS, perhaps being alert and having creative thinking.
I am extremely interested (and have been for years) in following BTC's price movements and acceptance in the years to come. We will just have to see.
"We watch together, no?"
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