Saturday, 6 July 2019

_*Money, Life & Cryptos*_

Bamboos - some of the fastest-growing plants in the world, due to a unique rhizome-dependent system.

Certain species of bamboo can grow *91 cm (36 in) within a 24-hour period*, at a rate of almost 4 cm (1.6 in) an hour (a growth around 1 mm every 90 seconds, or 1 inch every 40 minutes).

But they probably don't break the soil and are not visible until the 1st, 4 or 5 years have passed 🙂.

A nice story which represented the concept of *compounding*.

But, i also think that this story represents the latest trend / fad / genius investing into the concept of *cryptocurrencies*. _Lying underneath for over the last 6 or 7 years & then growing up to become the tall bamboos_  🤔

Btw, *they are not currencies*.

They are, *bits of code* like *bits of notes & coins*

Risk?....oh, no risk....everything is transparent. Everyone knows what is there in the system.  Great👍🏼

So, are these absent from

Liquidity Risk? (How fast can an investor sell it)

Hacking Risk? (Security systems & privacy)

Network Risk? (Collapse of the network, Yes...it happens quite often)

Counter Party Risk? (Yes, a full exchange collapsed, some time ago - Mt.Gox)

Price Imbalance Risk? (Everyone in the world holds the same thing)

Acceptance Risk? (2 companies in the fortune 500 accept it...it was 5, a year ago. Yes, in some countries its legal & others illegal ).

Security of the wallet? (Personal wallets getting stolen & coins missing from them)

Illegal & terror funding risks? (Less said, the better)

Holding, Concentration Risk? - *Less than 4% hold over 95% of it*

Demand & Supply Risk? (Of the X number of bitcoin supply, close to a Y amount is already mined. If they need to increase the supply....apparently, the protocol has to get changed).... more supply; price ??? 🙂

And finally....what would happen if there is a single cyrpto like this 🤔

No price discrepancies
No wage growth
No Inflation
No currencies to hold
No investments to be made
No need to manufacture anything
No need to service anything

*the concept of money has changed* 😀

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