Quote:
Originally Posted by skelly423
The con comes with the infrastructure surrounding cryptocurrencies. Artists have their work stolen.
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The major downfall I see of cryptocurrencies is that they present themselves as a modern alternative to national fiat currencies without solving the presumed problems of such currencies. The US dollar is a fiat currency so, to a certain extent, its value as a medium of exchange is derived from the fact that it is backed by the full faith and credit of the US government *and* the markets opinion of same. Cryptos are fiat currencies backed by the nothing other than the hopes and prayers of it's holders.
Here is the one year chart of Bitcoin:
crypto.JPG
Maybe my view is colored by the fact that I intend to retire in the next 10 years, but that isn't anything I would consider as a store of value. A speculative investment? Absolutely, but there are plenty of speculative investments that are backed by tangible assets and cash flows like REITs and any number of publicly traded company stocks.