Respect Bitcoin and Digital Assets!

| 2017-11-24
Like many people today, I’m kicking myself because of Bitcoin. Specifically, I’m kicking myself for not throwing $100 into Bitcoin in 2010 when it was priced at $0.003 per coin. $100/$0.003 per coin equals 33,333 Bitcoins. That’s the beauty (or torture) of hindsight; it’s typically crystal clear. An opportunity passed up. Extremely deep regret. 33,333 Bitcoins! At today’s prices, that equates to around $273,330,600.

Looking back, I should have at least had the common sense to look into all the hype. A new financial instrument seen on major television shows and discussed in major publications, and I completely ignored it. Smart move.

As of this writing, the market capitalization of Bitcoin is approximately $134 billion. The current total value of all Bitcoins in circulation is over $134 billion! For comparison, at $17/oz the market capitalization of the world’s silver is $17 billion. Bitcoin is presently almost eight times the size of the silver market!

When all cryptocurrencies are considered, the total market capitalization hovers around $259 billion.

IMF Says Get Serious About Digital Currency

In a recent article from CNBC, International Monetary Fund (IMF) Managing Director Christine Lagarde stated, “I think we are about to see massive disruptions,” concerning developments in financial technologies.

The article (here) goes on to say that the IMF at some point could develop its own cryptocurrency. In fact, global financial institutions could be taking risks by not watching and understanding emerging financial tech products that are already starting to shake up the financial services and global payments system.

Going Forward

If you pay attention to the mainstream financial news, then most likely you have heard talk about Bitcoin possibly nearing a bubble. Honestly speaking, the question of Bitcoin being in a bubble has been posed since prices were significantly less than current valuations. In 2017 alone, Bitcoin is up over 1000% for the year. Each investor must perform his or her own due diligence and decide if Bitcoin is too expensive or just beginning a historic run.

However, when comparing market caps, at $1,275/oz the market capitalization for gold is $7.7 trillion – about 57 times the size of Bitcoin.

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