How could it affect prices?
Daniel Jeffries I am an author, futurist, systems architect, public speaker and pro blogger. September 26th Tweet This. Last year we saw a frenzied market soar to insane new heights before crashing off a cliff. Regulators are cracking down. Only accredited investors , aka already rich people, can invest and make more money from their money.
Instead of allowing people to decide what to do with their own cash, regulators think the bus driver, the teacher, and the dock worker are too stupid to invest, so we better protect them from themselves. Last year anyone could throw a dart and make money trading. The primary use case for crypto is still speculating or printing money out of thin air to fund new projects before a single line of code is written or a single customer signs up.
And the vast majority of my money still comes through direct deposit, not smart contract. A bubble is a bubble and nothing can change basic physics.
What goes up must come down. And nothing is ever all good or all bad. The dream of a brand new world where smart contracts create objectively fair systems is a pipe dream and it always will be because people still need to write those smart contracts and those people will always be flawed. Death, taxes and people doing the absolute dumbest and worst things in the name of truth and light. But does that mean we should stop trying?
AI failed to achieve any of its goals for fifty years and then suddenly it was powering everything from driving directions, to search engines, all while understanding your voice, and driving cars around busy city streets.
Just like AI, crypto will reach a tipping point where the hype recedes and it starts to do real things that matter. Critical thinking is our best friend in life. In my article, The Five Keys to Crypto Evolution , I talked about the major problems the crypto faithful need to solve for the technology to really take off.
And every single one of those observations still stand although Radix , the Lightning Network, and a few other projects are making strides on scalability. For this radical new technology to have any chance of changing the world we have to build a better mousetrap, not just deliver the equivalent of betamax and hope people will give up their DVRs. Take killer apps, for instance. Try walking your mother through signing up for an exchange, getting KYCed, setting up two factor authentication, transferring money from her bank account, buying crypto, and downloading it to a wallet.
Now imagine you have to do all that just to run some crappy app on your phone. Your phone does advertising better than any advertising system of the past. It listens to your every word and uses AI to figure out what ads to show you, like that backpack or jacket you just talked about with your best buddy.
That blows away billboards on the side of the road or flat text ads in the newspaper. Advertisers of the past never knew how many people bought a Coke after driving by that billboard twenty times but they know exactly how many ads you clicked on Facebook.
We can solve half the problems in crypto right now by simply stealing what worked from the past and making it work for the future. Those are real innovations despite all the scams and crappy projects out there. Even worse, many investors lost their shirts as projects went belly up and their founders disappearing to foreign beaches with all the cash. Certain types of coins are impossible to fund with an ICO. Most utility coins will never rise in value.
Because utility coins will disappear into the background of applications and trade machine to machine. Think of them as programmable money for bots. Create a company and follow the rules that actually worked. Give people the investor protections they crave, and voting rights, and a share of profits.
Then use that company to issue the kind of coin you really need to power your application. Newer projects are already following the model. But you can sell the company that owns that stablecoin to investors and then build the stablecoin the way you always imagined it. As soon as the crypto community realizes that not everything from the old financial system is evil, they can start to pull the good from the old system and leave the bad on the chopping block.
There are lots of other ways to iterate on the past, instead of just forgetting it even existed. No organization in human history has changed the very nature of reality more than the corporation. The rise of the modern corporation is the place to start. Before joint stock companies, the stock market, limited liability and all the traits of modern business we take for granted, it was nearly impossible to change the world.
As Yuval Harari pointed out in the amazing book, Sapiens , people believed in the past and not the future. Life stayed pretty much the same, year after year, decade after decade, century after century. The kings and queens had the power and the money and they passed it down to their children.
If you were a peasant, you stayed a peasant, and your children stayed poor, and their children stayed poor. Your chances of making that happen were close to zero. There were almost no banks, certainly no investment houses and no way to get a loan at reasonable rates. If you were lucky, maybe someone in your family knew someone, who knew someone, and you could go to the local lord and get a loan with an interest rate that would make the modern mob envious.
Nobody wanted to take a risk on the future. A hundred years ago people still fought war with horses. A hundred years before that they fought wars with horses too, and a hundred years before that.
But by World War I, we had prototype tanks. By World War II, we had tanks and airplanes, both of which utterly obliterated any and all strategies of old.
Horses were obsolete within a few decades after dominating the world for centuries. Tank beats horse every time. Twenty years ago, few people used a computer or the Internet. Today, can you imagine doing anything without it? We have every reason to believe that tomorrow will be different than today.
But in the past, nobody had any reason to believe that because life stayed the same. Your father was a farmer, and his father before him, and his father before him. Better to put your money in a safe and protect it at all costs.
For the first time they allowed us to share risk. Investors could pool their money together and if things went wrong they had limited liability. Your risk was your capital. Early corporations like the Dutch and British East Indies companies pioneered long distance trade, brought spices and goods from near and far, and revolutionized how we financed big and ambitious ideas in ways the kings and queens of old could only dream about in their wildest fantasies. They managed to colonize India with a private army that was double the size of the British army, all while torturing and exploiting local farmers, fixing prices and locking out competitors.
Try to imagine even the most powerful private military corporation of today deciding to take over a country the size of India.
Like everything in life, the companies of the distant past existed in duality, both good and evil. They had good ideas and bad ones. Later companies took the good and left most of bad on the chopping block. A newer and better generation of companies built the railroads, created many aspects of modern democracy, and changed the way people bought and sold everything from food to household goods. Sears Roebuck sprang to power in selling watches. Their goods flowed along the revolutionary new railroads to small towns and villages all across the United States.
Before that people were limited to whatever their local artisan made, but now they could open the Sears catalogue and order a finely made watch from a master craftsman thousands of miles away. Sears also pioneered logistics and supply change management and armies of managers and employees. But Sears changed all that. Each part of the company became a network unto itself. It employed thousands of people to manage shipping, returns, support, brokers, dealers, people, vendors and factories.
Decentralize everything is the call to arms! Replace corporations with DAOs! Get rid of hierarchies, managers, logistics and bosses. We imagine that a simple smart contract that fires out a couple Ethereum based on a trigger is enough to replace generations of advancement and innovation created by companies. Walmart employs more people than most medium size countries. As soon as you look back at the history of the company you realize just how far the crypto community has to go.
Their view is black and white. Either crypto will completely fail or completely succeed. There is no middle ground. Life moves in stages. Your DNA incorporates the entire history of the all the iterations that came before you, all while trying something new. In the meantime, start looking to the past. Look to change things step by step, inch by inch. You read it and hear first before anyone else!
The private Turtle Beach channel, where coders share various versions of the Crypto Turtle Trader strategy and other signals and trading software. Behind the scenes look at how I and other pros interpret the market.
Don’t try to catch the exact bottom.
It is no secret that has been a terrible year for cryptocurrencies when it comes to their value. However, it was not to last, and soon enough, the market crashed, and prices went down. What followed was months and months of a heavily bearish market that kept pushing the prices further and further down. It prevented any attempt of recovery, although several of them gave it their best shot. Despite a situation like this, crypto investors never forgot the potential of Bitcoin, and many have been predicting another bull run that would have the same results. Those expectations were quite large, and potentially even unrealistic at first. The community started to wonder why that is, and what would it take for another bull run to emerge, which is what we will try to answer right now. The crypto space remains highly unregulated in most parts of the world, which is one of the largest reasons why BTC remains dormant. While there are attempts to regulate it, these attempts are made even more difficult due to the fact that the market is constantly changing and evolving. This is a good thing since it shows that there is activity, the market is advancing.
Is Bex500 an alternative to BitMEX?
Some Cool Facts What will make bitcoin rise again Bitcoin:. This means we may see Bitcoin crashing. Daniel Jeffries February 2. He has likened the leading digital currency to "worthless artificial gold. Yuri Molchan. In October, after weeks of stagnation, the bitcoin price suddenly dropped only bounce higher again a couple of days laterleaving many bitcoin and crypto analysts scratching their heads over the exact cause of the extreme market volatility. To come out on top in a market driven by emotion, you have to remove emotion from your trading. Not quite as much as John McAfee does, but still a lot. There are other experts who offer a different opinion. It is also clear, though, that you can lose a lot of money. Trending Now. Is NEO the One?