include("cmp.php");

Woof, Put Your Money Into Those ‘Doggone’ Coins

As Warren Buffett often says ‘when taxi divers start telling him how much they are making in a particular asset like the stock market or real estate he knows it is time to sell and get out of that asset.’

I don’t know where Bitcoin is headed, it could very well fall to zero, but I’m not going to write an article and pretend like I know what’s going on. If Covid have taught us anything, then it is the power of exponential growth of crypto-currencies like Bitcoin. However, even the seemingly bottomless well of human stupidity will eventually not be able to keep up with the power of exponentiality.

So each Bitcoin is supposed to have an intrinsic value because of its mathematical rarity. But the number of crypto-currencies is also proliferating rapidly, with no restrictions. Soon we will be awash in these “currencies”. Whenever Supply outpaces Demand, prices collapse. You don’t need to understand cryptography, just Economics 101.

We may be witnessing the most unhinged bubble in the history of modern economics, and when it bursts, Bernie Madoff will look like an amateur…My understanding is that the use of crypto-currencies necessarily involves/requires the exponentially growing use of computing resources. That requires electricity. By now, lots of it. Reportedly, the servers underpinning Bitcoin alone already consume more electricity than entire nations, e.g. the Netherlands. In 2018, one (!) Bitcoin transaction reportedly required as much electricity as 80,000 credit card transactions. In 20/2021, that energy footprint had grown to the equivalent of 453,000 credit card transactions. You see these large warehouses of computers in Iceland utilizing geothermal electricity to mine bitcoins. And that is replicated all over the world with dirty sources of energy.

Besides being mostly used for unlawful purposes, Bitcoin is not accepted (or enforced) by any government. Government-backed currencies don’t need the gold standard because they are naturally backed by the assets of the nation-state that issues them. The value of the Euro, like the Dollar, the Yen and many others is based on the assets, the productivity, the intellectual capital, the IPR present within the nation states that issue these currencies. Yes, the total supply of Bitcoins in the market is limited by its mathematical design, and it has some (very minimal) scarcity value because of that, but its only real value is the rate at which people are willing to convert it into real money!

Gold is a commodity just like grains, beef, oil and natural gas. These things are actually useful in everyday life. Gold is used for jewelry and in scientific applications. Its luster has fascinated us since the dawn of humanity. I suspect many people would love to have physical solid-gold bitcoins to roll around in their hands.

Gold and Bitcoin are near-opposites: Gold is valuable because it is solid and about as permanent as any real substance can be (and is beautiful), while Bitcoin is as unreal and ethereal as anything can be — bitcoins and other cryptocurrencies are really just electrons in a computer somewhere — w/o electricity it’s not even imagined vapor!

How much longer until the whole house of cards comes tumbling down?

 

Sojourne Shen

 

 

 

yyy
READER COMMENTS BELOW

11 Responses to “Woof, Put Your Money Into Those ‘Doggone’ Coins”

  • MarBowling:

    Great and insightful comments by SS!

    This Mother of all PONZI SCHEMES OF THINGS is so SUCCESSFUL to date is MAINLY BECAUSE of FAITH, TRUST and Last But Not Least, GREED! Period. There are the Frequent Up and Down, Boom and Bust Cycles similar and related to Global stock market and Real Estates Supply and Demand stuffs. With very deep pockets folks like Elon Musk and Holee Jinx joining and participating in the FUN oops Fund, this BITCOIN’s SUSTAINABILITY is still WELL and STEADY. When filthy rich folks like them and others[rich organizations, individuals, hedge funds, etc)DECIDE that they HAVE ENOUGH of the FUN oops FUND, that’s the TIME for REALITY to SET IN! When the EVERYTHING BUBBLE(Global stock markets, Real estates, Bonds, and now BITCOIN) CRASH, we only have to WATCH and PITY those folks, especially the common folks, LEFT HOLDING THOSE UNWANTED BABIES AND SHITS! Some folks will advice “DON’T SELL”, Everything will be back to NORMAL and Business as usual within a very period of time, like the last 2008 GFC! Am not sure about this time. Big Nose Teo and the 61.24% what do you think?

    GD Star Rating
    loading...
  • Greed:

    Bitcoin will be around as long as there is human greed.
    Hope is eternal.
    Many lives are destroy. Sad.
    Small guy lose…

    GD Star Rating
    loading...
  • Ponzi Rider:

    As long as there is a demand shit is also valuable. Look no further, in India, cow shit is also in demand. It is sold as a commodity as fuel. Thrown rubbish is also in demand. Ponzi G also is in demand. It is a new world, there is a Crypto cult out there. As long as there is no law to extinguish it, the fire will never die. No law to prevent watching South Korean movie, you will not be executed. Someone in Goldman Sachs became millionaire from Dogecoin trading and retired laughing all the way to the banks. It has created a lot of jobs and coin trading online activities globally. Think out of the box. Meanwhile, sail with the wind.

    GD Star Rating
    loading...
  • Chan Chun Sing is talking cock:

    Straits Times: Despite differences, S’poreans can come together to create a better nation: Chan Chun Sing

    CCS as usual is FULL OF SHIT.

    The “differences” is caused mainly by PAP’s greed, pro-alien policies and lack of openness and transparency.

    Singaporeans are already “coming together” against the arrogant, rurhless, always self-serving, pro-alien PAP as shown by the 10% decline in support for the party at the last GE. This trend will continue because PAP cannot change because it is arrogant and has too much “baggage” (read as LKY). LKY cannot save PAP again. Singaporeans already thanked him in 2015. They will not
    thank “Mr GDP” (Good Dead Permanently) again.

    Singapore needs REGIME CHANGE to have a better nation. PAP is a “spent force” that must be buried with Lee Con You at the next GE.

    GD Star Rating
    loading...
  • xoxo:

    No worries,BITcoin will become bitCON soon?

    Dont get BITten,eh?

    But if you insist on being *hype*,GO AHEAD,its your money.

    GD Star Rating
    loading...
  • liew mun leong must be jailed:

    the mother of all financial pyramids is SPH shares. next to it are the SIA shares.

    let us explain.

    not too long ago, a few months ago, the SPH shares were like 99 cents each. Yes, they were less than S$1.00 each.

    it is now S$1.70+ each.

    how come such a dismal piece of junk, real junk, can, in a matter of months, jump more than 70%?

    didn’t pap say they are going to use cotton sheep tax monies to prop up the organization?

    so how come such shit can rise in share price?

    is it because of gimmicky behind the scenes move by temasick?

    the other one is SIA.

    ever since Feb2020, everyone knew that share cannot be profitable until early Jan 2025 or Dec 2024.

    yet the share price has been climbing, from about S$3.00 to the current S$4.90+.

    everyone has been reading about the cash burn in SIA since Feb2020. everyone has been told about SIA needing cash to remain as a going concern. pap has even tasked its stroke heng to declare pap will prop up SIA using cotton sheep tax monies.

    so how come such shit can also rise in share price? both SPH and SIA are in truth pieces of gems turned into pieces of shit by pap kakis.

    based on our correct evaluation, SPH is worth no more than 37 cents each share and SIA is worth no more than S$1.39 each share.

    cotton sheep who pay anything more for the shits sure as sunrise are just doing useless national duty in helping pap to prop up their share prices.

    these shits are far more toxic than any bitcoin by whatever name.

    GD Star Rating
    loading...
  • Temusik Patriot:

    How long Ponzi last witj his Scam n Maddox??? Hiflux??? She go laughing 2 D Bank leh!!! With suckers holding her baby

    GD Star Rating
    loading...
  • mike:

    Very well written reminder! Totally agrees with you.

    I knew at least two individuls (personal friends), both young ladies, are currently bleeding in ‘investing’ in bitcoin and doggie coin.

    I warned them in March, but luckily one had put in amount of money she can afford to loss. While the other was very bad.

    A safe currency is either backed by something, or for the physicals, represents certain element uses in term of production or function.

    If fiat money of certain countries already not recognised by some international trades and countries, at least it can still be burned to cook a meal or melted to form fishing sinks. What can one use for the digital electrons when the switch was turn off? Tulip mania.

    Thank you author

    Sojourne Shen:
    the total supply of Bitcoins in the market is limited by its mathematical design, and it has some (very minimal) scarcity value because of that, but its only real value is the rate at which people are willing to convert it into real money!

    Gold is a commodity just like grains, beef, oil and natural gas. These things are actually useful in everyday life. Gold is used for jewelry and in scientific applications. Its luster has fascinated us since the dawn of humanity. I suspect many people would love to have physical solid-gold bitcoins to roll around in their hands.

    Gold and Bitcoin are near-opposites: Gold is valuable because it is solid and about as permanent as any real substance can be (and is beautiful), while Bitcoin is as unreal and ethereal as anything can be — bitcoins and other cryptocurrencies are really just electrons in a computer somewhere — w/o electricity it’s not even imagined vapor!

    GD Star Rating
    loading...
  • Support needed.:

    Many small SME and F&B business closing down…Cannot survive in this difficult environment.
    They don’t have such good luck and great support like SIA or SPH…
    Too big or important to fail…Good company to be working for.

    GD Star Rating
    loading...
  • xoxo:

    SIMPLE AS ABC.
    For BITCOIN TO REPLACE FIAT CURRENCIES LIKE US$,IT SHOULD BE THE REFERENCE CURRENCY IN WHICH ALL OTHER *CRYPTOs* are priced (pegged to)against?

    For MIGHTY BITcoin to be pegged to US$,which BITcoin is supposed to REPLACE AS *THE STANDARD*,makes BITcoin A bitCON to my simple mind?

    Why shud bitcoin be worth more than gold?
    What is its TRUE(FAIR) VALUE in truth?

    Just becos SOMETHING IS DIGITALLY HYPE DOES NOT MAKE IT *VALUABLE*.
    MAYBE,just maybe,i shud keep my pieces of *Shit* as it will become really *RARE* when i exist no more?

    Who OPERATES( INCLUDING MINING) BITcoin?
    Are they telling us they will ensure ZERO DEFAULT OR *FRAUD* OF ANY KIND?

    To me,it is a bitCON…

    GD Star Rating
    loading...
  • xoxo:

    Watch BITcoin rolling into the longkang(drain) …
    A break below u$D 30K and you see much lower.

    Those BITcoin lover$ here,beware.

    GD Star Rating
    loading...

Leave a Reply

 characters available


Scroll Down For More Interesting Stuff


Member Services
Self-SupportMembers LoginSelf-Support
Sponsored Advertisement
Search On TR Emeritus
Sponsored Advertisement
Announcement
Advertisements
Visitors Statistic
Latest Statistic

UA-67043412-1