Those who have bet their Farm in Bitcoin keep rethinking their decision and they keep establishing their views on their investment, probably justifying it – perhaps true – maybe. Saylor is one such enthusiast who tweets every day about BTC – trying to make the market – influence the market. However, not all agree some deny his opinions. It helps to know what the community thinks. Those who have their skin in the game express their opinion. Worth knowing by new investors.
Michael Saylor shared: “In the presence of negative real yields, the logic of holding a global store of value asset that is not based upon fiat cash flows is compelling. Bitcoin.”
For clarity, Negative real yields are a function of the expected path of short-term interest rates set by the Fed compared with current and forecasted inflation. So, there is no way that term real yields could be anything but negative.
In simple terms, the ROI/yield on your deposits is not worthy when compared to inflation. Consider the interest you get is 5% and the inflation is 2%, then your real yield is 3%
Community Response: BTC will collapse soon. Far from mainstream and far from being a store of value. It is the biggest bubble ever backed by pure Hopium and greed and blindness.
Bitcoin is up 2,000,000% since the first time I heard this. This is how Ponzi schemes work. But, when there are no new marks in a Ponzi scheme it collapses. When everyone owns bitcoin already, it’s the world currency and nothing collapses. Everyone is using BTC to make money and to exchange for fiat.
You are correct that the vast majority of people who buy Bitcoin do not understand what they are buying. Most of them make 200% or 300% gain and they’re out. The people who do understand are accumulating until there is no fiat anymore. But Bitcoin is still too overhyped. Dumb investors are already in it. Got to wait for them to exit. Also, Bitcoin has a negative effective yield with energy costs at about 2% of the market cap. More efficient coins out there.
Sorry, but when everything crashes for increased dollar demand, Bitcoin is toast. If it was the fee-free payment standard simple to use for companies like Amazon, it would set prices, but it is too slow expensively or needs clunky L2 to work. So, bitcoin is not diversification.
Michael, you know it’s the Bitcoin futures and paper Bitcoin are destroying the real price of Bitcoin. These platforms like the CME and their systems should be attacked. They started the war and we must end it or they will control the property like gold.
Medium to long-term that is a clear yes. Short-term we might see some more fluctuations in Bitcoin price due to a Hawkish FED, but that is just more opportunities to stack Sats. Stores of value don’t go down by 40%! By definition.
Store of value is a term I like to use, but it’s not perfect. The reason Bitcoin is compelling is that unlike every other asset on earth, it cannot suffer from an increase in supply. So, it’s a “store of value” in the sense that the supply of everything else increases making BTC scarce.
Precious metals cannot increase in supply, either. What we got on this Earth is what we got. It is so compelling that it has lost almost 40 percent of its value in less than one quarter 🙂 people seem to be rushing to bitcoin.
Lost 40% immediately after gaining 600%. Nice cherry-picked time range there. Cherry-picked for the reason that the loss happened after the feds pivot. Showing so far that BTC isn’t seen as a risk haven but a (high) risk asset. Not arguing BTC but arguing the investment thesis that it’s an inflation hedge.
If you have the time preference of a gnat then I could see how bitcoin wouldn’t be an inflation hedge. For those who do long-term planning, it is.
You are a community that fuels people and calculates how to fill your own pockets. You have been tweeting the same tweet for 6 months and Bitcoin is the point.
A real believer is in for a minimum of 6 years. You just want to make money and don’t understand, you are too late to the party.
Bitcoin yield will keep increasing non-stop. BTC will remain the global best store of value now and in the future. People who are judging BTC based on a few weeks of price action should go and research Bitcoin since its inception in 2009 and see that BTC is already a proven asset.
Get the latest Crypto & Blockchain News in your inbox.