I’ve never been a fan of crypto currencies. A few months ago, I wrote about some of the problems with crypto currencies. However, since I’m a techie, people always expect me to be paying attention to the crypto market. So, in the fall, I “invested” about $750 dollars into crypto. Like any good investor, I diversified between a variety of currencies. How did I far? Very poorly.
As I write this, Coinbase lists the overall market as down 41% from this time last year. But surely there must be some winners? If so, they weren’t among the 12 coins that I purchased. Bitcoin is one of the worst, and is down 47%. I selected a few that I thought had actual promise because of their utility – Fetch.ai and Internet Computer. Both of them performed even more poorly and are down by more than 60%.
Risks happen in any market, so this should be a surprise. However, crypto currency advocates have insisted that these currencies would protect against inflation and that they would be immune to geopolitical events. Currently, we’re seeing the highest inflation in 40 years and are closer to WWIII than we’ve ever been with Russia’s invasion of Ukraine. As such, crypto currencies have not lived up to their hype.
Now, investment firms are considering allowing crypto currencies to be included in retirement accounts. Why? Because supporters of crypto must be seeing the true nature of crypto’s Ponzi-scheme. They finally recognize that more investors are needed to inflate the value of their crypto “investments.”
Everyday, the evidence becomes more and more clear – it should have been named Bitcon from the beginning…