Crypto 101

If you are new to Crypto...

Jan 11, 2023

If you are still here after everything that has happened... Good.

In Bear, We Strive... In Bull, We Thrive!

Crypto: The World’s Greatest Scam

If you are new in crypto. You should look at the video below by James Jani titled the same title as the heading above. While most of the content is quite negative. It is what it is. More than 90% of the industry could be filled with "scams" and by scam, i just mean they will fail in the end just like the Dot Com Bubble Burst.

For GenZ, Dot Com Bubble occurred in the late 1990s to 2000 when there are a lot of excessive speculation in Internet-related companies causing them to be overvalued and ultimately crashed the market.

One of the most Infamous would be But among them are Amazon and eBay which rose from the ashes and soar to even greater heights.

So is an investment in internet-based companies wrong? Look at where we are now. Almost everything in our life is internet-based now, the market just wasn't ready then, filled with manipulators and bad actors.

Just like Harry Potter learning magic, they need to go through Defence Against the Dark Arts too, so we need to be aware of what bad actors are very capable of...

In the video, where Metakovan is said to purchase Beeple's $69 million artwork “Everydays — The First 5000 Days” for marketing purposes. I was surprised he didn't cover wash trading in detail but just explained the process.

That reminded me of a story: "A duct tape and a banana for $120,000? Anyone? They sold two already..." Well... To me, ART is Appreciating Relatable Things... 😋

In the video where Beeple mentioned he can almost guarantee that other artists will not like the idea of splitting their artwork into multiple ownerships. It did come true as fractional NFTs.

And to summarize the meteoric rise of the Bored Ape Yacht Club, celebrities are paid to "buy" and hype them. While the method is shady, the result is that a group of high-net-worth people is formed with an identity with some amazing output. So does the end justify the means?

A mere ten dollars into Bitcoin 2010 would have made you a multimillionaire in 2021, provided you didn't sell and ride through the 7 times where it lost more than half of its value.

Fun or should i say humiliating Fact about Bitcoin: Someone used 10,000 Bitcoin to buy 2 pizzas in 2010 - Yes, Bitcoin was that puny back then - Would you have believed in it then or now?

Especially Now in the Bear Market

As the common saying that when times are tough, crime rates spike. Criminals are getting more "desperate". Scams and hacks are at an all-time high.

Study and understand why, how, and what crimes succeeded or even failed, so that we can protect ourselves.

Even in a Bear Market, there is money to be made. Scammers and hackers will always be where the money is be it online or offline. But are you into Crypto or are you out?

We Are Still Early...?

Well, we are pretty much in the Old Wild West, but there have been criminals being arrested, and withPresident Biden giving his blessing to the 6 key areas to focus on cryptocurrencies.

Not arrested yet, doesn't mean they are off the hook. And tracing money is easier on the blockchain.

Blockchain - A "New" Technology

Do you remember what happened when Apple launched the first iPhone? Who said What? Note that the first iPhone launched in 2007 was not the first smartphone. The first smartphone was invented in 1992 by IBM, fifteen years apart.

And Kodak is the company that invented the digital camera but couldn’t see the potential and feared that it will affect their existing non-digital photography business, with management picking on the flaws, and choosing to shelve the project until Apple came.

GenZ may not even hear of IBM, BlackBerry, Nokia, Kodak, etc, let alone the magnitude of their market share in their industries in 2007.

iPhone was an embarrassment? That was a time when people's mobile phones are not Samsung or Apple. Almost everyone around me was using a Nokia, except for a few, Blackberry, Motorola, Panasonic, and others...

“There’s no chance that the iPhone is going to get any significant market share. No chance. It’s a $500 subsidized item” - Steve Ballmer, then-Microsoft CEO.

"It’s kind of one more entrant into an already very busy space with lots of choice for consumers" - Jim Balsillie, Blackberry co-CEO.

“There is no likelihood that Apple can be successful in a business this competitive” - John C. Dvorak in an article titled: "Apple should pull the plug on the iPhone".

"There is nothing revolutionary or disruptive about any of the technologies. Touch interface, movement sensors, accelerometer, morphing, gesture recognition, 2-megapixel camera, built-in MP3 player, WiFi, Bluetooth, are already available in products from leaders in the mobile industry – Motorola, Nokia, and Samsung." - Padmasree Warrior, then-Motorola CTO.

There are also many critics that dismissed iPhone as "just a toy" back then in 2007. Any technological advancement could face resistance and opposition, especially when it is affecting some of the giants in certain industries.

Purpose of Crypto

To some, the purpose of Crypto is:

  • The People's and Businesses' money, and is free from any Government Control. Remember the Canadian Truckers Protest?
  • An Enemy of the Banks or even the Government. Further proven by Putin too as the Enemy of my Enemy is my Friend.
  • To Beat inflation, protect wealth.
  • Get rich quick Ponzi.
  • A Zero Sum Investment Game - For You to win money, someone has to Lose that money.
  • The Future Technologies for Digital Ownership and more.
  • The money they had when banks are closed and they had to flee the country 🇺🇦.
  •  The money that anyone can transfer to someone easily and fast. Which could be the end for money changers and remitters in the Future.
  • User Privacy even though we, you and me, can see where the money has been moving, we may not know who is behind the account.
  • Crime funding, drug trades, and more. Well, even without crypto, do you think the criminals will stop doing what they do?
  • Facilitate transactions and Digital Ownership.

Do You Have a Reason to be into Crypto?