Bitcoin might become one of the best investments in computer history. â€” Medium
Jared Sperli stashed this in economics
At todayâ€™s panic price of $705 per coin, assuming you were to buy today, I believe Bitcoin may be one of the best investments in computer historyâ€”if not human history.
The market cap of Bitcoin as I write this is $8.6 billion (US). Thatâ€™s the total market capitalization of all existing currency units for what is, by far, the most popular and successful electronic currency. And much of that currency is being stored and held by users expecting itsÂ future valueÂ to be much higherâ€”in fact, despite all the recent price volatility,Â only $33.9 million in total trading volumeÂ has occurred over the past 24 hours (source:CoinMarketCap).
You in response (maybe): But this is all some crazy weird scam or fad or fleeting force of nature, David Seaman! The price will be nothing soon, NOTHING!!!111!!! Canâ€™t you see that?!!
No. Think about this: even today, as Bitcoin endures a panic sell-off in response to Appleâ€™s uninspired corporate protectionism, Mt. Gox incompetenceÂ du jour, and Russiaâ€™s â€śrejectionâ€ť of Bitcoinâ€¦ even today, one Bitcoin buys you $705 of value.Â
The reason that seems crazy is that Litecoin and a dozen other cybercurrencies are on their way to suck more margins out of Bitcoin's premium.
Bitcoin is fascinating but as an investment there are way too many unknown unknowns.
Some cybercurrency is the future, but there is no guarantee that Bitcoin will be that standard.