| submitted by /u/reddit4485 |
One month ago the CEO of NexTech issued a statement saying they were selling all $4 Million worth of their bitcoins because media FUD said there had been a doublespend on the network.
While most smart people would've looked into the issue and figured out that this was all BS and that nothing bad had actually happened, they instead made the genius decision to just straight up panic and sell all their bitcoins. The CEO issued a press release that said:
“This sale reflects our awareness that something potentially has changed with Bitcoin… If the system is built on scarcity and faith in the system, then a ‘double spend’ would eliminate both—essentially destroying the store of value it was meant to be. In light of this potential outcome, I have decided to move to cash as this story is still unfolding.”
Well, its only been a month and I want to have a short moment of silence for the money they put to death because those $4 million worth of bitcoin would be worth about $7 million today. Selling was a $3,000,000 kneejerk mistake which is especially stupid considering that their total revenue for the entire last 12 months was about $3.5 million and their gross profit was only $1.2 million.
(Note to mods, this isn't a post about price, this is really a post about fiat inflation.)
As you know, the market cap of BTC recently surpassed $1T USD. This milestone was noted by multiple news organizations. Some have opined that this is a sign that BTC has become overvalued.
I can't predict what BTC price will do in the short term. Whether it will advance or retreat is beyond my ability to forecast. But I can say that while a market cap of $1T USD is impressive I don't believe it is any indicator of being overvalued.
A trillion is a big number. It is beyond most of our comprehension. It is a million millions. It is a thousand billions. It sounds very impressive.
But a trillion pieces of something vanishingly small isn't impressive at all. A trillion grains of sand would be nothing more than a large pile. You'd probably want to climb up it for fun.
Measuring BTC market cap in dollars means measuring it by a shrinking yardstick. While dollars aren't "vanishingly small" yet, consider the following. In 1930 the average price for lunch in a big city was 38 cents. Today a McDonald's meal in New York City can cost over $10. Personally I'm blown away at how much food costs today versus only a few years ago.
Let's put $1T USD into perspective. The US government is in the verge of "borrowing" (i.e. printing) $1.9T for the 2021 stimulus act. That's almost $2T on top of the $3T the government would "borrow" (i.e. print) just to fund normal operations.
A $1T market cap for BTC means the market is currently valuing all the BTC in the world at only about 20% of what the US government is going to print in 2021 alone. This ignores all the past US money printing, all the future US money printing, leave alone the European and Asian money printing.
To me that isn't a number to worry about at all. As dollars shrink and investors seek protection, BTC will only grow.
Hi friends, I feel to share my story only to inspire others to DON'T JUST GIVE UP when you truly belive in yourself and what you like.
Im a 27y raised by a lovely family un a tiny Italian city, as a teenager I spent all my time exploring internet when 56K was my only solution to explore the world, learn new thing, meet new friends using netlog, MySpace and MSN messenger and one day came across bitcoin around 2010.
I wasn't financially independent so I kept my attention on it while collecting spare change for the future. Well I raised with my pession in IT, computers, coding, collecting some tips fixing friends and family stuff was a good challenge for me to develop skills and keep my pession on that.
Around 2013 I moved to UK on my own living a dream so I applied to hospitality to pay my rent and later moved to computer and smartphone repairs shop to basically living, it was a very fun time I don't regret. I knew in UK I could find some btc atm and I had a list of it and sometimes I stopped by and bought some satoshi. It was my emergency fund.
Sad to say I had to use some of satoshi collected, but I don't regret that, it was for good cause and I was in need to do so but i kept collecting.
In late 2016 I back home, I had that dream in my head never left me: I want to found my own IT company working for myself, in my country, doing what I really love to do. Folks, in early 2017 I made it. Thanks to my family who never stop to support me and all sacrifices that we/they made.
So I started to accept bitcoin for IT consulting services, coding basic websites, repairs, and sometimes sharing w/ people what Bitcoin is just to make aware it exist. Never pushing a single one to buy, never pushing to invest into, just talking about it.
Many couldn't get it so for them I was a scammer, a lier or a ponzi-scheme advocate. That was hurting, but I did nothing wrong, so keep doing my work and doing my stuff.
Today, a few of them told me: "man, you was right." Priceless.
TL;DR: accepting bitcoin at my company was a red flag for people like I was promoting a ponzi-scheme, today a few of them texted me I was right about talking/investing in Bitcoin!
Edit: Thanks for the award!