Many people are dumping loads of mostly US dollars on Dogecoin and while it might seem unreasonable because Dogecoin looks like a joke, it is actually a massive hedge against all things, the dollar, stocks and the Crypto Titans Bitcoin and Ethereum.
I have not really been interested in Cryptocurrencies until lately because I am more of a solid value guy, who will always look for securities that have real value with the hope of building some long term investment.
But I am beginning to take a close look at the Crypto phenomenon because one can no longer ignore it. Even though I don't own a single crypto asset (yeah I call it an asset) I see the current crypto world more like a template of greater things to come.
Cryptocurrencies are revolutionary ideas, and while in their current form they are not very mature technologies even though they are stable and the prices are going up every day due to speculation, they have a great potential for the future and I think beyond 2024 there will be a new powerful cryptocurrency that will be a true foundation for all currency including big standard fiats like US dollar and Euros.
The blockchain will be like the internet for securities, allowing money, and eventually, all other kinds of assets like stocks, bonds, etc. flow from one point to another in a seamless manner without so much obstruction and complexity from central intermediaries.
Governments will eventually find a way of auditing these networks to make sure that nefarious activities are controlled and minimized.
Like I have said before, the biggest power of crypto is disintermediation! that is the problem that the (group I think) Satoshi Nakamoto solved very well.
So what is the Dogecoin fever all about. One can use Crypto as a kind of metrics about the performance of the standard economy. With Bitcoin created after the fallout of the 2008 financial crises in 2009, one can see that whenever there is less trust in the global financial system, the price of Bitcoin and other cryptocurrencies rise.
People are using Cryptocurrencies as a hedge against the standard economy and Dogecoin is a hedge against the bigcoins like Bitcoin and Ether.
Dogecoin is the small man's battle axe against the behemoths, Bitcoin and Ether, while Bitcoin and Ether is now a standard hedge against mostly the US dollar.
Rather than buying gold to hedge against the dollar, people are buying Bitcoin to hedge while others are Buying Dogecoin to hedge against Bitcoin, Ether and by transitivity the US dollar.
Should you be a part of the Doge fever? I can't say! But the biggest problem with Dogecoin oversupply and eventually inflation.
Since forks are hard the only way to create a better Dogecoin would be to create a new Dogecoin designed more responsibly.
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