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Crypto Destruction: Is It a Threat or Reality?

Written by Monica Savaglia
Posted August 31, 2021

After Bitcoin and other cryptocurrencies had their big boom back in 2017, there were dozens of article headlines claiming that cryptocurrencies and the crypto market were headed into destruction. However, those people who got in earlier than 2017 were rooting for Bitcoin and reaped the rewards of getting in early.

That 2017 Bitcoin boom created even more Bitcoin and cryptocurrency believers, but at the same time it created more nonbelievers who couldn't grasp why there was so much attraction to this new and unpredictable market. 

Even now — four years later — articles discussing how the end of the cryptocurrency market is looming are still being written. Their headlines still getting clicks and grabbing the attention of people whether or not they believe that the cryptocurrency market is facing its demise. 

The nonbelievers continue to disregard the cryptocurrency market as a way to make a profit. Instead, they believe the end for crypto is imminent and that there’s no real reason to invest in these digital coins. 

However, if that's the case, then why are some of the world’s largest companies embracing cryptocurrencies? 

This has been something that I’ve wondered about, especially in the past couple of years. I admit that back in 2017 and 2018, it was a little annoying not being able to read or watch the news without hearing “Bitcoin” somewhere in some article or news segment. I wouldn't say I was a nonbeliever. I just wasn't totally convinced quite yet of the actual potential.

At some point, I ended up realizing that the cryptocurrency market wasn’t going anywhere, especially when companies like eBay (NASDAQ: EBAY), Amazon (NASDAQ: AMZN), and Facebook (NASDAQ: FB) started getting into the game. Even billionaires like Tesla’s founder, Elon Musk, had their hands on crypto holdings. These people and companies were investing in the cryptocurrency market and it was paying off for them. 

Despite all of that, and like I said earlier, there will always be others who either don't want to understand or don't want to see the opportunities in new markets. 

Earlier this week, I saw a headline about how John Paulson, billionaire investor and co-founder of the Carlyle Group, called digital currencies “a limited supply of nothing” during a discussion on Bloomberg Wealth With David Rubenstein. He also said:

There’s no intrinsic value to any of the cryptocurrencies except that there’s a limited amount. 

He added:

Once the exuberance wears off, or liquidity dries up, they will go to zero. I wouldn’t recommend anyone invest in cryptocurrencies.

Critics of cryptocurrencies and the crypto market have been saying this for years. There will always be critics, especially ones who have always had the traditional ways of investing work in their favor. 

However, I think that's why some people are drawn to Bitcoin and other cryptocurrencies. Those traditional ways have never worked out in their favor or they have felt shut out or left behind. 

There are only 21 million Bitcoins that can be mined in total — they can’t be created arbitrarily. 

As of February 24, 2021, 18.638 million Bitcoins have been mined — which means there are 2.362 million yet to be put into circulation. Some have even associated Bitcoin with being digital gold.

Governments can’t suddenly make more of these digital currencies. Even better, no part of the government can freeze your account, garnish your wages, or block international transfers. 

Finally, your wealth can be in your own hands, which is why I believe a lot of people have flocked to cryptocurrencies. Some of these people have never invested before but find some kind of solace from investing in cryptocurrencies. 

And cryptocurrencies are being created constantly, which leaves room for more potential for wealth. Over the past year, some newer coins have made major gains. Coins like this year’s popular Dogecoin have risen near 24,129%, and that’s just one example of newer coins that have seen massive gains in 2021. 

That’s why it’s important to know and understand these new and upcoming coins.

I recently had a conversation with my colleague Christian DeHaemer, and he has been following all different types of coins that have been emerging onto the market every single day. 

He’s literally been spending months going through thousands of tiny cryptocurrencies, and he’s come across a few that have the potential to create major gains similar to the coins that surged this year. 

He recently picked out six coins that have greater potential than any other crypto that came before. There’s a lot more to discuss about these new coins and the future of the cryptocurrency market, which unfortunately I can't do today in this article. However, you're in luck, because Christian has put together a presentation that goes into way more detail about everything you'll want to know and then some.

To learn more about these six new coins and what Christian has discovered throughout his endless research, click here.

Until next time,

Monica Savaglia Signature Park Avenue Digest

Monica Savaglia

Monica Savaglia is Wealth Daily’s IPO specialist. With passion and knowledge, she wants to open up the world of IPOs and their long-term potential to everyday investors. She does this through her newsletter IPO Authority, a one-stop resource for everything IPO. She also contributes regularly to the Wealth Daily e-letter. To learn more about Monica, click here.

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