In fact, what everyone is most entangled with are two points.

One is that the country does not recognize it. Of course, the country only does not recognize it as currency, but it does not deny it as an investment target.

The second is to return to the simple level of value investing; virtual currencies are too elusive.

The point of national endorsement is actually a paradox～

Everyone knows that blockchain is the trend of future finance, right?

So once the central bank's digital currency is issued, it will certainly impact the originally circulating digital currencies. But on another level, if the central bank's digital currency is successful, it will actually be beneficial for other virtual currencies that have a first-mover advantage.

Decentralized digital currencies have the greatest advantage in their conceptual flexibility; they can quickly be linked to a certain asset and can also quickly decouple.

These concepts rely entirely on the consensus of the holders to be realized. Even before the concept takes shape, the price can rise first.

Unless the central bank introduces a more advanced algorithmic technology, simply relying on financial strategies cannot strike at virtual currencies with first-mover advantages. Moreover, if there is a full-scale crackdown, how many expected resources would be lost in vain～ At that time, who profits is still uncertain～

So there is a point here that can easily be overlooked. It is the transformation brought about by algorithms, or the wave of thought brought by technological innovation.

Blockchain technology is definitely not just an iteration of algorithms; it brings a completely new way of thinking and exploration in political economy and trade. The government will certainly cater to this major trend, but it will not be petty enough to strike at old coins.

So in the foreseeable future, as long as the technology of old coins is not broken, even if they become antique mascots, they will not be expelled from the trading market.

Another point is about value investing; this is actually very unprofessional.

Supply and demand make up the market, and buying and selling create profits.

There is no concept of 'value' in this.

The concept of value cannot guide investment; investment focuses on profits, and then looks at supply and demand.

Capital efficiency mainly looks at demand expectations, not value expectations.

Unless you really delve into a very professional field and fully understand the projects you are about to invest in.

Otherwise, do not discuss value from a very macro perspective; it is easy to be misled.

Human demand is complex; people do not necessarily value things. #比特币 #以太坊合约