Did you read Mr. Money Mustache’s newest post titled Why Bitcoin is Stupid? You should, regardless of what you think about bitcoin and cryptoassets. I like Mr. Money Mustache and have been following his blog for years. Probably 3 or 4 years. I’ve read every single one of his posts, because he always gives great advice.
With that being said, I have to say that his latest article on bitcoin and cryptoassets has to be one of his worst posts of all time. I, usually, agree with everything he says and writes about, but that didn’t happen this time.
After reading his post, I got the impression of someone who didn’t do all the research they claimed to have done. MMM (Mr. Money Mustache) claims to have done his homework, but I didn’t get that vibe at all. It sounded like he found a few articles on the subject and shortly after felt confident enough to write an article trashing bitcoin and cryptoassets.
Of course, I know that bitcoin and the crypto world has its flaws (we probably are in a giant bubble), but to recommend that people completely stay away from ALL cryptocurrencies is stupid.
Should you take out a mortgage and invest it into bitcoin? Hell no.
Should you dump your checking account into bitcoin? No way.
Should you empty out your savings account into bitcoin? Don’t do that.
Should you take out credit cards and max them out on bitcoin? Definitely, not a good idea.
But, should you invest zero dollars into bitcoin and the other cryptocurrencies? Hell no!
It would be equally as stupid to completely stay away from all cryptocurrencies, as it would be to over/ dangerously invest in them.
Cryptocurrencies are here and they’re not going anywhere. Blockchain technology is here too and it’s not going anywhere.
It would be ridiculously stupid to watch it all unfold completely from the sidelines. Why not dive in and research some of these amazing projects? Find out which ones you think are great companies. You have a brain and you probably have your own opinions. And, if you get the urge, what’s the harm in investing a few hundred dollars on your favorite coins? Just be very smart about it. Read The Intelligent Investor and Cryptoassets: The Innovative Investors’s Guide to Bitcoin and Beyond if you decide to go that route.
Back in the dot com bubble some people invested in Amazon, Ebay and Priceline, and those turned out to be great companies. The thing is, the next Amazon is on Coin Market Cap dot com. Why not take the time to learn about a few of these cryptoassets, and educate yourself? Everyone agrees that blockchain will be a part of the future, so why would you choose to remain ignorant on the topic? Now, that’s stupid.
If you don’t believe any of the cryptocurrencies you’ve researched have future potential (there are a lot, so you won’t be able to get to them all), then don’t invest your hundred dollars. That’s perfectly fine. At least, at that point, you’ll have a decent understanding of what bitcoin and blockchain is.
MMM’s article really surprised me. Comparing bitcoin to his nail clippings? Come on, are you serious? If you don’t want to invest, that’s fine, but don’t continue to go about your days thinking that bitcoin is as valueless as your nail clippings and tulips. That’s plain stupid.
****This is not financial advise. I’m not a financial adviser.****