Bitcoin

Money, investing, mutuals etc
planteria
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Bitcoin

Post by planteria » Sun Jul 12 2020 11:17pm

Goldman Sachs produced the following report during May, which references Bitcoin and other cryptocurrencies..

https://resources.goldman.com/content/d ... ?sa=n&rd=n

and the following document from Kraken counters the various points made..

https://kraken.docsend.com/view/m6xykxq9b9p4yyth

planteria
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Re: Bitcoin

Post by planteria » Tue Jul 21 2020 8:30am

anyone here holding Bitcoin or any other cryptocurrencies?

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Re: Bitcoin

Post by AAAlphaThunder » Tue Jul 21 2020 9:30am

I have a modest holding of Bitcoin.
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planteria
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Re: Bitcoin

Post by planteria » Tue Jul 21 2020 3:02pm

that's interesting AAAT.. held how?
and when did you get on board?

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Re: Bitcoin

Post by AAAlphaThunder » Tue Jul 21 2020 5:40pm

planteria wrote:
Tue Jul 21 2020 3:02pm
that's interesting AAAT.. held how?
and when did you get on board?
I won't say where I hold them but I read an article in the FT and had some "play money" and bought in.
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planteria
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Re: Bitcoin

Post by planteria » Thu Jul 23 2020 9:14am

ok good.. as long you're keeping your holding safe.

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Re: Bitcoin

Post by AAAlphaThunder » Thu Jul 23 2020 12:29pm

planteria wrote:
Thu Jul 23 2020 9:14am
ok good.. as long you're keeping your holding safe.
As safe as can be. So long as hackers don't get their hands inside I should be fine. It's a well known bitcoin wallet.
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planteria
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Re: Bitcoin

Post by planteria » Sat Jul 25 2020 8:30am


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Re: Bitcoin

Post by planteria » Thu Aug 13 2020 1:16am


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Re: Bitcoin

Post by AAAlphaThunder » Thu Aug 13 2020 7:48am

To investors,

This morning it was announced that a publicly traded company, MicroStrategy Incorporated (Nasdaq: MSTR), has completed a two-prong capital allocation strategy. The first aspect is fairly traditional — a “cash tender offer for up to $250 million of MicroStrategy’s class A common stock via a modified Dutch Auction offer.”

The second aspect is where things get interesting. MicroStrategy has taken $250 million of their balance sheet capital and purchased 21,454 bitcoin. This is not a wild, speculative investment decision though. Michael Saylor, CEO of MicroStrategy, clearly articulates his belief and thought process when he said:

“Our investment in Bitcoin is part of our new capital allocation strategy, which seeks to maximize long-term value for our shareholders. This investment reflects our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash. Since its inception over a decade ago, Bitcoin has emerged as a significant addition to the global financial system, with characteristics that are useful to both individuals and institutions. MicroStrategy has recognized Bitcoin as a legitimate investment asset that can be superior to cash and accordingly has made Bitcoin the principal holding in its treasury reserve strategy.

MicroStrategy spent months deliberating to determine our capital allocation strategy. Our decision to invest in Bitcoin at this time was driven in part by a confluence of macro factors affecting the economic and business landscape that we believe is creating long-term risks for our corporate treasury program ― risks that should be addressed proactively. Those macro factors include, among other things, the economic and public health crisis precipitated by COVID-19, unprecedented government financial stimulus measures including quantitative easing adopted around the world, and global political and economic uncertainty. We believe that, together, these and other factors may well have a significant depreciating effect on the long-term real value of fiat currencies and many other conventional asset types, including many of the assets traditionally held as part of corporate treasury operations.”

My initial reaction to reading Saylor’s thoughts was “Wow - MicroStrategy has a Bitcoiner CEO.” This is a perfect articulation of the argument for the decentralized, digital currency. But Saylor wasn’t done yet. He goes on to say:

“We find the global acceptance, brand recognition, ecosystem vitality, network dominance, architectural resilience, technical utility, and community ethos of Bitcoin to be persuasive evidence of its superiority as an asset class for those seeking a long-term store of value. Bitcoin is digital gold – harder, stronger, faster, and smarter than any money that has preceded it. We expect its value to accrete with advances in technology, expanding adoption, and the network effect that has fueled the rise of so many category killers in the modern era.”

So there you go. We now have a publicly traded corporation that has decided to use Bitcoin as the reserve asset on their balance sheet. They aren’t in the Bitcoin business. They have no blockchain-based products. This isn’t a cash grab by adding “blockchain” or “crypto” to their name. This is a simple analysis done by a team that is worried about protecting their shareholder value in uncertain and chaotic times in the macro economy.
A daring strategy. I hope it pays off handsomely for them.
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