Oaktree’s Howard Marks speaks about the cryptocurrency, private equity, credit markets, stock markets. “He wrote in his letter to investors that everything is overvalued”
He had a closer view on cryptocurrencies and said it is not real. Furthermore, he said they are “nothing but an unfounded fad (or perhaps even a pyramid scheme)”.
This drives many to think on the part of cryptocurrencies as biggest valuation bubble with the dot-com era. Meantime there is also an incontestable excitement of their growing scope in cryptomarket.
David Sacks, Former PayPal COO who was also early investor in Facebook, Airbnb, SpaceX and Uber said on Twitter last week that
“cryptos are the best candidate we’ve had for the next big thing in Silicon Valley (Web 3.0)”
Interview with the CEO of McEwen Mining
Any currency exists only because at least two parties (a buyer and a seller) agree that it represents value. So, what constitutes money? On a South Pacific island, we might agree that chicken bones are a currency. In prison, we might agree that cigarettes are a currency. Today, while we all use fiat or paper currencies as money, a medium of exchange, there is a growing concern about the value of these pieces of paper.
I don’t see why Bitcoin can’t also grow and become another viable currency, an internet based currency. If enough people accept it, it will be used. It seems to have momentum behind it and it’s intriguing how it’s truly separate from any country or central banks’ manipulation and control.
There will be growing pains, like the guy who lost money out of his electronic wallet because he left his computer on all night. Also, Bitcoin will spawn competitors, alternative digital currencies. I think it’s a mistake to write off this currency as a bubble or fad.
Will it threaten gold? I don’t think so. I think the two will grow in tandem as alternative currencies to fiat currencies.
The dot-com era of late 90 speaks about huge bubble including
few dot coms include profitable business models. Taxi drivers were asking hot stocks. people had jobs for complete day
In Contrast, few people starting off their own cryptocurrency business, taxi drivers are not concerning about Bitcoin. Day trading is rare.
We are still in early innings if cryptocurrencies seem to be bubble. However, there are still signs of frothiness: ICO has obtained $1.27 billion
Bitcoin now is as real as Amazon was in 1999. Now we must wait and watch well Mark’s statement will be “cryptocurrency is not real”