teeka tiwari editor, palm beach research group
teeka tiwari alphaedge
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However scams and small scams. And there's something that a fraud always does: it always goes to no. However Bitcoin didn't. Bitcoin still had a multi-billion dollar net worth, even after crashing, even after all the bad news came out. The massive hack. Which woke something up for me.
Therefore I can't ignore that. I have actually got to go dig much deeper." Therefore I began traveling all around the world. I began going to Bitcoin events; I began to speaking with people that were smarter than me in this area. And what I recognized is that Blockchain technology and the application of Blockchain innovation by the Bitcoin network was transformational.
Which, Ryan, is, I can't overstate how enormous that is! The ramifications of that, of having the ability to have data that we don't need to have it independently validated, it's cryptographically validated. That concept can ripple out throughout the whole higher economy. And when that cent dropped, I knew I had to commit all my professional resources into becoming a specialist in this area.
And do you think, I suggest you mentioned something there about not having to get a third-party, or intermediary to verify something. Do you feel that part of the factor that this isn't getting as much mass adoption is that a lot of folks may not even totally comprehend recognition process . We were simply talking about how I'm leaving to go to China, to China. And heaven forbid it's over $10,000, and then all of an abrupt there's other individuals getting alerted about it, like the IRS and things like that. Do you believe that the average folks do not perhaps understand about these procedures, so they don't perhaps see what you're stating as this development, they do not see it in their everyday life? Or what do you consider that? I believe that holds true.
It's not as simple as firing up a web browser and going to e-trade. com and pushing a buy button and buying it, right? You have actually got to go to an exchange, you've got to publish your identity documents, then you've got to wait to get validated, and after that lastly, you can go purchase some Bitcoin.
So, a great deal of people find that too bothersome, and that's why the people that are literally making the most amount of cash today in cryptocurrencies are the early adopters: individuals that want to put in maybe the 20 minutes required to go through a procedure which just takes 5 minutes if you want to set up a brokerage account.
"Oh Teeka, we like your concepts, but gosh, setting up a crypto account is so challenging." What I tell them is I state, "Look, when it's easy as going to your Fidelity account, Bitcoin will be $20,000 a coin," right? The entire cryptocurrency market will be 10x larger. So you're actually truly getting paid a massive quantity of money to go through maybe, you understand, 20 minutes of a discomfort in the neck.
So you can't purchase Bitcoin yet through their trading platform, but it is just a question of time, Ryan, before you'll be able to buy cryptocurrencies straight through your trading software. And can you envision what will happen to this entire marketplace when buying Bitcoin or any cryptocurrency is as easy as shooting up your e-trade, or fidelity tradings platform.
Today you discussed the process that individuals go through, and one thing I desire to expose too that you didn't mention, but I understand a lot of folks who deal with this too, is oh, and by the way, you can only purchase $1,000 a week. Or you can just buy $500 a week.
As difficult as possible, right, like Coinbase. It 'd take me forever before I could begin purchasing in size on Coinbase. They're like, well, we'll let you buy $500 a week, Teeka. I imply, it's if you remember the early days of the Web, when we were getting on the Internet, we were doing it with 56k modems, right? I mean it would take 20 minutes to load a page.
Even when AOL came on board, and you 'd call AOL, and you 'd be on hold for 90 minutes. I imply, we're in the early days of that technology, however much like throughout that amount of time, for the folks that had the vision to see where the future was going, and after that bought in on some of these young companies, they made an outright fortune.
Mm-hmm (affirmative). And let's take a step back for a second, since I'm always curious to speak with individuals who are, especially somebody like yourself, who's committed the last, you know, the lion's share of the last couple of years to actually go both feet in on this. How do you describe cryptocurrency to like an average person? That's an excellent question.
They're two totally various things, but they're both called cryptocurrencies. A cryptocurrency is a cryptographic token that is attempting to be an option to cash. So Bitcoin would be a cryptocurrency. Therefore what provides it worth is that it is, there's only going to be a restricted amount. There'll never ever be more than 21 million Bitcoin.
There are billions of dollars worth of computer systems, validating the transactions on the Bitcoin network. And so if you look at that Bitcoin network, individuals constantly try to hack it. But since of the nature of the network, today it's been unhackable. And truly, with existing technology, the Bitcoin network is so huge right now, you can't co-opt it, you can't take it over.
And so when individuals put, you have actually got people who have literally own billions of dollars worth of Bitcoin. And they're making that bet due to the fact that they're saying, "We do not rely on paper money, you can print an unlimited quantity of it. It's actually not protect, and the federal government can take it away from you." - Whereas with Bitcoin, ideal , go ahead.
Yeah. Or people that remained in Cypress, or simply people who have suffered through either run-away inflation, or there's a high demand for, in Argentina for example, high need for a black market of U.S. dollars. Correct. Are those nations that could potentially be a driver for more adoption, due to the fact that they already do not believe in their own currency? Yeah, and I believe we've currently seen that.
So yes, and this is a thing that a lot of American or Western investors have a difficult time getting their head around. They're like, "Well I do not need Bitcoin, I have cash." Well yeah, you're right, you've got a stable currency, right? You do not need Bitcoin - Yeah. And so there's this whole blossoming global need for cryptocurrencies. So anyhow, that's one coin, cryptocurrencies, and there's an entire 'nother coin called energy coins. And energy coins are basically used, let's say Ethereum, which a great deal of individuals learn about Ethereum. Ethereum is essentially a worldwide computer that you can write computer programs for and run computer system programs on an internationally decentralized computer program.
So we think about something like Ether an energy token, because you're essentially purchasing programming power. So I wouldn't truly think about Ether a cryptocurrency, I would call them an energy coin. Okay. And there are other ones out there, to offer individuals a concept, like an extremely basic one that I would picture you 'd called an utility token, is like FileCoin.
Where the idea is that essentially you're hosting files through a peer-based network, and there's kind of this exact same type of network impact that you have with Bitcoin, where it's like unstoppable kind of thing, since it's on many different locations and. And you kind of discussed having this boots on the ground experience. Now, considering that we're taking a look at the bulk of these are probably utility based, correct? Mm-hmm (affirmative). Most of the coins that I recommend and look at are utility-based. We have a few cryptocurrencies, however I think the genuine opportunity depends on the utility coin space.
There's all of these ICOs that were occurring, those decreased a bit with some modifications to a couple of things that was going on, however people are going to come out of the woodwork and start to create utility coins- Correct, yeah. And individuals require to understand that not all utility coins are produced equal.
So you have the benefit of dedicating your occupation to this, so you can go out there and do the recon, you can satisfy the creators, you can inspect the code, etc. However for an average person, there's now what, over 1,000 different kinds of coins offered, nearly 1,200 I believe. 'Cause typically it'll crash 80% or so - Does the team have experience of performing in a successful way in another area of their life? And it does not even have to be directly related to cryptocurrency, it does not need to be even straight associated to software, right? So, but I wish to see a performance history of success in something, right? If it's 4 men in a space that are simply out of college, unless they've got some actually great consultants behind them, I'm probably not going to provide them any cash.
Yeah. I think that in marketing in basic, my world of company, we continuously try to find issues and how we can resolve them. Now, are the problems things that people are trying to solve a part of the Blockchain generally? Or would you state it's much better if they're solving type of a mass issue? Something like FileCoin, or something else that would be more mass appeal? Or is it a mix of both? Well I'm basically looking for services that, so I'll provide you an example.
And the factor that we purchased it is because they found a method to make documents tamper-proof, and it's 99% less expensive than present technology, right? So that's yeah, it's a no-brainer, right? Right. And after that on top of that, the man that started it has a track record of producing computer programs that entire states run their whole operations on, right? So you've got alright, the wise guy has actually constructed huge computer programs, great group, fixing a massive problem that is going to cut big costs.
I suggest, it doesn't get any simpler than that in regards to choosing who to put cash behind. And a great deal of this prevails sense, and a lot of folks will try to make things more complex than it is. And I have an actually easy rule, Ryan. If I do not understand something, I installed my hand, and I say, "I didn't comprehend what you just stated." Mm-hmm (affirmative).