World map connected, social network, globalization business, social media, networking concept.

Crypto Event…

RSS
Facebook
Instagram
Thinking North’s Cryptonight that took place on Thursday February 8th was quite a success. A packed gathering of close to 150 fund managers, brokers and high net worth investors attended, who were eager to learn more about the exciting crypto and blockchain space and about some of the companies that specialize in it. I had the honour of being the key note speaker at this event for the fourth consecutive time. I spoke both about the state of the economy and blockchain/cryptocurriences. Subsequently, 5 companies presented: Mint Corporation, ePIC Blockchain Technologies, Bullet ID, Neptune Dash Technologies and Canada One Mining.

 

ThinkingNorth is the brainchild of Toronto investor Steve Singh.

One of the purposes of Thinking North is to bridge the highway between the financial district in Toronto to tech savvy Silicon Valley North – my hometown of Kitchener-Waterloo. Thinking North is looking to bring Canadian tech companies into and updated market awareness arena. For more information about the Thinking North team, please click here 

 

As a precursor to the launch of www.Techmoney360.com  (expected launch in April), I am including excerpts from my keynote speech below. I will also be speaking at the prestigious PDAC conference on the hot topic of Gold versus Crypto. click here 

 

President Obama aptly put it, “holding Bitcoin is like holding a Swiss account in your pocket”.

 

If you were lucky to have invested a mere $1000 in bitcoin in February of 2010 how much do you think you would have today?

 

Bitcoin traded in early February 2010 at an average of $.06. Your $1000 investment would have purchased around 16500 bitcoins. At today’s price of around $10000 per bitcoin your $1000 investment would be approximately worth $165,000,000 (165 million US dollars).

 

Imagine if you invested in bitcoin in 2010. If you think you have missed the opportunity, the best may still be yet to come by investing in crypto related stocks.

 

Blockchain.  What is it?  What is it’s impact?

The best way that I know of to consider the impact of Blockchain is to go back to the nineties where getting your Sony Walkman was the best day of your life.

This was the time when the internet was freshly minted by Tim Berners-Lee the inventor of the world wide web. The nineties were the internet’s “toddler years”.

Of course, now, nearly 30 years later – it’s easy to see the impact of the internet and how it has changed the world as we knew it.

Comparatively, we are currently in the “toddler years” for Blockchain.  This is a technology that has the same “change the world” potential as the internet did – but it’s early.

We’re still learning how to walk and talk. Cryptocurrency is its first steps.

Blockchain generally speaking, it is a decentralized database system which supplies a service that no single entity owns and has no single point of failure.

 

In A Letter to Jamie Dimon   https://blog.chain.com/a-letter-to-jamie-dimon-de89d417cb80 it is stated: “An example of a decentralized application is Filecoin.  It’s non-blockhain counterpart would be Dropbox.  Filecoin enables users to store files on a peer-to-peer network of computers instead of in centralized file storage services like Dropbox or Amazon S3.”

Let’s step back for a second though.  This sounds a bit too perfect.  Let me assure you that you cannot argue that Bitcoin is better than PayPal. Or Filecoin which is based on blockchain is better than Dropbox or iCloud.

In fact, on almost every dimension, decentralized services are worse than their centralized counterparts:

 

  • They are slower
  • They are more expensive
  • They are less scalable
  • They have worse user experiences
  • They are volatile and hold uncertain governance   from: “A Letter to Jamie Dimon”

 

So what is the major advantage to decentralized applications?  Neutrality.  They are Censorship and “hacker” resistant.

 

Censorship resistance means that access to decentralized applications is open and unfettered. Transactions on these services are unstoppable, because no single entity owns them – or controls them.

That’s the most significant impact of blockchain.  Neutrality.

So what are cryptocurrencies?

Cryptocurrencies are a form of digital money that is designed to be secure and, in many cases, anonymous.  So why is cryptocurrency so revolutionary? Because the encryption and privacy are so strong.

Bill Gates stated: Bitcoin is better than currency in that you don’t have to be physically in the same place and, of course, for large transactions, currency can get pretty inconvenient.

 

These currencies use powerful cryptography, the process of converting legible information into an almost uncrackable code, to track purchases and transfers. The ledger of all transactions is completely transparent – yet completely anonymous. That’s big.  “Internet big”.

Cryptocurrencies have become the rage in internet businesses – especially in the past year. They are like candy to investors.

It’s easy to believe cryptocurrencies have no inherent value or the opposite, that they will disrupt banks, governments, and Silicon Valley giants once and for all.

 

Let me expand by stating what I believe:

 

  • The market for cryptocurrencies is irrationally exuberant as witnessed recently by both the sudden decline and rise in prices
  • Very few people in the media and finance understand it
  • And even very few people buying cryptocurrencies understand what’s going except maybe your 14-year old kid

 

Here’s a definition that seems to be accepted by both parties: cryptocurrencies are a new asset class that enable decentralized applications.

 

So where does this leave us?

In the long-run, a crypto asset’s value is driven by use of the decentralized application it enables. While it’s early, the high valuations may be justified because even if the probability of mass adoption is small, the impact would be very large, so might as well go along for the ride and see what happens.

But how do we explain the recent mania?

Bitcoin and Ethereum are up huge percentages in the last 12 months. The total market cap of all cryptocurrencies is approx. $500 Billion, up from about $12 Billion just a year ago. Why?  As in every mania in history, it is currently rational to be irrational.  And it seems that investors just love something they can’t understand as we have witnessed in previous technology mania’s – something I’m sure we have all been guilty of (remember the “dot.com bubble”?).

I look forward to keeping you updated in this new and exciting tech and investing arena.

Happy Investing!

Dr. Kal Kotecha

FOR YOUR FREE NEWSLETTER – SIGN UP AT WWW.TECHMONEY360.COM 

Disclaimer

© 2010 Junior Gold Report and TechMoney360

Junior Gold Report and TechMoney360 Newsletter: Junior Gold Report’s and Tech Money 360’s Newsletter is published as a copyright publication of Junior Gold Report (JGR) and TechMoney360 (TM360).  No Guarantee as to Content:  Although JGR/TM360 attempts to research thoroughly and present information based on sources we believe to be reliable, there are no guarantees as to the accuracy or completeness of the information contained herein. Any statements expressed are subject to change without notice. It may contain errors and you should not make any investment decisions based on what you have read on here. JGR/TM360, its associates, authors, and affiliates are not responsible for errors or omissions. By accessing the site and receiving this email, you accept and agree to be bound by and comply with the terms and conditions as set out herein. If you do not accept and agree to the terms you should not use the Junior Gold Report and TechMoney360 sites or accept this email. Consideration for Services: JGR/TM360, it’s editor, affiliates, associates, partners, family members, or contractors may have an interest or position in the featured companies, as well as sponsored companies which compensate JGR/TM360 as such our opinions are biased. We may hold potions in and trade these stocks of the companies we profile and as such our opinions are biased. JGR/TM360 and its’ owner and affiliates/associates may buy/sell and trade the featured companies from time to time. JGR/TM360 has been paid by the companies. Thus, multiple conflicts of interest exist. Therefore, information provided here within should not be construed as a financial analysis but rather as an advertisement. Conduct your own due diligence: The author’s views and opinions regarding the companies featured in report(s) are his/her own views and are based on information that he/she has researched independently and has received, which the author assumes to be reliable. You should never base any buying/selling/trading decisions off of our emails, newsletter, website, videos or any of our published materials. JGR/TM360 aims to provide information and often stock ideas but are by no means recommendations. The ideas and companies featured are highly speculative and you could lose your entire investment – consult a licensed financial advisor if you are considering investing in any of the featured companies. Subscribers/readers are encouraged to conduct their own research and due diligence. The companies mentioned are high risk and considered penny stocks that contain a high risk of volatility, therefore consult your investment advisor and do your own due diligence before purchasing. Never base any investment decision on information contained from our emails, newsletter, website, videos or any of our published materials. No Offer to Sell Securities: JGR/TM360 is not a registered broker dealer, investment advisor, financial analyst, stock picker, investment banker or other investment professional. JGR/TM360 is intended for informational, educational and research purposes only. It is not to be considered as investment advice. No statement or expression of any opinions contained in this report constitutes an offer to buy or sell the shares of the companies mentioned herein. Links: JGR/TM360 may contain links to related websites for stock quotes, charts, etc. JGR/TM360 is not responsible for the content of or the privacy practices of these sites. Information contained herein was extracted from public filings, profiled company websites, and other publicly available sources deemed reliable. Information in this report was taken on or before writing and dissemination and may not be updated. Do you own due diligence as information and events can and do change. Published reports may reference company websites or link to company websites and we disclaim and responsibility for the content and accuracy of any such information or website. Release of Liability: By reading and/or watching videos by JGR/TM360, you agree to hold JGR/TM360, its associates, sponsors, affiliates, and partners harmless and to completely release them from any and all liabilities due to any and all losses, damages, or injuries (financial or otherwise) that may be incurred.

 

Forward Looking Statements
Except for statements of historical fact, certain information contained herein constitutes forward-looking statements. Forward looking statements are usually identified by the use of certain terminology, including “will”, “believes”, “may”, “expects”, “should”, “seeks”, “anticipates”, “has potential to”, or “intends’ or by discussions of strategy, forward looking numbers or intentions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results or achievements to be materially different from any future results or achievements expressed or implied by such forward-looking statements. Forward-looking statements are statements that are not historical facts, and include but are not limited to, estimates and their underlying assumptions; statements regarding plans, objectives and expectations with respect to the effectiveness of the Company’s business model; future operations, products and services; the impact of regulatory initiatives on the Company’s operations; the size of and opportunities related to the market for the Company’s products; general industry and macroeconomic growth rates; expectations related to possible joint and/or strategic ventures and statements regarding future performance. Junior Gold Report/TechMoney360 does not take responsibility for the accuracy of forward looking statements and advises the reader to perform their own due diligence on forward looking numbers or statements.

 

 

 

 

 

 

Want the Best News?
Increase your wealth by staying informed:
Trend Alerts - Exclusive Articles - Videos
We respect your privacy.
RSS
Facebook
Instagram