Topic: [2017-07-23] How Bitcoin And Classic Cars Make Investors Multi-millionaires (Read 4141 times)

Classic cars and Bitcoins are hard to compare. But they have a couple of things in common: They are both scarce, and very much sought by a crowd of enthusiasts and adventurous investors.

When taken together, scarcity and enthusiasm can deliver astronomical returns over time.

Here are a few statistics compiled by MoneySuperMarket that confirm the relationship between scarcity and investor returns on classic cars:

1.     Ferrari 250 GTO – Built in 1962, only 36 were made. This one, made specifically for Formula One racer Sir Stirling Moss, sold for a stunning $38,115,000 in 2012.

2.     Mercedes Benz W196 – A former Formula One frequenter, the 1954 W196 won 9 of the 12 races it entered, and justly earned its seller $29,600,000 in 2013.

3.     Jaguar D-Type – A conqueror of Le Mans in 1955, 56, and 57, the Jaguar D-Type would be hard to miss even without the eye-watering price tag of $21,780,000, recorded at auction in August 2016.

Apparently, all three classic cars made their early owners multi-millionaires.

“Car collecting is a strong industry - both for enthusiasts and for those looking to make a smart investment,” said a MoneySupermarket.com spokesperson. “Keeping track of which cars sell for the most year-by-year is a great way for both sides to make sure they come away from auctions satisfied - and for car lovers to keep an eye on their dream cars!”

Bitcoin “collecting” is a strong industry, too, making some investors multi-millionaires quickly, very quickly. At least investors who poured money into the digital currency when it was trading at a tiny fraction of its current price. 

Like in the car collecting industry, there’s a limited supply. And there’s plenty of hype about cryptocurrencies and the promises they hold for solving the ills of the global economy.

Still, hype should never be a substitute for due diligence. With high returns come high risks that can result in hefty losses. Especially for those investors who join in the game last stage, when it turns into mania.

https://www.forbes.com/sites/panosmourdoukoutas/2017/07/22/how-bitcoin-and-classic-cars-make-investors-multi-millionaires/#2291352b6684