Both are good, but you are ''stupid'' if you don't invest in bitcoin/cryptocurrencies.
That can be seriously argued
Indeed, everyone is "entitled to their own opinion", but as far as my opinion is concerned, Bitcoin is not a very good investment as such. It is a perfect vehicle for speculation and short term trading without doubt (epitomized by a "hit and run" approach), but this doesn't make it a good investment. It is just too risky to be called an investment. As to me, investments should provide more or less consistent income with relatively low risk (US Treasuries are a perfect example of such investments), but Bitcoin is nowhere near that
Why isn't it good investment? Yea it's very risky and unstable...
but doesn't define good or bad investment, I think that what's behind investment it's most important thing. Limited supply and whole blockchain technology is very good. So volatility doesn't matter, a big investor can shake price a lot but concept still stands!
If you go to bar you can easily spend 20-50$, you could just stay one day at home and buy Bitcoin with that. And maybe in 10-15 years you can have enough to live whole life.
Sure if you want to invest something which is stable, so you can withdraw money anytime you should buy gold. But buying few satoshis may be a very good lottery ticket. And you can't win lottery if you don't buy ticket
So if you invest 100k in gold, why not invest 1k in bitcoin?
That's what i meant with my comment, if I said anything wrong please correct me
And what according to you defines good or bad investment?
Or what distinguishes a good investment from a bad one? All the limited supply in the world and the whole blockchain technology will be utterly irrelevant if a specific investment (in this case in Bitcoin) doesn't bring you profits but start bringing you losses instead. That's what matters in the end. It could be said that Bitcoin is a good investment (because it has been highly profitable), but we should not forget about the other thing which distinguishes a good investment from bad. It is risk involved. If your investment brings you profit (so far) but it is risky as hell, that may mean that you are just lucky. In other words, it is not profits alone but also risk connected with getting these profits which also counts. And Bitcoin is not good in this department, that's basically why it is not a good investment choice overall, especially in the long term. It is a highly speculative asset, but can such assets be good investments?
I think that good investment is if you get profit from it, and more you earn better it is. And bad investment is when you lose money.
And yea, risk is important but if you are willing to take it you can make better investment/profit. It depends what kind of investment you want and what money you risk means to you. If I put let's say 5% of my monthly earnings i would pick bitcoin (and other cryptocurrencies), if i would need to give all my money i would invest in gold.
And every single investment must be treated seperated, let's say you buy lottery ticket and you win it. Would you say that was bad investment?
Indeed, it would be a perfect investment, for the winner
But there is no way you can treat investments individually, on a case by case basis. Otherwise you wouldn't be able to tell a bad investment opportunity or possibility from a good one since what makes a good investment is the opportunity or a chance to earn profits by any person following the specified set of rules for a certain investment. In other words, investing in lottery tickets is a bad idea overall, though a few people still win in lottery, from time to time
7jaka7
What deisik says is correct, Bitcoin is more of a speculation than an investment. BTCis a risky asset that so far has a majestic cycle of going way up (and way down).
You do not say "an investment is good" just because it went up... Or "bad" if it went down. An investment is often defined as a productive use of capital while foregoing current consumption.
A speculation has little productive use (other than a great transaction currency).
Terminology is important. I love BTC as a great
speculation. BTC is not investing (like in loaning money to build a warehouse).
