Topic: Why people are comfortable investing in government controlled investments - page 5. (Read 1582 times)

depending on the person. but I can understand why people prefer and are comfortable investing in government control.
There are several reasons for that, one of which is that there are still many countries that oppose the existence of bitcoin so that knowledge of bitcoin is reduced and it is very taboo in countries that oppose bitcoin. with their lack of knowledge about bitcoin automatically they will be reluctant and rethink.
the second is that they have been following the investment for a long time. It would be a pity if we had made long-term investments after that it was just dismissed. because most investments controlled by the government are long-term investments

Well essentially investments approved by the GOV, have means of getting your money back. In the BTC world when the exchanges steals your money, you are SOL.

Older people tend to be wise about losses, and they can't get it back when lost, because their earning years are over.

Young people can afford to 'lose it all',

The investments are 'gov controlled', so much as they are 'regulated', e.g. there are rules, like telling people what is actually being done with their money, while its in the hands of the bank, or broker.

You bring up the most interesting question of all "Will the US-GOV bail out BTC"?? Yes they will, in past 14 days BTC fell 25%, that wiped out a lot of institutional funds; The blood on the streets hasn't even flow yet to the public eye.

In the past 50 years GOV has bailed out 1,000's of shitty company's, so yes GOV will bail out BTC, and why not? The money is FREE FIAT, FED can issue FRN to infinity.

Tulips for all forever. Rome ended this way, the money became worthless farmers quit sending wheat to the citys, there was no bread, and the city's failed, the GOV failed. It took 500 years for the Romans. The USA has been bankrupt since 1911 at the start of the FED.

What's BTC really worth when backed by FED, and measured in USD?? BTC can go to infinity, if its measured in USD.

Probably better to measure BTC in gold day-2-day to see if its really increasing in value.

Recent selloff of gold in the past few months is because gold is more liquid that BTC ( exchanges make exit hard ), the EXCHEGOS fund-failure caused billions in margin-calls, lots of gold had to be liquidated. BTC was next to selloff. People need to raise cash to cover.

With recent -25% drop in BTC, we don't know how many people were flying 4x, or 10x, we don't know how many 1,000's of people have been wiped out, nor how many companys??

Musk bought $1.5USD on borrowed money at $42k a few months ago, people like him aren't looking so bright now, they're going to sell or go bankrupt.

GOV created BTC so this argument is actually fallacious, you must know that SHA256, SECp256K1, and all BTC backbone is NSA created. The original btc white-paper came out of BIS-IMF in 1997, and not satoshi in 2009.

Its been said FED-BIS-IMF has only one reason for creating BTC, to keep stupid money from flowing into gold. World Government

That's the issue with crypto volatility. But I do think that people are already aware of this before venturing into cryptocurrencies even though a small subset of them freaks out when there's crazy wicks occur to the downside or everytime there's a market correction. But they are readily available to invest their funds in government based investments like bond because unlike crypto, you can calculate how much risks is involved with such opportunity. In crypto, you don't get such luxury. You must be willing to put funds that you're comfortable to lose. It's just how it is.

Why do people feel comfortable investing in government controlled investments, the answer may be that they prove it by earning 2% a year, with 3% infillation .. those who are used to their government feel comfortable with fiat which has a stable price than bitcoin ,, but in my opinion, I am more interested in bitcoin, because I can control it myself ..

Security is your point here and I believe that is why many have been doubtful about investing in btc. The government knows how to manipulate cash for the benefit of all and the country but the whale manipulate bitcoin for their own personal profit.

This, most people are simply too lazy to learn how to invest and in order to feel safe they invest in whatever everyone else is investing, this gives them a false sense of security since it seems impossible everyone is going to lose their money at the same time but when events like this pandemic happen then they lose their money and somehow they are surprised by this, which is odd since we know that for one reason or another there is always a big economic crisis every decade, which means that only the investors that can read the signs of the market way ahead of time can be profitable in this activity.

Well, some people consider volatility as a threat to their investment, while some people consider volatility as an opportunity to develop the value of assets. This cannot be forced, everyone has their own interests. If I choose to take the good opportunities offered by cryptocurrency, even though it is difficult, market movements are analyzed both fundamentally and technically.

I think the reason that people invest in government controlled investment is that it is safer and it mostly has a insurance so if something happens you will still have the assurance that you will not lose your money or not will get a part back

It isn't only about "old-fashioned guys". Admit it, it's not easy to learn how cryptocurrencies work.

They are just kind of old-fasioned guys who believe in reliableness of goverments. That is going to last untill their profits from goverment investments occure to be less than inflation rate. It's just a counterintuitive idea to support projects controlled by authorities as it goes against the idea of cryptocurrencies and blockchain.

Not only because some countries did not accept Bitcoin till now but because they have no big trust in this market but they are supporting government investing for assurance and legitimacy.
that is exactly what is happening,they Knew that safer is from governments side than against of to those whoa re not being recognized by governments .

I will answer to OP. The dollar is a steady currency. Seriously now, how many times have you seen goverment bans the dollar? 0 times?

I'm new at cryptocurrencies, and I can admit they are too interesting, but they are not steady. If you have 1000BTC, the next day you may have loss a fortune. Why shouldn't I want the steady dollar that everyone wants it? Why should I care that goverment owns it?

The thing that bitcoin is not owned by anyone, is truly amazing tho.

What does it mean "legit"? Legal? Of course they are going to be legal because the legal system is controlled by the governmen. The problem begins when they change the law to make their manipulations legal. They can do it and they will do it. The US Government unpegged the Dollar from gold. What makes you think they cannot go further and ban cash one day?
Introducing negative interest rates is one of the most common manipulations by governments.

See, my thoughts and analysis on this thread is this:
1. A system that's self sustaining is a proof of a solid business model.
2. If bitcoin doesn't need an injection of cash during financial crisis while the global economy needs intervention to survive shows that bitcoin is more reliable.

This goes a long way to show that crytocurrencies may be the future of currency.

Surely it is not going to be allowed in your country if it was not supported by the government lets just say that is was just not yet prioritize.

Still many people are more comfortable investing in government controlled investments because government controlled investments offer long term investment and if there is something wrong that happened the government will be liable for it, unlike cryptocurrency that offers short term investments and there are still other countries that are not yet accepting cryptocurrency. If cryptocurrency will last for more years I think many people would trust it anf more people will have the courage to invest their money in the cryptocurrency.

It is all because of security, they don't have to worry about the consequences since the government controlled investments are more or so something that the government won't disapprove of .

Government when it comes investments are a bit of a dictator and very controlled and unfortunately this limits the opportunities that the people get to have very limited.

Therefore thinking about the future , people do feel more secure in making a government approved and controlled investment.

It is all about security.
Security in respect to the value and security in respect to the government itself.

Because some people do not know of modern innovations such as Crypto so that people do not have confidence in Crypto.  As in the village where I live, people rarely invest in Crypto.  So when they have a lot of money they invest their money in institutions supported by the government such as banks.

If its a government bonds then you will gain profit on that whatever the status of the economy is, and that’s why many investors still prefer an investment like this, no risk but small rewards. If they are comfortable with this, then so be it after all its their money and we can’t force them to take more risk and earn more money.

That is there is the first concern and truly we can't deny that could help for it minimizing the risk involved. But somehow people are looking for more profit gains even they will face the high risk but still, they have to make it.

High risk = more gain

This is the main reason why people are getting interested in investing in crypto. And when the time has come that the government will be giving their string support in here, it surely a lot of people will rush to crypto.

People seek security when it comes to investment. Since there is no protection against scam/fraud in crypto people still choose to invest in government backed or listed copmanies. However, the risk that comes along with crypro investment is also the reason why crypto is profitable. Take note that in investment the higher the risk is, the higher the reward will be, it all falls on how you will manage the risk.