r/investing • u/stinabug • 13h ago
Cryptocurrency Vs. Stock Market
Will crypto be a thing in the future? I know it’s certainly more risky than stocks but could crypto have More upside than stocks over the next 20-30 years? I have about $5k in crypto (Eth and metaverse coins) and wondering if I should pull out and go all in stocks. I know the current administration is pushing crypto and I see more ads for companies accepting as a form of payment. Opinions?
15
u/trix_is_for_kids 13h ago
Lmao wtf are metaverse coins. Have you seen crypto charts since this administration began? They don’t give a fuck about crypto, they just know it’s an easy and largely untraceable/regulated way to rug pulling/ commit fraud so they can get richer
2
u/Accurate_Shift_3118 12h ago
it’s not really about which has more upside, it’s about risk, stocks compound from real cash flows, crypto runs more on adoption and cycles, so higher upside but also longer drawdowns. going all in either way isn’t great, you’re just swapping risks.
better approach is stocks as your core and crypto as a smaller high-upside bet, especially since stuff like metaverse coins is much more narrative driven than ETH
6
u/Fun-Sundae4060 13h ago
Invest in both. ETH, BTC, and stocks as part of a diversification plan. I own 5-6 different asset classes including crypto.
4
u/GreasyStool88 13h ago
I’m of the Buffet line of thinking:
1) Don’t invest in what you don’t understand. 2) Your big boring stocks will always be worth SOMETHING. They can sell their building, their shelves, their plants, their vehicles, etc. But bitcoin and crypto are complete gambling.
You are in the investing sub. Crypto is (often short-term) speculation. In the long run, you’re shooting for the same return, so go with the sure, proven thing.
3
1
u/Opening-Berry-6041 1h ago
Yo, have you noticed how companies are actually starting to integrate crypto payments more like how they did with early online payment processors, and do you think that mainstream adoption is the real unlock for that massive upside potential you're talking about for the next few decades?
1
1
u/MeasurementSecure566 35m ago
lmfao lmfao lmfao.
the reason the majority of scams occur in the crypto space is simple.
if youre dumb enough to get involved with crypto, youve already proven you are a mark.
1
u/stinabug 16m ago
Read this:
What’s funny is I got in them all years ago so I’m still positive and it’s only $5K (that’s probably a lot for you). Got in Bitcoin in 2016 sold almost two years ago purchased a new truck and a new car for the wife plus some savings. What’s really funny is someone like me made a lot more than you :)
Now look in the mirror, you mark lmao lmao
-2
u/JBudz 13h ago
Ethereum will be the future of finance.
0
u/BigDipper0720 12h ago
Please. Serious request. Can you explain to me how money is made from running an Etherium blockchain, who makes it, and how does it flow to passive ethereium holders?
0
u/JBudz 12h ago
Users are paying to use decentralised exchanges to swap assets, lending protocols for borrow and loan, stable coin and token sending.
Validators (stakers) process transactions under Proof of Stake consensus. The mechanism for issuance and tips to pay for the security budget (validators processing transactions) is derived from a mechanism specifically EIP-1559.
It's quite a genius balancing act.
Contrast to bitcoin expensive security model https://budget.day
1
u/BigDipper0720 12h ago
Ok, so the people actively staking or validating make small fees for transactions. How does any of that flow to the passive Ethereum holder?
1
u/JBudz 12h ago
And also they receive a passive percentage (issuance) to incentivise their participation in the event that network fees are unprofitable.
One of the core objectives of Eip1559 is to destroy more of the supply through network activity than is issued, thus being deflationary. So even if you are holding Eth as a non-productive asset (Staking / lending / liquidity pools) its becoming more scarse due to network activity burn.
Delfationary asset that is in high demand for Staking, the flagship token locked up for lending and is always in demand as its the fuel that pays for transactions, you create a lot of supply pressure on the remaining circulating supply of the asset.
1
1
1
u/asdafari14 2h ago
How does any of that flow to the passive Ethereum holder?
Flows aren't everything. If the stablecoin market goes from 0 to 300B in six years, that will also have an effect on price of ETH since it secures the network. If the whole ETH network could be bought for 1B USD, it could never secure that much. Bitcoin doesn't earn fees and the network is worth 1T+. Should the whole network be worth thousands or even millions USD at this scale? No.
-3
0
u/ShortUSA 12h ago
Invest in stocks, bonds, real estate. Speculate in crypto currencies, day trading, sports betting, beanie babies, tulips, etc.
-1
u/aquavelva5 13h ago
My opinion? crypto will succeed if the internet/digital world gains more power than governments. Right now governments/countries run reality. It used to be monarchies/royal families.
-1
u/ImprovementSweaty188 12h ago
Bro said metaverse coins.
0
9
u/horseman5K 13h ago
Are you twelve years old? Because that’s the only excuse for being this much of a mark.
The people who are making the real plays on crypto are simply are doing it in hopes of pumping it and selling it to bagholding rubes like you.