What are the risks of cryptos tied directly to BTC?


#1

because ada is tied to bitcoin what risks or benefits does that bring with it? I assume when it gets on more exchanges (coinbase, kraken) it will be pegged to the USD as well as it could be exchagned for fiat instead of having to exchange it for BTC than fiat.

Any ideas or thoughts?

Thanks :slight_smile:


#2

I have recently sold almost all of my ERC-20 shitcoins and ALTs after realising how poorly they were performing against BTC, even though their USD price seemed to be increasing!

By default, coinmarketcap.com will show you prices in USD. It occurred to me how misleading this can be, especially if you have purchased your ALT with BTC. This is comparing apples and bananas!

IMO, there are VERY few ALTs that are worth spending your BTC on. I trust ADA is one of them.


#3

The only risk is that BTC will go up more than ADA and your 1000$ ADA is worth only 800$… not saying this will happen :stuck_out_tongue: it’ll probably be 800.000$ :cowboy_hat_face:
True, and when Charles and his super team complete the interoperability feature you’ll see some next level stuff. Crypto hitting mainstream, perhaps you’ll buy BTC with ADA then :smile:


#4

ADA/USD pairing on Mr Ripple exchange.
But it seems they only serve japanese customers?


#5

I have just seen this tweet and had to share it here. The author coined it "The Bitcoin Dilemma"


#6

great post. BTC out performs all coins so drastically that it seems to be stupid to own any alt coins TBH.

It the price of BTC were more stable things would prob be a bit different but its incredibly volatile


#7

IMO people just jump on btc wothout even realizing you cant do that much with it. Ada has actual future usecases. People want just quick money. I want to invest in the future.


#8

Not only that but people look at the chart and believe that it will keep going up based on past performance. People are dumping cylinder blocks on top of a foundation made of thin ice. Sooner or later it will give way and BTC will suddenly seem like a horrible investment.

The only worry I have is when it does collapse, is how it will affect the entire landscape. The strong currencies will survive but will be hit hard, and the ones built off of broken promises will go away. The question remains is how well the public will view cryptocurrencies after watching bitcoin (the only well known crypto) fall.


#9

btc seems like the place to be to store value, not many seem to be concerned with commercial use. which is OK. but if ada can prove useful SCALABLE in a commercial setting it will dominate.

Currently there are 1300 coins (and growing). This is a bubble. But what happened after the internet bubble? The companies that were on a path to providing real value to a consumer or business survived, flourished, and dominated the market place. Ebay, QUalcomm, Cisco… all survived.

Good luck to all.