CrowdConscious on Medium

Hey Fellow Steemians and Cryptocurrency Traders!

Alright, so many of you might be thinking to yourself right now;

"How am I ever going to survive now that my cryptocurrency portfolio is down 30-50%+!? Might as well just sell in order to prevent further losses....frustration"

The short answer?

BUY MORE.

Wait...am I really saying that now is a better time to buy than ever!?

YES.

How can someone possibly say that!?

Would you really sell your Siacoin at this type of discount!? If I bought $SC at 622 Satoshi (.00000622 BTC), why in the world would I get rid of it right now at 294?

But it gets worse...

If I bought at .00000742 BTC and sell at .00000294 BTC.... = .00000448 BTC difference!

Okay great....you're down at least 50%, why would anybody in their right mind continue putting money into a market that is seemingly in free-fall?

I personally believe in the communities in which I have placed my investments. Simple as that.

I look at Siacoin $SC and think to myself,
"Wow. Siacoin is on major discount right now. 294 sats? Hell, I saw it spike up to a high of 838 sats!"
Even if this is The Great Shakeout, I'm positive that many of the top 50-100 cryptocurrencies are going to return to or far past their highs before this happened. They truly have the capacity to disrupt Dropbox.

The August 1st Bitcoin update is what is driving a lot of this market retraction, but we have to keep in mind that many of these cryptocurrency tokens have a development team behind them, working on the technology they issued their token for during the ICO. With that said, a drop in price, relative to Bitcoin, does not matter all that much for most of the other coins when it comes to their roadmap and development of technology. I do, however, see this "shakeout" as a test of the each one of the 950 cryptocurrency /digital asset communities behind the coin.

You see, we have had a TON of ICOs or Initial Coin Offerings, also known as token sales, crowd sales, token creation event, crowdfunding, and there are more terms being created as we continue to expand this lively community. Unlike traditional, regulated methods of capital acquisition, ICOs do not have heavy and expensive regulatory burdens that prevent the offering from occurring. Instead, it's quite the opposite.*

We see ICOs coming out for literally ideas. No MVP or minimum viable product, prototype, or working product...just a white paper that is synonymous with the Private Placement Memorandum (PPM) companies in the US traditionally develop. Unfortunately, these white papers don't have much of a standard of evaluation - **much like the PPMs being full of 30 pages of legal jargon that essentially hides what is really happening with the money from the investor...who gave their money to support the project.

Lack of standards truly make it hard to evaluate such robust projects, which in turn, leads to the success of the ICO campaign largely falling on how well and legit the marketing firm can help the ICO gain exposure and the legitimacy of the website and ICO strategy. Some marketers are GREAT and understand how to leverage resources to make the idea behind this ICO look like an operational company. This is a pretty obvious indicator if we look at how many of these ICOs are trading. Not only are a majority of these ICOs majorly down-trending after ICO launch, but they don't have a product to offer NOW.

They are a startup that raised the money to develop that product. This drew in speculators who saw an awesome presentation on the website, looked like a legit team, and put their money in...only to realize it would be another 12-24 months until the product/service was complete - this leads to an instant sell off on exchanges.

MobileGo-GameCredits is a great example of a token that launched too early, but is close to a prototype.

GameCredits-MobileGo Mobile Store

GameCredits has been around for some time. They launched a second token called MobileGo. This one is used a lot more in Peer-to-peer games and player run tournaments. This token also has a buyback feature built-in. 10% of quarterly profits in the GameCredit Mobile App Store is used to buyback MobileGo tokens and BURN....decreasing the supply of the token over time and only increasing the value as userbase and demand increase - take a look at the picture above to get a better idea...notice how 50% of their $53m ICO will be used to on-board users?

GameCredits Mobile App Store

With this type of company model, the company behind these tokens does not need to increase in value for investors to realize a profit from their investment. The value of the token will increase in value as their userbase increases. It's almost like your equity shares in a company, but it's directly integrated into EVERY ASPECT of that company, not just what media says, but actual usage of that company's services.

So my ultimate conclusion is that:

• Speculators and early adopters are the major players right now in the cryptocurrency space.
• Users are the consumers that have NO IDEA what cryptocurrency is or how it's going to affect their lives.
• The value of these coins will increase as much as their community expands, which hinges on their value proposition to the user that joins their community. REAL communities.
• Buy more and HODL

Hope you enjoyed this and got some helpful insight about the health of the cryptocurrency market. It's not dying...it's just very early and us speculators and early adopters are simply pumping the price higher than it's currently worth. Feel free to give me a follow on Steemit or Medium, whichever you prefer - all shares, upvotes, favorites, and comments help - your input is too!

@CrowdedMind on Steemit
@CrowdConscious on Medium

Below are resources for beginner cryptocurrency traders or enthusiasts who may want new places to buy cryptocurrency:

• HitBTC Exchange — major exchange, access ICOs on the exchange
• CoinBase Wallet/Exchange to buy Bitcoin/Ethereum/Litecoin w/ Fiat — this link gives us each $10 when you purchase $100 :)
• CoinTracking — Your personal Profit / Loss Portfolio Monitor and Tax Tracker for all Digital Coins
• Steemit resources post w/ multiple links