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RE: Do you think Cryptocurrency investing is a zero sum game?
Derivative trading on Cryptos would be zero sum... technically Investing shouldn't be zero sum. If there is underlying value in the asset then this prevents it from being totally zero sum
Exactly this. Asset prices are ultimately based on underlying value.
The stock exchange indexes buy companies that produce goods and services and expect to generate value in the future, so people are willing to pay for them now. If you believe productivity increases over time, this increases the goods and services the underlying companies can generate in the future. This means people will buy the company stock and this increases prices for the stock today.
This means that the stock market gets bigger. It's when a pie bigger, there are more slices for everybody. More slices for everybody and it is not zero sum game!
Crypto is similar if you believe that crypto improves productivity in some way. If crypto increases productivity the value of the pie gets bigger for everyone and the game is not zero sum. When crypto-based productive services increase in value, the people using those services need to spend crypto to use those valuable services. To get that crypto to spend on the valuable services, people will have to buy crypto and that would increase the price and therefore increase the value for everybody.
So your question is where does that productivity come from? The answer is decentralization. Decentralization makes things that were once hard for everybody to do and makes it equal for everybody. Things like payment, publishing, creativity, trading, banking were once really hard. Crypto is another step in giving the power and profit from these things into the hands of the individual. Thus improving the productivity of its users.
Increased productivity, bigger pie. More pie, more slices. More slices -> Not zero sum :)
So as a community we need to find more applications for Crypto so that it gains asset value in society
Apart from that huge craze 3 years ago, we hardly hear about crypto in the mainstream world.