RE: The downside of over tokenization
I’m really excited about tokenization that it allows illiquid assets (e.g. real estate, business inventory, and collectibles) to become more liquid, recently I heard more and more news about selling or buying real estate property for crypto currencies.
I don’t like too much volatility of crypto since value of these tokens is determined by markets of supply and demand, but I guess this is what we have to get used to, at least for now.
The article mentioned downsides of tokenization. And I have to agree as poor people will probably sell their data to get by, whereas rich people can buy their privacy. And privacy is the most important to me when it comes to any investments.
I think this is one of the best ideas as a lot of the tokenization is facilitated by underlying smart contract blockchain platforms like Ethereum...With the increasing popularity of these new tokens, the underlying blockchain will also increase its network effects.
Well said @milano1113. Valid concern re vol, which will decrease over time as liquidity increases through greater adoption, market makers, ability to convert to fiat, etc.
I completely agree with you, I have no idea how people are getting through times like for example now, this correction, who invested all their money in to crypto. I have invested certain percentage of my portfolio with my mind set as just to forget it for the near future. In other words I’m a long therm investor. I bought at the prices where it’s approximately right now, but whatever happens, in worst case scenario I’m prepared to loose it all.
Thank you!
I hear ya re allocation to crypto. Some of my positions basis are around here as well. New investment vehicles will always be volatile, given markets that are open 24/7 globally, with instant settlement, that will be magnified as we see. It will take time. Hopefully with the financial markets acting like this past week and today, more investors will see crypto as not that volatile and as a legit asset class to have exposure to.