Why you shouldn't invest in the crypto currency?
Disclaimer - I have invested 1% of my savings into stable cryptocurrencies such as Bitcoin and Ethereum etc.
Let’s talk about slot games first. Most of them are designed in such a way that you will win only 49% of the time and the rest 51% of you will lose. So, you have a negative mathematical edge. If you play few slot games, you may earn some money but if you continue playing for a longer duration, you will ultimately lose money.
Cryptocurrency returns are a zero-sum game i.e. if 1 person gets a $10 profit, another person has to lose $10. So, it is the same as gambling where if you are winning, someone has to lose. To win in gambling, you must have a mathematical positive edge over your competitors.
In my cryptocurrency world, no one really has a positive mathematical edge in cryptocurrency i.e. no one has such information which makes them better than other crypto investors. So, it is impossible to make a profit in long term.
Why do I invest? I believe staying longer for longer period creates a mathematical edge as people in short term either book small profit and leave or accumulate huge loss and wait for price coming back.