馃攳
Crypto CRASH today!--fundamental analysis of Cryptos | QnA - YouTube
Channel: unknown
[0]
hi everyone welcome to today's video so
[2]
today's video is super exciting super
[4]
interesting for the simple fact this was
[6]
the first time i asked all of you to
[8]
send me your questions on twitter and a
[10]
bunch of people asked me a ton of
[12]
questions on twitter regarding
[14]
cryptocurrencies so on this video i am
[16]
going to help you understand what
[18]
critics like mr rakesh indian walla mr
[20]
warren buffett what is their viewpoint
[22]
on cryptos what is my understanding of
[24]
it i am going to do a very unfiltered
[26]
conversation with all of you on this
[28]
topic
[29]
few very important disclaimers so first
[31]
and foremost i am a crypto moderate what
[33]
do i mean by that okay so there are
[35]
essentially two other categories of
[37]
people one would be crypto optimist
[39]
right or super optimist they would say
[41]
that you know what crypto is literally
[42]
everything 100 of our portfolio isn't
[44]
crypto i'm not that on the flip side we
[47]
will have crypto sms they will say that
[49]
okay you know what crypto is completely
[50]
fluff it's here it's dark currency this
[52]
is that okay i'm somewhere in the middle
[54]
and i'll explain you the reason why also
[57]
why am i in the middle and i'm
[58]
allocating 10 to 20 of my portfolio now
[61]
to crypto investments every single month
[63]
in sip format that's about me now the
[66]
reason why i'm qualifying this is very
[67]
simple that i do not want to sway you in
[70]
one direction or the other i'll just
[72]
tell you the hardcore fact so that you
[74]
can make a decision for yourself whether
[75]
it makes sense for you to start taking
[77]
little bit of positions i am not saying
[79]
go and invest all your money in this no
[81]
absolutely not stay diversified i myself
[83]
am diversified so stay diversified but
[86]
consider it as another asset class so
[88]
from that angle we will start the
[89]
discussion and first and foremost let's
[91]
understand mr warren buffett's viewpoint
[93]
and
[94]
this is one of the videos that i could
[96]
find so let's quickly hear his side of
[97]
the argument and then i'll give you my
[99]
perspective on it in terms of
[101]
cryptocurrencies
[102]
generally
[104]
uh i can say almost with certainty that
[107]
that they will come to a bad ending now
[109]
when it happens or how or anything else
[112]
i don't know but i know this if i could
[113]
buy long-term puts if i could buy a
[116]
five-year put
[118]
on every one of the cryptocurrencies
[120]
i'd be glad to do it but i would never
[122]
short of times work have you thought
[124]
about trading futures to take a negative
[126]
position on bitcoin no
[128]
you would not do that no there's no re
[131]
there's no reason i i get into enough
[133]
trouble with things i think i know
[135]
something about why in the world should
[136]
i take a longer short position to
[137]
something i don't know anything about so
[139]
uh you know we don't have to know what
[141]
cocoa beans are going to do or
[143]
or any cryptocurrencies we just have to
[146]
focus on eight or 10 stocks that
[148]
businesses basically that we think are
[149]
decent businesses
[151]
but i do think that i think what's going
[153]
on definitely will come to a bad ending
[155]
i mean you've got
[156]
virtually everybody i i have a class i
[159]
have 11 schools coming on friday
[161]
the questions will be on bitcoin
[164]
and i won't know the answers
[166]
although when we sat down warren you did
[168]
say i should have announced that we were
[169]
getting involved in bitcoin this morning
[171]
well that is true i mean
[173]
to uh
[174]
that would be much more interesting
[176]
to the audience that that we were going
[178]
to issue a whole series of
[180]
cryptocurrencies tomorrow but no we
[182]
aren't believe me and we don't own any
[184]
we're not short anything we'll never
[185]
have a position in them
[187]
all right so of course mr warren buffett
[189]
knows more than me so please don't
[191]
bother typing it out in the comment that
[192]
he actually do you think that you know
[194]
more about investments than mr warren
[195]
buffet absolutely not right he's a
[197]
genius he's wonderful in his style of
[199]
investing i completely respect it but
[201]
i'm just critiquing the video so the
[203]
anchor asks him that hey if you're so
[205]
sure that the cryptos are going to go to
[206]
dust they will become zero why don't you
[209]
short cryptos right so mr warren buffett
[212]
can buy futures contract on this and he
[214]
can short the crypto where he will sell
[216]
cryptos right now and can buy it when
[218]
the prices fall so this functionality is
[220]
there but mr warren buffet is not
[222]
adhering to it and he does not want to
[223]
put his own money on that the
[225]
explanation in his own word is that he
[227]
himself does not understand much about
[229]
cryptos and it's completely fine for
[231]
example there are multiple investors who
[232]
have their own investing style for
[234]
example mr warren buffet himself he's a
[236]
value investor he is not a growth
[237]
investor per se similarly you have mr
[239]
bhunish babrai who tends to buy stocks
[242]
really cheap he's a deep value investor
[244]
then you have mr ray dalio who is a
[246]
growth investor then you have kathy
[248]
woods who is a more tech oriented
[249]
investor so every investor cannot know
[251]
possibly everything in the world but
[253]
each of them are entitled to have their
[255]
own viewpoint so if you watch other
[256]
videos of mr warren buffet he
[258]
categorically says that cryptocurrencies
[260]
have no value
[261]
it is just a pure speculative instrument
[264]
so this is what i would say that there
[265]
are problems in the world which
[267]
cryptocurrencies are solving let me give
[269]
you practical examples of it for example
[271]
right now nsc and bsc only trade in
[274]
certain operating hours why because it's
[276]
a centralized exchange on top of that
[278]
there are a bunch of glitches that
[279]
happen with on nscbse also and bunch of
[282]
different different things these are
[284]
centralized exchange there is some
[285]
regulatory party behind it on the flip
[288]
side crypto currencies such as ethereum
[290]
they power something called as
[291]
decentralized exchanges called as dexes
[294]
now you might say that okay actually you
[296]
know what regulatory body is controlling
[297]
nsc bsc sounds like good something goes
[300]
off they can probably step in
[302]
yes but they can do it for the worse
[304]
also for example the entire robin hood
[306]
episode that happened where a bunch of
[308]
hedge fund managers tried to short a
[310]
stock and then retail investors took an
[312]
opposite position on it but robin node
[314]
suspended trading so that was a
[316]
centralized decision and retail
[317]
investors got messed up from that
[319]
perspective now all the time these type
[321]
of things happen where big investors win
[322]
and small investors lose with
[324]
cryptocurrencies this is the first time
[326]
in the history of finance that
[328]
institutional money is coming in later
[330]
in cryptocurrencies compared to retail
[332]
money this is the only financial asset
[335]
in the world but usually what happens in
[337]
centralized exchanges is that for
[338]
example look at any ipo story look at
[340]
mrs vector ipo
[342]
now investors who invested early pre-ipo
[346]
right these are big investors they got
[347]
all the financial data they got cheap
[349]
valuations of mrs vector then basically
[352]
the entire ipo was offloaded on retail
[354]
investors who ended up losing a lot of
[356]
money and still if you check mrs
[358]
victor's ipo prices from the listing
[361]
date till now it has only gone down and
[363]
massive amount of money has been lost
[365]
who has lost this money retail investors
[367]
so working with the assumption that
[368]
cryptocurrencies have no value it's
[370]
incorrect decentralized exchange is one
[372]
such core concept that you must
[374]
understand second core concept is
[376]
decentralized finance right for example
[378]
when you go and transfer your money to
[379]
the us you have to pay three to four
[381]
dollar fee to a bank what for why do you
[384]
need this middleman if it can be done by
[386]
technology it is like saying this that
[387]
you know what i will still keep sending
[389]
postcards despite me having to spend
[392]
five dollars in sending every postcard
[393]
no you can go and send an email for free
[395]
so same is the argument here that you
[397]
can use cryptocurrencies to make all
[399]
these trades similarly you can use these
[401]
d5 systems to make the process smoother
[404]
faster transaction fee literally being
[406]
close to zero because there are no
[407]
middlemen involved so i got some really
[409]
good questions on my twitter feed if you
[411]
understand the logic here you will
[412]
understand and learn a lot about
[414]
cryptocurrencies all right so let me go
[416]
through it one by one so one i just
[418]
don't understand the concept of buying
[419]
alt coins like bitcoin so this question
[422]
comes from mohammed ansari he simply
[424]
says that you know what i don't
[425]
understand the concept of fault coins
[427]
what exactly can we do with it is it
[429]
like a stock what value does it have
[431]
again i gave you the entire example of
[433]
ethereum earlier now ethereum is an
[435]
altcoin and you can do a bunch of
[436]
decentralized finance with it build dick
[438]
says build a metaverse and these
[440]
applications are being designed as we
[441]
speak but just to help you understand
[443]
better the difference between bitcoin
[445]
and something like ethereum which is an
[446]
altcoin use this analogy so bitcoin is
[449]
like gold right it's like digital gold
[452]
ethereum is like digital oil right so
[454]
these are words of winklevoss brothers
[456]
who has said this particular phrase so
[458]
ethereum is like digital oil what does
[460]
that mean so for example when you use
[462]
oil in the real world what can you do
[464]
with it you can get petrol out of it you
[466]
can manufacture chemicals out of it and
[468]
bunch of different different things
[470]
similarly from ethereum which is digital
[472]
oil you again can do a ton of different
[475]
things so the second question comes from
[477]
and you can check the question here so
[478]
mayank mentions that you know what do
[480]
you think that governments will give up
[481]
on their entire entitlement of printing
[484]
currencies honestly this is not a debate
[486]
of who prints currencies governments
[488]
number one make a lot of money from
[489]
cryptocurrencies through taxation yes
[492]
you have to pay taxes in terms of buying
[494]
and selling cryptos if you're doing it
[495]
at a profit so you have to pay taxes so
[497]
that's one second is that it is more
[499]
about governments missing out on
[500]
innovation for example cardano is
[502]
working at national level with various
[505]
governments to roll out different
[507]
blockchain systems that solve a lot of
[509]
issues
[510]
how for example let me give you the
[511]
example of uidai which is the aahar card
[514]
in india now you might have seen when
[516]
adarkad was launched in india there was
[518]
so much friction right that you have to
[520]
go you have to get yourself registered
[521]
then someone will manually verify all
[523]
the different data inputs check your
[525]
nationality all that stuff right so
[527]
there was a bunch of back end that took
[529]
time to roll out now if you put such a
[532]
system on blockchain which is verifiable
[534]
which is beyond the scope of this video
[535]
i can't explain you blockchain on this
[537]
short qna format video but essentially
[539]
you need to understand that this entire
[541]
operation process can be automated by
[544]
putting a code in between right i need
[546]
identity i need to convert my identity
[548]
into an aadhar card now whatever
[550]
processes need to be established around
[552]
it it can be put on a blockchain it can
[554]
be executed very smoothly at a fraction
[556]
of a cost at a fraction of a time now do
[559]
you think that that is not something
[560]
useful and cardano is doing something
[562]
similar at a national level already so
[564]
governments tend to benefit a lot
[566]
through cryptocurrencies let me give you
[568]
another example so these days there is a
[570]
debate that is going on the d5
[572]
decentralized finance is going to
[574]
replace traditional banks now let's
[576]
imagine a scenario that indian
[578]
government does not adopt decentralized
[580]
finance right it keeps on doing whatever
[582]
it is doing and let's hdfc sbi and all
[585]
the other banks run the show right
[587]
do you think that india's banking system
[589]
will stay comparative compared to other
[592]
countries that are adopting d5 no
[594]
absolutely no and do you not think that
[596]
this will cause issues for a country
[597]
like india and this is the precise
[599]
reason why governments are not putting
[601]
blanket bans on something like cryptos
[603]
only north korea and china can probably
[605]
do it you can't stop innovation it is
[607]
like stopping the new internet you can't
[608]
do it on another note the adoption of
[611]
cryptocurrencies is faster than compared
[614]
to the adoption of internet that's a
[615]
very interesting fact that you should
[617]
know now next question comes from manish
[619]
and this is the question here so money
[620]
simply asks that you know what when i
[622]
buy a stock
[623]
there is some authority behind it but if
[625]
i buy it on an exchange and someone
[627]
steals my cryptos what am i supposed to
[629]
do so number one crypto exchanges are
[631]
insured that's one number two are crypto
[634]
exchanges hand yes they are sometimes
[636]
hacked and therefore it is said that
[637]
whenever you purchase a crypto please
[639]
buy a wallet and pull all your cryptos
[641]
onto your wallet now you need to
[643]
understand the fact that as the crypto
[645]
world is evolving all these problems
[647]
regarding exchange hackings and bunch of
[649]
other different different things they
[650]
are also coming down because better
[652]
processes better systems are being
[654]
integrated into the system it is like
[656]
saying this when digital banking started
[658]
in india back in the early 2000s do you
[660]
think the process was smooth absolutely
[662]
not right even now up until very
[664]
recently we used to have such a hard
[666]
time transferring the money immediately
[668]
we used to wait for hours to send our
[669]
money it's only through upi the speed of
[672]
transaction improved there were security
[673]
concerns there are security concerns
[675]
even on twitter sometimes amitabh
[676]
bachchan's twitter accounts get hacked
[678]
and you know bunch of different
[679]
different thing happens but that does
[680]
not mean that the technology itself is
[682]
bad it just simply means that crypto
[684]
exchanges need to have certain security
[686]
measures in place and that is precisely
[688]
the type of regulation that the
[690]
governments can bring with time so next
[692]
question comes from abhishek this is the
[693]
question so abhishek simply says that
[695]
you know what bitcoin has been touted as
[697]
a medium of exchange for years but very
[699]
few people use it for transactions and
[701]
salaries so number one i pay my manager
[704]
in bitcoin she's asked me half of her
[706]
salary in bitcoins i'm paying salaries
[708]
in bitcoin i receive money in bitcoins
[710]
lot of businesses pay me in bitcoins
[712]
also so yes salaries it's already
[714]
happening there are a bunch of apps you
[716]
can even do your mobile top up through
[718]
bitcoins it is possible and i will show
[720]
it to you now anand asked me that what
[722]
are bitcoin etfs are they safe to trade
[724]
now bitcoin etfs are getting listed on
[726]
u.s stock exchanges they are safe to
[728]
trade there is absolutely no problem
[731]
interesting part is that institutional
[732]
money will flow into these bitcoin etfs
[735]
that will further pump up the prices of
[737]
different cryptocurrencies that has
[738]
already started happening there is
[740]
massive import of institutional monies
[742]
into cryptos now i'll probably have to
[744]
make a separate video on bitcoin etf but
[746]
i hope this helps you understand that
[747]
etfs are literally tradable on a u.s
[750]
exchange and you can go and buy and sell
[752]
it very very easily now arvind asks me
[754]
that how can crypto achieve mainstream
[756]
adoption so when is it that more and
[758]
more people will start adopting cryptos
[760]
there is something called as metcalfe
[762]
equation so essentially he talks about
[764]
the network effect that goes into
[766]
building the network for any new
[768]
technology so for example when facebook
[770]
came now how would you ascertain the
[772]
value of facebook you can do it by using
[774]
this metcalf method that he talked about
[776]
in his research paper what it simply
[778]
means is that as the network grows the
[780]
value of that network grows with it for
[782]
example facebook's growth was
[784]
exponential and so as the facebook's
[786]
network grew its value also kept on
[788]
going up and the adoption also increased
[790]
very very effectively now something
[792]
similar in fact something better is
[794]
happening with ethereum in terms of
[795]
adoption the adoption rate of ethereum
[798]
has been very very high a lot of
[800]
decentralized applications are being
[802]
built on this particular platform this
[804]
new technology is finding lot more
[806]
developers and use cases now what are
[808]
use cases use cases simply means that if
[810]
you can use that particular platform it
[812]
can give you more returns so to say for
[814]
example right now if you go and put your
[816]
money in a fixed deposit how much money
[818]
will you make will make six seven
[820]
percent but if you do yield farming
[822]
properly on an ethereum based dap like
[824]
uni swap you can make up to 100 yield
[827]
which is massive right there is a very
[829]
specific use case and a lot of users
[831]
will start jumping on this as soon as
[833]
they realize it
[834]
now pantop asks what if indian
[836]
governments ban all the transactions to
[838]
and from the crypto exchanges
[840]
i don't think that that will happen
[841]
first and foremost even if you have the
[843]
custody of those coins you can transfer
[845]
it to some other network these are not
[847]
controlled by the government so you can
[849]
transfer your bitcoin sitting in india
[851]
from your wallet to a us-based wallet no
[853]
one can do anything about it now a
[855]
second question is that what if these
[857]
different companies apple facebook etc
[859]
they launch their own coins facebook is
[861]
already in the process of doing it
[863]
it doesn't make any difference because
[866]
again facebook by launching its own
[868]
network it is trying to get more and
[869]
more people to use it there is a lot of
[871]
resistance against mark zuckerberg to
[872]
begin with it's very difficult for him
[874]
to build another facebook and gain
[876]
similar traction especially when
[878]
something like ethereum exist because
[880]
network effect also happens on certain
[882]
platforms only it's not as if that if
[884]
someone creates another ethereum 9.0 or
[887]
if akshat create ethereum 10.11 then
[890]
more people will come on this absolutely
[891]
not because one alpha thing is already
[894]
there and people have already moved
[895]
towards it lot of standards and
[897]
processes and systems have already been
[899]
built around that now let me answer a
[901]
few final questions here now this is the
[903]
question by jafari says that he i
[904]
purchased some cryptos but i lost it due
[906]
to exchanges fault
[908]
now honestly this is a decentralized
[910]
exchange right decentralized exchange
[912]
means that there will not be people
[913]
sitting on your head teaching you what
[915]
to do what not to do so you must
[916]
understand learn about the subject only
[918]
then engage in cryptocurrencies please
[920]
learn how to keep your coin safe if you
[922]
can't do it then please don't interact
[924]
in that commodity please do fd
[925]
investments that's the only viable
[927]
solution left now if you go and invest
[929]
your money in some random app or random
[931]
wallet or if you buy really ridiculous
[933]
coins it's like saying that i purchased
[935]
a really ridiculous stock and it turned
[937]
to zero it is unfortunately your fault
[939]
that you ended up making a bad
[941]
investment so please don't do that
[943]
please research about platforms that
[944]
you're using for example i use world why
[946]
because it has been backed by one of the
[948]
most prominent vcs in the crypto space
[951]
it has been backed by peter thiel's
[952]
foundation these are all fundamentally
[954]
good players who make sound investments
[956]
to begin with now avi asks and this is
[958]
the question and this is a very good
[960]
question that what type of regulations
[961]
do you see coming in for
[962]
cryptocurrencies
[964]
okay so there can be bunch of different
[966]
regulations that can come for
[967]
cryptocurrencies for example there can
[969]
be some set of guidelines and standards
[971]
in terms of launching your crypto
[972]
exchanges there can be some kind of
[974]
regulations in terms of advertising
[976]
cryptocurrencies there can be some
[978]
regulations in terms of launching the
[980]
icos right that it has to pass some
[982]
standard when it is coming and launching
[984]
its own decentralized applications so
[986]
regulations can be on multiple front
[988]
it's super difficult to control right
[990]
now because we don't know to what extent
[992]
this ecosystem will get developed so
[993]
very difficult for me to give you that
[995]
answer but these are some of the key
[996]
points that i can think of right off the
[998]
bat now this final question is from
[1000]
aryan he says that hey with d5 coming in
[1002]
banks taking a hit do you think that
[1004]
governments in order to save banks will
[1006]
ban cryptos
[1007]
no actually if some technology is better
[1010]
if it replaces a bad system why not do
[1013]
it government will anyways make money
[1014]
from investors at the end of the day if
[1016]
there are more people who are coming and
[1018]
building more businesses systems and
[1020]
platforms on cryptocurrencies like
[1022]
ethereum then what is the harm in that
[1024]
as long as it solves actual problems
[1026]
which good cryptos are solving there is
[1028]
no bias that government would have on
[1030]
this front but just to quickly summarize
[1032]
a few important points from this entire
[1034]
chart first and foremost the world is
[1036]
big enough for everyone to coexist it is
[1038]
not like as if that cryptos will replace
[1040]
cash and one has to win over the other
[1042]
we can all coexist similarly
[1044]
decentralized and centralized finance
[1046]
systems can also coexist second from an
[1049]
investor viewpoint if you are trying to
[1050]
dabble with cryptos by only gold
[1052]
standard cryptos as of now which is
[1054]
ethereum and bitcoin start there
[1056]
understand more about the space then
[1058]
ramp up your investments don't get super
[1060]
fancy literally on day one third be
[1062]
sensible learn how wallets work how you
[1065]
can transfer how you can keep your
[1066]
investment safe these are basic basic
[1068]
things that you should be doing so as
[1070]
long as you're doing it don't worry too
[1071]
much about regulations and all those
[1073]
different things so i hope you enjoyed
[1075]
the video and i will see you the next
[1076]
time
[1083]
you
Most Recent Videos:
You can go back to the homepage right here: Homepage