PREPARING FOR THE END OF BITCOIN DOMINANCE
When I first found Bitcoin I fell in love with the concept. I trusted the wise that were there before me. Anything, not Bitcoin was clearly just a scam to earn Bitcoin, it was all about Bitcoin. Yet. the more I looked into it, I realized I was in a bit of a cult, and I trusted the authority just because they claimed authority. Proof of Work was hailed as the best possible solution, and for distribution, I still think it is, but for long term consensus andstability there are serious limits as we are seeing now with Core and Bitcoin Unlimited.
I also realized early on that people kept talking about Bitcoin as gold, to the point that people associated Bitcoin with digital gold, helping to cement in people’s mind that it is a store of value. The problem is, we already have Gold and the price per troy ounce is the psychological limit to the price of Bitcoin. Give or take. This is not some silly trivial guess, I sold Bitcoin at the very top each time knowing that is actually how it works. People take shortcuts in their minds, it is digital gold, therefore the price is capped at around the price of Gold.
Over time I became more of apracticalist, as I saw the flaws of the purists and how they were actually just wrong on some issues, but whenever I saw someone threatening Bitcoin, it was like they were messing with my family, and I would go right back into cult mode wanting to protect Bitcoin. The truth is, Bitcoin is really a community takeover coin with great branding and the association with digital gold. The maximalists think it will always remain and conquer everything, but I now have my doubts. It will always remain, or for a very long time, but it may not maintain dominance forever.
I have decided that the path forward is acceptance, I have gone through denial, anger, grief and the rest, permanent Bitcoin dominance is simply unlikely however we feel about it, Bitcoin doesn’t care about our feelings any more than a honey badger, traders don’t care about them, nobody does. It may remain as a store of value or some type of commodity, but it will not conquer the world, but it could be the mother that gives birth the endless children that will spread and carry on the vision of Satoshi in a plethora of different ways. Those children may conquer it instead, in every way possible, in ways that many disagree with, but I can see now that may be what is coming.
Now, to specifics, what to do with the coming possible Brand disintegration and the threat to the Bitcoin store of value angle? Get out of Bitcoin, simple. The first thing I did was I moved some of my BTC into precious metals as that is as hard of an asset as it gets, right as Bitcoin waspeaking. I still believe in crypto, but in times of chaos and uncertainty diversification is the smartest thing we can possibly do. If we want to stay ahead, we have to think and plan ahead.
After that, I moved the rest of my Bitcoin into Alts. This is a personal choice and people should do their own research and not just trust my advice. I think it is clear Ethereum has the best shot at becoming the top cryptocurrency. Dash has done well lately, I just can’t see myself buying it for over $100 a coin when I once held thousands and was mining 15 a day with a couple GPUs, it might be worth buying, but I decided to go with PIXV for that angle as it could be like a Monero was to a Bytecoin, for some of the same purist reasons.
Ripple also reacted well with to the drop inprice of Bitcoin, and while they are not purists, it works perfectly and is lightning fast, and governments are not afraid of it, it is the most compliant project of them all. So I think XRP is a good option to have around. Nexus is by a friend of mine Colin Cantrell, and he is about as purist as they come, we don’t agree on everything, but if there is a low market cap angle for the next Bitcoin, I think this is something to consider. I also like Monero for the purist angle, yet they have limited funding by being so purist. Monero is however on the Dark markets, but they still have a CLI wallet to this day and most people are not comfortable using it. Ethereum is also coming to the Dark markets now, from what I hear anyway, and Zcash tech coming to Ethereum, that is a lot of competition. That leads me to now recommend Ethereum as a strong buy.
Here is a summary of what I think are the best options, assuming Bitcoin loses dominance, which I think is highly possible at this point:
Disclaimer: I am a co-founder of Expanse so of course, I love it, but many other people do as well, check it out. This is all pure speculation and opinion. I manage to stay afloat by never getting wiped out and always staying diversified, ever since I changed from Bitcoin only, to Bitcoin and Litecoin. I could be totally wrong on this, I could be right. It is up to you to take the risks or avoid them as you see fit.
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