why litecoin will fail

Param Vir Singh. Several of them also here on bitcointalk, but none of them provides technical evidence of why Litecoin should be better (or even comparable) to Bitcoins. Since . There are a lot of people who believe that in order for Bitcoin to survive, there needs to be a mass exodus to another platform that would be faster and more reliable. why litecoin will fail. In 2013, 44 percent of the Bitcoin supply belonged to people who identify as Libertarian. Right now, it is the commercial banks that prohibit narrow banking. Two reasons. Rising Cost of Mining. As Bitcoin gained market traction, it became more difficult, expensive, and slow; now that it has dropped to its lowest point in 18 months, some are questioning its worth. On the other hand, beyond the zero bound, when the Fed is managing more routine monetary policy, it could more readily inflate the economy by increasing the rate of exchange for currency for CBDC and reduce inflation by decreasing it. There is a lot of excitement surrounding Bitcoin and cryptocurrencies, but we would like to sound a cautionary bell against investing in them. (Opinions here with respect to whether to buy, sell, or hold such companies, however, assume the company will not change its current practices). Disclosure: I own some bitcoin, bitcoin cash, litecoin, ether and EOS. It'll just take a moment. He has advised domestic and foreign clients in the tax-efficient structuring of legal entities, effective tax rate planning, mergers and acquisitions, corporate reorganizations, treasury operations, financial instruments, international taxation, tax accounting under GAAP, state and local taxation, and sales and miscellaneous taxes. Here are the top reasons. (Think Tulipmania or, more recently, the Dot Com bubble. It is the earliest one, so it is the most well-known, but I believe there are serious problems with bitcoin that will cause it to fail. Everyone's Down on Block. Even with the pandemic, there are now more than 11,000 cryptocurrencies in existence, up from about 6,000 in 2020, according to the website CoinMarketCap. Investing in bitcoin is not investing in blockchain tech. The advantages that bitcoin . Campaign collateral he developed for political campaigns has been used in university courses as an excellent example of persuasive campaign advertising. Once the trend fades away, we are left asking ourselves whether Bitcoin will actually manage to beat its competitors when the dust settles. "News of the halving pushed Litecoin prices" higher, saidJoe DiPasquale, CEO ofcryptocurrency hedge fund managerBitBull Capital, after which traders booked profits. Carnegie Mellon University - David A. Tepper School of Business. When the rollout is announced, "Katy, bar the door." "It threw everyone into a panic. There's minimal utility here. Virtually every business even vendors at farmers' markets - has everything from the Square credit card reader plugged into a telephone to a dedicated Verifone credit card reader to process payments. So, why arent they as popular? For this paradigm shift to occur and to benefit depositors and business, Congress will need to put aside the interests of its donor base from the financial services industry and act in the national interests. You might pay 10,000 BTC to buy a pizza today but if the Bitcoin prices triple next week, the whole . But it is not. Thats it. They insisted that his father, a wealthy investor, pay 100 Bitcoin ($2.3m) for his son's return. There is no supporting entity that is charged with effectively maintaining the value of the cryptocurrencies. why litecoin will fail. This is pure profit taking by people who are smart enough to know that LTC is neither bitcoin, nor is it ethereum," he stated. Feel free to do your own research, but from my experience, both blockchain technologies are also better suited for modern banking. At the beginning of the Bitcoin project, Satoshi was able to guide the coders who helped create the platform any time they had a question. They have proven that they can work with large corporations, banks, and credit card companies. The most obvious disaster scenario is a speculative bubble followed by a crash. In most countries, the cost of electricity to run these computers is actually more than what the digital currency is worth, which makes it pointless to even try. Fiat money has the value of the guarantee of the government that issues it. Intuitively, one would expect that increasing the block capacity would solve this scaling problem. "Bitcoin is a nothing-burger . Litecoin Has Climbed More Than 1,700% Year-To-Date - Forbes. That plan, known as SegWit2x, was eventually called off, and it resulted in another sharp spike in the price of the original Bitcoin.[8]. The major company that runs the convention is called Society for Worldwide Interbank Financial Telecommunication (SWIFT). Close Menu. The chart below depicts the long-term sentiment of these cryptocurrencies: Long-term sentiment scores of major cryptocurrencies. "Litecoin hasnt been the same since that announcement," he stated. Litecoin prices have declined sharply from their 2019 high, suffering significant lossesas the digital currency struggles with numerous challenges. Last, but not least, all next-big-thing investment bubbles eventually burst. Euromoney explains Blockchain in greater detail. Even if they could change everything in an instant, would they really be prepared to push the big red button to begin the end of the world? A majority of crypto enthusiasts have always believed that Bitcoin is the only cryptocurrency that is truly worth investing in. There's another reason why so many cryptocurrencies fail - a lack of security. His elective coursework included a number of political science courses, including International Politics, International Organizations, European Politics and other more basic political science courses. [1] No one could have ever imagined that that seemingly unimpressive page would evolve into what has now become what the Internet is today. Summary. "Both of those currencies have large and devoted followings and developers, whereas LTC hasnot much," claimedHendricks. Your session has expired, please login again. The appeal that a lot of Americans see in Bitcoin is that they believe they can avoid paying taxes to the IRS, which is also a crime. That the value storage argument is here for these coins too. If that actually happened, people would have to lose their jobs, their homes, and maybe even their lives. Remove some to bookmark this image. However, with the price spiking in the thousands of dollars for a single Bitcoin, naysayers are suddenly singing a different tune. I have no business relationship with any company whose stock is mentioned in this article. However, even though Bitcoin was the first to introduce blockchain to the world, its not necessary for blockchain to exist. why litecoin will fail. The Motley Fool owns shares of and recommends Mastercard, and has no position in any cryptocurrencies mentioned. Like that time Elon Musk made a tweet about Signal and a completely unrelated company with a similar name jumped 1100%. I am not confident that this future will come based on the reasons above. Ask a skeptic, and they'll tell you it's a bubble that's about to pop. Third, Congress must authorize additional shares of Federal Reserve stock, currently owned by commercial banks, so that narrow banks can play a role in US monetary policy. If you like this type of content, follow me on Medium for more takes like this! Blockchain technology drastically improves the speed, privacy, and security of sending money. It's not out of the question that programmers, with overwhelming community support, could choose to increase bitcoin's token limit at some point in the future. Bitcoin prices regularly dip and soar, making it impossible to predict whether it will be worth tomorrow what it is worth today. Pretty nifty I would say. Bitcoin et. Meanwhile, bitcoin has approximately $114 billion to $125 billion in tokens freely circulating and not held tight by investors. On Aug. 15, Kate Waltman, a CPA specializing in crypto, told Time NextAdvisor that many experts predict that Bitcoin will hit $100,000 in 2022. I wrote this article myself, and it expresses my own opinions. In other words, you can make an informed decision. Yet each wave of adoption brings people who argue why Bitcoin will fail. Anyone considering it should be prepared to lose their entire investment.]. The only value that bitcoin has is in somebody else willing to pay a price for it. We associate with principals of Technometrica on survey work in some elements of our business. WalletInvestor is somewhat positive with their predictions. Dec 28 "The Great Bitcoin Scam" - Forbes . During the last weeks I've read dozens of forum posts from people suggesting to use Litecoins instead of Bitcoins. At the time, the ZLB was being discussed among economists at the Bank of England, the European Central Bank and even some at the Federal Reserve. Whereas physical metals, such as gold, are limited to what can be mined from the earth, bitcoin's token count is limited by computer programming. Blockchain can be used to reinvent supply-chain management and expedite overseas payments. Finscreener. Why Bitcoin will fail: although crypto will be a huge success! Marshall School of Business, USC. The application costs $5,000, and there are 500 pages of legal paperwork that would require a team of taxation lawyers to decipher. Why are prominent people buying bitcoin if it has so many problems? Stocks have real value because of the companies ability to create profits from the goods and services that they sell. But when folks are buying into bitcoin, they're gaining ownership in digital tokens with zero ownership of the underlying blockchain. Mr. Collins holds degrees in Economics and Accounting from the Stern School of Business, New York University. Their party-crashing resulted in successfully adopting hundreds of new banking partners to use their technology. The Mumbai collector building the city a blue- Bajaj Electricals bags 565 cr contract from Market likely to track global cues next week: Sale of gold jewellery hallmarked with 6-digit After Turkeys earthquakes, many families scra Elon Musks latest reveal? instantaneously among all users. Its easy to read between the lines and know that what he is really saying is that they want to make their own blockchain. Litecoin prices, which have enjoyed a sustained rally over the last several months, have climbed more than 1,700% year-to-date (YTD). Opinions expressed by Forbes Contributors are their own. This could prove somewhat accurate with the pandemic highlighting the potential for physical cash to be a carrier of harmful germs. Photo by Andr Franois on Unsplash. Looking forward, it seems only a matter of time perhaps before the end of this decade that cash and credit cards are replaced by a more convenient and equally ubiquitous payment systems. Experts' forecasts suggest that by the end of this year, in December of 2023, BTC will have a value of nearly $13,000. Litecoin prices have frequently followed those of bitcoin. One person can read the same exact paragraph in the Bitcoin White Paper and come up with a totally different interpretation of Satoshis words than the next person. He said that even if the price of one Bitcoin rises to $100,000, it would not change his opinion that it is destined for failure some day.[9]. Bitcoin goes DOWN. Still, for the most part, people don't believe in Litecoin, which is why LTC lost its positions, according to CoinMarketCap. Mr. Collins conceived and branded the specialty industry entertainment practice of one of the nations leading accounting firms and oversaw the business tax marketing program for business enterprises of another large regional firm. If the debit is recorded on the ledger, the transaction is written in stone. The most enthusiastic supporters of Bitcoin are revolutionaries. Newcomers are dumping their money into Bitcoin, hoping that the price will only continue to grow. why litecoin will fail. They are mostly written from a public policy, economic, or political/geopolitical perspective. One can easily imagine a narrow bank eventually creating an affiliate to make commercial loans and returning a higher return to depositors who accept the higher risk beyond Federal Reserve deposits, or an entrepreneur amassing his own and other deposits and lending them to others to enhance their returns. If one revolutionary group like Anonymous can fall apart, whats to stop Bitcoin from suffering the same fate? Plus, we'll give our update price forecast for Litecoin (LTC). Some think that Bitcoin is a monetary revolution, there's still lots of valid scenarios that explain why Bitcoin will fall. subscribe to DDIntel at https://ddintel.datadriveninvestor.com. and why you should run like the dickens away from this much-hyped internet artifice. But Bitcoin is nothing more than the masthead of the movement. why litecoin will fail. He spent four years in the infantry before transitioning to the . Q&A / By . *FREE* shipping on qualifying offers. In Coinbases privacy policy, they state that they will keep your name, address, phone number, and more for up to five years and will give it to law enforcement if there was ever a subpoena.[2]. Before establishing The Stuyvesant Square Consultancy, J.G. Oct 29, 2021. "This is pure profit taking by people who are smart enough to know that LTC is neither bitcoin, nor is it ethereum," he stated. Litecoin hasnt been the same since that announcement," he stated. But, also, credit card reader technology is ubiquitous. It's time to stop the confusion. Second, and simultaneously, Treasury should issue a USD based CBDC. Bitcoin is commonly viewed as the "currency" of choice for criminal organizations. Bitcoin has no purpose and provides no benefit. 3 min read . Bitcoin price analysis shows a bearish market sentiment BTC price has sought support at $20,000 After a startling 5% BTC rate loss overnight, traders are filled with doubt and Bitcoin's RSI has returned to the starting point. Let's STOP the madness! A pretty bold claim, right? Hype and media attention are temporary, though. Litecoin, which has in the past been called the silver to bitcoin's gold, has been struggling with manydifficulties. al., are to criminal activity what water is to a wet sponge: it permeates all manner of criminal activity. The only matter at issue is the timing of the wide adoption. why litecoin will fail. Coinbase is a cryptocurrency exchangeit allows you to buy, store, and trade cryptocurrencies, which are invented kinds of alternative moneys. The Motley Fool has a disclosure policy. Sentiment investing has risen by a lot in the last couple of years, stemming from inexperienced retail investors joining in popular, hype-driven rallies. Moh Hon Meng | Published on 04 Jun 2021 Facebook Twitter LinkedIn Email Whatsapp Whatsapp. This implies there may not be any need for a made-up digital token to be used at all on blockchain networks.