cryptocurrency: facts and fiction...•equity trading •wills and inheritance •internet of things...
TRANSCRIPT
CRYPTOCURRENCY:FACTS AND FICTION
B R I A N J O H N S O N N G A NC H I E F I N V E S T M E N T O F F I C E RC E D A R S I D E H O L D I N G S C O R P O R AT I O N
Fintech disruptions create
dramatic market changes in the last 15 years…
BACK IN 1958,
A COMPANY COULD EXPECT
TO STAY ON THE S&P FOR
61 YEARS.
THESE DAYS, THE AVERAGE
IS JUST
18 YEARS.of S&P 500
companies have disappeared
52%
THE BIGGEST DISRUPTION
EL IMINATING THE MIDDLEMAN
B L O C K C H A I N : D I S R U P T I V E T E C H N O L O G Y
CRYPTOCURRENCIES
BITCOIN
CRYPTOCURRENCY MARKET CAPITALIZATIONS
TOTAL MARKET CAP: $673,050,267,648 Source: https://coinmarketcap.com/
As of January 12, 2018
IS IT REALLY A BUBBLE?
I N S I G HTS O N C R Y P TO C U R RE N CY
RISE AND FALL OF SOME FAMOUS ASSET BUBBLES
Source: Elliot Wave International, YALE SOM, St. Loius
FRED, GlobalFin and Convoy Analysis
TUL IP MANIA (1636-1637)
Referenceshttps://medium.com/@treasurelife911/bitcoin-chart-vs-tulip-mania-chart-905ab3b5281c
PATTERNS IN HISTORY
JAPAN: NIKKEI 225
JAPAN BUBBLE (1988 -1993)
Credits: bicharts.com
US: NASDAQ
DOTCOM BUBBLE (2000 –2001)
Credits: bicharts.com
CHINA
CHINA BUBBLE (2008 -2009)
Credits: bicharts.com
GBTC_Bitcoin Investment Trust (OTC)
Credits: bicharts.com
CONFRONTING REALI T IES
Understand the Risks of Cryptocurrency*
• Financial loss
• Fraud and cybercrime
• Theft or loss
• Computer outage or cyberattack
• Lack of regulation
*Charles Schwab Client Center
U.S. SEC WARNS AGAINST CRYPTO FRAUD
R.P. SEC WARNS AGAINST CRYPTO FRAUD
UNDERSTAND THE RULES OF THE GAME…
K N O W T H E R U L E S
US: Yahoo!
IPO
$1.02/share
(April 1996)
IPO $125.03/share (January
2000)
$4.01/share (October
2001)
Price EPS
Y A H O O !
E A S T M A N K O D A K C O . ( N Y S E )
US: KODK
Credits: bigcharts.com
R I O T B L O C K C H A I N I N C . ( N A S D A Q )
US: RIOT
Credits: bigcharts.com
B W R E S O U R C E S ( D E L I S T E D P S E )
Credits: Pinoymoneytalk.com
PH: BW RESOURCES
E A S Y C A L L C O M M U N I C A T I O N S P H I L I P P I N E S I N C . ( P S E )
PH: ECP
Credits: bigcharts.com
C A N O P Y G R O W T H C O R P . ( T O R )
CA:Weed
Medical Marijuana: The New Bitcoin?
Credits: bigcharts.com
H O R I Z O N S M A R I J U A N A L I F E S C I E N C E S I N D E X E T F ( E T F )
US:HMLSF
Medical Marijuana: The New Bitcoin?
Credits: bigcharts.com
2 0 1 8 C HA I R MA N ’ S I N S I G HTS
of short term or active traders who speculateslose money*
Source: http://www.innovativewealth.com/wall-street-wisdom/individual-investors-bad-investing/
NO INTEREST
RUMOR
CONFIDENCE
OPTIMISM
INSTANT WEALTH
EUPHORIA
BUBBLE BURSTS
SELLING PANIC
LOSTWEALTH
SHORT-LIVEDCONFIDENCE
DESPERATION/CAPITULATION
DOUBT
PESSIMISM
NO INTEREST
HOPE
GREED/MANIA
FEAR/PANIC DESPAIR
Abundant Financing Available
Limited Financing Available
BULL CYCLE BEAR CYCLE
MARKET PHASE CYCLE
Real World Uses of Blockchain Technology
• Payment Processing
• Monitor Supply Chains
• Digital IDs
• Retail Loyalty Programs
• Data Sharing
• Copyright Protection
• Digital Voting
• Title Transfers
• Food Safety
• Data Backup
B L O C K C H A I N A P P L I C A T I O N S
• Tax Regulation and Compliance
• Worker’s Rights
• Medical Recordkeeping
• Weapons Tracking
• Equity Trading
• Wills and Inheritance
• Internet of Things
• Energy Trading
• Securing access to Belongings
• Tracking Prescription Drugs
Conclusion
✓ Cryptocurrencies are driven by speculation (supply and demand) and have no intrinsic value
✓ Blockchain is a game changing technology with real-world applications
✓ Invest in companies in the business of Blockchain, not cryptocurrency
C O N C L U S I O N
C R Y P T O C U R R E N C Y : F A C T S A N D F I C T I O N
THANK YOU.
C R Y P T O C U R R E N C Y : F A C T S A N D F I C T I O N