WEEKLY WHEATIES #2424
Cryptocurrency, Headlines, Luxury, Charger
In this newsletter:
Post: Mining for Answers: A Deeper Dive into Cryptocurrencies
In Case You Missed It: Technology Headlines
Pick of the Week: Retirement and Luxury
Featured Product: 3-in-1 Magsafe Charger
Mining for Answers: A Deeper Dive into Cryptocurrencies
With last week’s Newsletter, hopefully you have an idea of how cryptocurrencies work and a possible need for them. While there are many created out of utility, some still function as a “thing’ or “store” of value. I say thing or store in quotes because cryptocurrencies can be had through 3 ways. The main way is by simply purchasing them on a digital platform (more about these later). The other two ways are through the “mining” process as mentioned last week. This mining allows your computer to act as a “Proof of Work” or “Proof of Stake.”
The Proof of Work proves to the rest of the blockchain (the digital ledger that tracks payments and movement of crypto within that type of coin) that your computer was in fact “working” on solving the problem to earn a piece of crypto. In other types of crypto, you hold those coins in your digital wallet to prove to the rest of the blockchain you have a “stake” in that coin (whether you mined them or purchased them). As the coin grows and more users trade, you may even earn more of that coin.
In some ways, they function similarly to the stock market. The coins have a value and the number of users buying or selling, along with other investments, and other news I can’t even start to tackle, all play in to how much the value of the coin. Since the size of the market isn’t as large as the stock market, nor does the government or any other entity responsible for oversight of any kind, it can be very volatile. For this reason alone, one should not look at cryptocurrency as any form of investment, only as speculation.
If you decide to purchase any type of crypto, please do not do so out of an investment, but more out of curiosity or a form of support for the technology. As mentioned, there are many reports of businesses buying into the technology of crypto, which does help raise the price, but it’s not a long-term effect. Those same businesses could technically afford to buy such a large stake of the currency as a whole, they could manipulate the price.
I’m still awed by the price hike of many of the cryptos available and have no idea how high it can, or will go. The sky is the limit, but the timing is what’s up for debate. Some cryptocurrencies have a limit on the number of virtual coins that will be created, meaning the price of each individual coin will rise. Bitcoin is the prime example here as we’ve seen the price rise as we get closer to the last coin being mined. Not to mention the number of coins that have been lost in the digital abyss.
Another way of looking at crypto is to remember it is a global currency. So, you can’t compare its value to the US dollar in regard to purchase power. The us dollar’s value even changes. That’s why we have inflation, and the prices of items rise and fall. The global aspect is interesting, as it allows users across the globe to trade monetary value in an agreed-upon digital currency in seconds for a minimal fee. When you compare this to PayPayl, Venmo, or even bank exchanges or traveler’s checks, it shows a clear benefit.
While Bitcoin is the first to market cryptocurrency and the current major player for the last decade or so (see coinmarketcap.com), it has its faults. Mainly in the time transactions take alongside their fee, but other technical flaws appear in comparison to other blockchain technologies. If you want to buy into Bitcoin, you can do so with just about any fiat. Coinbase is one of the most popular sites for doing so. This site sells other cryptocurrencies, including: Ethereum, Litecoin, Bitcoin Cash, among many others. As new coins are added to Coinbase, their popularity rises, and the need for Bitcoin (in relation to that coin) drops. Other sites that sell Bitcoin are listed at https://bitcoin.org/en/exchanges.
If you choose to buy Bitcoin or any other cryptocurrency (of the thousands available), there are many sites to do this. I mostly use Coinbase or Crypto.com. Whichever platform you decide to use, I suggest using one that is operating legitimately in the country you are purchasing for some level of security. We’ve seen with the FTX fiasco over the last few years that the origin of the business can and does matter.
Stay safe out there!
ICYMI: Technology Headlines
As Nvidia keeps dominating the AI chip market, its stock keeps rising, too. Recently, their value of $3.01 trillion marks them as the second most valuable company in the world behind Microsoft and just edging out Apple. The AI race has Elon Musk diverting chips from Tesla to his other company - xAI.
To further prove AI isn’t the answer to everything, ChatGPT and all services using OpenAI went down for a bit last week, along with Humane’s AI Pin getting more and more negative press. A similar product, the Rabbit R1 has been defending itself of being listed as a scam, or, at the very minimum, an app.
Bringing in Richie Rich vibes, AI might can solve the problem of giving computers a sense of smell. Who wouldn’t want a Smellmaster 9000?
If you frequent Instagram, get ready! They have confirmed tests of unskippable ads. At this point in the lifecycle of this social media app, it’s way past due. All free apps have to make money somehow. So, if they’re free for you, typically - you’re the product. To supplement what you actually can make for them, ads help close the gap. I wish all apps, in this case, would go the Freemium route, but it’s not up to me.
POTW: Retirement and Luxury
Wondering what you could do with all your money saved for retirement? Or if you won the lottery? On that note - are you curious how much money you need to retire? For starters, you need to look and feel good, right? TheRealReal is a website similar to Poshmark or Mercari that only offers designer clothes and items. And they’re pretty expensive. Some items are hard to find, too.
As you prepare for your travels across the world, consider staying at hotels with the world’s greatest pools or trying to gain membership in the most exclusive private clubs. Don’t forget about your favorite tech journalist if you get to bring a friend!
Featured Product
I will start off by apologizing for assuming you’re in the Apple bubble. But if so, I purchased 2 of these Ku Xiu 3 1 Charging Stations for my bedside and am considering purchasing more. It can charge my phone, watch, and AirPods all at the same time. The best part is the Magsafe charger for the phone, which allows it to be used in StandBy Mode.
