zlacker

Many people dream of getting rich quickly, by windfall.

Buying index funds is a great and easy way to enhance your personal financial situation – over time. But you will not get rich quickly. So people still seek out alternatives that are incredibly risky and unsound.

>>cpach+(OP)
Many people are teased and abused, for year after year after year, working hard with obvious threat of termination, while a different system of money that they have no access to, grows and grows (investments) every day in the newspaper headlines for everyone to see.

>>mistri+93
I think this is quite important; many ‘normal’ people simply struggled while others got money ‘for free’; while of course this (with stocks, houses, inheritance etc) happened all the time before crypto, that was for the rich mostly. Now it appears you can put the little money you ‘have’ into crypto and make a nice living like a rich person; make so much interest that you can live of it.

Even the careful people I know now are saying; yeah, you keep saying it’ll crash for years but it doesn’t so I am going in. And that effect is spreading. I have, in my circles, way too many people who are living off crypto interest fully.

>>cpach+(OP)
I think it doesn't help that the "normal answers" for "normal people" are essentially broken right now.

We were looking at somewhere to park €50k while we hunt for a house. Growing up we're always told about savings accounts. We should have a savings account, we should be contributing to savings accounts, blah blah blah. So we asked our bank about a savings account, and they offered an annual return of €78. And I don't even mean 0.0015%, but the return is capped so it's not allowed to compound.

>>cpach+(OP)
You also can't separate that this all became popular during a global pandemic and people love to gamble.

I think its easy to underestimate the amount of global entertainment dollars that have been on the sidelines the past two years.

It is a fashion trend that will turn to dust as the pandemic fades. No one is going to want to be reminded of the pandemic in two years when people were so starved for entertainment they were buying these stupid ape pictures.

>>tluybe+E4
Crypto has to periodically 10X though for this to happen.

The narrative has a type of theta/time decay as there is just no way for the majority to 10X their investment periodically.

I think it is also very hard to think about the global entertainment dollars that have been locked up for the past 2 years. It is an enormous amount of money and as the pandemic fades people are going to splurge on the non-digital services and goods that they have not been able to for the past two years.

The pandemic fading throws the whole process that has pushed crypto to these levels in reverse.

The fact crypto has continued to make new highs is basically meaningless as far as the future is concerned.