Like many other silver investors, I continue to believe that at some point we will see an explosion in price that will leave most market watchers stunned. Perhaps something even similar to what we’ve witnessed in the crypto space this year.
However the downside to silver is that it continues to be manipulated. So while a great case can be made that at some point it will almost have to trade significantly higher, nobody knows exactly when that will happen.
Whereas on the other hand, the cryptos have already begun trading in a pattern that one would expect of gold and silver, in an environment where the paper fiat currencies are increasingly dying.
Of course in the investment community, and certainly among the gold and silver crowd there’s skepticism as to whether cryptos are a valid asset or just the latest bubble. And certainly there are new cryptos popping up every day that remind you of the mania we saw as the internet bubble was building.
Yet as I continue to learn more about the technology, some of the actual applications have the potential to be incredible.
Last week I heard an interview with Kay Khemani, the CEO of a new trading platform called Spectre, and there was one takeaway that really caught my attention. Kay was speaking about the transparent nature of the block chain technology his company is founded upon, and mentioned that scandals like what we saw years ago from Bernie Madoff and Jon Corzine simply could not have occurred under this new system.
Whether that’s completely accurate or not I couldn’t say for sure at the current moment, as I am continuing to learn and find answers to these questions. Although I have been researching the sector now for the better part of 2017, and it sounds consistent with what I’ve been hearing.
Essentially one of the reasons that so many are excited about the crypto space is that the technology allows companies to create solutions to industries with incredible middleman infrastructure and costs.
Certainly I write often enough about what I believe are clearly illegal activities in the silver market. So if there’s a trading platform that could save what the banks are taking out of our markets inappropriately, that would certainly be a game changer.
Then imagine this in other industries. Such as how Veritasium CEO Reggie Middleton has taken the process of closing on a mortgage from 2-3 months, to one that could conceivably be done in a day or even less. That he also has a pending deal to overhaul the Jamaican Stock Exchange, and perhap create a similar effect to that of what Kay mentioned is worth taking note of to say the least.
Does this mean to go out and load your entire savings into cryptos? Hardly. Like legendary investor Jim Rogers is fond of saying, there’s great benefit to investing in what you know. Although that could mean that getting to know more about the cryptos and learning about their potential is a great idea.
I continue to believe that cryptos are on track to become a big part of our lives going forward, much like the internet did. So in either case, by digging in and learning you’ll be able to decide for yourself.
Which is always the best first step towards any investment decision.