If Aug. 1st is making you nervous, you are definitely not alone.
I was very excited about the Segwit getting miner consensus, but now yesterday a group of miners and rich chinamen decided to fork the chain. That, I am not excited about.
I hear many people telling me to get a personal bitcoin wallet (own keys) so you can profit off the multiple chains and the forked coins you will receive for free.
Honestly, I find that idea completely flawed and I don't like it.
What if these forks leach value from the true bitcoin?
I see bitcoin crashing if there is a war over which bitcoin is the true bitcoin. I don't see anything good coming from a hard fork at this moment in time unless the mass majority of miners are in agreement (literally 90%+).
What if BTC crashes to $1,000 and the Forked coins only amass a combined total of $500?
That is $1,000 lost value per coin!
What most people are expecting is that Bitcoin sigwit will remain a constant price while also receiving an equal share in the Forked BTC Cash and that this token will also have significant value.
But where would the money come from?
Currently Bitcoin has a market cap of 41 billion. Even for BTC cash to have a value of $250, you would need $4.1 billion injected!
I don't see it. That type of money doesn't just appear overnight.
For me, I only see the market reacting negatively. I see the market cap shaving billions to either hit the side-lines or to invest in alternatives like ETH, LTC, XMR and other "Better Tech" coins.
Steem Dollars (SBD) are an asset that is essentially pegged to a dollar, which in turn is valued against bitcoin making 1 sbd = $1 btc.
For example.
If bitcoin was valued at $1,000 : 1 SBD would be worth 0.001 BTC
Bitcoin at $2,000 : 1 SBD is worth 0.0005 BTC
As basic as it can get, Steem Dollars are worth a dollar in Bitcoin
Well, at least it's supposed to be like that. History has shown that SBD doesn't exactly Peg perfectly, for the majority of last winter SBD was valued under $1 but this summer SBD has been valued higher than $1 (Sometimes nearing $2).
At this current time, SBD is under $1 probably due to the wild price swings BTC is having right now.
-Bitcoin is roughly at $2,500 : SBD is trading on Bittrex at 0.000375 : 2,500 x 0.000375 = $0.94.
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