$100 in 2010 is Worth $75 Million Today…If You Invested in Bitcoin
Tom Kerr writing on Bitcoin…
The United States Treasury broke its contract with me and violated my trust, back when I was 10 years old.
I had a collection of cool-looking rocks, a collection of comic books, a stack of 45rpm records…and a coin collection.
Every once in a while, I’d walk to the local bank with a pocketful of one-dollar bills I had earned doing chores for my mother. I’d hand them to the teller, ask for silver dollars in exchange, and walk home with heavy silver coins jingling in my pockets.
Then one day the bank manager came out to the lobby and informed me that paper money could no longer be redeemed for silver…even though the promise of silver was printed right there on the bills.
I still have a couple of those big, beautiful silver dollars. They are each worth about $30 nowadays.
I also saved an old silver certificate dollar bill, which is only worth a buck. That’s despite the fact that printed right on it (around the picture of George Washington, who famously never told a lie) is the pledge, “This certifies that there is on deposit in the treasury of the United States of America one dollar in silver payable to the bearer on demand.”
But no matter how forcefully I demand, they aren’t going to pay up…because the U.S. Treasury, in cahoots with Congress, permanently broke that promise during the 1960s.
I’ve owned some gold over the years, as a backstop against a weak dollar or outright financial collapse.
Then the internet came along, and some enterprising nerd concocted digital money in the form of bitcoin.
Most folks – myself included – dismissed it as too intangible, quirky, and weird. Plenty of investors who didn’t mind those aspects of bitcoin also passed it up, because it had a reputation (which government treasuries help to promote through misleading propaganda) that it was a sketchy kind of currency used exclusively by drug cartels and other underworld crooks. Because bitcoin was so hard for them to control, some governments passed laws against it.
But progressive technologies tend to evolve faster than entrenched, bloated government systems…and in 2016 bitcoin outperformed every government currency in the world.
Then, in March of 2017, it once again did something totally unprecedented, when its worth surpassed the value of an ounce of gold.
When gold is trading for $1,200 an ounce, but a single bitcoin is worth $2,200 or more, it may be time to finally revisit everything you and I think we know about investing for a rainy day.
That’s what the government of Japan has done.
In April, Japan officially recognized bitcoin as a legitimate currency. The rest of Asia – including the dynamo that is the Chinese economy – is also taking a shine to bitcoin because it is faster, cheaper, and more secure to use for electronic transactions such as wire transfers. For one thing, you don’t have to convert it back and forth into paper money. That’s why even major stock exchanges and financial giants like Visa are studying bitcoin’s innovative technology, with a view toward using it to replace antiquated systems that are slower, more cumbersome, and easier to hack.
They understand that times have changed…and if you act quickly to change with them, you have a chance to reap enormous benefits as an early adopter.
I know from personal experience, because I had my big chance…and blew it.
I first considered buying bitcoin in 2010, but didn’t…because I was one of the hesitant skeptics.
Then in May of this year I picked up the Washington Post and saw a bold headline that read, “$100 of Bitcoin in 2010 is Worth $75 Million Today.”
Hey, I don’t know about you. But I sure could use an extra $75 million right about now.
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