Wednesday, February 7th 2018

"Most Cryptocurrencies' Value Could Hit Zero", Warns Goldmann Sachs Analyst

Adding yet more tinder to the fire is usually the way for some players in the industry - and this isn't any different (one could even say this is exacerbated) by investment gurus and finance groups. Steve Strongin, Goldmann Sachs global head of investment research, said in a February 5th report that most digital currencies are unlikely to survive in their current form, and investors should prepare for coins to lose all their value as they're replaced by a small set of future competitors. Steve Strongin is particularly worried on account of "The high correlation between the different cryptocurrencies," adding that "because of the lack of intrinsic value, the currencies that don't survive will most likely trade to zero."

This is a trend that can usually be seen in the crypto market, as most alt-coins tend to follow Bitcoin's pricing trends, with their value being seemingly pegged to the current cryptocurrency king's value - and some might say credibility. There have been some instances of drifting pricing trends where some cryptocurrencies actually cease being pegged to bitcoin's value in their own valuation, but these events are usually few, far between, and tend to regress to their previous state.
According to Strongin, today's digital coins lack long-term staying power because of slow transaction times, security challenges and high maintenance costs. He further said that the introduction of regulated Bitcoin futures, which we've already covered here on TPU, hasn't addressed those concerns and he dismissed the idea of the advantage always being in the field of the pieces that make the first and more definite moves, comparing this cryptocurrency boom to the dot com bubble in the 1990's. Source: Bloomberg
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57 Comments on "Most Cryptocurrencies' Value Could Hit Zero", Warns Goldmann Sachs Analyst

#1
FordGT90Concept
"I go fast!1!11!1!"
It's almost like Steve Strongin was using me as a source. :roll:

No source linked?
Posted on Reply
#2
CrAsHnBuRnXp
Good! Give us our fucking video cards back!
Posted on Reply
#4
yotano211
I will never trust any analyst from Goldmann Sachs, or Goldmann Slacks. When I was working at Morgan Staleny from 2005-2008, Goldmann would do unethical things even beyond the unthical things that Morgan Stanley did, myself including.
Posted on Reply
#5
cdawall
where the hell are my stars
Kind of sounds like Goldmann Sachs is trying to short the market as it gains steam.
Posted on Reply
#6
TheMailMan78
Big Member
cdawall said:
Kind of sounds like Goldmann Sachs is trying to short the market as it gains steam.
1. Short it.
2. Buy low.
3. Rave about the future of Crypto.
4. Profit

Honestly I hope it cashes and never rebounds. Its useless.
Posted on Reply
#7
yotano211
TheMailMan78 said:
1. Short it.
2. Buy low.
3. Rave about the future of Crypto.
4. Profit

Honestly I hope it cashes and never rebounds. Its useless.
I have lots of those cashes in my pocket from Crypto.
Posted on Reply
#8
wolina
This lying piece of shi* would say anything to earn more money from conducting thievish banking.
So far Cryptos didn't collapse the market, banks did, many times.
Srsly, stfu bro.
Posted on Reply
#9
jmcslob
Wonders how long it will be before Big business regulates the average person out of business...
At least that's what I get when I read stuff like this.
Posted on Reply
#10
lynx29
wolina said:
This lying piece of shi* would say anything to earn more money from conducting thievish banking.
So far Cryptos didn't collapse the market, banks did, many times.
Srsly, stfu bro.
You don't think Goldman doesn't own any Crypto? ;) They love playing you fools who sell at the slightest panic. It's no different than the stock market, except now they don't have to worry about government regulations, they can buy low, sell high and control the markets with no fears. :) Crypto is the new playground for hedgefund bros.
Posted on Reply
#12
cdawall
where the hell are my stars
TheMailMan78 said:
1. Short it.
2. Buy low.
3. Rave about the future of Crypto.
4. Profit

Honestly I hope it cashes and never rebounds. Its useless.
Why?
Posted on Reply
#13
xkm1948
I am gonna come up with genetic coding coins. You need use your own cells' gene regulation network to generate certain DNA sequences used as coins. Transaction is performed by, em, exchanging your "currecny storage" cells with someone else.

Sounds good? Now start crunching!
Posted on Reply
#14
horik
I believe it, only the FED and banks are alowed to create money from thin air.
Posted on Reply
#15
dorsetknob
"YOUR RMA REQUEST IS CON-REFUSED"
xkm1948 said:
You need use your own cells' gene regulation network to generate certain DNA sequences used as coins. Transaction is performed by, em, exchanging your "currecny storage" cells with someone else.
:)Will You Call this Coin Alt Fornication :):lovetpu:
Posted on Reply
#16
Captain_Tom
Wait. Some coins may lose in competition with other coins? That's just so stating the obvious lol.


Oh and when will these dinosaurs realize that comparing crypto to the "dotcom bubble" only makes people want to invest in them more? After all investments in internet companies ended up working out pretty well for those who invested wisely.
Posted on Reply
#18
Fx
TheMailMan78 said:
1. Short it.
2. Buy low.
3. Rave about the future of Crypto.
4. Profit

Honestly I hope it cashes and never rebounds. Its useless.
Indeed.
Posted on Reply
#19
ppn
Zero-sum game. Transfer of wealth from less IQ to more IQ people. Wisely invested, more like lottery.
Posted on Reply
#20
Fx
horik said:
I believe it, only the FED and banks are alowed to create money from thin air.
The Fed or Federal Reserve IS a private bank. There is nothing federal about it. They don't teach this in school -- hell, maybe most schools don't even know.

The Fed creates the money out of thin air and other private banks borrow from it for no to very low interest rates. They then turn around and lend out larger amounts than the sum that they receive from the Fed and charge us much greater interest rates than they paid.

We then of course pay taxes from our paychecks so that The Fed can make money too. Fractional-reserve banking is a brilliant scheme by the wicked and cruel.
Posted on Reply
#21
xkm1948
dorsetknob said:
:)Will You Call this Coin Alt Fornication :):lovetpu:
Dunno man, I am a practical guy. Just gonna call it cat coin
Posted on Reply
#22
lexluthermiester
CrAsHnBuRnXp said:
Good! Give us our @*%$!ng video cards back!
While the choice of vocabulary was iffy, the sentiment was spot on.

xkm1948 said:
Dunno man, I am a practical guy. Just gonna call it cat coin
Or maybe batcoin? Nana Nana Nuna Nana Nana Nana Nana Nuna, BATCOIN!..(I might have slightly dated myself just then)
Posted on Reply
#23
R-T-B
As some noted, this is basically stating the obvious. It says nothing about cryptos long term prospects... though the comments say a lot about how impatient some are re the shortages (it's been what, 2 months?)
Posted on Reply
#24
lexluthermiester
R-T-B said:
though the comments say a lot about how impatient some are re the shortages (it's been what, 2 months?)
To be fair, some us make a living on the sale of PC's and parts for upgrades. It is getting very irksome.
Posted on Reply
#25
R-T-B
lexluthermiester said:
To be fair, some us make a living on the sale of PC's and parts for upgrades. It is getting very irksome.
Make mining rigs. Adapt to the market?

I'm serious. This is a profitable enterprise there, not a downturn.
Posted on Reply
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