The investment logic of this article is different from the investment logic of most analysts in the current market, because the subject matter mentioned in this article is hardly related to the deep study of economic models and technical strength, but from a political point of view, so it is called "bit politics".
Blockchain information is transparent, and safe, and it is more focused on "production relations". The main job of politics is to deal with relationships: the relationship between countries, the relationship between the people and the government, and the relationship between different teams and different individuals within the government. It's all about the realm of "relationships", during which there will inevitably be strong connections at some point. However, the blockchain of government affairs is not covered by this article. It should be noted that "currency" is always the top priority of political work. There is no political system that does not consider the economy, and the currency issue itself is the core element of economic life. The biggest application of blockchain is called cryptocurrency (or crypto asset). Therefore, blockchain is also a key issue that political practitioners must consider.
Bitcoin: a confrontation and integration of hardware and finance
Bitcoin's computing power is more in the hands of a major manufacturing country. It is hard to say whether the currency is also in the hands of a major manufacturing country. The general view is that more coins are in the hands of Americans , but a large manufacturing country must control more than 51% of the computing power, but not too high, for example, 80% or even 90% of the computing power is in the same country and this will be too centralized. If it is too centralized in the early stage, there will be no way for the game to continue. This is the possible reason for the policy-oriented, tight for a while and loose for a while-just like flying a kite, the line is put out and taken up, and the line does not leave the hand.
The United States more often uses Bitcoin as a financial tool. There are many speculations about the creation of this currency. Someone must know who Satoshi Nakamoto is, at least Satoshi Nakamoto himself (or they) know. It is the financial logic of the United States again, so the price of Bitcoin is getting higher and higher. Of course, the driving force behind it is not retail investors, but institutions. Large institutions have entered the market a long time ago.
I have computing power, and I have the ability to launch a 51% computing power attack , so that your currency zero; I have coins, and I can smash them to zero at any time. If you don’t do it, I don’t do it. A continuous game is in progress, and then people with coins will slowly have mining machines, and those with mining machines will slowly have coins in their hands. There is your balance in it. Politic is the art of balance . Just as the world we live in is in the era of nuclear deterrence, people sometimes forget this as it has been for a long time. Of course, confrontation and integration will continue and continue to hold Bitcoin.
Public chain game
It seems that all major public chain teams are American (Bitcoin is a special public chain and is not in this scope). However, if you look at the public chain of the top 20 currencies by market value, you will know which ones are related to the Asian or European. You can check for yourself who are the early investors (institutions) of the public chain of Ethereum, who is the most important promoter, and what different connections are behind the promoters. You will know that Ethereum, like Bitcoin, has risen as a whole. It's not as simple as technology or community.
Why did I ask you to pay attention to Conflux in October last year? Now that the price has risen, people call to say that most rich people have earn a tenfold profit, or that they didn’t hold it. Among these people are experts who study economic models, experts who study technical strength, and experts who study community dynamics. However, in the value analysis of the domestic public chain, these model studies are prone to failure-economic model can be changed, technology can be changed, community? In the face of large organizations, the population of a certain place is not difficult to change. The most important value responsibility of a domestic public chain is the emergence of a stable currency in a certain country in the future, and it will be issued on the public chain of that country. Put all the domestic public chains in a table, and find out those who have not had negative news and have technical strength. There are only one or two to satisfy this condition. You have a method of elimination in your heart, so I won't talk about it here. Then, check the price of this kind of project. It is lower than the price of private or public offering. You can come in with a larger position. If the price is too high, you can make a fixed investment.
At present, in terms of the "currency" attribute, which currency is the most useful for encrypted assets? Bitcoin? Ethereum?
Most people answer is Bitcoin, why because Bitcoin can buy Tesla can buy the Windows operating system, or go to the dark web to trade something? As far as currency properties are concerned, stable currencies are important at present and in the future. USDC, USDN, GUSD, PAX, DAI, USDT etc.. Why is cross-chain important? Because other important public chains will produce stablecoins of Japanese, Indonesia, and India in the future, multi-country stablecoins will interact with each other in the future. For various reasons, Ethereum cannot do that all stablecoins are willing to be issued on it, but its scale effect is huge, so many public chains that have nothing to do with Ethereum call themselves Ethereum sidechains, Ethereum Layer 2 network. Cross-chain is a must but currently, there is no mature, safe, and efficient implementation plan for cross-chain.
All our attention, love, passion, frustration, anger, investment, hype and other activities and emotions about new things (such as blockchain, crypto assets) are because this balance has not been completed. After many years, the balance has been slowly achieved.