1/3

No one has called the entire crypto market cap hitting an all-time high, I think it is time to call it.

Total crypto market cap is now over $750B. In 2018 market cap briefly eclipsed $800B, but BTC dominance was below 35%, the market was illiquid garbage.

Slow and steady wins the race

Bitcoin is often critized for being slow in everything

But here is the thing: the more you complicate a design early on, the more you push it down a specific road

Get your assumptions wrong, and it's off-road

Thread/

Lindy Effect 101

With Bitcoin's return to the spotlight, debates on its long-term viability are raging. Its proponents contend @nntaleb's Lindy Effect says the technology is here to stay.

But what is the "Lindy Effect" and how does it work?

Here's Lindy Effect 101!

👇👇👇

1/ First, a few definitions.

The Lindy Effect is a theory that the future life expectancy of specific non-perishable items, like a technology or idea, is proportional to their age.

Put simply, the longer it has already lasted, the higher the likelihood it will continue to last.

2/ The term "Lindy effect" is a reference to Lindy's, a New York deli frequented by comedians in the 1960s.

While author Albert Goldman used the term "Lindy's Law" in a 1964 article, it was mathematician Benoit Mandlebrot who moved the dialogue towards the current definition.

3/ In his book, entitled The Fractal Geometry of Nature, Mandlebrot commented that the more stage appearances a Lindy's comedian made, the more future appearances he could be predicted to make.

The longer he lasted, the longer he would continue to last.

4/ @nntaleb built upon Mandelbrot's work, formally coining the term "Lindy Effect" in his book, Antifragile.

He noted the Lindy Effect with books - the longer a book has been in print, the longer it is likely to survive.

With no natural upper bound, power laws come into play.

Let me indulge in a story...

Once upon a time there was a genius called Satoshi, this anonymous character laid down a block, it was called the Genius Block, but we we spell it wrong to this day.

Then along came your standard noob who believed in freedom, we know this because he went by the name NewLibertyStandard.

He created a site to buy and sell Bitcoins.

On his site, he priced Bitcoin on electricity.

The price went up, the price went down.

Then one day, he changed the pricing system.

BTC was no longer priced at the cost of mining.

He priced it by DEMAND and SUPPLY.

Geeks and legendary futurists, bought and sold the rarest commodity on the Internet for pennies.

Price teleported upwards.

Then came a Magic The Gathering gamer. He smashed together a shaky piece of software called Magic The Gathering Exchange.

It became the first widely used BTC exchange.

The whole world sent this kid money to buy BTC.

A new market had unlocked. Price teleported.

Let's fast forward 6 glorious years of price teleportation events.

Many of the story details remain unknown to me, though I see their impact on the blockchain.

But let me bring you to the year 2017 and save you lots of reading...

1/20 Bitcoin is too slow and expensive for payments. We all know this. To solve this problem, the Lightning network is being built on top of Bitcoin's blockchain. Will it be the end of XRP?

(Video version @ https://t.co/7zJCuKrpqx)

A thread. 👇

2/20 On a normal day outside a bull run, Bitcoin takes ~10 mins to transfer, at a cost of about $0.50. Any time network activity ramps up, those times and fees multiply. Bitcoin's Proof of Work system is painfully slow and can only handle 7 transactions per second.

3/20 To attempt to solve this problem, the Lightning Network is being developed. It's a 2nd layer network that sits on top of Bitcoin's blockchain. It's been in the works since 2015. Yes, 6 years. Do you know anybody who uses it? Me, either, but I'll get to that.

4/20 Lightning works by opening "channels" between parties. Those parties can perform as many Bitcoin transactions as needed and then close the channel. Because the transactions aren't written to the Bitcoin blockchain until the channel is closed, it's much faster.

5/20 Individual payment channels between various parties combine to form a network of lightning nodes that can route transactions among themselves. The resulting interconnections between various payment channels is the Lightning Network.

How to Trade without Fear, Stress or Anxiety. 💯

Trading should bring wealth, happiness and peace.
Not stress and sleepless nights.

Here is how to trade without dying faster.

Please share to de-stress the world.

A Thread.

The reasons for feeling anxious and Stressed.

1. Too high Position Size.
2. No Exit Plan.
3. Almost no Entry strategy.

We will learn about them below and try to find a solution.

1. POSITION SIZE.
Position size should be equal to what you're willing to lose and not cry over.

Eg. If your position size is 10K, you should be able to lose 10K without it making you depressed.

It doesn't mean you throw away 10K as a random experiment.

If you're stressed? Reduce your Position size, Now!

But If I trade with such a small position size, it won't be much Profitable?

-Profits and wealth are built slowly, trade with small amounts, built your system, profits will accumulate.

Small Position size. Low Stress. Better life.

Remember, you don't need a lot to become big.

1% gain per day compounds to 3700% Return per year.

- If Stressed or anxious, reduce your position size.

Switch to smaller position which doesn't make you feel sleepless.