{"id":63,"date":"2019-08-27T08:31:17","date_gmt":"2019-08-27T08:31:17","guid":{"rendered":"http:\/\/sjc.capital\/blog\/?p=63"},"modified":"2019-08-27T08:31:17","modified_gmt":"2019-08-27T08:31:17","slug":"why-i-cant-invest-client-money-in-bitcoin","status":"publish","type":"post","link":"https:\/\/sjc.capital\/blog\/index.php\/2019\/08\/27\/why-i-cant-invest-client-money-in-bitcoin\/","title":{"rendered":"WHY I CAN&#8217;T INVEST CLIENT MONEY IN BITCOIN"},"content":{"rendered":"\n<figure class=\"wp-block-image\"><img loading=\"lazy\" decoding=\"async\" width=\"318\" height=\"159\" src=\"https:\/\/sjc.capital\/blog\/wp-content\/uploads\/2019\/08\/index.jpg\" alt=\"\" class=\"wp-image-64\" srcset=\"https:\/\/sjc.capital\/blog\/wp-content\/uploads\/2019\/08\/index.jpg 318w, https:\/\/sjc.capital\/blog\/wp-content\/uploads\/2019\/08\/index-300x150.jpg 300w\" sizes=\"(max-width: 318px) 100vw, 318px\" \/><\/figure>\n\n\n\n<p>Bitcoin has a market capitalisation of\napproximately US $200bn with 24 hour trading 7 days a week, making it\nthe perfect TRADING instrument.<\/p>\n\n\n\n<p>At present the value of mining a\nbitcoin, is sustained by the price of bitcoin, which is sustained by\nnet new money into the market, which is sustained by&#8230;&#8230;(insert\nyour own ideas).<\/p>\n\n\n\n<p>When all 21m bitcoins have been mined\nor by 2140, miners who verify transactions will no longer be rewarded\nfor mining but only by the transaction fee they can charge.<\/p>\n\n\n\n<p>However the cost in electricity to do\none transaction in bitcoin is the same as approximately 400,000 Visa\ntransactions.<\/p>\n\n\n\n<p>For bitcoin use as a transaction medium\nto be valid when the last coin is mined requires huge productivity\nfalls from Visa to equate the two systems.<\/p>\n\n\n\n<p>Or the protocols of bitcoin can be\nchanged by 95% support from the last 2,016 miners, to lower the cost\nof validation. Either by increasing the amount of bitcoins, i.e. a\nreduction in the value of a bitcoin or, they could change the method\nfor validation (the highly praised algorithm).<\/p>\n\n\n\n<p>Further approximately 80% of mining\npools are in China, making bitcoin protocol susceptible to that\ncountries political system.<\/p>\n\n\n\n<p>Whilst we have been a huge successful\nINVESTOR in the Chinese economy it has been with companies that ADR\nlist, therefore providing transparent and recognised reporting.\nUnfortunately for us, bitcoin remains an instrument too far. \n<\/p>\n\n\n\n<p>Steven J Cohen CFA, August 26<sup>th<\/sup>\n2019.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bitcoin has a market capitalisation of approximately US $200bn with 24 hour trading 7 days a week, making it the perfect TRADING instrument. At present the value of mining a bitcoin, is sustained by the price of bitcoin, which is sustained by net new money into the market, which is sustained by&#8230;&#8230;(insert your own ideas). &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/sjc.capital\/blog\/index.php\/2019\/08\/27\/why-i-cant-invest-client-money-in-bitcoin\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;WHY I CAN&#8217;T INVEST CLIENT MONEY IN BITCOIN&#8221;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,2],"tags":[],"_links":{"self":[{"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/posts\/63"}],"collection":[{"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/comments?post=63"}],"version-history":[{"count":1,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/posts\/63\/revisions"}],"predecessor-version":[{"id":65,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/posts\/63\/revisions\/65"}],"wp:attachment":[{"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/media?parent=63"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/categories?post=63"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sjc.capital\/blog\/index.php\/wp-json\/wp\/v2\/tags?post=63"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}