 Alright guys so in today's video I'll be talking about what most people probably have on their mind and that is are we in a cryptocurrency bubble? Well I'm not going to answer it in a yes or no fashion. I'm going to talk about a couple of different things and I like to use history in this conversation. I like to use common sense in this conversation and I like to point out a few things that hopefully will shed some light into this decision of yours. Remember don't ever take anybody's advice, do your own due diligence, do your own homework and come up with your own conclusions as opposed to just relying on somebody else okay. So let's look at the current landscape of the cryptocurrency landscape that is. If you've been following the last two weeks obviously we had some very interesting times you know with the Chinese ban on ICOs, certain exchanges shutting down in China, China trying to regulate everything to their own fashion, news from JP Morgan etc and this has caused a lot of let's say fud inside the industry also a lot of people who are new in the industry this is causing certain speculators to be fearsome which is fud and to sell their cryptocurrency. Now that doesn't equate it to the bubble but just keep that on the periphery what's going on currently. Now if we're looking at the general rise in the crypto landscape in the last let's say a year or two you know there's no one to get over here it has exponentially grown like literally by leaps and bounds the value of Bitcoin the value of Ethereum the value of Litecoin the value of Monero the value of all these other decentralized currency has exponentially increased and if we look at for example increases in real estate if we look at increases in stocks one can just view on historical facts where a certain commodity or an asset increase in a drastic let's say trajectory what goes up must come down as the motto that's not necessarily true all the time but if you look historically even in Bitcoin from the all-time highs to all-time lows you see you know if we elongate the whole process of Bitcoin or the whole history of Bitcoin you do see a gradual step anytime it has exponential growth it drops down from the previous all-time high and slowly goes up kind of like a ladder or yeah like staircase I would say same thing with Ethereum as of late so what fears what I like to talk about the most in this situation is yes in the past if you look at stocks in real estate what you know real estate goes high the price is you know correct itself by 20 30% afterwards but my biggest concern in the space right now is not the fact of so many users and so many speculators are going in in fact I think it's healthy when you have speculators and each is to his own if one person wants to invest money and they've done their due diligence if they lose it they lose it that's on them there shouldn't be a government coming in saying hey you can invest and you can't invest you know if you want to spend your money and you're foolish enough to put your money in a stupid project and you're in that project fails well guess what you're liable for you're responsible for it you shouldn't be pointing fingers to somebody else you're the one that took out your wallet and gave money towards that project okay but what concerns me the most is the ICOs the fact that literally I get emails every single day from people trying to pitch me ICOs and I'm talking about like they're trying to give away advisory positions they're trying to give away pre vetted tokens they're trying to just do all this marketing and pre-promotion without even knowing you you know imagine you know what does that say about a company a company that's willing to give out advisory equity advisory tokens for an individual they've never fucking met ever in their life they're just giving away stuff towards them that's a big red flag when it comes to any startup in general whether that is an ICO startup blockchain startup or a regular you know silicon valley e-commerce product startup the biggest issue with the ICO is and there's like a hundred a day coming out right now is like we have what people believe blockchain can do right now and what the reality is right now I wrote an article not too long ago talking about the scalability issue I will leave a link below this video even Vitalik right here Vitalik states like he's just right now at the tech crunch conference the whole panel is talking about these ICO craze and he told them point blank like listen we aren't it looks like we're in a bubble like if we're looking at all these promises that the ICOs have the reality is the blockchain tech and like 99% of them are created on Ethereum with a ERC 20 token they can't do what they promise because Ethereum can't do that yet Ethereum has a very very long time to go before promises the scalability that people are talking about like Vitalik talks about it if you just read this tweet they need like a 500x improvement on the whole protocol to deliver what these ICOs are promising so just keep this in mind people are you know ICOs are raising hundreds of millions of dollars very quickly but for what like what are they actually doing the promises they make cannot be done yet it's not doable so that's one aspect second aspect is people are going to start waking up after a year or two from today and realize that the money they gave to these ICOs nothing's coming from it um and there's another big problem with this and the problem is like if you invest in an IPO or even angel investing you as the investor you have a lot of let's say accountability from the startup team you're count they're they're accountable to show you their financials they're accountable to give you a voting right if you have that type of right they're accountable for pretty much everything if you look at regular investing and that's both for from publicly traded companies and privately angel investing companies the problem with the ICO right now let's say technology out of the window out of the conversation for a second is it's these random people around the world who have a very beautiful website who've done you know social marketing and people are bought up into it and you give them your crypto Ethereum or Bitcoin and get their token they're literally not responsible or liable or accountable for to you for anything there's no legal contract there's no nothing so you've literally given maybe some kids around the world I don't know how much money you ever give them to do nothing and and that's an issue man that's that's a really big fucking issue when they're raising millions of dollars that they're not accountable to anybody not accountable to investors not accountable to their community and there's there's no transparency whatsoever and not to mention not to mention this to keep this in mind too like remember as a as a traditional investor if you invest in a commodity you have a physical tangible asset if you invest in startups you have equity and you have a say of voting rights etc if you invest in a token for the most part the token is centralized you know there's a big difference between tokens and cryptos you know decentralized cryptos like Bitcoin, Litecoin, Monero, Ethereum etc compared to certain tokens are centralized and pretending to be a cryptocurrency but all they are is an ERC 20 token and so you give these people money to literally control everything they control the majority of the tokens the whales control the majority of the tokens they make deals with exchanges there's so many uh let me and let me put this there's so many different moving parts that people don't know about in this space the lot of people that that just see the money increase they get bought up into this hype and they give their money and they wonder what happened to it and if you look at historically speaking majority of the ICOs the last year or so they've they've peaked at the ICO and dropped drastically about like 60% or so so if you're looking at long-term investment it's not the best investment and in fact if you're looking like the craziness just like I think in the last June or July more than $500 million has been invested just alone in that month in ICOs so you know I think this this craze of ICOs will continue maybe from the year or two maybe less than two years maybe a year and a half where more money is going to be coming in and then reality will set in and pop and the pop how is it going to look like who knows a lot of these companies will run out of money because they're building products that make no sense a lot of these companies that promise to do this well then reality they can't do that because Ethereum or whatever blockchain they built it on can't fucking do it yet so a lot of people will they will be in for surprise the next year and a half so my advice to you guys be smart do or do diligence there's no such thing as like easy money overnight just really pay attention to what's happening in the street pay attention to all the moving pieces and just use common sense all right guys peace oh yeah by the way if you have any comments or questions leave a comment below this video peace