Post
Topic
Board Serious discussion
Re: Crypto currency as an alternative to the stock market
by
Cryddit
on 25/10/2018, 07:20:06 UTC

The problem with this line of thinking is that the coin does not represent a promise of any kind on the part of the company that issued it.

Investors want to invest in things that will either cause the company to give them royalties or payments or a share of their future growth.  That's what stocks and bonds are.

A coin - which can go to zero while the company is still okay - does not represent any obligation by anybody to the investor.  It's essentially just a receipt for a donation.  And not even usually a tax deductible donation.