Why are so many people keen on various "digital currencies"?

Now that "digital currency" is rampant, many people are asking me whether they can buy this kind of currency. I said that you must first figure out what it is. If you rush in without knowing anything, you will probably end up dying.

But even though it is obviously a pyramid scheme coin, why are so many people still keen on it?

1 China’s asset panic

The domestic economy is indeed in a recession now. Looking at the current capital market, there are "basically" no good investment targets, especially the stock market crash that year, which really scared everyone. It is true that once bitten by a snake, you will be afraid of the rope for ten years, especially since the trend of A-shares is unclear, no one dares to take risks.

Many people think that they have a thorough understanding of A-shares and can see clearly that now is not the right time to invest. But if they have such a thorough understanding, why do they suffer a disastrous defeat during the stock market crash? This shows that their analysis has loopholes, or even that they are just following the crowd and have no analysis of their own at all.

The index is around 3,000 points now, and it can neither go up nor down. It is so frustrating. If you are a long-term investor, you can consider it. But if you want to make quick money, forget it. So this also shows that the so-called "asset shortage" is just an excuse for everyone to rush for quick results.

The stock market is not doing well, so I don't need to mention investments such as funds. As for commodities, gold prices have plummeted due to the US's threat to raise interest rates, and the trend in 2017 is even more unclear.

P2P is afraid of running away, and some even think the investment returns are too low, so there is nothing they can do about it.

But is it really like this? In my opinion, these are all too subjective, because when we see that it is worth investing, it is often already at a high level, and the market is not very rational. Now it is at a low level, and from a long-term perspective, it is a good time to make a layout, and only then will we have the opportunity to get a share of the pie. The problem is that you must first analyze whether it is high or low, whether it is worth investing, and then how long you can invest.

2 The Chinese Dream of Getting Rich

The so-called "asset shortage" has become a "fait accompli" that everyone considers, so they will naturally look at other targets. Moreover, every Chinese has a dream of "getting rich", which is not wrong in itself, and it is also a very valuable quality of the Chinese nation for a long time, provided that it is hardworking.

Things have changed now. Everyone wants to get rich quickly and they all envy those who get rich overnight. This is also the fault of our media, which promotes those get-rich-quick stories every day. The atmosphere in the whole society is not very good. Everyone wants to make a quick buck and run. What's more frightening is that many people actually think this is a very simple thing.

The price of Bitcoin rose to nearly 9,000 RMB a few days ago, so the "myth" of Bitcoin appeared in the newspapers again, and everyone was even more restless, fearing that they would miss out on 100 million yuan if they didn't participate.

The trend of Bitcoin has its own logic and has certain investment value, but the ups and downs of the trend are definitely not something that those who want to get rich quickly can bear.

What’s worse is that after the Bitcoin investment boom, many so-called “digital currencies” and “virtual currencies” are trying to attract people to join, all of which are weaving a dream of getting rich. Bitcoin prices are too high, so why not try investing in other currencies? Some people say, just give it a try, so haha.

3 New Ponzi Schemes

Why is it that there are always too many fools and not enough swindlers in this society? Because swindlers know how to figure out the psychology of ordinary people, either by taking advantage of your good intentions or your dream of getting rich.

Nowadays, most of the so-called "virtual currencies" are just fake, and there are some pyramid schemes and fraud groups behind them. We must be cautious about any "currency" that relies on winning over acquaintances for publicity and promotion.

Of course, you have to be very rational and improve your own thinking and cognition. Before every investment, you have to think about why: What is digital currency? What is the operating principle behind it? Where is its value? And so on. If you don't understand or can't think clearly, don't invest. Even if others have "made a fortune", that wealth does not belong to you, remember!

If an investment product claims to bring you "abnormal" returns, there must be something wrong. As the old saying goes, "there must be something wrong when things are abnormal." Please keep your eyes open and invest rationally. The kind of tiered dividends that even allow you to be a "shareholder" is a Ponzi scheme and cannot be trusted, because we are ordinary people. If money is so easy to make, how can we be given this qualification?

In conclusion, I would like to quote Li Daxiao’s words: “Cherish life and stay away from MLM coins.”