Is The Cult Like Actions Of Crypto Helping or Harming?

Hey Jessalt coiners

When I first got into crypto, I got in knee-deep, and I was searching for every bit of yield I could get from various altcoins. I read hundreds of white papers, but it didn't matter, you could invest in any old shit at the time and make gains as long as there was liquidity to sell into once you've reached your price point.

I did pretty well for a noob, but so did many who got in early, this wasn't about skill or talent, some of us were just lucky enough to ride the wave correctly, and I will openly admit that.

In a bear market, it's far harder to trade finding opportunities since your spreads aren't attractive because your perception is skewed by the boom times. Since I wanted to know about the fundamentals of each project, I invested in rather than just the price points I was all over discord and telegram interacting with various communities.

No one is willing to say they made an unsatisfactory purchase

While you don't need to if you do, you can feel the extreme tribalism that surrounds each project as the protectionism is on a scale second to none. I mean, I know people who swear by Android or Apple even though they both lying pieces of shit companies. I know people who like a particular brand of car, even if they don't realise the parts are manufactured by another brand they don't like (same with Apple, parts are made by Samsung).

There's a sense of brand patriotism in every market because when we put our money into something we believe its the best our money can buy and won't hear anything different. We don't want to hear we made a shit decision and that's a bias we have when we vote with stake aka making a purchase.

Image source - nichemarket.co.za

The tribe has spoken

As we create this fanatical branch in each space, I feel their enthusiasm is often misguided in any project; there are the:

Attractors

Who can't see anything wrong with the project, everything they do is grand, and this project is going to obliterate all others and go to the moon. These types do not spread their risk and are often blindsided since their exposure is so high. This exposure radicalises their beliefs even more, and it can do more harm than good by alienating new investors who weren't there through the beginning or though times.

Detractors

These are people who invested and got burned or those who feel the project threatens a project they are passionate about and are again trying to protect their upside. They could also be disillusioned investors who were marginalised by others in the tribe or became tried of the project and want to see it fail to prove their biases.

Centrists

These are the people who take the emotions out of the game; they spread their risk and invest in the project, knowing full well they can lose everything. They don't make a big noise about it and are often drowned out by the first two who take most of the spotlight. I think this is also a smaller group as these are normal people with investment experience from traditional markets and bring a sense of calm to markets as they allocate capital, that's all they see it as, a way to find an acceptable yield based on risk.

Investors and markets will mature

I think that these extremist groups do play off one another and cause a lot of confusion and push people who want to be on the fence to one of their groups which I don't think is very healthy for a space that still needs to grow but I don't think it will bring down crypto but be drowned out eventually but still be active on the edges.

I think that this space is still infantile in the way that many crypto investors are either attractors or detractors and this is their first real investment, in allocating their own money and emotions do get the best of them. I think that when you understand this you can take the advice they give you with a pinch of salt and make your own decisions.

I think that as the markets mature we will see more centrists coming in who have no emotional ties to the projects or the place and want to allocate capital in the places it will work best, looking at price discovery finding opportunities and encouraging productive value creation over time.

Have your say

What do you good people of steem think? Which one of the 3 do you fall under? Are their other categories of investor you feel you are in?

Holla at me in the comments! All my commenters I will now refer to as Jessie. Jessie is a good friend of mine, but Jessies got a girl, and I want to make her mine.

So have at it my Jessies! If you don't have something to comment, comment "I am a Jessie."

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