Cardano Dan's Newsletter - Issue #40
Meaningful Conviction
Quote of the Day
“Conviction is worthless unless it is converted into conduct.”
― Thomas Carlyle
I have a high degree of conviction that cryptocurrencies and blockchain are going to change the world. Where does that come from?
I’ve watched technology literally transform the world during my lifetime with the internet. I’ve also studied how technology transformed the world many times before I was born including during the Industrial Revolution through chemical manufacturing and steam power and the Second Industrial Revolution via the electric grid and assembly lines.
I’ve been personally involved in research and development and know why companies and countries invest millions and billions of dollars into R&D. Because they lead to economic and military advantage.
I take all of that experience. Then I look at the brain drain that’s occurring. There is a giant sucking sound where massive amounts of talent are leaving other fields to enter the blockchain space. I’ve personally witnessed it in real life.
Then, I look at the insane monetary policies of the world’s economic leaders. Blockchain would be game changing even without this. It eliminates financial friction and middlemen and provides, for the first time, a true digital money for transaction on the internet.
Add on top of that the fact that the financial leadership of the world is destroying the value of fiat currencies at the most rapid pace we’ve seen in our lifetime. People need an escape hatch and cryptocurrencies are that path.
So I have extreme conviction that cryptocurrencies and blockchain are going to change the world.
What sort of “conduct” has that resulted in? I formed this conviction from 2017-2018. It’s only strengthened since then. It resulted in dollar cost averaging into blockchain projects throughout the depths of the bear market.
It’s continued with additional investments as cryptocurrencies have gained in value. It’s also led to additional engagement in Cardano: running a stake pool, writing newsletters, proposing projects under Project Catalyst, creating NFTs, and more.
You could say that I am “totally bought in.” So, with all of that said, do you think that a 2-3 month pause in price appreciation of Cardano ADA is going to cause me to change course? No. It’s why I said this on Twitter recently.
I’ve got meaningful conviction about blockchain in general and Cardano specifically. How about you?
In The News
Yellen said rates may need to go up to “prevent the economy from overheating.” Stocks didn’t like it so she quickly corrected herself. This is the world that we live in now. Even though there’s widespread evidence of inflation bordering on hyperinflation, our markets can’t even take the suggestion that we MAY need to raise rates at some point. Things are not good.
Speaking of inflation, check out this article for a LONG list of companies talking about the impact of inflation on their businesses.
Cardano Updates
Charles gave a quick video update. In it, he shared that there will be a mid-May Alonzo update and he also clarified his view on Dogecoin. Once again I find myself closely aligned with Charles’s thinking. He’s not a DOGE hater, just a realist.
Kraken announced support for Cardano staking. I highly recommend you avoid permanently staking with an exchange because, “Not your keys, not your coins.”
However, if you wanted to stage some ada on an exchange in preparation for selling it, Kraken might be a good option because it is “instant” unstaking. So you could stake it until you’re ready to sell and then sell it right away.
Assuming you’re holding for the long-term, withdrawing your ada from an exchange to hold in your own wallet is a better plan. When you do, please consider staking with my pool DAN2 or my partner pool RELY!
Technical Analysis
I don’t have a lot of new things to add about Cardano ADA from a technical perspective right now. I’ve got conviction that we move higher soon. That is all for now.
What do you think? Do you share my conviction?
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This newsletter is for entertainment and educational purposes. I’m not a financial advisor and you should do your own research and consult a financial advisor before investing in cryptocurrencies.