But that hasn’t stopped speculators from betting on it — and notching huge gains and losses in the process.
As you can see above, Dogecoin embarked on a wild rally in early 2021 that briefly touched a 10,000% gain, before settling to a more “modest” gain in the 5,000%-6,000% range.
Cryptocurrencies represent an entirely new asset class — and an entirely new risk/reward calculation for investors.
I first started recommending readers buy bitcoin as far back as 2013. And I’ve made numerous buy and sell calls on it over the years.
I even helped finance a startup crypto miner and data center in Sweden a few years ago that sold its assets to the largest bitcoin miner in the world — a company called Northern Data.
That deal was successful because the company used cheap and clean hydropower to power the racks of servers. And because it was in northern Sweden, the air was cool year round, which reduced cooling costs.
Increasingly, energy and crypto are intertwined. You could even say that cryptos are a way to convert electricity into money.
In the future, I think they’ll become even more intertwined.
I think you’ll even see the grid being managed and facilitated by a blockchain.
I know that sounds crazy. I’m sure I sounded crazy recommending Bitcoin in 2013, too.
But the profits speak for themselves.
See how energy and crypto are morphing here.