Contingency currency can crash
ETHEREUM
Many have feared the instability of the US dollar from the time of the Great Depression. While there have been rises, people are pessimistic about a market crash. This has not been helped by cyclical downturns beginning with the Great Recession of 2008!
A great idea was enacted some years ago. Have a cryptocurrency. The bitcoin was invented. It's selling point was based on values that can be encrypted against piracy and cheaply manufactured backup token currency.
Of course shortsightedness resulted in market scamming and trading tricks which caused fluctuations and loss with this medium of exchange also! it seems like the pattern is always to seek greener grass.
So a backup to the backup was invented Ethereum, An alternative to Bitcoin! But nothing is immune ,no matter the pretense, from greedy manipulations Last Wednesday the rate of Ethereum plummeted to 10 cents from $319.00 in 1 second in the cryptocurrency exchange GDAX.
A stray multimillion $ sell order is the identified culprit. Wile the amount has been self corrected to within $10,00 of he pre sell price the lesson is definitive. You can change the medium but you can't be secure as long as people speculate and take advantage of the market!
Be careful in any investment from affiliate marketing to the stock market! More if you care to read at:
http://www.msn.com/en-us/money...
Recent Comments
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You must not include stop orders in your Exchange... most of the flash crashes are due to that. Some can read the book and decide that it is benefical to trigger all that funny stops...It happens also in regular economy with shares of stock in regular brookers
A very good summary Mike, speculation is what drives the US economy has done since the days they laid down the railway tracks and before that it was imported from the UK as we know it today.
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good post thank you