RCIF II - Five bullet Friday - Issue # 22

   Crypto markets seem to return slowly from the panic selling of bitcoin miners. No country in the world can ban bitcoin or the internet. They can only ban themselves from bitcoin or the internet. I was surprised to hear that 60% of bitcoin's hash rate went down in just 2 weeks and bitcoin is humming along just fine.

1. Most of us instinctively understand linear growth but not exponential growth. Bitcoin and Ethereum are growing at exponential rates. Human Genome project launched in 1990. By 1998, only 2% of the genome was sequenced. Linear thinking would conclude that it will take another 50 years to complete. But it reached completion by 2003. Bitcoin adoption rate is now at 2% and it is doubling every year. At this rate, we will reach 64% by 2026. 

2. Bitcoin experienced its largest sovereign-state attack since 2009 and it survived. The evidence is very clear that it is a coordinated attack with multiple countries simultaneously passing regulations and shutting down miners. I saw this image, which captures the timeline of the attacks. 

3. Most pundits on CNBC continue to be bullish on the stock market. I see clear signs of a raging bubble. Price to Sales ratio is difficult to manipulate, when compared to P/E ratio. Based on the P/S ratio of the S&P 500 index seems to be at an all-time high, which is even bigger than the dot-com boom, while we are in the midst of a pandemic. It makes no sense.

4. We have not added any other tokens to our portfolio other than OHM. Price is a misleading indicator for the growth of OHM token. Market cap is a meaningful indicator as its supply increases slowly. OHM started the month of June at a market cap of $50 million and today it is already sitting at $240 million in one month. We currently hold 23,474 tokens. If you have time, the attached article on OHM is worth a read.

5.  Ravi Avadhanam (Director for business development) is currently exhibiting RCIF at AAPI (American Association of Physicians of Indian origin) convention in Atlanta in Booth Number 310. If you are in Atlanta, it is a good time to meet Ravi. If you are at the convention, please stop by booth 310. Here is more info on the Conference: https://www.aapiconvention.org/

Have a wonderful weekend!