I have a nocoiner coworker (also a whiney liberal who acted like he was moving to Canada once Trump won) that sperged...

>401k
eurofag, the fuck is a 401k in commonspeak

people use this argument all the time. i ask you, stockholder, have you ever been a shareholder of a company that went tits up?

"Upon bankruptcy, a firm will be required to sell all of its assets and pay off all debts. The usual order of debt repayment, in terms of the lender, will be the government, financial institutions, other creditors (i.e., suppliers and utility companies), bondholders, preferred shareholders and, finally, common shareholders."

I'm sure you with your 5 shares of the company will be well insulated.

investopedia.com/ask/answers/06/bankruptpublicfirm.asp

That said, cryptos are a highly volatile and high risk investment. Publicly traded companies face much more rigor to even get to the point where Joe Schmo can invest with them. You are playing with fire especially by not fully understanding what you are investing in.

Is this a meme?

Boomers wouldn't screw us over would they?

>what are target funds

retirement fund

>company goes bankrupt
>stock gets delisted
>crypto goes bankrupt
>oh wait, it can’t

you idiot, you're entitled to nothing with your sub 1% share of a public company.
most public companies (facebook, amazon, google, berkshire..) also pay 0 dividends.
the people who hold decisive share of the company elect themselves as top managers/advisors/board members, then pay the profit out to themselves as salary.

people buy public shares for no other actual reason than hoping that someone will pay more for those shares later. there's 0 other reason to buy public shares for.

a company could go 100x in profits and its shares could tank and vica-versa. the only reason stocks (very roughly-) follow company perfomance is that people speculate that other people will be willing to pay more for the 'shares' of a better performing company.

public stock are a 100% speculative asset with absolutely insignificant intrinsic value compared to their speculative (actual) costs. same as gold.

what would the average percentage off current prices be if the next generation decided to not play hot potato on the stock market?

fundamental stock value is dividend payout (if any) + announced buyback schedule if any, and asset liquidation value. there should be a speculative floor on a buyout/takeover price too.

Blockchain Investments Risk. An investment in companies actively engaged in blockchain technology may be subject to the following risks:
• The technology is new and many of its uses may be untested. The mechanics of using distributed ledger technology to transact in other types of assets, such as securities or derivatives, is less clear. There is no assurance that widespread adoption will occur. A lack of expansion in the usage of blockchain technology could adversely affect an investment in the Fund.

• Theft, loss or destruction. Transacting on a blockchain depends in part specifically on the use of cryptographic keys that are required to access a user’s account (or “wallet”). The theft, loss or destruction of these keys impairs the value of ownership claims users have over the relevant assets being represented by the ledger (whether “smart contracts,” securities, currency or other digital assets). The theft, loss or destruction of private or public keys needed to transact on a blockchain could also adversely affect a company’s business or operations if it were dependent on the ledger.
6
• Competing platforms and technologies. The development and acceptance of competing platforms or technologies may cause consumers or investors to use an alternative to blockchains.

• Cyber security incidents. Cyber security incidents may compromise an issuer, its operations or its business. Cyber security incidents may also specifically target user’s transaction history, digital assets, or identity, thereby leading to privacy concerns. In addition, certain features of blockchain technology, such as decentralization, open source protocol, and reliance on peer-to-peer connectivity, may increase the risk of fraud or cyber-attack by potentially reducing the likelihood of a coordinated response.

Developmental risk. Blockchain technology may never develop optimized transactional processes that lead to realized economic returns for any company in which the Fund invests. Companies that are developing applications of blockchain technology applications may not in fact do so or may not be able to capitalize on those blockchain technologies. The development of new or competing platforms may cause consumers and investors to use alternatives to blockchains.

• Intellectual property claims. A proliferation of recent startups attempting to apply blockchain technology in different contexts means the possibility of conflicting intellectual property claims could be a risk to an issuer, its operations or its business. This could also pose a risk to blockchain platforms that permit transactions in digital securities. Regardless of the merit of any intellectual property or other legal action, any threatened action that reduces confidence in the viability of blockchain may adversely affect an investment in the Fund.

• Lack of liquid markets, and possible manipulation of blockchain-based assets. Digital assets that are represented and trade on a blockchain may not necessarily benefit from viable trading markets. Stock exchanges have listing requirements and vet issuers, and perhaps users. These conditions may not necessarily be replicated on a blockchain, depending on the platform’s controls and other policies. The more lenient a blockchain is about vetting issuers of digital assets or users that transact on the platform, the higher the potential risk for fraud or the manipulation of digital assets. These factors may decrease liquidity or volume, or increase volatility of digital securities or other assets trading on a blockchain.

• Lack of regulation. Digital commodities and their associated platforms are largely unregulated, and the regulatory environment is rapidly evolving. Because blockchain works by having every transaction build on every other transaction, participants can self-police any corruption, which can mitigate the need to depend on the current level of legal or government safeguards to monitor and control the flow of business transactions. As a result, companies engaged in such blockchain activities may be exposed to adverse regulatory action, fraudulent activity or even failure.
7
• Third party product defects or vulnerabilities. Where blockchain systems are built using third party products, those products may contain technical defects or vulnerabilities beyond a company’s control. Open-source technologies that are used to build a blockchain application, may also introduce defects and vulnerabilities.

• Reliance on the Internet. Blockchain functionality relies on the Internet. A significant disruption of Internet connectivity affecting large numbers of users or geographic areas could impede the functionality of blockchain technologies and adversely affect the Fund. In addition, certain features of blockchain technology, such as decentralization, open source protocol, and reliance on peer-to-peer connectivity, may increase the risk of fraud or cyber-attack by potentially reducing the likelihood of a coordinated response.

• Line of business risk. Some of the companies in which the Fund will invest are engaged in other lines of business unrelated to blockchain and these lines of business could adversely affect their operating results. The operating results of these companies may fluctuate as a result of these additional risks and events in the other lines of business. In addition, a company’s ability to engage in new activities may expose it to business risks with which it has less experience than it has with the business risks associated with its traditional businesses. Despite a company’s possible success in activities linked to its use of blockchain, there can be no assurance that the other lines of business in which these companies are engaged will not have an adverse effect on a company’s business or financial condition.

retard alert

equity = assets - liabilities

no shit bondholders get first claim on the assets... they are literally the liabilities in the above equation

Crypto is chink shit that is going to 0

sounds like your coworker browses r/buttcoin alot

You're coworker is correct, you are investing in an actual product/service that will almost certainly grow, and you'll be entitled to a "share" of that growth.

But to say crypto has no value, just tell him it's value is: ease of transferability, anonymity, and as a store of value.

Duh.

>spot the salty

Nearly every single one of these “risks” is due to point 1 and will be sorted fairly quickly like any new technology. We saw all of these issues with credit card tech in the 50s-80s.

A tax deferred self directed retirement fund. Commonly in the US u contribute and you employee matches a bit...

Honestly, I sit here and wonder how people are so opinionated and passionate on certain issues.
Like dude, we're all going to die. Who gives a flying fuck about anything. Do whatever you want and tell the libtard to do whatever he wants and shut the hell up.

well, these companies need some assets to operate, real estate, fucking carpet, shitty desks old computers, bit of cash etc... but why the fuck do i want to own any of that? why do i give a shit if the floor price is $100 based on liquifying these shitty assets, what's the difference to having a floor of zero on no shitty assets?

OP, you are truly retarded.

Hopefully, BTC is ETF holy land I think

Lol dude, all that matters is your entry position. It goes up by X percent and as long as there is someone to buy it at their preferred position then who cares? Everyone enters at a different risk level with corresponding expected reward.

A share is only worth what someone is willing to pay for it, simple as that.

>I have a nocoiner coworker (also a whiney liberal who acted like he was moving to Canada once Trump won) that sperged out at me when I asked him why company shares hold any value.

Tbqh you were just trolling him

You know why shares hold value

Yes but you would safely assume people would pay at least what it is backed by. Maybe this company owns $1bn building and has no liability, so you might say $1bn market cap is minimum value. In crypto there is no backing, so minimum price is zero.

A stock infers no rights to profit sharing, dividends, any of the company's assets or any say in decision making or voting. The company can decide to give this to you, but there is nothing legally entitling you to any assets of the company. On the other wise you aren't liable for any of the company's debts. If the company goes a hundred billion dollars in debt you don't owe a dime. You also don't "own" a stock if you don't have the physical certificate. Its likely you don't own any stock, just IOUs from a broker.

This

Basically a CFD (Contract for Difference)