Watching "The Big Short."

It's a movie I did see years ago but probably didn't have the full appreciation for at the time. Not understanding much about the housing markets and the financial crash of the time it didn't really catch my interest that much.

Ref: ecnmy.org

To me the plot about the investors conviction is the real story. The few people that were on the right side of the market and backed their positions when everybody else told them that it wouldn't happen.

The people who looked beneath the hood and saw what was really going on. People and banks laughed at them when they bet against the big institutions but they had done the research and knew what was coming down the road.

They did the research and found that the whole market was propped up by fake numbers and easy credit. A lot like crypto projects being propped up by hype and marketing. Big numbers get thrown around for these projects that have nothing under the hood.

I feel the same way about Hive and Leo as well. So many projects are hyped up with nothing to show for it while we have one of the best blockchains in the industry with leo building one of the best layer two projects on it. Even with Leo price going 10x lately it's still not crazy in terms of value. The team have been building for six years have delivered real projects and have a working business with leodex that will hopefully prop up the eco-system for years to come.

They always give the fable about the gold rush where the people who were the most successful were the ones selling the shovels and tools.

The fable about "selling shovels in a gold rush" isn't a traditional fable but a business aphorism rooted in the California Gold Rush of the 1840s–1850s. It illustrates a strategy for profiting during a speculative boom by providing essential tools or services to those chasing the primary opportunity, rather than directly competing in it.
During the Gold Rush, thousands flocked to California seeking gold, but most prospectors faced slim odds of striking it rich due to competition, unpredictable outcomes, and harsh conditions. Meanwhile, entrepreneurs who sold shovels, picks, pans, and other supplies to miners often made consistent profits. These sellers capitalized on the guaranteed demand for tools, regardless of whether individual miners succeeded.

Crypto is a boom and bust industry. Some tokens can make you millions but most fail within two years and cost people large sums of money. Luckily Hive has survived and developed over these years but finding ways to make money by providing services to other tokens is the only sure fire way to be successful.

Leodex is providing tools to swap tokens at a small price with holders profiting form the swaps. If they can scale up and keep developing the product as well as offering more services then they could become very profitable.

The lesson is to focus on the reliable, less glamorous opportunities that arise during a frenzy. Instead of chasing high-risk, high-reward ventures (like gold), provide what everyone needs to pursue their goals (the "shovels"). This strategy emphasizes stability, scalability, and leveraging demand without being exposed to the same risks as the primary speculators.

The price of the Leo token isn't the focus and the price of other tokens doesn't matter as long as people are using the service and swopping between projects. That will inadvertently impact the price of Leo positively as more money is generated to buy back the token and remove it from the markets.

Not a guarantee but if the team can keep building core products that people want to operate in the crypto industry then a very good bet. They have had failures in the past with defi and product building but this time seem to have a good business model that should keep adding value to the eco-system and the Hive eco-system by default.

I'm betting on it anyway and won't be shaken from my position which i think has another 10x in it over time.

Posted Using INLEO