Uncertainty Reduction in Crypto

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Ever heard of the uncertainty theory? It is an interesting concept that I came across for the first time today and basically states how being exposed to more information about a person reduces uncertainty about that person. The more you know, the more you understand and can predict basically.

The theory had instant crypto utility written all over it from my perspective. After all, crypto is the bedrock of uncertainty today and is as difficult to predict as behavioral patterns. Reducing uncertainty is quite an attractive option, and it is no wonder then that people invest in options that bring about the most certainty like stables and liquidity pools.

But the theory itself on how uncertainty can be addressed is quite noteworthy. It basically states that all you need is information. I have spoken about the need to gather as much information as possible before making an investment decision in the cryptoverse and this continues to hold true till today. Information remains the biggest difference between taking the blockchain as a gamble and taking it as a worthwhile investment with actual utility. They both may produce the same results (if you are lucky), but one certainly has a higher probabiltiy of success as well as puts our minds at ease.

Hive is the bedrock of information as far as the crypto space is concerned. As a matter of fact, the problem with Hive isn't a lack of information but too much of it, making filtering the customized useful ones more difficult. I haven't read the stat but I believe that Hivers would generally make better crypto investors in the medium to long term, owing to the sheer amount of information we are exposed to on a daily basis.

Careful Though

Although there is also a danger of being exposed to the wrong sort of info. It is possible to make conclusions based on false narratives, confirmation bias and one-sided assumptions, so I guess variety and a genuine search for the right sort of information should also be considered. Making a mistake based on the wrong sort of info can actually prove more costly.

For instance if I am convinced that Hive is going to triple over a certain period from the information at my disposal, I will likely invest heavily in it. If it fails to go as predicted, then I suffer heavy losses and end up with instant regret. Sometimes it is important to keep out own biases in check especially when it comes to making investment decisions.

Conclusion

Utilizing Hive as an information den for crypto investing should be considered. Leofinance leads the way, but filtering the information useful to us is important unless you have countless hours to read and surf the crypto web. I dedicate about an hour to Hive daily so the number actions I can take are quite limited. The right sort of info in crypto will not just provide certainty, but has the potential to transform our lives.



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5 comments
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I think being exposed to opinions on everything is good and I love that you applied this theory to crypto.

During Bear Seasons, it also helps provide sort of a support group. I don't think I would have held through the last bear season without the encouragement and support from other crypto people many of them here!

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I understand what you mean. For instance, I recieved strong voting support from one particular person when I came back that encouraged me to keep writing on Hive. Support generally cannot be understated

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Utilizing Hive as an information den for crypto investing should be considered.

Another thing Hive does very well is play a good role in giving me news that I might have missed out there, like the Luna/UST case I don't go looking for what's the latest out ther, I stay put on Hive and the infos come to me knowing fully well you just don't post fake news on here, you can get into trouble for that lol.

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It is important to know proper amount of risk to take irrespective of information we have in hand, information is power but can be misleading and that’s why we must always thinking 50/50 in everything

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