Famous YouTuber Lao Gao released a members-only video yesterday, discussing his latest views on Bitcoin. He believes that Bitcoin’s value has been recognized by some countries and institutions, making it a financially endorsed asset. However, he also warns that Bitcoin could potentially become worthless in an instant, as its market volatility and security risks cannot be ignored.
(Prior summary: Did Lao Gao’s prediction of “disasters in January and July 2025” actually come true? Which economic collapse moments will coincide?)
(Background: Lao Gao’s perspective on the metaverse: It will completely change the world! Cryptocurrencies and NFTs are important for the virtual world.)
Lao Gao, from the popular YouTube channel “Lao Gao and Xiao Mo Mr. & Mrs. Gao,” released a members-only video titled “The Real Reason Why I Don’t Have Bitcoin, and Why You Shouldn’t Have It Either” on the 5th. He openly stated that Bitcoin’s value has gradually gained recognition from some countries and institutions. However, he also reminded investors to carefully consider the timing of entry and be wary of hidden risks.
Bitcoin’s Financial Asset Status Is Gradually Stable, But Don’t Expect Speculative Fortunes
With Trump’s victory, Lao Gao believes that the United States has begun to gradually recognize the existence of Bitcoin. Although its legal status has not reached the level of currency, its recognition as a financial asset is gradually stabilizing. This provides some support for its value. However, most other cryptocurrencies on the market have not received similar recognition, causing their value to tend towards zero. Therefore, extra caution is needed:
There is no need to debate whether Bitcoin is based on thin air or if it is a scam with no value. As long as Trump says it has value, it has value, even if it is just a string of numbers. It cannot be spent and that’s not a problem.
Despite the increasing recognition of Bitcoin, Lao Gao warns that there are more traps than opportunities in the cryptocurrency market. Most novice investors end up being trapped, and there are very few cases of truly making a fortune. While Bitcoin has become part of asset allocation, wealthy individuals buy Bitcoin for risk diversification rather than speculative fortunes. It is now impossible to get rich through Bitcoin unless through leverage:
Don’t think that Bitcoin is doing well now and you can get rich overnight through Bitcoin. I think there is a possibility of doubling or tripling your investment, but doubling or tripling is difficult to get rich. To get rich, it has to be a thousandfold or ten thousandfold increase.
Bitcoin Could Become Worthless in an Instant
Regarding investors looking to buy Bitcoin, Lao Gao mentions the risks that holding Bitcoin may face. He points out that Bitcoin could become a target for hackers, as passwords are the core of asset security. Measures should be taken to prevent hackers from stealing passwords through technical or social engineering means. He bluntly states that hackers “can infiltrate your computer without you knowing it” and there is even a possibility of them infiltrating your mind.
Lao Gao further mentions the potential crises Bitcoin may face on a technical level. He emphasizes that “the possibility of Bitcoin instantly becoming worthless is not nonexistent.” Although Bitcoin is designed with security in mind, it still faces potential threats such as 51% attacks and quantum computing. It may also face value collapse due to global power outages:
In fact, there is no need for a global power outage because Bitcoin miners are concentrated in certain countries, not distributed in every corner of the world. If there is a power outage in these concentrated areas, there will be a problem with 51% attacks because Bitcoin requires massive computing power.
In places where there is no power outage, some large miners can instantly gain control of Bitcoin, even without a power outage, just by disconnecting the network. If more than half of the miners suddenly disconnect from the network, it will also cause this devastating blow.
Another situation that could lead to a 51% attack is quantum computing. When someone’s computing power exceeds 51%, it becomes centralized, the structure collapses, and the value instantly becomes zero.
Caution Against Blindly Following Investment Trends
Furthermore, Lao Gao also provides his perspective on the investment psychology in the Bitcoin market. He believes that Bitcoin’s high volatility is suitable for investors with a strong psychological tolerance. However, conservative or inexperienced investors should carefully consider whether to participate. He points out that Bitcoin’s value can skyrocket due to celebrity remarks or plummet due to unexpected events. Investors need to be mentally prepared for this.
Lao Gao concludes by urging investors to fully understand the relevant technical principles and legal environment before investing in Bitcoin or any other cryptocurrency. Decisions should be made cautiously based on individual risk tolerance. Virtual assets are not suitable for everyone, and investments should be rational. Blindly following trends or adopting a gambling mentality should be avoided. As a highly volatile market, only investors who truly understand and accept the risks can find a place in this field:
You can’t expect it to keep rising forever. When it’s time to sell, you should sell. When it’s time to profit, you should profit. I think it’s difficult for it to become a family heirloom. How many bitcoins do you want to pass on to the next generation? That’s challenging. So, if you want to invest, you should consider when to sell. After all, that’s called investment.
