The staggering collective stupidity it takes to lose a billion dollars on shorting Bitcoin shows me economics as an institution still hasn’t caught up to crypto

I’m seriously in awe of the stupidity of Bitcoin shorters. The number one thing every resource teaching about options trading has imparted is that shorts are dangerous because you can suffer potentially infinite losses. I’m here pissing money into coins that appeal to my monke brain but christ even I know that “potentially infinite loss” imparts the same sense of danger as “even light can’t escape a black hole.”And doing so with XXXx leverage? Oh yeah just tie steaks to your face and jump into that wolves’ den, you’ll definitely to be able to wrestle these ravenous fucking canines into submissions and get a sweet new fur coat out of the deal. You definitely won’t be choking on blood while you watch your own innards get devoured by the uncaring cruelty of Mother Nature.How dumb do you have to be to think “Worst case scenario, I get margin called”? And after a >30% crash? Not anywhere near an all time high? Are you on an all time high? You’d have to be to not think this through to the tune of a billion fucking dollars.I’m not a fan of revealing personal details on reddit, but I’m something of a scientist and as such I have an inside view of what science actually is and how each discipline measures up to the others. Naturally, my view is biased by my own field, but I think I still have a better look at the ins and outs of human psychology as it relates to academic research.Economics, as an institution, is one of the stupidest fucking sciences there has ever been.For example, if you look at the sidebar of /r/economics, you can see an FAQ about the minimum wage. In it, you can see that until only a few decades ago, the “common sense” and “conventional wisdom” of economics said that raising the minimum wage is bad because it will cause prices to go up accordingly. It was only after actual hard research - you know, the actual bread and butter of science, not theoretical posturing - that economists realized labor isn’t enough of a part of the cost of running a business to negate the benefits of having way more customers who can buy more shit. How did it take them this long to think, “hey, wait a minute, workers are also customers!!”?Now, economists say cryptocurrency is a scam, a bubble, the mythological Dutch Tulip Mania, and that we’re all dumb for participating in something which defies common sense conventional economic wisdom.Well, just a few days ago, we saw that trying to bet on the failure of this asset also defies common sense conventional economic wisdom. Humans are terrible at picking stock on their own, but christ, it seems they’re even worse at picking when crypto prices will fall!tl;drDON’T SHORT A VOLATILE ASSET WHICH HAS ON AVERAGE TRIPLED IN PRICE YEAR OVER YEAR, YOU ELECTRICAL SOCKET LICKING MORONSJust DCA and hodl, as always.

Submitted July 28, 2021 at 12:50AM

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