Which of these two weighs more, a ton of bowling balls or a ton of feathers?
The answer, of course, is that they both weigh the same — a ton. But if you're not paying attention, there is a tendency to automatically say the bowling balls, since individually, a bowling ball is heavier than a feather.
This is called unit bias. And when applied to finances, it's just as irrational as saying a ton of bowling balls is heavier than a ton of feathers. It's what makes some investors desire larger amounts of an asset that objectively has less value vs. fewer tokens that are worth more.
In this week's Weiss Crypto Sunday Special, Chris Coney breaks down how unit bias can impact your decision making as an investor and how to analyze tokenomics to determine if an opportunity is worthwhile … or if your bias is affecting your judgement.
I suggest you watch the latest Sunday Special to get Chris' useful insight now.
Best,
Beth Canova
Managing Editor
