Have you ever wondered why truly valuable information is so hard to obtain? It's not because it's scarce, but because the processing cost is too high.
High-value information has four obvious characteristics: First, it is highly abstract and not directly perceivable; second, it involves many variables that are interconnected and cannot be determined by a single factor; third, the causal relationships are nonlinear, meaning A does not necessarily lead to B; fourth, the feedback cycle is long, and it may take a long time to see the results.
What does the combination of these four features imply? It means that handling such information requires extremely strong cognitive abilities. If a person's thinking is still stuck in single-cause reasoning, craving immediate feedback, using binary judgments of right or wrong, and being driven by emotions, then once such information enters their brain, one of three things will happen.
Either it is forcibly simplified into low-dimensional information they can understand, losing the core value; or it is discarded as nonsense because it cannot be verified immediately; or it is amplified by emotions into paranoid beliefs, which can mislead decision-making.
This is why some people can't make money no matter how much information they consume — it's not an information problem, but a fundamental inability to process information. In the crypto market, this issue is especially prominent.
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LeekCutter
· 01-17 18:24
Well said, I am that fool whose emotions amplify everything
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Isn't this me? Reading data every day but still losing money
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Unable to keep up with information processing? Just say we are information garbage disposers
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The long feedback cycle is really, how can people in the crypto circle stand it? If they don't make quick money, they get anxious
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So, high-value information is like a heavenly book to our brain trash
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Pointed and insightful, by the time you wake up, you've already been cut several rounds
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The threshold of cognitive ability, most people simply can't cross it
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What's the use of understanding it? Without execution ability, it's all in vain
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No wonder my friend still loses money after reading a bunch of research reports; turns out it's a brain problem
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That's why retail investors are always the leek, because of different cognitive levels
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DeFiCaffeinator
· 01-16 00:41
Ah, that's so true. I'm the kind of person whose emotions get amplified.
After reading so much information and still losing money, I realize it's really because my brain hasn't upgraded.
The problems in the crypto world are indeed tricky; the more anxious you are, the more you're exploited.
This really hits me in the heart; if your processing ability isn't good enough, all information is useless.
The longest feedback cycle is the hardest to endure; I simply can't wait.
To be honest, most people are just simplifying high-value information and then thinking they understand it.
So in the end, they're limited by their own cognitive abilities, and it feels uncomfortable.
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ConfusedWhale
· 01-15 19:06
Well said! I'm the kind of person who reads a bunch of information but still ends up losing money, haha.
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TideReceder
· 01-15 02:57
Basically, it's just a lack of brainpower.
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Wait, isn't this about me...
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The feedback cycle being long is truly incredible; the crypto world loves to see results within 24 hours.
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Regarding information processing ability, it sounds simple but actually is ridiculously hard to do.
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Why do I feel like he's criticizing my binary thinking?
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No wonder some people still lose money despite reading a bunch of materials; turns out their brains are stuck on "A equals B."
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That logic is perfect; the ability to process information is more valuable than the information itself.
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After being in the crypto space for so long, I realize most people are just obsessive compulsives driven by amplified emotions.
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That hits a bit hard. I admit I am the one who "verifies immediately."
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PrivateKeyParanoia
· 01-15 02:56
Alright, you're right, but after looking at the crypto world for a while, really half the people just can't change
No matter how good the information is, it's useless if your mind can't keep up
The flaw of chasing quick profits can't be fixed; you'll always be chasing highs and selling lows
That's why the ones who lose the most are often those who listen to the most so-called experts' analyses
It's really a matter of cognitive framework; if you can't rise above, you're always a leek
I've seen too many people whose papers are extremely well-written, but their trading is still a mess
Wow, finally someone has really seen through this
Understanding is one thing, being able to apply it is another
The biggest scam in the crypto world is the information itself; no one tells you how to digest it
How to put it, the most difficult part is the feedback cycle; most people can't wait
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Hash_Bandit
· 01-15 02:55
tbh this hits different when you're mining... the non-linear causality part especially. seen too many people chase difficulty adjustments like it's a straight line when the whole network hashrate is a multivariate beast nobody actually controls
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LiquidatedTwice
· 01-15 02:54
I knew it, this sounds harsh but it's actually hitting the heart.
After reading so many influencer articles, I still lost everything. Now I understand the reason.
The cognitive ceiling is the same as the earning ceiling, and that's true.
Simple and straightforward people are doomed to lose money in a simple and straightforward way.
Wait, now that I realize this, can I turn things around... Haha just kidding.
Most people can't withstand long-term testing at all. The moment they want quick feedback, they've already lost.
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StealthDeployer
· 01-15 02:52
Damn, isn't this just talking about me? So heartbreaking.
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Oh my God, so I've been losing money all along because my brain isn't good enough?
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That's right, but I can't change it. Still want to get rich quickly.
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The problem in the crypto market is indeed incredible. Many people can't wait for feedback and just cut their losses.
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How can one improve cognitive ability? Is there a quick way?
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This article itself is high-value information, but I still feel confused after reading it.
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Long feedback cycles are really frustrating. Human weaknesses are exposed.
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So how do those who make money endure it?
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Feels like this is talking about some marketing tactics of certain crypto influencers, simplifying complex information to fool beginners.
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I'm the kind of person whose emotions get amplified. I always regret it afterward.
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TokenRationEater
· 01-15 02:50
Stop talking, I am the person who can't make money no matter how much information I read.
Just say it if your information processing ability is poor, no need to beat around the bush.
That’s harsh, but I have to admit it’s very true in the crypto circle.
I rely solely on emotional fluctuations to make decisions, and I’ve lost a lot.
After reading this article, I feel even more confused. What should I do?
Cognitive ability really can’t be developed overnight.
Have you ever wondered why truly valuable information is so hard to obtain? It's not because it's scarce, but because the processing cost is too high.
High-value information has four obvious characteristics: First, it is highly abstract and not directly perceivable; second, it involves many variables that are interconnected and cannot be determined by a single factor; third, the causal relationships are nonlinear, meaning A does not necessarily lead to B; fourth, the feedback cycle is long, and it may take a long time to see the results.
What does the combination of these four features imply? It means that handling such information requires extremely strong cognitive abilities. If a person's thinking is still stuck in single-cause reasoning, craving immediate feedback, using binary judgments of right or wrong, and being driven by emotions, then once such information enters their brain, one of three things will happen.
Either it is forcibly simplified into low-dimensional information they can understand, losing the core value; or it is discarded as nonsense because it cannot be verified immediately; or it is amplified by emotions into paranoid beliefs, which can mislead decision-making.
This is why some people can't make money no matter how much information they consume — it's not an information problem, but a fundamental inability to process information. In the crypto market, this issue is especially prominent.