EPTBitcoin discussion thread - Page 51
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ShoCkeyy
7815 Posts
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evilfatsh1t
Australia8605 Posts
a proper currency should be able to withstand time, be safe to use, be stored and accumulated, be rare enough that it can have value but not so rare that it cannot be widely used by the population, and can be manipulated easily enough for appropriate use. of all the elements on the periodic table only 2 elements fulfill all those qualities and they are gold and silver. others are either intangible, corrosive, poisonous, too rare or not rare enough etc. if you start getting even picker then gold outweighs silver because silver is not as resistant as gold, not as malleable etc. gold doesnt just have value because people like it in jewelry. | ||
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riotjune
United States3392 Posts
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Sbrubbles
Brazil5775 Posts
On January 16 2018 09:37 fishjie wrote: decentralization is a key feature. people are tired of central banks destroying their money with massive inflation via QE and TARP and 0% interest rates. gold is an inflation hedge that people flocked to when the central banks were doing their bs, but gold has no intrinsic value either, i guess other than its value as a semiconductor. but its not why people flock to gold. same with cryptos I stopped at massive inflation | ||
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iPlaY.NettleS
Australia4315 Posts
On January 16 2018 14:27 evilfatsh1t wrote: i can use pokemon cards or dota 2 items as mediums of exchange also, but it doesnt make them universal or effective currencies just because i can trade with them. a proper currency should be able to withstand time, be safe to use, be stored and accumulated, be rare enough that it can have value but not so rare that it cannot be widely used by the population, and can be manipulated easily enough for appropriate use. of all the elements on the periodic table only 2 elements fulfill all those qualities and they are gold and silver. others are either intangible, corrosive, poisonous, too rare or not rare enough etc. if you start getting even picker then gold outweighs silver because silver is not as resistant as gold, not as malleable etc. gold doesnt just have value because people like it in jewelry. Platinum also fits the bill but yeah, i laugh at these people who call bitcoin "Digital Gold". Cryptos are no better a store of wealth than fiat currency.Too volatile, not tangible (useless when there is a blackout situation), no value outside of blind faith and it's been around for 9 years not 6,000.It's literally the opposite of gold. Also total bloodbath today! Go long ponzicoin and bigboobscoin! https://coinmarketcap.com/currencies/bigboobscoin/ https://coinmarketcap.com/currencies/ponzicoin/ | ||
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pmh
1351 Posts
Having a fixed amount of money in circulation is absolutely horrible for the economy,it would make it near impossible to start a profitable business. Money gets accumulated over time in a closed system,some people make more then other people and this leads to less money in circulation in the long run,money becomes worth more all the time. Then there is also economic growth that causes a fixed amount of money to become worth more all the time. More products,same amount of money. Money becoming worth more all the time is nice when you have a pile of money but its not so nice when you want to earn a pile of money. Say I invest in making plastic bags. Plastic bag is now 50 cents and I need to buy 1m worth of machinery to produce them. By the time I am ready to start producing the plastic bag is now worth 40 cents and my machinery is worth 800k without ever being used. Just because money has become worth more. How can anyone ever make money in an environment like this? It looks to be far more profitable for the money to just do nothing and wait till other people do something so that my money becomes worth more by itself. It is the complete opposite of the current system, where the money has to do something to not fall behind due to inflation. Then there is also economic policy which requires a flexible amount of money in circulation,which is impossible with crypto. There are ways to let the amount of coins grow with crypto currencys.All the added value in the economy could add the equivalent amount of crypto currency for example. Every transaction could create extra coins based on the added value. It would become a very complicated system but maybe possible in the future. It would still lose flexibility compared to the current system though where we can create money at will. | ||
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ShoCkeyy
7815 Posts
You can make fun of it all you want, but in the end, bitcoin tech is where the value is, the decentralization of our current society. | ||
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evilfatsh1t
Australia8605 Posts
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pmh
1351 Posts
Then how is crypto going to deal with the isues I did mention in my post above,or do you think they are no problem at all. There are more isues with crypto btw,its strength (decentralization) is also its weakness. Everyone in the system has to approve every transaction,how can system like this ever accommodate a large amount of transactions? Its a great technology with many potential aplications,it does have value. But I don't see how an economy can run on just crypto currency,at least not within a few decades. I do wonder how low btc can go, 10k might have been to optimistic. Looking at chart 8k makes more sense as support lvl. | ||
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aseq
Netherlands3969 Posts
 ShoCkeyy, decentralization sounds cool and all, but I think if you don't solve issues like these, crypto currencies will always only be a extra to fiat. Blockchain technology will have a good number of uses, but those don't necessarily have much to do with currency. | ||
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RvB
Netherlands6190 Posts
On January 16 2018 23:46 ShoCkeyy wrote: the point is to have another currency to use globally rather than beat out current currency. If you think about it, 1BTC is worth 11k currently, but 0.005BTC is $50 so it's still completely usable, and there is enough to spread around. The next thing is, you make fun of "digital gold" but the www was digital gold, and it still makes thousands of dollars just selling one domain name. You can make fun of it all you want, but in the end, bitcoin tech is where the value is, the decentralization of our current society. The point is that with the way bitcoin works it's never going to be another currency. Yes you can still trade 0.05 BTC but because of its deflationary aspect it'll always make more sense to hoard it. If your money becomes worth more every year why not keep it? There's a mass of literature concerning inflation/deflation and its economic effects. In addition nobody wants his money to be as volatile as BTC. Nobody wants his wages to decline or rise by double digits monthly depending on the market. A currency is supposed to be a decent store of value. The thing is with BTC is that it's not really anything. It's not a currency for the reasons explained above, it's not a payment system since it can't handle that many transactions, it's not a commodity since it's not used for anything, you can't use them to raise capital like shares or bonds etc. The only real advantage of BTC is its decentralised ledger but I know for a fact of some big banks already adopting the technology. The question is if cryptocurrency's can really become relevant or if their technology will be used by established players while the coins fill a little niche market. | ||
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ShoCkeyy
7815 Posts
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Mohdoo
United States15391 Posts
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ShoCkeyy
7815 Posts
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mahrgell
Germany3941 Posts
On January 17 2018 07:59 ShoCkeyy wrote: It’s the third time btc has hit 10k, and a lot of has to do with China. That last collapse is more due to bitconnect going down... | ||
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Korakys
New Zealand272 Posts
Other things I would have: an oracle network that would sense what the major fiat currencies are worth and automatically buyback or create coins to keep the price stable with a composite of them; a minimum transaction fee to prevent high-speed trading; and a multi-tiered network like Dash has with its Masternodes. The key factor to make cryptocurrency useful is making it unprofitable to invest in, the profit should come from confirming transactions. | ||
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Mohdoo
United States15391 Posts
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MoonfireSpam
United Kingdom1153 Posts
On January 17 2018 03:02 pmh wrote: I do wonder how low btc can go, 10k might have been to optimistic. Looking at chart 8k makes more sense as support lvl. Don't think there's anything to predict swings really (other than taking a random chance on volitility of prices). Bitcoin doesn't have fundamentals like stocks do :< | ||
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TheFish7
United States2824 Posts
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PoulsenB
Poland7710 Posts
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