_________________________ “ What all the wise men promised has not happened, and what all the damned fools said would happen has come to pass.”— Lord Melbourne
The finance professors argument of "mining is more expensive than the value of the coin" conveys a lack of understanding, that has always been the end game. people like to compare bitcoin to currency, they should be comparing it to gold.
Of course as computational power increases, the difficulty to mine bitcoin will be surmounted, then this situation again, and again further surmounted.This message has been edited. Last edited by: FenderBender,
December 06, 2018, 03:02 PM
PD
It was a good ride for those who jumped in at the beginning
December 06, 2018, 03:10 PM
a1abdj
quote:
people like to compare bitcoin to currency, they should be comparing it to gold.
Why? Gold can actually be used in real life applications. What can you use a bitcoin for?
The finance professors argument of "mining is more expensive than the value of the coin" conveys a lack of understanding, that has always been the end game. people like to compare bitcoin to currency, they should be comparing it to gold.
There's no question that bitcoin replaced gold as an alternative to fiat for many investors, at least for a period of time.
That seems to be reversing, at least for now.
"Some things are apparent. Where government moves in, community retreats, civil society disintegrates and our ability to control our own destiny atrophies. The result is: families under siege; war in the streets; unapologetic expropriation of property; the precipitous decline of the rule of law; the rapid rise of corruption; the loss of civility and the triumph of deceit. The result is a debased, debauched culture which finds moral depravity entertaining and virtue contemptible." -- Justice Janice Rogers Brown
"The United States government is the largest criminal enterprise on earth." -rduckwor
December 06, 2018, 03:11 PM
Rey HRH
Might as well go back to cowry shells. The main function of money is to be used as a medium of exchange and it's only viable as long as people continue to accept it as such. Then you add another layer of complication where money is treated as a commodity itself on which money can be made or lost.
I would argue that crypto-currency is on the same level as tulips. Yes, there's a certain demand for it which currently validates its use as money but it lacks the power behind it of a central bank to ensure at least a certain population accepts it as legal tender.
"It did not really matter what we expected from life, but rather what life expected from us. We needed to stop asking about the meaning of life, and instead to think of ourselves as those who were being questioned by life – daily and hourly. Our answer must consist not in talk and meditation, but in right action and in right conduct. Life ultimately means taking the responsibility to find the right answer to its problems and to fulfill the tasks which it constantly sets for each individual." Viktor Frankl, Man's Search for Meaning, 1946.
December 06, 2018, 03:19 PM
mrvmax
quote:
Originally posted by a1abdj:
quote:
people like to compare bitcoin to currency, they should be comparing it to gold.
Why? Gold can actually be used in real life applications. What can you use a bitcoin for?
Purchases on the dark web.
December 06, 2018, 03:42 PM
jhe888
The thread title is misleading. Bitcoin is not virtually worthless presently. The article's thesis is that it may become virtually worthless in the future.
The fish is mute, expressionless. The fish doesn't think because the fish knows everything.
December 06, 2018, 04:12 PM
FenderBender
quote:
Originally posted by mrvmax:
quote:
Originally posted by a1abdj:
quote:
people like to compare bitcoin to currency, they should be comparing it to gold.
Why? Gold can actually be used in real life applications. What can you use a bitcoin for?
Purchases on the dark web.
Among any other sort of transaction you might be interested in the anonymity of digital cash.
While gold does have quite a few industrial uses. For the most part it's generally a store of value as generally speaking, there is only so much gold to be had. Bitcoin similarly is mostly finite
December 06, 2018, 04:43 PM
maladat
quote:
Originally posted by FenderBender: The finance professors argument of "mining is more expensive than the value of the coin" conveys a lack of understanding, that has always been the end game. people like to compare bitcoin to currency, they should be comparing it to gold.
Of course as computational power increases, the difficulty to mine bitcoin will be surmounted, then this situation again, and again further surmounted.
Not really... the way Bitcoin is designed, there are a fixed number of Bitcoins that can ever be mined, and more than 3/4 of all possible Bitcoins have already been mined.
Besides mining rewarding miners with newly mined Bitcoins, mining also rewards miners with transaction fees taken from the transactions they process.
The idea was to have a fixed supply of Bitcoin to control inflation, and that as Bitcoin became more valuable and saw wider use, transaction fees would gradually take over from mined Bitcoins as the incentive to participate in the network.
December 06, 2018, 04:54 PM
side_shot
i remember in the beginning before it went live there was an offer for 10 for for a buck
"They that can give up essential liberty to purchase a little temporary safety, deserve neither liberty nor safety." --Benjamin Franklin, 1759--
Special Edition - Reverse TT 229ST.Sig Logo'd CTC Grips., Bedair guide rod
December 06, 2018, 05:18 PM
a1abdj
Where's that Dead_Eye guy at? Last year he was in here telling us he thought Bitcoin would be worth $17,000 to $25,000 today.
