Then he can go and make goldcoin. C'mon, go ahead, make it. Guess what? Criticizing is much easier.
Oh and please explain me how do you link something to gold in a way that do not rely on trust. Bitcoin is a trust no one system. The only way you have to trust no one with gold is by physically holding the gold bullions
Topic: 2013-04-12 Kudlow Likes bitcoins, but thinks they should be linked to gold (Read 872 times)
April 13, 2013, 01:22:45 PM
April 13, 2013, 12:04:31 PM
It may get expensive though.
Only if the exchange rate is wrong. If he gets the exchange rate correct (difficult to do in a centralized manner) then I think it should not get expensive. He would be able to sell one for dollars or other currency and then buy the other. He may get a lot of volume. But without actually creating such an exchange, there really is no way to know.
In a way, sites like coinabul are an over-the-counter gold/bitcoin exchange. I don't think a gold/bitcoin exchange similar to Mt.Gox currently exists, but I think it would be a good idea to eventually have them in addition to the OTC variety exchanges. Precious metals and bitcoin complement each other quite well, in that all are very difficult to counterfit.
Without destroying what it is that makes bitcoin work, exchanges between gold and bitcoin are the only way to link the two currencies.
Very true. Because the rate varies constantly, it is difficult, if not impossible, to establish an exchange rate centrally. Decentralized exchange rate determination via the free market is the only long term sustainable method for determining gold/bitcoin exchange rate. And for any other exchange rate for that matter. Sure, there are other methods to determine exchange rates, and goverment fiat is one of those, but they are not sustainable over the long term.
April 13, 2013, 11:42:48 AM
It may get expensive though.
Only if the exchange rate is wrong. If he gets the exchange rate correct (difficult to do in a centralized manner) then I think it should not get expensive. He would be able to sell one for dollars or other currency and then buy the other. He may get a lot of volume. But without actually creating such an exchange, there really is no way to know.
In a way, sites like coinabul are an over-the-counter gold/bitcoin exchange. I don't think a gold/bitcoin exchange similar to Mt.Gox currently exists, but I think it would be a good idea to eventually have them in addition to the OTC variety exchanges. Precious metals and bitcoin complement each other quite well, in that all are very difficult to counterfit.
Without destroying what it is that makes bitcoin work, exchanges between gold and bitcoin are the only way to link the two currencies.
April 13, 2013, 10:27:58 AM
It may get expensive though.
Only if the exchange rate is wrong. If he gets the exchange rate correct (difficult to do in a centralized manner) then I think it should not get expensive. He would be able to sell one for dollars or other currency and then buy the other. He may get a lot of volume. But without actually creating such an exchange, there really is no way to know.
In a way, sites like coinabul are an over-the-counter gold/bitcoin exchange. I don't think a gold/bitcoin exchange similar to Mt.Gox currently exists, but I think it would be a good idea to eventually have them in addition to the OTC variety exchanges. Precious metals and bitcoin complement each other quite well, in that all are very difficult to counterfit.
Without destroying what it is that makes bitcoin work, exchanges between gold and bitcoin are the only way to link the two currencies.
April 13, 2013, 12:08:14 AM
Just tell him to buy enough gold and bitcoin to hold the link for as long as he can keep holding the link...
It may get expensive though.
It may get expensive though.
April 13, 2013, 12:04:42 AM
The only way to "link" it to gold is have a major stabilized bitcoin/gold online exchange.
Exactly. Decentralized currency with a centralized exchange? Just call it a centralized currency at that point. That's not a step in the wrong direction, it's a lunge over the cliff.
April 13, 2013, 12:02:10 AM
The only way to "link" it to gold is have a major stabilized bitcoin/gold online exchange.
April 12, 2013, 11:17:40 PM
Larry Kudlow feels that bitcoin is a future, but thinks to stabilize it, it needs to be liked to the gold. He almost getting it, but no need for gold 
http://video.cnbc.com/gallery/?play=1&video=3000160877
http://video.cnbc.com/gallery/?play=1&video=3000160877
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