Thanks for the answers so far!
One thing that bothers me is that bitcoin isn't backed by anything, other than the fact that it was the first crypto currency (or at least the first one to achieve this kind of fame). And just browsing around a teeny bit, I can see there are many other rival currencies starting up. What prevents them from taking over? Sure, being first is an advantage, since it's more established and has more people willing to accept it. But it'd seems without some inherent value it'll eventually bleed out buyers/sellers.
Topic: Are Bitcoins Worthwhile? - page 2. (Read 1922 times)
It's a new technology/discovery. I think of it like calculus or oil. It took awhile for people to figure out how to make internal combustion engines or moon rockets that wouldn't work without them. We haven't figured out as a civilization how to use Bitcoin. Using it just to buy stuff is like only using petroleum to light oil lamps. We already have monies to do that. Bitcoin is capable of so much more. At the very least, buying Bitcoin is like buying the mineral rights to an oil field in the early days of wildcatting.
3 reasons you ought to be interested in bitcoin.
1) speculative. If bitcoin gets more widespread adoption, its value could potentially explode. Its a gamble, because it could go either way, and bitcoins might become close to worthless a year from here, no one really knows, but it seems more likely in the long run (a few years) the value will go up substantially. This is a good reason to buy a limited amount of coins and hope for the best.
2) mining is profitable if you have cheap electricity and/or efficient hardware. Its easy to calculate, use any bitcoin calculator and check your electricity prices. You will need efficient hardware though, that means recent ATI videocards or FPGAs. Mining is a zero sum game, the amount of coins to be mined is fixed, so compete will all other miners. If you dont have more efficient hardware or cheaper electricity, it will not be profitable for you.
3) use it to transfer funds across the globe with minimal/no fees, just like you might use paypal or western union. This doesnt require you hold a lot of coins, you can buy them just before you need them.
As for being able to buy stuff with bitcoins; sure, you can. To name just one excellent way:
http://spendbitcoins.com/
I use it to buy stuff on amazon. Zero fees.
1) speculative. If bitcoin gets more widespread adoption, its value could potentially explode. Its a gamble, because it could go either way, and bitcoins might become close to worthless a year from here, no one really knows, but it seems more likely in the long run (a few years) the value will go up substantially. This is a good reason to buy a limited amount of coins and hope for the best.
2) mining is profitable if you have cheap electricity and/or efficient hardware. Its easy to calculate, use any bitcoin calculator and check your electricity prices. You will need efficient hardware though, that means recent ATI videocards or FPGAs. Mining is a zero sum game, the amount of coins to be mined is fixed, so compete will all other miners. If you dont have more efficient hardware or cheaper electricity, it will not be profitable for you.
3) use it to transfer funds across the globe with minimal/no fees, just like you might use paypal or western union. This doesnt require you hold a lot of coins, you can buy them just before you need them.
As for being able to buy stuff with bitcoins; sure, you can. To name just one excellent way:
http://spendbitcoins.com/
I use it to buy stuff on amazon. Zero fees.
Entirely new to bitcoins here. I don't even have a wallet set up yet or a single smidgen of a coin to my name.
What I'd like to know before I get started is whether it's worth it. Is it lucrative? Or at least, is it lucrative enough considering the effort in mining them or working for them?
Yeah, I've read about the technology and it seems impressive. But what have you specifically been able to buy with your bitcoins? I'm hoping to get some anecdotal stories. I'm probably not going to bother with bitcoins if I can't actually spend them on something useful. I get the feeling a lot of people are hoarding them in hopes they'll be valuable sometime in the future, and fewer actually using them, but that might be a false impression.
What I'd like to know before I get started is whether it's worth it. Is it lucrative? Or at least, is it lucrative enough considering the effort in mining them or working for them?
Yeah, I've read about the technology and it seems impressive. But what have you specifically been able to buy with your bitcoins? I'm hoping to get some anecdotal stories. I'm probably not going to bother with bitcoins if I can't actually spend them on something useful. I get the feeling a lot of people are hoarding them in hopes they'll be valuable sometime in the future, and fewer actually using them, but that might be a false impression.
Depends what you're looking for. The trade page on the wiki is a good place to start:
https://en.bitcoin.it/wiki/Trade
From Amazon to Video Game keys, there are many ways to spend bitcoins.
I've personally bought papa john's gift cards and some mail-order food. I've also bought some USDs to cover the hardware I purchased and to diversify some of my profits.
As for mining, use the GPU you have, and invest in FPGA miners if you are confident you can run them. The window for GPU mining is closing unless you have very cheap power.
Entirely new to bitcoins here. I don't even have a wallet set up yet or a single smidgen of a coin to my name.
What I'd like to know before I get started is whether it's worth it. Is it lucrative? Or at least, is it lucrative enough considering the effort in mining them or working for them?
Yeah, I've read about the technology and it seems impressive. But what have you specifically been able to buy with your bitcoins? I'm hoping to get some anecdotal stories. I'm probably not going to bother with bitcoins if I can't actually spend them on something useful. I get the feeling a lot of people are hoarding them in hopes they'll be valuable sometime in the future, and fewer actually using them, but that might be a false impression.
I guess what I'm asking for is someone who knows what they're talking about to explain why a complete newbie should get involved with this currency.
What I'd like to know before I get started is whether it's worth it. Is it lucrative? Or at least, is it lucrative enough considering the effort in mining them or working for them?
Yeah, I've read about the technology and it seems impressive. But what have you specifically been able to buy with your bitcoins? I'm hoping to get some anecdotal stories. I'm probably not going to bother with bitcoins if I can't actually spend them on something useful. I get the feeling a lot of people are hoarding them in hopes they'll be valuable sometime in the future, and fewer actually using them, but that might be a false impression.
I guess what I'm asking for is someone who knows what they're talking about to explain why a complete newbie should get involved with this currency.
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