Pages:
Author

Topic: Bitcoin is not a bubble - page 5. (Read 2890 times)

legendary
Activity: 1316
Merit: 1004
April 14, 2015, 02:57:41 AM
#6
For me, the biggest incentive is understanding that governments around the world are getting financed at negative rates, still have deficits and big debts. Add on top of that, their compromise with future pensions that are not included in debt calculations.

Central banks have the biggest balance sheets ever, which it means that in order to increase interest rates they will have to sell more bonds than ever, putting additional pressure on the stability of public finance.

If you can grasp all that, Bitcoin comes as the natural solution.
When economy and society stabilize, business activities and industrial production is increasing, the masses will ignore the underlying problem created by the centralized govs. Do you still remember the economic turmoil in 2013, and the performance of bitcoin?  But I think when the next economic crisis is approaching, ppl will realize the importance of the bitcoin. The adoption rate will be accelerated a lot.   
sr. member
Activity: 302
Merit: 250
Never before 11 P.M.
April 14, 2015, 02:46:25 AM
#5
When you see interest rates barely above 0%, that's an indicator of the Federal Reserve trying to help jump-start growth.

Problem is they can only do this for so long because the entire time they are lending out money so cheaply, they also gain debt.  But, depending on your viewpoint of Keynesian economics, this debt can almost be written off due to the increase in U.S. currency injected into the economy thru these low interest loans.  The increase in supply of the currency also helps negate effects of deflation and lets the currency devalue itself in order to be more competitive as an investment.  Quantitative easing in a nutshell.
newbie
Activity: 28
Merit: 0
April 14, 2015, 02:40:13 AM
#4

Central banks have the biggest balance sheets ever, which it means that in order to increase interest rates they will have to sell more bonds than ever, putting additional pressure on the stability of public finance.


Can you explain this bit.  If they are getting more interest from the money people borrow from them, why do they need to sell more bonds?
legendary
Activity: 3248
Merit: 1070
April 14, 2015, 02:36:48 AM
#3
people around the world are not adopting bitcoin because of those thing in general

1- security
2- regulation

those two thing must be addressed in order to rise the adoption of bitcoin

the secuirty can be done by the exchage(so it's not even a bitcoin fault)

the regulation is on the way on some countries, but need to be speeded up and should be easy for average people, not something like "i need to take note of every transactions" or other things too laborious
legendary
Activity: 1623
Merit: 1608
April 14, 2015, 02:29:53 AM
#2
For me, the biggest incentive is understanding that governments around the world are getting financed at negative rates, still have deficits and big debts. Add on top of that, their compromise with future pensions that are not included in debt calculations.

Central banks have the biggest balance sheets ever, which it means that in order to increase interest rates they will have to sell more bonds than ever, putting additional pressure on the stability of public finance.

If you can grasp all that, Bitcoin comes as the natural solution.
newbie
Activity: 28
Merit: 0
April 14, 2015, 02:04:46 AM
#1
A different look at the Bitcoin market:
http://www.finance-guy.net/finblog/bitcoin-not-a-bubble

it's not a very positive opinion, but I agree that something needs to be done to attract the general masses to use Bitcoin.  Something needs to make BTC more attractive than cash for everyday people.

What kind of incentives do you think would work for the people you know?
Pages:
Jump to: