Topic: Bitcoin or Gold? What would you pick? - page 171. (Read 299008 times)

Quote from: igorr on June 03, 2014, 02:32:07 PM

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

You can buy "paper" gold (yes, I know about its drawbacks and all that)... Cool

It would still be irrelevant for commerce through the internet, wouldn't?
And central authorities would have to massively adopt this so it could be useful, I very much prefer cryptocurrencies' decentralized system.

Strictly speaking, no, it wouldn't. But there is no problem selling it at any moment, so it doesn't actually matter. And that's why central authorities don't need to "adopt this" at all, they already have fiat... Cool

But how could someone know that the paper gold is actually legit, if it was not controlled by a trusted third party?

What do you mean? You buy gold derivatives (e.g. gold cash-settled futures) through exchanges, no one promises to deliver you physical gold... Cool

lynn_402

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this looks better

Nah, cryptography looks a lot better Cheesy

http://www.extremetech.com/wp-content/uploads/2014/02/Code-640x353.jpg

Quote from: deisik on June 03, 2014, 02:32:18 PM

Quote from: lynn_402 on June 03, 2014, 02:27:22 PM

Quote from: lynn_402 on June 03, 2014, 02:27:22 PM

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

You can buy "paper" gold (yes, I know about its drawbacks and all that)... Cool

It would still be irrelevant for commerce through the internet, wouldn't?
And central authorities would have to massively adopt this so it could be useful, I very much prefer cryptocurrencies' decentralized system.

Strictly speaking, no, it wouldn't. But there is no problem selling it at any moment, so it doesn't actually matter. And that's why central authorities don't need to "adopt this" at all, they already have fiat... Cool

But how could someone know that the paper gold is actually legit, if it was not controlled by a trusted third party?

deisik

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Quote from: greenlion on June 03, 2014, 02:07:59 PM

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

You can buy "paper" gold (yes, I know about its drawbacks and all that)... Cool

It would still be irrelevant for commerce through the internet, wouldn't?
And central authorities would have to massively adopt this so it could be useful, I very much prefer cryptocurrencies' decentralized system.

Strictly speaking, no, it wouldn't. But there is no problem selling it at any moment, so it doesn't actually matter. And that's why central authorities don't need to "adopt this" at all, they already have fiat... Cool

igorr

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Merit: 250

this looks better

deisik

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Quote from: deisik on June 03, 2014, 01:52:45 PM

Bitcoin or Gold? What would you pick?

Gold, absolutely

A shrewd decision taking into account that gold's current price is near its cost of production, so it just can't fall much lower for a long period of time (but just long enough to take longs, no pun intended)... Cool

There is no such thing as a single price point "cost of production" for gold, because the true underlying costs represent a monotonically-increasing function based on the underlying difficulty of obtaining the gold. Market price drives cost of production in the sense of what kind of supply preferences are going to actually be realized in the market, and not the other way around.

I know about this, but nevertheless, we can still calculate an average cost of production for gold in respect to mines, countries or continents. Look here for more info (beginning of 2013 data)! Cool

lynn_402

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Activity: 462

Merit: 253

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

You can buy "paper" gold (yes, I know about its drawbacks and all that)... Cool

It would still be irrelevant for commerce through the internet, wouldn't?
And central authorities would have to massively adopt this so it could be useful, I very much prefer cryptocurrencies' decentralized system.

deisik

legendary

Activity: 3514

Merit: 1280

English ⬄ Russian Translation Services

Quote from: igorr on June 03, 2014, 02:16:32 PM

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

You can buy "paper" gold (yes, I know about its drawbacks and all that)... Cool

lynn_402

sr. member

Activity: 462

Merit: 253

Definitely Bitcoin. Gold is way too slow and difficult to move to have any use for trading in the age of information.

with Bitcoin can not buy anything, just on black market Silk Road.

Haha!

igorr

sr. member

Activity: 406

Merit: 250

Quote from: greenlion on June 03, 2014, 02:14:29 PM

Quote from: igorr on June 03, 2014, 02:11:41 PM

who cares for bitcoin
the same is, no matter the prices $1 or $10000000 , because bitcoin price control bots, not people !

Because obviously Bitcoin is the only asset in the entire world where automated systems perform trades.

with Bitcoin can not buy anything, just on black market Silk Road.

greenlion

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Activity: 667

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Quote from: igorr on June 03, 2014, 02:11:41 PM

who cares for bitcoin
the same is, no matter the prices $1 or $10000000 , because bitcoin price control bots, not people !

Because obviously Bitcoin is the only asset in the entire world where automated systems perform trades.

igorr

sr. member

Activity: 406

Merit: 250

who cares for bitcoin
the same is, no matter the prices $1 or $10000000 , because bitcoin price control bots, not people !

greenlion

hero member

Activity: 667

Merit: 500

Quote from: deisik on June 03, 2014, 01:52:45 PM

Quote from: deisik on June 03, 2014, 01:52:45 PM

Bitcoin or Gold? What would you pick?

Gold, absolutely

A shrewd decision taking into account that gold's current price is near its cost of production, so it just can't fall much lower for a long period of time (but just long enough to take longs, no pun intended)... Cool

There is no such thing as a single price point "cost of production" for gold, because the true underlying costs represent a monotonically-increasing function based on the underlying difficulty of obtaining the gold. Market price drives cost of production in the sense of what kind of supply preferences are going to actually be realized in the market, and not the other way around.

igorr

sr. member

Activity: 406

Merit: 250

Bitcoin or Gold? What would you pick?

Gold, absolutely

A shrewd decision taking into account that gold's current price is near its cost of production, so it just can't fall much lower for a long period of time (but just long enough to take longs, no pun intended)... Cool

Gold always has value, thousands of years ago, bitcoin for 5 days can be worth zero.

deisik

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Activity: 3514

Merit: 1280

English ⬄ Russian Translation Services

Bitcoin or Gold? What would you pick?

Gold, absolutely

A shrewd decision taking into account that gold's current price is near its cost of production, so it just can't fall much lower for a long period of time (but just long enough to take longs, no pun intended)... Cool

igorr

sr. member

Activity: 406

Merit: 250