Topic: Bitcoins: designed to fail (Read 6320 times)
How can you design something to succeed? Everything is uncertain in this world. We still dont know if Bitcoin will succeed or not.
We should be comparing the market value of bitcoin to the total wealth in this world, not the GDP of the world.
Also the existing circulation of money supply?
I just want to point out that using wealth is illogical.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
Even the US dollar today is not valued anywhere near the total world GDP. During the height of the british empire, the british pound was no where near worth the value of the then world GDP. No other currency (major or not) has ever come close).GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
IMO the world GDP is the theoretical maximum of the total value of bitcoin, but the realistic maximum is significantly lower.
Maybe just 1%.
We should be comparing the market value of bitcoin to the total wealth in this world, not the GDP of the world.
I just want to point out that using wealth is illogical.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
Even the US dollar today is not valued anywhere near the total world GDP. During the height of the british empire, the british pound was no where near worth the value of the then world GDP. No other currency (major or not) has ever come close).GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
IMO the world GDP is the theoretical maximum of the total value of bitcoin, but the realistic maximum is significantly lower.
Maybe just 1%.
I just want to point out that using wealth is illogical.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
Even the US dollar today is not valued anywhere near the total world GDP. During the height of the british empire, the british pound was no where near worth the value of the then world GDP. No other currency (major or not) has ever come close).GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
IMO the world GDP is the theoretical maximum of the total value of bitcoin, but the realistic maximum is significantly lower.
Maybe just 1%.
I just want to point out that using wealth is illogical.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
Even the US dollar today is not valued anywhere near the total world GDP. During the height of the british empire, the british pound was no where near worth the value of the then world GDP. No other currency (major or not) has ever come close).GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
IMO the world GDP is the theoretical maximum of the total value of bitcoin, but the realistic maximum is significantly lower.
Bitcoin was never designed to gain anything, it was only designed to help people in terms of anonymity. So failing isn't a option.
Bitcoin is designed to emulate a deflationary product like gold. It's a test/experiment as to whether we can use an deflationary currency as opposed to an inflationary currency like US dollars. Turns out with a deflationary currency, people are less willing to spend, or only spend on what's really needed at the moment. To want to spend something now when you know that thing is gonna worth more later will be a complete opposite of what we've used think about money. The entire concept of money is not what we used to think with fiat money that is inflationary. Not a lot of people are able adapt to a complete change of the mindset towards money which has traditionally been inflationary. Not a lo of people can comprehend a deflationary currency
It's a damn shame that decimal place can't be moved. A damn shame....
Best post of the thread.
STAHP! D:
This thread is from 2011. Why are you still commenting on this?
This thread is from 2011. Why are you still commenting on this?
Also bitcoin doesn't have to be used ALL over the world to be successful. Also we may get to a point where a satoshi is worth 1 cent, or even a dollar (but then we would need smaller decimal).
Since Fiat currency and been shown to be manipulated to produce or extract wealth to the few that control it, Bitcoin will become the smart allternative. Yes bitcoin does have its problems yet it seems to be overcoming those problems.
Whether it is a success or failure will depend on acceptance not how many fraction it can goes on to divide
In the near future...
"How would you like to pay the luxury tax on your new mega-yatch, cash, debit, credit or BTC?"
Stop the FUD!
haha, nice parable. yeah stop spreading FUD, for many people who have believed with bitcoin, and difficult to build trust someone. Do not destroy what has been built with the hard by spreading FUD. "How would you like to pay the luxury tax on your new mega-yatch, cash, debit, credit or BTC?"
Stop the FUD!
Bitcoins will fail because no government on earth will let it be legal with something that they cannot control or get taxes from.
I think they will create something similar except that it will let all transactions be recorded.
But I still think bitcoins will be used as a black market for trading illegal things and for avoiding taxes.
Druglords and mafia can use bitcoins and only the italian mafia is extremly big, than you got the triads, the yakuza the mexicans etc.
So it will probably have some value.
I think they will create something similar except that it will let all transactions be recorded.
But I still think bitcoins will be used as a black market for trading illegal things and for avoiding taxes.
Druglords and mafia can use bitcoins and only the italian mafia is extremly big, than you got the triads, the yakuza the mexicans etc.
So it will probably have some value.
BTC is not the best option for black market. It is traceable.
In the near future...
"How would you like to pay the luxury tax on your new mega-yatch, cash, debit, credit or BTC?"
Stop the FUD!
"How would you like to pay the luxury tax on your new mega-yatch, cash, debit, credit or BTC?"
Stop the FUD!
The world's wealth in 2007 was more or less 150 trillion $ (USD 1.5 * 10^+12) [1]
The number of people living on earth is more or less 7 billion (7 * 10^+9) [2]
The maximum number of bitcoins is 21 million (2.1 * 10^+7) [3]
This means there is 21*10^7/7*10^9 = 0.03 BTC for every world citizen.
And the current wealth, expressed in the total available number of bitcoins in USD/BTC is 1.5*10^12/2.1*1+7 = 0.5*10^12/0.7*10^7 = 0.7 *10^5 = USD 70,000 / BTC.
With inflation going like it's going now, USD 1 might be (I'm speculating here) worth only 1 UBC (micro Bitcoin) by the time all 21 million Bitcoins are created.
Does this make the bitcoin ultimately usable as a worldwide currency, replacing current currencies?
I think not, and it's built-in.
References:
[1] http://www.stockmarketfunding.com/getfile/343e5d94-2871-48a5-9aa6-550c3da0bbd2/World-Wealth-vs-World-Derivatives-1998-2007.aspx , http://upload.wikimedia.org/wikipedia/commons/thumb/2/24/US_derivatives_and_US_wealth_vs_total_world_wealth_1995-2007.gif/800px-US_derivatives_and_US_wealth_vs_total_world_wealth_1995-2007.gif
[2] http://en.wikipedia.org/wiki/World_population ,
http://www.google.com/chart?cht=lxy&chd=s:ABCDEGHIJLMNOQRSTVWXYabcdfghiklmnpqrsuvwxz01245679,XXXYYZZaabccddeffgghhijjkklmmnoopqqrrsttuuvwwxxyzz&chds=0.0,1.0&chs=160x101&chco=287bf5ff&chls=2.0,1.0,0.0&chxt=x,r,x,r&chxs=0,333333,0,0,tl,333333|1,333333,0,-1,tl,333333|2,000000,11.5,-1,tl,333333|3,000000,11.5,-1,tl,333333&chxtc=0,2|1,2|2,0|3,0&chm=h,cccccc,0,1,1,1|h,cccccc,0,0.5,1,-1&chxp=2,0,82|3,5,50,95&chxl=0:|1960|2009|1:|0|4B|8B|2:|1960|2009|3:|0|4B|8B
[3] Mentioned many times here in this forum
The number of people living on earth is more or less 7 billion (7 * 10^+9) [2]
The maximum number of bitcoins is 21 million (2.1 * 10^+7) [3]
This means there is 21*10^7/7*10^9 = 0.03 BTC for every world citizen.
And the current wealth, expressed in the total available number of bitcoins in USD/BTC is 1.5*10^12/2.1*1+7 = 0.5*10^12/0.7*10^7 = 0.7 *10^5 = USD 70,000 / BTC.
With inflation going like it's going now, USD 1 might be (I'm speculating here) worth only 1 UBC (micro Bitcoin) by the time all 21 million Bitcoins are created.
Does this make the bitcoin ultimately usable as a worldwide currency, replacing current currencies?
I think not, and it's built-in.
References:
[1] http://www.stockmarketfunding.com/getfile/343e5d94-2871-48a5-9aa6-550c3da0bbd2/World-Wealth-vs-World-Derivatives-1998-2007.aspx , http://upload.wikimedia.org/wikipedia/commons/thumb/2/24/US_derivatives_and_US_wealth_vs_total_world_wealth_1995-2007.gif/800px-US_derivatives_and_US_wealth_vs_total_world_wealth_1995-2007.gif
[2] http://en.wikipedia.org/wiki/World_population ,
http://www.google.com/chart?cht=lxy&chd=s:ABCDEGHIJLMNOQRSTVWXYabcdfghiklmnpqrsuvwxz01245679,XXXYYZZaabccddeffgghhijjkklmmnoopqqrrsttuuvwwxxyzz&chds=0.0,1.0&chs=160x101&chco=287bf5ff&chls=2.0,1.0,0.0&chxt=x,r,x,r&chxs=0,333333,0,0,tl,333333|1,333333,0,-1,tl,333333|2,000000,11.5,-1,tl,333333|3,000000,11.5,-1,tl,333333&chxtc=0,2|1,2|2,0|3,0&chm=h,cccccc,0,1,1,1|h,cccccc,0,0.5,1,-1&chxp=2,0,82|3,5,50,95&chxl=0:|1960|2009|1:|0|4B|8B|2:|1960|2009|3:|0|4B|8B
[3] Mentioned many times here in this forum
Shows your ignorance of Bitcoin unfortunately .. it is (almost) infinitely divisible
I don't think the creator's intention was to design a currency of which 1 coin would ultimately be worth +/- 1 million dollars. I think his intention was to design a digital currency that is distributed, decentralized, and pseudonymous/anonymous.
Not to take over all the other currencies?
It's a little bit a pity that 'they' didn't do some 'back of the envelope' calculations like this.
But hey, they did a great job anyway
that's right.
Damnit.
OMG, did that make me laugh!You realise you can spend tiny fractions of a Bitcoin right?
It's not like a dollar, you can't only break it 100 ways.
It's not like a dollar, you can't only break it 100 ways.
Oh, thank god.
I just want to point out that using wealth is illogical.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
GDP = Income. Income is expressed in currency. Wealth is expressed in goods, like houses, which may be sold for Bitcoin but are not themselves Bitcoin.
Therefore Bitcoin's maximum value should be calculated using world GDP rather than world wealth. I'm not going to calculate, it's a vapid chain of thought.
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