Bitcoin for now is like subsidiary currency. Fiats are dominating and it is only possible to view bitcoin price in direct comparison to them.
But bitcoin is much more that simple paper money. It can be used in many ways, for example to store important information in the blockchain.
This feature alone, if used correctly and with plan will made 1 BTC worth more than $10.000.
Topic: Bitcoins true potential - page 8. (Read 6463 times)
Sure bitcoin can have a value independently of all fiats.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
That's the thing that I think is holding bitcoin down people think of its value in fiat not on its own, I ask someone how much bitcoins you have and he says $124 !! I say what the hell, when I ask about how much bitcoins you have I mean you to say 0.12 or 0.5 bitcoin, people don't think of bitcoin as its own value but how much it is in fiat and that needs to change.
Well, initially, it is needed. A fiat value comparison gets a bearing on the value, but eventually, you can get away all together.
Sure bitcoin can have a value independently of all fiats.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
That's the thing that I think is holding bitcoin down people think of its value in fiat not on its own, I ask someone how much bitcoins you have and he says $124 !! I say what the hell, when I ask about how much bitcoins you have I mean you to say 0.12 or 0.5 bitcoin, people don't think of bitcoin as its own value but how much it is in fiat and that needs to change.
Sure bitcoin can have a value independently of all fiats.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
I can pay employees their wages and it becomes the value of hour of work * amount of bitcoin.
Lets say you work 1 hour, and I pay you .02 BTC for that hour. It would be the equivalent of ~$11/hr. Now it doesn't need that usd comparison, but it helps here. Then negotiations can happen to get .025 or whatever your skill may be worth. In a system where wholesalers are paid in btc, their employees are paid in btc and they can then pay their bills in btc, you no longer need the conversion rate, and the value is whatever someone is willing to trade for it. Whether it be hours of their life, chickens on their farm or bj's from the lady of the night.
Bitcoin's current price is what someone is willing to pay to someone willing to sell. Facetious but true. A vast amount of the price is pure speculation but you can say the same about a huge amount of things including gold. It really doesn't have a great deal of adoption or utility at present and I think people have a tendency to overestimate it.
As for it replacing all of the money in the world, er, no. Governments will always want to control their currency and they can enforce its usage by paying out in it and demanding tax back in it.
Even if Bitcoin was taken to the hearts of populations, a huge amount of GDP would remain in the national currencies.
As for future valuations? I think $10,000 is quite possible. Not alot would need to change for that to happen. Bitcoin would be large but still niche. $100,000 and more would take a big shift in how much of the world views it and that's going to take decades or more.
As for it replacing all of the money in the world, er, no. Governments will always want to control their currency and they can enforce its usage by paying out in it and demanding tax back in it.
Even if Bitcoin was taken to the hearts of populations, a huge amount of GDP would remain in the national currencies.
As for future valuations? I think $10,000 is quite possible. Not alot would need to change for that to happen. Bitcoin would be large but still niche. $100,000 and more would take a big shift in how much of the world views it and that's going to take decades or more.
There have been plenty of discussions from time to time on the price speculation of Bitcoin. Where do you guys see the price of one Bitcoin in the years to come? Most importantly, why? How would Bitcoin work? Bitcoin can not exist independently without any other currency, because then where do you derive its value? Imagine Bitcoin though is adopted worldwide, as a popular secondary means of processing transactions. What should the value be of a Bitcoin if literally every person who owned a bank account and debit and credit cards also used Bitcoin wallets and bitcoins daily.
My theory is that the value of a Bitcoin needs to be the sum of all the value of money that exists in the world divided by 21 million bitcoins then adjusted to market price.
Why is Bitcoin priced at what it is today and what is its maximum potential to be valued at?
My theory is that the value of a Bitcoin needs to be the sum of all the value of money that exists in the world divided by 21 million bitcoins then adjusted to market price.
Why is Bitcoin priced at what it is today and what is its maximum potential to be valued at?
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