Topic: BTC is like a subprime bubble (Read 1792 times)
As long as there is a supply and there is a demand for bitcoin there will always be a price and a trading volume. Bitcoin will grow in the future and the demand will rise and so will the price rise. But it's still too soon for bitcoin to not be used by anyone. After all it's a free market and not a regulated one
no that's just theoretical
e: forex bucket shops & HYIP schemes.
Premise number 1: Has something like Bitcoin ever seen before?
Nope.
Therefore all the stupid "BTC is like X bubble" (insert in X whatever irrelevant shit you like like, Tulip mania, beanie babies, subprimes, whatever) are objectively nonsense. Get with the facts.
Nope.
Therefore all the stupid "BTC is like X bubble" (insert in X whatever irrelevant shit you like like, Tulip mania, beanie babies, subprimes, whatever) are objectively nonsense. Get with the facts.
I wouldnt say its exactly like a subprime bubble, but the bubble point is probably what most people sense.
Subprime though is when people were getting screwed over through credit agency giving AAA, on bad loans that couldnt be paid back so the elements are different here. In bitcoin you also have a 2nd community which most VC`s have pumped like $1.3 mill to bring better ways.
Subprime though is when people were getting screwed over through credit agency giving AAA, on bad loans that couldnt be paid back so the elements are different here. In bitcoin you also have a 2nd community which most VC`s have pumped like $1.3 mill to bring better ways.
Yet again this forum is filled with FUD.
I wonder how long it will last?
I wonder how long it will last?
the bubble is bursting~~
Wow an unlimited amount of rothschilds agents on this board.
I see more delusional conspiracy theorists. That's the downside of bitcoin; people buy drugs and their minds get screwed overDon't worry bro eventually that "6000 year gold bubble" will burst and you will be right..
Eventually.. it's been 6000 years but it's a bubble.
Hows that rock holding up?
Wow an unlimited amount of rothschilds agents on this board.
I see more delusional conspiracy theorists. That's the downside of bitcoin; people buy drugs and their minds get screwed overDon't worry bro eventually that "6000 year gold bubble" will burst and you will be right..
Eventually.. it's been 6000 years but it's a bubble.
Wow an unlimited amount of rothschilds agents on this board.
I see more delusional conspiracy theorists. That's the downside of bitcoin; people buy drugs and their minds get screwed overDon't worry bro eventually that "6000 year gold bubble" will burst and you will be right..
Eventually.. it's been 6000 years but it's a bubble.
Wow an unlimited amount of rothschilds agents on this board.
I see more delusional conspiracy theorists. That's the downside of bitcoin; people buy drugs and their minds get screwed over
Wow an unlimited amount of rothschilds agents on this board.
The problem only exists for people who use USD to measure value. When you use house or bitcoin to measure value, it is USD swing wildly against house and bitcoin, shows that USD is still highly demanded when facing financial uncertainty
The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
Because statism, deal with it.The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
I don't think so, because even the army accept it. It is the concept of money make them believe the value of fiat currency, but the concept of money itself is already changed since the removal of honest money (gold standard) in 1971, just no one realized it
The old kings used to borrow gold from international bankers to finance their war, they don't issue their own fiat to do that, that will cause hyperinflation
The problem only exists for people who use USD to measure value. When you use house or bitcoin to measure value, it is USD swing wildly against house and bitcoin, shows that USD is still highly demanded when facing financial uncertainty
The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
Because statism, deal with it. The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
The problem only exists for people who use USD to measure value. When you use house or bitcoin to measure value, it is USD swing wildly against house and bitcoin, shows that USD is still highly demanded when facing financial uncertainty
The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
The root of the question: Why people believe in some numbers created out of thin air instead of something created with true resources like electricity and labor? The belief in USD's value has become a religion that aliens could never understand
Then how do you justify all the infrastructure build around it including the payment system that businesses have adopted thus far. Never mind about miners, if a few drop out, I'm very sure there will be others willing to fill up the gap. So in this scenario how does a chain reaction or total collapse possible? Subprime mortgage crisis actually escalated to a level driven mainly by recession happening almost at the same time. One foreclosure leads to another and bad debts basically cause one bank to fail followed by another. In this scenario, I can't find any similarity if you decide to compare that to a few miners exiting?
It's more about what ASICs are supposed to be worth. If many miners exit at the same time their machines can become essentially worthless, making it impossible for them to re-coup any value except for their mined and not yet sold Bitcoins. At some point difficulty adjustment will catch up making it slightly profitable to use the machines again, but only if Bitcoin prices don't plunge along with it.
Then how do you justify all the infrastructure build around it including the payment system that businesses have adopted thus far. Never mind about miners, if a few drop out, I'm very sure there will be others willing to fill up the gap. So in this scenario how does a chain reaction or total collapse possible? Subprime mortgage crisis actually escalated to a level driven mainly by recession happening almost at the same time. One foreclosure leads to another and bad debts basically cause one bank to fail followed by another. In this scenario, I can't find any similarity if you decide to compare that to a few miners exiting?
The bubble will burst sooner or later, at some point nobody will want BTC.
subprime mortgage loans seemed to be safe at that time,
if they can't pay back, banks will just sell their home
that's why banks gave loans to virtually everyone. But you know what happened in 2008.
BTC is backed by very weak concept mining,
mining itself isn't strong enough to justify current BTC price.
subprime mortgage loans seemed to be safe at that time,
if they can't pay back, banks will just sell their home
that's why banks gave loans to virtually everyone. But you know what happened in 2008.
BTC is backed by very weak concept mining,
mining itself isn't strong enough to justify current BTC price.
If miners can't pay they will just sell their ASICs....
wait a minute.
You are right, It's a very similar mechanism at work here... just that homes have some intrinsic base value because of universal demand (everybody needs to live at some place).
you can't speak of a bubble with current price. you can't expect something to only go up. as with everything bitcoin will have a good period and a lesser period. the real bubble might come if wallstreet decide to jump in.
current price isn't a bubble at all, it's a correction price and a steady grow from the last year, people should keep in mind that the 1200 peak is no where near reflecting the real btc value at that time, it was only caused by willy bot, mtgox and other crap like that
If Bitcoin fails it's because there is lack of demand, or reasonable use cases. It's not going to be because the actual math collapses, which is essentially what happened with complex mortgage derivatives. It is often said the math was so complex on purpose so that only a few could understand the actual valuation. Obviously some people became filthy rich off trading against and or flipping this PoS's.
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