how long till banks control some of the bitcoins?
What!? It's Open source. They'll probably have their own branded distro.
They'll probably use PoBL (Proof of Banking License) approach for mining.
Topic: BTC value after bubble (Read 1136 times)
What!? It's Open source. They'll probably have their own branded distro.
They'll probably use PoBL (Proof of Banking License) approach for mining.
how long till banks control some of the bitcoins?
What!? It's Open source. They'll probably have their own branded distro.
how long till banks control some of the bitcoins?
In a normal case, IT bubble, Housing bubble etc... After the central bank realized that the money is too much and the prices for the investment targets are unreasonably high, they will raise the interest rate thus reduce the amount of money available in circulation. If the liquidity dried, the price of the investment target will crash, because those prices are purely decided by inflow of new money
But in case of BTC, it will be very different
Suppose that after some time, BTC price has rised too much, central bank will see a potential of a price bubble, but they could not do anything about it by their own, since other central banks who still provide liquidity will support the BTC price, or to say, unless most of the central banks act as a whole, each of them have little control over it
Even if all the central banks decided to tighten, the available fiat money is reduced, but other people will still be able to trade BTC through commercial channels, people will try to use gold/silver/commodities/house to exchange for BTC, BTC will get even more popular and BTC market will grow
But in case of BTC, it will be very different
Suppose that after some time, BTC price has rised too much, central bank will see a potential of a price bubble, but they could not do anything about it by their own, since other central banks who still provide liquidity will support the BTC price, or to say, unless most of the central banks act as a whole, each of them have little control over it
Even if all the central banks decided to tighten, the available fiat money is reduced, but other people will still be able to trade BTC through commercial channels, people will try to use gold/silver/commodities/house to exchange for BTC, BTC will get even more popular and BTC market will grow
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