we need to destroy the bank corporation, no more taxes!!
YEAH! No more taxes! WE NEED TRANSACTION FEES!!!
Topic: Do you really know bitcoin ? Here are 11 myths (Read 561 times)
YEAH! No more taxes! WE NEED TRANSACTION FEES!!!
Taxes are bad as well as centralization
we need to destroy the bank corporation, no more taxes!!
Nope, there are already indepened Bitcoin clients beside Bitcoin-qt if Bitcoin Foundation turns out to be bad, or using older versions of Bitcoin-qt
And how it is better than centralized banks? If your bank or government "turns out to be bad" - you can use other bank.
I know from day one.
Myth #12: It is decentralized.
No, it is centralized. And it has central authority which can steal all your BTC - https://bitcointalksearch.org/topic/bitcoin-code-has-checkpoints-controlled-by-centralized-small-group-of-people-371635
No, it is centralized. And it has central authority which can steal all your BTC - https://bitcointalksearch.org/topic/bitcoin-code-has-checkpoints-controlled-by-centralized-small-group-of-people-371635
Nope, there are already indepened Bitcoin clients beside Bitcoin-qt if Bitcoin Foundation turns out to be bad, or using older versions of Bitcoin-qt
Myth #12: It is decentralized.
No, it is centralized. And it has central authority which can steal all your BTC - https://bitcointalksearch.org/topic/bitcoin-code-has-checkpoints-controlled-by-centralized-small-group-of-people-371635
No, it is centralized. And it has central authority which can steal all your BTC - https://bitcointalksearch.org/topic/bitcoin-code-has-checkpoints-controlled-by-centralized-small-group-of-people-371635
so what do you think personally? Do you think if I hold on to bitcoins that someday they will be worth $10k+ each? If they manage to continue to grow? I dont see why they would'nt as the outbreak of scrypt mining has caused a major boom in awareness. Interesting to think what it could be someday and hope I will have even a single bitcoin saved by then haha.
Great post. Thanks for sharing!
1. Bitcoin is huge
For all the talk and hype, bitcoin is tiny with a total value of just $10.8 billion. That compares to the total stock of U.S. dollar at $800 billion, Colas said in a report. There's also about $4 trillion in global currency traded every day.
2. Bitcoin enables drugs and terrorism
Colas argues that bitcoin is "way too volatile" for the average drug dealer or terrorist. That's not to say that "some enterprising dealers" don't use it, but if it was widespread Colas contends its value would be "$10,000 or higher" compared to Friday morning's trading value of about $800.
3. Bitcoin is a currency
This is perhaps the most contentious observation, as bitcoin is often referred to as a "cryptocurrency." Colas offers that bitcoin is "a system much more than a 'currency'" in which holders agree to take part in a transaction of value.
Banking analyst Dick Bove may have been more to the point, where in a recent analysis he called bitcoin a "low-cost replacement for credit cards and other payment mechanisms." There are virtually no costs involved with bitcoin transactions, as opposed to wire transfers, for instance.
4. Bitcoin has never been more volatile than now
Untrue, according to a chart Colas prepared analyzing bitcoin's one-month returns and standard deviation. It actually was more volatile in May 2011, before most people even had heard of bitcoin.
5. Chinese citizens can't buy bitcoins
BTC China has been one of the most dominant exchanges for bitcoin, with nearly 10 million transactions over the past month, according to bitcoincharts. That's despite a government ban on financial institutions handling such transactions.
6. Bitcoin is not a store of value
This is an expression often given to gold and silver, and Colas said it does not apply to bitcoin. "Bitcoin may one day prove it deserves to sit alongside those assets," he said. "It isn't there yet."
7. Bitcoin is untraceable
Bitcoin transactions happen online. Enough said. (Though Colas does offer: "If you think anything you do online is secret, I can't help you.")
8. Losing anonymity will render bitcoin useless
Conversely, traceability doesn't dim bitcoin's allure, which is really in its low or no-cost transactions.
9. It's a Ponzi scheme
No, it isn't. Ponzi schemes have no other intent than to defraud. There's no evidence to suggest that bitcoin is in the same boat, despite the strong price volatility and attraction for speculators. The Federal Reserve has noted the "potentially significant positive social value" of bitcoin, Colas noted.
10. Bitcoin is "ready for prime time"
No, it isn't. As Bove, Colas and numerous others have pointed out, bitcoin won't get legit until price volatility gets tamped down and a truly safe, mainstream storage place emerges. Colas suggests banks, Paypal or Apple come up with a storage device.
11. Something better will kill bitcoin
This one doesn't get so much play, but it's worth considering. Bove has contended that being first gives bitcoin a tremendous competitive advantage, and Colas echoes that point. "There are other online money transfer products out there, of course, and more to come," he said. "The challenges will be the same for all of them: security, utility and legal compliance."
The quest to meet those challenges likely means bitcoin remains a serious story for 2014.
"I absolutely understand why there are so many bitcoin haters out there. But don't hate the player; hate the game," Colas said. "Technology is a tremendously disruptive force in society, and it knows no boundaries. It disturbs every status quo. That's what is does. Just don't make the mistake of thinking that you can reverse it by calling it a bubble."
-By CNBC's Jeff Cox. Follow him on Twitter @JeffCoxCNBCcom .
http://hereisthecity.com/en-gb/2013/12/28/do-you-really-know-bitcoin-here-are-11-myths/
For all the talk and hype, bitcoin is tiny with a total value of just $10.8 billion. That compares to the total stock of U.S. dollar at $800 billion, Colas said in a report. There's also about $4 trillion in global currency traded every day.
2. Bitcoin enables drugs and terrorism
Colas argues that bitcoin is "way too volatile" for the average drug dealer or terrorist. That's not to say that "some enterprising dealers" don't use it, but if it was widespread Colas contends its value would be "$10,000 or higher" compared to Friday morning's trading value of about $800.
3. Bitcoin is a currency
This is perhaps the most contentious observation, as bitcoin is often referred to as a "cryptocurrency." Colas offers that bitcoin is "a system much more than a 'currency'" in which holders agree to take part in a transaction of value.
Banking analyst Dick Bove may have been more to the point, where in a recent analysis he called bitcoin a "low-cost replacement for credit cards and other payment mechanisms." There are virtually no costs involved with bitcoin transactions, as opposed to wire transfers, for instance.
4. Bitcoin has never been more volatile than now
Untrue, according to a chart Colas prepared analyzing bitcoin's one-month returns and standard deviation. It actually was more volatile in May 2011, before most people even had heard of bitcoin.
5. Chinese citizens can't buy bitcoins
BTC China has been one of the most dominant exchanges for bitcoin, with nearly 10 million transactions over the past month, according to bitcoincharts. That's despite a government ban on financial institutions handling such transactions.
6. Bitcoin is not a store of value
This is an expression often given to gold and silver, and Colas said it does not apply to bitcoin. "Bitcoin may one day prove it deserves to sit alongside those assets," he said. "It isn't there yet."
7. Bitcoin is untraceable
Bitcoin transactions happen online. Enough said. (Though Colas does offer: "If you think anything you do online is secret, I can't help you.")
8. Losing anonymity will render bitcoin useless
Conversely, traceability doesn't dim bitcoin's allure, which is really in its low or no-cost transactions.
9. It's a Ponzi scheme
No, it isn't. Ponzi schemes have no other intent than to defraud. There's no evidence to suggest that bitcoin is in the same boat, despite the strong price volatility and attraction for speculators. The Federal Reserve has noted the "potentially significant positive social value" of bitcoin, Colas noted.
10. Bitcoin is "ready for prime time"
No, it isn't. As Bove, Colas and numerous others have pointed out, bitcoin won't get legit until price volatility gets tamped down and a truly safe, mainstream storage place emerges. Colas suggests banks, Paypal or Apple come up with a storage device.
11. Something better will kill bitcoin
This one doesn't get so much play, but it's worth considering. Bove has contended that being first gives bitcoin a tremendous competitive advantage, and Colas echoes that point. "There are other online money transfer products out there, of course, and more to come," he said. "The challenges will be the same for all of them: security, utility and legal compliance."
The quest to meet those challenges likely means bitcoin remains a serious story for 2014.
"I absolutely understand why there are so many bitcoin haters out there. But don't hate the player; hate the game," Colas said. "Technology is a tremendously disruptive force in society, and it knows no boundaries. It disturbs every status quo. That's what is does. Just don't make the mistake of thinking that you can reverse it by calling it a bubble."
-By CNBC's Jeff Cox. Follow him on Twitter @JeffCoxCNBCcom .
http://hereisthecity.com/en-gb/2013/12/28/do-you-really-know-bitcoin-here-are-11-myths/
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