Topic: Flaw in cryptocurrency? (Read 195 times)
it is a really crazy market, only people with strong mind can make profit on it.!
Hi i think there is a flaw in crypto currency
1. The max supply and circulating supply is the one that makes it unstable. That's why the price value of the coins changes drastically everyday. It makes the payment system very risky to use in our daily cost.
For example: you are going to pay your bills tomorrow, but then the price of your altcoin or bitcoin you are holding fell down big time which greatly affected your money and it can be the reason why you can't pay your bill.
This is the reason why i think crypto currencies are more likely to be stocks rather than a currency itself. The only different thing is that you can send those coin to buy goods
first of all, don't generalize things.1. The max supply and circulating supply is the one that makes it unstable. That's why the price value of the coins changes drastically everyday. It makes the payment system very risky to use in our daily cost.
For example: you are going to pay your bills tomorrow, but then the price of your altcoin or bitcoin you are holding fell down big time which greatly affected your money and it can be the reason why you can't pay your bill.
This is the reason why i think crypto currencies are more likely to be stocks rather than a currency itself. The only different thing is that you can send those coin to buy goods
there is a huge difference between bitcoin (which has real adoption and real usage as a currency) and altcoins (which have no adoption and no usage apart from speculation).
secondly the supplies may be effective but not as much as you may think. the bitcoin supply and the way it is being distributed is a good model in my opinion.
what affects this is mostly the adoption. it is growing and at the same time market is still small. which means bigger volatility. but as you can see this is decreasing. the ups and downs are becoming smaller. 2 years ago for example we could simple see a 50%-60% drop because of a simple FUD. now the same FUD can only cause a 30% drop tops.
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2. There are network issues like bitcoins getting stuck on the network and the transfer time is slow and the fee is very high which makes it inconvinient when paying someone
well, it is not always like this. and these things can not last long. and this is partly because of the community's idiocy and the fact that they care about money. if they boycotted bitcoin cash a long time ago, we never saw this issue 2 days ago.Quote
3. The biggest problem is you also need internet connection for it to work.
internet connection is needed for more than half of what we do daily!you said something about paying the bills above, if i don't have any internet i can not pay my bills with fiat either!
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Example: lets just say you went to a rural area with no technology or internet connection. There's no way you can send someone your coins by using bluetooth. Crypto currencies are so blockchain dependent, it needs to have something better that can work even offline
then use cash because in a rural area that there is no technology you can not use anything else such as your credit cards or other fiat related technologies either.we are not living in 1800s, we are living in 2017 and technology is a part of our lives now.
Your arguments are somehow invalid. The max supply of any coin doesn't have a direct price impact. Those numbers are arbitrary, buying and selling actions determines the price. When it's volatile, it usually indicates that there a lot of trades happening, as for stagnancy (stable) not so much, plus bitcoin's marketcap is too tiny comparing to trillion dollar fiat market. When you compare it to forex, forex operates like a typical 9-5 job, there's an opening price and closing price so trades are only for definite time whereas cryptocurrencies are being traded 24/7 non-stop. Cryptocurrencies can behave like stocks, currency and somewhat property, it's more than just a currency.
The network issue right now, is not really an issue in my opinion. When you really understand bitcoin, it's a symptom of maturity. Bitcoin is getting attacked at every possible attack vectors. These "network issue" can be pegged to law of supply and demand idea. When there's a lot of demand (transactions) that the supply (miners/hashing power) unable to cover for it, fees (price) will go up. Bitcoin's hash rate just drop almost half from about 10,000,000 TH/s to about 5,000,000 TH/s, some miners (likely bitmain) switched to bcash to take advantage of difficulty adjustments of both coins. Hence this is happening. I think this is all coordinated to try to dismantle bitcoin so these people can gather sentiments that bitcoin is no longer viable. Because all of you plebs only care about low fees and fast transactions.
No internet connection, no bitcoin? there's an alternative to internet approach. Blockstream launched a satellite to orbit months ago so people with equipment (satellite dish etc) can broadcast transactions without internet/offline. And even without this, your argument is still invalid as almost every successful company or organization is internet dependent they need it to operate, even bank goes offline almost everyday.
It's simple, when you're aware that you have to go to no-internet zone and expect to use your smart phone then you're hilarious. In my opinion, the real flaw of cryptocurrency is governance mechanism.
The network issue right now, is not really an issue in my opinion. When you really understand bitcoin, it's a symptom of maturity. Bitcoin is getting attacked at every possible attack vectors. These "network issue" can be pegged to law of supply and demand idea. When there's a lot of demand (transactions) that the supply (miners/hashing power) unable to cover for it, fees (price) will go up. Bitcoin's hash rate just drop almost half from about 10,000,000 TH/s to about 5,000,000 TH/s, some miners (likely bitmain) switched to bcash to take advantage of difficulty adjustments of both coins. Hence this is happening. I think this is all coordinated to try to dismantle bitcoin so these people can gather sentiments that bitcoin is no longer viable. Because all of you plebs only care about low fees and fast transactions.
No internet connection, no bitcoin? there's an alternative to internet approach. Blockstream launched a satellite to orbit months ago so people with equipment (satellite dish etc) can broadcast transactions without internet/offline. And even without this, your argument is still invalid as almost every successful company or organization is internet dependent they need it to operate, even bank goes offline almost everyday.
It's simple, when you're aware that you have to go to no-internet zone and expect to use your smart phone then you're hilarious. In my opinion, the real flaw of cryptocurrency is governance mechanism.
Hi i think there is a flaw in crypto currency
1. The max supply and circulating supply is the one that makes it unstable. That's why the price value of the coins changes drastically everyday. It makes the payment system very risky to use in our daily cost.
For example: you are going to pay your bills tomorrow, but then the price of your altcoin or bitcoin you are holding fell down big time which greatly affected your money and it can be the reason why you can't pay your bill.
This is the reason why i think crypto currencies are more likely to be stocks rather than a currency itself. The only different thing is that you can send those coin to buy goods
2. There are network issues like bitcoins getting stuck on the network and the transfer time is slow and the fee is very high which makes it inconvinient when paying someone
3. The biggest problem is you also need internet connection for it to work.
Example: lets just say you went to a rural area with no technology or internet connection. There's no way you can send someone your coins by using bluetooth. Crypto currencies are so blockchain dependent, it needs to have something better that can work even offline
1. The max supply and circulating supply is the one that makes it unstable. That's why the price value of the coins changes drastically everyday. It makes the payment system very risky to use in our daily cost.
For example: you are going to pay your bills tomorrow, but then the price of your altcoin or bitcoin you are holding fell down big time which greatly affected your money and it can be the reason why you can't pay your bill.
This is the reason why i think crypto currencies are more likely to be stocks rather than a currency itself. The only different thing is that you can send those coin to buy goods
2. There are network issues like bitcoins getting stuck on the network and the transfer time is slow and the fee is very high which makes it inconvinient when paying someone
3. The biggest problem is you also need internet connection for it to work.
Example: lets just say you went to a rural area with no technology or internet connection. There's no way you can send someone your coins by using bluetooth. Crypto currencies are so blockchain dependent, it needs to have something better that can work even offline
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