Topic: ♨♨♨ Is Bitcoin A Giant Ponzi Scheme?♨♨♨ (Read 1887 times)

Bitcoin transactions are "incredibly expensive" What's more "all the fees are hidden through those crypto-mechanisms , bitcoin estimating will get "very Shabby on account of That's how it will scale , Bitcoin’s esteem against the dollar need almost tripled not long from now Concerning illustration open investment in advanced currencies need spread. It remains profoundly unstable though, losing some 30% over simply again An month the middle of june What's more july because of An argument about how should help its underlying engineering adjust of the sharp increment popular for it.

Ponzi schemes usually usually persuade new investors by offering more benefits than other investments in the short term with a very high rate of return.

As a phenomenon bitcoin has all the attributes of a pyramid scheme, requiring a constant influx of converts to push up the price, based on the promise of its use by future converts. So the ultimate value for bitcoin will be the same as all pyramid schemes: zero.

(Source: Financial Times, 2017)

https://www.ft.com/content/b5d66ed8-d1b3-11e6-b06b-680c49b4b4c0

The level of information you are exposed to depends on the height u go in life. Bitcoin is never a ponzi scheme and will never be. It was born out of the desire to have a transparent and non-taxable currency not dependent on race, country and so on and would create unification in your value cregardless of your country. It is a currency and also grown to become an asset. Be wise pls

the stupid question often asked by a beginner, it would be nice you always try to read and find knowledge about bitcoin. reading culture is the most perfect science. so fill your life with a variety of bitcoin and crypto knowledge. you will know the answer you have in your head.

https://www.youtube.com/watch?v=7Yfp-pkjG5Y

Great video for anyone looking to research the topic more

Which describes ANY investment - e.g. Apple shares.

Gday all,

Here's why BTC is not a Ponzi scheme :

In a Ponzi – new investors' money flows directly and continuously and promptly from new investors to old investors.

Directly – with nothing in between (except the secret slush-fund which must be kept secret from the investors) – nothing of value, no security, no records (apart from false reports often created to cover up.)

But that is nothing like what happens in BTC. Instead, new investors to BTC receive ownership of BTC on the secure & public record of the blockchain. Ownership, security, public records.

There is NO flow of money - people buy and sell ownership of BTC. There is NO slush-fun, there is NO promoter. If buying slows or stops, BTC does NOT collapse.

Yes, a new investor must purchase from an older investor – of course they must, no-one can purchase from the future, can they ?
No, that does not make make it a Ponzi, any more than Microsoft shares are, just because new investors buy from older ones.

Yes, if prices are rising then a new investor will pay more, and old investors will make a profit – of course they will, that's business.
No, that does not make it a Ponzi, any more than Apple shares are, just because old investors make profits from new investors.

The general characteristic that old investors make profits from new investors applies to all rising markets. That does make not them a Ponzi scheme.

A Ponzi scheme has nothing in the middle except the secret slush-fund used by the promoter to maintain cash flows.

BTC is nothing like that.

Kapyong

Yes for those people don't know about the technology, people should realize that bitcoin is very important in human being. Bitcoin is not a ponzi scheme. that's why we need to study the fundamental and technical charting. trading is risky so disclaimer to thouse who want to ride

This is exactly what government and enemies of Bitcoin want to do, creating a situation of panic so that everyone sell their coin. Many news and government headlines are highlighting Bitcoin as Ponzi Scheme but according to me it is just baseless and pure assumptions nothing else. There is a great difference between the working of Bitcoin and Ponzi Scheme, also I think people are just blaming bitcoin without any understanding as if they even googled about Ponzi scheme they could easily detect the difference between the working of it and Bitcoin.

Oh my God, this dude is either a Troll or an idiot.... Man, why do you create these threads belittle bitcoin?

Bitcoin is not a fraudulent scheme of Ponzi, since new people who invest in it do not receive their profits from this investment at the expense of previous investments of other people. Bitcoin can be compared with a financial bubble, but not with a financial pyramid and fraud. However, no one can say for sure whether the manifestation of a financial bubble for crypto currency is its usual mode of existence or not. After all, the crypto currency is a completely different kind of financial settlements between people.

I'm confused. Or maybe I just disagree. I think the majority of people are indeed investing in bitcoin to get returns.

Bitcoin is not Ponzi but it is being used in ponzi schemes thats why people are afraid of Bitcoin before because of news that its a ponzi but in reality its not, its just being used for ponzi schemes. If we are going to accept the argument that Bitcoin is ponzi, then Fiat is ponzi too, Fiat is used by many ponzi schemes around.

You have mentioned the definition of ponzi scheme correctly but even after that, how do you think bitcoin is a ponzi scheme?? Ponzi is centralized system with one or more owners. Who actually rolls out the money received from the new investors and pays out the old investors. Bitcoin is decentralized and no one actually controls it. People don't invest in bitcoin with a hope of getting daily interest return. So the basic structure of bitcoin and ponzi are different. They can't be compared with each other in any way.

Bitcoin prices will keep going up as long as there is a line of greater fools thinking that they can sell for higher prices than they paid. But, inevitably, that faith will wane and, then, there will be no reason to hoard bitcoins. In contrast, when the price of Apple AAPL  stock drops, the price is stabilized by the fact that, as long as Apple is a profitable company, its stock is worth owning, When bitcoin prices drop, there will be no reason to hoard bitcoins and no reason for the price to stabilize. In the rush for the exit, few will make it out the door unscathed

(Source: Market Watch, Dec 13th 2017)
https://www.marketwatch.com/story/enjoy-bitcoin-while-you-can-2017-12-13?link=MW_home_latest_news

Bitcoin is not a ponzi scheme, there is no one administrating bitcoin, if what you were saying was true then every single stock is a ponzi, where early investors put money in a business and then they sell for an higher profit, bitcoin is the same the price of bitcoin is going up not only because of speculation, bitcoin is growing because the technology is improving.

Is it more of a Pyramid Scheme or a Ponzi Scheme?

I think the exact definition can vary

as what you have said ponzi scheme is committed either by an individual or an organization.
but as you may know bitcoin isn't being controlled by anyone or any organization.
it is a decentralized system, therefore no one controls.
and this is the very essence why people has chosen to invest with bitcoin because they know they can control their own money.
therefore calling bitcoin as ponzi simply means that you dont know what you are talking about.

There doesn't have to be one person behind the scheme. Everyone who buys into it is essentially part of the process. The creators don't have to have bad intentions and the miners don't have to have bad intentions. Like you said, bitcoin can be manipulated by ANYONE who has a LOT of bitcoin. 3% of the addresses control 97% of the bitcoin. And there could be people/group that control many addresses. Stop thinking there has to be one evil person behind it. And look at the entire picture instead.