Topic: is bitcoin strong enough to withstand an attack from the fiat-money system owner (Read 919 times)

20%down in a few hours... that was what i was suspicious of, not just because some housewives decided to harvest their gain i guess...

Using fiat to buy bitcoin to destroy bitcoin don't make sense to me. They might buy btc, let it increase in price and then sell off, that wouldn't really change the price much. If they simply lock away the bitcoin they bought or "destroy" it, then the price of the remaining bitcoin in circulation would just increase.

It would be far more efficient to just pass a law restricting or banning the use of bitcoin. Again this would just be within one country. It would take a lot of effort to ban it globally. And it's not like a ban would stop the more tech-savvy bitcoin users.

   Another conspiracy theory if you ask me, what will happen if big players enter in bitcoin (if they didnt already). Why everyone assume that big fiat players wish to destroy bitcoin, they can also earn from bitcoin and have other advantages.
   To not go off topic, nothing is strong enough to withstand coordinated and well planed attack!!! That is it, you can talk more if you wish but there is no point for that.
   

It's very hard to say what would be 50 years from now, maybe the world wouldn't exist anymore. Anyway, in some parts of financial world bitcoin is already considered as a threath and these people would like bitcoin to disappear but I think that by now banks and governments are clear with the fact they can't avoid bitcoin and other virtua currencies because this is the future but now thp are trying to get the most out of it for themselves too.

Bitcoin I think is not strong enough to withstand an attack from the fiat-money system owner in case if bitcoin became a threat to fiat-money in the future. It is not strong enough in my opinion since it is in a free market where everyone can buy and sell their coins. Therefore if the fiat owner decides to attack it, he can just dump it to the lowest possible price bitcoin will have but that happening 1 year from now is not possible but it is very possible 50 years from now.

Bitcoin is strong enough to be able to deal with any pump-and-dump attacks from any wealthy people throughout the world who buy the remaining supply and then aim to crash the value, but Bitcoin likely has too much of a law-abiding community to keep using it if it was enforceably outlawed and/or taxed in their nation. At least on the surface of everything.

If somebody sees Bitcoin as a threat, they won't try to attack its price.
They will try to attack the confidence that people have in it (by lobbying for regulations, carrying negative articles in media, etc).

So I'll resumate quickly here what you're saying for future readers :

• Bitcoin is still relatively small for now, in spite of its recent price rise
• The fiat money is bigger and isn't frightened by Bitcoin yet

Question : What will happen when they'll see as a threat ?

Well, you're taking the hypothesis that they would invest 100 000 000 (one hundred millions) of dollars. Even now, that won't be too much, since the market cap is of fifteen billions of dollars. When Bitcoin will be considered as a threat by the major banking companies and financial institution for their complete manipulation of the global market and economy, that won't be because of the price of Bitcoin. How much ever it is worth doesn't matter at all. The real problem for them is that people use Bitcoin and not their shitty services. Investing 100 000 000$ at that moment would be a lot more useless as it is now, since the total monetary mass would have grown a lot, because the number of users would have increased that much that it has become dangerous for their activities (for this isn't sure, just my theory). My conclusion is that it wouldn't be very influencial to the price, that would be publicly known, and they would end even more doomed as their public reputation would be pretty bad.

My prediction to be found in the future : all the companies that conduct services and use fiat money because it is all they have got will survive and adopt Bitcoin for most of their online operations. The emiters and those who have interests in the production of the monetary mass will disappear, not necessarily because of Bitcoin but because of the actual fiat system won't live long and we'll either come back to the old system, used until somewhere like the beggining of the 80's or either we'll create something new. Even though I tend more to favour the first solution, I can't be totally sure of what will be the monetary policy of tomorrow.

Yep, bitcoin is but a pebble still in terms of size but it is the most secure computing network in history by a damn long way. And for people who have bought in, the potential is there - this software that has the ability to change the system.

Still at some stage some government will try to destroy it; when bitcoin gets too big or when the current system begins to implode. Problem is, it's only software!  And it has many applications that can improve the current system, like clearing / settlement, third party trust etc (hence the whole 'blockchain' movement).

We've seen lots of FUD, regulation, exchange takedowns, but the full on attack is still to come.

Bitcoin solves the double spend problem and provides an immutable ledger. The issue is that it is open source and secured by non government issued tokens. Let's hope we're ready and Too Big To Nail.

Big players in fiat are getting millions of dollars earnings thru fiat trades even for a small movement in price even fiat price are stable. That's how powerful fiat trade is. So no way they will put some amount in bitcoin which will need a lots of price pumping before it reached the so called "price high".

Others sees fiat trades as not profitable due to the fact the the price is stable but is definitely wrong if they will learn some knowledge the benefits of fiat trades.

Quite the contrary, they love the fiat money for the power it brings to them big players. They are the predators of the finance world and they will definitely not allow a new creature to breed and grow in their habitat, namely the world economy. I think it is not a question of if but when the first bite will come. Required that criptocurrency game will grow beyond 21 milion BTC, or Etherium or whatever as the optimists forecast that will replace current devices of transaction.

p.s.I just declared 100million as an example. I am not a market specialist. I don't know which approach they will try.

What ayrton55 said, banks do not have feelings about fiat money. They have only the profit in their mind. So banks decide to buy/sell thousand of bitcoins according the market trend and the possible profit. 

What pedrog said, whenever a restriction or prohibition applied in the world has exactly the opposite effect. This human behavior is well - known to governments and the banks. Till now they reiterate that bitcoin is used for illegal activities and they silence when fiat is used for the same purpose.

You have a point if government would succeed on their plans to dump bitcoins price but i dont think that it will totally die same as other members said here and we are saying the same thoughts.If there would be a total ban on which a strict and strong implementation on prohibiting bitcoin transactions i could say that it would possibly isolate bitcoin.

Bitcoin in my opinion is not strong enough to withstand an attack from fiat-money system owner in my opinion. It might not die yeah but it might not be used by many if fiat-money system owner decides to dump it and bring down it's price to the lowest price possible. Also with the help of the government, they can prohibit bitcoin's use and punish everyone who decides to use bitcoin, that I think will make bitcoin fall but not die since there's still some who will not follow that rule.

if you are only talking about price of bitcoin, then i guess if they wanted to (which i doubt there is any logical reason for it) then yeah, they can crash the price down to a very low price.

but if you mean can they kill bitcoin and make it disappear by doing this, then no way. even if by some stupid logic they decided to do something like this, nobody can make bitcoin disappear, there will still be at least a couple of people mining and many using bitcoin to transfer money.

I think that LuanX3 probably has it about right.  And I doubt that it is even close to 1%, even in the West (or China), probably more like 0.1% (one in a thousand people).

Bitcoin could maybe be accepted by the banks when the time arrives.

Or it could be suppressed (banned) by the authorities.

Or "They" could also ban CA$H and impose a State Coin.

It's really hard to say...

I don't see any logic in this scenario. What do you mean with "inject" 100 million USD? Buying Bitcoin? If they have to buy Bitcoin in the first place just to sell it later the effect on its market price is effectively equalized. That makes no sense at all.

Also, the whole idea that the operators of the fiat money scam would try to attack Bitcoin by pushing its market price lower is illogical to begin with. Bitcoin would not be destroyed by such actions. If they want to get rid of Bitcoin they would have to compromise the system itself somehow and/or gain control over it.

ya.ya.yo!

Big banks and government will always be against bitcoin but if majority of community start to accept bitcoin than they will have no choice to legalize it and accept it as a currency. And we can already see this types of adoption in many countries and this may spread though out the world. And talking about fake pump and dump that can be caused by this big banks, i don't think they are silly enough to loss by just buying high and selling low. May be they will start to buy and hold cheap bitcoin privately for profit as by now most of them have already realized they can't or centralized payment system can't compete or shutdown bitcoin network.

I don't think it's a threat really. I don't even know if bitcoins has been adopted by even 1% of the whole population. We can't see it being a major player in the finance industry yet in the near future. Indeed the whole bitcoin ecosystem can be bought by just one major player in the financial industry. But I don't think they would even think of buying it as there is not yet a major adoption that enables the use of this everywhere. Plus, if they really want a cryptocurrency then probably they'll just make one.

There are different kinds of fiats in different kinds of countries. If a country bans bitcoin in their area there are still more country that will accept bitcoin.  If all the banks in the world will join forces and influence the government to ban bitcoins everywhere then possibly bitcoin will lost its value since nobody will buy bitcoins anymore. Since bitcoin is backed up by dollars then if dollars will be banned to buy bitcoins then thats the end for bitcoin.