To tell the truth I don't understand your votes. Why the paper money have 8 as medium of exchange and gold 5 and bitcoin 9. Maybe 1% of the people know bitcoin and even less of them use it as a medium of exchange. How is possible that the vote given to bitcoin (which is used only in internet by such few people) is higher than the paper money which is used widely by 100% of the people in everyday actions. The other people are stupid that don't use bitcoin but the paper money. But if yes in which way they can buy the bread? To not speak for gold which is used by no one as a medium of exchange.
Me seems very strange and incomprehensible classification this one.
Topic: Ranking Bitcoin as Money vs Gold and vs Paper Money - page 2. (Read 2195 times)
There are 7 properties that make a thing good money they are:
1) Medium of Exchange.
2) Unit of Account.
3) Portability.
4) Durability.
5) Divisibility.
6) Fungibility.
7) Store of Value.
On a scale of 1 to 10 for each, 10 being perfect, 1 being horrible, how would you rank gold, paper money, and bitcoin in these areas?
For paper money I have:
1) Medium of Exchange. = 8
2) Unit of Account. = 10
3) Portability. = 8
4) Durability. = 4
5) Divisibility. = 6
6) Fungibility. = 10
7) Store of Value. = 2
Paper Money is a score of 6.9 therefore.
For Gold I have:
1) Medium of Exchange. = 5
2) Unit of Account. = 8
3) Portability. = 5
4) Durability. = 10
5) Divisibility. = 7
6) Fungibility. = 8
7) Store of Value. = 10
Gold has a score of 7.5 therefore.
For Bitcoin I have:
1) Medium of Exchange. = 9
2) Unit of Account. = 8
3) Portability. = 10
4) Durability. = 10
5) Divisibility. = 10
6) Fungibility. = 10
7) Store of Value. = 9
Bitcoin has a score of 9.4 therefore.
Do you agree with my scores? What are yours and why??
1) Medium of Exchange.
2) Unit of Account.
3) Portability.
4) Durability.
5) Divisibility.
6) Fungibility.
7) Store of Value.
On a scale of 1 to 10 for each, 10 being perfect, 1 being horrible, how would you rank gold, paper money, and bitcoin in these areas?
For paper money I have:
1) Medium of Exchange. = 8
2) Unit of Account. = 10
3) Portability. = 8
4) Durability. = 4
5) Divisibility. = 6
6) Fungibility. = 10
7) Store of Value. = 2
Paper Money is a score of 6.9 therefore.
For Gold I have:
1) Medium of Exchange. = 5
2) Unit of Account. = 8
3) Portability. = 5
4) Durability. = 10
5) Divisibility. = 7
6) Fungibility. = 8
7) Store of Value. = 10
Gold has a score of 7.5 therefore.
For Bitcoin I have:
1) Medium of Exchange. = 9
2) Unit of Account. = 8
3) Portability. = 10
4) Durability. = 10
5) Divisibility. = 10
6) Fungibility. = 10
7) Store of Value. = 9
Bitcoin has a score of 9.4 therefore.
Do you agree with my scores? What are yours and why??
I agree with the most of your scores except with the store of value. Bitcoin is a terrible store of value at the moment because of its volatility. As the adoption grows, Bitcoin will be less and less easy to move and manipulate, it will be less volatile and store of value characteristics will be more attractive.
Bitcoin is not a great store of value (5) and it's a terrible unit of account (2). I would give Bitcoin a score of 8.0. I expect it to improve in the future.
Not sure all of those factors can be weighed evenly (like divisibility) and there's another thing that's important: difficulty of counterfeiting.
Cash:
1) Medium of Exchange. = 9
2) Unit of Account. = 10
3) Portability. = 9
4) Durability. = 4
5) Divisibility. = 9
6) Fungibility. = 10
7) Store of Value. = 2
Counterfeit = 4
Gold:
1) Medium of Exchange. = 7
2) Unit of Account. = 10
3) Portability. = 4
4) Durability. = 10
5) Divisibility. = 4
6) Fungibility. = 10
7) Store of Value. = 7
Counterfeit = 9
btc:
1) Medium of Exchange. = 9
2) Unit of Account. = 10
3) Portability. = 9
4) Durability. = 5
5) Divisibility. = 10
6) Fungibility. = 5
7) Store of Value. = 7
Counterfeit = 9
Cash:
1) Medium of Exchange. = 9
2) Unit of Account. = 10
3) Portability. = 9
4) Durability. = 4
5) Divisibility. = 9
6) Fungibility. = 10
7) Store of Value. = 2
Counterfeit = 4Gold:
1) Medium of Exchange. = 7
2) Unit of Account. = 10
3) Portability. = 4
4) Durability. = 10
5) Divisibility. = 4
6) Fungibility. = 10
7) Store of Value. = 7
Counterfeit = 9btc:
1) Medium of Exchange. = 9
2) Unit of Account. = 10
3) Portability. = 9
4) Durability. = 5
5) Divisibility. = 10
6) Fungibility. = 5
7) Store of Value. = 7
Counterfeit = 9 
You will be pilloried if you say that Bitcoin's score on "Store of Value" is 9.
Given the volatility of bitcoin, its score on this parameter should be really low. There are a lot of people who have lost money on bitcoins in the last one and a half years.
Given the volatility of bitcoin, its score on this parameter should be really low. There are a lot of people who have lost money on bitcoins in the last one and a half years.
Only because they panic sold and didn't hold. Technically speaking, bitcoin is a superior store of value to gold because of it's controlled supply and hard limit. It is scarcity that makes a thing a good store of value, and bitcoin is more scarce than gold could ever be considering we could find new ways to mine gold or find new gold veins or mine gold from other planets dramatically increasing the supply and thus collapsing the price and value of gold. Bitcoin can never increase in supply, 21 million is a hard cap, and so it is a better store of value.
Bitcoin is never going to drop all the way down to "free". As you can see, it is holding value very well, just because people bought bitcoin at the top of a speculative peak rally and panic sold after it found an equilibrium at a much lower price does not mean that bitcoin is poor store of value.
The only reason I give bitcoin a 9 for store of value and not a ten because there is the possibility of a huge EMP blast from the sun or some other catastrophe that knocks out all electronic devices on earth and makes bitcoin worthless. Aside from that one very unlikely scenario, bitcoin the a better store of value than gold, so I stand by my 9 rating.
You will be pilloried if you say that Bitcoin's score on "Store of Value" is 9.
Given the volatility of bitcoin, its score on this parameter should be really low. There are a lot of people who have lost money on bitcoins in the last one and a half years.
Given the volatility of bitcoin, its score on this parameter should be really low. There are a lot of people who have lost money on bitcoins in the last one and a half years.
There are 7 properties that make a thing good money they are:
1) Medium of Exchange.
2) Unit of Account.
3) Portability.
4) Durability.
5) Divisibility.
6) Fungibility.
7) Store of Value.
On a scale of 1 to 10 for each, 10 being perfect, 1 being horrible, how would you rank gold, paper money, and bitcoin in these areas?
For paper money I have:
1) Medium of Exchange. = 8
2) Unit of Account. = 10
3) Portability. = 8
4) Durability. = 4
5) Divisibility. = 6
6) Fungibility. = 10
7) Store of Value. = 2
Paper Money is a score of 6.9 therefore.
For Gold I have:
1) Medium of Exchange. = 5
2) Unit of Account. = 8
3) Portability. = 5
4) Durability. = 10
5) Divisibility. = 7
6) Fungibility. = 8
7) Store of Value. = 10
Gold has a score of 7.5 therefore.
For Bitcoin I have:
1) Medium of Exchange. = 9
2) Unit of Account. = 8
3) Portability. = 10
4) Durability. = 10
5) Divisibility. = 10
6) Fungibility. = 10
7) Store of Value. = 9
Bitcoin has a score of 9.4 therefore.
Do you agree with my scores? What are yours and why??
1) Medium of Exchange.
2) Unit of Account.
3) Portability.
4) Durability.
5) Divisibility.
6) Fungibility.
7) Store of Value.
On a scale of 1 to 10 for each, 10 being perfect, 1 being horrible, how would you rank gold, paper money, and bitcoin in these areas?
For paper money I have:
1) Medium of Exchange. = 8
2) Unit of Account. = 10
3) Portability. = 8
4) Durability. = 4
5) Divisibility. = 6
6) Fungibility. = 10
7) Store of Value. = 2
Paper Money is a score of 6.9 therefore.
For Gold I have:
1) Medium of Exchange. = 5
2) Unit of Account. = 8
3) Portability. = 5
4) Durability. = 10
5) Divisibility. = 7
6) Fungibility. = 8
7) Store of Value. = 10
Gold has a score of 7.5 therefore.
For Bitcoin I have:
1) Medium of Exchange. = 9
2) Unit of Account. = 8
3) Portability. = 10
4) Durability. = 10
5) Divisibility. = 10
6) Fungibility. = 10
7) Store of Value. = 9
Bitcoin has a score of 9.4 therefore.
Do you agree with my scores? What are yours and why??
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