and yet it is the massive 10% Bitcoin inflation that is killing the price for all the current holders of the currency. The irony.
Thank you for pointing that out, sir.
Topic: Sell me this bitcoin.... (Wolf of Wallstreet) - page 2. (Read 1249 times)
Thank you for pointing that out, sir.
and yet it is the massive 10% Bitcoin inflation that is killing the price for all the current holders of the currency. The irony.
Bitcoin is super secure: Yet the blockchain is vulnerable to 51% attack if miners begin a mass exodus out
Bitcoin is ultra fast: 15 minutes average for a confirmed transaction time. I can pay with something via paypal or credit card in a few seconds, instantly.
Bitcoin is safe: I send 30 bitcoins to a scammer in Europe who promises to deliver goods. I don't receive said goods. I am now out 30 bitcoins. I send $3,000 via a Visa card to a scammer in Europe who promises to deliver goods. I receive nothing. I then provide all documentation to the fraud department at Visa and am reimbursed fully within a week. Seems to me this little increased 'transaction fee' is worth the peace of mind in a scammy society, no?
Bitcoin is convenient: You have to download a client, then over 8gb's of data just to cold store your coins for the first time. I can toss a dollar bill in my leather wallet in under a second
Bitcoin is free from government constraints: It's banned in several countries, including heavy restrictions in the second largest global economy (China). It's also subject to federal taxation just as fiat is in the United States.
Bitcoin isn't an inflationary nightmare like fiat: (taken directly from bitcoin wiki):
"Inflation is simply a rise of prices over time, which is generally the result of the devaluing of a currency. This is a function of supply and demand. Given the fact that the supply of bitcoins is fixed at a certain amount, unlike fiat money, the only way for inflation to get out of control is for demand to disappear. Temporary inflation is possible with a rapid adoption of Fractional Reserve Banking but will stabilize once a substantial number of the 21 million "hard" bitcoins are stored as reserves by banks.
Given the fact that Bitcoin is a distributed system of currency, if demand were to decrease to almost nothing, the currency would be doomed anyway.
The key point here is that Bitcoin as a currency can't be inflated by any single person or entity, like a government, as there's no way to increase supply past a certain amount.
Indeed, the most likely scenario, as Bitcoin becomes more popular and demand increases, is for the currency to increase in value, or deflate, until demand stabilizes. "
How exactly is the demand the past half year?
Purchasing power: I can store my credit card or cash in my wallet for days or months, and it will always have the same face value or balance it had when I first stored it. With bitcoin, I can put away 40 btc in cold storage and pull it out a day later and it can have %10 less purchasing power it had not even 24 hours before. If I send a moneygram to a relative overseas, I don't have to worry about them having 20% less purchasing power when they pick it up the next afternoon.
Now. Sell me this bitcoin.
Bitcoin is ultra fast: 15 minutes average for a confirmed transaction time. I can pay with something via paypal or credit card in a few seconds, instantly.
Bitcoin is safe: I send 30 bitcoins to a scammer in Europe who promises to deliver goods. I don't receive said goods. I am now out 30 bitcoins. I send $3,000 via a Visa card to a scammer in Europe who promises to deliver goods. I receive nothing. I then provide all documentation to the fraud department at Visa and am reimbursed fully within a week. Seems to me this little increased 'transaction fee' is worth the peace of mind in a scammy society, no?
Bitcoin is convenient: You have to download a client, then over 8gb's of data just to cold store your coins for the first time. I can toss a dollar bill in my leather wallet in under a second
Bitcoin is free from government constraints: It's banned in several countries, including heavy restrictions in the second largest global economy (China). It's also subject to federal taxation just as fiat is in the United States.
Bitcoin isn't an inflationary nightmare like fiat: (taken directly from bitcoin wiki):
"Inflation is simply a rise of prices over time, which is generally the result of the devaluing of a currency. This is a function of supply and demand. Given the fact that the supply of bitcoins is fixed at a certain amount, unlike fiat money, the only way for inflation to get out of control is for demand to disappear. Temporary inflation is possible with a rapid adoption of Fractional Reserve Banking but will stabilize once a substantial number of the 21 million "hard" bitcoins are stored as reserves by banks.
Given the fact that Bitcoin is a distributed system of currency, if demand were to decrease to almost nothing, the currency would be doomed anyway.
The key point here is that Bitcoin as a currency can't be inflated by any single person or entity, like a government, as there's no way to increase supply past a certain amount.
Indeed, the most likely scenario, as Bitcoin becomes more popular and demand increases, is for the currency to increase in value, or deflate, until demand stabilizes. "
How exactly is the demand the past half year?
Purchasing power: I can store my credit card or cash in my wallet for days or months, and it will always have the same face value or balance it had when I first stored it. With bitcoin, I can put away 40 btc in cold storage and pull it out a day later and it can have %10 less purchasing power it had not even 24 hours before. If I send a moneygram to a relative overseas, I don't have to worry about them having 20% less purchasing power when they pick it up the next afternoon.
Now. Sell me this bitcoin.
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