Topic: Way to explain what is the bitcoin (Read 395 times)

Different opinions and use cases doesn't change what it actually is, and it is basically a digital currency that was created to provide financial privacy to people and create a payment system that doesn't require a central authority to operate, and that is what blockchain does and Bitcoin runs on the blockchain created for it, so no matter how different people use it or think of it, it will stay the same thing but it is just that the value keeps changing over time based on the demand.

We all know that most people nowadays take Bitcoin as an investment asset and the reason for that is because it's price has been going up significantly since it got famous because it has a limited supply and the demand keeps increasing over time, and based on the theory on supply and demand, it will keep going up.

Here's my analogy. Imagine the world of finance as a vast ocean, and traditional money as a collection of various containers like bottles, buckets, and barrels. Each container represents a different form of currency, such as the US dollar, Euro, or Japanese Yen.

Now, in this ocean, there is a unique and extraordinary cup called Bitcoin. Unlike the other containers, Bitcoin's cup is much larger and more special. It's like a magical cup with infinite capacity, capable of holding an enormous amount of value – much more than any other container in the entire ocean.

The ocean represents the flow of money and wealth in the global economy, with transactions constantly moving like waves. The smaller containers, like coins and other cryptocurrencies, try to capture as much money as they can from the flowing ocean. But due to their limited capacity, they get filled quickly and need to be emptied frequently.

On the other hand, Bitcoin's cup, being so much larger, can capture a massive amount of value from the ocean. It has the unique ability to collect and hold a substantial share of the money flowing through the financial system. This is why Bitcoin is often referred to as "digital gold" – it can store and preserve wealth on a much grander scale.

Just like a savvy investor who recognizes the incredible potential of Bitcoin, someone who owns this special cup can accumulate wealth and watch it grow over time. Of course, there are risks, and the value of Bitcoin can fluctuate with the tides of the financial ocean. But those who hold onto their Bitcoin cup during both calm and stormy waters have the opportunity to capture a significant share of the world's wealth, making it a unique and powerful asset in the vast ocean of finance.

I found it so confusing to understand what you are trying to define what bitcoin is, but I think what you are trying to say is that bitcoin is such a important thing and should be keep. Let's just make it in a simple way, you can identify bitcoin as online money or electronic money, this is really different in fiat currency as, there is no government included in this currency, it only means you are the one who has control on your own money. If you want to define crypto to newbie you may also add some advantage and disadvantage of using cryptocurrency.

I don't know on what basis you are comparing bitcoin to cup and money to water? You have explained bitcoin and money with very strange examples, but if you are to be believed, bitcoin is the biggest cup. You need money to buy a bigger cup or more cups. Those who have more capital can buy more cups and bigger cups. How can you compare money to rainwater or running water?
 Making money is not that easy. This is a natural process for those who have more capital. Earns high return on investment. Those with less capital earn less profit.

Not just In the cryptocurrency market, but in all investments where good returns are expected, there are risks of loss. You mentioned profit here but completely ignored loss. Making money into water and bitcoin into cups made everything so easy which is not fact, However, in the real life it is not as easy as you think.

It is simple. A digital currency which has a volatile market value and decentralized. These are the characteristics of Bitcoin but why does it seem to be hard to be understood by others? simply because pf the impression they are havong. They'd more likely focus with two things; profit and risk. Those things create confusion whether to engage or not.Agree with the amount to invest. Many people are not considering Bitcoin investment because they think that buying 1 whole Bitcoin as a start up, is expensive already without realizing that any amount would really do. Ofcourse it already has an expensive market value that's why we have an option to just invest a portion of it and earn profit by holding. This also has something to do with impression such that the bigger you invest, the bigger the profit is which is true in the first place. But they are simply losing the chance to earn profit by choosing not to. Slamm profit is still a profit.

There are still some people who are still trying to propagate bitcoin as a currency, a peer-to-peer payment method like what Satoshi created bitcoin. But to be honest, I don't see that coming true, people have made bitcoin an asset and market newcomers only know one thing. Bitcoin is an investment asset, it is not the future of currency. Like it or not, bitcoin has been and is widely known as an investment. I can't claim the idea of bitcoin as a currency has failed, but it's on its way.

Bitcoin could mean alot to many people, some make use of bitcoin base on the area of need they have found it to be a solution changer for them, bitcoin is something that has to be addressed and understood base on the level of the demands in need to those it's been introduced to, some take as a financial freedom currency they can have their privacy from, some invested in it to secure their asset, some make investment in bitcoin base on the needs for them to make profits and so on, how we could explain what bitcoin is are many but the solution applied to us determine the way we define it.

Because for now the investment word is always associated with it that's why many got a wrong impression about it. But if we really read up or dig up some information about it about its use case bitcoin is created as currency and meant to be use for p2p transactions. But for now since this is not well adopted yet and no government on first world country declared it as their alternative currency maybe the impression about that this is an investment might remain to other new comers on crypto space.

more people today know Bitcoin as an investment asset. several countries also regulate regulations regarding Bitcoin ownership as an investment asset, not as a means of payment. it is possible that it clashes with currency regulations in each different country.
many people know Bitcoin from exchange advertisements. that is what makes the perception of Bitcoin as a tradable investment asset perhaps more widely understood by most people.

Please carefully read what you typed before publishing anything; if there are any problems, you will remedy them.  All what you are saying is not straightforward, and it will be difficult for someone to understand what you are attempting to express.

But I see you're attempting to explain Bitcoin in a straightforward manner. Bitcoin is a digital currency (also known as cryptocurrency) whose objective is to eliminate the problems we now have when sending/spending money online. You may believe that the current system is enough, but keep in mind that every transaction must pass through a bank or credit card system, which gets a cut from each transaction. In other words, Bitcoin's purpose is to devise a method to eliminate

1.Try to improve your English.
2.Your comparison is wrong. Comparing BTC to a cup means that your earning or investment potential is limited(or that the amount of BTC, which you can store in a BTC wallet is limited).
I would compare Bitcoin mining hardware to cups full or water, because their earning potential is limited to their capacity(and several other factors like electricity prices, hashrate, current BTC price, other costs, etc.).
Fiat money is a like an ocean of low quality salty water, while Bitcoin is like a stream of fresh high quality mineral water, which you can drink.
This is a way better explanation of what Bitcoin is in my opinion.
 

It's hard to understand your analogy even though I've read your post above many times. You try to give a simple example by saying Bitcoin is like a cup to hold water, but you shouldn't say Bitcoin and Gold are the same, this is a wrong perception in my opinion. You can take examples from anywhere to apply the advantages of Bitcoin, at least the positive things I have quoted from the explanation above, you already understand the functions and uses of Bitcoin.

The point of the example above is that Bitcoin is a place to look for profit, the more Bitcoin you save, the greater the profit you will earn. This is the real goal, try to find a simpler idea to make it easier for readers to understand your intentions and goals.

bitcoin is a completely virtual currency it does not need any other bank or institution to store it, it can store its own value. Bitcoin behaves like gold It increases its value like heaven and can be exchanged at will by storing it it is possible to make a lot of money by selling it if the price increases in the future. The best way to invest in bitcoin is to invest for the long term stick to it never invest more than you can afford to lose. You don't necessarily have to buy the whole coin, you can buy fractions and monitor it you can always add at any time. But will have to wait patiently it is not possible to earn profit if you don't hold it for long term.

Indeed.

Wouldn't it be easier to simply say that bitcoin is a digital currency that was created to be able to make transactions without having to rely on a central authority? Something like that, and from here we could expand on the role of miners and nodes. But the metaphorical form does not help to understand anything in my opinion.

Sounds complicated to my understanding, OP please next time try to make your sentence simply and don't speak with words that one will find difficult to get your information. Bitcoin is a volatile asset with great potential which most bitcoiners have  seen the difference of bitcoin from fiat currency. Bitcoin was created to be an alternative payment method and not just an investment. For you to make profit you must see bitcoin as a digital gold that is more precious to keep it than selling it because of the little increase in price. The longer you hodli,the higher chance you have of making good profit.

You try to compare bitcoin with an analogy and it won't answer people's doubts about bitcoin for some of them who don't know anything at all. Someone who doesn't understand what bitcoin is wants to hear a much more scientific explanation because when they are involved in it they need money. To make sure what bitcoin is is not as easy as it sounds because people need a detailed explanation of the travel process or how to use it properly.

Learn the basics and provide an understanding of the technical stuff to those you want to teach and also tell them the risks, though there is no reason why we need to teach bitcoin to others and if you want to then do so.

I mean in my opinion it wasn't a great thing to teach Bitcoin to someone that wasn't really interested, the only best way to learn Bitcoin is to learn Bitcoin on their own and have their own interpretation of it, and there are going to get that if they already have knowledge on there own and experience it already. I've heard a lot of stories where they tried to teach Bitcoin to their friends and it wasn't really effective, and some are just going to blame you because they lose money on their investment in cryptocurrency. This was all a pretty normal thing that is going to happen if you just encourage them and they are not really interested in it they are just interested in the profit.

The thing is you just need to explain the basics something like here is Bitcoin, it's a digital currency blah blah, and then say something like try to take a look at it and see if you're going to like it. Because in the end if they really wanted to invest on go into Bitcoin and cryptocurrency they need to do it on there own anyway.

I am a long time bitcoin investor although I am not very good, but I still have the basics. But honestly, reading your explanation of bitcoin, I really don't know what you're talking about. Hey mate, you don't have to use metaphors and complicate things. You just need to explain in the simplest way it is money, it is an investment that can bring high returns. That's enough, if the listener is interested in that, then let's continue the story by comparing bitcoin to fiat, as the two are completely opposite. They will have a better grasp of everything about bitcoin.

The most difficult task in the world is to understand the mind of girls. Just like your post is like understanding the mind of girls. However you tried to explain Bitcoin from your own point of view. Cash crops are the most valuable asset for a country in modern civilization. Bitcoin is like a cash crop out there. Countries that export cash crops earn huge amounts of foreign exchange, so you can be on the verge of success by investing in Bitcoin.

Your explanation is not nice for everyone and will be too rookie for some people. If you must talk about bitcoins to someone, Observe the kind of person the person is, so you know the best way to explain bitcoins to them. If you give the explanation that is childish to someone who is mature, they will not be interested, so you always need to understand the exposure of the person you are talking to so you know the best approach for them. To some people, simply referring  them to read a book, watch a video or to join this forum is enough for them.