Topic: Weaknessess of bitcoin (Read 3296 times)

In the current scenario that bitcoin was not yet fully adapted by the whole world including many government in different country, I think its strongest will be its weaknesses. We know that being a decentralized system then bitcoin is almost untouchable and some government used that fraud to attack bitcoin as a tool of money laundering because its always been an anonymous transaction.

I agree with this also. Bitcoin has the most unique characteristics to own, and one of that is being accessible,  for most of the time this is such an amazing thing for us to keep in track with this forum ,on the contrary people who aims to fool other people were not prohibited to this, and anomalies involving fraud and scams cannot be detected given the fact taht personal information were not required.

Weakness of bitcoin is when you are unaware that your wallet can be phished. Cause we all know that many peoples are desperate to get your money inside your wallet so they create phishing site. To hacked your account and to. Steal your money.

No hacking is not easy in bitcoin and it is not the fault of bitcoin if someone bitcoin or wallet is hacked but it is the irresponsibility of ourselves. We do not care much about our wallet then our wallet is hacked easily and if we will care for our wallet and we will create a stronger password and will keep our bitcoin in a more secure wallet then no one will be able to hack it.

What you pointed out as the weaknesses of bitcoin are even what make bitcoin really unique, having a twenty one million limitations on the amount of bitcoin in circulation is what real make bitcoin decentralized and free from all forms of interference both internal and external.

In this case, there are some weaknesses in BTC, among others,
1. Level of acceptance - Many people are still unaware of the existence of Bitcoin. Every day, more and more businesses are receiving bitcoin because they want to profit from bitcoin usage, but still the user list is still small and needs to grow to benefit from network effects.
2. Volatility - The total value of the bitcoin in circulation and the number of businesses using Bitcoin is still very small compared to what it should be. Therefore, small events, trade, or business activities can significantly affect bitcoin prices. In theory, this volatility will decrease as the market and technology of Bitcoin develop. Previously there was never any currency created by itself, so it is very difficult to imagine what developments will happen next.
3. Ongoing development - Bitcoin software is still in beta with many incomplete features that are still actively developed. New devices, features and services are being developed to make Bitcoin more secure and accessible to the public. Some of these developments are still not ready for everyone. Most Bitcoin businesses are still new and have not offered insurance. In general, Bitcoin is still in the process of growing up.

The weakness of bitcoin according to my personal is in terms of security that is easy to do hacking by certain parties and with security and bitcoin there is no control so it is so easy the occurrence of deception and lgi about the price is very volatile.

The weakness of bitcoin that I am seeing is the demand itself, sometimes there are people who can easily believes in what they are reading just like the negative news that is spreading in the news, so there is nothing to blame when the price goes down but ourselves too.

I feel a wallet vulnerable to theft is the most important aspect if we talk about the weakness of bitcoin. Some countries are welcoming the idea but others are restraining their citizens from it's use.
Let's see in coming times where it will take the world. 

As you are new to bitcoin I am going to address what I think are the most important points you have stated. For point one I believe in the supply-demand concept. As there is increased demand but not much supply the price increase which is exactly what will happen as more and more people begin to buy bitcoin. For point 2 I believe that if yes bitcoin runs out then that will be the end of it, there are many cryptos ready to replace bitcoin , and I honestly believe that ETH has the potential to be one of the major coins to take over bitcoin if this does happen.

Leys nof forget that this thread was created and posted by op in early2010 meaning that time bitcoin is just started and people looking for assurances thats why they are seeking for answers in regards about the weaknesses of this coin so they can feel secure...

But as of today this people might have different outviews since bitcoin has proven it self that its not scam and all that he gave is profit,though some losses because of being weak lol

Very risky lost or stolen
As a virtual currency, bitcoins are stored in the form of digital files or known as wallet files. In use, the wallet file is similar to the cash storage wallet function, that's the bitcoin weakness

Production and distribution isn't connected to its volatile nature as the production of bitcoin is designed in such a way that it controls inflation rate of bitcoin and also the production rate of new coins gets halved in about every four years this is limiting the rate of production and hence controls the volatility of bitcoins and thus a stable price is made, but the main concern is the market FUD and negativity about bitcoin in the minds of people and that is responsible for the fall in price of bitcoin every time as whenever bitcoin gains momentum and starts to rise then news agencies start producing bad PR of bitcoin by saying it a bubble and that it will burst soon and due to which investors loose their confidence in bitcoin and sell their coins taking the market into a bearish market.

Like every other currency Bitcoin has also some weakness  which make it bad in the economic world. First is its slow transaction facility. ;)p Bitcoin network can't take the load of heavy transaction. Due to this many of its user suffer. Although Bitcoin is a advance thing but it is still not clear to many people. It has lack of understanding skill.  It volatile nature is one of its biggest weakness. Many investors looses their hope upon it due to this volatile nature. Another weakness of Bitcoin is its production and distribution which in ultimately connect to its volatile nature 

I do not think this is a bitcoin weakness, but it is precisely this that makes Bitcoin alienate those investors that it has a high price on the trading floor, Attracting hackers who are interested in money, they are ready to attack and steal money from investors.

I still havent found any weakness or drawbacks of btcs LOL

Bitcoins are overall good just the weakness is that its virtual coin and cant be felt or seen

I think the only weakness of bitcoin is that market capitalization is not big enough. When market capitalization is not big enough, the sharks can shake hands to control the market.

The volatility bitcoin price is not a weakness for me , but it is an advantage. It is not imagined if bitcoin price have a stable price, most likely bitcoin price will not reach $100 till now. Many investors who come to this place with the reason for bitcoin prices are volatile. With a volatile price, bitcoin offers a short-term profit.

Volatility bitcoin price will always occur,  remembering bitcoin price depends on supply and demand. Everyday there will always be a day trading that will give effect to the price. If you think that volatile bitcoin prices are a drawback, most likely you have never gained profit from this situation.

The principle weaknesses of btcs is that it favours no legal empowerment and so everyone including criminals too acceses the system

Rather than weakness it is good to analyze about the way its been projected to the universal use. Just consider the media, they very rarely indicate the positive images of bitcoin. Whenever a news is being telecasted in media, automatically it carries a negative statement behind it. When this changes, automatically the negative weakness gets saturated.

There are many weaknesses of btcs they ca be sited in a book! But the most irritating is its roller coaster nature. none can predict its

There's  still a small percentage around the world that uses bitcoin as far as I know. Although its growing at a astronomical rate but I don't think we even have reached like 5-10% of usage globally.

Of course there are weaknesses and this are being taken advantage of hackers, scam artist , criminals and even terrorist. That's why government is very adamant to even accept bitcoin. although it has advantage for most of us, its just sad that there are also a lot of people who exploited it to their advantage.

Its not true. Bitcoin is not small infact many countries worldwide are now using it already. Bitcoin today is now verry famous and verry well known due its amazing features. However bitcoin do have weaknesses or disadvantages, few of them is bitcoin wont possibly work without the help of internet connection because bitcoin is a digital currency which means it needs an internet and electricity as well in order to operate the device.

BTC is very small in the real world! People in many countries in the world do not know BTC, there is no way to use BTC!

And BTC's impact on the real economy is limited!

BTC has no credit endorsement, and no one endorses and guarantees him.

The price of bitcoin is determined by the relationship between supply and demand, which means it is highly speculative.

This can lead to price fluctuations!

The weaknesses of bitcoin isEveryone calculates at the same rate, New wallets vulnerable with old passwords via backups. Coin destruction..

I think btc main weakness is its price volatility. Many wealthy individuals already have a hold with alot of btc which sometimes lead to price manipulation. It could be said that it is hard to predict what would happen next with its price and this issue will continue if there is no action to  take.

In all of the goodness that bitcoin can bring to us. You only see its weaknesses. People aren't contented in the positive side of bitcoin but they usually look to its weakness. Bitcoin already proves that it is good in our  economy as well as in ourselves.

Bitcoin became more popular,transaction fees and transaction times have become an issue.This can leave your bitcoin stuck in the system,unavailable to either the sender or receiver until the transaction is confirmed.Instances of transactions being held up for several days have been experienced by some.There are methods to un-stick these transactions,but this is not for the beginner,as bitcoins could be lost.

For me, the weaknesses of bitcoin is that if there is no electricity and not internet connection because bitcoin can't work for this is basing to their workers to make a post of their answers.

But this isn’t a weakness I think. If you say, there wouldn’t be a machine so how can you be making such big number of garments in industry plant every day. When there is no producer, how can you even think of a product? Likewise, definitely bitcoins are produced on internet and managed and controlled in a specific way over internet, so if you are talking like this, I must say you have to review your knowledge.

Wow bitcoin is fraud? The imagination is also far from what it seems in the reality. If it would have been one they you would have understood that already. If I'm getting real cash in my hand after trading the bitcoin then it's real thing mate.

Low mass ? This has been discussed many times that bitcoin is not a single unit itself but it is made of million satoshi. It will never matter if the mas is low but we do have Satoshi which can be valued per unit and as much as we want if demand goes off the roof someday.

i dont know detail about bitcoin,but i think this is a good information,every thing must have any risk and weakness,what ever is that,big ups 

you mentioned there seems to be less and very fatal bitcoin weakness is internet and electricity, just imagine if there is no internet then bitcoin will not be created and will not be able to walk.

See our of all points you have mentioned I think the only points which I think are really a problem with very jist of bitcoin is the point number 1 and 2. While 1 has a plausible explanantion the 2nd doesnt. Actually the cap of 21 million was created to actually make sure that there isnt too much load over the system as more and more bitcoin will arrive. As people use them network congestions might also occur extensively. While the best explanation for point number 2 is because they might havent thought at that time that its price could reach so high to make every sat valuable. But yes we still will be fine dealing in 8 decimal points as price hasnt gone too high.

I simply dont see the 21 million limit could be the weakness, actually that is the strong point of bitcoin, when.people.want bitcoin and it's limited then the price will become more valuable, and people always complain about early and late adopter, early adopter deserves their money because they invest something that got high risk and believe in bitcoin potential, if you think that is unfair then you can try to become the early adopter of an ICO, that is how the early adopter felt when invest in btc and Bitcoin is not really wide adopted yet, if you want to spend a lot of things with btc go to Japan, fraud is the one that we need to pay attention and nothing could be done since its decentralised system

You nailed it sir. I agree with your thought about weakness of bitcoin. Anyway, these weaknesses is nothing compared to the benefits that bitcoin brought to most of the investors. And these are the happy faces paints after receiving a huge profit from investing to it. This is the sound of positiveness that bitcoin has to offer. One of the best happenings on the lives of the investors as some of them are getting rich and wealthier its because of bitcoin. And this is not a contest or competition. It is a challenge for yourself if you are able to coup up with the risk in investing bitcoin. If you are a risk taker and will not afraid to fail then probably you are the one who is earning now in bitcoin.

Anyway, talking about the weaknesses of bitcoin, I have a question.

Would the bitcoin network resist to an attack consisting of flowding the network with request (I think that's called a denial of service attack) ?

I mean, what if a node starts sending huge amount of dummy transactions between two addresses that it owns ??

Could it block the whole network ?

with high volatile makes people afraid of investing in bitcoin. besides it has not been legalized from the government, so there is no legal protection for investors. government affraid because of its anonymous nature many chance btc misused

Did you guys just digged up a 8 years post? This post was made since 2010!   We seriously need to be looking at the date of posts before we comment. 'Weakness of bitcoin' ? the topic has been discussed numerous times in this forum. Our contribution is needed in the recent topics not the old ones. And I bet the guy who created this thread might have even forgotten he did.

Okay...in some way, my post is bumping the thread too. 

First, here are some problems that people have mentioned about bitcoin as a payment technology and currency system, that I think have some merit rather than being confused:

* Issuance – the issuing of the currency is iniquitous and mining is not possible without specialist resources so it privileges those with wealth, while it is not connected to work of value beyond database processing

* Fees – miners now set transaction fees so in time this could increase and serve to extract rent from everyone using it as their means of exchange

* Speed – the blockchain is growing to a size where it is slower to confirm transactions, so not suitable for all transactions

* Asset-like & deflationary – the currency is treated as more important than real wealth, yet we need currencies that are in sufficient supply to enable us to transact as we choose

As a matter of fact, the utility of crypto currencies is increasing with the passing time. Since it is a revolutionary concept in the world of economics and currencies so it is taking some time for its complete acceptance. The traditional trading and banking systems are afraid of it and this is also one major reason why governments are reluctant to support it. It will render complete freedom to people.

bitcoin also has problems from the technology. Firstly, anyone who has access to the Bitcoin password (or private key) has the authority to spend on the Bitcoins it opens. The loss of a password means losing all Bitcoin.

Second, the linear growth in the block chain that forms Bitcoin results in an exponential growth in the calculations required to process and verify transactions. Transactions that usually take 10 minutes now take hours.

There are many weaknessess of bitcoin.The first weakness of Bitcoin is it's volatile nature. There is no stability in the price. Sometimes the price is too high and sometimes the price is too low. We can see it by comparing it's current price with it's price in December 2017. Another weakness of Bitcoin can be the amount of trust people has on it .No doubt it has gained alot of popularity    in last few months but people are still not sure to be a part of Bitcoin community .This is because of it's volatile nature and the amount of support it get from government.Many countries are still not declaring it as legal because they can't control the transactions made through Bitcoin.These are the two main weaknessess that I think Bitcoin has.

Bitcoin has been a been a hot topic of discussion ever since its popularity led to a surge in its stock prices, people have gone from not trusting the cryptic crypto currency to heavily investing in it due to its popularity.
However all of this is merely the bandwagon effect as this currency doesn't actualise its value similar yo other currencies. Its acceptability and adoptability as a currency is very low as people always have reservations about its volatility.
This has rendered this currency as something with just a high percieved value and low utility.
It's biggest weakness is its inflated stock value and its scarce adoption as an actual currency.

Some of the weakness of the coin are:
Blockchain of 10 minutes. Due to this transactions take more time. Other coins like litecoin have a blockchain of 2.5 times making their speed 4 times more than the crypto.
Fees of the transactions are high.
Volatility of the coin stops it from being a mainstream currency.
The coin is not accepted throughout the world and is illegal in some countries.

The main weakness and lack of bitcoin is its slow transactions with a high network load, when there was a peak I had to wait for the transfer of my transaction 1.5 months, which of course I was not happy, that's why I had to refuse from bitcoin at all and switch to more promising altcoyins

Before comes on weakness' of bitcoin we got to know everything has two aspect positive and negative.
Bitcoin has positive and negative also.
Here we just talk about negative

1. Yes i agree transaction can't be reversed.
2.  There is no Third party involvement like in banks we have policy and Central bank monetary.
3.  Bitcoin anonymous can be used for funding terrorism.
4.  One country behaviour can make effect on whole world bitcoin price eg. China banned exchanges and bitcoin    price    had fallen

One of the biggest issues is that it's libertarian in concept.  The masses who don't want to face the difficulties of free markets will say it's unfair and they will look to central control to fix it.  Like you say, the masses will want nothing to do with the learning process of how private keys must be managed,  they just want brain dead simple.  They will look to exchanges where the dirty work/accounting can be done and governments will impose regulations on those exchanges, with capital gains tax withholding being a real possibility.  When a hack occurs and people lose their investment it will always be the fault of someone else and they will demand regulation and there will be any number of politicians who will promise to do just that, regulate it.

Governments will have the power to make crypto a blackmarket only system.   It won't go away but it could become a use it at your own risk system.   Those in Venezuela who are using it face prison and some have already been caught.

I think way to many people here are underestimating the power of monster governments  like China, US, EU.  Governments have the power to confine this stuff to the criminal underworld.  If a way is not found to payoff governments, growth will be very slow.

There is two types of business adapting bitcoins - new, bitcoins-only, businesses, like mine https://betco.in .

And existing businesses adding bitcoins as a payment option, like mine http://store.gifti.us

Keep in mind, that "plug" new payment option to already developed and running websites usually not that easy and therefore owners allow manual only payments. For example, so far I did not receive any order on products from my gifts store (with bitcoin as a payment). Does it make sense for me spend 40+ hours on developing custom module for bitcoins payments then? I do not think so. So I've put page about accepting bitcoins on my site and done with it for now. If I will see more traction - I'll be interested to develop payment module in order to save time for fulfilling orders.

So keep this in mind. Bitcoins is still in very-very early adoption phase right now. You can't expect polished everything just yet.

You forgot another key aspect of fluffy web 2.0-style design: Rounded edges.

Seriously, all those sharp 90-degree edges on bitcoin.org are probably scaring away whole legions of potential early adopters. I mean, somebody could poke their eye out!

On the other hand, web 2.0-design seems to be going out of fashion slowly. When the unashamedly pointy London Olympics logo was unveiled in 2007 it was ridiculed, in 2010 derision and outrage have made way for indifference, and I bet by the time the Olympics happen in 2012 people will say it was ahead of its time. Even the iphone has started becoming more angular again.  

I agree wholeheartedly on this point. Mind you, Bitcoin is still so young and in beta, that I take the appearance of Bitcoin with a grain of salt. But, if I had not been interested in the subject, nothing would've called out to me to further investigate what it's all about.

I'll be the first to say that I am one of those that go "Ooh" and "Ahh" at a new shiny, web 2.0 type design. Something as simple as a short description, a short tutorial video, and nice looking fonts on the homepage and you have the attention of most average users if your idea seems noteworthy. Something needs to be there to draw a person in, and it's easy to see why many are put off before they even get too interested.

It's not odd at all, it's very much how money works in the real world.  BTW, you are an early adopter, just not as early as some others.  Everything is relative.



Bitcoin is intended to be a cash-like system for online commerce.  It does this very well, even at it's early stage.  However, there is nothing stopping Paypal (or any other payment processor) from adding Bitcoin to their existing currencies.  Someone will do it eventually, but that is not the point of Bitcoin.  That fraud protection has an overhead that Bitcoin does not, allowing a customer to buy "direct" from an online vendor that he already trusts, or send money to a friend without cost.  As for the possibilities of fraud, "Let the buyer beware".  Would you buy a Rolex from some guy on the street for half price, unaware that it could be a fake or stolen?  Most of us would not, but it's a possibility with paper money.  Would it be wise to offer that same guy your credit card as payment?  I wouldn't, but that is exactly what VISA has to deal with regarding online commerce, which is why the overhead of fraud protection is quite high.

Such a thing could slow it down, but not break it.  Those are exactly the conditions that transfer fees come into play, and the attacker would have to be willing to keep paying the block generators for as long as the attack continued.  Eventually, it becomes too expensive to flood the network with friviolous transactions.

The divisibility of bitcoin is contained by 64-bit integer size.

Which should be sufficient for a very long time.

Bitcoin is just as much unfair as is any way of hoarding value.   Should new born children consider that life is unfair because all wealth belongs to adults ?  No.

Right now if you say that you buy some bitcoins with "real" money or even with gold as I do, some people will think you're just a fool.

And yet, if bitcoin was to gain any success in the future, those very same people will insult you and say that it's unfair that you own that many bitcoins.

This is just non-sense.

The 21 million is "only" a client limitation too. There is nothing stopping you from using a modified client where you change that parameter to 42 million. But then most of the network won't accept your payments anymore. For it to work you would need to convice the majoirity of users to switch to your client, and they are not likely to do this if their Bitcoins lose value as a result.

Increasing the divisibility, on the other hand, is something that would benefit all users in the situation that 1e-8 becomes too big, so if the developers introduce that modification it is very unlikely to be rejected by large numbers of users.

Good user experience is very expensive to develop. Bitcoin is still in beta stage and the client developers are currently focusing on the first priority, namely making Bitcoin reliable and secure, rather than making the client do too many things poorly.

But there is no reason that a non-geek user should use the Bitcoin client itself. A web interface for Bitcoin will sacrifice some security and privacy for useability, but that will serve most non-geek users' needs.

I think that eventually, the client will only be used by a core of geek users and "banks", while the average joe will probably rather trust a third party with the technicalites of securing the wallet.dat files and access Bitcoin only indirectly through the third party's interface.

Bear in mind that even the average joe would have a strong incentive to make an effort to learn how Bitcoin works and how to safely back up his bitcoins if they were worth the equivalent of $100,000.

By the way, a web interface for bitcoin already exists:

https://www.mybitcoin.com/



Well, yes, it's unfair in the same way that early investors in Google earned a 1000-fold return on their investment without working for that money "the hard way".  But still, they were rewarded for spotting a promising technology and for being prepared to back it with a high-risk investment.

Fact is, the newly created Bitcoins need to be initially distributed somehow. If you can think of a fairer way then giving it to those who are prepared to dedicate CPU cycles to make the network more secure, let us know.

What would be fairer? A set amount of Bitcoins for every person on the planet?  That would create its own set of problems and unfairnesses. Who pays for this huge administrative task? How do you prove that every person has received their Bitcoins? etc.

Anyway, talking about the weaknesses of bitcoin, I have a question.

Would the bitcoin network resist to an attack consisting of flowding the network with request (I think that's called a denial of service attack) ?

I mean, what if a node starts sending huge amount of dummy transactions between two addresses that it owns ??

Could it block the whole network ?

Indeed, that's a good idea. Thanks.

Thanks a lot. I thought that 1e-8 was a hard algorithmic limitation (just like the 21million). Indeed, if it's only a client limitation, there's no need to worry.  The granularity is infinite and it solves completely my point 1 and 2.

I like your post because it's easy to read since with your strict numerotation of themes.

1) Low monetary mass.

Non issue.  The bitcoin is just a unit of measure.  Each bitcoin is divisable in 10^8 parts.   More than enough.

2) Fixed monetary mass.

That's not a weakness.  That's the whole point of the thing.

3) geekish interface

Don't care.

4) Early/late user unfairness

Don't see any unfairness in that.

5) Exchanges

Give it time.

6) fraud

Yeah, bitcoin doesn't provide any third party or compensation service.  That's not its goal.  But such service can be provided by someone you trust.  It's the same for all money.

21 Million is just an arbitrary number. It has no physical meaning except for serving as a reference point. It really doesn't matter whether that number is 21 Million, 400 Billion, or 888.888 Trillion - as long as everyone on the p2p network agrees to adhere to that precise number for the history of the currency.

If 21 M "feels" too small for you, then think of them not as 21 M Bitcoins but 21 Trillion Microbitcoins (which they will eventually be called anyhow if Bitcoin ever goes mainstream).

Also, in the unlikely event that the smallest unit of divisiblity (1e-8 Bitcoin) becomes too large for everyday transactions, the client could easily be modified to support even smaller divisibility.


Yes, some money will disappear, but the more money disappears the more valuable the remaining money will become, incentivising people to be more careful not to lose it.

We will never run out of Bitcoins, since however few of them remain, they can be divided indefinitely if need be.

Addressing points 1 and 2, bitcoins are scarce and infinitely divisible.  These are strengths of bitcoins as stores of value.  Exactly what problems did bitcoins help you solve if you identify these features as weaknesses?  and don't worry about lost bitcoins.  they make every remaining bitcoin worth that much more.  like if you lost a dime, i would be slightly richer and guard my dime just a bit harder.

3, just wait
4, i am a late adopter to gold (i never mined any, but lots of others have).  i'm fine with that
5, sell some stuff for bitcoins, people might buy it from you
6, don't get frauded

As you said, this has been discussed before, but I will try to answer some:


Apart from the discussion if it really is enough or not, there can be parallel bitcoin networks. Its not an idea that is very popular around here (for obvious reasons) but I think that as the system starts to gain importance there will appear competing networks, most probably local networks belonging to a geographical area. There is no problem in several bitcoin networks at the same time. There are already exchanges between dollars, euros and bitcoins, and they could exchange between the different networks.


You are probably right in this one.

Also, firefox or chrome plugin that allowed to pay by just clicking a link would be a step forward. There has been some discussion around this but nothing has happened.


First, from a moral point of view, the people that is here earlier are taking risk and spending time in something that could develop into nothing. There has to be a reward for early adoption, right? I mean, jumping in the wagon when everything works is the easy task. Being here from the beginning when almost nobody was using it has merit. Also, remember that nobody is stopping anyone from starting a new bitcoin network. Satoshi has open sourced the software he has created.

Second, from a practical point of view, people will keep adopting Bitcoin because of different reasons. One is to show the finger to the banking system. Two, because as more business accept Bitcoin people will find them useful to buy stuff. And Bitcoins will behave better than any government fiat currency (it wont lose value), therefore they will find an incentive to use it. Also there is the pesky part that since it is an anonymous currency some people will trade in it and will decide to not pay taxes. This is not encouraged here, but can be nevertheless an incentive.


This is an important issue.


Having a decentralized system has it advantages and its disadvantages. But there could be in the future a similar system using bitcoins.

Hello,

I'm fairly new to bitcoin but really interested as it solves a problem I was trying to solve for years. Nevertheless, there's some weaknessess I'm foreseeing. It has probably been answered before but I could not find any answers on this forum.


1) Low monetary mass.

21.000.000 seems really low. The lowest fraction is 10e-8. Why such a low limitation ?  I understand perfectly the fact that generation should be harder and harder but I don't understand why limit it to 21.000.000.

2) Fixed monetary mass.

In the long run, it means that the money will disappear. Crash disk, human error. Even real money is destroyed every day. What will happen if we start running out of bitcoin ?

3) geekish interface

I'm a user experience/human machine interaction guy. And bitcoin is currently just plain geek masturbation. There's no way any "normal" user would use that.

This is not a unsolvable problem. But it should be taken into account more deeply. Users don't care about underlying concept, P2P, cryptography. They just want a secured account somewhere in a "bank" and a pocket account that they could afford to loose. Everything else should disappear.

The key/anonymity concept is also very hard currently (and it could be non-convenient). What if you want to send some money to your family to wish an happy birthday ? What if you want to see which customer has payed what ?

(well, it means that I could work myself on that particular problem)


4) Early/late user unfairness

I've read that some users generated 150bitcoins in a few days. According to the calculator, I will have to wait 60 days before having my first bitcoin !
Would you join a monetary system if you know that a few people already have approximately half of the whole monetary mass ?  Hmm, it seems rather odd, isn't it ?

5) Exchanges

I've browsed the list of websites supposed to offer stuffs against bitcoins. Only one was really displaying "bitcoins accepted". All the others were standard ecommerce websites with no mention of bitcoin. What could I do if I wanted to use my bitcoins ? No idea yet on how I could use them.

6) fraud

What if I pay for a service and it appears that it was a fraud ? With VISA, you can get your money back quite easily. With bitcoin, it is just impossible. A transaction is a transaction an it is impossible to find the receiver afterward.


Well, this is a lot of questions, don't hesitate to redirect me to related topic in this forum.