Topic: What is the purpose of a coin? (Read 160 times)
Apart from being traded into bitcoin and later into fiat, I don't see any other practical use for cryptos aside from Ethereum's smart contracts and nothing more. Sure the tech might sound interesting but where would it find its own practical use when there are already established and much better applications out there that does the same job without spending any dime for you to use it? IMO, technological "improvements" on other coins are just another way of sales talk from the devs and coin creator to lure people into buying their bags. Idk, I'm also a crypto holder so I have mixed feelings about it but hey, at least something's improving on the tech and improvisation of people!
Cryptocurrency as a concept serves a whole lot different purpose where its people's money for the people by the people who took their own inherent risks, gained and lost. What i really mean to say is that decentralization as a parallel economy is meant to be the beginning of a new economy that will rid the mass off the clutches of capitalism.
Shares in the world are worth approximately 100 trillion USD and hardly any folk are involved in that money, except to pay for the product and fattening the purses of the ones who are already dominant and represent rich.
Shares in the world are worth approximately 100 trillion USD and hardly any folk are involved in that money, except to pay for the product and fattening the purses of the ones who are already dominant and represent rich.
Each coin has a different purpose. Some are used for daily exchange as currency. Some are specific to a country's people. Some are for gambling and so and so the list goes on.
Altcoins exist for many reasons – you can research why each exists by reading its white paper (a document that describes the coin and why it exists, plus what their plans are for the future).
If you check out https://coinmarketcap.com/ you’ll see the market capitalization of hundreds of coins, so there’s obviously some interest in them.
>> I'd say it's equatable to a stock,
You’re right in that some people treat them as stock, hoping the value will rise over time.
>> Is it just a waiting game in hopes that a few eventually become widely accepted as currency?
Basically yes but it also depends on the cryptocurrency. For example, Ripple is not only a cryptocurrency but also a platform for inter-bank transfers so people are betting on the banks accepting Ripple for transfers.
You can find out more about each coin by clicking its name on https://coinmarketcap.com/ and then clicking through to the website or announcement thread for background information.
I'm getting to a point where I'm understanding the technology and applications behind a lot of the coins, but it begs the question for me, what is the purpose of the coin? Other than actual Bitcoin, which is slowly gaining some utility as an actual currency, why do coins for the thousands of other alt coins exist? What do they represent? They have essentially no utility as a currency. I'd say it's equatable to a stock, but I don't think that's right either. In a stock the stock is initially offered by the issuing company to raise capital and is later traded among others. That doesn't seem to be how crypto currencies work. The whole point is there is no bitcoin company or ethereum company, etc. Is it just a waiting game in hopes that a few eventually become widely accepted as currency?
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