Why is Bitcoin the best asset for investment currently? - page 8.

tranthidung

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Farewell o_e_l_e_o

Quote from: Don Pedro Dinero on April 09, 2024, 09:22:16 AM

I would like to introduce another point here that has not been touched upon in either the OP or the comments above. The supply of bitcoin cannot be changed depending on demand. If there is more demand for gold or another commodity, the price goes up and since it is more profitable, producers start producing more, which causes, over time, the price to go down. Conversely, if the price goes down, producers stop producing so much, or some stop or go bankrupt, and as production is reduced, the price eventually goes up again.

With same available technologies and devices, producers can boost or reduce production rate like gold, oil.

One more point, with developments of technology, there will be better capacity to dig deeper into the Earth to produce more gold and oil, even can get gold from asteroid, other planets and so on. It will be a story in future but we can not exclude it with gold.

Plaguedeath

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"Someone can mine more gold" is exactly same to "Someone can mine more Bitcoin", do you think all Bitcoin has been mined? Cheesy

Quote from: livingfree on April 09, 2024, 08:27:46 AM

The gold investors and fans would argue about it having limited resources or supply too. But no one knows what measurement and what exactly is the limit of it.

Because gold has no exact maximum supply, but we're know it's not easy to mine gold, it can be used for jewelry or other thing and that's make gold is valuable. Actually gold can be created with other elements, although it's not worth due to the cost is higher than the gold price https://www.wtamu.edu/~cbaird/sq/2014/05/02/can-gold-be-created-from-other-elements/

Don Pedro Dinero

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The first decentralized crypto betting platform

Quote from: tranthidung on April 09, 2024, 09:04:45 AM

Oh seriously and really?

Bitcoin has been creating more, with its each new block. What will happen with each Bitcoin block found by miners since 2009 so far and even the halving next 10 days?

Many more new bitcoins will be created from future Bitcoin blocks. I know what you implied but you expressed it inaccurately. You can say, there will be not more than 21M bitcoins ever because the Protocol coded by Satoshi Nakamoto.

Good nuance, although it is understood what she meant. I would like to introduce another point here that has not been touched upon in either the OP or the comments above. The supply of bitcoin cannot be changed depending on demand. If there is more demand for gold or another commodity, the price goes up and since it is more profitable, producers start producing more, which causes, over time, the price to go down. Conversely, if the price goes down, producers stop producing so much, or some stop or go bankrupt, and as production is reduced, the price eventually goes up again.

This would be like this in very broad strokes but what I wanted to exemplify is that this cannot be done with bitcoin. There is a total production limit of approximately 21 million and there is a fixed production per mined block that cannot be varied either by supply and demand or by price variation.

tranthidung

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Quote from: Princess Leah on April 09, 2024, 08:00:46 AM

As you can see, unlike other Assets, Bitcoin is a decentralised asset and can't be created more

Oh seriously and really?

Bitcoin has been creating more, with its each new block. What will happen with each Bitcoin block found by miners since 2009 so far and even the halving next 10 days?

Many more new bitcoins will be created from future Bitcoin blocks. I know what you implied but you expressed it inaccurately. You can say, there will be not more than 21M bitcoins ever because the Protocol coded by Satoshi Nakamoto.

21M is a rounded number, there will be 20999999.9769 BTC in total supply.

[1] https://en.bitcoin.it/wiki/Controlled_supply
[2] https://blog.lopp.net/how-is-the-21-million-bitcoin-cap-defined-and-enforced/
[3] https://river.com/learn/can-bitcoins-hard-cap-of-21-million-be-changed

Smack That Ace

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Why is Bitcoin the best asset for investment currently?

We don't need a long explanation, bitcoin is considered the best investment asset today because there are stories that it has increased in price millions of times, many people have become millionaires by holding it for a few years...is being spread around the world. Many people don't even know what bitcoin is, how it works, what its supply is...they know nothing about it but they know that it can keep going higher and they invest in it.

I never see these posts or questions during bear season but when cow season comes, there are thousands of questions similar to this all over social media. This is also a sign for me to realize that cow season is really approaching. Cheesy

livingfree

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The gold investors and fans would argue about it having limited resources or supply too. But no one knows what measurement and what exactly is the limit of it.

Compared to Bitcoin, we all know that it's got 21 million supply and the last Bitcoin to be mined will take 120+ years before it happens.

With all of the comparisons and aspects of Bitcoin, it's no doubt a phenomenal asset that everyone should look at.

Princess Leah

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Lots of people especially those with little knowledge about Bitcoin and it's mode of operations, would be wondering why Bitcoin is the most talked about crypto asset to invest on currently but this image below would help enlighten them with a clue to what they need to understand.

Further more in summary of what the image above portrays, based on the bitcoin halving Bitcoin becomes more scarce and it's value surges very high, therefore since we're in the season of the bitcoin halving investing in it currently seems like the best decision anyone could take currently, if you noticed many industrials and financial institutions are acquiring more Bitcoin currently instead of selling so it's in the best interest of individuals to take advantage of this information and invest on Bitcoin while it's not yet very late.

As you can see, unlike other Assets, Bitcoin is a decentralised asset and can't be created more, but increases in value when it's price is halved. But note that Bitcoin as an asset is very volatile in nature, therefore you shouldn't invest all your savings but a spare money you could lose without getting very emotional. However everyone needs to take advantage of this years halving and take profits to prepare for the next very early.

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