Gold isn't a currency. Look up "scarcity rent" and explain to me why you'd like the value of money to be propped up by it.
Gold isn't a currency. Look up "scarcity rent" and explain to me why you'd like the value of money to be propped up by it.
"After all, I am strangely colored."
You obviously do not understand the importance of Gold. Whether the markets crash or values drop and world currencies become obsolete. Gold will always be gold and worth a lot. The value of gold has nothing to do with propping up other currencies. Gold in and of itself is the most valuable precious metal we have that's worth trading outside of current monetary values.
Gold has and always will be a currency, look at history and how many countries, kings and queens uses gold coins. Coins made of gold as their form of currency for thousands of years. I find it funny that cause we use a plastic/paper dollar today, you think Gold is not a currency, lol.
It's a battle of definition. You're both right because you do not look at the same things.
Well gold has its value because it's stable, rare/hard to extract and you can shape it indefinitely. Better than diamonds that burn and can't be shaped however you like.
All the things I really like to do are either illegal, immoral, or fattening. And then: Golf.
True David. My point was, I place more value on Gold than I do on a virtual currency that I have bad vibes about.
http://www.local10.com/news/money/Bi...v/-/index.html
Though, really, this is far more interesting article:
http://www.garynorth.com/public/11828.cfm
I kinda like the way he compares it to a ponzi scheme the scale of Social Security.
Last edited by Assertn; Sun, 12-01-2013 at 12:57 AM.
10/4/04 - 8/20/07
He also forgot to mention that Banks will not not ever back the Bitcoin as a currency real or virtual. Plus there needs to be a board of investors to over see the bitcoin and how it's invested even though the bitcoin only form of cash flow is the as he nicely said "Fools buying in to the mania of Bitcoin".
My theory is, any currency made out of nothing is essentially worth nothing. Bitcoin was made as a virtual trade between Geeks, but it has zero substance other than hoping more fools buy in to the Bitcoin, and at $1200 a Virtual Bitcoin that can't put food in your mouth or pay your bills, it's a lifeless currency. So unless every Bank and Billionaire in the world wants to support it, it will never become more than a legal world wide Ponzi Scheme done through the internet.
The guy is right, as more fools buy in to and the smart people cash out, there will be winners (Cash out early people) and very bad losers (People who buy late at a high cost) who will probably go bankrupt.
Currency its a means for trade. It shouldnt have any intrinsic value. You dont save $/€ because you hope they get higher you do it so you can exchange those "tokens" for goods/products when you need them or when you have produced enough yourself (saving "tokens") to exchange all that work/goods/products at what markets (billions of similar operations throughout the whole world) considers its fair value.
Best currency should be price stable with a little bit of deflation due to the use/loss of it during time. Right now its obvious that BTC cant be a real currency. Not until it stops being used as a stock/inversion and this mania stabilizes or bursts. Question is will it be reputable enough after that "burst" to be accepted as a mean for trade?
The path of excess leads to the tower of wisdom
One more thing making it a laughable as a currency is the fact it requires random people to build separate fricking machines to mine it for it to work, assuming what poopdeville said is true. Should the suckers get bored of wasting electricity and good PC parts for little profit (this late in the game), the whole thing would apparently collapse, then.
Even as trade token, the Bitcoin requires outside "Fools" to buy in at a $1000 a bitcoin. WTF am I going to do with a $1000 Bitcoin? What will anyone do with one bitcoin? That in itself makes it a currency as real life money being exchanged for a virtual currency. If they had gone about it differently, then I might be more inclined to believe it's not a Ponzi scheme.
So far it seems like criminal organizations are eyeing it's possible potential and people looking to cheat their taxes, which will inevitably kill it as a trade token or any value of it as Tax dollars are used to create jobs and pay for infrastructures in countries, here in Canada anyway, cant say the same for the rest of the world. I just can't take it seriously based on the criminal activity around it and how people are trying to use it.
wasn't the main selling point of the bitcoin that it was distributed and anonymous?
sig made by Itachi-y2k5, thanks, dude!
Currently Watching: probably a show directed at 9 years old girls, lets be honest.
You know the important distinction between Batman and me? Batman is fictional. In real life, there isn't always an alternative.
It's anonymous, you can exchange them worldwide and you do not have to manage physical bulk for large quantities.
I guess that for some people these advantages outweight the drawbacks for fast transaction.
All the things I really like to do are either illegal, immoral, or fattening. And then: Golf.
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