Posted on 12/07/2013 11:23:34 AM PST by Errant
The Bitcoin price last traded at USD 790 (this morning) which represents a 37% price crash against its trading high of 1242, vaporising the wild dreams of just a few days ago where some reported that the virtual money could be destined to go as high as 1 million! Whilst never realising the difference between what is virtual and what is real, instead in large part bitcoin pumper's remain in denial as many have been seduced by the golden coin image to imagine that bitcoins and gold are the same or similar when the reality is the exact opposite. Bitcoins is fairy dust, it is perceived as being very valuable but a small gust of reality is enough to make it disappear.
(Excerpt) Read more at marketoracle.co.uk ...
I am interested which is why I asked. I will take a look at those sites when I have a bit more time. I take it the answers to my questions are too complicated to put into a simple summary.
I don’t get bitcoin at all. Sure I could have been a paper millionair if I bought them up. Sure I could have been a paper facebook (invited to buy stock pre IPOs) and Twitter millionaire. BUT... It’s all vapor. If I can’t hold it in my hand or plant a garden on it I don’t want it. If it gets really bad I have skills and knowledge to trade. What are you going to do to get your car fixed if the power is out for two weeks? Bitcoins? Facebook shares? Twitter shares? All vapor and it can all be taken away in a millisecond by hackers or Obama’s internet kill switch.
It is a concept that takes some time to understand. There are plenty of sources of good information already available online. Youtube videos are another great source of information. It will take a bit of effort to understand. It’s abstract but easier to understand than how fiat works, if that’s a consolation. ;)
My questions have nothing to do with the concept of bitcoins and neither of the links you gave me have anything that answers those questions.
Think a way to replace fiat currency in the future, if the bugs can be worked out.
In the mean time, it isn't for everyone. Certainly having essentials for survival should be at the top of anyone's list. After that, its good to have other options of which Bitcoin might provide for some.
Those links offer technical insights which I thought you were looking for as your questions suggested. You have to do your own digging. Follow the links at the sites above, especially the last one.
Ammunition is also useful for procuring food.
I did follow the links and I found nothing there that answers my questions. Thanks for trying though.
There are a 122 pages of technical discussions threads pertaining to just bitcoin at the second link I gave you alone:
https://bitcointalk.org/index.php?PHPSESSID=fic9bg7qdu6ee38qsmgvrk3sv7&board=6.0
I was interested in the bitcoin concept and understand it well enough but I wanted a little more background information. But I'm not so interested that I want to spend hours digging for what should be in a basic prospectus. If the info I was looking for isn't easily available and easy to state then it seems no different than the secret "primary holders" in the Fed Reserve system.
I'm not a Bitcoin detractor -- the jury's still out. But it's really nothing but a fiat currency, itself. Yeah, the quantity of the "things" is supposedly limited, but it's still created out of thin air, albeit with more difficulty than Bernanke creates dollars.
I gave you a link to a google search of your particular question about what math problems do bitcoin algorithms solve?
One of the results gives an extremely simplified sketch of the problem.
I agree it needs more testing. I disagree that it is fiat. It’s sumpin’ new called cryptocurrency, based on work and not printed out of “thin air”.
Not a scam and not a Ponzi scheme, just not designed to be an investment.
When it was conceived, it was meant to be an easy way to pay a nickle for something on the internet. It was a long time ago and they were looking to the future, they knew the internet was going to be huge but they couldn’t figure out how content authors were going to get paid. The idea was that they would develop a micro currency. It was easy to send your credit card number for a $100 purchase but how would you send a nickle to somebody to read an article.
The was before internet based advertising took off.
It was designed to be a digital coin purse for small purchases not to be a retirement plan or a hedge against inflation. If people are getting scammed, they are scamming themselves looking for a quick buck.
If someone can declare a creation algorithm, then someone can also change that algorithm. Bitcoin users are trusting its creator not to do so. I still think the term "fiat" applies.
I'm fascinated by it, but I don't think it passes in the end. But I also thought the GOP would maintain its majority in 2006. Heh.
So how much have YOU invested in that fairy dust?
So how much do have YOU invested in fiat? A lifetime? Do you happen to have a fixed retirement that buys fewer and fewer groceries every month? You're lucky then. I'm pretty sure in a few years, being able to retire will be a thing of the past, thanks to the debt and the declining value of the dollar.
Yes......
but back to my question, how much do YOU have invested in that fairy dust?
And for the fools who bought into that bit-coin crap, how do you think the late buyers are going to absorb that 37% crash?
And to think that Bernie Madoff was convicted of the same scam.............
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