Don't worry though, he's still making money on his other scams.
Posted on 06/28/2026 8:39:06 AM PDT by zeestephen
"People don't use it to make serious trades, they don't use it to buy their dinner and pay at the supermarket...What it does is allows crooks to move money around..."
(Excerpt) Read more at cnbc.com ...
No, that’s an investment. It has counter party risk.
Gold in the bank’s safe deposit box has counter party risk that gold in your pocket doesn’t.
Investment and savings are distinct concepts. Some corn you don’t eat now to eat later, other corn you plant for the future.
You also can’t readily divide your ownership of that business and utilize the purchasing power in value it represents. You can’t buy your groceries every week offering the cashier a 2% stake in your car wash.
Millions of people go to work every day to make me more money. Those businesses are in the business of managing through currency issues, business cycles, technology advancement and geopolitical risk.
Bitcoin, as a hard currency, is just agreement with notion that governments will inflate evermore. The ‘currency risk’ of bitcoin is that politicians will suddenly stop deficit spending. That’s as close to zero risk as you’ll find.
Why do people who own bitcoin - which is so valuable now and into the future - sell it to people for dollars which, we are told, is not worth much now and will be worth even less in the future?
He obviously doesn’t know or understand Bitcoin. No, it does not allow crooks to move it around. Bitcoin can be traced. EACH and EVERY bitcoin can be traced. Its far more traceable than money which itself is far more traceable than gold or silver.
That is also a problem that needs to be solved.
No one knows how many Bitcoins have been permanently lost, or if permanently lost is even a status that can exist.
Is (was) there a central repository where ALL 21 million of the original Bitcoin pass codes were stored?
I guess this why most major financial organizations are starting to adjust their processing to work on the blockchain. And why they are fighting their asses off to keep the Clarity Act from happening?
We’ll see what happens.
Trump coin was such a scam. And a lot of MAGA falls for that crap.
Trump coin is not bitcoin. Very different things. No one took Trump coin seriously as anything other than a way to fund Baron’s future.
So it isn’t just me that thinks it is foolish.
Like baseload solar power, globalWarming, WuhanFlu, WWW2.0, etc — scams to skim your $$.
From what I hear Bitcoin was invented by the NSA - the king of cryptography. So much for where you put your trust!
“What it does is allows crooks to move money around”
So it is going to hang around for a while.
Key takeaway should be that you fiat is worth less every year than it was the year before.
Inflation is the regressive extraction of taxation for deficit spending in our existing fiat monetary system.
Why are people paid in dollars when they want to eat bread? Because the dollars are a medium of exchange for exactly what the people want to consume, and at some point we want to consume what we have produced. You save to be able to afford consumption in the future.
Saving in a depreciating currency means your future purchasing power is diminished year after year by the tax of inflation.
A currency that isn’t being debased will retain its purchasing power per unit value, and if productivity in the future increases, it will thereby buy more than it could have in the past.
First explain the ‘problem’ as you see it that needs to be solved.
No one knows how many Bitcoins have been permanently lost, or if permanently lost is even a status that can exist.<\b>
Do you need to know how dollars have been buried in a coffee can and lost forever? What if the codger remembers where he buried it 30 years from now, would you need or expect to be told? To what end?
Is (was) there a central repository where ALL 21 million of the original Bitcoin pass codes were stored?
Not a centralized repository (a weakness in that you’d have to trust the central authority to not cheat you like the existing ones do), but actually a broadly distributed ledger, synced using cryptography (math, not faith in politicians) to prevent the duplication (counterfeiting) of any transactions.
This is what you hear called the block chain. Every transaction in bitcoin traces back to the origin of the coin. It’s completely transparent with respect to the existence and movement of money between wallets. Who holds the key to the wallet is the only person allowed to transfer money from that wallet.
If you send a donation the Canadian Trucker protest no bureaucrat can ‘freeze’ a bitcoin wallet and stop the owner from transferring funds out if they want, or other people transfer funds in.
Not all cryptocurrencies are bitcoin. Some don’t have for example a fixed pool, and the originator can create new coins (duplicating the same method as banks do to tax you with inflation for their own lending). Be wary of anyone who can’t explain the distinctions between cryptocurrencies and the specific bitcoin protocol.
Here’s my take… you’re free to disagree.
Grantham’s logic is mathematically sound if you apply traditional 20th-century financial rules.
However, traditional models also said Bitcoin should have gone to zero a decade ago. It is unlikely to “dwindle away quietly” anytime soon because it has transitioned from an internet experiment into a highly financialized global asset class.
While it may remain wildly volatile and prone to deep bear markets, the structural infrastructure built around it makes a slow fade into absolute zero highly improbable.
Don't worry though, he's still making money on his other scams.
“Saving in a depreciating currency means your future purchasing power is diminished year after year by the tax of inflation.”
That does not explain why people owning appreciating bitcoins exchange it for dollars which are depreciating.
THIS is where everyone is making a mistake about bitcoin and other digital currencies. GOVERNMENTS are NOT going to allow a stable system of currency to exist because the governments can not print/make more of it when they want to. When it evaporates, it will be TOTAL. Zero. Zip. Nada.
Grantham or Gresham?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.