gold has $7 Trillion and I fail to see how gold is a better store of value, I fail to see why would anyone buy gold bullion for example, is just a piece of metal.
Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
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Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#22Who provides liquidity for bitcoin still? With all that growth, everyone would only want to hold.
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#23I'm a bit weary. Say this cryptocurrency thing does take of and it's not a bubble. Then wouldn't this have similar effects that quantitative easing would have? I understand quantitative easing as 'printing money', because I'm not an economics person. But if this would take off and get a strong foothold at the prices that we're seeing now (bitcoin almost 10K in dollars), then didn't some subset of techies print a lot…
'Money' occupies a position of special privilege:
1) Your tax office requires your taxes to be paid with local currency
2) Because of this, you are obliged to routinely measure your economic activity relative to the yardstick of your local currency
Bitcoin doesn't have the same special place. My beefs with quantitative easing are:
1 - Whoever spends the money first is treated by the economic system as having done something useful for their money; when they have not.
2 - it distorts the yardstick we measure everything with. Eg, someone born in the 60s probably hasn't really adjusted their gut-feel for how much $1,000,000 is really worth these days. This just seems like confusing people for no reasons, and hence a bad idea.
Bitcoin ain't doing neither of these things. It is fine by me. Wealth creation even, if it doesn't bust spectacularly.
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#24I couldn't tell from the article - how do they define 'market cap'? Nr of currently mined coins * current value? Because if so, how does that make sense - nobody knows how many coins are 'lost'. Is there anyone watching e.g. how many coins haven't moved wallet since, say, 2013? Like, satoshi's coins - does it make sense to include those in any metric?
(maybe they're using an entirely different definition in which case the above is moot)
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#25gold has $7 Trillion and I fail to see how gold is a better store of value, I fail to see why would anyone buy gold bullion for example, is just a piece of metal.
Well, gold owes it's continued existence to the continued holding of the laws of physics.
Practically, I suspect Bitcoin relies on the reach bitcoin mining networks. If, eg, China's bureaucrats go mad and split China off from the main internet for a decade, what happens to bitcoin? I've been led to believe the serious mining pools are Chinese. Gold doesn't care about that sort of thing at all, it just keeps existing.
There are arguments for both. Storing metal is a cost.
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#26Who provides liquidity for bitcoin still? With all that growth, everyone would only want to hold.
People who understand that past performance is no guarantee of future results? If you entered and made a good return, you might want to save it in something considered safer. Also, you might want to use the money for something else.
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#27I'm a bit weary. Say this cryptocurrency thing does take of and it's not a bubble. Then wouldn't this have similar effects that quantitative easing would have? I understand quantitative easing as 'printing money', because I'm not an economics person. But if this would take off and get a strong foothold at the prices that we're seeing now (bitcoin almost 10K in dollars), then didn't some subset of techies print a lot…
> But if this would take off and get a strong foothold at the prices that we're seeing now (bitcoin almost 10K in dollars), then didn't some subset of techies print a lot more money than there is? Over the course of history, people crated money out of many physical objects that had the "money" properties. Money is a tool to represent value of exchange. As long as we all agree on it's value. In the fiat world, the val…
> replaced with a better one.
I'm curious how you define "better"? If you go by wealth equality, Bitcoin is worse than USD because Satoshi Nakamoto, the inventor of Bitcoin, owns more than 1/21 of all ever available Bitcoin. Several other early adopters claim to own a few hundred thousand Bitcoin.
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#28I'm a bit weary. Say this cryptocurrency thing does take of and it's not a bubble. Then wouldn't this have similar effects that quantitative easing would have? I understand quantitative easing as 'printing money', because I'm not an economics person. But if this would take off and get a strong foothold at the prices that we're seeing now (bitcoin almost 10K in dollars), then didn't some subset of techies print a lot…
'Money' occupies a position of special privilege: 1) Your tax office requires your taxes to be paid with local currency 2) Because of this, you are obliged to routinely measure your economic activity relative to the yardstick of your local currency Bitcoin doesn't have the same special place. My beefs with quantitative easing are: 1 - Whoever spends the money first is treated by the economic system as having done som…
In case anyone's wondering: $1,000,000 in 1960 would be more than $8,000,000 today. (things feeling 8x "more expensive" to these old timers)
https://www.dollartimes.com/inflation/inflation.php?amount=1...
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#29I couldn't tell from the article - how do they define 'market cap'? Nr of currently mined coins * current value? Because if so, how does that make sense - nobody knows how many coins are 'lost'. Is there anyone watching e.g. how many coins haven't moved wallet since, say, 2013? Like, satoshi's coins - does it make sense to include those in any metric? (maybe they're using an entirely different definition in which cas…
Yes, number of coins in circulation * price is how the cryptoscene defines it. There're studies that calculate the amount of lost coins around 4million
Re: Bitcoin World’s 30th Largest Currency, Market Cap Closes on Mastercard
#30gold has $7 Trillion and I fail to see how gold is a better store of value, I fail to see why would anyone buy gold bullion for example, is just a piece of metal.
> I fail to see why would anyone buy gold bullion for example
To make electronics out of it. The comparison of Bitcoin with gold falls short because gold is useful even outside of being a commodity or payment method.