321–330 of 382 posts
That's all the point of crypto-currencies, they need to go up and down to enable speculation. Pump and make it go up. Dump and it goes down. Someone is cashing the difference. A stable crypto-currency will not attract so much speculative investment.
That isn't the point. They're supposed to be stable to be usable as currency. Using them as an investment class is a very off-label use that has emerged.
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It's a deflationary currency. The opposite of "USD always decreases in value because of inflation". Not a red flag at all. Even the idea that it's deflationary is debatable since exchanges now offer loans, a service which effectively creates new bitcoins out of nowhere.
Deflationary currencies cannot be deflationary forever. Think for 5 seconds: if that was true, then the person who sold the pizza for bitcoin will eventually have enough value to buy everything on the planet. So will the person whose CPU was mining to keep the pizza warm. Can there be two planets of value on the planet?
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The USD is backed by the power to tax 330 million people. Bitcoin is not.
That has nothing to do with its value. It’s value is in how robust it’s value it is. It isn’t robust at all and has lost 30% or more of its value since the start of the pandemic if you look at commodities.
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Store of value. US money printer. Inflation hedge. Do you think we forget what the crypto-bros said just a few months ago?
Bitcoin isn't pretending to be any of those (which is essentially what the claim is). Do you see any of that on bitcoin.org, anywhere in Bitcoin Core, or in the Bitcoin Whitepaper? Or in any of the top cryptoassets by market cap? Don't conflate people talking about something with the thing itself.
Bitcoin doesn't have a HN account. Listening to people talk about it is the only way to get information about it.
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It's very standard for bitcoin and won't be going away for a while as the asset is still realizing its value across all global liquidity. It's scary and why the SEC dragging their feet on a spot ETF approval i.e. an investment vehicle that a non-crypto fanboy can use (yours truly) is criminal.
Yes, it’s truly criminal that the SEC hasn’t approved more ways for speculation in cryptocurrency. It’s not as if an Average Joe can just go out and buy cryptocurrency or something. Can you imagine what the market volatility would be if cryptocurrency proponents were allowed to convince naïve people to invest their money, too?
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I have no idea what future crypto prices will do, but you do realize that smart contracts allow people to bank, from their browser with nothing but a MetaMask extension, without a bank, right? There's heavy dose of speculation present in any emerging market, but crypto, especially its smart contract sector, is not just speculation.
A digital wallet that can trade isn’t banking though. Can you direct deposit, pay rent, be fdic insured, etc with that solution?
This is on top of all the carnage the market has seen in the last few months. Everything is on sale.
> Everything is on sale. Such meaningless phrasing. If something wasn't on sale, nobody could buy it. The crypto meme of dips in the price being 'a sale' is key to hooking the uniformed new fish into the great ponzi scheme.
Now we can see how Bitcoin performs during a bear market.
... was that a surprise? It's the definition of a bear market.
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There is no such thing as inherent value. Value is subjected to the individual who makes decisions on the margin.
Maybe there isn’t inherent value in currencies, which crypto is not. In assets there is can of course be inherent value (food, a sturdy house, land, etc.).
What value has a premium steak to a vegan?
If your house is on 0.5 acre of land and you add another acre it might great but if you had 500 acres of land and added another one you wound't even notice.
Why people tend to value diamonds more than water which is essential to live? If you receive two copies of the same magazine you like to read does the second copy holds some value to you?
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That isn't the point. They're supposed to be stable to be usable as currency. Using them as an investment class is a very off-label use that has emerged.
This sentiment is exactly why it hasn’t worked yet. Yes bitcoin is a currency hence the “coin” in its name but a lot of crypto is not. This is a failure in education in the community and also a failure by the US government to correctly classify the different types of crypto, and essentially label every blockchain as securities when only a few even approach being securities. In their desire to collect tax, they have c…