Bitcoin could become ‘worthless’, Bank of England warns

Post by em3rgent0rdr » Wed, Dec 15, 2021, 4:36 PM UTC

jack_pp wrote: post #47

meltedcapacitor wrote: post #4

Earlier quoted context omitted.

Or it could act as economic stimulus, as the exit dollars get invested in productive endeavours, rekt coiners have to get a job, and electricity and electronics become cheaper due to the capacity being freed from cryptomining.

As mining bitcoin is only worthwhile with ASICS there will be no flood of electronics entering the market at low prices, being used for something more "worthwhile". You could argue this is a feature and not a bug. I, as many people before me, thought about a cryptocurrency with a "useful" PoW like protein folding but if you would create such a thing it would be very susceptible to attack by govt or any big private ac…

Post by Ekaros » Wed, Dec 15, 2021, 4:44 PM UTC

vorhemus wrote: post #37

I see Bitcoin closer to the art market then to gold or a currency. There is de facto no universal rule for pricing a work of art other than what someone is willing to pay for it at auctions. As long as everyone assumes that artworks will be sold more expensive in the future and no one sells below the purchase price, the prices will rise - provided that the interest in it remains upright.

Post by Ekaros » Wed, Dec 15, 2021, 4:52 PM UTC

em3rgent0rdr wrote: post #92

ghiculescu wrote: post #26

Earlier quoted context omitted.

If it never moves, that actually makes it worthless.

Gavin hypothesized a potential bitcoin future where all bitcoin becomes locked down on the main chain and doesn't move, with all the trading of bitcoin done on other chains. [1] http://gavinandresen.ninja/a-possible-btc-future

Post by rasz » Wed, Dec 15, 2021, 6:32 PM UTC

Ekaros wrote: post #93

vorhemus wrote: post #37

I see Bitcoin closer to the art market then to gold or a currency. There is de facto no universal rule for pricing a work of art other than what someone is willing to pay for it at auctions. As long as everyone assumes that artworks will be sold more expensive in the future and no one sells below the purchase price, the prices will rise - provided that the interest in it remains upright.

I wouldn't even go to art. But more of traditional collectible ala trading cards. Or maybe even coins. Were the value is the aftermarket.

Post by mojuba » Wed, Dec 15, 2021, 7:46 PM UTC

Ekaros wrote: post #94

mojuba wrote: post #67

While it's still debatable whether crypto currencies are pure speculation vs. the new "gold" vs. a new currency that will kill the national ones - As a philosophical idea, can we at least agree that the inherent value of Bitcoin and the fundamental reason some people invest in it is... the beauty of mathematics?

Some people sure, but I'm not sure how big majority that still is. I believe currently it's value is greater fool theory. Those who value it for mathematics, would likely value the state of the art cryptocurrencies more. As BTC really isn't any way special outside being the first one.