Bitcoin Loses Half its Value After Chinese Crackdown
- Thread starter StewShearerOld
- Start date
Bitcoin has no ties to the physical world and is driven solely by credit, if anything the troubles we have had show that the disconnect between the faith based economy and real products and services. I would say the opposite speculation is the cancer of our time, and Bitcoin has been a roller-coaster ride unlike anything else. I don't think it will ever be viable, governments won't tolerate an untaxable currency besides exchange tax. being VAT exempt and needing to be exchanged also means that Bitcoin won't ever make other currencies extinct.mindfaQ said:
I like the idea of one international currencies, but as it is there is no legal backbone to support it as a legitimate currency.
Armed with the amazing superpower of hindsight, I'd say that yesterday was the perfect time to cash out your bitcoins. I wonder if anyone bought that house that was put up for sale. [http://www.nydailynews.com/news/national/casino-owner-accept-bitcoin-7-8m-vegas-mansion-article-1.1548269]
wombat_of_war said:
Actually from reading the article his employer converts his paycheck to btc when he gets paid, so he is always getting his full dollars worth of btc, depending on the spot price when he is paid.
Of course why he would want to get paid in such a volatile new currency is beyond me, but to each their own.
There is a LOT of negativity on BTC and cryptocurrencies I have noticed. There is no reason that BTC or another cryptocurrency has to become worthless or defunct. The value of something from BTC comes from the way it functions. It cannot be forged and it allows for greater levels of anonymity than traditional banking.Scrumpmonkey said:
If governments around the globe decide to crack down on BTC it may be relagated to a black market only currency but even then there will be those that find a use for it.
Money is money only as long as people agree that yes, this object is worth something. The dollar has the backing of the US Government, which is worth enough for other countries to invest in T-Bills even as they are effectively paying the US interest for doing so. Why? Because a nuclear war could break out and they fully expect the US to pull through it.
It's worth noting that the value of Bitcoin is still higher than it was 6 moths ago. It does this more or less all the time -- it's value will inflate rapidly for a short period, the bubble will burst, it'll drop like a rock, and then climb back to somewhere about where it was on it's comparatively stable increase in price over time.BiH-Kira said:
That is to say that the price of Bitcoin has, as a function of time, increased at a pretty steady rate with the occasional dramatic spike up or down. I'm surprised it stayed over $1k US as long as it did.
About the only thing will change that is the possibility of governments banning it or regulating it in a fashion that makes it cease to be worth it.
Now I have to wonder about the exchange rates between bitcoin and the various altcoins, it might be a good time to exchange my various altcoins for bitcoin. I'll have to check this evening.
I'm thinking of pretty much everyone who insists how smart they are for investing in Bitcoin.wombat_of_war said:
Especially the ones who use the word "sheeple" unironically.
I have this "I told you so" running in the back of my head that was quickly drown out by the "Oh fuck, so many people have probably lost money on this"
I'll say that bitcoin is a really cool idea, but peoples' nievety led them to believe it was infallible. I wonder if this will kill it or if it'll somehow make a comeback.
I'll say that bitcoin is a really cool idea, but peoples' nievety led them to believe it was infallible. I wonder if this will kill it or if it'll somehow make a comeback.
My friend is always trying to talk me into investing in some mining equipment with him and this is exactly why I always say no. I'm not willing to pay for a beta test of internet currency. Call me paranoid but we could all wake up tomorrow and find out bitcoins mean nothing anymore.
Like I said, I'm not an economist and wasn't trying to put forth anything as fact, just speculation from a mildly informed individual. You mention this being backed by the federal reserve, which it is, I guess I'm just trying to understand that difference between the reserve artificially controlling the value of a dollar and a fiat currency since the USD at least broke with the gold standard. Plus, American bankers aren't really known for their honesty and that whole "greater good" mentality so I don't know that I put much faith into their incorrigibility.Scrumpmonkey said:
At the absolute very least, watching BitCoin evolve is crazy interesting. I started following it when it was about $10/BTC and have seen it climb and fall several times since then.
I dunno, like I said it's interesting and I think there's a place for it in our global economy.
Just my mildly informed 2cents, however.
I fixed that for you. Seriously, banks have always been a problem in the world for as long as they've existed. There have been scandal after scandal after scandal with the major banks. They're just a bad idea.mindfaQ said:
But I doubt that replacing one imaginary currency with no real value with a different imaginary currency that has no real value (and also is entirely digital) is really the solution.
Then they're idiots for laughing at you. The US dollar hasn't been a gold standard since the seventies. It's fiat currency or "legal tender", back up by the government's willingly to accept it as tax credit. Not that I'm trying to educate you, I fully understand that you knew this already.Scrumpmonkey said: