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> A US dollar bill is at the end of the day just a piece of paper - that is assigned a value (that constantly changes) by the market. Ultimately, the U.S. doll

> A US dollar bill is at the end of the day just a piece of paper - that is assigned a value (that constantly changes) by the market. Ultimately, the U.S. dollar is backed by the U.S. Military. What is bitcoin backed with?

gcp 9y ago
Ultimately, the U.S. dollar is backed by the U.S. Military What does this even mean? That if the US economy crashes and dollars become worthless, the military will plunder a few countries for resources to restore it?
- ShannonAlther 9y ago
  I think he means that the USD is valid currency for all debts, public and private, and this law is enforced by the US gov't.
  - penagwin 9y ago
    However stealing anything is illegal (in most countries). A weakness to BTC could be that it's hard to enforce that...
- elif 9y ago
  - The US economy crashing isn't necessary for the military to be used to plunder other countries for resources. The rich and powerful interests in most american countries will coalesce around US interests or face direct or indirect coups until they do, creating a neocolonial system where the dollar is enriched through the resources of other nations. - It means that more countries will keep USD as a major if not primary reserve currency. - it also means that we can ensure that oil trade is denominated in USD, which also directly keeps the value of the dollar high. - it means that we can create a special relationship with Saudi Arabia which allows some degree of control over global oil markets - it means that we can e.g. devistate countries ideal for Iranian exports in order to prevent the development of competitive markets
penagwin 9y ago
What do you by saying USD is backed by the Military? I'm sure what you mean by that? I guess if another country owes the US money the military could "go and collect"? What about in country? If you mean legally - I believe stealing anything in the US is illegal, this would include BTC. The effectiveness of the government to enforce punishment for stealing BTC could be a valid weakness.
Mendenhall 9y ago
I would say people.
elif 9y ago
Math

gcp 9y ago

Ultimately, the U.S. dollar is backed by the U.S. Military What does this even mean? That if the US economy crashes and dollars become worthless, the military will plunder a few countries for resources to restore it?

ShannonAlther 9y ago
I think he means that the USD is valid currency for all debts, public and private, and this law is enforced by the US gov't.
- penagwin 9y ago
  However stealing anything is illegal (in most countries). A weakness to BTC could be that it's hard to enforce that...
elif 9y ago
- The US economy crashing isn't necessary for the military to be used to plunder other countries for resources. The rich and powerful interests in most american countries will coalesce around US interests or face direct or indirect coups until they do, creating a neocolonial system where the dollar is enriched through the resources of other nations. - It means that more countries will keep USD as a major if not primary reserve currency. - it also means that we can ensure that oil trade is denominated in USD, which also directly keeps the value of the dollar high. - it means that we can create a special relationship with Saudi Arabia which allows some degree of control over global oil markets - it means that we can e.g. devistate countries ideal for Iranian exports in order to prevent the development of competitive markets

penagwin 9y ago

What do you by saying USD is backed by the Military? I'm sure what you mean by that? I guess if another country owes the US money the military could "go and collect"? What about in country? If you mean legally - I believe stealing anything in the US is illegal, this would include BTC. The effectiveness of the government to enforce punishment for stealing BTC could be a valid weakness.

Mendenhall 9y ago

I would say people.

elif 9y ago

Math