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> What's happening now is that bitcoin is being locked into people's mind as a currency with real value. I'm not certain that's true. Most of the trading in bi

> What's happening now is that bitcoin is being locked into people's mind as a currency with real value. I'm not certain that's true. Most of the trading in bitcoin is based on speculation that it'll rise in value, and secondly, that'll become more commonplace. Currently, it's not a useful (or usable) form of currency for the vast majority of the planet. So there's no value backing it (yet). The true test is in X many years, whether BitCoin will be used as actual currency, in which case the value will keep climbing, or whether it'll remain a speculative investment, in which case it'll crash. I learned about bitcoin when it was less than a dollar, and I'd love to invest, but it's just gambling.

WheelsAtLarge 9y ago
Keep in mind that there people growing up now that will think of bitcoin as having true value. Bitcoin will not be a thing that suddenly appeared in the world as it did for us. So they will be more comfortable using it. They will just think of it as another monetary asset. The boom and bust aspect will slowly disappear. One of the problems with it is the lack of things you can buy with it. As more people get used to it as a currency the more goods that will be available for purchase. Then we'll know what the true exchange value of it will be. Right now the value is basically guessing and it's driven by greed and fear. That will change. Chase's CEO might be right that it's a bubble but that does not mean it does not have value. The reality is that we don't know its value as a monetary unit. It might go to a million or crash to 1. No one knows. As the problems with it get ironed out we'll find out. People forget that the only reason fiat currency has value is because you can always find someone that will exchange it for goods or services. It has no value on its own. It's a believe in people's mind. Bitcoin will have that same trust in time. One big advantage over fiat is that the community is world wide and it's not locked to one country. I can see a country disappearing from the world but by definition bitcoin is a world monetary unit that's slowly embedding itself into the world psychic. I truthfully believe that in less than 40 years it will as common as the dollar is now. My only fear is that the world's countries will fear it and outlaw it. That doesn't mean it will go away but might slow it down. BTW, I was a anti bitcoin guy but after a little analysis I've come around.

WheelsAtLarge 9y ago

Keep in mind that there people growing up now that will think of bitcoin as having true value. Bitcoin will not be a thing that suddenly appeared in the world as it did for us. So they will be more comfortable using it. They will just think of it as another monetary asset. The boom and bust aspect will slowly disappear. One of the problems with it is the lack of things you can buy with it. As more people get used to it as a currency the more goods that will be available for purchase. Then we'll know what the true exchange value of it will be. Right now the value is basically guessing and it's driven by greed and fear. That will change. Chase's CEO might be right that it's a bubble but that does not mean it does not have value. The reality is that we don't know its value as a monetary unit. It might go to a million or crash to 1. No one knows. As the problems with it get ironed out we'll find out. People forget that the only reason fiat currency has value is because you can always find someone that will exchange it for goods or services. It has no value on its own. It's a believe in people's mind. Bitcoin will have that same trust in time. One big advantage over fiat is that the community is world wide and it's not locked to one country. I can see a country disappearing from the world but by definition bitcoin is a world monetary unit that's slowly embedding itself into the world psychic. I truthfully believe that in less than 40 years it will as common as the dollar is now. My only fear is that the world's countries will fear it and outlaw it. That doesn't mean it will go away but might slow it down. BTW, I was a anti bitcoin guy but after a little analysis I've come around.