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Then shouldn't every deflationary alt-coin also be valued like gold? You can see where this is going...
by paulgb 9y ago
Then shouldn't every deflationary alt-coin also be valued like gold? You can see where this is going...
- thisisit 9y agoI know, that's why I highlighted the flawed logic therein. Sure, one can talk about bitcoin and blockchain as being revolutionary but every time someone with a finance degree writes something, they go by hype and not substance.
- icahnvalyou 9y agoShouldn't every resource be valued like gold? There's a limited supply of copper... You can see where this is going. Gold is a weirdly sticky anachronism of a wealth store that never made any sense in the first place.
- bluGill 9y agoGold make sense because girls like to wear gold on their fingers, in their ears... Copper is not useful for that purpose.
- digi_owl 9y agoGold has one good property, it does not rust. Thus making tokens out them meant said tokens would last generations, and withstand the rigors of international transport. As best i recall, gold and silver were rarely popular for domestic trade. There more common materials were used. They were instead used for international trade. In the end people have come to confuse the token, a way to do trade accounting without an accountant always present, with the metal it was made of.
- vintageseltzer 9y agoBy that logic, gold would have crashed long ago and been replaced by all the other alt-rare-metals out there. It has not. The network effect should not be underestimated. The world is filled with examples of inferior systems that exist simply because they have more momentum than others. Investors demand a “store of value” investment vehicle. Up until now, gold has led that role. Now Bitcoin will take over. Not because it is the best, but because it is first to market and has enough momentum and utility to replace it.
- paulgb 9y agoI remember when people used to pay real money for ICQ numbers, so the network effect argument doesn't really get me.