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This is naive of Buffet when his only evidence of a "bad ending" is the existence of a massive rally. The entire near-future automated economy depends on progra
by agorabinary 9y ago
This is naive of Buffet when his only evidence of a "bad ending" is the existence of a massive rally. The entire near-future automated economy depends on programmable money. There is literally nothing interesting happening in FinTech right now apart from the crypto space.
- perseusprime11 9y ago“entire near-future automated economy depends on programmable money” It also depends on banks and states signing up to that vision. We have seen zero adoption on that front. On top of that, it still does not explain the hundreds of alt coins.
- agorabinary 9y ago"it still doesn't explain the hundreds of alt coins" It's open source. How many Linux distros are there?
- notsrg 9y agoUber would probably disagree that you need permission for anything.
- halbritt 9y agoBanks are rapidly trying to adopt the use of blockchain.
- deleted 9y ago[deleted]
- Retra 9y agoSuccessful use of blockchain is not the same as successful cryptocurrency.
- perseusprime11 9y agoAgree. Just because banks are using ripple blockchain and ethereum blockchain is being used by apps does not mean their currencies are useful. Nothing explains why Ether is so expensive.
- hossbeast 9y agoIsn't there some adoption of ripple among banks? Then again ripple isn't decentralized like Bitcoin.
- dk8996 9y agoHundreds of coins and hundreds of tokens. This is the growth phase for crypto, people are trying out new things. Some of these coins and tokens will not be here in 5 - 10 years and some will be used every day by all of us.
- defertoreptar 9y agoWhy should Bitcoin cost so much just because the future may depend on it? That's a good case for why it will continue to exist, but it could also exist and do it's job at $1.00 / btc. I think it's a couple of things that Buffett is looking at. First, like gold, Bitcoin is not a business and does not produce earnings. Second, people seem to be buying it for no other reason than that they think it'll keep going up. That's usually a good argument for the asset not being a bargain. Third, Buffett is self admittedly not an expert when it comes to tech.
- DennisP 9y agoBecause the price of any currency is proportional to GDP/velocity, and since it's costly to exchange cryptocurrency with fiat, there's a limit to how high the velocity can go.
- brucephillips 9y ago> Because the price of any currency is proportional to GDP/velocity wat
- FabHK 9y agoThe quantity of money is proportional to nominal GDP/velocity (in the quantity theory of money). This doesn't tell you anything about the "price of a currency" in another currency, ie the exchange rate.
- DennisP 9y agoSo you're claiming that if Bitcoin did $1 trillion dollars worth of transactions in a year, and people held it for a year on average, that wouldn't necessarily imply a total value for all bitcoins of $1 trillion?
- imtringued 9y agoThe total value of all bitcoins could still be $10 trillion or $100 billion.
- brucephillips 9y agoFiat currency is already programmable.
- dk8996 9y agoHow so?
- brucephillips 9y agoIn various ways. ACH is essentially FTP. Traders execute trades programatically. There's no one standard API, but there are many programmatic ways to move money.