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We've heard about Bitcoin being a bubble and having no intrinsic value the entire duration of its existence -- so much so that Paul making these his main argume
by eggbrain 9y ago
We've heard about Bitcoin being a bubble and having no intrinsic value the entire duration of its existence -- so much so that Paul making these his main arguments feel like traveling back to ~2013 when it was "bubbling" then.
If people use Bitcoin and believe it has value, it _gives_ it value and credibility, in the same way that diamonds have value, even though they are no longer "rare".
When people stop using Bitcoin, or stop believing it has value or is worthy of value, any "bubble" state it has will burst.
My main question when reading this article was: when a major technological change or shift happened in the past few decades, did people realize at the time the potential, or did they make articles like this saying that the technology was a bubble? All it makes me think of is this famous Newsweek article: http://www.newsweek.com/clifford-stoll-why-web-wont-be-nirvana-185306 http://www.newsweek.com/clifford-stoll-why-web-wont-be-nirva...
I'm not saying that Cryptocurrencies will be the next internet (maybe it will be the next big .com crash), but entrepreneurs who become rich will be the ones that at least took the risk to believe (for better or worse).
- JKCalhoun 9y ago> If people use Bitcoin and believe it has value, it _gives_ it value and credibility Unless what is driving up the price is speculation. I mean, do most of these new-to-bitcoin users actually "use" Bitcoin? Purchase with it? Or are they holding, waiting to dump?
- charlesdm 9y agoThe same can be said about diamonds and art, however. The only difference here is that it's a digital vs a physical asset.
- deleted 9y ago[deleted]
- JKCalhoun 9y agoYou're right, but I don't think we've seen either of those skyrocket like Bitcoin. If one or the other was up 5800% perhaps we might call it a bubble....
- charlesdm 9y agoI beg to differ: http://www.dw.com/en/salvator-mundi-da-vinci-painting-that-sold-for-450-million-headed-to-louvre-abu-dhabi/a-41685659 http://www.dw.com/en/salvator-mundi-da-vinci-painting-that-s... Quantitative easing has inflated asset prices across the board.