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Because what you're saying is some dreamland example everyone always repeats like a scratched disc. Why would you buy a CPU today when you know next year it wi

by whb07 7y ago

Because what you're saying is some dreamland example everyone always repeats like a scratched disc. Why would you buy a CPU today when you know next year it will be at least 1/2 price or twice more performant? Why buy a new phone today when tomorrow it will be cheaper? Why marry a woman/guy today when you know tomorrow there will be a younger and better looking person out there? Thats what you're saying. It doesn't hold true. I want something TODAY, not tomorrow, or next week. So if i had some gold or bitcoin, i would exchange some of it for the thing i want. Lastly, some of the bitcoin-USD payment processors saw the largest volumes DURING the bubble of Dec 2017. What that means is as people got richer they started buying goods with their highly appreciated bitcoin.

api 7y ago
I used to subscribe to the pop Austrian hard money ideology. Watching cryptocurrency devolve into a HODL cult and gambling casino is one of the things that changed my mind. I saw by watching the evolution of Bitcoin that Keynes was right, at least about that particular topic. Everything Keynesian and modern monetary theorists said would happen happened, and for easy to understand reasons. In science we call that a correct prediction. What I saw in 2017 was a giant bubble driven by the greater fool theory followed by a complete abandonment of cryptocurrency as a payment method. This abandonment actually coincides with the bubble as this boom-bust cycle made it very inconvenient to use as a currency. All this accomplished was to make early adopters rich at the expense of later adopters, like any Ponzi. (Again I don't think it was an intentional scam, but unfolded as a Ponzi for structural reasons.) Today I am hard pressed to find anyone who accepts Bitcoin for anything but drugs and black/grey market stuff, and those people have a special need that overcomes the currency's downsides as such. Today the cryptocurrency world seems like nothing but scams and even those are fading away. Most articles I see about it are scammy. Bitcoin is very unlike gold. Gold costs little to nothing to maintain while BTC has a huge electricity cost. That must be slowly consuming the actual value in the ecosystem. Eventually nothing will be left but Tethers and other fictional tokens. When those collapse the music will be over.
- whb07 7y ago
  That's got nothing to do with your initial comment nor my response.
millstone 7y ago
But those are real effects! People really do delay purchases in anticipation of the next phone or car or laptop! And if prices are falling, they delay harder. My family has not purchased solar panels because the price keeps dropping!

by whb07 7y ago

api 7y ago

I used to subscribe to the pop Austrian hard money ideology. Watching cryptocurrency devolve into a HODL cult and gambling casino is one of the things that changed my mind. I saw by watching the evolution of Bitcoin that Keynes was right, at least about that particular topic. Everything Keynesian and modern monetary theorists said would happen happened, and for easy to understand reasons. In science we call that a correct prediction. What I saw in 2017 was a giant bubble driven by the greater fool theory followed by a complete abandonment of cryptocurrency as a payment method. This abandonment actually coincides with the bubble as this boom-bust cycle made it very inconvenient to use as a currency. All this accomplished was to make early adopters rich at the expense of later adopters, like any Ponzi. (Again I don't think it was an intentional scam, but unfolded as a Ponzi for structural reasons.) Today I am hard pressed to find anyone who accepts Bitcoin for anything but drugs and black/grey market stuff, and those people have a special need that overcomes the currency's downsides as such. Today the cryptocurrency world seems like nothing but scams and even those are fading away. Most articles I see about it are scammy. Bitcoin is very unlike gold. Gold costs little to nothing to maintain while BTC has a huge electricity cost. That must be slowly consuming the actual value in the ecosystem. Eventually nothing will be left but Tethers and other fictional tokens. When those collapse the music will be over.

whb07 7y ago
That's got nothing to do with your initial comment nor my response.

millstone 7y ago

But those are real effects! People really do delay purchases in anticipation of the next phone or car or laptop! And if prices are falling, they delay harder. My family has not purchased solar panels because the price keeps dropping!