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>> People invest into it because they expect good profits OK yeah that's called an investment. Most people don't invest in stuff they think will be unprofitabl

>> People invest into it because they expect good profits OK yeah that's called an investment. Most people don't invest in stuff they think will be unprofitable. Maybe you're different? >> that expectation is sustained by such profits being paid to those who choose to cash out Profits aren't paid out from Bitcoin. There are no profits being paid out. That's sort of the key difference. Bitcoin doesn't send you a check if you own it. >> the operators take away a large portion of this money If there were "operators" of the Bitcoin scheme, they left billions of dollars on the table. Which...I hope they did! But sadly, unlikely.

newacct583 5y ago
> Profits aren't paid out from Bitcoin. There are no profits being paid out. That's sort of the key difference. Bitcoin doesn't send you a check if you own it. That's a pedantic evasion. You're conflating profit ("making net money") with dividends or other rent mechanisms. Selling an investment is colloquially "profit taking" too. And you can only sell, on balance, to those entering the bitcoin system.
- rufus_foreman 5y ago
  No it is not a pedantic evasion, with a Ponzi scheme, you get sent money. On a regular legally defined basis. That money has to come from somewhere. Bitcoin doesn't have to send you a check every month or it collapses.
  - newacct583 5y ago
    > with a Ponzi scheme, you get sent money Still pedantry. You're arguing that it's not a Ponzi scheme NOT because it funds promises to existing players with money coming in from new players (which is pretty much the standard definition), but because TECHNICALLY they have to "sell" their coins to get paid. That technicality doesn't change the direction the money is flowing. It's just not relevant.
    - rufus_foreman 5y ago
      Bitcoin doesn't fund anything. There are no promises. What you are describing is just speculative investment in general. There is a difference between speculative investment in general and a Ponzi scheme, what is it?

newacct583 5y ago

> Profits aren't paid out from Bitcoin. There are no profits being paid out. That's sort of the key difference. Bitcoin doesn't send you a check if you own it. That's a pedantic evasion. You're conflating profit ("making net money") with dividends or other rent mechanisms. Selling an investment is colloquially "profit taking" too. And you can only sell, on balance, to those entering the bitcoin system.

rufus_foreman 5y ago
No it is not a pedantic evasion, with a Ponzi scheme, you get sent money. On a regular legally defined basis. That money has to come from somewhere. Bitcoin doesn't have to send you a check every month or it collapses.
- newacct583 5y ago
  > with a Ponzi scheme, you get sent money Still pedantry. You're arguing that it's not a Ponzi scheme NOT because it funds promises to existing players with money coming in from new players (which is pretty much the standard definition), but because TECHNICALLY they have to "sell" their coins to get paid. That technicality doesn't change the direction the money is flowing. It's just not relevant.
  - rufus_foreman 5y ago
    Bitcoin doesn't fund anything. There are no promises. What you are describing is just speculative investment in general. There is a difference between speculative investment in general and a Ponzi scheme, what is it?