3 ms·
wouldn't it be possible to link the BTC price to the going rate at MtGox, so that it always translates to around $35?
by hilko 14y ago
wouldn't it be possible to link the BTC price to the going rate at MtGox, so that it always translates to around $35?
- cadetzero 14y agoCorrect, and there are merchant services set up to do exactly this.
- e1ven 14y agoI'm curious if you have any experience working with them, and which you'd recommend?
- acabal 14y agoYeah but that's what I don't want to do--because that makes Bitcoin just a USD proxy, not a currency and economy of its own. I'm interested in BTC as its own economy, but unfortunately the price instability and tendency of most users to exchange for USD in the end makes it impossible to explore that.
- nawitus 14y agoLogically speaking it doesn't make bitcoin a USD proxy, a non-currency or "not-a-economy" as you claimed. Fixing the bitcoin price to another currency is a good solution when the value of 1 bitcoin is changing rapidly, as it would take a lot of work to adjust it daily. Besides, you can fix the price to the average of multiple major currencies (like average of euro, American dollar and the British pound).
- ef4 14y agoEvery form of currency suffers this problem in the beginning. There are really only two ways around it: easy convertibility into another currency that people already understand, or direct use-value of the currency commodity itself. It's a question of social inertia. It's too early to expect people to think in BTC.
- MacsHeadroom 14y agoA currency can have an economy fully its own and still have prices pegged to another currency. There is a lot of historic precedent for that. You act like its an abhorant practice. Prices will stabalize as the BTC price approaches something more workable on a global scale, like $21,000,000/BTC
- fnordfnordfnord 14y agoSorry man, IMO it will be years before BTC can function in the way that you want it to. First you need widespread adoption.