5 ms·
> But... knowing that they are not underwritten or backed, surely they're only "worth" what somebody will pay for them. I don't understand how this is any diff
by lojack 14y ago
> But... knowing that they are not underwritten or backed, surely they're only "worth" what somebody will pay for them.
I don't understand how this is any different from a fiat currency. The value of bitcoins are currently being quantified by its exchange rate in USD. Sure, someone could buy all BTC and drive its exchange rate (and thus its value) down. Someone could also print more USD which would create a mass inflation and the exchange rate would be driven up. The exchange rate of all currencies would all be driven up, and the value of USD would go down.
- drcode 14y ago> someone could buy all BTC and drive its exchange rate (and thus its value) down If someone buys it like crazy, why would the price go down? > Someone could also print more USD... The use of the word "also" here is wrong since btcs can't be "printed" by "someone" like the dollar.
- the_mitsuhiko 14y ago> If someone buys it like crazy, why would the price go down? If someone has all the bitcoin in the world, why would anyone want some?
- drcode 14y agoYou couldn't... All the money in the world wouldn't be enough to accomplish this.
- dllthomas 14y agoReally, I'm not sure it's that different than a commodity commonly held principally as a store of value.