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Bitcoin may have already failed as a currency. However I think it has spectacularly succeeded as a store of value - an alternative to gold, if you will. It has
by geoka9 13y ago
Bitcoin may have already failed as a currency. However
I think it has spectacularly succeeded as a store of value - an alternative to gold, if you will. It has all the benefits of gold, none of its problems (bulk), and some brilliant advantages: ease of handling/transportation/transferring (maybe transferring it is too easy - make an unlucky typo and your savings are most probably lost for good - but that's a side effect of its efficiency).
FWIW, unless governments start to intervene by outright banning it, I suspect Bitcoin will first become the ultimate storage of value, then its price will become less volatile and with time stable enough to start using it as a currency.
- dinkumthinkum 13y agoWell gold has this one minor benefit test it is intrinsically valuable ... That and you don't have to. A nerd to understand how to use it.
- geoka9 13y ago> gold has this one minor benefit test it is intrinsically valuable You can't explain the high price of gold merely by its intrinsic value. OK, it's shiny, but there are other sniny metals. It can be used in electronics, or as filling/crown material - but it was valuable before people started using it for that. So much for the intrinsic value. So it must be something else that makes gold as valuable as it has always been. It's rare, fungible, divisible, portable - an ideal medium for storing value. Well, bitcoin is all those things and more.
- dinkumthinkum 13y agoYou just waved your hands around a little. Gold has intrinsic value. You say other metals are shiny ... Well ... wow ... They have intrinsic value as well.