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Heh, you summed up the stupidity of the current cryptocurrency rush in one sentence. Shouldn't they be self-contained and their success not be affected by excha
by aw3c2 13y ago
Heh, you summed up the stupidity of the current cryptocurrency rush in one sentence. Shouldn't they be self-contained and their success not be affected by exchanges?
- rtpg 13y agoI wouldn't call it stupidity. It's like saying that the internet wouldn't last very long without ISPs. Without many real places to deal with USD <-> BTC, then of course it will be hard to deal with the cryptocurrency (the passage is needed to allow for a transition period in currencies).
- aw3c2 13y agoIt is more like saying houses would not last without doors if you want another analogy out of this world.
- natrius 13y agoThat doesn't make any sense. How do you obtain a new currency without an exchange?
- sirsar 13y agoYou could use p2p transactions, get paid in it as a service, get it as a handout, sell something for it, or, in the case of Bitcoin, mine it.
- afterburner 13y agoBy getting paid with that currency.
- celticninja 13y agoHow do you self-contain anythng in this world of interconnectivity? If you understood cryptocurrency you would understamd that their success is not measured in the price point. That is the most marketable aspect so that is what you know, the utility and use of the protocol is as good if not a better measure of their success. the relative speed with which issues are identified and resolved speaks to the success of the protocol not the daily/weekly highs and lows.
- deleted 13y ago[deleted]
- baddox 13y agoWhy should they be self-contained and not affected by exchanges? An exchange is just a market where you trade one good for another, where both the goods happen to be currencies (fiat or crypto). It's like saying that a market where you trade Bitcoins for domain names or Bitcoins for food is stupid.
- afterburner 13y agoIf you are payed in the currency that you spend, you don't need currency exchanges.
- baddox 13y agoTrue, just like if you are paid in food, you don't need markets to exchange food for money.
- afterburner 13y agoDid you read my comment carefully? If you are payed in the currency that you spend...
- baddox 13y agoI read it carefully, and I understand. I simply disagree. Why, for example, do you think there are exchanges for essentially every pair of government currencies?
- aw3c2 13y agoFor global exchange of value which is what I thought Bitcoin was supposed to do all by itself.
- afterburner 13y agoMaybe we're talking about different things. My general point (which maybe you don't care about) is along these lines: A regular currency operates usually exclusively in one area, and in that area can be used for all spending. Strictly speaking, it could still run if currency exchanges suddenly vanished (and before informal replacements took over). A currency is after all not simply a commodity, it is the legally acceptable form of payment for all debts in that area (and must be accepted). Bitcoin, on the other hand, is not required to be accepted anywhere. In addition, most people value Bitcoin because it's worth a lot of US dollars. So its value seems more connected to the existence of exchanges than normal currencies, which at least can operate inside their own countries without any currency exchanges. (It's not quite as neat as that but the point is in the comparison to Bitcoin.) The further sensitivity to exchanges is because, since you are payed in other currencies, you are constantly evaluating Bitcoin's worth in terms of those currencies. (And being payed is a way to get currency without a currency exchange.)