What is the point of Bitcoin?

[Politruk]

I mean, what advantage does it offer over government currency? How is it an improvement?

 

[TastySuckToy]

1) Absolute scarcity, more cannot be created.
2) Time and energy required to mine and transact it.
3) Decentralized and open source, no one can control it, everyone can examine it, anyone can hold and use it.
4) All the benefits of a digital currency/asset, without third parties needed to transact it.

That is a very simplistic overview of the basics.

 

[Chernosoth]

Cryptocurrency is a pyramid scheme. Since capitalism is a pyramid scheme, all types of scams, especially pyramid schemes, become more common in the late stages of capitalism.

 

[MajorRewrite]

Cryptocurrency is supposed to make financial transactions untraceable, which has advantages for criminal activity (money laundering) and for tax evasion.

 

[Politruk]

Cryptocurrency is supposed to make financial transactions untraceable, which has advantages for criminal activity (money laundering) and for tax evasion.

Cash would serve that purpose.

 

[musicmanx22]

First understand that while Bitcoin is a cryptocurrency, not all are the same. Crypto is full of crypto tokens platforms, scams, meme coins, and Bitcoin stands apart from these.

The advantage of Bitcoin over government currency is that it can not be debased or controlled by any government or individual.

While governments will continue to print more currency to the point it is worthless, Bitcoin gives you an option to store value in a monetary asset that can not be debasd.

 

[Politruk]

First understand that while Bitcoin is a cryptocurrency, not all are the same. Crypto is full of crypto tokens platforms, scams, meme coins, and Bitcoin stands apart from these.

The advantage of Bitcoin over government currency is that it can not be debased or controlled by any government or individual.

While governments will continue to print more currency to the point it is worthless, Bitcoin gives you an option to store value in a monetary asset that can not be debasd.

That particular argument is always bullshit when applied to gold. How is Bitcoin better than gold?

 

[musicmanx22]

Gold has worked well for thousands of years and since coming off the gold standard has continued to be a better store of value than government currency.

Bitcoin is superior to gold in that it is easily auditable, transportable, and divisible. Bitcoin can be sent to anyone in any amount, to anyone in the world in minutes.

 

[TastySuckToy]

Personally, I strongly recommend anyone who doesn't trust Bitcoin, doesn't understand it, thinks it's a scam, compares it to other 'cryptocurrencies', etc: do not buy any of it, don't read up on it, and encourage your friends and family to do the same.

Leave the Bitcoin asset to people such as myself, who just aren't smart enough to realize how worthless it is and that it's just a fad that'll go away soon once everyone realizes how stupid it is.

 

[TastySuckToy]

Gold has worked well for thousands of years and since coming off the gold standard has continued to be a better store of value than government currency.

Bitcoin is superior to gold in that it is easily auditable, transportable, and divisible. Bitcoin can be sent to anyone in any amount, to anyone in the world in minutes.

What is going to be interesting is when the supply shock hits the market. Our economics have never dealt with an asset that is truly scarce and more cannot be created. Gold can be somewhat scarce, but more can always be mined. If gold price skyrocketed, so would supply additions of it as the value would push greater mining efforts for it, etc.

Not with BTC, though. There is a reason BlackRock, MicroStrategy, governments and the rich are gobbling it up at alarming rates. By the time most people realize what's happening with Bitcoin, there will only be tiny scraps of it left and the price will increase to fantastical levels. And that time frame is approaching rapidly.

 

[Politruk]

“”[Bitcoin is] the best penny stock and the worst currency in the world. … Bitcoin is a revolutionary technology built on reactionary economics. —Matt O'Brien[2]

 

[TastySuckToy]

“”[Bitcoin is] the best penny stock and the worst currency in the world. … Bitcoin is a revolutionary technology built on reactionary economics. —Matt O'Brien[2]

You should absolutely take this source seriously, and stay away from Bitcoin entirely, as I said above. And encourage your friends and family to do the same. Stay away from it completely.

 

[Pad_Foot]

Bitcoin and Gold offer nothing to the American economy. Absolute Greed and AntiAmerican! Have you never watched “It’s a Wonderful Life”? Money has to move. By moving it helps everyone.

Bitcoin and Gold? Sure you might make money, but who owns the majority of all of it??

 

[Pad_Foot]

What percentage of America’s wealth oops, sorry, the billionaires wealth is invested in gold and NOT in America?

You do the math

According to most financial experts, the upper class typically allocates between 5% and 20% of their overall portfolio to gold, as a way to diversify investments and hedge against inflation; the exact percentage depends on individual circumstances and risk tolerance.

Now? With BitCoin? They all bought in way early, so you really can’t count that investment against them

But!! The ultra rich need you to support the bottoms of their pyramids!! So? Dig out your gold cavities and sell off your family jewelry when the shit hits the fan!! They will buy it for your low asking price! Odds are they can get loans against their gold or go swimming in it like Scrooge McDuck

Pyramids are not great at employing people once they have been built.

 

[adrina]

Money laundering. Essentially.

 

[SevMax2]

Personally, I strongly recommend anyone who doesn't trust Bitcoin, doesn't understand it, thinks it's a scam, compares it to other 'cryptocurrencies', etc: do not buy any of it, don't read up on it, and encourage your friends and family to do the same.

Leave the Bitcoin asset to people such as myself, who just aren't smart enough to realize how worthless it is and that it's just a fad that'll go away soon once everyone realizes how stupid it is.

Well, since it depends on the power grid, we'll see. If and when the power grid is disrupted, and it will be, it might be a trouble for anyone with not only crypto, but stocks/shares, mutual funds, etc.

Gold isn't un-American in moderation, same with silver. Those are wise hedges against economic collapse, inflation, etc. Crypto is dependent too much on technology that will eventually fail. Such as when the power grid is either disrupted or, worst case scenario, destroyed.

Crypto is also money laundering, as adrina noted, and it is closely tied to the dark web, to the black market, to human trafficking, and other forms of organized crime.

 

[Politruk]

Gold isn't un-American in moderation, same with silver. Those are wise hedges against economic collapse, inflation, etc. Crypto is dependent too much on technology that will eventually fail. Such as when the power grid is either disrupted or, worst case scenario, destroyed.

In that event, we will all have much more urgent concerns -- money of any form won't be worth anything.

 

[contrifan32]

In that event, we will all have much more urgent concerns -- money of any form won't be worth anything.

That is why I invest in lead

 

[Politruk]

That is why I invest in lead

Lead won't be worth anything either.