You could very well be right. In your opinion, what will force the governments to accept it as money? Or do you think governments would voluntarily choose to declare in money? Efficiency would not be a factor in a government's decision because it never is, and even though all fiat money fails no government has ever accepted an alternative. If they have no choice, what would force them to have no choice?
What happens when the "value" of a Bitcoin drops from its lofty perch to half its present value?
Seems to me that Bitcoin isn't money (currency), nor an investment, but rather a speculative gamble...
Bitcoin appears to have trouble sustaining/ maintaining a consistant value. From what I gather, the majority of Bitcoins are owned by "whales" who continually manipulate/ move the "market" by buying UP the price, then selling -- causing a crash they can profit from... which they have done, repeatedly!
I want to share your enthusiasm, Bag. But I just can't help from thinking the whole crypto-game is one big ponzie scheme. It sure doesn't seem like an investment to me. Do you think it makes sense to sell 31 or 32 gold coins to buy a $67K digital notation speculation?
The blockchain process of transacting and moving money around the world, at minimal cost, out of the reach of governments, is certainly something of Value! But that is just a better accounting/ transfering system. When buying Bitcoin, what we are doing is transferring our excess earnings (savings) of say, $60,000 on Monday... What is it that Bitcoin did, to make it worth $67,000 on Thursday? Or worse, $55,000 on Friday? Clearly, I am missing something.
Thank you for the response Bag. I remember reading and agreeing with much of that article from two years ago. I too, would like to understand Bitcoin, and so I will also do a deep dive. If you wouldn't mind sharing... were there any books, articles or websites that you found particularly helpful during your research? Thanks in advance! I truly enjoy & value your writing... everytime I see a notice in my email that another of your articles has dropped, I know it's going to be a wonderful day!
Here’s what I genuinely don’t understand. The IRS now requires reporting sale, exchange, or receipt of any digital asset. So, any dollar appreciation in Bitcoin is treated as capital gains. Of course that’s no different than other appreciating assets. But the problem is that the government can change the rules at any time. They could levy a windfall profits tax for example, or a fee for using crypto as a medium of exchange, which could make it effectively useless as a true currency for law abiding people.
Late to reading, but my question about this line of reasoning is if BTC is capable of doing all these network things, why hasn't a killer app been found yet? Surely there is enough money and interest in the ecosystem. What will change in the next decade to make it different from the last one?
You could very well be right. In your opinion, what will force the governments to accept it as money? Or do you think governments would voluntarily choose to declare in money? Efficiency would not be a factor in a government's decision because it never is, and even though all fiat money fails no government has ever accepted an alternative. If they have no choice, what would force them to have no choice?
Good read
To store & grow purchasing power?
What happens when the "value" of a Bitcoin drops from its lofty perch to half its present value?
Seems to me that Bitcoin isn't money (currency), nor an investment, but rather a speculative gamble...
Bitcoin appears to have trouble sustaining/ maintaining a consistant value. From what I gather, the majority of Bitcoins are owned by "whales" who continually manipulate/ move the "market" by buying UP the price, then selling -- causing a crash they can profit from... which they have done, repeatedly!
I want to share your enthusiasm, Bag. But I just can't help from thinking the whole crypto-game is one big ponzie scheme. It sure doesn't seem like an investment to me. Do you think it makes sense to sell 31 or 32 gold coins to buy a $67K digital notation speculation?
The blockchain process of transacting and moving money around the world, at minimal cost, out of the reach of governments, is certainly something of Value! But that is just a better accounting/ transfering system. When buying Bitcoin, what we are doing is transferring our excess earnings (savings) of say, $60,000 on Monday... What is it that Bitcoin did, to make it worth $67,000 on Thursday? Or worse, $55,000 on Friday? Clearly, I am missing something.
Looks like tulips to me.
Thank you for the response Bag. I remember reading and agreeing with much of that article from two years ago. I too, would like to understand Bitcoin, and so I will also do a deep dive. If you wouldn't mind sharing... were there any books, articles or websites that you found particularly helpful during your research? Thanks in advance! I truly enjoy & value your writing... everytime I see a notice in my email that another of your articles has dropped, I know it's going to be a wonderful day!
Here’s what I genuinely don’t understand. The IRS now requires reporting sale, exchange, or receipt of any digital asset. So, any dollar appreciation in Bitcoin is treated as capital gains. Of course that’s no different than other appreciating assets. But the problem is that the government can change the rules at any time. They could levy a windfall profits tax for example, or a fee for using crypto as a medium of exchange, which could make it effectively useless as a true currency for law abiding people.
Late to reading, but my question about this line of reasoning is if BTC is capable of doing all these network things, why hasn't a killer app been found yet? Surely there is enough money and interest in the ecosystem. What will change in the next decade to make it different from the last one?