Not really. Crypto is in a speculative "bubble" at the moment but the whole economy is fucked to hell and back.
Some crypto's are absolutely cons but decentralised, secure, trustless systems of payment have real value.
Consider how people are being cancelled for wrongthink. Crypto is a way to bypass top down political control.
The fact that prices are mooning is partly to do with the death of the dollar. With the Fed and Gov able to print trillions out of thin air it makes sense for people to look at alternatives.
Similar to people speculating in stonks with no idea what they are doing other than stonks only go up, money printer go brrrr lots of people are going to be burned in the frenzy but crypto is more than just a pyramid scheme.
It can be a tool to kill vampire squids but most normies piling in thinking it is free money will almost certainly end up fleeced
A big issue i have with crypto is that so many pseudo intellectuals jump straight in and everytime i ask someone what it actually is they cant give me a straight god damned answer. If you cant explain something in a way that makes sense to someone who doesnt know, chances are you have no idea what you are talking about.
All currency is just a medium for things of real value, like labor, minerals, technology etc. Those things have real intrinsic value, bitcoins, dollars and everything else only holds value based on what people think its worth. There is no intrinsic value tied to them as far as i am aware (and i am open to being proven wrong) In that case it is a pyramid scheme. Its a mass sell out away from crashing the whole gig. Bitcoins themselves are worthless just like USD. USD used to be on a gold standard that meant you could always trade USD for a certain amount of gold. Now its off and its fake fiat. Crypto though isnt backed by anything and doesnt represent anything intrinsic so imo it is going to be prone to many of the same issues other currencies are prone to. There are of course differences like that of inflation where production of bitcoins is controlled, which is nice but its still fake money with no intrinsic value.
Crypto is trustless triple entry accounting with non-inflationary and scarce units. If you don't understand why that's valuable you need to learn more about money.
Ooof too much intelligence in one post. How can I connect this to the ((((sister lovers))))
non-inflationary and scarce units
Some crypto meets this standard, but definitely not all of them.
20yo with a Reddit account fancies himself the pinnacle of economics because he bought doge coin six months ago.
I'd argue there's no such thing as intrinsic value. All value is subjective. Gold has value because people decide it's valuable. Same goes for crypto and dollars.
I hear this dumb shit all the time. People aren't merely deciding gold is valuable. There are physical properties in the metal itself that it can do things other metals can't. It is backed by physics. Gold is necessary to build your computer. Can't do it (reasonably) without it. That's only one example.
To give some counterexamples to your point were cryptocurrencies have no intrinsic value: bitcoin is backed by labor and capital. In order to generate bitcoins, it is required to invest in expensive computer hardware, and it also necessitates ongoing electricity and maintenance costs. In this sense, bitcoin bears similarity to the Labor Treasury Certificates issued by Adolf Hitler where the currency was equivalent to some unit of labor.
There is also in fact a cryptocurrency that is backed by gold, which used to be the case for the dollar, like you mentioned in your post. It's called PAXG. It can be exchanged for its equivalent value of gold at any time. From the :
Each token is backed by one fine troy ounce (t oz) of a 400 oz London Good Delivery gold bar, stored in Brink’s vaults. If you own PAXG, you own the underlying physical gold, held in custody by Paxos Trust Company.
PAX Gold is the only gold token that you can redeem for LBMA-accredited Good Delivery gold bullion bars. For additional convenience, smaller amounts can be redeemed through a network of physical gold retailers in US and Canada. Institutional customers can also redeem for unallocated Loco London Gold. Paxos customers can always redeem for USD at current gold market prices
In my point of view, the positives of bitcoin are the fact that the supply of bitcoin is limited, it is dependent on capital to be mined, and it is not in the hands of a central authority. No third party can arbitrarily change its value by increasing the supply.
Yeah but you can always divide by another decimal slot and never reach the whole so it kind of is an unlimited supply
i have heard this but i get conflicting information when i ask what the bitcoin mining actually does. so when mining a bitcoin what are people actually doing with their computers? what is the energy exchanged for? is it just burning power for the sake of it? that would have the same value as burning houses for currency and is retarded. So what is that computing power actually being used for? do they utilize collective computer power to process information? that makes sense and would give bitcoin some intrinsic value but that is what i have deduced personally, not what anyone who promotes bitcoin has told me.
Pax g it is very difficult to get the gold. We need something like pax g in the USA but based on silver. Something that has multiple locations to collect your silver if you want. Look into paxg u have to have a lot of money put in to ever get your gold out I think it was close to 300k
You can argue that USD are backed by fiat laws. We have to hold them in order to pay taxes. I can see real value in free market currencies backed by network effects. I agree there is no intrinsic value in bitcoin but what is the intrinsic value of a bank note? What separates the value of different bank notes other than the number on them?
Currency doesnt need intrinsic value if it is a secure medium of exchange.
I see crypto as branded ledgers. Brands have value, ledgers can be trusted to persist over time. But brand loyalty can change and debt can be voided. I prefer my money without counterparty risk to be a store of value over time
I really don't want to speculate in crypto. I can see it being useful as a currency but I would not want it as money and CBDC are the beast system
Currency doesnt need intrinsic value if it is a secure medium of exchange.
Without something intrinsic, what is the value of it? I agree that currencies don't need intrinsic value since their purpose is just transfer of value, not storage of it.
I prefer my money without counterparty risk to be a store of value over time
Au and Ag.
That's hilarious. So it's on the explainer bc you refuse to understand it?
The minimum value of a bitcoin is equal to the number of Joules of energy it took to mine.
Incorrect. Sunk cost fallacy. It's value is that people choose to value it, because people are intelligent, and they see there is value in valuing something that is an alternative to threat backed currency (taxation) that is used to genocide them and give money to black baby factories, as well as used to allow the banks to steal purchasing power from us.
When people store a percentage of their networth in bitcoin (lets say everyone opted to store 70% of their networth in it), at one particular price there wouldn't be enough bitcoin to do that.. so what happens instead is that the price increases so that is possible. The past has nothing to do with valuation. The present, and people's present assumptions about the future do.
But that energy is already spent and isn't coming back. Bitcoin isn't a battery to store energy. The amount of energy it took to mine it is not it's value, that's the cost of Bitcoin.
Crypto is great, until the power goes out. It's a toy that people bid on.
The internet is great until the power goes out. Therefore the internet has no value
You make a good point, as society declines blackout are going to be much more frequent as we descend to third world quality of life. People should learn to rely on the internet or anything electronic less and less. Meatspace FTW!
This is just fucking stupid, if the power goes out enough to where you can't use crypto you got bigger problems than the soundness of your money.
At that point you just need bottlecaps. ;)
So crypto is just a toy then, not some great shtf hedge like people pretend. Which is my point.
Beat me to it. Should've scrolled down before I replied.
Not the point . The point is they can turn it off or remove your access any time they want. But yeah we're gonna have bigger problems when the power goes out. Possibly in the next 10 years... watch the sun and the earths magnetic fields for more info.its all over the academic papers right now if you know where to look.
Cash will be just as worthless when the power goes out.
That’s why I keep stuff I can barter.
Power went out the other week, wallet was still there, store accepted money, bought stuff. Now if I had btc on the other hand...
I'm going back to tulips.
I want to but I can never justify it the hugh entry cost.
Crypto is great, until the power goes out.
If things get so bad electricity and comms become a thing of the past, you'll have much bigger problems than deciding on a currency.
This exactly. Any scenario where there is no electricity anywhere also means that fiat doesn't work and gold and silver also would not work. Brass and lead are the most precious metals as currency in that scenario.
Also, the power going out only means that you can't exchange it. That true of credit cards.. yet people use those. If you have a mix of bitcoin in your own wallet and stored on exchanges, the exchanges haven't changed their legal relationship with you and you still have money.
It's like saying a bank is useful until the power goes out. I'm pretty sure a physical bank can't check your balance on their system without electricity. I guess I'm stupid to have a bank account now.
That can literally be said about everything when the power goes out.
Except copper stills, you can run those shits in the middle of the woods and make high quality alcohol that works as a fuel, as a disinfectant, as a currency, hell you can even drink it!
Call me old fashioned, I'll take a cache of Zurich diamonds
They are making gems in the laboratory now you know, just as good as the real thing
hand rubbing intensifies
This x 1000. Only idiots make statements like the OP. There are thousands of cryptocurrencies. Some have real promise and do things fiat and precious metals cannot.
We're in the middle of a speculative bubble, so anyone buying them right now might do very well, or might lose their life savings.
If you are smart, you should buy what you can afford to lose. Divide the total amount you can afford to lose into small parts, and buy in small amounts over several years until you've bought the full amount you can lose. Then, don't sell it. The best time to have done this was 10 years ago, but the second best time is to start today.
The best thing you can do is actually USE crypto to buy things, and then buy more to replace what you spent. This is how it was intended to be used, as a replacement for central bank printer money.
Crypto is a great currency and transfer system. It's a terrible money (store of value).
Money is not a store of value. Commodities and investments are stores of value. Money is meant only for trade.
Silver is a store of value because it is useful for tons of things outside of modern technology. As is copper. Land is a store of value.
USD is not a store of value, it is a currency. Same as crypto, but most crypto is deflationary in nature, hence the increase in "value". USD is specifically inflationary as that is what our entire economy is built on.
You're making up your own definition of money there. Part of the definition of money is that it holds value over time. Commodities can have limited shelf life and investments are a way of growing wealth. Money, currencies and wealth are separate things that have overlap
I was going by the definition of money as some commodity that was used as trade (currency being something without value used as trade, e.g. fiat). Replacing money with currency, I agree with your post.
The idea of crypto is jewish.
Make it so kike social credit can be used to turn off your entire fiscal existence
Pure jewishness.
Hahahaha look (((who))) it is.
fuck off you projecting niggerfaggot
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