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What do people think about Bitcoin?

Discussion in 'BBS Hangout' started by Spooner, Jan 25, 2014.

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What is the fate of Bitcoin?

  1. Currency of the future

    35.8%
  2. Passing Fad

    64.2%
  1. I am a Donut

    I am a Donut Contributing Member

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    I can see them being huge in video games. Lots of possibilities there. I struggle to see the appeal of the art and collectible NFTs, personally, but then again I'm someone who tries to spend LESS time with screens and devices. But for younger generations whose lives are more embedded in digital I guess it makes sense...
     
  2. Space Ghost

    Space Ghost Contributing Member

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    NFT's, like all newly adopted ideas, tend to attract the grifters who sucker the ill informed. Cryptokitties anyone? Whats happening now is most of this will be tax writeoffs after they have lost all their value.

    NFT's have their value. Imagine a band who plays the local scene and want to raise money for an album. They issue 1000 NFT's that give collectors ownership to the first album, for say $100 an NFT. Maybe you design the art to the individual NFT that gets submitted to the album forever. The band keeps 100 and distributes it out internally. Band is successful. Its not a security, its a commission to create art. Band is very successful and now you have a very valuable NFT that gives you ownership of their first album.

    In other words, NFT's is a tool to bypass securities and walled off institutions giving artists some independence.
     
  3. Commodore

    Commodore Contributing Member

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    everything is trending to zero versus bitcoin, especially NFTs

    in a bitcoin world, you won't buy things because they store value (fine art, gold, real estate, index funds), you will buy them to actually use them

    This will make everything more affordable as the store of value premium is sucked out of them and into bitcoin.

    Priced in bitcoin, home values are depreciating, just like cars do. That's as it should be.
     
  4. Xerobull

    Xerobull Salve Dicit Mater Tua
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    NFTs:



    Wait, wat?

    Bitcoin is appreciating faster than home values, but home values are not depreciating. Cars depreciate because they wear out. Homes can be maintained indefinitely or until the land value is more than the structure and it makes sense to tear down the home and build something new/better.
     
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  5. CCity Zero

    CCity Zero Member

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    Lol, @ home values depreciating.... I think real-estate is the only nearly guaranteed thing to living the American dream without overextending yourself. Ie buying up more property for rental or even flipping. And if it's a desirable area won't have the massive swings other investments can have, like let's say btc dipping 50%, obviously it'll probably return and you buy more etc. But I like property since you can easily use it to your advantage and not have to cash out your investment.

    I can't walk into a bank and say I have 5 btc and would like to borrow 80% from it while still holding the coins, and then have the loan fixed/secured with no hidden interest rates/extra appreciation to pay back.
     
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  6. Xerobull

    Xerobull Salve Dicit Mater Tua
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  7. KingCheetah

    KingCheetah Contributing Member

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    B-Bob likes this.
  8. DonnyMost

    DonnyMost clean your room bucko

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    It really depends on where you're buying.

    My parents home in bum **** nowhere didn't appreciate in value after 30 years when you take inflation into consideration.

    My townhome in DC went up in 20% in 3 years.
     
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  9. Ziggy

    Ziggy 99ers STAND BY
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  10. Space Ghost

    Space Ghost Contributing Member

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    Blockfi will loan you 50% of the value of your crypto as collateral but they will hold it. If you have 10 BTC (currently worth 50k ea) and it goes up to 100k in the next couple months, take a crypto loan against it for 50% of the market value (100k ea), buy a couple houses/property and you're pretty much 100% clear with no lean on the property. If crypto goes to ****, no loss for you. If crypto goes berserker, you pay off the loan and get your crypto back. Blockfi is making money by relending your crypto asset. You also never liquidate your crypto holding during the loan so you still are covered as a long term capital gain.

    Moral of the story: There is a lot of money flying around everywhere and you dont need to be a financial genius to do well.
     
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  11. txtony

    txtony Member

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    Let's hypothetically said someone invented a quantum bitcoin mining device. What happens to the value of bitcoin if mining is fast and cheap?

    Let's said someone built a mega solar power complex for bitcoin mining. What happens to the value of bitcoin if mining is still compute intensive but energy is basically free?
     
  12. Space Ghost

    Space Ghost Contributing Member

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    If there is only one said device, all the nodes would reject and blacklist the device. If there are multiple, the network would compensate and increase the difficulty to average 10 minute block time.

    Energy is a moot point. If only one mining farm has free energy, then that mining farm would simply have better returns. If all energy is free, then the cost will reflect in mining equipment. If one farm gets significant share of hash power, it will divide up in pools, less risk getting blacklisted from the network
     
  13. Commodore

    Commodore Contributing Member

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    Priced in bitcoin, everything, including homes, is depreciating.
     
  14. Space Ghost

    Space Ghost Contributing Member

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    Anticoiners, like BTC maximalist, fail to see the macro. Gen X failed us by allowing Boomers to create this ****ed up modern financial system also known as MMT. Gen X finally countered with Bitcoin. Bitcoin is not a solution. Its a lifeboat. This is routinely what its referred to. Those who are fortunate enough to get on the Bitcoin lifeboat will do very well in 20 years. But its still a lifeboat.

    The planet is not going to price everything in bitcoin. It will be priced in a sovereign nations digital currency. The difference is some asian kid manufacturing your iphone will actually get paid on a global networth instead of a greedy rich corporate american company taking his wealth contribution in the economic chain of whatever he works on. That is when 1 Bitcoin will be worth 1 Bitcoin. Bitcoin is not going to send every asset on this planet to 0.
     
  15. txtony

    txtony Member

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    Network compensate by traditional (or even said new quantum device) is a cat and mouse game, isn't it? Traditional compute device wouldn't be able to increase difficulty faster than quantum computing power to overcome. Maybe there is a chance if it's quantum vs quantum...

    So, theoretical again, what if network cannot compensate? What happens to the value of bitcoin?

    But maybe this is all moot... if there are such devices, our current method of cryptography is dead and so would all electronic communications and all non-physical assets.
     
  16. Space Ghost

    Space Ghost Contributing Member

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    Yes, that was going to be my next point.

    Bitcoin isn't perfect. There are serious legit flaws in the network.

    One flaw is that governments can regulate the **** out of local exchanges. If they can a strong hold on exchanges early on and create a massive crypto network demand, they can start requiring exchanges to blacklist certain addresses. If enough governments get on board, they can make some addresses worth much less than others.
     
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  17. Invisible Fan

    Invisible Fan Insider Newsletter™ 2X Diamond Member

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    Blockfi is not FDIC insured. Their returns are very enticing, so put as much as you're ok with risking.

    The pros are excellent though. Getting taxed on crypto sale to finance home is no bueno.
     
    Space Ghost likes this.
  18. Dr of Dunk

    Dr of Dunk Clutch Crew

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    This is the only reason I'm not putting my money into something that returns 5-8%+ in crypto. None of it is insured. So if your wallet, exchange, or the crypto itself is hacked somehow, welp...tough luck. This is about the only thing stopping the traditional CD/savings account from becoming borderline pointless.
     
  19. Dr of Dunk

    Dr of Dunk Clutch Crew

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  20. Invisible Fan

    Invisible Fan Insider Newsletter™ 2X Diamond Member

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    Is that like the man-child-whale(-pig) version of collecting funko pop or Jordans?

    They must think it's like baseball cards. At least Garfield can't rip them pixels up...

    I still remember companies buying digital land on Second Life, but I've lost track on whether I'm ahead or behind on the times.
     

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