Quote from: notme on January 30, 2013, 04:41:00 PM

Quote from: xxjs on January 30, 2013, 03:22:41 PM

Quote from: hazek on January 30, 2013, 12:41:27 PM

Quote from: xxjs on January 30, 2013, 11:34:09 AM

Quote from: hazek on January 30, 2013, 10:39:48 AM

Quote from: xxjs on January 30, 2013, 01:31:19 AM

gold exchanged in barter for its intrinsic value*

*) There were probably other commodities before gold, but that is not the point here.

Specifically what was that? It looked pretty in someone's nose?

That is one example yes.

And why can't bitcoins have the same "intrinsic value"?

Bitcoins have no intrinsic value, as
1) You can not use bitcoins as wall covering
2) You can not use bitcoins to wipe your ass
3) You can not use bitcoins as ear-rings
4) You can not use bitcoins to create great electrical connectors
5) You can not use bitcoins as paperweights
6) You can not toss bitcoins to randomly select heads or tails
7) You can not throw bitcoins on somebody when you are angry
and so on.

What _can_ you use bitcoins for, other than exchange?

You might not be able to use bitcoins themselves to randomly select heads or tails, but using a specific block hash is agreed to be a good random data source that provides proof that the random number generator is not cheating for the benefit of someone else.

Also, my Casascius coins also counter 5, 6, and 7. And maybe 3 if you don't mind looking like an idiot. My bitcoin check I got free with my last order can counter 1 and 2. All that's left is electrical connectors, and Casacius makes coins that would work well for that too, I just don't have any.

Nice comments.

Randomly select: You can find randomness in bitcoins, but all of it comes eventually from the randomness generator in your computer, so it would be even easier to just grab an octet from /dev/urandom. The blockchain is novel, and the invention itself is valuable and other useful systems could be built on the same idea. Still, it hardly is intrinsic value to a bitcoin.

The Casascius coins is a special think not like any other coin. It is a real bitcoin because the key of an unspent output is hidden in it. You can toss it, but that intrinsic value is added as a metal casing for the real coin, and you have to pay extra to get that. I am still unsure how it relates to the regression theorem. Anyway, Casascius coins came after regular bitcoins in time.