Ninjastic
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Board Speculation
Re: Gold collapsing. Bitcoin UP.
by
marcus_of_augustus
on 12/05/2013, 23:51:39 UTC
Quote from: chodpaba on May 12, 2013, 11:23:34 PM
Quote from: wachtwoord on May 12, 2013, 11:14:35 PM
Quote from: chodpaba on May 12, 2013, 07:52:30 PM
Quote from: wachtwoord on May 12, 2013, 07:41:34 PM
Quote from: chodpaba on May 12, 2013, 07:38:09 PM

It is not a store of value. It is not money. What you transact for it—that is the money.

I disagree. Crypto-currencies in general and Bitcoin in particular are the purest form of money that has ever been available to men: They implement the requirements of money the best.

That thinking may be popular, but it is an abstraction.

The thing that actually makes Bitcoin work is triple-entry bookeeping. It is a receipt which proves that specific transactions have occured in the blockchain.

Forgetting this, will lead you to make fatal mistakes concerning your risk management.

What you say is completely true. How does it argue against my statement though?

Money is an abstraction for exchanging one thing for another.

There is a hierarchy of for this abstraction.

Bitcoin exists in a lower level of of that abstraction.

It is not money—Bitcoin is a receipt. It is closer to the objects being exchanged in the abstraction because it is more specific, and money is more general.

Not all bitcoin transactions are receipts of previous transactions though. You seem to be glossing over the significance of coinbase transactions when bitcoins are created into 'existence' by mining ... what receipt do these transactions represent?