Post
Topic
Board Economics
Merits 4 from 1 user
Re: Bitcoin, Crypto, and the Power of the Few
by
BrewMaster
on 15/03/2018, 16:12:52 UTC
⭐ Merited by pooya87 (4)
From what I can see, the majority of BTC wealth is concentrated in the hands of the few, the same goes for many altcoins. The other day I saw a post that one person owns all the GVT in circulation.

regarding bitcoin this is only true if proven with facts not guesses. and so far people love making guesses when it comes to bitcoin and who owns what.
additionally it is not about how much some people own it is about how they own that much. there are two different things here:
1. the premine that altcoins use (i am guessing GVT is one of them) where the developer simply starts the project with all the tokens or a great deal of them belonging to him.
2. the distribution model of bitcoin where if you invest your computing power in finding blocks you will get the block reward and that has been true from the very first block that was found and the very first block reward that was created.

you can not compare these two together. the first one is obviously is a big no no! so lets focus on the first one and on bitcoin.

when bitcoin came out nobody was preventing YOU from mining it with your PC's CPU. some people did take advantage, spend their time, electricity, and computing power and were rewarded for it.
when bitcoin came out (after a while anyways) you could buy it when it gained a value. you could for example pay $10 and own a very large amount of bitcoin (for example 1000BTC) and nobody was preventing YOU from doing it. some people did that and are now rewarded for it.

you can not blame others for believing in bitcoin and taking the risk and investing their time and money while YOU did not.

you are not the first one to bring this up either. every couple of months someone raises the same thing and they miss the fact that in near future they will also look back at people buying today and think it is unfair that they bought at $1000 but now they have to buy at $100000


all that aside, bitcoin's purpose was not distribution of wealth.
bitcoin's purpose was to have a system of payment, a currency, which would be decentralized so nobody can control it or censor it.