Post
Topic
Board Bitcoin Discussion
Re: Biggest misconception in Bitcoin
by
fizzmine
on 09/11/2013, 04:52:29 UTC
Sublime, you may be trolling, but I'll engage in discussing this train of thought.

I think your underestimating the potential intrinsic value of bitcoin.  You compare them to baseball cards,  yet a baseball card can not be traded nearly instantly with high security anywhere in the world.

Bitcoin's value is that it allows you to accomplish something that previously has required the might if an entire nation to do.  Money only has value because there are laws in place that encourage you to honor it's value.   

The very nature of bitcoin however is that the security of your store of value does not depend on expensive anti-counterfieting technology, millions of highly paid bankers, politicians, and the backing of the largest military in the world. See where I'm going with this?

Really think about all that goes into what allows the fairly common event of being able to hand a complete stranger a piece of cloth-paper with some fancy ink on it and that stranger transfer to you a valuable item such as food, clothing, shelter, transportation, or entertainment. That every day occurrence is possible due to the massive financial and governmental industries.

Now think about how much of that store of value is needed simply to guarantee its own value.  Traditional currencies require a massive middleman, imagine what the world would look like if you could utilize all the benefits of a traditional currency at a fraction of the cost.

Now, will bitcoin ever become the sole currency of the world? No, but the feature sets of of a variety of crypto currencies could eventually replace a significant portion of fiat currency.  You can see around you how many fiat systems are collapsing under thier own weight.

No one could have predicted how the ability to send information nearly instantly and with high security anywhere in the world would change it.  I'm speaking of the Internet of course.

Bitcoin simply adds the ability to guarantee uniqueness and ownership to a piece of information, but as with currency, these attributes are highly valuable.  Who knows how bitcoin may (or may not) change the world?