Post
Topic
Board Bitcoin Discussion
Re: What is the collateral behind Bitcoin?
by
avikz
on 18/07/2018, 21:51:25 UTC
What is the collateral behind Bitcoin?Like in case of Fixed deposits Money deposited acts as a collateral.In case of a car loan Car acts as a collateral.Likewise what is collateral behind Bitcoin? BTCBTC

Are you seriously asking this question or just having fun?? Bitcoin is a decentralized currency without any controlling authority unlike Banks. Who would keep the collateral? There is no authority who is controlling the circulation of bitcoin!!

However, there are three intangible collaratels available for bitcoin,

1. Public trust
2. Hope
3. Technology

Bitcoin is pretty much based on these three pillars. You can take these as collaterals as well if you really need to factor in. But quantification of these collaratels is not available!