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Board Marketplace
Re: Bitcoin - a financial pyramid: true or myth?
by
rlm42
on 30/07/2018, 14:10:03 UTC
Ponzi scheme or pyramid - a form of investment fraud, which includes the payment of expected profits to existing investors from the funds collected from new investors. Organizers of the Ponzi scheme often attract new investors by promises to invest the collected funds in projects with a high return on investment and minimal risk. In many Ponzi schemes, instead of full-fledged investment, scammers are engaged in attracting new funds through which they will make promised payments to early investors and assign a portion of these funds for personal use.
The pyramid vanishs, because it becomes unprofitable to the beneficiary.
Bitcoin does not fall under the definition of the financial pyramid. This is, in fact, a form of digital currency that is used by network participants, and the number of virtual wallets for its storage today already exceeds 11 million worldwide. There are many factors that form the price of the currency, but one of the main is the volume of demand for the currency and the number of users it is of currency. Therefore, it is quite natural that with the expansion of the user network, the bitcoin price continues to grow. This is natural for any currency, and bitcoin should not be considered a particularly suspicious anomaly.