Quote from: HardFacts on November 18, 2019, 05:37:11 PM

You make the very big, and very wrong assumption that BitCoin holds more value than any other of the Fiat Currencies. You are NOT protected against a 244 Trillion global debt crisis by holding something that has zero real value.

Bitcoin got a boost when Chinese president Xi Jinping endorsed cryptocurrencies in a speech. What all the bitcoin fanatics missed was that President Xi was talking about a CHINESE GOVERNMENT BACKED crypto, with all the benefits of the block-chain. I would take a GOLD BACKED Chinese crypto currency any day over bitcoin which is backed by NOTHING.

You can ignore reality, but you can not ignore the consequences of ignoring reality Grin

( Like when you lose most of your money )...

Hard Facts

Actually its the other way around. Markets are backing bitcoin price, while your "alternative" is backed by the chinese government. So lets see, You trust more the Chinese gov (The State) than the free market (The People)?

Has it ever occurred to you, that all of these "x backed" coins depend on a promise that may or may not ever be fulfilled? Imagine that, the Chinese system falls, the people from Taiwan take over or something, and then they simply don't recognize none of these tokens. Then what? Cry a river? Sue the Chinese state? good luck with that...

The markets consider bitcoin valuable because of its features (code), not because of an empty promise of a State, company or individual. A promise that can become null without warning, is not like having the actual gold in your hands. If anything, those coins that are "backed" i consider even more dangerous, because they likes of you mistakenly think that "is gold", no its not. Nor Dollars "backed" on gold, they are not gold, they are worthless papers. When Americans ended the artificial gold pegging they were being more honest.

In fact the current government can decide later not to fulfill the promise, or simply change the "backing ratio". This "surprise" can never happen to bitcoin, which is the reason its valued more, no surprises, no trusting.

If the economy collapse because people learn that the money doesn't exist in the banks, and start withdrawing, while the entire fiat ecosystem crashes, bitcoin that is simply keeping its value, would appear to "skyrocket". Fiat are deliberately devalued every year as they have endless production. Bitcoin is already settled to 21 million and 18.5+ million have already been minted.

Harder Facts