Re: [ANN][NOTE]DNotes - Updated! - Mandatory Update by 6/1/2014
Hi all,
Long time lurker here. I was introduced to Dnotes by my mate TeeGee. I have a a decent holding of them and have introduced a few other mates also. I have seen this currency steadily climb since I was introduced and I am very impressed when you compare it to other coins that jump around like a leprechaun on crack.
I read this thread quite often and one thing that stuck out to me was the mention of the three functions of money. The mention of it having to be used as a medium of exchange was followed by an explanation that it is exchanged on various coin exchanges. To me this is not meeting this criterion.
Gold is also exchanged on exchanges, as is oil, wheat, steel etc. This does not make them great mediums of exchange but it means they are being exchanged.
For Dnotes to be adopted and accepted as a real currency it must be able to be used to buy things. So far Bitcoin is the only coin that really fulfils this. If coins are not being actively used as a medium of exchange then the price comes from pure speculation not an inherent value. Failure to address this issue is what will result in Bitcoin reigning supreme at the end of the day and all of the other altcoins crashing and burning in its wake.
Please answer me this: Why would I used another digital currency other than Bitcoin? If I am an everyday person I might not understand how it works but I have a Bitcoin wallet and some Bitcoin and I can buy things in many places. This involves a lot of infrastructure behind this coin to be able to do this. Why would I have another address with a different currency with a different value to do the same?
Don't get me wrong , I wish this currency every success. But issues need to be addressed and discussed for it to become a useful currency beyond the exchanges.
Long time lurker here. I was introduced to Dnotes by my mate TeeGee. I have a a decent holding of them and have introduced a few other mates also. I have seen this currency steadily climb since I was introduced and I am very impressed when you compare it to other coins that jump around like a leprechaun on crack.
I read this thread quite often and one thing that stuck out to me was the mention of the three functions of money. The mention of it having to be used as a medium of exchange was followed by an explanation that it is exchanged on various coin exchanges. To me this is not meeting this criterion.
Gold is also exchanged on exchanges, as is oil, wheat, steel etc. This does not make them great mediums of exchange but it means they are being exchanged.
For Dnotes to be adopted and accepted as a real currency it must be able to be used to buy things. So far Bitcoin is the only coin that really fulfils this. If coins are not being actively used as a medium of exchange then the price comes from pure speculation not an inherent value. Failure to address this issue is what will result in Bitcoin reigning supreme at the end of the day and all of the other altcoins crashing and burning in its wake.
Please answer me this: Why would I used another digital currency other than Bitcoin? If I am an everyday person I might not understand how it works but I have a Bitcoin wallet and some Bitcoin and I can buy things in many places. This involves a lot of infrastructure behind this coin to be able to do this. Why would I have another address with a different currency with a different value to do the same?
Don't get me wrong , I wish this currency every success. But issues need to be addressed and discussed for it to become a useful currency beyond the exchanges.
Hi AlphaD,
Great points. Thanks for your support.
You are right. For DNotes to be adopted and accepted as real currency people must be able to buy things with it. At this point, it has not reached that stage. This is of course an area it is addressing. Again you are right that failure to address this issue is what will result in many altcoins failing. Store of value is however important for people to hold a coin in the first place. Here DNotes has shown great stability which it must continue to show. People will continue to hold or buy this currency if they feel that it is likely to appreciate and equally importantly their investment is not risky. This means what they will want is low volatility with a slow steady upwards drift. If a currency can exhibit this behavior then this in an of itself is a significant achievement. Among many currencies out there, DNotes uniquely does exhibit this behavior. Thus (one of) the requirements for people to hold this coin is being met. At this point, it is more akin to gold than to US dollar. It is a safe investment.
For it to become a bonafide medium of exchange it must be accepted widely by merchants. That ability however is supported by currency stability. Wide acceptance and ability to buy things not supported by price stability will lead to liquidation. I think stability and appreciation requirements are being met and now it must move towards being widely accepted. I think the successful wide adoption is a function of price stability. So I think we are getting to the next logical objective here and should address it.
The only answer I have to your question is if you are afraid that bitcoin will depreciate significantly or will be very volatile, you will not hold it despite its wide acceptance. Unfortunately, bitcoin indeed has been volatile.