Post
Topic
Board Bitcoin Discussion
Re: Bitcoin will inevitably Fail as Altcoins suceed
by
knight22
on 23/10/2014, 04:09:41 UTC
1) Satoshi Nakamoto owns a reported 1,000,000(1million) bitcoins. Does anyone else see the huge huge problem with this?

No. I think Satoshi well deserve his stash for taking a lot of his time creating bitcoin. Otherwise there would be no bitcoin and even no altcoin at all.

2) The Bitcoin Foundation, or the board representing Bitcoin, is full of illegal activity with dozens of former foundation members resigning from their positions this year. Charlie Shrem, a (former?) foundation member, has been invicted on April 10, 2014 on accusations of "operating an unlicensed money transmitting business, money laundering conspiracy and willfully failing to file suspicious activity reports with banking authorities". He was using Bitcoin to help users of the illegal drug marketplace, Silk Road, buy drugs with Bitcoin, as well as operating an unlicensed money transmitting business, (former) Bitinstant and Brock Pierce (current) foundation member, is an accused Child Molester.

The bitcoin foundation has no authority over the bitcoin protocol so they can do whatever they want. End of story.

3) Bitcoin is centralized. It is controlled by the mining pools. For instance, just a few months ago, Ghash.io caused quite a scare in which even Peter Todd, a core developer for Bitcoin, announced that he would be selling 51% of his Bitcoin's due to Ghash.io controlling and approaching 51% of Bitcoin's entire hashrate, which would easily allow them to commit a 51% attack on Bitcoin, thereby killing the currency by basically printing duplicate Bitcoins.

There is no incentive for any mining pool to undermine the network because of the economic and social forces behind it.

4) The most damming evidence of Bitcoin's certain death as of right now(excluding Satoshi's huge 1million Bitcoin stash) however, is Willy. Willy was a bot used on the MtGox exchange from since back in 2012. Willy was illegaly using false fiat funds to buy large quantities of Bitcoin's every hour for days and months on end, which was what led to All of Bitcoin's previous bullruns, as well as dumps when Willy reversed the trend and started selling Bitcoins. Basically, Bitcoin's entire price rise history and dumps, is due not to the traders, not to the news, but to a bot using fake money to buy bitcoins and sell them at a profit. Based upon that information, one can only guess that Bitcoin will never see a $1000+ price per coin again. http://willyreport.wordpress.com/2014/05/25/the-willy-report-proof-of-massive-fraudulent-trading-activity-at-mt-gox-and-how-it-has-affected-the-price-of-bitcoin/

The volatility will fade out when market users will out number the total of trader. Until then expect a lot of volatility and manipulation.

If any of your points was fatal ones. Bitcoin would be already dead. Also, altcoins don't even address these.