Besides my comment wasn't that it's going away it's just losing value at an alarming rate.
You want as little cash as possible IMO... Crypto or not acquire assets not cash
Or "die"
Crypto existing or not, most financially literate people don’t park a lot of their net worth in cash for long periods anyway. So it’s not really the big deal you make it out to be on a personal level.
You know what occasionally loses value at alarming rates? BTC. It won’t receive corrections for eternity.
Last edited by topfiverecords; 11-05-2021 at 06:31 PM.
Eth 2.0 can handle 100,000 transaction per second.
Visa, Mastercard, Amex are all quite less, though probably capable of more.
The problem is Eth 2.0 seems like a pipedream at this point. Adoption is way to slow, and other networks are capable of that and more.
If credit card companies needed to, I'm sure they could find ways to scale higher. The limitation currently is only because they don't have a need to spend more for more transactions. Visa does about 1700TPS. Does anyone complain about a transaction backlog as they wait? No.
Crypto existing or not, most financially literate people don’t park a lot of their net worth in cash for long periods anyway. So it’s not really the big deal you make it out to be on a personal level.
You know what occasionally loses value at alarming rates? BTC. It won’t receive corrections for eternity.
You were the one talking about paper money...they are printing more of it than ever...it will lose value for eternity
People want alternatives, a hedge against inflation.
Crypto will flourish in times of rapid inflation...get on the trolley
That is a valid point, but what about gold? Who decided that it should be worth anything?
From the weight of history, where virtually all cultures deem gold to be valuable and beautiful. Nobody's going to be excited at finding a chunk of iron or copper the way they would be with gold:
Which is why it will never be a currency, it's the digital Schrodingers Cat, it's potential value is limitless but it becomes worthless as soon as it becomes a practical thing, what ever you do never look in the effing box dino!!!
If credit card companies needed to, I'm sure they could find ways to scale higher. The limitation currently is only because they don't have a need to spend more for more transactions. Visa does about 1700TPS. Does anyone complain about a transaction backlog as they wait? No.
The backlog can be an issue, and the fees are too high.
Blockchain will fix both. That is why credit card companies are jumping on board because they see the benefits & the disruption to their business model.
Crypto existing or not, most financially literate people don’t park a lot of their net worth in cash for long periods anyway. So it’s not really the big deal you make it out to be on a personal level.
You know what occasionally loses value at alarming rates? BTC. It won’t receive corrections for eternity.
BTC has stabilized more and more as more institutions have come onboard.
Instead of focusing on the 'omg dip' part of it, look at the general value of BTC over 20 years.
Then look at the general value of the USD over 20 years.
I try to stay out of this ridiculous debate (there is plenty of room for both fiat and digital currencies), the fact that someone controls the supply (and, as a result, the VALUE) of every single fiat currency is the #1 biggest weakness.
BTC has stabilized more and more as more institutions have come onboard.
Instead of focusing on the 'omg dip' part of it, look at the general value of BTC over 20 years.
Then look at the general value of the USD over 20 years.
Big difference.
How do compare over a 20 year period when one of the components hasn't been around for 20? And what does general value over 20 years even mean?
Yes, u.s. dollars will lose value, on average, over time due to inflation. As others have said, nobody holds u.s. dollars as an investment or inflation hedge. That's what real assets, commodities and equities are for.
That's what I can't get my head around. Bitcoin isn't a real asset, a commodity or an equity. Does it want to be a currency or an investment vehicle? Or neither?
How is there any way that the volatility and price spikes can be anything but speculation? (With dash of fomo)
I've been thinking of buy Solana since it was in the $70's but did nothing and watched it go up into the $200s, but is it going to be better or worse than ADA or Dot in the long run.
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It is the mark of an educated mind to be able to entertain a thought without accepting it.
- Aristotle
How do compare over a 20 year period when one of the components hasn't been around for 20? And what does general value over 20 years even mean?
Yes, u.s. dollars will lose value, on average, over time due to inflation. As others have said, nobody holds u.s. dollars as an investment or inflation hedge. That's what real assets, commodities and equities are for.
That's what I can't get my head around. Bitcoin isn't a real asset, a commodity or an equity. Does it want to be a currency or an investment vehicle? Or neither?
How is there any way that the volatility and price spikes can be anything but speculation? (With dash of fomo)
Compare it over 10 years. Compare it for the next 10 years. Doesn't really matter because at the end of the day the USD is constantly losing value because of the massive amounts being put into circulation.
As for saying nobody holds USD as an investment, that is correct, but there are just 15 companies sitting on hundreds of billions of dollars of cash as of March 1, 2021.
Over 10 years the value of that money, mostly held in USD is losing its value because the USD is losings its value.
Bitcoin (or something similar) could be held instead as an inflation hedge.
I believe in the next 10 years we will start seeing more companies doing this.
Not necessarily bitcoin, but perhaps something similar.
Same thing with the US Treasury who also has billions in cash on their balance sheet. Holding bitcoin or something similar would also act as a hedge against inflation.
I try to stay out of this ridiculous debate (there is plenty of room for both fiat and digital currencies), the fact that someone controls the supply (and, as a result, the VALUE) of every single fiat currency is the #1 biggest weakness.
The purpose of a currency beyond just as a means of exchange is to allow the Government to have some stabalizing control on an economy, it also enables them to insure the financial system, without this there are no credit cards, no car loans, no mortgages.
I have the advantage that I can remember life without credit, its not that far back, 1960's for the UK, if you wanted to buy a car you paid cash, there were no car loans.
A world without Government control is a world where we all have very little stuff, where banks are little more than places to keep your savings, they dont lend money beause it is too risky, the economy shrinks massively due to the lack of purchasing power.
People forget this is why our Grandparents lived 3 or 4 to a 2 bedroom house, it was because they couldnt borrow enough to have a bigger house, go back to the 1930's and most people had to pay cash up front for a house, there were no mortgages for ordinary folks.
Much like our ability to dislike 'big pharma' because we have become so used to easy access to medicines that cure common diseases that used to kill us or how we are so used to living in a stable democracy we can assume we can break democracy and everything will be fine we also assume without Government control (and it's associated insurance) of the economy it will be fine and all the things we like about fiat Government backed currancy will still go on, they wont, no Government control no Government backing, no backing no lending.
AFC honest question - Do you short companies dealing in Crypto?
I wouldn't know how, and there's clearly no relationship to the value of companies or crypto itself to anything a reasonable investor would use to either short or buy.
Last edited by afc wimbledon; 11-07-2021 at 01:05 AM.
