Let's talk about Cryptocurrencies

[PsYcNeT]

Looks like we might be entering the Bear a few weeks early; massive Chinese sell off with many mining firm closures over the weekend.

Should be a few decent short-sell opportunities if you have any liquidity (already was one between 5:15 and 6:15 AM today) but IMO I see this as a harbinger for 2021.

[Canadianman]

Originally Posted by Fuzz

What does gold mining have to do with transactions? You know gold has other uses, right?
Beyond that, how can Bitcoin replace traditional transactions when it would require 10x the power consumption of the US to do it?

Welcome to technology!




How can a car replace a horse? it only goes 3 mph, breaks down constantly and need this expensive gasoline to run. It will never catch on.


How can a computer replace an adding machine? It has to be programmed each time with hundreds of punch cards, is the size of an entire building floor and uses too much electricity. It will never catch on.

[Fuzz]

Originally Posted by Canadianman

Welcome to technology!

How can a car replace a horse? it only goes 3 mph, breaks down constantly and need this expensive gasoline to run. It will never catch on.

How can a computer replace an adding machine? It has to be programmed each time with hundreds of punch cards, is the size of an entire building floor and uses too much electricity. It will never catch on.

I'm not sure what hilarious point you are trying to make. Bitcoin has fundamental limitations in its current form that exclude it from being a payment processor like the banks/credit cards do. Are you aware that that limit is about 4.6 transactions per second? Visa alone is capable of handling 24 000 transactions per second:

https://towardsdatascience.com/the-b...ed-5cce48f9d44

https://usa.visa.com/run-your-busine...ls/retail.html

What is actually being proposed is that Bitcoin is the horse and buggy, attempting to replace a Ferrari. Thanks for the analogy, it works!

[PsYcNeT]

Originally Posted by Canadianman

Welcome to technology!




How can a car replace a horse? it only goes 3 mph, breaks down constantly and need this expensive gasoline to run. It will never catch on.


How can a computer replace an adding machine? It has to be programmed each time with hundreds of punch cards, is the size of an entire building floor and uses too much electricity. It will never catch on.

This argument would be more useful to compare with ETH. BTC is useless as anything but a gold hedge.

[Fuzz]

Originally Posted by PsYcNeT

This argument would be more useful to compare with ETH. BTC is useless as anything but a gold hedge.

Yes, ETH 1 can handle 30 TPS, ETH 2 can handle 100k, which would beat Visa and give it the potential to play that roll.

[Canadianman]

Originally Posted by PsYcNeT

This argument would be more useful to compare with ETH. BTC is useless as anything but a gold hedge.

The first automobiles were also useless. Bitcoin is the Benz Patent Motor Car in the analogy. Dooming the entire cryptocurrency industry because of Bitcoin is exactly the same as what people said about the automobile.


ETH is significantly better than BTC. ADA is significantly better than ETH. and new cryptos will arrive that continue to improve. Every new technology has had detractors comparing it to the fully fleshed out previous iteration of technology and dooming it. Sometimes the problems prove too difficult and the technology doesn't pan out, but it always leads to the next innovation.

[Fuzz]

I've always said that Bitcoin has fundamental problems, not that the blockchain or other crypto's are all doomed(though many are). But any time I mention problems with Bitcoin, I see responses like yours.

[afc wimbledon]

Originally Posted by Canadianman

Welcome to technology!




How can a car replace a horse? it only goes 3 mph, breaks down constantly and need this expensive gasoline to run. It will never catch on.


How can a computer replace an adding machine? It has to be programmed each time with hundreds of punch cards, is the size of an entire building floor and uses too much electricity. It will never catch on.

of course this analogy only works if Bitcoin or any other crypto has some fundmental potential advantage over regular electronic money, which it doesnt seem to have, it isnt secure or untrackable, it requires exactly the same infrastructure, its just another form of currency in its use, its really no different from dollars

[topfiverecords]

Originally Posted by Canadianman

The first automobiles were also useless. Bitcoin is the Benz Patent Motor Car in the analogy. Dooming the entire cryptocurrency industry because of Bitcoin is exactly the same as what people said about the automobile.


ETH is significantly better than BTC. ADA is significantly better than ETH. and new cryptos will arrive that continue to improve. Every new technology has had detractors comparing it to the fully fleshed out previous iteration of technology and dooming it. Sometimes the problems prove too difficult and the technology doesn't pan out, but it always leads to the next innovation.

So now that we have all of these better versions up and running how to we shut down and eliminate the still operating and inefficient proof of concept?

It's not like a car that was scrapped and then manufacturing shifted to the next model.

[Fuzz]

Originally Posted by topfiverecords

So now that we have all of these better versions up and running how to we shut down and eliminate the still operating and inefficient proof of concept?

It's not like a car that was scrapped and then manufacturing shifted to the next model.

Bitcoin is the EV1. All the true believers think it is the greatest thing ever, and GM could have rode it to Tesla's success. They'll scream from the rooftops about it how GM killed the electric car, how it's revolution was cut short. When in reality it was a product of its time, laying the groundwork, but never able to function like today's EV's due to technological limitations that have since been overcome.

[topfiverecords]

Originally Posted by Fuzz

Bitcoin is the EV1. All the true believers think it is the greatest thing ever, and GM could have rode it to Tesla's success. They'll scream from the rooftops about it how GM killed the electric car, how it's revolution was cut short. When in reality it was a product of its time, laying the groundwork, but never able to function like today's EV's due to technological limitations that have since been overcome.

Except for EV1s made it global, and are still driving around mostly empty wasting energy.

[Canadianman]

Originally Posted by afc wimbledon

of course this analogy only works if Bitcoin or any other crypto has some fundmental potential advantage over regular electronic money, which it doesnt seem to have, it isnt secure or untrackable, it requires exactly the same infrastructure, its just another form of currency in its use, its really no different from dollars

you fundamentally don't understand cryptocurrency.


simply having a cap on how much is available puts it in a completely different realm than fiat currency.

[Izzle]

Originally Posted by Canadianman

you fundamentally don't understand cryptocurrency.


simply having a cap on how much is available puts it in a completely different realm than fiat currency.

That doesn't make sense. Eth does not have a cap. And Bitcoin as it currently stands is more a store-of-value than a currency.

[Canadianman]

Originally Posted by Izzle

That doesn't make sense. Eth does not have a cap. And Bitcoin as it currently stands is more a store-of-value than a currency.

ETH doesn't currently have a hard cap, it has a cap on how much can be created per block (which declines over time).


Also EIP 1559 and ETH 2.0 are set to alter this substantially.


Most non-meme coins have a fixed supply and/or a set progression for new coins to be minted.


I am starting to remember why I keep leaving this thread. It seems to just be a dumping ground for drive-by comments made by people with a very low level of knowledge about cryptocurrency. *not directed at you Izzle *

[Izzle]

Originally Posted by Canadianman

ETH doesn't currently have a hard cap, it has a cap on how much can be created per block (which declines over time).


Also EIP 1559 and ETH 2.0 are set to alter this substantially.


Most non-meme coins have a fixed supply and/or a set progression for new coins to be minted.


I am starting to remember why I keep leaving this thread. It seems to just be a dumping ground for drive-by comments made by people with a very low level of knowledge about cryptocurrency. *not directed at you Izzle *

Thing is, I do want to understand. For the most part I rely on forums such as CP to read up on it. I could read the white paper but I'm not smart enough to understand. The other guides on the internet that dumb it down read as fan boys pumping Bitcoin tires.

From what I read about ETH, it makes sense to me. Much more so than Bitcoin. I would be comfortable putting a few dollars into ETHX.B to gain exposure to ETH. But I wouldn't for Bitcoin. Bitcoin is too energy intensive to be a daily currency and it's too volatile to be a store of value.

[afc wimbledon]

Originally Posted by Canadianman

you fundamentally don't understand cryptocurrency.


simply having a cap on how much is available puts it in a completely different realm than fiat currency.

Thats just a Gold Standard, which is what we had back in the day when no one less than a millionaire could get a mortgage, there is nothing fundamentally different about having a capped currency in fact it is a return to the 19th century and has all the same issues, no growth.

[topfiverecords]

Originally Posted by Canadianman

ETH doesn't currently have a hard cap, it has a cap on how much can be created per block (which declines over time).


Also EIP 1559 and ETH 2.0 are set to alter this substantially.


Most non-meme coins have a fixed supply and/or a set progression for new coins to be minted.


I am starting to remember why I keep leaving this thread. It seems to just be a dumping ground for drive-by comments made by people with a very low level of knowledge about cryptocurrency. *not directed at you Izzle *

There may be a fixed supply of whole numbers with many cryptocurrencies but as long as divisibility isn't restricted the supply isn't either.

[DoubleK]

Originally Posted by Canadianman

you fundamentally don't understand cryptocurrency.


simply having a cap on how much is available puts it in a completely different realm than fiat currency.

I don't either, which is why don't own any.

Hard to call something an investment when it doesn't match up with any traditional form of valuation.

Is it a currency? Is it a store of value? Is it a technology? Or is it a banking system?

Crypto needs to make up its mind.

[GGG]

Originally Posted by afc wimbledon

Thats just a Gold Standard, which is what we had back in the day when no one less than a millionaire could get a mortgage, there is nothing fundamentally different about having a capped currency in fact it is a return to the 19th century and has all the same issues, no growth.

What’s interesting is that if Gold is actually a store of value then we still operate on the gold standard over long periods of time and the existence of Bitcoin doesn’t change this. As money is printed the value of gold in terms of those dollars rise.

Ergo we aren’t constrained on a day to day basis but the gold standard but the fundamentals of inflation relative to a store of value don’t change. Or Gold isn’t a real store of value given the current levels of asset inflation occurring.

[GGG]

Originally Posted by DoubleK

I don't either, which is why don't own any.

Hard to call something an investment when it doesn't match up with any traditional form of valuation.

Is it a currency? Is it a store of value? Is it a technology? Or is it a banking system?

Crypto needs to make up its mind.

Different Cryptos can fulfill different niches. It’s also an NBA card collection loot box system.