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  #21  
Old 04-20-2015, 02:09 PM
jas66Kent jas66Kent is offline
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Problem with BC is that it's not physically backed by anything. It's basically just electrons flowing through the lines with the "price" fluctuating wildly due to demand (the supply can in theory be assumed to be relatively fixed in the SR. In the LR it can be assumed to converge into an asymptotic steady state)

With Fiat Currency (like the Dollar) you are essentially guaranteed payment by the full weight of the US Goverment (and military)..which makes US dollars a much more stable and safe investment for right now.
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  #22  
Old 04-20-2015, 02:12 PM
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Originally Posted by Colonel Smoothie View Post
it took THAT long?

wow
Yes, it took that long. The Music industry did not want to give up its cash cow, CDs, to digital downloads, and they fought the digital revolution for the longest time.

The same thing seems to be happening in the banking industry with respect to digital currency. The banks do not want to give up their cash cow, service fees, so digital currency scares them. Like I said, brave new world!
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  #23  
Old 04-20-2015, 02:41 PM
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Originally Posted by jas66Kent View Post
Problem with BC is that it's not physically backed by anything. It's basically just electrons flowing through the lines with the "price" fluctuating wildly due to demand (the supply can in theory be assumed to be relatively fixed in the SR. In the LR it can be assumed to converge into an asymptotic steady state)

With Fiat Currency (like the Dollar) you are essentially guaranteed payment by the full weight of the US Goverment (and military)..which makes US dollars a much more stable and safe investment for right now.
Well dollars aren't physically backed either, unless you count the value of the paper it's printed on.
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  #24  
Old 04-20-2015, 02:48 PM
jas66Kent jas66Kent is offline
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Well dollars aren't physically backed either, unless you count the value of the paper it's printed on.
As an Economics major you should know better.
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  #25  
Old 04-20-2015, 03:04 PM
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As an Economics major you should know better.
hey you said physically backed. We got off the gold standard a long time ago.
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  #26  
Old 04-20-2015, 03:06 PM
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As an Economics major you should know better.
Better than to use words to mean what they actually mean?
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  #27  
Old 04-20-2015, 03:09 PM
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Well your wallet needs to be stored on physical medium somewhere, whether it be on your own computer or in the cloud. So in that sense, it's physical. How is a value encoded in bits on a hard drive that much different from a value encoded in ink on paper? In this sense it would serve you well to guard your hard drive.
This is false, all you need is your cryptographic keys. Either written down on a piece of paper or stored in a txt file. Your wallet will always exist on the block chain if you lose your keys, you just wont ever be able to access it.

Last edited by Fracktuary; 04-20-2015 at 03:16 PM..
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  #28  
Old 04-20-2015, 03:12 PM
Fracktuary Fracktuary is offline
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Bitcoin wont replace traditional currency for traditional transactions any time soon. Thats not even he coolest use case IMO.

It will be much more useful for monetizing things like upvotes and music streams. New types of transactions that dollars cant be used for because they are not easily transmissible nor infinitely divisible.

Last edited by Fracktuary; 04-20-2015 at 03:15 PM..
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  #29  
Old 04-20-2015, 03:15 PM
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This is false, all you need is your keys. Either written down on a piece of paper or stored in a txt file.
Okay, replace "hard drive" with "brain" or "paper with your key written on it". Either one of those is a "physical thing" that you can guard with a shotgun, if you want.
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  #30  
Old 04-20-2015, 03:18 PM
Fracktuary Fracktuary is offline
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Okay, replace "hard drive" with "brain" or "paper with your key written on it". Either one of those is a "physical thing" that you can guard with a shotgun, if you want.
Which is a lot less than is requires to use a bank account these days. No ID required, no proof of citizenship etc no fee for transferring money. Its not a surprise that bitcoin is becoming the currency of choice on the online black markets. Although, it has a long way to go to supplant good ole' american dollars.
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