The End of Bitcoin?

Trike Rider

All-American
Gold Member
Jan 6, 2009
4,257
8,621
113
https://www.thenation.com/article/economy/cryptocurrency-crash-bitcoin-musk/

"Are cryptocurrencies on their last legs? The leader of the pack, Bitcoin, has lost almost half its value since reaching an all-time high in mid-April, and others have also collapsed in the wake of the Chinese government’s decision to crack down on all cryptocurrency related transactions. The SEC has also signaled tougher oversight. Despite the market gyrations, crypto’s champions continue to see these currencies as an ideal market-generated solution as questions arise about the future viability of paper currencies in a global economy characterized by sky-high indebtedness and bloated government/central bank balance sheets. Enthusiasts behind Bitcoin, Ethereum, Tether, Dogecoin, and a host of other cryptocurrencies, seem to think that the wonders of 21st century financial technology (aka “fintech”), will enable these digital creations to stand as alternative stores of value outside the control of our central banks, whose actions (they have claimed since the days of Austrian economist, Friedrich von Hayek) regularly debase traditional paper currencies."

"An appealing narrative to be sure, but does it stack up to reality? Ironically, cryptocurrencies share many of the features that its libertarian adherents decry in so-called government-created currencies. Like our traditional currencies—the dollar, yen, pound, or euro—created by government “fiat,” cryptocurrencies are backed by nothing. Participants effectively exchange a legal tender dollar or some other real asset for a digitally created token, which has no intrinsic value or yield (and the supply of which is artificially controlled by a complex computer algorithm). Furthermore, the creation of these currencies has an environmental cost (some more than others); they trade outside of a regulated financial system, making them ripe for fraud (e.g., hacking investors’ crypto wallets to steal their currency, setting up fake wallets to bilk counterparties, or setting up phony crypto exchanges to steal customers’ money), money laundering, and tax avoidance. (The IRS announced last week its intention to pursue crypto-related taxes aggressively)."
 
Last edited:

lolwat

First Team All-Big Ten
Gold Member
Sep 8, 2016
3,596
7,105
113
Crypto will never go away, and will only get stronger long term. It is only the beginning. Analogy I can think of is the beginning of the internet. At first it was just certain kinds of informational sites, got your AOL's, Netscape, Yahoo, etc. Imho crypto is at this stage.

10 years from now it will look dramatically different, and some nations probably issuing their own 'crypto' currency. Will bitcoin survive or will it look like AOL? Or will it be a new one? Maybe it will co-exist side by side with Cardano ADA, or some other one?

Our own Fed is doing those 'initial' things to make one.

 

Trike Rider

All-American
Gold Member
Jan 6, 2009
4,257
8,621
113
Crypto will never go away, and will only get stronger long term. It is only the beginning. Analogy I can think of is the beginning of the internet. At first it was just certain kinds of informational sites, got your AOL's, Netscape, Yahoo, etc. Imho crypto is at this stage.

10 years from now it will look dramatically different, and some nations probably issuing their own 'crypto' currency. Will bitcoin survive or will it look like AOL? Or will it be a new one? Maybe it will co-exist side by side with Cardano ADA, or some other one?

Our own Fed is doing those 'initial' things to make one.

Do you just read thread titles and post without reading any comments?
 

infinity13

Redshirt Freshman
Gold Member
Oct 21, 2007
850
939
93
46
Crypto/digital is the future.
The central banks have already admitted this. Will there be 2000 random crypto? I don't believe so. The winners will also need to stabilize, I can't imagine the system using currency that's worth $10 one minute and .10 the next.