Sick of people calling everything in crypto a Ponzi scheme. Some crypto projects are pump and dump schemes, while others are pyramid schemes. Others are just standard issue fraud. Others are just middlemen skimming of the top. Stop glossing over the diversity in the industry.
-- random internet meme, no clue who originated it
More importantly, when you say
Bitcoin did not become a trillion-dollar asset because it was better at facilitating online purchases of drugs.
How sure are you of that? It seems very likely that, like all fiat currencies, it was the transactional use which gave a base of it’s value. And it snowballed from there, but always with that foundation. Also, how sure are you that it’s a trillion-dollar asset? It seems likely that $1T was not put into it, nor that $1T will come out of it. $Trillions may move through it, but that’s flow not stock.
Bitcoin did not become a trillion-dollar asset because it was better at facilitating online purchases of drugs.
How sure are you of that? It seems very likely that, like all fiat currencies, it was the transactional use which gave a base of it’s value.
This is a good point. I suppose I should have said that Bitcoin would not have reached a $1 trillion dollar valuation if purchasing drugs were the only thing it was useful for.
Also, how sure are you that it’s a trillion-dollar asset?
At one point the spot price times the total Bitcoin available was worth about a trillion. It’s true that a better valuation would take into account the price at which the total supply could be sold to a private buyer, but I don’t know enough to make that calculation.
More importantly, when you say
How sure are you of that? It seems very likely that, like all fiat currencies, it was the transactional use which gave a base of it’s value. And it snowballed from there, but always with that foundation. Also, how sure are you that it’s a trillion-dollar asset? It seems likely that $1T was not put into it, nor that $1T will come out of it. $Trillions may move through it, but that’s flow not stock.
This is a good point. I suppose I should have said that Bitcoin would not have reached a $1 trillion dollar valuation if purchasing drugs were the only thing it was useful for.
At one point the spot price times the total Bitcoin available was worth about a trillion. It’s true that a better valuation would take into account the price at which the total supply could be sold to a private buyer, but I don’t know enough to make that calculation.