More bitcoin nuttiness

[mstateglfr]

The value is in decentralized blockchain technology paired with utility. If you don't see that value in decentralizing things from governments after the last few weeks, I really don't know what to tell you. Decentralized blockchain technology is the future for everything including currency, web hosting, cloud storage, etc...

Ok, if the value is in decentralized blockchain, then why is everyone freaking out about bitcoin? Its the tech that everyone should freak out about. We all could trade burritos or poodles- the 'item' is inconsequential, right? We can just cut those burritos and poodles up into lots of small bits once all the burritos and poodles have been mined.

Lets say blockchain is adopted...why cant a bank or nation use it for their system? They then declare there is X amount of blockchain currency available, everyone adopts blockchain currency instead of USD, and inflation runs rampant.
Brilliant!***

 

[Quincy A. Wagstaff]

How much bitcoin do you own Quincy?

Unfortunately, I lost it all in a boating accident over the weekend. Tip: Don't wear a USB flash drive around your neck while on a boat.

 

[jethreauxdawg]

So a Bitcoin believer with no skin in the game. I’m sold

 

[dorndawg]

So a Bitcoin believer with no skin in the game. I’m sold

Sixpack is where all us multi-cozillionaires hang out. You're not... poor, are you???*

 

[jethreauxdawg]

Well, I got a stimulus check, so yeah

 

[JenBielema]

I understand how price is determined, but dont understand why this reduces the supply. As it is, his bitcoin isnt available to others. And when he is forever locked out, his bitcoin isnt available to others.
What is the difference between someone holding 1000 bitcoin and 1000 bitcoin being 'lost'? Both are out of the available supply.

And since there isnt a difference, there isnt a donation. Unless by 'donation' what you really mean is an increase in value. Thats an odd use of the word donation since it would mean anyone holding onto bitcoin at any given time is donating value to everyone else holding onto bitcoin at any given time.
Yeah...that isnt donating.


And the use of that word is what confused me because I wasnt sure if you actually meant the bitcoin is somehow donated(since I hadnt heard of that before).

Glad we cleared it up- no bitcoin was donated and everyone still has the same amount of bitcoin as before.

Hey baby.....think of it this way. Mississippi State is playing in the National Championship football game (insert laugh)....and the stadium holds 50,000 people and 50,000 people want to be in attendance for the game. A week before, plans change. Now, only 25,000 people will be allowed into the stadium. Any guesses on what will happen to the ticket prices at places like stub hub? Most likely increase. Basic supply and demand. The scarce resource just became more scarce. Could you imagine paying a high price to watch something that offers zero tangible value? Crazy, right?

In terms of bitcoin there are an estimated 2 million that are lost forever. If demand remains at a similar or upwards trajectory, price will rise, all else equal as people will be bidding for fewer and fewer coins. In addition, as coins are moved off of exchanges and into cold storage (exactly what has been happening since fall) there is less and less sell side liquidity on exchange...driving prices higher. Good luck.

 

[mstateglfr]

Hey baby.....think of it this way. Mississippi State is playing in the National Championship football game (insert laugh)....and the stadium holds 50,000 people and 50,000 people want to be in attendance for the game. A week before, plans change. Now, only 25,000 people will be allowed into the stadium. Any guesses on what will happen to the ticket prices at places like stub hub? Most likely increase. Basic supply and demand. The scarce resource just became more scarce. Could you imagine paying a high price to watch something that offers zero tangible value? Crazy, right?

In terms of bitcoin there are an estimated 2 million that are lost forever. If demand remains at a similar or upwards trajectory, price will rise, all else equal as people will be bidding for fewer and fewer coins. In addition, as coins are moved off of exchanges and into cold storage (exactly what has been happening since fall) there is less and less sell side liquidity on exchange...driving prices higher. Good luck.

Ok, so your scenario confirms what I posted earlier- someone losing access to their bitcoin isnt a donation to the rest. That bitcoin isn't distributed amongst the others(which would be a donation) and thst bitcoin doesn't go back to being available for free(which would be a donation).

It is in fact not a donation and instead, losing access to your bitcoin just pushes up value of accessible bitcoin.

Yup- not a donation. Thats what I questioned at the start of the thread.

Thanks, Hun!

 

[UpTheMiddlex3Punt]

This situation is akin to owning a collection of rare Star Wars memorabilia and your house burns down, destroying it all. If your collection had 20% of the world's known supply of some new-in-box original action figure, the other 80% of it just got more valuable.

Only it's not. If those action figures are worth a hundred grand, I could find an insurer who would cover it. So long as I could prove the figures were in the house at the time of the fire, I'll collect my insurance money. The insurer essentially gets a pile of ashes handed over to them and I get $100,000 for it. For the bitcoin case, however, nothing burned down or was destroyed. His bitcoin remains in the supply. Theoretically someone could come along later and claim it if they have the private key that corresponds with the public key. There would be no way to prove to the insurer that the item of value was destroyed because it's not. In some ways you never really even owned the bitcoin. All you owned was the knowledge of several numbers that after you do some math on them you get the public key for the bitcoin in question. Those numbers continue to exist even if you forget them or lose what you wrote them down on. It's all numbers. If I can figure out those numbers I have just as much right to the bitcoin as anyone else.

 

[FreeDawg]

Because they were first. Honestly their tech is already dated as far as being used for everyday commerce. It’s legitimized as a digital store of value via massive institutional money investment over the last 12 months. When you go back and research Bitcoin from the beginning, you see Satoshi was an absolute genius. Since then the industry has improved & innovated (ex: proof of work vs proof of stake)