Originally Posted by Sin_Vraal

Bit coin does exactly what its supposed to do.

the problem is that its a transactional currency. nobody prices anything in just 'BTC'

thats b/c you price your goods in us dollars, then convert to BTC. this means the real value for bit coin should be 1:1 dollar.

now, if BTC had its own economy... like for instance everyone said, to hire a programmer, its 1BTC / hour, or drugs cost 1 BTC / gram or whatever, then Bitcoin would have a true value, just like any other currency. but we dont price things in btc, they are priced in dollars. and converted.

Think about it, when you go to starbucks in a foreign country, the cost of starbucks doesnt change according to inflation (unless you live in a place with no domestic economy)

the value of bitcoin are thus:
1) a way to buy illegal things that regular currency cannot buy (easily, or safely),
2)a way to hide money

these lead to small multiplier in the value of 1BTC over a USD. but we are talking 30% tops, otherwise you'd just pay taxes or launder your cash etc,

so number 1, BE THANKFUL that you can buy things easily in BTC like drugs, b/c every currency needs something that you can buy that is more easily acquired with it. that means bit coin will ALWAYS have value (just not the crazy numbers of today)

number 2, PRAY people start pricing things in terms of bitcoin, and not dollar, then the currency will have a real value.


EDIT: oh ya, my point... any idiot who lost money and is complaining should realize exactly what it is bitcoin is, and does, and should stop bitching, b/c really they are just currency trading with the hope that their crypto will go up, contributing to the bubble in the first place.