Quote:
Originally Posted by The Porn Nerd
"use" - who "uses" Bitcoin? It's an investment.
There are two benefits to Bitcoin:
1. Anonymity
2. Limited supply
Even if #1 is closed by Governments #2 would still apply. L
imited supply often = $$$$$.
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If those are the only two reasons people would use bitcoin, then what's your argument for why people will buy more of it in the future? "Limited supply" only matters insofar as it relates to speculation. "Limited supply" would be great if I could think of a strong reason why people will need/want to buy bitcoin 10 years from now. But the only reasons I can think of are crime and tax evasion--or if your local economy is so fucked/corrupt/dangerous that you need to store value such that your risk is spread globally. But that's a small percentage of the world, and rich people (regardless of location) don't need crypto to store value securely. They can safely park their money anywhere from US real estate to Panamanian shell corps.
That's why I'm into utility tokens, like Videocoin and Ethereum, which carry an intrinsic value: You can exchange them for some form of distributed computing power. Blockchain is an amazing technology that enables decentralized, trustless contract settlement. However, by itself, there's not any inherent use for it. Even fiat has an inherent use/intrinsic value--it's legal tender for all debts private and public. If I owe you money and try to give you fiat to cancel the debt, you legally can't tell me no. If I owe you money, bitcoin is useless if you won't accept it. I have to convert it to fiat.