Ichinisan
Lifer
- Oct 9, 2002
- 28,298
- 1,234
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Explain.WTF. The US dollar is very much not based on nothing!
Other than faith, what is it based on?
Explain.WTF. The US dollar is very much not based on nothing!
It's still emerging. If it happens at all, it won't be overnight.Except cryptocurrency doesn't really have an economy to reflect.
U.S. dollars are backed by the “full faith and credit” of the U.S. Government.
Federal Reserve notes are not redeemable in gold, silver or any other commodity, and receive no backing by anything. Redeemable notes into gold ended in 1933 and silver in 1968. The notes have no value for themselves
Yes and no. Look at China. They nearly stifled the growth of btc when they imposed restrictions on which banks could accept deposits in yuan for trading in btc. If someone can't trade their fiat currency for cryptos (and vice versa), then the latter go to zero.Government wouldn't really have any say in the emergence of an independent economy from crypto.
Kinda pointless for a government to block crypto conversions to the government's own currency when you could just convert your crypto to another currency first, then convert to your government's preferred currency. I'm sure some international middleman entity would stand to benefit, which might not be in the government's best interest (money that could have stayed in the country, but got paid to an outsider instead).Yes and no. Look at China. They nearly stifled the growth of btc when they imposed restrictions on which banks could accept deposits in yuan for trading in btc. If someone can't trade their fiat currency for cryptos (and vice versa), then the latter go to zero.
Govts can also just flat out outlaw cryptos. Sure, you can always send your money to some trading company in Belize or Lichtenstein and buy cryptos, but what are you going to do with them after that?
In the context of cryptos, an "economy" is really a use case. Just like when BTC became the currency of the dark web. Or when Chinese nationals use it to skirt capital controls.
Cryptos will only have any value long term if there is an identifiable use case for them and only if they are optimized for that use case.
Yeah but how much did the hardware cost you?I put about $20 of electricity to coin generation a bunch of years ago, had like 3.1 bitcoins, eventually, got $350 for them, and then later, around $200 or so gyft cards I sent to a friend.
Umm, my Radeon 4870 that I already had sitting in my gaming box .... I think it was like $200 or so when I bought it new.....Yeah but how much did the hardware cost you?
I mean, technically, the U.S. dollar is based on nothing:
https://buygoldandsilversafely.com/gold/what-really-backs-the-us-dollar/
Money is weird because it's just an idea. Plus, most money is digital these days (banks & credit & whatnot), which pretty much just exists in cyberspace on hard drives; the last I read, only 8% of the world's currency exists as cash. So those "notes" - which have no value, no backing, and can't be redeemed for any commodities - aren't even 1/10th of the money that actually exists & is in-use in the world.
We all just kind of agree that this system works, so it keeps working lol.
the federal reserve is evil.I mean, technically, the U.S. dollar is based on nothing:
https://buygoldandsilversafely.com/gold/what-really-backs-the-us-dollar/
Money is weird because it's just an idea. Plus, most money is digital these days (banks & credit & whatnot), which pretty much just exists in cyberspace on hard drives; the last I read, only 8% of the world's currency exists as cash. So those "notes" - which have no value, no backing, and can't be redeemed for any commodities - aren't even 1/10th of the money that actually exists & is in-use in the world.
We all just kind of agree that this system works, so it keeps working lol.
Aside from that and the use of cryptos for speculation, what use cases exist or can exist for them?
Damn man. Congrats! Is that about $1.3 mil in bitcoin at $17k BTC? I'm glad someone here made a killing. This being tech site I figured handful of people must got in at the ground floor or very close to it and made crazy money. Better to be lucky than smart!I sold almost everything I had at ~$17k/BTC That looks like pretty good timing, as of now. Was mining in 2011, won about $40k in online casino payouts this year, and sold those coins as well.
Had to hire a specialized crypto-attorney/CPA to make sure the IRS stays happy.View attachment 1489
Damn man. Congrats! Is that about $1.3 mil in bitcoin at $17k BTC? I'm glad someone here made a killing. This being tech site I figured handful of people must got in at the ground floor or very close to it and made crazy money. Better to be lucky than smart!
Spoken like a true miner...I'm debating on buying Hydro One soon. They won't build more dams and I need more power. Easier to just buy them out than to deal with customer service.
bitcoin is down to $3k?!
bitcoin is down to $3k?!
lol.. it costs more than $3k to mine a bitcoin nowadays.
i can see all those bitcoin farms going bankrupt
ASICs still make it worthwhile but you have to have been in the game since the earlier days to be able to even justify paying to buy the ASICs. I also wonder if a lot of the mining is going on by companies MAKING the ASICs. I mean, if you can make something that can make you more money it seems to me it makes more sense to just keep it to yourself.