Hacker News Reader

Comment by aviv | Hacker News Reader

Right, the same people telling you it's going to $100K are the ones saying this is a digital currency that should be spent. Well, I sure ain't about to spend $100K to buy 2 MacBook Pros.

View on HN

Even if you think Bitcoin is going to $highNumber, then using Bitcoin to make purchases isn't any more painful than using dollars: the dollars could have been spent on purchasing more bitcoin instead of the other purchase.

https://en.wikipedia.org/wiki/Endowment_effect

And that’s why the fed ensures we have a mildly inflationary currency. If it deflated spending would drop, cutting the velocity of money, and cutting out economic growth.

"If it deflated spending would drop"

That statements not a given. If it were so, people would not use credit cards.

That’s interesting, I’ve never thought about credit cards as a sort of deflationary virtual currency.

You're discounting the technology sector and nearly the entire 19th century.

Those two positions are obviously congruent.

In the scenario where you believe bitcoin will be worth $100,000 and you have $7,000 or 2BTC, you decide to buy a computer for $3,500. If the remainder of your value is in dollars, you will have $3,500 in value. If the remainder of your value is in bitcoin, you will have $100,000.

The depreciating asset you've invested in here is the macbook, not bitcoins.

I have a 1.4 bitcoin T-shirt. I don't regret it one bit.

> I have a 1.4 bitcoin T-shirt.

Is that you?

http://i.dailymail.co.uk/i/pix/2013/01/04/article-2257209-16...

Those two groups may have overlap, but they’re not identical groups.

Reply on news.ycombinator.com