Also, every ponzi scheme gives amazing returns, before it inevitably collapses. For example Madoff was able to give decent returns to his investors for 17 years! 'Number go up' is not a refutation of a ponzi scheme.
Also, every ponzi scheme gives amazing returns, before it inevitably collapses. For example Madoff was able to give decent returns to his investors for 17 years! 'Number go up' is not a refutation of a ponzi scheme.
Guess which governments have the most of both.
This comment is a great example of how little bitcoin enthusiasts tend to understand about investing. One of this things is very much not like the others.
"Fiat currency" is virtually never used as an investment asset. Even in the FOREX market you purchases pairs of currency rather than just a big pile of dollars. In your 401k when you want to go all "cash" you very often end up choosing investment vehicles that track cash.
The entire function of a currency is as a medium of exchange, it only has value in the process of exchanging. It makes no sense, at the individual investor level, to 'hold' dollars.
If you don't understand how a fiat currency differs from gold and fine art then you absolutely should not be "investing" in bitcoin.
I think HN is going to need a good explanation for this. The value is intrinsic, and can go up without any activity happening... I think there are other fools scouring about here in the comments.
I think you need to explain this. In what way does bitcoin have any intrinsic value?
And how can this value go up without activity? A currency with no activity is literally worthless.