"great article"
Interesting way to describe a one dimensional get rich quick scheme.
1. Buy some Bitcoins.
2. ???
3. You own Manhattan!
Interesting way to describe a one dimensional get rich quick scheme.
1. Buy some Bitcoins.
2. ???
3. You own Manhattan!
2. Wait till Bitcoins are in demand, continue till demand reaches epic levels. Since supply is short, more people are read to pay big dollars to buy same number of bit coins. Continuing this cycle.
3. You own Manhattan.
But the article says some between 2 and 3 say ....
2a. Drug dealers, mafia, war lords, terrorists and such a likes will flock this market.
2b. Since its decentralized they will reap the benefits of anonymity.
2c. Government gets pissed due to the fact anonymity gives the criminals all the immunity they need. There fore they can't be sanctioned/tracked etc.
2d. Government moves to shut down all Bitcoin exchanges.
We never go to 3. And therefore we never get to own Manhattan.
1. Replace currencies with bitcoins.
2. ???
3. All financial and economic problems are solved!
* CBs are monetizing enormously; and if they stop the stock market crashes; they are also promising inflation;
* the Libor conspiracy might bring down one TBTF in London
* Bankia and Santander are under stress and might fail
* There's a full-blown currency war going on with competitive devaluations
* People are placing billions of dollars betting that the Japanese bonds & yen will collapse
* there are reasons Germany is repatriating their gold
I could go on, but bitcoin is oblivious to all that; in some ways it is less risky than the int'l banking system.
Finally, just as an example, the Fed is printing $800,000 new usds per each new bitcoin created. I'm not saying that bitcoin is going to be that valuable, of course, but if you look at the numbers involved you might as well consider putting some savings completely out of an interconnected banking system that is the contrary of the internet: it needs all nodes to be up and running to survive.