[ExI] Bitcoin

[The Avantguardian]

Correction. Paysius can be used in the U.S. as well. Sorry.

 
Stuart LaForge
 
"Ignorance is the curse of God; knowledge is the wing wherewith we fly to heaven." - William Shakespeare



>________________________________
> From: The Avantguardian <avantguardian2020 at yahoo.com>
>To: ExI chat list <extropy-chat at lists.extropy.org> 
>Sent: Wednesday, April 10, 2013 3:32 AM
>Subject: Re: [ExI] Bitcoin
>  
>
>Gordon wrote:
>"A correction in the market seems inevitable. What do you suppose might trigger it?"
>------------
>
>A high profile theft of bitcoins. The breaking of SHA-256 or eliptical curve encryption. A heretofore undiscovered bug in the software. A huge sell off by the early birds. Quantum computing. The U.S. government recognizing and legalizing BTC and therefore stripping it of black market pricing. I am sure I am missing many potential contributors to a market correction.
>
>-----------------
>"They'll [merchants] need a way to exchange large amounts of BTC into ordinary currency each day, if not after each transaction, but the market might still be too thin. Realization of this might damper the enthusiasm and contribute to a correction." 
> ---------------
>
>No not the way I see it. Of all the things driving the demand for BTC right now, its usefulness as a currency is one of the least significant. Right now it is a store value and little else. Because of Gresham's Law, so long as fiat is capable of purchasing particular goods and services, it will be used for such in preference to bitcoin, precious metals, or other scarce commodities. That is what gold bugs refuse to understand that is that scarce deflationary commodity money does not circulate as much as fiat because people are afraid to spend it. I don't see how a gold-based economy can achieve any meaningful growth since the influx of gold does not create wealth but simply dilutes it as happened in Spain after the conquest of the Americas. 
>Incidently for merchants not in the U.S., one can simply use Paysius to convert bitcoin into local fiat for payment.
>
>http://paysius.com/
>
>
>Stuart LaForge
>
>"Ignorance is the curse of God; knowledge is the wing wherewith we fly to heaven." - William Shakespeare
>
>
>
>>________________________________
>> From: Gordon <gts_2000 at yahoo.com>
>>To: ExI chat list <extropy-chat at lists.extropy.org> 
>>Sent: Tuesday, April 9, 2013 4:18 PM
>>Subject: Re: [ExI] Bitcoin
>>  
>>
>>
>>
>>Mirco Romanato <painlord2k at libero.it> wrote:
>>
>>
>>
>>Il 08/04/2013 10:17, Gordon ha scritto:
>>
>>>> When I started this thread about five days ago, on April 3, BTC was
>>>> trading
 around $100 USD. The last trade as of this moment was $180 USD.
>>>> An 80% return in five days! I think it is fair to say that something
>>>> extraordinary is going on here.
>>
>>>It is 400% in 30 days.
>>>Not bad, indeed.
>>
>>
>>Now trading at about 236 USD! The market cap of Bitcoin doubled from $1 billion to more than $2 billion in just 11 days. Remarkable! 
>>
>>
>>A correction in the market seems inevitable. What do you suppose might trigger it?  One concern I have is that for transactional purposes--for purposes of buying and selling goods and services--a relatively stable currency is best. BTC is anything but stable at this point, making it difficult for buyers and sellers to make rational decisions in their commerce.
>>
>>
>>I'm guessing that at this early stage in the life of BTC, most merchants who accept BTC are also speculators willing to bet on the growth of the currency. Larger, more conservative players might find the volatility worrisome. They'll need a way to exchange large amounts of BTC into ordinary currency each day, if not after each transaction, but the market might still be too thin. Realization of this might damper the enthusiasm and contribute to a correction. 
>>
>>
>>-Gordon   
>>_______________________________________________
>>extropy-chat mailing list
>>extropy-chat at lists.extropy.org
>>http://lists.extropy.org/mailman/listinfo.cgi/extropy-chat
>>
>>
>>   
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