Is Bitcoin and the Blockchain A Major Revolution or Another Asset Bubble?

by 33 replies
Hey Gang,

I've been interested in Bitcoin for a couple of years now. At first I didn't know what to make of it and the more I learned about it the more interested I became....and now am I downright obsessed.

I believe Bitcoin and the Blockchain have the power to revolutionize money and finance and that could change everything, in much the same way that the internet has changed everything.

Of course, I'm certainly not one of those "tech experts" either and I don't have a Phd in economics, so I could be completely wrong. But it's worth pointing out that the Winklevoss twins (the original creators of Facebook who got ripped of by Zuckerberg) are heavily invested in Bitcoin and the Blockchain.

I've decided to take a leap of faith and bet it all on Bitcoin. We will see how well that works out

In any case I really wanted to see what the smart, educated people on this forum thought about Bitcoin and what the future might hold for this new kind of money.

All thoughts are welcome!
#off topic forum #asset #bitcoin #blockchain #bubble #major #revolution
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  • Profile picture of the author eComCoder
    I would not suggest investing everything on bitcoin itself. Rather find promising cryptocurrency related startups and invest in them. And like with every investment portfolio, try to diversify your basket.
    Those are interesting times indeed.
    • Profile picture of the author Zachary R. Skinner
      I greatly appreciate the advice!

      I am very diverse in my approach to bitcoin investing. But if people lose faith in Bitcoin then I guess I'm screwed

      I'll just have to see what happens...
  • Profile picture of the author Marx Vergel Melencio
    Zachary,

    Yes, I think the concept of a decentralized, peer to peer financial platform has major merits when it comes to its disruptive character ...

    - BUT -

    Just like what Napster was back when P2P media sharing was still fairly new and wasn't tied to social media ...
    ...
    Or what Nokia and Symbian were when mobile technology weren't Android, iOS and iPhone-ish ...
    ...
    Or what MySpace and Friendster were when social media wasn't tied to P2P media sharing, instant messaging, VoIP an wasn't Facebook-ish ..

    >> Bitcoin and blockchain could just be pre-cursors to something bigger, or a part of something better that's just waiting to be created ...
    • Profile picture of the author Zachary R. Skinner
      Originally Posted by Marx Vergel Melencio View Post

      Zachary,

      Yes, I think the concept of a decentralized, peer to peer financial platform has major merits when it comes to its disruptive character ...

      - BUT -

      Just like what Napster was back when P2P media sharing was still fairly new and wasn't tied to social media ...
      ...
      Or what Nokia and Symbian were when mobile technology weren't Android, iOS and iPhone-ish ...
      ...
      Or what MySpace and Friendster were when social media wasn't tied to P2P media sharing, instant messaging, VoIP an wasn't Facebook-ish ..

      >> Bitcoin and blockchain could just be pre-cursors to something bigger, or a part of something better that's just waiting to be created ...
      You make a very valid point.

      I believe that even in the unlikely event that Bitcoin is seriously disrupted, the blockchain will still persist. There are just so many applications with the blockchain, it's incredible.

      Only time will tell I guess...
  • Profile picture of the author Brent Stangel
    All thoughts are welcome!
    I wouldn't touch it with a ten-foot pole!

    Bank regulation is a form of government regulation which subjects banks to certain requirements, restrictions and guidelines, designed to create market transparency between banking institutions and the individuals and corporations with whom they conduct business, among other things.
    https://en.wikipedia.org/wiki/Bank_regulation
    Let's discuss Bitcoin regs...oh that's right, there are none.

    Good luck.
    • Profile picture of the author Zachary R. Skinner
      Originally Posted by Brent Stangel View Post

      I wouldn't touch it with a ten-foot pole!



      Let's discuss Bitcoin regs...oh that's right, there are none.

      Good luck.
      You might be 100% correct.

      However, I don't really understand how a lack of bank regulations is necessarily a bad thing in the case of Bitcoin.

      I think there should definitely be some rules and regulations regarding the use of Bitcoin but unless the US government bans Bitcoin (and there's no reason to believe that they will do this) I believe Bitcoin will continue to grow in popularity
  • Profile picture of the author Rameez Rauf
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  • Profile picture of the author ProfitKnight
    I have a lot of funds in bitcoin and other cryptocurrency , even invested in a few (nearly over 150 now) Bitcoin ATM's with a partner and honestly, You've missed the best time to had invested in bitcoin.

    The entire value is pretty much dictated by China, If you had seen the recent rise in price you'd know this too.

    I prefer using it purely because it's ease of use, In terms of it being a good investment? I'd say it's worth sinking a bit in it still, want to make some easy funds? Sell Bitcoin on sites as a currency exchange for a percentage.... VERY easy to get 15% rate.
  • Profile picture of the author ibuywireless
    has anyone cosidered bitcoin mining?
    • Profile picture of the author DWolfe
      Originally Posted by ibuywireless View Post

      has anyone cosidered bitcoin mining?
      I have a Avalon A6 to finish hooking up just purchased it from Amazon. The Electric is expensive so this may not be the way to go. Setting it up is not as easy as people claimed it would be. Once it is set up then I will find out.

      However I down loaded a different miner to my computer for free, but the Electric bill and Internet fees made it totally worthless.
    • Profile picture of the author CpvGuru
      yes, but it's really expensive now...
    • Profile picture of the author Zachary R. Skinner
      Originally Posted by ibuywireless View Post

      has anyone cosidered bitcoin mining?
      Bitcoin mining can be very profitable. However, there are considerable startup costs and there are also substantial electricity costs that have to be considered as well.

      Unless you plan on creating a giant mining operation, I'm not sure if this is a good idea anymore.

      You can invest directly into mining pools but it's easy to get scammed with these

      I'm curious to see what other warriors think....
  • Profile picture of the author johnben1444
    For the fact that cryptocurrency gives ordinary people the chance to become financially independent with little investment can easily crown it all, hence the spread and acceptable.

    I believe nothing good comes without risk.
    If we are going to sit down and not take risk than life would have been how it started centuries ago.

    Calculative risk, yes..

    Bitcoin is the major player in the world of cryptocurrency though there are quite a few fast rising ones worth investing in.

    Yes, crypto may revolutionalize the financial market, banks and other financial institutions may face downturn because of the free hands it gives to many but nobody can predict the future of it so soon even when it looks very rosy.

    The major problem crypto may face is the unregulated funds which experts believed could bring about money laundery, drugs and all social vices. Countries may come together and make a law governing these anytime soon and no one knows what the terms will be.

    I, like you love the idea behind this cryptocurrency and invested in it and making a hell of money from it now. The key is to pick good and prospective trading and mining companies to invest it and you don't need much to get started. I started with only $100 7 months back and have that in 87 folds.. not mentioning withdrawals.
    • Profile picture of the author CpvGuru
      there are laws against using cash for illegal activities as well, how does that seem to be working?
    • Profile picture of the author TechNik
      Originally Posted by johnben1444 View Post

      The key is to pick good and prospective trading and mining companies to invest it and you don't need much to get started. I started with only $100 7 months back and have that in 87 folds.. not mentioning withdrawals.
      Well done!

      I think blockchain technology is absolutely revolutionary and will have many uses in finance. Self-enforcing smart contracts for example, and the lack of any significant transaction fees.

      As for Bitcoin itself? Time will tell. It has a great first-mover advantage but I'm concerned about possible loss of decentralization and schisms amongst the developers.
  • Profile picture of the author Regional Warrior
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  • Profile picture of the author CpvGuru
    People are waking up to the destruction and lies the Central Banking Powers have overseen.
    Decentralization is the future of freedom, it always has been.

    I hold about 10% in BTC, but it has out performed other investments I have and I see it as massive hedge against the broken and corrupt banking systems.
  • Profile picture of the author InternetSuccess001
    You are kind of late to the party.

    It's like you showed up at 4:00 a.m. for a party that started at 7:00 p.m. the previous night, asking where is everyone?

    Yes, bitcoin is, and was revolutionary. Yes, there have been a lot of copycats. Yes - a lot of the banking system don't really like it - because it's not as easily controlled (although they are working on changing that, with some success).

    A currency is only as good as the people willing to use it. Bitcoin is the digital version of a fiat currency - however, a of people believe in it because it allows for semi-anonymous transactions, isn't (easily or yet) taxed, and in some ways the algorithm is like mining for gold. (I.e., a 'finite' amount).

    If you had got in on the ground floor (around 2009) - you could easily be a multimillionaire with a $30-$40 investment. (I.e., read this: https://www.theguardian.com/technolo...rway-oslo-home)

    As to what I suppose your 'real' question is - will it skyrocket even higher (say from a current value of $750 USD to say $5000 USD)... Don't know. *Probably*... But as to how long... Don't know. Maybe 5-6 years?

    If it gets too popular, my feeling is 'they' will figure out how to track & tax it (apparently Germany already is) - thereby reducing the 'attraction' of using it.
    • Profile picture of the author Zachary R. Skinner
      Originally Posted by InternetSuccess001 View Post

      You are kind of late to the party.

      It's like you showed up at 4:00 a.m. for a party that started at 7:00 p.m. the previous night, asking where is everyone?
      You might very well be correct on this. With something as revolutionary as bitcoin its very difficult to predict what the future will hold.

      However, I am very bullish when it comes to bitcoin.

      And the Winklevoss twins seem to agree with me:

  • Profile picture of the author KenW3
    I am your first 'Probably Not' vote. Cryptocurrencies are not new and are, unfortunately, fiat money with nothing backing them than agreement to assign value among users. There are over a dozen active, with BitCoin being the largest. I see BitCoin as neither a revolution nor an asset bubble but voted Probably Not as somebody may be able to apply solutions to make it better.

    I'm certain your research has shown how BitCoin is defined by the US government. Bitcoin is treated (by the IRS) as an investment for tax purposes. This makes acceptance a problem for businesses as sales are considered barter (such as stock market certificates traded for a product). If your intent is to remain legal, then all exchanges received digitally must be reported. As BitCoin received varies in value, businesses must track value when received and declare capital gains / losses when the BitCoin received is spent or converted to another currency.

    For any attempt to circumvent the tax man, the peer-to-peer networking aspect makes tracking easy for those agencies who decide to look. I hate that Cryptos are on public peer-to-peer networks, so transactions can be traced to an IP address. If anyone believes this is not a problem, try sharing copyrighted movies or music on a peer-to-peer network to test how quickly your activity can be traced

    Currency value floats based upon market forces specific to its supply / demand curve, the curve for a crypto certainly can drop to zero because there are no assets nor any (private nor public) institution backing value. If no business nor individual accepts a specific cryptocurrency (or businesses are dissuaded from acceptance), then you know its value. ...and there are cryptos that currently have no value.

    My opinion: BitCoin worked as a valid 'proof-of-concept' - Now I'm waiting for the next better solution.
  • Profile picture of the author MeelisM
    My point of view:

    Bitcoin is another asset bubble...

    ...for people who look at it as an investment asset.

    The value of bitcoin is in the blockchain technology.

    The technology is changing the financial world and how many other transactions are done.
    The bitcoin blockchain might not be the biggest one with the most influence in the future, but it will stay as the first blockchain that started it all.

    I've lived in a startup ecosystem which is highly invested in bitcoin and the blockchain technology. They even have their bitcoin company accelerator, where they invest into companies that are developing the blockchain technology or use bitcoin.

    During my time there I interacted with a lot of people from the current accelerator program, and they gave me an even better understanding on the blockchain and why it's so important.

    The blockchain does revolutionize the way financial systems work.

    The price of Bitcoin doesn't. The value is only volatile because of greed. People are investing their money into it hoping it would balloon up, only looking at the dollar signs straight from the face value. Lots of people who invest into buying bitcoin don't even really understand on what it is and how it works.

    At the same time, the real value is being built with developing the blockchain and other blockchains.

    Ethereum is next level from bitcoin technology, and the development possibilities are way bigger.

    You guys will see soon

    Originally Posted by Regional Warrior View Post

    Gambling is not allowed on the forum , there are other forums out there has been reported as gambling
    Why are you posting totally random things that have nothing to do with the topic here?
    • Profile picture of the author Marx Vergel Melencio
      Originally Posted by MeelisM View Post

      Why [is he] posting totally random things that have nothing to do with the topic here?
      He's probably trying to be funny, that's all. Doesn't seem to work for everybody though. LoL!
  • Profile picture of the author ratshadkumarjunior
    Banned
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  • Profile picture of the author agmccall
    just for kicks I took a look at a few bitcoin miners. They are very expensive, and guess what, none of the sellers that I visited accept bitcoin as a form of payment.

    al
    • Profile picture of the author yukon
      Originally Posted by agmccall View Post

      just for kicks I took a look at a few bitcoin miners. They are very expensive, and guess what, none of the sellers that I visited accept bitcoin as a form of payment.

      al

      I don't know where you're browsing but that would be a red flag.

      Anyways, the mining days are toast with the way BC was designed (BC block halving) where the rate of new BCs being mined are cut in half every 4 years. Add in the cost of electricity to mine plus mining equipment and it's just not practical.

      That doesn't mean BC is done, it's actually very active. You can watch live BC transactions at blockchain.info.

      The screenshot below is over $50,000 in one random transaction. It's like that all day long (everyday).





  • Profile picture of the author labludey
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  • Profile picture of the author ProfitKnight
    Not to necro an old thread but anyone else profited on the recent spikes?

    From the 17th December to now, I've made $6500 just from the increase in the price of BTC.
    Very happy Christmas and new year
  • Profile picture of the author yukon
    Lol at the paranoia.

    The unknown is evil. Damn the unknown!
  • Profile picture of the author whateverpedia
    As MeelisM pointed out, the real game changer in this is the technology, not Bitcoins.

    Bitcoins have flourished due to the Greater Fool Theory. There are no underlying assets behind it, no business model, nothing. The price has risen due to their (so far) being a string of "greater fools" all waiting to follow the leaders.

    Bitcoins themselves are the 21st century equivalent of tulip bulbs.

    The technology behind them though is what to really watch.

    Remember, that during a gold rush, the ones who get really rich are the manufacturers and sellers of shovels - not prospectors.
    • Profile picture of the author yukon
      Originally Posted by whateverpedia View Post

      As MeelisM pointed out, the real game changer in this is the technology, not Bitcoins.

      That's just something people read on forbes.com.

      The reality is BCs are easier to use than email. BC users don't care about the technology they just want something simple with no fees that exist right now.

      BCs are like having one global currency.
  • Profile picture of the author hardraysnight
    i have been mining a couple of years

    but i have solar and wind generation and direct excess power to the miner

    sure beat sending it to the grid
  • Profile picture of the author Oliver Williams
    Blockchain technology is the future, the world just doesn't know it yet.

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