Thread: Bitcoins ? Can someone explain this to me?

I've been hearing a lot about this new non-government regulated Digital internet currency called bit coin, has anyone had experience with or have this yet?

It's just an artificial system devised by a bunch of computer hackers. The problem is anyone can come up with a currency system. The issue is having confidence in the system and how it is controlled without being manipulated. This system has a long way to go.

My big worry would be that some whizkid floods the market with bitcoins causing a huge bitcoin inflation that would anihilate the value of already existing bitcoins.

Bitcoins is just a currency, but not backed by a government. The conversion rates are purely artificial, and wide open to manipulation. It' is also not subject to the requirements of a regular currency.
Here is a random article about it

Bitcoin, Still Not a Currency. And Now Crashing. - The Market Now

It is an artificial solution to an artificial problem and I wouldn't trust it.

Gold is the way to go, tie all currencys to gold and the system would stabilize.
Then some people would have a hard time make billions from their phony affairs.
Gold or maybe old razors...

Originally Posted by Lemur

Gold is the way to go, tie all currencys to gold and the system would stabilize.
Then some people would have a hard time make billions from their phony affairs.
Gold or maybe old razors...

I don't agree.

Plenty of folks have lost fortunes investing in Gold and other precious metals.

Also there's ton's of the stuff floating around so the market can be manipulated too. If gold were to be sold according to it's rarity an ounce would go for around $350. Platinum is a genuinely rare metal and it goes for almost the same rate. it is said all the Platinum ever mined in the world could fit into the average person's living-room.

Originally Posted by thebigspendur

I don't agree.

Plenty of folks have lost fortunes investing in Gold and other precious metals.

Also there's ton's of the stuff floating around so the market can be manipulated too. If gold were to be sold according to it's rarity an ounce would go for around $350. Platinum is a genuinely rare metal and it goes for almost the same rate. it is said all the Platinum ever mined in the world could fit into the average person's living-room.

I don't believe it, I dare you to fill up my living room with that shiny stuff!
No, your right but I still feel it's better than todays system.

Bitcoins also have gained a bit of a bad reputation due to the currency's popularity with drug dealers, organized crime, money launderers, and other lovely folks. Obviously they aren't the only ones using it, but the relative untraceability, anonymity, and lack of central control does make it ideal for certain people whose business isn't 100% legal.

I think it's an interesting idea, but one whose development I'm happy to watch from the sidelines.

Gold can and is being manipulated but you have to have skin in the game in order to play, unlike fiat currencies. For money to be stable it has to be tied to a stable commodity.

If you want a commodity that is worth a bundle forget gold and platinum - you can't go past printer ink. Invest in printer ink people: it's going for anything up to $5000 per litre!!

James.