One Bitcoin is now worth more dollars ($29.50) than one troy ounce of silver ($29.44)

[hazek]

there's a "halving day" where they double the market? I think that's what happens. Hazek?

I think he means the reward for validating transactions which started out as 50BTC per validated block and is halved every 4 years until it will reach 0. The first halving happened at the end of last November.

[Indy Vidual]

Get your facts straight please.

...Then after that it took half a year until November when Bitcoin was deflating the first bubble for the exchange rate to drop down to just a few cents under $2...

~ $1.9996 would be much more exact, if my memory is correct.
Get your facts straight please.
/half joking

[Indy Vidual]

Economic value is derived from the various forms of utility received. So.. as long as people have a desire to acquire any type of item, the item has economic value.

And what currency isn't made up? Someone, at some point, found some gold and said, "Hey let's use this for trade." Governments around the world have just "made up" their currencies. I'm no Bitcoin expert, but from the stories I've read on RPF it appears to be a reasonable asset which is perfectly demonstrating economic principle. The only difference between Bitcoin and silver/gold/etc., is that Bitcoin has apparently created its own scarcity limitations. That is a little bit shady to me, because I think there is too much opportunity to manipulate the currency. At the same time I suppose it's no different than stocks which can be split at any time.

+ $29.95

As long as there is a buyer and a seller, bitcoins will always have some type of value. I think the Reddit news was huge, and I wouldn't be surprised to see bitcoin adaption spread like wildfire.

Get in now, before it's too late!

[hazek]

+ $29.95

Get in now, before it's too late!

I don't now.. right now it's quite dicey.. who knows, we may break $30 and go further up or we may crash down to $20.. or even lower in the short term.

[VoluntaryAmerican]

BitCoin is King?

[Indy Vidual]

I don't now.. right now it's quite dicey.. who knows, we may break $30 and go further up or we may crash down to $20.. or even lower in the short term.

True, some quiet time around $16 to $20 might be healthy to end the "bubble think" and build the real economy.

[jclay2]

I like the attributes of bitcoin, but would like something physical behind it. Is this possible within some bitcoin framework? If there was a way to issue a gold backed bitcoin or something like that, it would be game/set/match.

[hazek]

I like the attributes of bitcoin, but would like something physical behind it. Is this possible within some bitcoin framework? If there was a way to issue a gold backed bitcoin or something like that, it would be game/set/match.

I don't understand how in this day and age you can be so fixated on something needing to be physical? Because you say physical but what you really mean is governed by laws of chemistry meaning you want something the rules of which can't be changed by any man or a group of people. Well that's what Bitcoin already is, it's just that instead of the laws of chemistry it's governed by the laws of math.

Bitcoin is a first of it's kind technology that manages to turn inexpensive and abundant information into scarce and valuable information. You don't need it to be physical in the traditional sense in order to have the properties that you seek in something that is a good store of value. That's the revolutionary thing that was created here and it pains me that it is so hard to communicate.

[jclay2]

I don't understand how in this day and age you can be so fixated on something needing to be physical? Because you say physical but what you really mean is governed by laws of chemistry meaning you want something the rules of which can't be changed by any man or a group of people. Well that's what Bitcoin already is, it's just that instead of the laws of chemistry it's governed by the laws of math.

Bitcoin is a first of it's kind technology that manages to turn inexpensive and abundant information into scarce and valuable information. You don't need it to be physical in the traditional sense in order to have the properties that you seek in something that is a good store of value. That's the revolutionary thing that was created here and it pains me that it is so hard to communicate.

I understand that bitcoin has attributes of gold and other mediums of exchange, but when push comes to shove its a bunch of 0's and 1's that was created from a little computer processing. Bitcoin is only valued as a medium of exchange. Gold was valued by itself before it became a medium of exchange. Like $'s, bitcoins only have value as a medium of exchange.

[Icymudpuppy]

Who holds the bank accounts for bitcoin?