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[–] TheTrigger 0 points 38 points (+38|-0) ago  (edited ago)

They literally print money. With nothing to back it up. It might as well be tickets for Chucky Cheese's they're pumping out; and people just happily go along with it. It's worthless paper (and increasingly: not even paper, just data bits on a server somewhere). You click a few buttons on a computer, boom, you just made $2 trillion dollars out of thin air. How do people not realize how scammy this is?

At least on the gold standard, there was physical worth attached to each dollar (albeit: on a kind of useless metal, too. Not much better, but better). A dollar actually meant something. You could walk right up to the gov't and exchange your bill for real life, solid gold. The only thing that makes the dollar have any value now, is that people still think it has value, because we were conditioned to think so back when it actually was worth something.

BitCoins are just as legitimate as present day money, if you ask me. Even more so, because at least it's transparent and built for the internet, so it has better mechanics in place to thrive on such a system.

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[–] TheBuddha 0 points 0 points (+0|-0) ago 

The Mint prints money. nods

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[–] Kad 0 points 0 points (+0|-0) ago 

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[–] piratse 9 points -2 points (+7|-9) ago 

Bit coin and non backed money are equally stupid. Except the money the U.S. prints IS BACKED by the faith of the U.S. government (whole different argument there). But it has to be accepted "for all debts public and private" so it's not worthless. Though it should be backed by something (gold, land, bald eagles, whatever) and the federal reserve is ridiculous, I think things like bitcoin are even more ridiculous. No safety from theft, limited supply (not out of the realm that some can corner a market of limited supply), no backing.

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[–] KoKansei 0 points 11 points (+11|-0) ago 

Bitcoin is superior to every other form of money because its supply is capped and the cap is known, which is ideal for market signalling. The supply cannot be manipulated by a minority for political reasons.

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[–] TheTrigger 0 points 2 points (+2|-0) ago 

I was intentionally being overtly simplistic. Yeah, there's obviously way less "infrastructure" backing up bitcoins. The limited supply and sporadic demand causes its value to fluctuate violently, so it's not very stable as a... "daily driver"(?) currency. But it does have its uses. And besides, it's relatively new. Like anything new, it'll take time before it stabilizes, gets completely worked out, and is adopted widely enough. I think bitcoin definitely has a place: as a type of "meta currency", that exists on the backs of all current national currencies. In time, it'll get there. We need more laws, international treaties, and legitimized/accountable "hubs" for trading these currencies; so that events, like what happened at Mt. Gox, don't repeat themselves.

Then, just as we phased out the gold-standard from money (the thing that originally gave it value), we may start phasing out national currencies from the "bitcoin model". But only when enough people/countries are invested enough in it to make it worth everyone's while to accept it as the standard. It would take time. Enough time that it would probably never happen in our lifetimes, and maybe not even our kids'. But it could happen with enough support.

Also, I get that the US dollar is backed up by the "faith" of the US government. In that, they'll fucking murder anyone trying to undermine its power and have laws in place that force people to use it for certain things. But it's sorta like playing a game of Monopoly and wanting to be the bank, but your friend decides to say, "Well, fuck you. It's my house and I'll be the bank if I want to and you have to accept this if you want to play". Except there's no rules, they can take money out whenever they want for whatever they want; and if the bank runs dry, they can just write "$200" on a blank piece of paper and use that. Just replace the word "play" with "live" and you have what's going on today.

I mean, yeah... it's the way things currently work. It's technically backed. But is it really the way things should be? Give a select group of people all the power, just because they think they deserve it?