Let me see if I get this straight..... A "currency" was created out of thin air and now people are spending hundreds of dollars each for one reason: the belief that some other fool will pay more for it later.
Sounds like a perfect way to gamble a couple hundred dollars and see if this Ponzi Scheme takes off turning my couple hundred into a couple thousand (or more).
Could I lose it? Of course. But I am having a lot more fun than gambling a couple hundred on a casino boat. Still likely to lose my money but a whole lot better chance of walking away with more money. Play the game. Have fun. Plan on losing your money. But if I catch it just right, and get out JUST IN TIME, then I will benefit while the last ones in lose their money.
It's a Ponzi Scheme and just remember that - and have fun..............
A real national currency, if not backed by gold silver, is backed by the economy and military might and legal system of the issuer. This is backed by nothing, but "faith".
And also looking at the various exchanges there is a large gap, for example on one exchange now the bid/asked ( in $) is 115.5by 115.8, and on another it is 113.3.. By 113.3..--a potential instant profit on arbitrage--what is that all about??
The difficulty with Bitcoin is the production of Bitcoins, which are unregulated and not transparent to the world. There is nothing to prevent a sudden surge in Bitcoins being dumped by a creator, a major cash-in, and anyone who pays in legal fiat will be left with nothing. Oh, Bitcoins.
I do not know a whole lot about Bitcoin, but there is always a chance something new is a scam. If people are looking to use it then they should do as much research before hand to get all their facts straight. Right now, there are many scams out in the world and it is important to be on our toes.
So what makes it better than any other real world currencies? Nothing really. So everyone runs around crazy waving their hands that USD is dying (it will eventually collapse at some point, or other huge implications will happen), but bitcoin is the same, it can be destroyed by the same problems a real world currency can be, its highly volatile and isn't backed by anything (alas usd is not either).
Besides, you can always hear how the first ppl that started with it very early had some real gains. Sounds pretty much like a pyramid scheme/scam.
And remember people - think for yourself - did the original creators really wanted to "make the world a better place" or "offer an alternative to fiat currencies to help people" or just to make money.
For me - well it might not be 100% scam, but it will probably fail anyway as a bad business project.
Consider this an entirely invented medium of exchange that has not basis in fundamental value or agreed and recognised unit of exchange. It is an unregulated finite supply of nothing, artificially inflated to exploit unsuspecting persons. The only persons who win are he early inflators who get out leaving a void of nothing while the unsuspecting persons are left with literally nothing.
I've been doing a lot of research and it seems that to get bit coins you must invest i good amount of money, so either buying at bit coin or buying a rig that mines them cost an considerable amount of cash, and the process of mining inst guaranteed income if yu rig isnt top of the line with the most expensive hardware your not making profit, not to mention the cost to constantly update to the latest hardware cost more than is made, in my opinion it seems like a way to make people spend real currency on either the coins or the rig to make a currency that's not back by anything. Sure the first people who got into are making a profit but like any good scheme, thats what happens, you make it look good.
It seems that anyone can make bitcoin if they are good with a computer and then sell that for real money. Once we all figure out there is an unlimited supply of bitcoin its value will fall like a ton of bricks... Some will get rich and others just scammed
All this bitcoin is a big scam, you support the network with hardware, time and electricity to process the transactions but eventually you give way more than you get! The only people who benefit from this currency are the initiators and the people causing the inflation, its a smart scam, a digital one.
There is no supporting, stable (= governmental) infrastructure. Security depends upon software deployed on readily hacked Microsoft Windows platforms. Security depends upon continual re-verification of transaction logs that can be forged and destroyed. "Money" has value because an entity with control over the economic behavior of millions or billions of people--and with governance over trillions or quadrillions of dollars--is willing to back it. Bitcoins are beyond foolishness. Why not peanutbuttercoins?
Bitcoin isn't a scam because it's well intended. It is, however, a wildly unstable and moronic system that even in the age of INTERNET FREEDOM FIGHTERS it blows my mind that so many people take it seriously. What value is there to a currency that a couple pieces of can pay your rent one day and the next day are worthless?
BTC is a crypto-currency. The concept of crypto-currencies has been around for decades, but has been deemed unreliable due to the "double-spend" issue inherent in an electronic currency.
The people who created and adopted BTC in its earliest stages did so not out of trying to make money, but out of supporting and hopefully pushing BTC into the mainstream. Keeping a portion of your money out of the hands of your government is only smart investing.
Once people realize that the people who hold the most coins are doing so to help maintain the strength of BTC until it gains worldwide acceptance, there will be a seismic change in global finance.
Nobody promises any gains through Bitcoin. Bitcoin is designed to be a currency independent from any single authority and that's exactly what it delivers.
There is no "Bitcoin stock" that produces anything. That people are to stupid to understand this doesn't make it a scam.
Also Mining is by now means designed to make one "free money" it's computing power to secure the network, therefore they are compensated with the newly created money. In addition that solves the problem on how to distribute the money when there is no central authority that could do it.
The source code is available, it does not ask you to buy anything. Using it is all by choice.
There are scams that use bitcoin as the method of payment, this does not make it a scam anymore than the fiat currencies are, oh wait, bad analogy. Bitcoin itself is not a scam.
The definition of scam is " a fraudulent business scheme". Firstly, Bitcoins are not a "business scheme" in any shape or form. There is no central authority. There is no single business that will benefit from Bitcoins. If Bitcoins succeed, whomever is smart enough to invest will prosper, whether they purchased 1 bitcoin or 1,000,000. They are backed by the community, a much stronger backer than any single government. The Bitcoin community in particular is fiercely loyal to the currency, and will do anything to make sure it does not fail. As for the first part of the definition, are Bitcoins fraudulent? Well, the anonymity of the currency allows for many scams and frauds to occur. This is true. However, fiat currencies have been used in scams for thousands of years. This is nothing new, and scams will exist regardless of currencies. Investments are never without risk, and quite simply the best way to avoid a scam is to either use your head or don't take the risk in the first place. In summary, Bitcoins cannot be called a "scam" because no single entity creates or profits from them- if there are any fraudulent aspects, it is the work of an entity independent from the honest community. Anyone who gets scammed has made their own mistake, and it is not because of an inherent flaw in the Bitcoin system.
Bitcoin is as much a scam as any other world currency, but in this case you can chose to use it or not. Could you stop using $ in USA when you think $ is a scam?
Those people saying unfunded things about free money should get better informed. At any case if they are the last ones to adopt bitcoin, they could also benefit from an inflation and restrictions free monetary system. Away from the manipulating hands of the governments.
There are no secrets in bitcoin. All the code is open source, and to be frank, not that difficult to understand by most people in info tech.
The economic aspects have been gone over many times, and for several years now :
https://bitcointalk.Org/index.Php?Board=7.0 (Open discussion on the bitcoin forum's economics page)
Bitcoin is a pure information system and 100% open source. Basically it is a simulation of gold, but without the all the baggage that gold comes with (not seizable, heavy or counterfeitable). Bitcoin sets the bar very high as a currency and due to no middle men the transaction costs are very low.
Ignore it at your peril.
I believe that Bitcoin is an honest and valid experiment that will teach us a great deal about distributed trust networks, but will inevitably falter as it does not the scope to grow nor evolve beyond a pre-determined point.
However, it has already demonstrated the potential for an alternative currency, highlighted the arguments surrounding fiat and asset-backed currencies and made governments face up to the possibility of having an untraceable, untaxable alternative economy.
Destined to fail - YES. Scam - NO.
The critics that try to detract from Bitcoin say the same old worn out crap.
1) It is primarily used by bad people doing illicit things.
And tell me how is this different from other currencies today?
2) There is nothing backing it up but faith.
There is nothing backing any fiat currency but faith.
3) It's a scam.
It's a deflationary currency. It does reward those who save ONLY IF people use it as a method of exchange which means that there has to be a balance between people saving and people using it. If everyone saved it it wouldnt be worth anything because no one would actually use it. Its real value is determined by its use.