Bitcoin tulip

1.

bitcoin is just a game. If it is promoted as a tool to get rich, it can be regarded as a fraud. Just like the currency in other online games, the only difference is that bitcoin has been standardized since the game was first formulated. It can't be issued indiscriminately, so it can keep its value better than other virtual game props. It is equivalent to the online collection. Bitcoin is a prop in the game, and its value is reflected in the recognition of bitcoin by players: more people play, the value of props in the game is higher; The risk is that he is not the only game, and his algorithm is not the only one. Maybe someone will be able to make other special coins soon. All you need to do is promote the game and sell your props. As for money, bitcoin does not have the basic attributes of money, such as unfair initial distribution and insecure circulation. Money needs to be maintained by the state machine

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the concept of bitcoin was first proposed by Nakamoto in 2009. According to Nakamoto's ideas, the open source software and the P2P network on it were designed and released. Bitcoin is a kind of P2P digital currency. Point to point transmission means a decentralized payment system. Unlike most currencies, bitcoin does not rely on specific currency institutions to issue. It is generated by a large number of calculations based on specific algorithms. Bitcoin economy uses a distributed database composed of many nodes in the whole P2P network to confirm and record all transactions, and uses cryptography design to ensure the security of all aspects of money circulation. The decentralized nature and algorithm of P2P can ensure that it is impossible to artificially manipulate the value of bitcoin through mass proction

1. Bitcoin (bitcoin) is a kind of network virtual currency, which can buy real-life goods. It is characterized by decentralization, anonymity, and can only be used in the digital world. It does not belong to any country or financial institution, and is not subject to geographical restrictions. It can be exchanged anywhere in the world. Therefore, it is used as a money laundering tool by some criminals

2. On January 7, 2014, Taobao announced that it would ban the sale of Internet virtual currencies such as bitcoin and lightcoin from January 14. On February 26, 2014, Democratic Senator Joe Manchin of West Virginia issued an open letter to a number of regulatory authorities of the federal government of the United States, hoping that relevant institutions would pay attention to the status quo of bitcoin encouraging illegal activities and disrupting the financial order, and demanded that actions be taken as soon as possible to completely ban the electronic currency

3. On May 12, 2017, a global outbreak of bitcoin virus madly attacked public and commercial systems! Nearly 74 countries in the world have been seriously attacked

4. From August 1, 2017, global bitcoin trading platform will suspend recharge and withdrawal services. Bitcoin China digital asset trading platform will stop new user registration on September 14, and all trading businesses will be stopped on September 30

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network bitcoin

2.

But today's bitcoin market is so hot and the price is rising so fast. It is also because bitcoin investors and holders do a lot of business through high-frequency trading. In fact, it does not reflect the real demand of the market. So if we continue, one day we will realize that our actions are not creating value, but transferring funds, and then the market will burst

therefore, many investors are still cautious in choosing bitcoin. After all, bitcoin is a virtual currency. If one day the state intervenes to strengthen supervision, investors are likely to pay a high price. Before investing, they should carefully consider the risks and their own tolerance, and invest rationally

3. We usually link Ponzi fraud, pyramid schemes and asset bubbles with bitcoin, so we will analyze the past one by one. Three. Asset bubbles are strictly not fraulent, because they do not involve coercion or deception, but in order to make the discussions more complete, we also add them.
1. Is bitcoin a Ponzi scheme
what is Ponzi scheme? The funds invested by the latecomers are equally distributed to the former participants as their benefits. Do you need to hand over an extra sum of money to all current bitcoin holders when you first buy bitcoin? No, so bitcoin is not a Ponzi scheme
2. Is bitcoin MLM
what is MLM? The funds invested by the latecomers are distributed to the previous participants as their benefits. When you buy bitcoin for the first time, do you need to hand over an extra sum of money to the person who brought you into the bitcoin world? No (bitcoin brings you in a lot of times), so bitcoin is not MLM
a typical mistake that people are prone to make is to judge whether bitcoin is a Ponzi scheme or pyramid scheme according to "previous bitcoin holders will benefit from the participation of later investors". This is obviously e to the unclear concept. Previous stock holders will also benefit from later investors. Is the stock market also a Ponzi scheme? The real difference between the above-mentioned scams and the formal investment market is whether the first participants and the latter are equal in the rules. The Ponzi scheme and pyramid scheme are unfavorable to the latter in the rules, and this is concealed, which is the deception. In the bitcoin market, no matter first come first served, everyone has to complete the transaction in the market according to their own judgment. No one can use the rules to profit others, which is exactly the same as the stock market< Is br />3. bitcoin an asset bubble?
what is asset bubble? The price of an asset is too high relative to its own value (all but resale). What determines the price? Supply and demand. There is a certain supply and the price soars, which means that there are too many buyers
take the tulip bubble that we often talk about for example. The most important value of tulips is its ornamental value. When five people buy a tulip, it's red. When 500 people buy it, it's colorful. Does it bring night light at night? Obviously not. The ornamental value of tulips will not increase because of the increase in the number of buyers. Therefore, soaring prices in the short term will lead to bubbles. After analyzing bubbles, let's look at bitcoin.
what is bitcoin? Value network. What are the characteristics of Internet? Scale effect
QQ with only 200 users, QQ with 2 million users, and QQ with 200 million users are obviously different in value. The same is true for bitcoin. Every additional bitcoin holder means an additional user who is willing to accept and able to pay for bitcoin. Accordingly, the value of the whole network increases a little bit. The scale effect of bitcoin determines that its value will naturally increase with the increase of the number of buyers. Therefore, it is untenable to assume that the inference of asset bubbles is based solely on price spiking. If we want to prove that bitcoin is an asset bubble, we must prove that the price change of bitcoin is even higher than that of its scale effect.
unfortunately, at least in the discussion of bitcoin bubble that I saw at present, I did not take this proposition into account. Although such proof is complex, it is not infeasible. For example, one idea I can think of is to take the valuation of Tencent / Facebook (Social Network), Alibaba / Amazon (trading network) and visa / PayPal (value network) in different user number periods as a reference to see if the growth rate of bitcoin's market value is too high compared with that of user number. Obviously, there is more than one way to prove, but the propositions to prove should be consistent
conclusion is obvious now that bitcoin is not a hoax, and even the accusation of bubbles lacks convincing grounds. When we discuss bitcoin, there are many misunderstandings, not only conceptual and logical, but also emotional. In the final analysis, it is because of the lack of understanding of bitcoin. However, e to the openness of the network, bitcoin has indeed been artificially played bad. Useful adoption

4. In your opinion, there is nothing of use value at all
the essence of modern currency is credit. If there is credit, there must be endorsement. Every country's sovereign currency is backed by national sovereignty. Who will endorse the blockchain. Like bitcoin, you say it's an asset. Yes, the market has this demand. If you want to say it's a currency, who will endorse it

5. Whether bitcoin is tulip is unclear, but it has been recognized by many countries in the world. As an electronic currency, bitcoin does not have a central issuing institution. Anyone can use specific software to mine and proce bitcoin, and can also trade all over the world through the network. All transactions are anonymous and will not leave the identity information of traders. In addition, like other currencies, bitcoin can also be used to buy goods and services, and is widely concerned by the international market as an investment proct.

6. However,
moreover, they are all works with little real value, which have gone up and down sharply.

7. Bubbles. The absolute bubble. Don't you think, why does the whole economic system want this thing? Does the government want to engage in e-money and lack this technology? This is a conspiracy of Wall Street. Don't get involved in it blindly

8. 1. bitcoin may not be a bubble at all, because he has no value
has the US dollar for example. The value of the US dollar is e to the US government's
while bitcoin has not been collateralized by certain taxes, some proprietary rights technology and gold foreign exchange.

9.

in terms of price, bitcoin and various "cat coins" (all the encryption currencies outside the bitcoin system) are in the bubble. But in terms of value, bitcoin is not. Davis said that although bitcoin is a speculative transaction, it is still valuable

Davis said that if you bet on bitcoin, you bet on the value exchange provided by the Internet. The Internet exchanges information through various protocols, just as people use bitcoin to buy a commodity or exchange for the service they want. Therefore, if the number of people using bitcoin is increasing, the value of the Internet will continue to grow

the price of bitcoin continued to rise this week. According to data from coindesk, the trading price of bitcoin broke through 12000 US dollars for the first time on Wednesday (December 6) morning Beijing time. Because of the large increase in bitcoin, executives of some large banks call bitcoin "bubble". Bitcoin has risen more than 1000% since the beginning of the year

Davis' company currently allows people to pay in the form of "electronic gold" instead of bitcoin. Users can link their MasterCard debit card to glint's app, and then do what they want: buy the goods and services they need, even transfer money. Bitcoin is an exchange of value provided by the Internet, but it cannot be used as a means of payment like gold, the executive said< br />