What does bitcoin's credit rely on

1.

The concept of bitcoin was first proposed by Nakamoto on November 1, 2008, and was officially born on January 3, 2009. According to the idea of Nakamoto, the open source software is designed and released, and the P2P network on it is constructed. Bitcoin is a virtual encrypted digital currency in the form of P2P. Point to point transmission means a decentralized payment system

unlike all currencies, bitcoin does not rely on specific currency institutions. It is generated by a large number of calculations based on specific algorithms. Bitcoin economy uses the distributed database composed of many nodes in the whole P2P network to confirm and record all transactions, and uses the design of cryptography to ensure the security of all aspects of currency circulation

extended data:

bitcoin network generates new bitcoin through "mining". In essence, the so-called "mining" is to use computers to solve a complex mathematical problem to ensure the consistency of bitcoin network distributed accounting system

to mine bitcoin, you can download the special bitcoin computing tools, register various cooperation websites, fill the registered user name and password into the computing program, and then click the operation to officially start

the bitcoin network is robust, but the bitcoin trading platform is fragile. Trading platform is usually a website, which will be attacked by hackers or shut down by competent authorities

2. Bitcoin has no support. As long as someone wants it, bitcoin can be used as a general equivalent and can be used by businesses. It has no value in itself. Bitcoin is not a standard currency. Gold and silver are naturally currencies. It means that gold and silver can be used as a general equivalent and it has value in itself. Bitcoin, in fact, is a credit that supports it, but this credit can be turned into not worth a hair.

3. It's divided into price and value
1: value is the so-called currency born from the early decentralized blockchain Technology (in fact, the capital owns the centralized computing power, and the capital owns the centralized currency quantity, which may not be ideal here). At that time, people had certain expectations and beliefs. The decentralized low trust cost world chase was a good future imagination, which made most people recognize its value (of course, it also caused negative use value, which could not be controlled and regulated by the government, and provided a lot of extra convenience)
of course, some attributes of digital currency can be used for reference, Now countries are also in the trend of legal digital currency. Due to certain technical reasons, BTC may eventually disappear, or it is difficult to achieve the vision of believers. If there is no better change of technology, the limitation of technology will be phased out with the current development of science and technology
2: of course, the price is basically determined by market transactions. BTC is used by a lot of capital, and more value may be used as financial value Another common perception of price is that the quantity is limited and the output is getting slower and slower. With the increase of the use area, the scarcity increases the price, and the story of halving the price is also a good help for capitalists)
because it is a minority, there is no regulation, so the power of capital has a great impact on the price. The good effect of getting rich can attract more and more people to come into the market. The exchanges of various capital institutions have solved the problems of business instry, gained some additional operating income, and created instries (such as basic financial derivatives and more)
including this year's events, with the epidemic situation and the situation in the United States, new financial derivatives are manufactured by joint institutions. In the secondary market, a new circular wealth story is born. This mode is still relatively solid, with stable prices and rising prices. Of course, the final digester is the ordinary people
at the same time, the characteristics of BTC also lead to a part of human allocation of hedging assets
and so on, the price of BTC is proced under the game
personal final conclusion (for reference only): bitcoin is more of a kind of financial value, its use value is still limited at present, and it is also very difficult to promote in the future. If the technology does not evolve, it will still be small. Of course, the game of the world government is also a certain resistance
the current price is based on the financial game of institutions, and it is stable to a certain extent. The premise is that if there is no new large number of people participating in the game, the current rising trend will slow down, and the gray scale and institutions are also expanding the playing methods of other digital currencies (after all, the number of BTCs targeted by GBTC has accounted for more of the total BTCs - physical contribution plus less cash contribution), But there may still be a rise, but when it will be the top depends on the results of various games (I think there are several points: 1. How long can the game between the trading frequency and holding amount of BTC or other currencies in the primary market last, and when people's purchase and consumption will reach a limit. It can't be bought and sold all the time, there is a limit when what the 2. gradation and what the BTC of the GBTC corresponds to is the two level market digestion of the market, when it will be indigestion is also a game... Etc.)
BTC has bubble, and the financial game of capital is full of bubbles. Of course, this is the opportunity to get rich easily.
but the risk is very high, which is not suitable for the public. It can only be said that it depends on fortune and opportunity
BTC has big moves with every financial trend game
investment should be cautious.

4. So far, no one can guarantee the value of bitcoin. Bitcoin is a virtual currency without any actual credit support. Its real value lies in that when everyone believes in it, it is worth money. When everyone does not believe in it, it is worthless
of course, its selling point is to speculate that there is no inflation. However, a limited number of currencies is not absolutely inflation free, because the original price can rise or fall arbitrarily when people's confidence can not be guaranteed. This means that inflation can be as difficult to control as any currency

when gold has no monetary function, it at least retains the functional value of ornament and metal, and then it can become a real currency again through value exchange in any society with money
however, any virtual currency in the form of pure credit, whether it is paper money of a certain country or the so-called electronic currency, must have an equal amount of real wealth value injection before it can start to obtain the real form of credit guarantee and value, and then it can have the real credit value. Any so-called credit currency that lacks this process of injecting value and obtains guarantee is zero credit currency
as long as bitcoin does not have any social entity with economic credit (such as a government) to inject real value and make formal guarantee for it, it will always be just a nominal currency with legal credit equal to 0. Any country can take this form of electronic currency to improve the function of currency counterfeiting and other management functions, but this pure electronic currency itself can not be separated from the attributes and forms of a credit currency itself. For example, US dollar or RMB can be issued and managed in the form of this kind of electronic currency, However, this does not mean that the US dollar and RMB itself can be separated from an actual form of credit guarantee and valuation process to become truly valuable currencies
any certain amount of money can be diluted and decentralized by a larger number of other "nominal money with no equal wealth value" and suffer devaluation. For example, the central bank issues money to the market for use out of thin air; On the other hand, the dominant value of any fixed amount of credit money can also change when its real wealth assignment changes. When it is abandoned by the original credit supporters, the credit right of its real wealth value will also end. For example, a country whose economic expenditure is basically bankrupt, Even if the amount of money is fixed, it will fall to the bottom, because the money itself has lost the control of the original normal amount of wealth. However, when a currency has not been assigned a value by a formal political entity in the legal form and process, its value can only be empty

the above points are only for some mentally retarded people who may fall into financial fraud. I hope that those who don't understand will not participate in speculation and avoid losses. As for the specific financial knowledge, many experts actually understand that bitcoin, as a form of credit currency, is a relatively new electronic currency. Many people want to observe what specific reactions it will have in the actual actions of the society. On the contrary, it has not aroused much vigilance for its possible adverse effects

reference: bitcoin: so far = empty credit currency

hope to adopt

5. It's true, but Ma Yun said that the good rate of return is higher than abnormal. You should be careful because the Chinese are too smart

6. Let's take bitcoin as an example:
bitcoin has value because it is useful as a form of currency. Bitcoin has the mathematical characteristics of money (persistence, portability, interchangeability, scarcity, separability and identifiability) rather than relying on physical characteristics (such as gold and silver) or the trust of central authorities (such as fiat money). In short, bitcoin is backed by mathematics. With these characteristics, a form of money to have value requires trust and use. In contrast, this can be reflected in its growing base of users, businesses and start-ups. Like all currencies, the value of bitcoin comes directly from people who are willing to accept it as a means of payment, which is the only source
of course, the same is true for such digital currencies as Leyte, doggy, Ruitai, decent and Ethereum.

7. market