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Bitcoin Circulation Hits Record High Of $14 Billion (theguardian.com)
Bitcoin, the digital currency that most people have never actually used, has hit a record value of $14 billion after jumping 5 percent on Thursday. From a report on The Guardian: The price of one bitcoin reached $875 on the Europe-based Bitstamp exchange, its strongest level since January 2014, putting the cryptocurrency on track for its best daily performance in six months. That compared with levels around $435 at the start of the year, with many experts linking bitcoin's rise with the steady depreciation of the Chinese yuan, which has slid almost 7% in 2016. Data shows the majority of bitcoin trading is done in China, so any increase in demand from there tends to have a significant impact on the price.
game points that currently can be converted to currency, value of which might drop to zero by various state actions suddenly, yes
Kinda like anything other currency. Like the Deutchmark in the 30s, or currently the Venezuelan Bolivar?
All currency (including gold) is an agreement between people that something has value. Bitcoin is no different. You're under the illusion that money is real, which it isn't. It's all a collective, convenient illusion.
There is little point in using bitcoins for normal everyday business-to-consumer transactions. So most people do not, and maybe never will, use them. But there are still uses for bitcoins. My company employs a graphic artist living in Karachi. The transaction costs of transferring and converting dollars to pak-rupees are exorbitant. So we pay her in bitcoins. It works well, and, since it is below the radar, we don't have to worry about the 35% tax that our soon-to-be-president will impose on offshoring.