BitCoin seems to have a lot of the properties of a pyramid scheme, mainly:
- First adopters have an inherent advantage since they could create large amounts of BitCoins. - BitCoins have no inherent value. The only value they have is that which is attributed to them by those whose trade in them. - The more people that can be convinced to trade in BitCoins, the higher the pool of real money available to exchange for BitCoins. - Creation of BitCoins has now reached a level where the items being created for a given unit of time represent a small percentage of the total number of items in circulation: it is now essentially a trader's market.
yes, except that as it was already pointed earlier in the comments, the same happens with everything - those who jumped earlier are the ones who make the most profit. Besides, "real" money doesn't have any inherent value either. If the whole world suddely decides to turn the "real" money into gold (which is what money was used for in the first place), the same thing will happen to real money - it will devalue pretty quickly.
And why is everyone so concerned about mining BitCoins? Do you mine your dollars?
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BitCoin seems to have a lot of the properties of a pyramid scheme, mainly:
- First adopters have an inherent advantage since they could create large amounts of BitCoins.
- BitCoins have no inherent value. The only value they have is that which is attributed to them by those whose trade in them.
- The more people that can be convinced to trade in BitCoins, the higher the pool of real money available to exchange for BitCoins.
- Creation of BitCoins has now reached a level where the items being created for a given unit of time represent a small percentage of the total number of items in circulation: it is now essentially a trader's market.
yes, except that as it was already pointed earlier in the comments, the same happens with everything - those who jumped earlier are the ones who make the most profit. Besides, "real" money doesn't have any inherent value either. If the whole world suddely decides to turn the "real" money into gold (which is what money was used for in the first place), the same thing will happen to real money - it will devalue pretty quickly.
And why is everyone so concerned about mining BitCoins? Do you mine your dollars?