Source: U.S. Senate
quote: The problem is what happens to the existing economy (wealth, property) with a private entity controlling the currency. Do dollars convert over to bitcoins at little/no cost? Will that continue to be the case in the future? What prevents the founders of bitcoin from manipulating the algorithms that determine its value?
quote: if the American dollar is slowly loosing value, then what is wrong with people wanting to use a more stable currency
quote: As Bitcoin is an international currency regulated not by government, but by rigid mathematical formulas, there's no real way of manipulating it
quote: Bitcoins are limited to 21 million - that is it.
quote: That's a lot opinion without demonstrating any actual understanding. What's with the silly lolcoin name, you think it adds weight to your diatribe?
quote: I don't own any bit coins but I have to admit the appeal is there. Its really only because its the only currency scheme that most resembles a gold standard.
quote: There is appeal if you are a retard. LOLcoins have NOTHING in common with the gold standard. You have to be a special kind of ignorant to make a statement like that.Nobody issued LOLcoins so nobody backs them, and none of the people involved with them actually want to transition from USD to LOLcoins - they just want to get LOLcoins and sell them for USD, thinking they'll get rich if they can.
quote: You could also simply write a contract on paper that says you'll pay someone back in the future for whatever price was agreed upon. If the other party accepts this, congratulations, you just bought something with a piece of paper. Either way, if you are dumping real money into bitcoins thinking you are 'investing', you are a moron...but you are free to do so if you please regardless of what the government says.
quote: People have already mined bitcoins and sold them for real dollars. Whether the value of those bitcoins falls or not, those people have made actual money, which they can later reinvest it anything they wish, be it gold, cash, or more bitcoins.
quote: A paper dollar is the exact same thing. Maybe it is backed up by the US Government, but what if the US Government does not exist next year, those dollars are now worth nothing also.
quote: People invest in stock and bonds every day also, and it is also "investing" as you say it since tomorrow that piece of paper they own (the stock certificate) could be worth no more than the paper it is written on.(how much is a share of DeLorian Motors worth these days?)
quote: In describing bitcoin, you just described every financial system in the world today. Any currency including gold is only worth what someone else will give for it at any given moment.