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information Why bitcoin may become virtually worthless: Finance professor

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[Fox Business] Julia Limitone Fox BusinessDecember 6, 2018

The world’s largest cryptocurrency is beginning to wind down and is close to becoming worthless, according to a Santa Clara University finance professor.

Bitcoin soared above $19,000 at its peak a year ago, only to fall sharply. It’s currently hovering around $3,600 level, according to Coindesk.

“Fundamentally bitcoin has not lived up to its hype,” Atulya Sarin said to FOX Business’ Stuart Varney on Thursday. “Primarily if you look up all the activity around bitcoin it’s mostly around creating. It doesn’t seem to have too many use cases.”

Unlike paper money, which is backed by a central bank which decides when to print and distribute money, bitcoin is issued through mining which uses computational power to maintain a record of who owns the cryptocurrency. Without it, no transactions would be possible.

Sarin said right now the problem is that it costs more to mine bitcoin than to actually own it -- and “that’s not sustainable.”

“If there is no transaction happening and there’s no record of who owns what then all you have is a set of numbers and all those numbers are worthless,” he said.
https://finance.yahoo.com/news/why-bitcoin-virtually-worthless-finance-165126365.html

What do you guys think?
Are Crypto Domains still worth it?
 
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The views expressed on this page by users and staff are their own, not those of NamePros.
IBM partnerships are so blaze'. IBM partnered with XLM... there was a small pump in price... now XLM has crashed like the others.

Crypto is ded. Even if Google partnership. You can't really expect make believe currencies to flourish even with the help of successful megagiants.

If megagiants could make anything successful, they wouldn't be so picky with their joint ventures because then anything they touch would turn to digital gold, which means they'd randomly touch anything. /touch.

My point of WHY bitcoin is best SoV. Came before greed.

XLM is crap. Jed McCaleb is known for not finishing anything (eDonkey, Mt. Gox, Jedmaggedon, etc). If you are going to invest in a coin with more governance then XRP is the better choice. I made a killing off XRP. Myself and a friend named Apollo were two of the main community members pushing for the lockup. After the lockup, XRP exploded in price and XLM followed. Stellar/Lumens just follows XRP price most the time in my experience.
 
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IBM partnerships are so blaze'. IBM partnered with XLM... there was a small pump in price... now XLM has crashed like the others.

Crypto is ded. Even if Google partnership. You can't really expect make believe currencies to flourish even with the help of successful megagiants.

If megagiants could make anything successful, they wouldn't be so picky with their joint ventures because then anything they touch would turn to digital gold, which means they'd randomly touch anything. /touch.
You don’t become one of the biggest companies in the world by making bad business decisions.

The fact is this - blockchain and crypto aren’t going anywhere. You can get on board or be left behind. It’s just that simple. Good luck!

Btw, crypto is very similar to domains in that success comes to those that understand how to pick winners ;)
 
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Btw, crypto is very similar to domains in that success comes to those that understand how to pick winners ;)
This^^^^

People need to understand what is really happening....

95% of all the crypto's out there are bull$hit fluff and short term money games (which is coming to and end).

Bitcoin is the "Netscape" of the crypto world.

It paved the way for the future evolution of the industry.

Do some "real" research. Some hardcore digging. Some actual due diligence. Spend more then 5 min on a stupid crypto chat room.

The winners are there.

The winners are bright as day.

You just have to believe, buy, and hold....
 
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This^^^^

People need to understand what is really happening....

95% of all the crypto's out there are bull$hit fluff and short term money games (which is coming to and end).

Bitcoin is the "Netscape" of the crypto world.

It paved the way for the future evolution of the industry.

Do some "real" research. Some hardcore digging. Some actual due diligence. Spend more then 5 min on a stupid crypto chat room.

The winners are there.

The winners are bright as day.

You just have to believe, buy, and hold....
Sure, there are applications for Crypto with huge potential and if you make educated decisions you can avoid pitfalls.

Decentraland was one which had stood its ground particularly as everything went into a tail spin.
Nothing like “bricks” to resist the bear market. full disclosure: +37% in $btc yoy

But don’t take my word for it.

Coinbase CEO: Crypto in VR is the Next Big Application of Blockchain

https://www.newsbtc.com/2018/12/09/...vr-is-the-next-big-application-of-blockchain/
 
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You don’t become one of the biggest companies in the world by making bad business decisions.

The fact is this - blockchain and crypto aren’t going anywhere. You can get on board or be left behind. It’s just that simple. Good luck!

Btw, crypto is very similar to domains in that success comes to those that understand how to pick winners ;)

if u read around..alot of very smart people on internet also compare crypto to casino and roulette...there too if u know how to pick winners u can win
 
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bit coin and all these other made up currencies will then have no value.

You're right. Stablecoins used on the Blockchain will put cryptocurrencies like Bitcoin out of business. Blockchain is here to stay. Stablecoins are a second generation cryptocurrency. Stablecoins act like a tokenized representation of fiat currency that is accessible on a permissioned blockchain network.

A stable coin is a digital token that has low price volatility because it is pegged to an underlying fiat currency.Bitcoin is a first generation cryptocurrency whose day is done and which will fade away like Netscape did in the early days of the Internet and Explorer took over.

Stablecoins provide stability. Imagine being paid for something paid exclusively in crypto. If the price of said crypto drops overnight by 20%, you will have effectively have sold if for only 80% of its value by the time you wake up the next morning. That's what ben happening with bitcoin.

Fiat currency backed stablecoins are collateralized by an equal amount of fiat currency held by a bank as a central custodian. Holders are guaranteed to redeem their token at any point for the stable value denominated in fiat currency. Stable coins are set to climb the ladder as some of the most in-demand crypto assets as the industry matures and more institutional participants enter the marketplace.

Stablecoins can help increase the viability of performing everyday financial transactions on blockchain.
 
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[Fox Business] Julia Limitone Fox BusinessDecember 6, 2018

The world’s largest cryptocurrency is beginning to wind down and is close to becoming worthless, according to a Santa Clara University finance professor.

Bitcoin soared above $19,000 at its peak a year ago, only to fall sharply. It’s currently hovering around $3,600 level, according to Coindesk.

“Fundamentally bitcoin has not lived up to its hype,” Atulya Sarin said to FOX Business’ Stuart Varney on Thursday. “Primarily if you look up all the activity around bitcoin it’s mostly around creating. It doesn’t seem to have too many use cases.”

Unlike paper money, which is backed by a central bank which decides when to print and distribute money, bitcoin is issued through mining which uses computational power to maintain a record of who owns the cryptocurrency. Without it, no transactions would be possible.

Sarin said right now the problem is that it costs more to mine bitcoin than to actually own it -- and “that’s not sustainable.”

“If there is no transaction happening and there’s no record of who owns what then all you have is a set of numbers and all those numbers are worthless,” he said.
https://finance.yahoo.com/news/why-bitcoin-virtually-worthless-finance-165126365.html

What do you guys think?
Is Crypto Domains still worth it?
Yap! Bitcoin looks worthless to you and almost everybody today, but let me tell you when it will pick up again you will be suprised.

A s far as I know there is no straight or paralel graph, and for so many reasons beyond imaginations it will soon soar again.

This is not the first time or second time when.Bitcoin will be facing this kind of falling beyond expectation.
 
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The only problem now lies on where did you enter the market? And where should you exit the market?
But for bitcoin to end up is a big fallacy !
 
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ChimpCoin is the future.....

OOH OOH AAH AAH EEE EEE !!!
 
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Debt of USA or any other country has not a damn thing to do with some made up internet currency.
Understand that and then we can talk.
But it does, because it affects perception. There are many people in the world who believe the USD will bust sooner or later. Whether it will is a different story, but that perception has made many people act/ aka buy/get involved with cryptos. Also Cryptos are useful to avoid USD if you're in a snactioned country/place. USD = US govt rules and some people want freedom from that.

Cryptos arent going anywhere and they have value. Price going down/instability is just evidence the crypto game is still early. Most haters are just in denial, simple.
 
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Fiat currency backed stablecoins are collateralized by an equal amount of fiat currency held by a bank as a central custodian. Holders are guaranteed to redeem their token at any point for the stable value denominated in fiat currency. Stable coins are set to climb the ladder as some of the most in-demand crypto assets as the industry matures and more institutional participants enter the marketplace.

This makes no sense to me. An IOU backed centralized coin which is basically a glorified database is the future of crypto? The whole point of bitcoin is it eliminates trust/counterparty risk.
 
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Blockchain Technology is the Most Significant Invention since the Internet and Electricity, tho
 
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Things haven’t been so rosey in Europe this year. Europe is in Chaos. Pound Sterling is at a 21 month low. The UK is in a complete mess with the current embarrassment of a government.

Big Short investor bets against UK banks

https://www.bbc.co.uk/news/amp/business-46472578



European banks in 2018...

HSBC: -17%
Barclays: -27%
UBS: -28%
Santander: -29%
Credit Agricole: -31%
Societe Generale: -35%
ING: -36%
Credit Suisse: -37%
BNP Paribas: -37%
Deutsche Bank: -55%
Deutsche Bank: -55%
 
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when bitcoin was at $20k all said "f..k i didnt bought when it was cheap.. " ehh guys now is cheap and it will be much cheap maybe under $1k .. that is the time to buy ...
Invest in "Bit " domains too ! will be huge on the next bull run !
 
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Blockchain Technology is the Most Significant Invention since the Internet and Electricity, tho
Great point, i agree.

Any argument here that is based on/ references price of btc or cryptos is irrelevant. why? Because its not about price but its about value, just like with domain names. This issue is a big reason many domainers buy or/and hold crappy names. If you focus on the price you'll get derailed and distracted.
 
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bitcoin has no value

its a man made perceived value based on supply and demand (or artificial inflated by bots and fake trades)

high transaction fee's
non stable
hack-able
no recourse if lost or stolen
has enabled new criminal activities (ransom -ware, etc)
non - eco friendly - mining costs for electricity, etc.

it has caused more bad than good
 
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bitcoin has no value

its a man made perceived value based on supply and demand (or artificial inflated by bots and fake trades)

high transaction fee's
non stable
hack-able
no recourse if lost or stolen
has enabled new criminal activities (ransom -ware, etc)
non - eco friendly - mining costs for electricity, etc.

it has caused more bad than good
 
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bitcoin has no value

its a man made perceived value based on supply and demand (or artificial inflated by bots and fake trades)

high transaction fee's
non stable
hack-able
no recourse if lost or stolen
has enabled new criminal activities (ransom -ware, etc)
non - eco friendly - mining costs for electricity, etc.

it has caused more bad than good

American’s have to think harder to really see these significance. If you haven’t already, watch The Rise and Rise of Bitcoin (it was on Netflix). Good intro documentary imo.
 
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Fiat currency is backed by government assets, and ultimately land. But also trillions of debt :)
When a crypto exchange goes bust, or gets hacked (inside job), there is no bailout.

There is no bailout when a nation's currency goes bust either. Ask Venezuelans. I know people who lived through currency collapses, and they see the value in bitcoin because they know that fiat currencies are backed by nothing but politicians' promises. We know what those are worth.

Forget about government assets and land coming to the rescue. Government cronies and those who are already wealthy will buy it all up at pennies on the dollar. Exactly none of that money will go to bail out people who lost their life savings because the currency collapsed.
 
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There is no bailout when a nation's currency goes bust either. Ask Venezuelans. I know people who lived through currency collapses, and they see the value in bitcoin because they know that fiat currencies are backed by nothing but politicians' promises. We know what those are worth.

Forget about government assets and land coming to the rescue. Government cronies and those who are already wealthy will buy it all up at pennies on the dollar. Exactly none of that money will go to bail out people who lost their life savings because the currency collapsed.
I keep reading things, but I just don't get it.

Can you explain to me in very simple terms what exactly backs/supports bitcoin -- or any other cryptocurrency -- and will prevent it from collapsing as well if any of the world's major currency collapses? I mean, aside from just a random belief that it actually represents something and as such has value.

What makes a cryptocurrency immune from a bust, say like losing 83% of it's value? Example - What if I had my life savings of $19,783.06 in my bank account and then a year later it was worth only $3,377.47 (+/-). If that sort of drop occurred, that would be considered a bust, right?

What's going to prevent that type of devaluation from occurring with bitcoin or other crypto currency?

Again, when the world is crumbling around me, I'm going to be neck deep in ammo and toilet paper. Now THAT'S where the new wealth will created!
 
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The crypto industry is in the process of legitimizing itself in the fintech sector. As time progresses, this sub-sector will become increasingly professionalized, yet diverse.

Blockchain technology and academia is a combination that has been developing for the past year.

Although Bitcoin as an object gave a platform upon which extenuations of blocktech can expand and individuate, Bitcoin is seeming increasingly obsolete. However, BTC dominates 55% of the Total MCAP of cryptocurrencies, serving as a liquidity tool to traders and users alike. It is one of the most adapted crypto-techs.

Therefore, I believe that "bitcoin" as a concept and keyword will still be worthwhile because bitcoin has earned people's respect and its story serves as guidance for an entire, notoriously stubborn, community.

IMO It will still maintain some value as long as it is continued to be used as a liquidity tool, as other cryptocurrencies become adopted and time goes on. I think we have to wait until 2020 until another advancement approaches.
 
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