Re <<Pure madness like SPARC companies what is behind BTC except speculators?>>
I agree with you, that there is tremendous speculative frenzied power propelling BTC, and that ...
- the mania is dangerous
- stands a chance to either crater everything unless pierced
- or if pierced wrong, cause bad infection and crater everything anyway
- piercing best done earlier than later, else not at all
They authorities best move soon, sure, and fast, even if at the risk of the general market.
I believe that should folks be squeezed out of the crypto trade, the survivors would not be investing in the Dow, but gold and silver, because after they survive the cratering of BTC they would know the agenda of the authorities.
Re <<At least currencies issued by a recognized state reflects the economic value of that state more or less and if the economy is weak and on an inflation run the value of the currency weaken or vice versa.>>
... here my take differs from yours. For I believe that BTC, even if not issued by no one knows, Satoshi-san, and is not recognised by any sovereign state, but held true by only a few million folks out of the billions on this planet, also reflects the state of the economy, by expression of value and interest rate and derivatives rate in the market place deribit.com
The authorities best attack BTC soonest, without niceties / subtleties, else game over.
Unclear to me 'they' know what to do and how, although the fact cbeci.org that China (71.70), Russia (6.08), Iran (2.67) and Venezuela (0.46) mine 80.1% of BTC might give 'them' a hint, even as straight outlawing likely would only boost BTC value.
'They' must hack BTC, is my read.
bloomberg.com
Man Who Spent $446 Million on Pizza Has Advice for Tesla Fans
Olga Kharif
February 10, 2021, 6:45 AM EST
Hi, Olga here. Laszlo Hanyecz said he wouldn’t spend his Bitcoins on a Tesla. Hanyecz knows what he’s talking about: In 2010, he paid 10,000 Bitcoins, worth about $446 million at current prices, for two pizzas.
It was the first known commercial transaction of cryptocurrency. Back then, Bitcoin’s price stood at less than a penny. It hit an all-time high of about $47,000 on Tuesday, the day after Tesla Inc. said it bought $1.5 billion in Bitcoin and will accept the digital currency for the purchase of cars.
“Personally, I am not too interested in Tesla,” Hanyecz wrote in an email. “If you give it five years, I think the Bitcoin you’d spend will be more valuable than the car.”
What separates Bitcoin from a typical fiat currency, of course, is volatility. A dollar won’t be worth substantially more or less tomorrow. During the Bitcoin frenzy of 2017, some people bought Lamborghinis with their winnings. Other Bitcoin holders watched as the price fell by more than 80% the next year, before quadrupling last year.
People tend to treat Bitcoin as a risky investment, rather than as a checking account. When Bitcoin rallied, especially in the latter part of last year, average monthly transactions of various cryptocurrencies processed by BitPay Inc. fell 27%. Merchant-related transactions accounted for 0.3% of cryptocurrency spending in 2020, with the remainder dominated by an explosion of trading, according to researcher Chainalysis.
Transacting in Bitcoin is a risk for companies, too. Musk has been more willing to gamble than most, dating back to his role as co-founder of the pioneering online payments company PayPal and more recently, to his fascination with the joke currency Dogecoin. Tesla’s bet on Bitcoin follows a few others, including MicroStrategy Inc. and Square Inc., that invested as a hedge against inflation. The moves boosted their stock prices when Bitcoin rose, but it can easily go the other way. For investors and corporate finance departments, it also makes earnings forecasting a lot more difficult.
For most people, buying a car is a big financial decision, and it’s unwise to introduce another potentially life-changing factor on top of that, said Hanyecz. While he said he doesn’t regret buying those pizzas, Hanyecz said people are better off using a credit card. — Olga Kharif |
