Finance and Economics > Economic News, the Global Economy and all Things Monetary

Bitcoin currency (merged topics)

<< < (2/146) > >>


A new private currency called "Bitcoin" has hit the scene. It is a digital currency that my producer tells me is valauble partly because it's untracable: there is supposedly no way for the government, or anyone else, to see who owns or transfers Bitcoins.

Read more:


Mr. Bill:

--- Quote from: Bubafat on June 02, 2011, 08:54:05 PM ---

--- End quote ---

So people are putting their faith in the imperfect anonymity of Tor, and the shiny new alleged anonymity of Bitcoin, and then having their drugs delivered to their homes via the United States Postal Service.

Yeah, that sounds safe.

I worry that users of Bitcoin, Tor, PGP or GnuPG, e-gold, etc, seem to develop an attitude of invulnerability.  These privacy techniques are a defense against snoops, but they're only a defense, not perfect protection against all forms of intrusion.  And of course, as users get cocky and move into black-market stuff, this just draws more government attention and interference.

I like the idea of Bitcoin.  It is hard to make transactions with gold or silver unless you are in person or trust shipping gold or silver.  This makes gold and silver hard to make transactions over the Internet in a safe or timely manner.  The code and specifics of Bitcoin are completely open and maybe reviewed by anyone.   Bitcoin is not completely anonymous.  The government can use ISP logs, wire taps, warrants and other methods they currently employ to follow computer transactions.  Once they discover your public Bitcoin addresses they can track every transaction those Bitcoin addresses make, but they have to discover you Bitcoin addresses that you use.  You can create an unlimited number of Bitcoin addresses for yourself.  Every Bitcoin transaction is open and published to the Internet over the peer to peer network, (P2P).  That is part of what makes it safe.  The P2P network verifies every transaction to create a P2P trust and verifies the integrity of the transactions to help prevent fraudulent transactions and double spending of the same Bitcoin.

Here is a video from CBS speaking with one of the code developers of Bitcoin.


I love bitcoin, that said, it's major flaw in my eyes is it's reliance on the internet... without the bitcoin network up and running it's not very useful, and it's value would be greatly diminished.  Certainly not something you can rely on in a survival situation, but I think it has great potential for just general transactions.  Try hiring someone in Moldova to do a little web development (which I've done).  Paypal doesn't support them, so you are stuck with either expensive bank wires or western union.  With bitcoin there is no middle man.

I've seen a lot of youtubers hating on bitcoin, saying only gold is real money because of it's "intrinsic" value.  Doesn't anyone ever ask what makes gold such a good currency?  It has a lot of the properties required to be money: stable supply, can't counterfeit it, not consumed industrially, easily divisible, recognizable.  Bitcoin has all these qualities too.

Politically, it's a wonderful currency, a true currency without a state, purely voluntary, completely non-fiat.


[0] Message Index

[#] Next page

[*] Previous page

Go to full version