What gives each coins their value...

What gives each coins their value? Friend posted on his facebook that he made 20m from coins and started posting him spending money like a lunatic so I checked the prices. Bitcoin, which I sold for $5 each are now apparently worth 17k. Even dogecoin which was supposed to be a meme jumped 80 times.

I thought blockchain technology was easily replicable and widely available so bitcoin was a meme? Why are there so many new coins coming out and why are they worth so much?

I just wanted to know before I killed myself. I could have retired from the coins I had.

Other urls found in this thread:

garlicoin.io/
twitter.com/SFWRedditGifs

Kikes are dumping money into cryptocurrencies to crash them. Chinks and plebs are discovering cryptocoins as a way to transfer wealth without being tracked as easily. These combined with the USD becoming less valuable has started a craze that will end in the crash of the USD and then the crash of the value of crypto currencies, as they are all valued against the USD. But first normies need to stop buying crypto for it to become less valuable. As a crypto is valued by how hard it is to mine, but it is only as useful as far as there are a large amount of people accepting it for trade.

It is a medium of trade, nothing more and not a store of labour/wealth

People invent new coins nowadays ONLY to make money, money for the founders and early adapters. They basically transform iron into gold like alchemists. And when the iron is gold they sell their share of it, turning it (in some cases) back to iron.

tl;dr coinmakers invent a new "luxury item" and the whole value of the coin is hype. It's like a high value brand but with no actual proof of value.

People have been saying crytocurrency's value will crash since bitcoin started.

It's been only rising since.

If the USD crashes so will they. But first they will skyrocket in value as other nations like chinks would still accept it for trade. But then it will crash.

What makes you say that?

The value of crypto currency, and most currencies world wide, is based on the USD. IF the USD becomes worthless, then crypto currency will lose value. Now chinks have their own currency which can go to gold backed. So at first chinks would keep the joyride going for cryptocurrency. But then after their non-goldbacked currency crashes then cryptos will crash as very few worldwide would be left to use them.

This is ignoring all the events that could be happening at the same time the USD becomes worthless. Like WW3 or burger civil war.

I think coins would be the least of your worries if USD goes bust.

You do know that there's more than one coin, and more than one exchange, right?

People trying to figure out shit ITT and elsewhere need to stop and realize the US is not going to be #1 forever, and neither is the USD.
Crypto is their way out of the dollar. Whether it will become the next slave control mechanism (money) for a supranational governing body or a bridge to the Yuan or any other currency remains to be seen.

If you answer and I don't reply to your posts it's because I don't try to reason with animals. It's nothing personal.

Look up "currency speculation". Block-chain technology may be new, but currency speculation is as old as Judaism. Don't feel like you "missed out" on it.

Back to whatever hole you crawled out from you dumb faggot.

The same thing that gives anything else its value. Other people's willingness to buy it at that price.

It is and it is. Bitcoin sucks. It's too slow, too expensive, and the blockchain grows too fast, with no limits on size. The market is currently being irrational. Everyone and their mother wants to invest in bitcoin. But bitcoin is not an investment, just like gold is not an investment. It just sits there. Good investments create value and hence profits. Bitcoin is a zero-sum game that does nothing, apart from wasting copious amounts of electricity.

That said, you can make ridiculous amounts of money by speculating during a mania. Just realize that every dollar you make is a dollar some poor sucker is going to lose once the music stops, and that every second you hold bitcoin, you risk becoming that sucker.

That is, IF bitcoin crashes. Will it crash? I don't know. It should, it deserves to, but no one knows for sure. Anything can happen. The question now is the same as it was two years ago - do you feel lucky?

The amount of socially necessary labour time.

Wrong. Bitcoin provides a public ledger to securely record transactions. It also isn't a zero sum game. This could only be true if there were not new users of bitcoin.

PND, conceived on cuckchan before 1st exodus, seems to have increased in value as well. I bet there are a lot of /g/entoomen and /biz/raelis who have $100K-$1m on their wallets and don't even know it because it's not visible.
It seems to be catching on in SE Asia for some reason...

What I mean is, being a small coin, it's not in media, and they probably uninstalled the old clients and filed their wallet.dat file somewhere.

I love how this thread has a random smattering of idiots. A bunch trying to convince people that Buttcoin is attached to the USD and will share its fate. It's not green-backed. I hope that this guy is being ironic (one can't tell stupid from a satire of stupid). In January of 2013, Bitcoin was selling for 14 dollars and I had $14000 in the bank. If I had bought 1000 Bitcoins then, I could have sold them in November at $1000 a piece and have been a fleeting millionaire. Then, as now, I didn't feel lucky. I pay for my own risk avoidance in poverty (relative poverty, poor people don't have $14k to drop like that).


So, it's not a zero-sum game because it is a Ponzi scheme?

I love how easy it is to cause butthurt in this board. This place and 4/g/ are probably the ones where the most dumbasses with a superiority complex there are.
They answer viciously and without thinking. The product of an empty but already kind of long life with nothing for comfort but other people's praise for their repetitive and meaningless labor with technology. Something nobody really wants to do which they feel should set them apart from the rest, but doesn't quite fulfill them, nor it elevates them above those "normies" they way they feel they should be.

You will die and it will all have been for nothing. What is more, you will claim for nothing is exactly what you wanted to live for. But you fool no one. You wouldn't be able to give your life meaning even if you stopped pretending you don't want to give it one.

If you answer and I don't reply to your posts it's because I don't try to reason with animals. It really isn't personal.

What the fuck are you even blabbering about?
The bits you stole from the 8ch HDD creating that post are worth more than your life. You should end it as compensation.

The same as everything you doppelnigger, supply and demand. Now what drives demand? Right now it's almost entirely speculation that the value of the asset will rise. Very little of the demand (especially for bitcoin) is due to its usage as a medium of exchange. There are true believers who think x coin will change humanity and x coin will become a convenient, universal means of exchange so they play pretend trader. These people are called 'dumb money', and these are the people who will be fucked by the machinations of investment banks, exchanges, brokers and state actors ('smart money' or in the case of state actors 'the motherfuckers with the drones'). Some people like you friend will have gotten lucky (like I did for getting in extremely early for basically nothing and just holding whilst pursuing other ventures) but many of the neo-astrologers who think ancient Japanese rice market analysis methods is a substitute for a systematic investment strategy are going to lose everything and become an hero when they find out the system was always being manipulated by more intelligent, better funded actors with real market understanding, CONNECTIONS and POWER.

nobody on here knows about economics. A stock has value based on the opening price and the amount of shares.

shareholders view the market as having the right amount of dependability on a spectrum of the companies they own.

you have to also realize that there are algorithms and derivatives that basically give a stock its value based on similar performance of other stocks.

in other words, if you have insider knowledge of a crypto currency you and your friends can have leverage over other traders.

the thing about crypto is it makes a more level playing field.

if they crash our cryptocurrencies then it will show that they have a flagrant aversion from the constitution of law and human rights and it will be all out anarchy

Stopped reading there. You demonstrably have no idea about economics.

I have an economics degree from a world famous university and I can indeed confirm that I know nothing about economics.

a-actually that's finance, not economics

Yeah, they'll do that.

bitcoin is useful for a lot of reasons so it's going to maintain some kind of inherent value at this point. However the problem right now is that there is a massive mainstream hype train with it. 5 years ago you could say bitcoin and no one would know what in the fuck you were talking about and now literally my grandmother knows what it is because it's on the local news every night. With that comes a bunch of people who wanna get rich quick and so they just pile on the hype train. This is not the first nor will it be the last of this kind of "investment." I'd argue the main reason it's at 17k and rising is because you have massive institutional interest and bitcoin is basically turning into an industry with companies sprouting up all over the place to take advantage of the market. A lot of people don't even understand what it is they're investing in either but they're told it's the new thing and that they can get rich from it so they just open up another mortgage and pile in on it so they can buy that 75k car they don't need. It's textbook manipulation tbqhfam and you can literally find hundreds of instances of it in financial history, granted this one is slightly more unique than the others but I'd say the basic principles of wealth transfer/manipulation apply

It's not bitcoin, it has the backing of Goldberg, Mastercard and the FederalReserve. It's the altcoins that are insane, it's not all that uncommon for them to give 400% in a week.

yes vasili ! be it wills for comrade stalin !
glory to artzotzka

With all the normalfags jumping on the bandwagon, transactions are so expensive that it's derailed from digital cash to digital gold - it's technically pigeonholed into a speculative asset and not a payment method now. I fear this will result in a feedback loop of volatility: Swings cause the transactions to pile up, and lack of currency-like usage will cause speculative swings as people struggle to hop in or out.


This sounds like a better descriptor of Ripple. That's the real ZOGcoin here.

With all this enthusiasm, we're back at the pump-and-dump wild west shit that altcoins used to be. It was like a new one every day back then. All you had to do was make a website with generic "global currency" shit, list some technical information about mining targets, pre-mine a good chunk of coins, and you had a whole new scam.

I just wonder if it will be the death of cryptocurrencies or just the fall of bitcoin and rise of ETH

I have a creeping suspicion that this side of economics is entirely about people doing things based on what they expect other people to do, without any kind of grounding. It's just people modelling each other ad infinitum.

I don't buy the Marxist theory, but you're equivocating on value. Price != value

LTV && STV

CURRENCY SPECULATION

This is literally textbook actually what it is. Bitcoin is nothing but another Tulip mania. People are buying it for no reason other than the hopes that someone else will buy it later for a higher price. That is the most basic definition of currency speculation.

Anyone who brings up the (nonexistent) Dutch tulip bubble is admitting to being retarded. Even though no such bubble happened, it's not comparable to cryptocurrency - the tulip bubble was based on the introduction of tulip futures and lasted only a few months.

So it did happen.

No. There was no tulip bubble. The "bubble" couldn't have happened withput futures trading, but it wasn't an actual bible.

Bubble, not bible. Jesus.

It's a global game of chicken. You gambled and nothing changed. Someone else might make a billion off it. Someone else might lose their life savings. The only people who win universally are the silicon fabs.

Except it did happen. Only that certain ridiculous stories attached to it did not. Tulip speculation did indeed take place, and this is only a bigger version of that.

The ridiculous stories are the only reason the comparison to tulips is interesting at all.

Not really. It is one of the first recorded economic bubbles, and it clearly shows that speculation leads to high prices on goods that do not really back that value.

this is the only sane opinion. i'm sick of reading these 'i could have been rich wah wah' posts.
acquire skills and knowledge, stupid shitcoin ponzies won't change your life for the better unless you're severely in debt, and then any kind of such speculation would have been unwise.

Yeah, it's like when people say oh if you bought Apple stock when they were almost out of business you'd have a fortune now. Thing is there's no way to know if the value will go up or if you're one of the last suckers, stuck with some worthless papers (or bits).

you're a dumb

People are fucking retarded

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bump

sage isn't a downvote and bumping does not negate a sage, I only saged because my post didn't add anything of value to the thread. Go back to reddit, newfag.

downvote negated

downvote negated

No wlnder this shithole is dead

Tulip mania.

JUST

People 'missed the train' for the past four years

as in, they supposedly have been missing the train constantly for the past four years

idk I think it has at least another couple years in it left

Yeah but at least you made $25 op

You have no idea how retarded people are in the crypto communities. The core idea was to get rid of the (((Rothschilds))) and (((Rockfellers))) but people heard about making money from thin air and jumped on the bandwagon. Most of them just buy crypto only to sell it as if they're trading shares. No surprise we have such scams as XRP nowadays and they're actually working.

Hello mein Negers

All of the retards ITT who can't into finance or economics will lose their money as it should be. To figure out how useful BTC is as a currency, you need to look at two attributes. Store-of-value and medium-of-exchange. As a store of value in absolute terms, BTC has been doing pretty well, but volatility is through the roof which is undesirable. As a medium of exchange BTC is absolute shit, and the directions of the core team should signal that they no longer care about BTC as a cryptocurrency, they only care about it as a speculation vehicle. Because this space is unregulated, you are at a huge information disadvantage as these are pumped. You will not win vs. those with inside knowledge.

There are very basic finance calculations to break out speculative value from market value based on transaction volume and other basic signals. Do these, and laugh at how much of BTC's value is speculative. On the technical merits, time to settle for BTC is highly undesirable, segwit is a horrible idea for a 'for-the-people' cryptocurrency, and if you think BTC's ABFT (you're on this board you should know what this is) is working as intended, ask yourself why 51+% of all compute power is in 3 mining pools. >80% in 5 pools. If you don't think this is an issue, you are retarded (I mean this sincerely, not as an insult) and you deserve to have all of your coins stolen.

While everyone moans about not getting in on someone else's ICO scam, there are real technologists building private (network) non-blockchain based solutions to disrupt existing industries and add real value until the public (network) DLT technology can support more than 10 transactions a second.

On the subject of bubbles this retard takes the cake. Look up XBT. Bitcoin's entire security model is predicated on the idea that it should always be more profitable for someone to join the market than to attack it. When you add cash-settled futures into the mix, can you think of a scenario where someone is incentivized financially to attack the network? Could you design a large scale financial attack/takeover on the market given what I went over above? Do you know what futures are?

Stay safe out there kids

Isn't it extremely easy for you to make your own coin?

Why are these alt coins getting valued at $1B or even $5B+? Why does there need to be a coin whose goal is to verify copyright holder of a piece of art, when (presumably) artist can create his own blockchain in a few hours that shows he registered the piece of art at a certain date?


Why are you attacking BTC one paragraph then attacking it the next?

*defending then attacking

No. All of this is false. It's value isn't "based" on anything other than what people believe it is worth. More people want it, so the value goes up. If the value goes to 0 it's not backed by anything. You get $0.

Like all money, it's value comes from 3 things: 1) what you can exchange it for considering all fees and taxes. 2) how quickly you can move it around considering all oversight and relevant regulations - strongly related to: what guarantee, if any, you can get your "value" moved out and into another currency should you need to (relative measure of volatility and access to your money). 3) what everyone else thinks it will be worth tomorrow.

Bitcoin is a little of 1, none of 2, and mostly 3.

Don't feel bad. I was thinking about getting into it at the start, when they were essentially worthless. I was interested in cryptography and the software. At that time mining on a desktop was absolutely feasible. I was young and didn't really understand money at the time. Even wasting a few weekends and a couple hundred $$ would have been no big loss.. didn't do it. It's the way things go.

What makes a coin a tangible asset is an immutable blockchain where proof-of-work is used to establish network consensus on transaction history, where every transaction depends on every previous transaction, and the ownership of coins doesn't need an authority to vouch for it, only a private key with which to sign transactions that any miner on the network to ratify without having to choose who to trust. Blockchains also solve the double spending problem in a decentralized manner rather than relying on a central authority, unlike earlier p2p e-token efforts. BTC is also a finite asset rather than some arbitrary form of monopoly money printed by a central authority: there will never be more than 21 million btc because the block reward will have dropped to 0 after block 6930000.

What gives that asset (dollar) value? How much people are willing to trust it.

...

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So why doesnt a business just make their own blockchain, one with coins that dont cost 15k each

Wait what happens to the bitcoin blockchain after the 21 millionth coin gets mined.
Do nodes just pick up and leave?

Miners can still make money on transaction fees when the new blocks stop producing coins


cause nobody else uses it, you fucking retard

See

Why would other people need to use it when the company's interest is just to verify their records you retarded faggot

If they're verifying random records, why do they need a blockchain? Just sign files with any regular gpg key at best

So they'll become modern day bankers and then what?

Exactly.

user is right

Market capitalization is a meme. Nobody's going to come anywhere close to buying an entire chain worth of shitcoins. Most of them will never be used outside of speculation, so they're functionally worthless until and after they hit a pump and dump. Then nobody will buy them, the private keys will be deleted or lost, and they'll disappear.

As for why people invest in obvious scams, think of shitcoins as scratchers or betting on the Browns to win the owl. If it loses, who cares? You only put a buck or a small amount of hashing power into it. If it wins, you're rich for almost no personal risk, unless you're addicted to gambling on shitcoins. Now imagine the outcome isn't binary, and you can either sell of early or ride a pump and dump if you're really lucky.


Because only the company would want to use it for their own storage, whereas Bitcoin's blockchain is mirrored and updated by gorillions of people because there's money to be had. And it costs almost nothing to store a message in the Bitcoin, so price is not an issue even now. (Even if it was, there are countless other cheaper coins to pick from.)

Sorry, what?

You'll end up with a few whales holding the entire system hostage, since little by little they'll be able to get all coins through processing fees.

pyramid scheme scam

Pic related is how it happens OP.

There's a new BTC on the rise. It's called Garlicoin. A mem coin that has already surpassed Dogecoin and countless others in value. Don't underestimate the power of memes.

I've heard it's not as good as Scamcoin, I know that the name might not sound legit, but it's about to surpass all other coins.

garlicoin.io/

It's predicted to not be as good as Scamcoin when it launches

Jesus.

It's pure cringe but I'll be laughing when I'm driving around town in a ferrari

Except I'll be driving in a tank because I invested early in Scamcoin

it will always be.

kys. even if you made enough money to retire the world could change (country splits, changes currency, sudden inflation) any day and whatever you moved your money into would no longer support you.

What your describing is just how money works in general. The only difference is that crypto isn't forced to be popular by the government with guns. Fiat is just a forced meme. Crypto currency is a real meme.

because people literally just clone bitcoin and change some bit to make their new currency incompatable with BTC so it can be called a new currency

Are scamcoins a real thing? How do you trade them?

nocoiners stay poor

Scamcoins aren't available yet.

On release, they will be strictly limited : 100 coins per user, trading at 100$ for every scam (shorthand of a scamcoin).

Bitcoin is as worthless as fiat currency based on nothing. Its literally fucking vidya game tokens for rich adults.

Demand for it, but that itself can't support a medium of trade because traditionally the medium of trade is used to purchase whats in demand. Cryptocurrency is being treated as stock monopoly money by greedy retards who think sitting on it will build value itself. The lie of bitcoin is that its "decentralized" which is theoretically impossible in an economic sense because miners hoard the majority of coins ( and whenever it dips, they buy back what was sold ) Crypto is nothing but a ponzi pump & dump scam only won by playing the game early and getting lucky on which game becomes popular. Between 2011 and 2013 kikes pumped bitcoin out of the blue like theres no tomorrow, the price went from around 0.8 USD to 600USD within days then crashed backdown to a couple bucks. The ceiling ( bubble burst, for lack of better term ) for bitcoin is how willing working goyim are to pay for an unstable "investment". Over time if bitcoin continues to stall out near 20k itll be clear what the max market value is, once that demand dies down ( as lazy greedy retards lose faith in turning a profit ) the price will rapidly zigzag down back to reasonable means of middleman trade for drugs and illegal exchanges ( that is, if the coin has any dev support left at all ). /biz/ will shit their diaper as another tulip fad passes on.


this


and this
Reminder
Cryptos only worth is based on the USD pumping it, which itself is based on nothing and supported by wars and the petrodollar.

When the chinks finish buying up gold and pull the rug out from bitcoin mining devaluating its "scarcity" ( not before selling it off ) you cryptoshills will jump off bridges in droves for being leeches of society.

Go back to >>>Holla Forums, scaremongering no-coin FUD shills.

nocoiners are fucking hilarious

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Lol my ETH are worth more than $1000 each, retard :^) enjoy being poor

bitcoin giveaway
discord gg/CFP44ZC

kill self

even this place isnt safe from discord pajeets

Shekelstein isn't doing it to crash crypto, they're creating artificial scarcity push the goy out and using it for money laundering and tax dodging.

Same shit they do with the art. That mediums getting kind of archaic, so they're diversifying there methods to hide wealth.

just /g/ yourself plebcoiners

in other words all coins, except for maybe bitcoin, but not sure, are literal ponzi schemes

it won't even drop to that, but to zero. as bitcoin is replaced by monero when it goes to illegal drug sales

(((nocoiners)))

stay mad pajeet

Well, he wasn't totally wrong.

How will they increase in value when the supply is so limited that others can't trade them? Bitcoin only got so huge because non-tech people got into it.

why are no coiners so dumb?

But the scammer already owns 6m coins?

Truths
the pendulum moving. more technologies to come.

Fallacies


I've already intuitively thought of that. Anarchist coins are basically
>transparency, replicability, and free markets
Although it still isn't perfect.


Sup.
Silicon market is under attack right now.


True. It is a chain and relies on the network and infrastructure. Although it can restart from ground up.
Relies on many technologies to work unlike authority-backed broad money that is easy to use.
The bitcoin's true purpose(*) is to have temporary ready-to-deploy-and-work currency after WW3 so that the kikes won't be making a centralized bank to build their authoritative secret archonist monarch empire once again.
Not a problem. It's only a matter of time until EMF wipes all their transaction records and keys. The entire scheme regardless of legitimacy is a 'dry run' to prove its usability.
Fear the Anonymous Technocrats or side with them. Or you can side to none which is to ignorantly serve the (((elite chosen race))) as slaves up to your last grandson and granddaughter until machines can replace your invaluable "honey."

What gives the price is that it's essentially a big ponzy scheme.

Even Sakamoto probably understood this hence why he did not want to be associated.

The only question left to answer is whether the original bitcoin was also a ponzy scheme.

But, all the following coins almost certainly are wall street insider scams.

>(((they))) are using this as a reason fuel to "muh ponzy scheme effyoudee"
You don't know how wars are fought, young soldier.
If you can't elicit the actions of the other side through spirits or fellow men then you cannot fight that other side.

bump