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Old 11-28-2017, 10:53 AM   #73
91cavgt
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Join Date: Jun 2013
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Quote:
Originally Posted by Throwin' Darts View Post
Just trying to make sense of this post and pulling out bits and pieces.

The US abandoned the gold standard in 1971. There isn't a single major country in the world using the gold standard anymore and hasn't been for quite some time but the recent run up in bitcoin is due to that? Not likely.

So fiat currency is only worth the paper its printed on but with bitcoin its not even worth a sheet a paper. So buy bitcoin?

The price of gold is being manipulated. What does that have to do with bitcoin? If you want to return to the gold standard and leave a fiat currency then gold manipulation is the very basis on what the gold standard operates on.

You don't think there are ways to manipulate a cryptocurrency? Or create more? You can mine for bitcoins and create more.

As more people buy bitcoin its price increases. Same for any other asset.

This post probably represents 99.9% of bitcoin investors. They don't know what it is, why it exists, or the economics behind it however they buy it because its the latest "investment craze" just like Iraqi Dinars, emus, and Florida condos.

Thatís not quit what I was getting at, on most of the post. Maybe I didnít explain it very well, so let me elaborate.


First, I am not saying getting countries off of the gold standard is what is driving bitcoin. Iím saying that investing in our own currency is not what it used to be so people are looking for alternatives. Because the gold price is being manipulated (even though most people donít see or understand this is happening), you are not seeing a sharp rise in the price of gold. So people are going investing where the big profits are.


I understand fully that bitcoin prices can be easily manipulated and I am not saying that bitcoin is a great investment. I was explaining(in a poor way I guess) as to why bitcoin is so popular. Very few ďinvestorsĒ actually do any research. They just go by what will line the pockets of their financial planner without really looking into things.


Personally, my investments are with physical precious metals(not certificates). Do they have the highest returns? No. But precious metals have never been worth nothing. Keeping money in a bank is also a poor choice in my opinion. Those that are putting bitcoin down that also keep a large amount of money in the bank are hypocrites. Banks do not have your physical money on hand. They keep a small amount of cash on hand to cover day to day transactions. The money in your bank is just a number on a computer screen that can be hacked and changed, the same as bitcoin. The FDIC also does not even have enough funds to cover just one bank collapse. For example, if Chase bank were to collapse and you had all of your retirement funds in a savings account there, you MIGHT get $0.25 for each dollar you had in there, if you were lucky.
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