Bitcoin

[bkingUK]

In the crypto space, by the way, Bitcoin is and will be equivalent to gold IMO. Im not sure that a government backed cryptocurrency changes that.

 

[Deeeefense]

I'm all for government backed crypto. I think it's the next phase of crypto. I looked at it like open source programming. There is a role for open source projects, but there is a reason Apple isn't open source.

But let's get away from ideological tenants for a second. The potential of a stable crypto currency that can be used as a legal tender has huge potential technically that I'm excited about. I think it'd also put companies like Paypal out of business and would completely disrupt any company in payment processing. Essentially, if US currency has a blockchain, we have an API into our own currency.

Another benefit, if such a blockchain supports smart contracts, it decreases need for arbitration and attorneys in contracts. Payments are simply paid if conditions are met.

JMI but I think a stable US coin pegged to the US dollar just allows for an easier way to transfer US currency around, it has limited value beyond that from an investment standpoint as the US dollar has depreciated over time and continues to, so people will tend not to want their money tied up into that kind of coin. The big advantage to BTC and other is their value does not rely on any fiat currency, the value is derived by it's utility value, security, and supply/demand forces.

 

[Dubya C Dubya]

Wake me up when Bitcoin pays a 5+% dividend. Hope you snapped up some blue Chip Dividend Kings/Aristocrats paying 7 to 10% during the Covid bottom.

 

[Deeeefense]

Wake me up when Bitcoin pays a 5+% dividend. Hope you snapped up some blue Chip Dividend Kings/Aristocrats paying 7 to 10% during the Covid bottom.

no divey but 100% annual appreciation historically is pretty nice.

 

[Dubya C Dubya]

no divey but 100% annual appreciation historically is pretty nice.

Definitely a place for it in most portfolios, just not a big place unless you are a a riverboat gambler.

 

[bkingUK]

JMI but I think a stable US coin pegged to the US dollar just allows for an easier way to transfer US currency around, it has limited value beyond that from an investment standpoint as the US dollar has depreciated over time and continues to, so people will tend not to want their money tied up into that kind of coin. The big advantage to BTC and other is their value does not rely on any fiat currency, the value is derived by it's utility value, security, and supply/demand forces.

I see this point. I do. But I am a developer. I am highly interested in smart contracts using Solidity on Ethereum blockchain, for instance, and I am learning that tech now. I'd love to bring that back to my company to innovate new products and methodologies. IThe problem is, however, that on a mass scale, few people would want to be paid in a decentralized crypto due to instability in market and legal concerns. With a stable coin backed by the most powerful government in the world, we have all kinds of applications that would've previously been inaccessible and that could ultimately make USD more accessible and efficient. I know there are a ton of other developers like me as well. I think in order for USD to continue it's dominance (which is in our interest), we must innovate and find ways to further promote stability & accessibility of the product.

 

[jameslee32]

Live look at Luna, the coin linked to the Terra stablecoin. It was down 99% today.