Here's why Bitcoin surpassed Gold – Not what you think…

[NotMyProblemParticipant 965]

Beer wrote:

What do you mean by use case?

Beer wrote:

I just don’t see anything I can do with bitcoin that I can’t do with cash, (e)check, or card.

Just because you do not have a use case for it does not mean other people don’t either. Most people do not have a use case for bitcoin and never will.

I’ve explained this numerous times in this thread, but I guess I’ll spell it out for ya one more time:

1- People use bitcoin to buy/sell drugs and other contraband on the internet.

Illegal drug trade is a trillion dollar market. A subset of these drug users/merchants are using bitcoin to transact.

There is ONLY ONE PAYMENT MECHANISM that can be used to buy contraband on the Internet- Bitcoin.

2- Prostitution is another Trillion dollar market where bitcoin is being used.

Almost all whores use the Internet to advertise their services. The primary website where this takes place is called backpage.com

I’m sure many MGTOW will confirm this for you. Backpage and every website that came before it has had their VISA service shut off.

There is ONLY ONE PAYMENT MECHANISM a prostitute can use to buy an ad on backpage- BITCOIN.

Prostitutes depend on the Internet, therefore they depend on bitcoin.

3- Online gambling. Slot machines. Poker. Fantasy football. Horse racing. You can even bet on election outcomes.

This may be a surprise to you, but people gamble on the Internet. In fact it’s another trillion dollar market.

In fact every time there is a major sporting event the price spikes the week prior.

There is ONLY ONE PAYMENT MECHANISM that can be used to gamble online- Bitcoin.

4- Capital Controls. Just because you can move your money across borders doesn’t mean the other 80% of the world can too.

Are you really going to sit here and tell me the Chinese aren’t using Bitcoin, among other things, to evade capital controls?

I agree with you on many of your points Beer. Bitcoin is a s~~~ty money. Many people are pumping it like it’s going to be the next world reserve currency. It’s not.

Are you really going to sit here and tell me that no one buys drugs, f~~~s hookers, or gambles on the Internet though?

Beer wrote:

Uh…why would you want the whole world on a single currency if you don’t want a one world government?

From 1800-1913 the world was on a single currency standard. GOLD. We didn’t have a world government.

Irregardless, I know without a doubt bitcoin will never be a mainstream world currency because of technical limitations.

No one wants bitcoin. It’s slow, clunky, and complex as f~~~.

But that doesn’t mean that certain people don’t NEED bitcoin to use as a tool for achieving their objectives.

Beer wrote:

Plus its not even like its safe from the government or anything…there have already been cases where they have seized bitcoin purses. There was a point in time where the US government thanks to the FBI was the largest holder of Bitcoin lol.

The feds tracked down the guy that created the first drug marketplace- called silk road.

They snuck up on him in a library, held him down and physically seized his laptop. And since he held his bitcoin on the laptop- FBI took them.

That does not mean they can press a button on a computer and poof your bitcoins disappear.

SHA-256 encryption (the one your brokerage account uses) has not been broken yet. It most definitely will within a decade or 2.

It’s not a big deal tho- encryption just gets upgraded. It is a big deal for bitcoin tho because the code is set in stone and cant be upgraded or changed.

Also the FBI was never the largest holder. Large but not largest by a long shot.

They had 171,000 coins- out of 18,000,000. They auctioned them off.

Beer wrote:

but I think in the end a lot of people are going to lose their pants on Bitcoin.

Another thing I agree with you on. Just for different reasons.

The Biggest existential risk to bitcoin is actually the legalization of drugs. As US states one by one legalize weed that will cut off some major capital inflows into bitcoin.

Anyways- now you know the utility that bitcoin provides. Sex drugs gambling. Uncensored transactions. Don’t believe the hype about world reserve currency lol.

If you don’t believe me, don’t take my word for it. Go find your nearest bitcoin ATM, grab a latte and just watch.

The one by my house always has a line of people waiting to use it.

They are mostly black people. Lots of gangster/thug types of all races. About 25% are obviously hookers. And the other 25% are young geeks.

See for yourself lol. Bitcoin is s~~~ty money- I’m with ya there.

It’s just a tool for criminals.

Not my property... Not my problem

[SandalsParticipant 4253]

NotMyProblem wrote:

Fiat is a scam but it doesnt mean gold is a great investment long term.

Gold is not, never was, never was meant to be, and never will be, an investment, because it does not “vest”. Gold is money, and is a store of wealth.

NotMyProblem wrote:

The best we can shoot for is BETTER government, not NO government. Personally I like the idea of SMALLER government. But anarchy is just insane.

There’s another option: a NEW government. Our existing government is dead. All societies die, because a society is an organism, just like every other organism.

All governments are born as patriarchys, and die as matriarchys. There is no such thing as a better matriarchal government.

NotMyProblem wrote:

Yea the system sure isn’t perfect. But governments around the world compete for your business. I thought about expatting but there is no perfect government.

I have never though about the idea that governments are competing for my citizenship. I think that’s only Western governments. Africa, Asia, and India are complete race-centric. China is not looking to import millions of Japanese to be citizens of China. this is strictly White-man thinking, and is deeply flawed.

NotMyProblem wrote:

Singapore is pretty well run but it’s twice as expensive. Opportunity costs ya know. Markets are effcient

Singapore’s success is a unique case study. Singapore works because Singapore openly segregates the races and has separate courts for different races.

Singapore was, until late, very well run. Singapore is now perhaps operating on borrowed time, since the founding leader stepped down and gave to his son. The MRTs are breaking down, trash on the streets now, now as efficient as a decade ago, etc… However, Singapore is certainly a first-world sovereign city-state surrounded by third-world territories. Singapore also pays their government ministers millions of dollars as salary, the idea being that govt officials will thus not be tempted to be bought off by corporations and donors. It’s an interesting idea. Singapore is certainly a beautiful place to visit, and to live, if one must live in Asia.

NotMyProblem wrote:

Yes Sha-256 will be cracked eventually just like all crypto.

I do not see a crack for RSA anytime soon. Except for the sonic side-attack that was made a few years back, I think.

Possibly a way though.

NotMyProblem wrote:

Computer speeds have nothing to do with how fast Bitcoin is mined. There is a supply algorithm that keeps this in check.

I’ll have to take your word for it, because I haven’t looked into the bitcoin algorithm in several years. But I remember thinking when I did look at it that computer speeds would affect bitcoin generation. But I don’t know. Don’t have time to look at it now.

NotMyProblem wrote:

Watch that video I posted above to have your mind blown. It’s called “smart state”. I used to think private sector did everything too…

Then new information entered the equation and I changed my view on that. Don’t take my word for it: watch the video, it’s fascinating.

I will watch some time. Not tonight, because it’s late, but sometime.

Government certainly does have a lot of money to throw at things right now. Sometimes somethings stick… but at what cost?

NotMyProblem wrote:

I don’t believe in the libertarian conspiracy theories either. Upon closer examination they have no merit. It’s no different than buying the Euro to me.

Never say “conspiracy theory”. In this day, it instantly discredits the one who utters it.

NotMyProblem wrote:

Gold is 99% speculative. No one is using gold for anything. Period. It’s a purely speculative bubble, or a naturally occuring ponzi scheme at best.

Now here you are outing yourself as one who does not yet know things, but you are obviously intelligent and will learn it in due time.

“Gold” and “Speculative” do not belong in the same sentence. Gold is a metal. Gold is an element on the periodic table of elements. As a money, Gold is 100% inflation proof. Do some research on gold.

NotMyProblem wrote:

Also as a side note- Beer I remember last year you mentioned something Kevin Oleary said about dividend investing. (I think it was you anyhow)

Kevin Oleary from Shark Tank owns mad bitcoins lol. He does the same thing as me- cashes out periodically to reduce his exposure. He got in even earlier than me.

Bill Gates – the richest man in the world, has said good things about the technology. He wants to use it in Africa if it ever becomes stable enough.

Like you said, Bitcoins are a way of making purchases without big bro knowing out it. He may not own bitcoins as an investment. Or he may just have the money to play with so it works for him. Money breeds money. Kevin Oleary is one smart individual, that is for sure (this is true – no sarcasm here).

Bill Gates is most certainly not the world’s richest man, not by a long shot. The richest man would not want anyone to know his name, and that’s the way it is!

NotMyProblem wrote:

This is the magic that people don’t understand. It solves real problems in the real world. Something gold will never do.

You gotta stop saying this man. You are announcing to the world that you don’t have a lot of money. Once you have money, you will most certainly learn about, and purchase, gold.

NotMyProblem wrote:

Brazillian banks want to use it to offer banking services to places in the Amazon where physical infrastructure can’t be easiliy deployed.

Brazillian chicks love it in the butt.

Beer wrote:

Nobody wants a bag full of dollars because they have some use for the bag full of dollars…they are only desired because you can convert those dollars into other things. Bitcoins are like dollars, completely f~~~ing useless and many aren’t even in physical form.

Bitcoin was useful for anonymity before silk road got busted. Now it’s a liability. Any viable currency will be raided by the Feds, like the Liberty dollar was. Currency is slavery. Money is freedom.

[SandalsParticipant 4253]

NotMyProblem wrote:

Bitcoin is a s~~~ty money

Bitcoin does not fit the definition of money. It is a currency (quite literally).

NotMyProblem wrote:

SHA-256 encryption

SHA is not encryption. SHA is a digest.

[NotMyProblemParticipant 965]

Sandals wrote:

Gold is not, never was, never was meant to be, and never will be, an investment, because it does not “vest”. Gold is money, and is a store of wealth.

I understand gold as money. My line of thinking falls under the austrian school of economics. And I own some gold.

I just don’t “invest” in gold with the idea I will make lots of money. I keep 5% in gold- not a big part of my portfolio.

Sandals wrote:

All governments are born as patriarchys, and die as matriarchys. There is no such thing as a better matriarchal government.

Yea I hear ya. At this point I’m MGTOW for life so all that s~~~ doesn’t affect me in the slightest.

The way I look at it- women have been a giant burden since the beginning of time. Government stepped in and made it much worse, but either way I think I’d be MGTOW lol.

Sandals wrote:

Singapore works because Singapore openly segregates the races and has separate courts for different races.

Singapore was, until late, very well run. Singapore is now perhaps operating on borrowed time, since the founding leader stepped down and gave to his son. The MRTs are breaking down, trash on the streets now, now as efficient as a decade ago, etc…

That’s interesting thanks for sharing. I have only read a small bit on it. I plan on visiting at some point.

Sandals wrote:

I will watch some time. Not tonight, because it’s late, but sometime.

Government certainly does have a lot of money to throw at things right now. Sometimes somethings stick… but at what cost?

Yea I think you will enjoy- 45m runtime. Not sure if it’s worth it but the video will provide some new information.

Sandals wrote:

Never say “conspiracy theory”. In this day, it instantly discredits the one who utters it.

I think 90% of them are bulls~~~. Of course there are conspiracies out there though. All a conspiracy is is a person or group of people secretly deciding to do something.

I have no doubt it happens every day in every board room in the world. It’s just that my defenses go up whenever I hear someone on the Internet mention that word.

It means it’s time to be extremely skeptical because extraordinary claims are about to be made.

Sandals wrote:

Now here you are outing yourself as one who does not yet know things, but you are obviously intelligent and will learn it in due time.

“Gold” and “Speculative” do not belong in the same sentence. Gold is a metal. Gold is an element on the periodic table of elements. As a money, Gold is 100% inflation proof. Do some research on gold.

I understand gold. Maybe speculative is the wrong word. What I meant is that 90%+ of people that buy gold are doing so because they expect someone else to buy it for a higher price in the future.

If you believe there will be high inflation in the near future (wouldn’t be surprised), then you will find other commodities will outperform, as in the 70s.

The problem with gold is it’s indestructable. At first glance that seems great, but I’d much rather own a commodity that gets burnt up like oil or one that gets eaten (and burnt up as ethanol), such as sugar.

Also, no one has ever gotten rich owning gold. In fact it’s quite the opposite:

Sandals wrote:

Bill Gates is most certainly not the world’s richest man, not by a long shot. The richest man would not want anyone to know his name, and that’s the way it is!

You’re probably right but you know what I mean.

Sandals wrote:

You gotta stop saying this man. You are announcing to the world that you don’t have a lot of money. Once you have money, you will most certainly learn about, and purchase, gold.

That’s the problem. If I bought lots of gold I would lose out on millions of dollars in compound interest. Check out the above chart.

Idealogical I’m all for a gold standard. I just cant invest based on idealogy. If I was convinced we will have high inflation in the next year I would certainly buy more commodities but…

Deflation seems much stronger right now. I have no idea when/if that will switch over to inflation. Since I’m young and thinking long term, I know stocks will outperform gold over a 30 year period.

There has never been a period in history where gold outperformed the market over 30 years. Unless you know something I dont.

I’m open to being wrong. In fact I hope I am so you can enlighten me.

I’m not seeking to “win” an argument. Just a fellow traveler looking for truth.

Sandals wrote:

Bitcoin was useful for anonymity before silk road got busted. Now it’s a liability. Any viable currency will be raided by the Feds, like the Liberty dollar was. Currency is slavery. Money is freedom.

Silk road got busted now there are a dozen new marketplaces. Nowadays most of them are located in russia, or in the favelas of brazil.

Also liberty dollar and e-gold were both centralized servers. Bitcoin is decentralized. There is no way to shut it down without killing the internet worldwide.

Sandals wrote:

Bitcoin does not fit the definition of money. It is a currency (quite literally).

I do not consider it money or a currency. I view it as a commodity with a 7 or 8 niche use cases. No one wants bitcoin or gives a f~~~ about it- except criminals and some third world programmers.

Not my property... Not my problem

[SandalsParticipant 4253]

NotMyProblem wrote:

new information.

Sandals wrote:

Never say “conspiracy theory”. In this day, it instantly discredits the one who utters it.

I think 90% of them are bulls~~~. Of course there are conspiracies out there though. All a conspiracy is is a person or group of people secretly deciding to do something.

I have no doubt it happens every day in every board room in the world. It’s just that my defenses go up whenever I hear someone on the Internet mention that word.

It means it’s time to be extremely skeptical because extraordinary claims are about to be made

What I am saying is that the phrase “conspiracy theory” has been co-opted by the democrats (communists in disguise) as a slander word to discredit people from uncovering their ACTUAL conspiracies. So when someone says “conspiracy theory” I automatically assume they are in fact a conspirator and that the conspiracy actually did take place. Government itself is one big conspiracy.

NotMyProblem wrote:

The problem with gold is it’s indestructable. At first glance that seems great, but I’d much rather own a commodity that gets burnt up like oil or one that gets eaten (and burnt up as ethanol), such as sugar.

Gold value lies in it’s indestructibility. You want to own gold because it’s indestructible, which makes it a store of wealth and a hedge against inflation. You want to GET RID of (read; sell) oil and sugar, because then people have to come back and buy more from you. Why would you want to own stores of sugar? Unless you like ants.

NotMyProblem wrote:

Also, no one has ever gotten rich owning gold. In fact it’s quite the opposite:

Except the Rothschilds, JP Morgan, and every big bank in the world. Gold is money. Currency is debt. When you get currency, you want to get rid of it as soon as possible and exchange it for the gold.

NotMyProblem wrote:

Idealogical I’m all for a gold standard. I just cant invest based on idealogy.

Gold is not an idea. Paper dollars are. Gold has weight to it and intrinsic value. A one dollar bill and a thousand dollar bill weigh the same on a paper scale. A paper dollar is a receipt for gold.

If a burglar entered your house, would you want a receipt for a gun, or would you want the actual gun?

NotMyProblem wrote:

Also, no one has ever gotten rich owning gold. In fact it’s quite the opposite:

It is a statistical fact you WILL get burned in the stock market at least once in your lifetime.

NotMyProblem wrote:

Deflation seems much stronger right now. I have no idea when/if that will switch over to inflation. Since I’m young and thinking long term, I know stocks will outperform gold over a 30 year period.

Nope. Nope. And Nope. Watch the movie Boiler Room, before you talk to your broker again.

Our currency is designed to either inflate or collapse. Dollar inflation is a 100% guarantee. So either way, you want to own gold (assuming you have it secure in a safe bolted to your concrete floor or hidden well).

NotMyProblem wrote:

There has never been a period in history where gold outperformed the market over 30 years. Unless you know something I dont.

The value of gold has not changed since the beginning of man. Every paper currency known to mankind has failed.

NotMyProblem wrote:

Silk road got busted now there are a dozen new marketplaces. Nowadays most of them are located in russia, or in the favelas of brazil.

Also liberty dollar and e-gold were both centralized servers. Bitcoin is decentralized. There is no way to shut it down without killing the internet worldwide.

Silk Road got busted because the NSA must have cracked the ring topology of the deep web, so, as you say, the barrier to busting future deep web folks is a national barrier, not a technological barrier.

Liberty dollar was physical silver, not paper. It was the government corporation shutting down a competitor private corporation. Corporate warfare plain and simple.

NotMyProblem wrote:

There is no way to shut it down without killing the internet worldwide.

There is no way a bee can fly.

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