Quote:
Originally Posted by p1l0t
It's crashing again... it is not a hedge against the market. And the difference between bitcoin and gold is, gold is a limited supply. Bitcoin was the only supply at one time but now there are hundreds of cryptos and climbing. So will blockchain be used into the future, sure. But every company might have their own someday even if some use 3rd party ones. Anyway so it's not special. It's not a hedge against anything. It's just a big waste of electricity for the most part. Also spamming on some forums won't help you get your 'investment' back.
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Just a counter point for consideration. Gold is mostly limited by discovering and extracting it, I am 100% sure there is more gold in the Earth somewhere, and even more in just our solar system if we could get to it. Discovery and extraction are limited by the amount of energy we have available and our ability to manipulate it for purpose.
Producing a cryptocurrency unit is essentially discovering it (the solution exists, we just don't know it is there), and 'extracting' it from randomness by marking it. As more of it is discovered and extracted, it takes more and more energy to discover and extract more, just like any valuable material (gold, oil, etc).
The difference is that cryptocurrency, like other currency in general, doesn't have any use other than claiming it represents some value, whereas gold has plenty of practical uses.