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0 pointsdoggosphere5y ago0 comments

Gold is relatively stable and has physical backing.

Up to 4% of China's gold reserves could be fake. Gold fraud article: https://economictimes.indiatimes.com/news/international/worl...

Bitcoin is open source and completely auditable in an instant.

As the price of gold goes up, the quantity supplied goes up. Bitcoin's issuance protocol is fixed and unchangeable unless the network agrees.

The cost of securing or transporting $1b of gold bars is magnitudes higher than the cost of securing $1b of Bitcoin.

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incrudible5y ago

Securing $1 billion of bitcoin? Who needs to secure $827 million of Bitcoin? Securing $937 million of Bitcoin is not a killer app.

In all seriousness, securing the value of Bitcoin is the problem that is not easily solved.

doggosphereOP5y ago

Bitcoin is bits of data on a network. It does exactly what its supposed to do; a dictionary for strings to integers.

Securing external value to people is not a goal or responsibility of Bitcoin. That's simply a consequence to how we as humans choose to use scarce assets.

incrudible5y ago

> Securing external value to people is not a goal or responsibility of Bitcoin.

Fair enough, but then your comparison to physical gold is meaningless. Physical gold is generally used to store value, not to transfer it.

For that purpose, you have paper money (or paper gold such as futures) which is cheap to transfer.

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0 pointsdoggosphere5y ago0 comments

Gold is relatively stable and has physical backing.

Up to 4% of China's gold reserves could be fake. Gold fraud article: https://economictimes.indiatimes.com/news/international/worl...

Bitcoin is open source and completely auditable in an instant.

As the price of gold goes up, the quantity supplied goes up. Bitcoin's issuance protocol is fixed and unchangeable unless the network agrees.

The cost of securing or transporting $1b of gold bars is magnitudes higher than the cost of securing $1b of Bitcoin.

0 comments

incrudible5y ago

Securing $1 billion of bitcoin? Who needs to secure $827 million of Bitcoin? Securing $937 million of Bitcoin is not a killer app.

In all seriousness, securing the value of Bitcoin is the problem that is not easily solved.

doggosphereOP5y ago

Bitcoin is bits of data on a network. It does exactly what its supposed to do; a dictionary for strings to integers.

Securing external value to people is not a goal or responsibility of Bitcoin. That's simply a consequence to how we as humans choose to use scarce assets.

incrudible5y ago

> Securing external value to people is not a goal or responsibility of Bitcoin.

Fair enough, but then your comparison to physical gold is meaningless. Physical gold is generally used to store value, not to transfer it.

For that purpose, you have paper money (or paper gold such as futures) which is cheap to transfer.

1 more reply

j / k navigate · click thread line to collapse