Bitcoin

posted by geeblock

Just switched it thank you 

I also had bitcoin on cash app but didn’t realize it was better 

What are you guys' take on Dogecoin?  I didnt buy any and dont plan to but im definitely feeling jealous of a few friends who are up 5k right now.  Not sure if they wont lose their money in the end but its intriguing.  one friend sent me the math that if it hits 30 dollars he will be a millionaire. I hope i dont get banned for posting about dogecoin on a bitcoin thread.

Don't buy dogecoin unless you want to get rekt. Don't post about dogecoin in this thread again unless you want to get negged. Dogecoin will NEVER hit $30. It's likely never going to hit $1, and will absolutely come tumbling back to pennies. It was started as a joke project and hasn't changed. There are something like 130 billion "coins" in total supply.

Nigeria just tried this and the price went up significantly on p2p exchanges. They reversed their decisions shortly after banning it.

Turkey has banned #Bitcoin as a payment method for goods and services.

— Bitcoin Archive 🗄🚀🌔 (@BTC_Archive) April 16, 2021

Gonna start doing some Bitcoin 101 posts to go over some of the basics. It's mostly for myself, making sure my knowledge and arguments are sound, but hopefully you'll get something out of it as well.

Bitcoin 101

"It's too late for me to buy in, I can't afford an entire bitcoin."

You do not have to buy an entire bitcoin. Each bitcoin is made up of 100,000,000 smaller units called Satoshis (more often referred to as sats). When (not if) bitcoin hits $1m, each sat will be worth a penny and bitcoin essentially becomes a penny stock. Sooner or later, sats will become standard nomenclature when discussing bitcoin. "Stack sats" is a common phrase in the bitcoin community, which just means accumulate as many as you possibly can because they are truly scarce. Right now, a dollar will get you about 1,600 sats.

https://usdsat.com/

How scarce are they?

There will only ever be ~21m bitcoin in existence, the last of which is scheduled to be mined around the year 2140. If there are 100m sats per bitcoin, and 21m bitcoin, that means there will only ever be 2,100,000,000,000,000 sats (2.1 quadrillion). This is enough for 214,000 sats per person on Earth. But, given there are millions of bitcoins that are already lost forever (estimated to be 4-5 million) due to people losing their keys to unlock them, they are even scarcer than that.

Why is it called a Satoshi?

A Satoshi is named after the creator of Bitcoin, the pseudonymous "Satoshi Nakamoto." Satoshi is assumed to be dead as none of the coins from his known addresses have ever moved, and he has been completely silent for a decade.

Conclusion

The opportunity to accumulate the hardest money the world has ever seen is still very cheap, as $150 will net you far more sats than most in the world will ever see (~245k). I would recommend this position for everyone. I truly believe you'll be extremely happy with any additional money you put in so long as you hold, but I won't recommend that for everyone. I do think it's irresponsible to not at least have a small stack of sats.

Do this 101... 

"What's the point?"

posted by ernest_t_bass

Do this 101... 

"What's the point?"

Here is my understanding on why I am looking:

I don't think the federal reserve is actually a federal agency, it is a business (please correct me if I misunderstand this) , they print money to make money, right now inflation is stupid on products

What is the actuality that this will be a highly useable currency?  Will they just keep making smaller increments, or only 'x' amount of bitcoin/sats, and that's it?

posted by ernest_t_bass

What is the actuality that this will be a highly useable currency? 

I'm betting that at some point in the relatively near future, everyone will be using bitcoin whether they realize it or not. So I guess my answer to that question is that I think it is highly likely to be widely used as a currency. At the very least, the longer it stick around gaining value, the more and more it proves itself as a digital store of value, similar to how gold has been used in the past.

posted by ernest_t_bass

Will they just keep making smaller increments, or only 'x' amount of bitcoin/sats, and that's it?

The limited supply is one of the main features of bitcoin. In the future, I could see adding another digit end the end and having fractional sats if necessary, but the total supply of 21m bitcoin is fixed and will not change.

This would be quite the reversal by JPMorgan.

SCOOP: @jpmorgan is preparing to offer an actively managed #bitcoin fund to private wealth clients.@realDannyNelson reportshttps://t.co/qyAiWDHzoe

— CoinDesk (@CoinDesk) April 26, 2021

JPMorgan CEO Jamie Dimon called bitcoin a dangerous fraud in 2017, threatening then to “fire in a second” any trader who touched the stuff. “If you’re stupid enough to buy it, you’ll pay the price for it one day,” he said at the time. 

The pseudonymous creator of Bitcoin, Satoshi Nakamoto, disappeared 10 years ago today and never returned.

— Documenting Bitcoin 📄 (@DocumentingBTC) April 26, 2021

https://www.yahoo.com/sports/kansas-city-chiefs-sean-culkin-convert-entire-salary-bitcoin-nfl-cryptocurrency-214502148.html

posted by BR1986FB

https://www.yahoo.com/sports/kansas-city-chiefs-sean-culkin-convert-entire-salary-bitcoin-nfl-cryptocurrency-214502148.html

Russ Okung set to potentially be the highest paid NFL player this year after converting half his salary into Bitcoin when it was like $26k. I think it started out at $6.5m, so it’s pushing $15m already. 

posted by ernest_t_bass

Do this 101... 

"What's the point?"

The Bitcoin White Paper:

https://bitcoin.org/bitcoin.pdf

Charlie Munger doesn't like bitcoin because it is a financial system "created out of thin air". Where does he think dollars come from? He also confuses "civilization" with "the State" because bitcoin is humanity's best shot at escaping the inevitable digital state surveillance economy. Central bank issued digital currencies that can be set to expire after a certain time, can only be spent at approved places or on approved things, etc. It's not a question of if, it's a question of when. China is already experimenting with an expiring digital yuan. 

https://www.wsj.com/articles/china-creates-its-own-digital-currency-a-first-for-major-economy-11617634118

The money itself is programmable. Beijing has tested expiration dates to encourage users to spend it quickly, for times when the economy needs a jump start.

Societies flourish under a hard money standard and bitcoin is the hardest money the world has ever seen. It takes control away from authoritarian governments and gives it back to the people. It's not a surprise that most of the "elite" don't like it.

All that said, I find this bullish.

I'm reading The Bitcoin Standard. I bought some bitcoin last year, but I don't really understand it. So this book came recommended as a good overview.

Anyone read it?

Of course. Great book. 

Looking forward to his new book The Fiat Standard. Not sure when it’s going to be released. 

posted by Dr Winston O'Boogie

I'm reading The Bitcoin Standard. I bought some bitcoin last year, but I don't really understand it. So this book came recommended as a good overview.

Anyone read it?

Depending on how technical you are, and how technical you want to get, Mastering Bitcoin is a good overview from a tech perspective. It's less of the why and more of the how.