Bitcoin Forum

If everyone start storing bitcoin and there is no single transaction for days,all miners will quite mining as without transaction there would be no reward.
Will it not kill bitcoin and make it useless?

This is just a theory,it`s impossible to stop all the transactions.
Bitcoin and every other currency (fiat or crypto) are made for transactions ,not for storing value.
If nobody uses bitcoin,this means that the demand for bitcoins is 0,which means the btc price will be 0 as well.
Bitcoin has value because of the people`s trust.

I think if the demand of bitcoin would rather go down then it definition of it's value will also decrease, because if the interest rate is above (below) the equilibrium one, the demand for money will be lower (higher) than the money supply and this will tend to decrease (increase) the interest rate until the equilibrium interest rate is restored. 

People would only store it if it has value. If the value dropped because to many people are storing it they are then storing something with little value so doesn't make much sense storing it.  Idk people have been hodling for 8 years and hasn't been a problem yet.

There is still the block reward the transaction fees are just in addition to it.
Regarding mining they can always move to another chain or coin so equilibrium will be reached at a point where the cost of mining equals the block reward.

If theres no transactions circulating on the system then bitcoin will definitely have no value at all since all users of it tend to decide to store it but this thing wont happen because the value increases if people still continue to use it on daily basis.Holding isnt a good idea at all.

It's impossible to have a zero volume of transactions and stop all people from selling their bitcoins. If we assume that almost everyone is storing their coins in cold storage, this will only means that there will be less supply and that will result in having an increase in price and not killing bitcoin (of course, we need to have demand).

It is impossible to hold all the bitcoins in wallets by its users. Through one or the other way bitcoin gets used leading to transactions. Personally I believe, if everywhere the bitcoin is kept hold sure there will be users who use for gambling. It is one among the leading industry where huge number of transactions takes place in a short time.

If it will not move again then its the end of bitcoin. But that kind of idea no longer exists at this point of time and the value of bitcoin is very high. Holders has the tendency to sell bitcoins while others will buy bitcoins in order to enjoy the gains and profit from holding bitcoins. Thus bitcoin cannot go back to being valueless and it will continue to increase in value instead.

Well I think that it wont make bitcoin useless and it won't make the price to go lower,
If we are still earning and buying some bitcoin it would still be worth something,
Just think of it like storing your money in some piggy bank.

This will never happen! If you knew some psychology you'd know that some like to follow the crowd and some always go upstream.
If the majority starts to hold there will always be a smaller group that will go against them, even if only to try and see what happens.

No, storing Bitcoin will not kill it. I also think that it's better for Bitcoins not to sit idle but to be on the market circulating but storing can't do it much harm. Just because of storing the price will not fall or make some troubles on the market. There will always be people who will store Bitcoins as a kind of savings.

Just a few questions, What would happen if people just stored gold and stopped trading it? Would it still hold value or would the value of it drop all of a sudden? I dont think the value would change much especially if its the last BTC ever to be mined or kept. As long as people still want BTC, it will have some value.

As long as there is fluctuations and variations in the rate of Bitcoin, I don't think people ever will stop transacting it. Transaction fees are just incentive for the miners, they don't live on transaction fees. So it'll be an impossible situation to happen because people right now are pouring in to the Bitcoin for its value..

That's impossible that bitcoin will kill at storing by all people who hold because if the stocks will down the price will up so many holder will sell their holding coin. But If all bitcoin will store only in one wallet of crazy person that want to kill the bitcoin I think the bitcoin will died soon. And all of his/her money will killed too.

Even though community is certain that the best long term strategy for bitcoin is holding coins, we are not seeing any decline in bitcoin usage.

It is quite the contrary:

- Bitcoins in circulation rose 10% in last 12 months https://blockchain.info/en/charts/total-bitcoins (https://blockchain.info/en/charts/total-bitcoins)
- Trading volume on major bitcoin exchanges is higher in last 12 months https://blockchain.info/en/charts/trade-volume (https://blockchain.info/en/charts/trade-volume)
- The average number of transactions per block is higher in last 12 months https://blockchain.info/en/charts/n-transactions-per-block (https://blockchain.info/en/charts/n-transactions-per-block)

miners are making money from the block reward not from fees. and if there were no transaction whatsoever, they will still find blocks which means they will still make money by receiving the 12.5BTC block reward. you can check blocks 1 to 100 to see this (these are most probably empty blocks)
in these blocks which were the first blocks ever created there were no transactions and there is only the block reward (coinbase transaction)

Okay, let's assume that there is that "zero" transaction. Then the supply will be lesser that will make the demand higher. But in reality, this is a very impossible thing to happen. And miners will always be there, as a matter of fact there is no bitcoin user that isn't holding. Most of us have some bitcoins that are keeping, so it won't kill bitcoin.

If you have just read the op's sentence he does say that all bitcoin users are holding its bitcoin and dont intend to make any transactions between among other users which means theres no activity.Supply is there but the demand is nothing then value would lessens or zero at all.

But there still is block reward for mining every block and miners mine mostly because of it not because of the fees. If theoretically everyone(not even a single Tx) just holds bitcoin then bitcoin's price will drop and obviously make it useless. But this is pure theory and will never happen.

Right now miners aren't depending on the generated fees, but that will change as block halvings will constantly halve block rewards even to such a level, that at some point the only reward for miners will be the fees that they generate. That's how POW works.

But the demand will make sure that no matter how much capacity blocks have, that the demand constantly is moving a few steps ahead of the technology. Right now that is already the case.

The demand will still be high because we still wanted bitcoin for its value. So the price will still be high even though we are all holding our coins. I also think even though ordinary users will hold their bitcoin, miners will have to sell theirs to pay for their expenses. That will create transactions. So it is really hard to say that all transactions will stop. There will still be transactions happening.

This is a very hypothetical kind of statements.
All forms of currencies and money are totally relative,
They just act as a mediator for the trade to happen smoothly.
We basically need resources not money . Money controls the deals between 2 people.
So if everyone starts storing bitcoins in their usb's and doesn't use them at all,
The demand for bitcoin will decrease and so will it's cost.
When it comes to mining the block reward will still be given to the miners.
And mining will be shifted to some other crypto currencies which will balance the loss of bitcoins.

Yes theoretically it is true, when nobody spending bitcoin then bitcoin will lose it values and then reach the bottom and become no value, but it is very difficult to ask everyone in this world to save bitcoin and never spend it, so if nobody spend it then bitcoin will doom but the chance that to happened is almost near to 0%

No, not all people will store bitcoin. actually this type of hypothetical topic should be removed because these type of topic have no influence on our real life as we are not going to face any situation where no one will u bitcoin and they will store it instead.
Secondly about 50% of the bitcoiners are making Thier most of the profit with the day trading which involves the many numbers of transactions , so here no any big matter happen if we store our big amount of Bitcoin in our wallet Because all transactions needed equal amount of fee to confirm .
But still if everyone will follow your idea to store bitcoin then instead of going to kill the Bitcoin , it's Price will go rise sharply speedly Because of increase of the demand .

you are wrong, no transaction doesn't mean no reward, miners can still mine their block, they just take no fee from transaction, but fee isn't profitable as mining for them, but this is not possible, there will be always transaction ongoing, the miners have nothing to worry about imho

things like that really can kill bitcoin, but I think it's impossible on many bitcoin users, it is not possible in a day none of these are transacting, while the state of each person is different, will finance its

Only storing bitcoins will definitely has bad effects but this is something which is unrealistic. It cannot happen that all the trasncatiosns are stopped and there is no movement on blockchain making it impossible for miners to earn  ;D

Miners won't give damn only because of your savings alone apart from you there are millions of transaction has been moving via blocks everyday. If still wish to save for your future purposes and price expectation. You can hold for long term also. Everyone prefer long term bitcoin holding. Even I have tried but still selling out for everyday uses.

No, the only way there were no transactions is for bitcoin to be useless already since no one transacts with defunct coins, whether those are altcoins or fiat, so an scenario like that will never happen, just look at gold, most gold is stored and not much is done with it, but it has been around for thousands of years and it is still relevant.

We think to hold for a long time to make a big profit, But once the price will be stable at one point for a long time we will not control our feelings, we will sell our coins. It happened to me many times. I thought to wait for some time, but the price will tempt me to sell my coins. And I am bit scared why because if the price goes down, i will lose profit.

It's pretty easy to see that it does not kill it, it simply makes it less liquid, which means, if the demand stays the same, the price will go up, and since with time more and more bitcoins will disappear at a faster rate that they are created due the decreasing inflation, the price can only tend going upwards.

It can kill but this scenario is not going to happen because there would be less opportunity to use bitcoin and it will not be called bitcoin anymore.

We store bitcoins for a long time but we do not have that much power that could affect the market or the bitcoin price so this is directly depended from big holders, big traders and big exchanges.

I think that bitcoin addicted people hold more bitcoins that others, and we should be sure that exchanges and bitcoin mixers have a large reserve and should count that as a storing/holding too.

Let's just say that this do happen, that for one day all transactions cease. It would still have some value since there are still new coins being added by miners, they are just not selling it so I doubt that prices would drop to 0. And let's just say the price do drop to 1 and miners start selling their coins again. People who already have bitcoins can buy more (after all, what is $1 anyway). Sooner or later this "just hold it in" situation will break because of that.

After 2040 when the flow of new Bitcoins dries up, the answer is yes since miners would be reliant on transaction fees.  Before then, it will still harm Bitcoin.  Bitcoin was intended to be used as a currency, and this idea of just hoarding it and never actually doing anything with it will not contribute to any price rises that occur.

You didn't get what I meant.True that both bitcoin and gold have values but bitcoin needs miners to move while gold has no such requirements.If you hold gold for long and after say 10 years decide to sell it,you can simply give that gold to buyer without needing anyone to confirm it but for btc you need miners to confirm your transaction otherwise it will not move to buyers wallet.IF all miners are out of business,bitcoin will become useless.

If this thing happen, the one holding/hoarding bitcoin will be the one to move the block.  We all know the less miner mining the network, the lower the difficulty to mine another block.  So thinking that miners won't stop at the same time, we can project that mining difficulty will start to decrease as miners stop mining.  From the point that there is 0 miners mining the system, I bet that the difficulty will greatly decreased enabling a single cpu to move the block.  This will enable them to transfer and confirm their transaction if they decide to sell their BTC.

Though the worst part of the scenario will be the demand getting to 0 making Bitcoin useless.

Bitcoin is a currency and as any other currency it need to circle to stay alive and to be demanded. Storing bitcoins really can kill this currency very fast.

OK let me re-read this.

If this happens and transactions stop, yes I guess the value will drop. And once it starts dropping people will start selling them (getting rid of them as they value is decreasing) and with that circulation starts again and the price halts. If more people sell then these are some more transactions. At this point it depends on the people everywhere who own bitcoins to move them around to give them value ?!

That's all out of theoretical imagination LOL :D

Definitely if all people are storing Bitcoin and no one is using it, then people will tend to forget about Bitcoin and start pulling out their demand.  Once there is no more demand for Bitcoin, then Bitcoin will definitely die.  But I bet people will sell it once the price starts to go down.

Bitcoin was invented to be form of currency, but it has many drawbacks and Satoshi knew that in its initial shape BTC is inferior to. already present at that time, centralized payment processors.
At least if we are talking about transaction capacity (limited by block size) per second and 10 minutes confirmation. Peerless and decentralized network is still brilliant invention.

The main problem of BTC today, is not even horrible fees, but lack of incentive to spend coins.
There is no bonus for spending coins, in fact, you are being punished for using Bitcoin, due to deflationary nature of BTC.

Absolutely not, hoarders are what give bitcoin its value,  bitcoin would have no value what so ever if everyone tried to give it away for other stuff.  This concept is hard to understand at first but Holding savings in bitcoin is vital to the network.  You should listen the youtube link i will post below, it explains it perfect.
 
https://youtu.be/e1eKHXdlx2Y?list=FL_1xDQgnywzy4JeHeRy1eKA

Roger ver pushes the whole bitcoin should be spent thing and then on the other hand admits that hodlers give bitcoin value  :-\

If miners can continue mining no matter if there are any transactions then what's the difference between central banks and miners.
And most importantly why bitcoin was designed in a way that many of miners do the work but only 1 wins and the works of others goes to waste?

I did not understand a little here. Do not all mining users make a profit? Of course to keep the blocks all the same It is necessary, but this is not the same as the central banks. Banks are primarily a control.

but i think storing bitcoin is not killing it, but increasing its price very much. if all the people will start storing bitcoin then the supply will decrease and the price of bitcoin will increase.

The difference is that the number of bitcoins awarded to the (winning) miner is fixed. Central banks can print as much money as they want.
Central banks have power while miners are just a cog in the overall Bitcoin scheme.

My argue is about the printing(mining) the digital money, if there is no outside force(protocol) to pressure the rules into the system then that system is a central point of deciding whether or not to mine empty blocks and keep growing the chain(securing previous blocks only) or take the extra money users paying as fee, but if processing transactions has a risk of an invalid or an orphan block then it's in their best broader interest to ignore TXs because 1or 1.5BTC extra earned by fees is not worth to lose 12.5BTC.

I always thought that the transactions actually produce(introduce) the mathematical challenge to the miners but now I see that miners can keep mining even for years without a single TX being in mempool.

While no one else is going to process users TXs since there is no central bank to have it's branches to do that only miners can transfer the funds in a sense but if they have been given the option to refuse then only the honest miners wanting bitcoin to thrive and stay operational will include TXs to the maximum limit size of the block and hostile miners would keep mining empty blocks to hurt the network (from users perspective) and care nothing for the end users and only wants to take their share of the market.

There is no more 1 CPU 1 vote because there is no CPU to begin with.

---

For being on topic, dude wtf are you talking about? this is not the perfect world where the masses work together all with one mind and heart to stop doing transactions without exception just for testing sake. you can keep your coins but you should know that you'll never be able to convince every body else doing the same. fortunately bitcoin is not like paper money like if you burn cash it's gone for ever but with btc you will always have the coins in the system.

This is an unreasonable question. But all of your points is aiming at the critical part of the bitcoin. and do you think the bitcoin die or not? All of the critical parts of bitcoin will be useless, no miners and none act to securing the bitcoin network.

If there is no transaction happened in bitcoin for a day or week so i think that will not affect bitcoins price at all.Bitcoins price is based on users trading it if there is no transaction that will happen there will be no price changes and bitcoin price will remain as is for the time that there is no transactions that happening in blockchain or trading platforms

Hey mate, this is just a big theory and it is so impossible to happen havibg zero transaction in days, because first and for most bitcoin has a big and huge volume of users, and many transaction were made every seconds in bitcoin industry.
and If so I guess bitcoin will not be killed or dead because people just hold it and even the price it will stock in its value. But then big whales will not let that thing happen, trading will continue no matter what. But also the chance of rising value is there because for sure the demand will rise because holders hold their coins.

and one more thing is if there is no transaction in bitcoin I guess all bitcoins hold by one holder then there is no one can he or she trade on. But let that thibg not happen, crypto world will going to be boring if so.

If everyone just stored all of their Bitcoins, then it could kill it. If no one uses it for anything, then there would be no value in Bitcoin as a method for merchants to accept it as payment or for customers to use it for purchases. And it wouldn't have value to transfer funds from person to person. I think we need those to keep it relevant. Luckily it is used on websites for purchases, gambling, and trading, so I think it will survive.

The loss of demand is why Bitcoin should not be treated as a commodity, just sitting there as a store of value, but instead as a currency for daily transactions. If it isn't being used, people can just use other cryptocurrencies, and those marketcaps will increase instead.

We are just assuming only "IF" and most of us knows what will happen if most of us are going to hold. But still I'm looking into to two points, good and bad. Good just like the way I explained it and bad with the way that will kill bitcoin because of there is no zero progress but if there are people that are keep on looking for it bitcoin won't be drop dead easily.

Storing of valuable assets is a form of saving for a better tomorrow. This means storing of bitcoin too is gonna benefit the user and not gonna kill it.

Killing it? I think NO even if you consider it as hoarding. It can not kill it because there are still altcoins cryptocurrencies to used as an alternative. Storing it will only rise the bitcoin price, because it lessen the supply circulating on the net.

It is impossible to have no transactions, bitcoin is already using globally. Yeah we stored coins but there is no effect like killing it, BTC is circulated through buy and sell, trading and investments. So there is no reason to say that bitcoin is useless.

It is true if the person hoarding Bitcoin purpose is to increase the price.  But, if all owner store Bitcoin (not spending it even once) will posibly make the price increase for a while but since the idea is not spending it, then this demand will  get tired and be pulled out to use for another / other market.  From here, Bitcoin price will decrease until the time that Bitcoin demand will be gone making its value to become worthless.  (Though it would be impossible to not sell if we see  Bitcoin price is very expensive.)

There is always a reward for mining a block, regardless of whether or not there are transactions actually inside of it. Hypothetically something like this would end up just resulting in the market value going down since there would be a lack of people moving Bitcoin on exchanges, but a lack of transactions would certainly not kill it. As long as there is money moving, people will still care.

I don't think this is accurate just look at gold no one is spending gold, and yet the price of gold is high, I know it used to be higher but you get my point, if demand is high and no one is selling the price can only go up.

Bitcoin's going strong now, the value is soaring and awareness is spreading but the cryptocurrency's seem a little confused about what Bitcoin really is. And If all users store it, I dont think bitcoin will valueless. Its still going up because of its adoption everyday and people will still use bitcoin...

Just not true, if you listend or read the article you would see that in theory there comes a time that even a horder will have to sell his coins.  Once bitcoin gets like critical mass, then the horder will be both saving and receiving money in the form of wages.  its basic economics.  not to many people can afford to hoard forever.

I think the price are managing by people who are trading this currency, plus people who are buying it. But in my opinion it's hard to stop bitcoin, only with saving it, a lot of people trading them on different sites, and the price of bitcoin always depends on traders and mostly they are the persons who make it more valuable. Storing bitcoin it's a good thing, then a bad one because people are invetsting on it, to get a profit in some time

A whole day without single volume of transactions. That's just impossible
There are thousand or millions of bitcoin users as of now that is constantly trading,buying and selling. People are continously sending and receiving bitcoins as long that someone is using the currency the price would not decrease especially when the price is still soaring up and experts are speculating it to go even higher this 2017. So storing bitcoin right now would be an excellent move when the time that the price pumps even higher.

if users will totally keep on storing they bitcoin and doesn't make any transactions then it will surely bring on the bitcoin ecosystem because bitcoin needs to circulate in order to keep the network to operate I guess . but anyway, because in this community many people are often using bitcoin for various purposes such as trading goods for bitcoin, gambling, trading etc. so it is really impossible that there will be no transactions every single hour or day .

Like someone has rightly said that its merely a theory because the end of someone saving is the beginning of another person saving and you yourself cannot have to buy to save if someone somewhere is not willing to sell and that is why it wont work that all of us will just decide to save at once. If we even assume to save at once, should we also be able to meet life challenges that requires money all at once? I guess that will not be possible in all sincerity.

Nope, it'll just make everyone else's bitcoins worth more for the time being

I dont see why storing bitcoin will kill it the reason for that is every individual sees bitcoin in different light and its use depends on what appeals to us in a different way, To some people, bitcoin is to be used as a medium of exchange and no one can change their mind about that while to others, they believe its to be used as a store of value those are the category of people that will keep their bitcoin hoping that it will reach $10000 when it does, they will wait till $100,000 so its going to be impossible for everyone to think and act in one same direction.

There is a possibility that it may happen in the near future and it's a sad possibility cause without people realising them it will put a end to the price, the miners shall go out of the business, so I don't feel people should ever hoard it, the more in the circulation, the better it is for everyone. Will this happen any time now, I do not see why it should happen now, cause people are happy to trade it and pay the fees and transactions are happening slow but yes. What happens in the future depends on how we make the present scenario so let's hope for the best.

I don´t think that storing Bitcoin will have a negative impact on it. Let's face it. A lot of people is already doing it, and they are doing it since 2009. The outcome has been an enormous increase in the price.

I think you are correct that we are past the point of zero transactions. There is a whole industry of trading, gambling, and even porn sites that rely on Bitcoin. If we can get the mainstream population to fully accept Bitcoin, it should be successful.

We know the truth it is impossible, but OP is asking if suppose people stop to do a transaction with Bitcoin and store coins for more profit what will happen. Off course if the transactions stop the Bitcoin value will stick with one amount. And all traders will stop to do trading after that what Op said it's right the Bitcoin will disappear. But in the present situation, it will never and ever happen.

It wont really happen since this is just an assumption on bitcoin event and if theres no transactions value would not move and if theres no circulation then it would be useless it will really deplete in the time no one would able to make transactions or trade with it.

I guess this thing will never happen since bitcoin has a big supporters and zero transaction is very impossible to happen.
No need to be panic thinking on an impossible thing  :D

i think there are not many people that will storing all of their bitcoin in their wallet, they will use it for many purpose that they can to make their bitcoin is grow and i think this what many of bitcoin users do including me. storing bitcoin will not kill bitcoin itself and i am sure that in the market, there are many transaction that using bitcoin.

It will not. THough it will cause some effect like the shrinking of the supply which will raise the price and when it rises to a particular level people will start to sell hence that would result to a popping of the bubble or a correction. Which is nice for the currency and is really a natural and normal occurrence which happens also in gold and other kinds of assets.

Recently it is very difficult to make deals with bitcoin. A lot of unconfirmed transactions. Sometimes you have to wait a few days to get the coins. It seems to me that it kills bitcoin

Yup, bitcoin has the great opportunity to grow right now for sure and it is going to become even bigger in the near future. Bitcoin is just the best currency that has ever been created and in bitcoin everyone should trust, because it is the future. Also storing bitcoins will not kill it for sure because it is natural and even though a lot of investors are holding at the moment there is still tons of people who are just buying and selling bitcoins in order to use it so we don't have to worry about it.

Storing for the sake of savings and spending it in the future will never kill Bitcoin but hoarding it and not spending a single satoshi of it will definitely kill the currency.  There is no transaction, liquidity and even not used to buy stuff, so merchant accepting it will definitely look for alternative.  Bitcoin without transaction (trading, spending etc) is more likely a dead currency.

It is impossible to go through a day were there are no transaction because the Bitcoin was invented for this.
But if we use our imagination for a second and think about his then it still won't be useless cause we can use it for investment and the next day we can make transactions again. ;)

It would really be useless to think because people who are holding bitcoin would eventuall use it and make transactions and you are right its being created to be this way and considering that there were no transactions then its really impossible to happen.

But it is doubtful we will reach the point where people hoard just for the sake of hoarding, those that are storing bitcoin do so because they want to obtain a profit from bitcoin, so if the price skyrockets then we will see many of the people that said they were going to hold bitcoin for decades selling their stashes in a matter of days.

I believe continuous rise in price and instability encourage people to hoard further for.
1.They expect more price hike in future hence more profit.That is why less sell order during bullish days.
2.Small investors fear they might not be able to buy back if they sell.