Bitcoin Forum

Don't know if this has been discussed much but the real reason why most of these Alt coins shit the bed recently isn't due to hasrate drop off or band wagon hopping or any other nonsense. It is a supply and demand issue.

There is only so much money out there that is going to be used for speculation and every new alt coin that enters the market at this point is basically just inflating the supply of coins and causing inflation just like with fiat currency.

One of the strengths of a crypto currency is that the supply is limited. This is great if the coin can actually be spent and has vendors like bitcoin and litecoin but with the alt coins it is only speculation that gives them value. It is the same pool of money that is treating the Alt coins as one group so every new coin is adding to the supply of coins and basically making them worthless. Older Alt coins are also getting dragged down and hurt by the ever expanding supply they have to compete with.

Of course people that want to make a quick buck can't help but make new coins in a pump and dump scheme.

Unless some of these Alt coins find markets for themselves they are only good for a quick trade when they first come out and there is hype. After that they will end up like FTC, CNC and the others.

Only Coins that can find a market will have lasting value.

QUIT MINING ALT METALS AND GEMS!

There is only so much gold out there that is going to be used for speculation and every new alt metal and gem that enters the market at this point is basically just inflating the supply of trade-able currency and causing inflation just like with fiat currency!

QUIT SELLING ALT SANDWICHES!

There is only so many paninis out there that is going to be used for speculation and every new alt sub and burger that enters the market at this point is basically just inflating the supply of trade-able sandwiches and causing inflation just like with fiat currency!

Not a good comparison  :-[

I've got an idea for a new alt coin:

A 100 % copy of bitcoins with the name CopyCat Coins (CCC)

 :) :D  ;D

People gives value to things, even money. So, more coins does not hurt. IF coins like YAC worth almost nothing is becaus epeople do not trust on them, but people trust on bitcoin and litecoin and their value keep constant/growing up.

In my oppinion, more coins does not affects other stablished coins.

You're forgetting that cryptocoins can be mined by anyone and fiat currency cannot. You're also forgetting that the value of these coins mostly has not been determined yet. When more goods/services can be purchased with crypto currency, maybe you can talk about inflation then. But for now, you really don't know anything about cryptocurrency economics.

Yeah, a better comparison would be: All you countries, Quit making your own FIAT currencies! Instead you should all be hopping on one grand currency, say the Euro!  Look how that went (is going).

Problem is we need to look past simply modeling after the old failed systems. I agree that a billion clones is not the answer, but neither is simply mimicking current thoughts on how an economy should work. I have no answers, but I do think experimentation is good and hopefully something useful and beneficial to all can come out of this giant laboratory.

Also a bad comparison. FIAT currencies are for the most part domestic. Meaning the US uses Dollars and Cents, UK Pounds and Pence, etc. As an 'international' currency, we have........ BitCoin, LiteCoin, NovaCoin, PPCoin, MinCoin, TerraCoin, BBQCoin, CHNCoin, BitBar, FeatherCoin, FreiCoin, NameCoin, YaCoin, JunkCoin, IXCoin, DevCoin, ByteCoin, so on and so-forth, most of which are clones with a slight number change, essentially making half of them cents of a different color. It would be nice to stick with something that fills some gap in functionality, targeted uses per say. NameCoin was a good example, regardless of success or not.

I had the same thoughts as OP.

Now I found that they do not affect BTC or LTC at all, altcoins are just a quick way to "scam" BTC and LTC out of greedy traders that want to be on the top of the bubble when it bursts, some end up at the top and some at the bottom of the bubble.

The people mocking my post are not making valid comparisons. Also they are making assumptions about the level of understanding I have of economics.

I think they feel they need to defend their actions but I did not mean this as an attack on anyone in particular. I also have jumped on the alt coin band wagon with FTC and even mined CNC a little even though I was skeptical. After that though it started to get ridiculous and I could see where we were headed.

As for the Alt metals example. It is not a fair comparison. Every metal has different characteristics that distinguishes it from the others. Iron is not a suitable replacement for Gold and vise versa. Also even though you can mine more metals you cannot create new ones, the supply in the ground is unknown but finite. You can create alloys but in order to make steel you have to use up iron. Does CNC's creation use up another coin? I didn't think so

With crypto coins, anyone can come along and create another clone and say it is "original" with just a few tweaks and add more to the total supply. It might soar in value for awhile until the hype wears off and a newer "better" coin comes out the next week.
 
IF these coins are to distinguish themselves you need to be able to buy other things with them other then another crypto currency. Otherwise they are speculative value only and like I said the new ones are basically inflating the overall supply.

Exactly. BTC and LTC are holding strong. That is because they have markets and it isn't just speculative money invested.

Pretty much everything else seems to be in a down trend.

I know this is going to come off insensitive, but I just can't help myself.  For the US portion of the crypto community, what are public schools teaching? I don't understand the need to try to control which coins are successful. Let the free market decide... period.  If a few coins break out into other markets, more power to them.  If these same coins become Fontas's pump/dump toy, more power to them. Too many central planners, that's how we got in trouble in the first place.

Support what you believe in, #$@# the rest of them.

What do public schools have to do with crypto-coins?

Anyone with a brain can tell the difference between yet another altcoin and a decent altcoin.

While its possible to advise that the value of all coins is going to get effected, there is very little that can be done, except let people find out the hard way, as well as make sure you are not involved in it.

I think we are going through a very difficult time in we have a market that is getting bored with the stability and wants something to gamble with.

Its just like every get rich scheme, its its too good to be true, its too good to be true!

STOP WATCHING PORN, YOU'RE MAKING ALL THE SEX BAD

Agreed theirs too many pump and dump out their and many people do know when theirs a good one that comes so far I seen nothing good yet FTC I could of had 20 BTC for my coins but am still holding them maybe someday they will grow to something better than that when it first started but who knows alt coins are alt coins and a pump and dump in most cases.

Only main ones BTC,LTC,TRC,PPC rest are just pump dump in my view currently.

I dont see anyone trying to dictate which cryptos should be successful and have any pull in stating that.

The free market has so far decided that LTC and BTC > These new copy cat coins including FTC.

BTW FTC Time to Retarget   23 day(s), 7 hour(s), 33 min, 28 sec

And that is rising due to hash dropping

Stop telling people what to do.

So now that everything is down another 25-50% am I making a valid point?

I would hope so.

FTC dev is so incompetent that he couldn't even create his own genesis block. He used the same one as Litecoin.

no no you dont. You think the USD goes down because some country made (printed) more money?

You can buy anything with USD, Zimbabwe printing is not going to effect it. That is my point.

In the cryptocurrency marketplace BTC is like the USD. You can buy the most stuff with it. Some no name alt coin is not going to effect it. It will however effect other no name alt coins.

You can't buy stuff with all these new alt unless you convert, they are basically all diluting the same pool.

If you want to buy oil futures do you think you can do that in Zimbabwe dollars? No. You have to convert, this is why USD is king.

What you are sounding like is that you got your eggs in one or 2 alt coins. Your worried about your "investment"

Welcome to open source and free market bud.

BTW, the market decided what a coin is worth. If people want it they buy it.

The makers of alt coins are not the people you need to be upset about. You need to be upset at the big miners who can mine thousands of a said coin and then dump them. THAT is what affects the price more than alt coins being made.

Great. What happens if the US defaults or loses its status with the USD? It has happened many times over time. Learn some economics.

when has the USD not been the currency of the us?

The facts are there. Since the release of all these altcoins the value of LTC only down. Coincidence or consequence?
There's good reason to believe that there's a cause and effect, and it obvious that the output of all these altcoins is not good for the reputation of altcoins general. And the price of altcoins is directly related to their reputation.
Make altcoins only to repay GPUs, I think is quite wrong in the long term.

Yes but your talking about buying oil. You think the USD would be as strong if oil was traded in Euro? That is what I thought you were talking about. The price of oil is set on the USD
your full of shit. Its been stated many times that LTC is over valued not due to alt coins but due to other factors. Stop blaming losses on alt coins.

A majority of people that dont mine think BTC is a scam. Thats not even talking about alt coins.

Look, all the whining in the world will not stop the creation nor the trading of other alt coins.

I agree, the USD is shit long term but in the short term it is still king. Oil is still traded in USD.

Point I am trying to make is RYC is to BTC what some third world country currency is to USD. It is not going to effect it.

The alt coins are acting differently then currencies that have their own country though because those currencies no matter how mis-managed still have markets where you can buy and sell stuff. Most of these Alts don't, you have to convert back to BTC and to a lessor extent LTC to do anything with them.

The more different Alts you have being converted to BTC so people can cash out the more they all drop vs. BTC.

What you say is very true. But in the dust of all the alt coins coming out, there are a few that have some thought behind it.  What we as a community is learn from them.

I still think you need more than 1 "USD" because what happens if something goes wrong? Now EVERYTHING comes crashing down... and no... you need more than one or 2

I think there is room for many coins. There should be. It is just the sheer volume of new coins in the last couple of months that is the problem. I can't even keep up with them anymore.

If no more new coins were made for a year then things would sort themselves out. Some would die others would do well. But with more coming out almost every day, it is having a negative effect on all of them, people don't know what to think. One new coin is basically the same as another. They are not distinguishing themselves.

OK, for now it is anarchy in crypto coin world, but by the time it will thrive in to something that is stable and usable.
... I hope so :D

But for now I share opinion that is better to put effort in one or two currencies , although making more and more alt coins just assure that banks and system will never succeed in killing this new era in world economy.
So.. at the end ... new world order will come out from anarchy, not from system as they think! :D

Thats when you learn to spot those that are somewhat decent.

Ive said that you do almost need to other coins with low dif or have been out a bit with low difficulty... because mining say... LTC is impossible for a normal user. I know many think of it as an investment... but those are not the people you dont need to target... its those that are not sure. Those that are not sure dont have more than 300kh and if they cant mine they aint gonna stick with the cryptos.