Bitcoin Forum

Bitcoin is a financial pyramid? Will not the loss of wallets and the limited number of bitcoins to high deflation lead to the destruction of Bitcoin? How many bitcoins are there now? What generally supports this currency?it is very interesting to hear your opinion on this)

Some people think btc is a financial pyramid however, there is no solid proof. It's kinda like a ponzi scheme but if you would call btc a ponzi scheme, assets would be too.

Nah.  When I first heard about bitcoin back in 2012 or so, I assumed it was some sort of scam--or at best a fad or gimmick like Flooz was in 1999, some sort of internet currency that nobody wanted or needed and that would die out within months.  Turns out that I never changed my position on the latter (I think it's a solution in need of a real problem, at least for civilized countries), but I was dead wrong on the first part.  It's definitely not a scam, Ponzi, pyramid, or otherwise and it took off to a degree beyond anything I'd anticipated.

Right now I'd be careful investing in it, because it's near its all-time high, and that's exactly the point at which people start inflating the bubble and then it pops.  Can't say for sure if or when that's gonna happen, but I get the feeling that it will.  We'll see.  But it's not a scam.

What does potential destruction of all bitcoins have to do with financial pyramid??

Also, no. Bitcoin can be divided infinitely, so there's no risk of complete destruction unless all the bitcoins are destroyed all at once.

Yes l think bitcoin is like a pyramid also, But even it is possible to experience scam here in bitcoin.But it's ok, as l monitor my auntie she said it is bigger she earn than she lost of no payment on her salary.

Right now I'd be careful investing in it, because it's near its all-time high, and that's exactly the point at which people start inflating the bubble and then it pops.  Can't say for sure if or when that's gonna happen, but I get the feeling that it will.  We'll see.  But it's not a scam.
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Huh? Read the OP. Then read your post. Then edit it accordingly. What does this have to do with you changing your aunt's bedpan?

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How does a deflationary asset where no more will ever be created = pyramid? We need to see you're in depth analysis here.

I dont think that bitcoin is a financial pyramid system or something like that. It is a new technology of money. People who belive in blockchain technology they invest their money yes but I dont have alt-members or I dont earn money from them. It is like investing your money on a promising project or company.

Bitcoin has nothing to do with financial pyramid nor a PONZI. Its the most beautiful way of earning money now.

I don't think that Bitcoin is a financial pyramid, Ponzi scheme or scam. What I see here is a revolutionized virtual currency technology and in the near future, everyone will know, use and access it as an alternate payment, investment, saving, and/or purchasing transactions in a form of virtual currency.

There is no network of people whos behind BTC,its a decentralized digital currency.Maybe you it is Bitconnect you are saying i couldnt disagree its a total ponzi scheme but not the original Bitcoin.

yes, I agree with you, that bitcoin is not a pyramid system, but bitcoin is a digital currency that we can use as a transaction tool, making it easier for us to transact. there is no interest and purpose other than to improve the world economic system.

Well, at first sight, bitcoin really does look like a pyramiding scheme that has managed to be lucky all these years because it has survived this long. But, if you look deeper and try to study more about it and how it works, this might change your point of view and make you understand why a lot of people are going crazy about cryptos and do people continue to trust and have faith in bitcoin even when it has brought big loss to a lot of peopl die to its very unpredictable volatility.

What do you even mean by financial pyramid? If you're comparing it to traditional pyramid schemes, no it isn't. Pyramid schemes are unsustainable because it always needs fresh recruits to sustain itself. Bitcoin has no such limitation, and everyone involved can do as they please. It's still a currency at the end of the day after all.

There are apparently around 16 million in circulation, but I don't know if that accounts for lost coins. It isn't backed by anything; it's speculative. Whether or not you want to dip your toes in the market is up to you.

its not a pyramid.
because a pyramid has many steps/levels where part of each trade gives funds to EVERYONE ABOVE the bottom trader.
however with bitcoin, its just a 1-on-1 trade, so once bitcoin is sold..its done..  no hierarchy, no syphoning off, no layers..

though bitcoin had purpose from 2010(bitcoin pizza) untill about 2014/2015 (merchant/retail spending) that has pretty much dried up now and not many really use it as a functional monetary currency anymore

now its just an asset currency, held purely for the hope of selling it for profit. many say its more like a ponzi, in which a ponzi is basically a asset with no function thats only purpose is to convince a new person to buy it from you for more then you did, knowing eventually that people will lose out when it crashes.

to me its more like a bubble.
houses are a bubble, do people buy them as a place to rest their own head at night or as pure investment such as buy to let/real estate
tulips are a bubble, do people buy them as a cool flower to garden, or as pure investment

when the function/utility desire decreases and the investment gamble/speculation desire increase, people start to notice the bubble
that said. even if the bubbles burst. it may not mean its dead..
flower companies and gardeners still buy tulips even today, and tulip suppliers still make profit even today centuries after the tulip bubble burst
houses still exist and bought today. even after the real state bubble burst
a bubble simply means the inflated air of speculation has popped and a new lower more realistic level of function/utility value comes out of it

with bitcoin the utility desire is nearly gone.. only investment desire is dominating. and at some point even that will wane.
so ill leave you to think about that

Indeed, many bitcoin has been lost, and many more have not yet been found, and it is normal that the price of bitcoin is rising.

In my opinion, the digital currency is nothing but an unfounded mode (or perhaps a pyramid scheme), based on a willingness to value something of little or no value beyond what one would pay for.

A pyramid scheme is an illegal investment scam based on a hierarchical setup. New recruits make up the base of the pyramid and provide the funding, or so-called returns, the earlier investors/recruits above them receive.

on the other hand, bitcoin value is driven by pure supply and demand. It is nothing like a pyramid scheme.  Bitcoin represents a completely level and fair playing field, because the economics of adoption and growth cannot be controlled by anyone.

It can be like that and i know some of that pyramid like redex and some mining here you need to refer someone to earn but crypto are more good that you can't imagine and conveniece that can brings to any users of it like the transaction and to save our own money here another thing it's more profitable than anything negative about bitcoin because a lot of people earn here big from what they do like in faucets or promote some campaigns.If i count what can crypto or btc can brings this post will be so long than to think negative about it.

for people which are not read about bitcoin, maybe they will think that bitcoin is a pyramid or ponzi or whatever its the name. but for me, I don't think that bitcoin is like that and I think bitcoin is just a new way that we could do to make money on the internet. although I still learn more about bitcoin, at least I know that bitcoin can help me to earn something for my life. I use bitcoin as my investment like other people and I use bitcoin to withdraw so I can have money to buy something.

Governments wouldn’t start making studies right now on how to regulate cryptocurrency if bitcoin is some sort of a pyramiding scam. Companies, too.

If its bitcoin and chainblock its not pyramiding but rather a decentralized currency and technology. Unfortunately there are a lot of people who are riding in Bitcoin's hype and popularity. Best thing to do before you invest is to check the offer and the company or people who is offering it. If the offer is to good to be true and may be depending on recruiting your friends as well, there is a high chance that its a ponzi scheme riding on Bitcoin. You can also check the forum on what type of Altcoins or cryptocurrency is best to invest in aside from Bitcoin. And yes its blockchain.

I never thought that bitcoin is a financial pyramid but a blockchain technology that can be utilized by someone if you want to invest for the future in order to improve the economic system better than ever.With a very limited number of bitcoins one must be able to take advantage of the opportunities that exist in generating profits.

Financial Pyramid are soon to become scam, and bitcoin is most like that,, even me after i heard this bitcoin and search about it, i am guesting that this bitcoin goes to pop and scam soon, but after 2 years of experienced in bitcoin, bitcoin proves to me that it is not a scam but a financial solution for all people/investors who believes in it.

In opinion bitcoin owner hold risks like betting but has small chance of losing and if they lose I believe partial of their investment would remain so in my opinion its not a scam.

As governments gradually support bitcoin and there is more and more money to support it, so should the rise.

I agree with what you say, your discussion is very precise. maybe this will be the knowledge and understanding for the OP. that the most important bitcoin is not a scam scheme what else ponzi. although almost every day the issue of tilt is always directed at bitcoin.

As long as there are still many people who are interested in bitcoin, bitcoin will still alive and will never die until it can be distruction and until it loses its value.
Blockchain technology is very important, there's no point of error that can damage the blockchain either intentionally or unintentionally.
I don't think it's a financial pyramid, but a digital currency that indeed having a sophisticated and decentralized system that makes it easy to transact, and providing many benefits.

you are wrong, not like what you think. I guess you should take more time and look for more interesting readings in this forum. bitcoin has given us many benefits.

Bitcoin in any case can not be called a financial pyramid. The financial pyramid is when the last in chronology people make their money in some kind of fictitious project, which then disposes of the previous ones as a percentage of the income from the realization of this project. In the case of bitcoin, it is slightly different. Bitcoin can be called a financial bubble, because its cost increases due to increased demand for it, and increased demand leads to a further increase in its price. This was clearly seen last month, when bitcoin suddenly took off in its course to $ 20,000.

Banks are Financial Pyramid Lehman brothers are financial pyramid Bitcoin is only lifesaver for money

You have a wrong perception, Bitcoin is not really like a financial pyramid or something like ponzi.
This is just because of the lack of proper knowledge about cryptos and bitcoin. It is not just limited number of bitcoins that matters, demand and circulation in market are the most important.
More than 16 million BTC are in circulation, as long as bitcoin is being circulated in the market and demand will keep increasing there is no chance for a destruction.

I am either being too careful with my money when it comes to this currency even if I do fully understand how the system works things here are very unpredictable. The current bubble really is pretty scary in my own opinion it can only prove how volatile it is. Tho the fact that we are getting benefits of the moment, we just have to enjoy it

I have heard criticism that Bitcoin is like a ponzi scheme, from many people from the establishment. For any ponzi scheme, you need an operator who plans to scam. In the case of Bitcoin, it is decentralized and therefore cannot be a ponzi scheme.
Some people argue that since people who invested early are paid by those who are coming now, it should be called a ponzi scheme. But that is true of any bull run or bubble; the early investors make money at the expense of late comers.

This is incorrect. It's not a pyramid scheme it's a decentralised system for value transfer

May be it a huge piramyd but now we can earn and increase our funds.
As for me it does not matter.

I agree and good point mate. I think because the gain is so quick that's why many people seem to think that bitcoin is some sort of pyramiding scam; however, even if you track how it gained value, you would see that it mostly gained it through investment and trades, and through massive support and usage from cryptocurrency believers. Unlike pyramiding, where you get someone's money to be gained by topline members, which is not the case for bitcoin's rise. Also, since it has been there for a decade, more or less, no pyramiding scheme would last that long.

The only thing that must be reported is your posts to your signature campaign manager. You are copy & pasting post content from other posters on this forum and getting paid for it.

See below :


OP, back to your thread - Bitcoin is definitely not some Pyramid scheme. A pyramid scheme take money from person A to pay Person B and this is not what is happening in Bitcoin. Bitcoin is a currency and commodity that are traded and used by people on a daily basis and many secondary businesses are built around this technology.

      Bitcoin is not a financial pyramid because you earn it by yourself,you can invest by your own risk,you dont need to full some people to push you up just to get bitcoin. Bitcoin is freedom for every one who want to earn extra income.

Yes bitcoin have made many changes in the financial system like we called this the financial pyramid. Now can measure the dollar amount and other currencies with bitcoin So the pyramid is bitcoin and the history of this currency have shown the fast growth in the present time. So we can say that the bitcoin will change the people preference from fiat to digital money.

I agree. The way it has started and had risen in power and value do not conform with your usual pyramiding scheme. Also, in its decade-long existence, there was no person who had ever claimed that his or her money was scammed from him by an "up-line" member, which is a usual ingredient found in pyramiding scams. Although it employs crowd-funding strategies in its investments, it doesn't follow a pyramid-style business plan  because it's more of a loan-style scheme, where you lend your money to a starting up company, and it uses such money for capital. Also, its rise in value was due to investments.

“Serious investing consists of buying things because the price is attractive relative to intrinsic value,” he continued. “Speculation, on the other hand, occurs when people buy something without any consideration of its underlying value or the appropriateness of its price.”