Bitcoin Forum

I own several Bitcoins, so I'm a believer & supporter. But this is a very interesting article (link below) on how the U.S. Government can effectively extinguish bitcoin as a legitimate currency... not by trying to step in & regulate it, but by standing back & letting it continue its volatility. As long as it's wildly volatile, nobody will want to use it as a currency... it will simply be a stock investment (and a wild ride of a stock investment at that). Thoughts?

http://www.nakedcapitalism.com/2013/11/wolf-richter-use-bitcoin-as-a-currency-get-wiped-out-the-government-likes-it-that-way.html

I don't understand how the USG not doing anything will harm the 'legitimacy' of the currency. Whether fiat or crypto, currency is only worth what people are prepared to pay or exchange it for. The price is only volatile at the moment as BTC along with all other cryptos are still essentially in their infancy. The rocketing price should hopefully taper-off and steady out at some point in the future and that'll make things a hell of a lot easier for mainstream acceptance, and for those people or businesses who got in early are probably gonna have one big smile on their face - well, or a frown depending if the markets go the opposite haha.

not that argument again

The btc/fiat fx rate volatility is present only during Bitcoin's exponential growth phase. When adoption plateaus (5 or 10 years??) then prices will be very stable, far more so than the current fiat system where they increase all the time, or unexpectedly because of commodites markets and international trade imbalances caused by unreliable fiat currencies.

In a cryptocurrency future prices will decline slowly as the world economy grows and technological improvements to products occur. This is how it should be, because improved living standards for everyone result.

It doesn't matter how many n00bs repeat that illogic, it still won't be correct.

NO NO, the Messiah WILL COME, so long as we just BELIEVE HARD ENOUGH!!!