Hey I'm new here, just came to check things out. I've been doing a bit of work with bitcoins over the past few months and things are really good. It seems like the "gold standard" except online. Anyway, great to be here!
Yeah, isn't amazing that BitCoin is actually 'backed' by something (the work to produce each block) but the US$ is "Trust us that it has a value". lol, who trust their government any more? What a quaint idea!
Welcome to the Bitcoin community, HeyRon.
As much as I prefer Bitcoin to USD, please note that your post is not entirely correct. The US$ is backed by the need to pay taxes, which is backed by governmental force. This is the definition of fiat.
Bitcoin, unfortunately, is not currently backed by anything; the work to produce each block does not back it. Digging holes may be a lot of work, but holes are not backed by that work.
Remember that this can change. All national currencies, including USD, have a finite and usually short lifespan, and at the end of it they lose their backing. And, it will only be time preventing someone from backing all the bitcoins, because of their limited amount, simply by agreeing to sell products for a total price above 21000000 BTC.
I'm pretty sure BTC, like gold, is backed by nothing but trust and limitations. The USD is falling because of a lack of trust in the US economy and the lifting of limitations by excess of printing.
Thanks for the welcome btw.
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