If you give Bitcoin to a non-bithead for the holidays.....

[slaveforanunnak1]

Be sure to keep a copy of the private key. N00bs are pretty reckless with their keys.
I let them know that I have a copy of their private key until they create a new wallet and move the coins to it.
That way at least i know they cared enough to figure out how to make a new wallet and move funds from a paper wallet to it.

I've had a few of my friends lose the coins I gave them. (we really need to do something about lost coins btw, no?)

[DannyHamilton]

(we really need to do something about lost coins btw, no?)

No.

[slaveforanunnak1]

(we really need to do something about lost coins btw, no?)

No.

talk to me. ease my nerves.

[colinistheman]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

[shawshankinmate37927]

(we really need to do something about lost coins btw, no?)

No.

talk to me. ease my nerves.

You could cry about it.  That usually helps the healing process. 

[slaveforanunnak1]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

How can it make it more "rare" if we can't determine how much of the bitcoins are actually lost? How can you tell if an this address has a lost key or a parked key, in a vault somewhere?
The whole subdivision thing is interesting if it can be pulled off.

[shawshankinmate37927]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

How can it make it more "rare" if we can't determine how much of the bitcoins are actually lost? How can you tell if an this address has a lost key or a parked key, in a vault somewhere?
The whole subdivision thing is interesting if it can be pulled off.

A bitcoin associated with an address with a lost private key will never find it's way to an exchange to be part of the supply of coins that are for sale.

[pawel7777]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

It's a bit more complicated than that.

From the 'functional' point of view it doesn't matter if 99% of bitcoins are lost or destroyed. But if that happened (can't imagine how, but lets assume it did) it would have some impact on the 'economical' side.

First of all, the block reward wouldn't scale down, so the miners would still be getting 25/block which is now much higher % of total bitcoins in circulation. If they continue to sell at the current price, the whole market cap (expressed in $) would shrink.

Even if we ignored the miners, the exchange rate would probably not scale-up as it should. So: value of 1 BTC goes up, but total market cap decreases.

[gjgjg]

bithead... i like it! 

[colinistheman]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

It's a bit more complicated than that.

From the 'functional' point of view it doesn't matter if 99% of bitcoins are lost or destroyed. But if that happened (can't imagine how, but lets assume it did) it would have some impact on the 'economical' side.

First of all, the block reward wouldn't scale down, so the miners would still be getting 25/block which is now much higher % of total bitcoins in circulation. If they continue to sell at the current price, the whole market cap (expressed in $) would shrink.

Even if we ignored the miners, the exchange rate would probably not scale-up as it should. So: value of 1 BTC goes up, but total market cap decreases.

Yes, but we aren't talking about 99% of bitcoins being lost. We are talking about more like 10%, give or take anyone's wild guess.

[bitkilo]

I was thinking of giving someone about $20 in BTC this xmas.
Only problem is i know they will then be calling me to go and help them when they want to spend it. Then if they dont spend the whole $20 in one purchase i will have to explain how they will get change, it will never end.
Good idea to get someone into BTC, if you have the time.

[goose20]

I was thinking of giving someone about $20 in BTC this xmas.
Only problem is i know they will then be calling me to go and help them when they want to spend it. Then if they dont spend the whole $20 in one purchase i will have to explain how they will get change, it will never end.
Good idea to get someone into BTC, if you have the time.

I'm guessing the person means something to you since you are giving them a xmas present.  Therefore they should mean enough that you take whatever time needed to assist them as required.

The more people like you in bitcoin the better bitcoinland will be. We should all hand out btc to at least 5 people we know these holidays.

[s.mouse]

Be sure to keep a copy of the private key. N00bs are pretty reckless with their keys.
I let them know that I have a copy of their private key until they create a new wallet and move the coins to it.
That way at least i know they cared enough to figure out how to make a new wallet and move funds from a paper wallet to it.

I've had a few of my friends lose the coins I gave them. (we really need to do something about lost coins btw, no?)

This is one of my concerns on giving bitcoin as a gift. I don't think most people will be interested or concerned with it's safety even after they've imported the keys so they could still lose it.

[Q7]

(we really need to do something about lost coins btw, no?)

No.

That's true. It really doesn't matter. It just makes bitcoin more rare for everyone else and even more valuable. This, combined with unlimited potential subdivisions of a single bitcoin, and there is no problem. Just don't be the idiot to lose your own money.

How can it make it more "rare" if we can't determine how much of the bitcoins are actually lost? How can you tell if an this address has a lost key or a parked key, in a vault somewhere?
The whole subdivision thing is interesting if it can be pulled off.

What makes the difference is basically the amount of bitcoin available in the open market. As available supply goes down, that is what going to make the price goes up. It doesn't matter whether we need to know or determine how much bitcoin are actually considered lost.