What do you think about the idea of pegging bitcoin to $10,000?

[nutildah]

How would you peg the price of 1 BTC to $10,000?

I don't really know, but Satoshi-size wallets could fuel trading activity to balance the price at $10k, selling to keep it from rising and buying to keep it from sinking. They could also buy and sell BTC @ a flat $10k through their own exchange.

What are the pros of this?

 - Easy-to-remember conversion rate into dollars
 - Bitcoin can finally be used as a currency
 - Transaction fees are manageable
 - Stability makes network adoption easier to plan for

What are the cons of this?

 - Its pretty much an impossibility
 - Price can't move with intrinsic value (which I think will go down as the blockchain increases in sizes and becomes more outdated)
 - A depression or mass exodus could wipe out reserve money to keep BTC balanced
 - Its communism because the factor of supply vs. demand is being ignored

The fact is, unlike before, I don't want to be paid in cryptocurrency until is either more stable or cheaper to use, and at this point its not either of those things. I know Tether is having its own problems right now. And it was fun to see DGD move up as it became a perceived "safe haven" token, even though its not really. BTC could lead the charge by being pegged to a stationary value, even though I know this goes against some of its principles.

That's the end of my story.

[StochasticOrder]

It would help with the use of BTC as a true currency since as it stands it's extremely hard for it to act as one. A currency has to have a relatively stable value, no one wants to pay with something that could be worth 3X the value in a week and no one wants to accept payment that could be worth 1/3 the value in a week. However, it would take out the volatility aspect which would eliminate the interest of investors in BTC. As it stands now, BTC is essentially an investment and something to trade as opposed to a real currency. Pegging it to $10,000 would still be difficult and likely destroy it's value because there's nothing to actually give BTC value besides saying "it's worth $10,000 now". There would have to be some intrinsic reason to make it worth that dollar amount.

[TheySeeMeHodlingTheyHatin]

completely non sense !

seriously...

[LFC_Bitcoin]

You’re a Legendary member? Where’s the DeMerit button?

Seriously fucking terrible idea.

[chukaday]

I don't understand why you need to forgo getting paid in cryptocurrencies. It is highly volatile but you know merchants they change it upon getting it right away which means you have essentially no volatility perhaps a few minutes worth but that is negligible! I think you should re consider that stance because it makes no difference either way. $1 is $1.

[Simple_Man]

It's a terrible idea and will be the final nail of the coffin. If it's pegged at 10,000, the entire group of speculators will leave bitcoin trading and start using a different currency. If these group of investors leave the market, the market cap of bitcoin will immediately come down to half pushing the price down to the lowest possible level.

We need to understand bitcoin is not structurally fit for becoming a stable currency. It is a heaven for speculators and will remain great that way. If we want to change its functionality and basic character, we will end up destroying it.

[ralle14]

I agree with the guys above me this is not a good suggestion. If bitcoin would be pegged to a specific price point it should be at that price from the very start and not just now because that would be unfair to those who bought at buy at a higher price. Also if that happens there's no point in holding anymore people could move to a different coin.

[joeydangerous]

I agree with the guys above me this is not a good suggestion. If bitcoin would be pegged to a specific price point it should be at that price from the very start and not just now because that would be unfair to those who bought at buy at a higher price. Also if that happens there's no point in holding anymore people could move to a different coin.

I don't suggest that method of pegging the coin to $10,000. It reminds me of Onecoin, look at how that is going.

[Jetakenare]

The price is secondary! The technology is the main factor here and it is unique. Rather than fixing price, more education and awareness need to be done. Once more people get in board, the price would sort itself.

[3yed]

You’re a Legendary member? Where’s the DeMerit button?

Seriously fucking terrible idea.

Hahah, I had a good laugh.

Seriously, good question mate.

Even thinking logically, knowing little about economics must think was a troll post?

Why USD and not another FIAT? Why arbitrarily $10,000? Why try and control something not meant to be controlled by nature of design?

Why not let free markets do their thing, (with slight regulation to keep fraudulent activity minimum), why tie it to anything like that when it's its own thing, ergo, it's correlated to USD volatility, but no direct link or causal relationship.

When tied to any FIAT, it will act with their volatility, ie. America goes to war with NK, what happens to their dollar?

Again, why 10k? Just why... so you can feel more confident and think this should be less volatile? IT'S VOLATILE BY DESIGN, trying to control this would be a silly waste of resources, as it's still, at the end of the day, a speculative asset, not a currency.   

[Dapper]

Everyone has their own interests in mind.    All of the folks who bought above 10k will whine perhaps lose slight control over their bodily functions.

If you just added 3-4 zeros to that, the same folks would say it was the greatest idea ever spoken.   

[nutildah]

Everyone forgets that if the price goes high that means higher transaction fees and bitcoin becomes less intrinsically valuable.

So, that's why I picked $10k. Transaction fees are kind of high at that price but not crazy high. Its a good round value. Makes it easy to convert.

OK so everyone's on board now I take it.

[Hatcher]

What are the cons of this?

 - Its pretty much an impossibility

Pegs can never be guaranteed. Even something like the USDT to $1 peg can be destroyed if people feel like it's not worth a dollar. If people feel like they're getting a good deal selling bitcoin at $10k, they will consistently do that, and there won't be enough buyers to maintain that peg. Yes, your satoshi-sized whales will run out of money, or simply feel like "it's not worth it anymore", reminiscent to how you see buy/sell walls getting eaten or removed in the crypto markets today.