Will digital currencies be bigger or collapse if the music stops?

[Athom]

By: Nick Bilton

This is the story of a $6 million pizza. Two of them, actually.

It begins in 2010 - eons ago, in technology time - in Jacksonville, Fla. A software programmer named Laszlo Hanyecz had, to his happy surprise, persuaded someone to accept 10,000 Bitcoins in exchange for two pizzas from Papa John's. And why not? By Hanyecz's reckoning, the Bitcoins he had been "mining" on his computer were worth about 0.003 cent apiece. He got his two pies for $30 ..

Read more at:
http://economictimes.indiatimes.com/articleshow/27777768.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

[Wilhelm]

What's your definition of "music" ?

Digital currencies cannot be created other than mining. So it will get bigger unless it becomes unusable.

[GeniuSxBoY]

It's called supply and demand.  The supply was huge, the demand was small.

[TERA]

What kind of music is it? Jazz? Country? Hip hop? Heavy Metal? Happy Hardcore?

[Ivanhoe]

I think he means financial meltdown.

[ElectricMucus]

What's your definition of "music" ?

Digital currencies cannot be created other than mining. So it will get bigger unless it becomes unusable.

I think he means financial meltdown.

LOL, you guys are starting to show pavlovian reactions.

[dg2010]

Depends on the reason for financial meltdown and the particular scene set on the world stage as to whether Bitcoin will shrink or grow.

Today? It would most definitely shrink.

In some years time when Bitcoin is established as a usable currency world wide? Where you can buy a plane ticket, land and buy lunch with Bitcoin and then rent a room. (or exchange it for Cash OTC in major cities)

Then I imagine it will react like any other global market, it will shrink if there is major destabilisation force somewhere. like say the U.S financial system collapsing. This will drive the price of Bitcoin up to $100k per coin or more, it's just that $100k won't be worth very much at all.

[WompRat]

Thanks for the link. I didn't know that Laszlo had sold the majority of his Bitcoins for $1.  I thought he would be neck deep in hookers and blow by now.  At least he seems positive about it.