Circulated or Hoarded?

[AndyPhillips]

Do you think BitCoins are being spent or are the vast majority of them being hoarded?

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[Kazu]

Circulated: http://blockchain.info/block-index/370308/0000000000000081b882c83bb48d18332f83c3676b1cff34c9b1339ccf4a99fb

If I recall there was one yesterday almost 7 times that size.

[fredtrader]

The amount of bitcoin circulated has always been a very small proportion of the total bitcoin in existence. I think it is a combination of people hoarding and bitcoin being lost through people that either lose their wallets or just deleted them due to being of low value (imagine if you used bitcoin for a single transaction and have 0.001 left and can't use it for anything).

[Gator-hex]

Hoarded.  

Who in their right mind spends money that will buy more tomorrow than it does today.

With the exception of spending it on a money printing machine.

Poor velocity always kills hard money systems in the end.

[Lethn]

This argument has been going on for months and I doubt it will end any time soon.

[Kazu]

Who in their right mind spends money that will buy more tomorrow than it does today.

Because people want stuff today, not tomorrow?

Have you ever bought a piece of technology, like, ever?

[Lethn]

Not to mention there's places like Bitspend now.

[yolo2222]

at least 80 % are being spend everyday...


only the rest are being hoarded. Do some research please.

[Stephen Gornick]

Do you think BitCoins are being spent or are the vast majority of them being hoarded?

Neither.  Most are purchased and saved.   They are being saved to pay for future consumption.   Or as a simply speculative buy.

That is not hoarding.  

That also isn't necessarily a problem.

If bitcoins were not divisible, and there were only 11 million that could exist, then you'ld have a problem.

But instead of paying 1.0 BTC for a quick meal I now pay 0.1 BTC for it, the higher valuation doesn't limit me from being able to use them for my spending.

Because I can acquire more coins easily (with a bank transfer, sent to an exchange, for the cost of $0.25 per transaction using Dwolla, then 0.6% at my exchange) I'm not worried about using my coins for my spending.

But volatility is not good for a currency, so where a problem is introduced is when the exchange rate stops rising and those speculating on bitcoins start to dump.  Each sell puts downward pressure on the exchange rate which incents others to sell.

So that's why bitcoins need to circulate as part of commerce using the coins as a currency rather than just seeing Bitcoin used as a trading vehicle for speculators.

[yvv]

at least 80 % are being spend everyday...

Proof, please?

[Kazu]

If I had a ton of money, I'd just pick some value (like $100.01 USD) and just buy as many bitcoins as I can at that price during a "crash." Not only would I get a ton of bitcoins slightly cheaper than they are currently, but I'd also potentially cause price stability (if I had enough money) causing bitcoins to be more trusted, thus potentially more widely accepted in the future, thus more money for me because I just bought a ton of bitcoins at $100.01 USD.

TBH I'm surprised there isn't at least 1 exchanger already doin this.

[Aahzman]

mine are all workin.

[yvv]

Circulated: http://blockchain.info/block-index/370308/0000000000000081b882c83bb48d18332f83c3676b1cff34c9b1339ccf4a99fb

If I recall there was one yesterday almost 7 times that size.

This does not tell you much. Ok, there is a transaction every few seconds, many of which are Satoshi dice, but what are the others is not clear. Are people spending btc to buy something or are they just send newly mined or bought btc to their offline wallets?

[yolo2222]

Are you guys for real?

I bought 2 bitcoins for tryout yesterday, but have been watching this for 2 years now.

Do you guys have anyclue how much money is being used now for services where you can buy amazon stuff f.e.? There website was down the first day!

And guys, my cousin showed me this Silkro ad Website, if you can calculate and look at the amount of feedbacks and stuff you can see that a couple of hundred millions are flying through there everyday. Its insane! But I think its better for our future generation of kids as we minimize drug crime rate! Just think about it for a second. Not only do we have HUGE problems throughout the whole EU because big family clans control the drug trafficking and these guys have no problem with using horrible cutting agents just to maximize their profit. They do not care a single penny about the health of humankind. I am in no way supporting the usage of drugs, especially not for minors but please think about my arguments for a second before you judge.

I love bitcoin and cant wait until i can pay at the airport and supermarket with my mobile phone. not having to carry around a wallet with my credit card!