Bitcoin Forum
June 15, 2024, 05:11:43 PM *
News: Voting for pizza day contest
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Bank Of America Valued Bitcoin at $1300  (Read 524 times)
SCalkins (OP)
Newbie
*
Offline Offline

Activity: 2
Merit: 0


View Profile
December 06, 2013, 01:05:26 AM
 #1

I'm new to the forums however, I've been a long time bitcoin miner. Since I have to post here, I will share something I came across today.

This was an article on Forbes, about BTC and thought it was interesting.

Headline was "Bitcoin Valued At $1300 By Bank of America Analysts"

Specifically, the analogy they use to explain how bitcoin works. (Not 100% accurate but, does a fine job if you were trying to explain it to a family member, co-worker etc).


Quote
As a rough analogy, suppose competing journalists (miners) are asked to document the national news on each given day for the National Archives. The journalist is asked to write down the events (transactions) in a book (block) and the Archive will eventually buy one such book for a fixed fee. To determine which of the books the Archive will buy the archive has an additional requirement for journalists that the book contains the fingerprints of 10 people whose birthday was on that particular day. Note that the list of people isn’t related to the national news (transactions) but is simply meant to control the supply of books coming out per day. As more journalists collaborate to find people, the Archive increases the number of fingerprints required.


Source:
http://www.forbes.com/sites/kashmirhill/2013/12/05/bank-of-america-analysts-say-bitcoins-value-is-1300/



Oh! And BTW Let me out of this newbie status. Actually, this is the second time posting here.
hermann1983
Full Member
***
Offline Offline

Activity: 120
Merit: 100


View Profile
December 06, 2013, 01:14:51 AM
 #2

Cool, they just looked at what price the BTC is traded at exchanges now.  Smiley

just kidding
harvestcorn
Newbie
*
Offline Offline

Activity: 5
Merit: 0


View Profile
December 06, 2013, 01:16:14 AM
 #3

made up number
xSerendipity
Newbie
*
Offline Offline

Activity: 27
Merit: 0


View Profile
December 06, 2013, 01:23:58 AM
 #4

What does the 'birthday' represent in this analogy?
PeercoinGiveaway
Newbie
*
Offline Offline

Activity: 8
Merit: 0


View Profile
December 06, 2013, 01:58:43 AM
 #5

made up number

I think they pulled the number out of the air too. Probably trying to stunt the rise of Bitcoin by putting some "Max" value associated with it.
Pages: [1]
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!