The maximum possible value of Bitcoins compared to fiat

[tacotime]

About 5.5 billion troy ounces of gold exist right now in purified form on planet Earth.  At $1,200 USD per oz, that's $6.6 trillion USD as a market capitalisation.

If you split the same market capitalization among Bitcoin, the price of a single Bitcoin would be $314,286 USD.

That's a lot of room left to grow yet for gold market capitalization parity.

What do you think the maximum price or market cap will be for Bitcoin, and why?

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[wobber]

I think we're doing it wrong. I think there will be a time when paper won't be able to buy bitcoin, thus making Bitcoin a global currency. And if we have a global currency, I bet we'll have a global government.

And, what if, what if, this global goverment would endorse bitcoin in such way buying or selling is permitted only with bitcoins?

[ElectricMucus]

I think we're doing it wrong. I think there will be a time when paper won't be able to buy bitcoin, thus making Bitcoin a global currency. And if we have a global currency, I bet we'll have a global government.

And, what if, what if, this global goverment would endorse bitcoin in such way buying or selling is permitted only with bitcoins?

lol cash out already

[aminorex]

There is no maximum possible value because the value is described by the quantity theory: PQ=MV.  Since PQ have no maximum value, i.e. economic growth has no fundamental upper bound, neither does MV.  In practice, the economy is limited by energy supply, but it is always theoretically possible to increase the energy supply through changes in technology.

[accord01]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

[Dragonkiller]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

Less than 150,000 Americans own more than one Bitcoin. Not much more room for growth... 

[zoinky]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

[ElectricMucus]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

It's basically the same thing.

[shmadz]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

It's basically the same thing.

"The same thing?" yeah right.  Hearing about bitcoin and knowing about bitcoin are definitely NOT the same thing. This reminds me of some guy who looked over my shoulder while I was standing in line showing my buddy some charts on my phone. Here's how the conversation went down:

- Random guy  "oh, you do TA?"
- Me               "Not really, I just kinda watch the price."
- My buddy       "yeah, he makes bitcoins!"
- Random guy    "oh yeah? I heard about that, what's the price at?"
- Me                "Thousand bucks"
- Random guy  <blood draining from his face> "... and how much you make per day?"
- Me               "Only one or two"
- Random guy   "..."

at the end of that, the look in his face, I will never forget. I seriously thought he was gonna stab me and try to steal my bitcoins. Lesson learned, I don't mention bitcoin in public anymore.

[silverbox]

Total world money supply is ~70 Trillion 2013 USD.   21 million BTC.

70,000,000,000,000  divided by 21,000,000  = 3.33 Million USD per coin.

Max value of BTC is 3.3 million USD each.  If it were to entirely replace all fiat on the planet..

[Ibian]

Total world money supply is ~70 Trillion 2013 USD.   21 million BTC.

70,000,000,000,000  divided by 21,000,000  = 3.33 Million USD per coin.

Max value of BTC is 3.3 million USD each.  If it were to entirely replace all fiat on the planet..

Yes and no. If bitcoin is on the whole more useful than fiat, then it could be worth even more. But global bitcoin domination won't happen any time soon if ever. I'm much more comfortable settling for a 100k max for now. I realize the potential is much, much higher going purely by its usefulness compared to alternatives, but there will be resistance along the way. Powerful resistance which we haven't begun to see yet.

[ElectricMucus]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

It's basically the same thing.

"The same thing?" yeah right.  Hearing about bitcoin and knowing about bitcoin are definitely NOT the same thing. This reminds me of some guy who looked over my shoulder while I was standing in line showing my buddy some charts on my phone. Here's how the conversation went down:

- Random guy  "oh, you do TA?"
- Me               "Not really, I just kinda watch the price."
- My buddy       "yeah, he makes bitcoins!"
- Random guy    "oh yeah? I heard about that, what's the price at?"
- Me                "Thousand bucks"
- Random guy  <blood draining from his face> "... and how much you make per day?"
- Me               "Only one or two"
- Random guy   "..."

at the end of that, the look in his face, I will never forget. I seriously thought he was gonna stab me and try to steal my bitcoins. Lesson learned, I don't mention bitcoin in public anymore.

shitthatneverhappend.txt

[shmadz]

shitthatneverhappend.txt

whateverdude.getfucked

[Lloydie]

I think we're doing it wrong. I think there will be a time when paper won't be able to buy bitcoin, thus making Bitcoin a global currency. And if we have a global currency, I bet we'll have a global government.

And, what if, what if, this global goverment would endorse bitcoin in such way buying or selling is permitted only with bitcoins?

Yes, yes - mark of the beast argument.  LOL.  I did think about this too.

Before that happens, I think I'll be switching to Zerocoins. Money laundering will be going nuts.

I guess all the more reason for Governments to intervene and try to shutdown a truly anonymous cryptocurrency.

Everyone in the future world will only have two personas: Public and Secret.  Why? Because Private won't be private anymore.

[porcupine87]

Total world money supply is ~70 Trillion 2013 USD.   21 million BTC.

70,000,000,000,000  divided by 21,000,000  = 3.33 Million USD per coin.

Max value of BTC is 3.3 million USD each.  If it were to entirely replace all fiat on the planet..

Yes and no. If bitcoin is on the whole more useful than fiat, then it could be worth even more. But global bitcoin domination won't happen any time soon if ever. I'm much more comfortable settling for a 100k max for now. I realize the potential is much, much higher going purely by its usefulness compared to alternatives, but there will be resistance along the way. Powerful resistance which we haven't begun to see yet.

Source of 70 trillion world wide? I know that the worlds GDP is near that number and the monetary base is much lower. The USD has a monetary base at maybe 3-4 trillion. The Euro has 2 billions.

[windjc]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

It's basically the same thing.

Electric,

How does it feel to be so obtuse as to have sold all your coins dirt cheap and now know that you could have been a millionaire but instead are a pitiful troll on a bitcoin forum?

Sting much? Or do you just tell yourself that since bitcoin has to sell out to prosper that you were better than that all along?

Bwahahahahahahahahahaa.

[JimboToronto]

shitthatneverhappend.txt

whateverdude.getfucked

Shmadz wins.

[Peter R]

there's not much more room for bitcoin to go.  Next level is regulation and mainstream (which defeats the purpose of its existence anyway), which is a huge step forward.  40% of americans already know what it is.  Ask someone on the street if they think bitcoin is a big deal.  Answer is NO.

So the dilemna with bitcoin is that for its price to skyrocket it has to abandon its roots.  Basically, bitcoin is kind of like a joke right now.

40% of Americans know what it is, or they have heard of it?  These are very different statements.

It's basically the same thing.

"The same thing?" yeah right.  Hearing about bitcoin and knowing about bitcoin are definitely NOT the same thing. This reminds me of some guy who looked over my shoulder while I was standing in line showing my buddy some charts on my phone. Here's how the conversation went down:

- Random guy  "oh, you do TA?"
- Me               "Not really, I just kinda watch the price."
- My buddy       "yeah, he makes bitcoins!"
- Random guy    "oh yeah? I heard about that, what's the price at?"
- Me                "Thousand bucks"
- Random guy  <blood draining from his face> "... and how much you make per day?"
- Me               "Only one or two"
- Random guy   "..."

at the end of that, the look in his face, I will never forget. I seriously thought he was gonna stab me and try to steal my bitcoins. Lesson learned, I don't mention bitcoin in public anymore.

Funny story! 

I have a similar one.  Bitcoin came up in a conversation with a young twenty-something guy at my local gym.  He's got a bit of a stock trader / young-tycoon personality.  He mentioned that he started looking seriously into bitcoin in the summer because he thought he could trade it profitably.  He then casually asked what the price is now. 

I said "about $1,000" (the price at this time in November).

You should have seen the look on his face!  I swear I heard the "bu...bump" his heart made when his brain processed the math. 


And EM: there is a world of difference between hearing about bitcoin and knowing about bitcoin.  I heard about bitcoin in 2009; I wish I knew about it a lot sooner. 

[TERA]

Would you guys stop it with the world domination gdp pipe dream.

[techgeak300]

The moon.   
I was thinking total USD/21million but that thinking is wrong.
Your thought on total amount of gold is also wrong because bitcoin is more
than just a commodity.  Bitcoin allows for so much more then gold.  I am going to say
BTC will easily have a total market cap more than gold+silver.