Bitcoin - a financial pyramid: true or myth?

[SoulBSL]

Clearly Bitcoin not a financial pyramid in any way.
It was the first crypto and now it's cost so much because people believe in it and use it + capitalization of BTC is still bigger than any other crypto. Due to the limited quantity (21 million) price become higher every year.
When it became popular and widely accepted as a regular payment method, it will gain more people who will have an impact on the market price(as it was before the January).

Financial pyramids based on extra income/greed and manipulations with the help of new users and their donations.

Bitcoin market price is manipulated buy bears and bulls, which have nothing in common with financial pyramid.

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[anjho.ace]

Those who said that before are now hitting their head to the table.
there were so many fuds years ago with bitcoin.
can you still remember the 10,000 BTC for 2 box of pizza?
if that guys hold his bitcoin, he is having a good life now.

[Holucoin10]

Cryptocurrencies are important and valuable. Distributed blockchain technology, as pioneered by bitcoin, is important. The future of money really is cryptocurrencies, possibly led by bitcoin.

It’s clear that the most significant reason, by far, for the massively increasing demand for bitcoin is that people want to own it because they think that it will go up in price. They think it will go up in price because increasing numbers of people are going to want to buy it. The reason that they think that more people will want to buy it is that those people are going to believe that it will go up in price. This is a self-fulfilling prophesy.

This is also a demonstration of the standard operation of a bubble. It looks like a Ponzi scheme or a pyramid scheme. If I buy bitcoin today, it will be more valuable tomorrow because others have bought it at a higher price. As an existing “investor,” I am benefitting from others getting in. Meanwhile, what I’m actually owning is a bitcoin. Don’t get me wrong, bitcoin is valuable, but it’s not worth $10,000 per coin, or even $1,000 per coin. It’s a currency. It’s not Amazon or Apple stock.

If you bought Apple or Amazon stock early on, then you bought something that had a massive hidden future value, and as that value was revealed, you benefitted by investing in it very early, before the value was apparent. Apple and Amazon are companies which generate revenue and profits, and a share in these companies represents ownership in something that is growing.

[carlfebz2]

Bitcoin is not a pyramid.But nowadays,so many people do  scam things using bitcoin. Those are the killers of Bitcoin future 

Bitcoin is one of the most stronger crypto currency of the world and it has a very bright future, I do not think that anyone can affect the bitcoin future, bitcoin future will remain as bright and will see more success to bitcoin.

Welcome to the forum first., I expect you guys should support the bitcoin and then only we could find the good bump in the price chart. Even volume and value also defnes in that criteria only dude. I see the people with altcoins most of the time. But any long term investor is there means they will go with bitcoin only.

As soon as possible we will find the bitcoin is being used on banks and elsewhere then non cryptos will also turn back to BTC.

Bitcoin and banks wont really collaborate even if we do go into the future when bitcoin adoption is already high but it wont really still come to a point that they would merge up due to nature of crypto and the policies on most banks. Its fully contrary to each other but when we do talk about Bitcoin potential then theres no doubt that it can sustain for longer years as long the strong support of people or community would be there.
We have known already its capability of its tech inspite on having lots of option or coins in the market and still nothing can beat this one.

[KimJonnan]

At present, this is a very esoteric question. No one can know. I think that whether Bitcoin can become a myth needs to see its consensus. If the consensus becomes stronger, Bitcoin will become very powerful.

[thresher]

The pyramidying is refer to earn so here in crypto we buy and sell then rely in ICO in other way of investment so it's not true OP another thing the transaction here have fees and fast so you need to add that positive about digital currency then nothing gonna happen if you think negative so better to accept everything here and focus on your business so always move forward

Yes that is right, most of the people in my area were also thinking so, but now I can see that most of the people have started taking interest in bitcoin. I think that interest of the people in bitcoin will continue to increase, in modern countries people have already started using bitcoin for so may purposes.

[richminded]

Those who said that before are now hitting their head to the table.
there were so many fuds years ago with bitcoin.
can you still remember the 10,000 BTC for 2 box of pizza?
if that guys hold his bitcoin, he is having a good life now.

We have a negative thoughts about bitcoin, let’s admit it but when bitcoin hits almost every market the interest with this technology has increased and that is the start people believing on bitcoin. So many FUDS until now but I know people are more educated nowadays. This is not a financial pyramid, look at its true usage and its technology and for sure you will learn a lot.

[Indamuck]

You can call every investment a financial pyramid.  Is Amazon a pyramid? Is Apple a pyramid? You could of bought the stock at the very beginning and 100x your investment.  Any good investment goes up overtime, it doesn't mean your stupid for investing at a higher price if it has a proven record.  The first investors take the highest risk so the should be rewarded the most.

[fibrolit]

A financial pyramid is a raised funds, and the payment of income is due to early cash investments. Crypto currency does not have a guaranteed income, since it does not consist of the funds that investors invested in it at an earlier stage.

bitcoin is not a pyramid scheme:
1. No guaranteed income.
2. The absence of a single center that produces this cryptocurrency.

[reflector]

A financial pyramid is a raised funds, and the payment of income is due to early cash investments. Crypto currency does not have a guaranteed income, since it does not consist of the funds that investors invested in it at an earlier stage.

bitcoin is not a pyramid scheme:
1. No guaranteed income.
2. The absence of a single center that produces this cryptocurrency.

Please do not look around the bitcoin in the short money making scheme because non of the investment will give a return in double the fund in some months or weeks. So I believe bitcoin will be work more than finance pyramid.
Hence the marketplace growth of the bitcoin will increase the value and demand with in some months and already today bitcoin seems growing in the marketplace last 24 hours.

[marine4u]

Those who said that before are now hitting their head to the table.
there were so many fuds years ago with bitcoin.
can you still remember the 10,000 BTC for 2 box of pizza?
if that guys hold his bitcoin, he is having a good life now.

We have a negative thoughts about bitcoin, let’s admit it but when bitcoin hits almost every market the interest with this technology has increased and that is the start people believing on bitcoin. So many FUDS until now but I know people are more educated nowadays. This is not a financial pyramid, look at its true usage and its technology and for sure you will learn a lot.

I believe Bitcoin in the future can change the way people use the money to pay and it will be the common currency of the world. With great advantages over traditional currencies, I fully trust Bitcoin's bright future and cryptocurrency. Determine long-term investment if you want to go along with this market.

[KennyR]

In several cases bitcoin is related with pyramid schemes that were successful as well has got scammed in majority of the cases. With bitcoin it is not the truth, how we make use of it will define its growth. Nowadays it has got turned to be similar to the physical currency that we use, as usage keeps increasing the circulation will be massive and the same will cause the price pumping which at times gets affected by negative effects due to regulations and unexpected technical errors and hacks.

[rickadone]

Well, considering the fact that you only make profit when others are investing and make loss when people starts to withdraw, maybe you can call it a pyramid, but I wouldn’t call it that. No matter what you call it, the only thing that matters here is whether there is something that you’re earning. Unlike other systems or whatever they are, Bitcoin is very transparent and there is nothing hidden. You can make profit, same as there can also be some losses if your not lucky.

Lets consider the level-100th buyer of bitcoins like pyramid system. He will buy bitcoins for some $100 and then he may use it for some online shopping or maybe spending in physical shop also for same $100 (considering when 100th level buyer must be living by the year 2050 and bitcoin is considered to have less volatile similar to gold now). What is the losses to him or how we call bitcoin as a ponzi or pyramid system ?

If you observe, real-estate properties also gaining its value in the way how bitcoin is gaining now. A real-estate business is a  pyramid system ?

[Samarkand]

...
If you observe, real-estate properties also gaining its value in the way how bitcoin is gaining now. A real-estate business is a  pyramid system ?

You picked an unfortunate example  

Of course the real estate market is comparable to a pyramid scheme in most countries in the world.
Interest rates are low and therefore the amount of activity on the market goes through the
roof (new buildings, people buy homes that they can´t really afford, banks give credit
to non-solvent buyers).

In order to prevent a collapse of the real estate market a continuous influx
of new buyers is needed. If the amount of new participants in the
real estate scam market is insufficient, the whole system collapses
and people lose a fortune (their own home or own flat is often
a very big part of their net worth).

I´d even argue that the real estate market needs new participants even more
than Bitcoin.

[jvdp]

In several cases bitcoin is related with pyramid schemes that were successful as well has got scammed in majority of the cases. With bitcoin it is not the truth, how we make use of it will define its growth. Nowadays it has got turned to be similar to the physical currency that we use, as usage keeps increasing the circulation will be massive and the same will cause the price pumping which at times gets affected by negative effects due to regulations and unexpected technical errors and hacks.

Successful project is mostly brings with the great launch and the marketplace value of tokens also go bigger in the market. I see your view about the ICO projects is not correct then financial pyramid at all. Here finance is the matter for every investment.
Then most of the altcoins in the market also not settled in the market so we have to wait for some months to understand which coin is the financial pyramid at all.

[FreeOxen]

It could be argued that a lot of financial investments do act like a pyramid of sorts. Often the first one in is the one who gets the most benefit. The demand after the first person to buy then drives up the demand for the other people.
Often the pyramid schemes require new people to come into the scheme to provide more cash for the people on the top etc. Often until the whole thing comes toppling down.
Ultimately I hope that Bitcoin maintains its value long into the future and does not collapse.

[bohr]

If bitcoin was ponzi scheme as it has been accused of being many times in the past then it should have already collapse since it is very difficult to keep up the charade for so long, bitcoin is a legitimate investment but like in any investment there are no guarantees that you are going to make any money and those that lose begin to make all kind of claims without any evidence to support them.

[MilkyMilton]

I think it is this kind of opinions that create bad publicity for Bitcoin. It is just not justifiable. How can cryptocurrencies be referred to as a financial pyramid? It just doesn't make sense. The basic principle behind pyramids is the introduction of new investors. And this is not so with cryptocurrency. Once you know what you are doing, one wouldn't make such remarks. If it were a financial pyramid, it won't have lasted this long.

[supermine]

You can call every investment a financial pyramid.  Is Amazon a pyramid? Is Apple a pyramid? You could of bought the stock at the very beginning and 100x your investment.  Any good investment goes up overtime, it doesn't mean your stupid for investing at a higher price if it has a proven record.  The first investors take the highest risk so the should be rewarded the most.

High risk takers will get more rewards,but investing on crypto currencies are always risky and if we can hold longer we can get more profits but it is different from stocks where the prices can be predictable but here,nothing for sure even the prices bumped when the stocks fell,so crypto currencies doesn't depends like stocks but in future all the things will affect the bitcoin prices when it adopted by more people.

[zcooipo]

Bitcoin itself is not a pyramid. There is no debate about this issue, and the biggest controversy is the bubble effect of Bitcoin and other cryptocurrencies!