Why Bitcoin Flopped

[freequant]

http://www.forbes.com/sites/andrewcave/2015/01/20/a-failure-of-leadership-or-design-why-google-glass-flopped/

Although the article is about Google Glass, it really is about why revolutionary new products are always commercial failures on their initial release.
If you read it and replace "Google Glass" by "Bitcoin", 98% of what is being said is relevant and explains why Bitcoin isn't really gaining traction 6 years after it was released. It's an interesting mental experiment because, for once, you know that the author doesn't have a bias against Bitcoin.

[Q7]

Like what it says every new innovation takes time to get it right. In other words undergoes the fine-tuning stage to become useful. And finally to be accepted. As in the case if bitcoin even though you could say its already 6 years, I'm sure we are somewhere at certain level, there are still things to be done to improve it, whether in terms of speed and such and later become widely accepted.

[Miz4r]

Bitcoin isn't gaining traction? You must be living in a different world than me. Okay it's not mainstream yet but you can't expect that to happen in 5-6 years. I never would have thought things would have moved this fast after I first got into Bitcoin.

[Asrael999]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

[Kevinrasf]

The Internet itself needed years to get mainstream as well.

[Elwar]

OP:

Re: What is Your Top 5?
January 27, 2015, 11:30:22 AM
   
Ripple
BitShares
NXT
Maidsafe
Ethereum

[olloman]

are you sure bitcoin flopped? Is it a flop going from weird internet money for kids and nerds buying drugs online, exchanged mainly on an exchange that used to be for Magic trading cards, to institutionally and socially recognized currency, regulated in many states and backed by "big" investors, spendable in many places directly, and pretty much everywhere with third party credit cards and such? Were you expecting bitcoin to take over the world in a bunch of years?

These years were useful for becoming socially accepted and gain the interest and money of investors, money which right now is funding projects that in the next 1-2-3 years will make bitcoin accessible for the general public (aka people who want to use a technology without having to know how it works, 99.5% of the world population), and at that point the big boom will occur.

[freequant]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

That's exactly the point of the article.
Google Glass was a flop, but head-up displays will have a great future when the world is ready and the technology is mature enough.
Bitcoin is outdated, but blockchain technology will have a great future when the world is ready and the technology is mature enough.

[Elwar]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

That's exactly the point of the article.
Google Glass was a flop, but head-up displays will have a great future when the world is ready and the technology is mature enough.
Bitcoin is outdated, but blockchain technology will have a great future when the world is ready and the technology is mature enough.

Two words:

Network Effect


</QED>

[freequant]

The Internet itself needed years to get mainstream as well.

Very good analogy.
The Internet is a late iteration of the technology called "packet switching".
Before the Internet as we know it, there was X25 and FrameRelay, pretty much extinct nowadays.
Even the actual first implementation of TCP/IP isn't the one we have today. Back then it called DarpaNet and has long been unplugged.

[freequant]

Two words:
Network Effect

... is typically what didn't happen with Bitcoin.

</QED> <QED/>

ftfy

[Bitcoins101]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

If you look at the technology, you realize that bitcoin is replaceable by a newer cryptocurrency with better technology.

Hence, why the price is slumping - the technology is great, but people can't justify a large market cap for a payment instrument itself that is infinitely replaceable.

[Elwar]

Two words:
Network Effect

... is typically what didn't happen with Bitcoin.

</QED> <QED/>

ftfy

We are reaching the point where it is easier to list the things you cannot buy with bitcoins than things you can buy with bitcoins.

It is a currency, it works as advertised.

</QED>

[monsanto]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

If you look at the technology, you realize that bitcoin is replaceable by a newer cryptocurrency with better technology.

Hence, why the price is slumping - the technology is great, but people can't justify a large market cap for a payment instrument itself that is infinitely replaceable.

Exactly.  Infinitely replaceable and almost infinitely volatile.

[Miz4r]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

If you look at the technology, you realize that bitcoin is replaceable by a newer cryptocurrency with better technology.

Hence, why the price is slumping - the technology is great, but people can't justify a large market cap for a payment instrument itself that is infinitely replaceable.

Exactly.  Infinitely replaceable and almost infinitely volatile.

The infrastructure and social capital behind it is not infinitely replaceable. Why do you think Bitcoin has such a large percentage of the total market cap of all cryptocurrencies? People tend to flock towards one of them, which is often the first mover that has withstood the test of time and has the attention of the most talented developers and the biggest infrastructure surrounding it. It's very hard to replace that, you'd need to make a large part of the Bitcoin community move over to another crypto which is unlikely to happen unless there is a really good reason and incentive to do so.

[Paashaas]

still finding the idea that bitcoin has flopped hilarious.
It's not about the coin , it's about the blockchain - stop looking at the "currency" and think about the technology

If you look at the technology, you realize that bitcoin is replaceable by a newer cryptocurrency with better technology.

Hence, why the price is slumping - the technology is great, but people can't justify a large market cap for a payment instrument itself that is infinitely replaceable.

Lets roll out Bitcoin first ok?

Uhm, this guy needs to reinvent the wheel of crypto again, i dont see that happening in the comming 10 years minimum.

Bitcoin+Blockchain goes hand in hand, a updated Blockchain= improved (crypto) Bitcoin.

You want a new coin due of a price drop?  LOL

[Amph]

flopped? still alive and  kicking, this is just the real bitcoin value, many can't accept it because they lose money, they was thinking that 1k was the price(lol), 250 is a good price if you compare it to the past, and not just at that damn 1200 peak....

[BillyBobZorton]

OP:

Re: What is Your Top 5?
January 27, 2015, 11:30:22 AM
   
Ripple
BitShares
NXT
Maidsafe
Ethereum

Why the long face? Maidsafe is older than Bitcoin and will be an insane game changer.

[RodeoX]

My guess...
Google glass is a silly idea and no one want to wear a silly idea on their face. Bitcoin is the most significant development in payments since at least the credit card. Silly ideas that have some utility need marketing and hand holding. Brilliant ideas that offer utility and require nothing in return can't be stopped. I am shocked at how fast bitcoin is being adopted. A few years ago I thought it would take 10 years before any major company would take them.

[the_sunship]

Sending money around the world in large amounts with little to no fees (and that's only the beginning) is quite different than cyborg glasses which the vast majority find intrusive and cumbersome.