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  • FIRST POST
    • shelobslair
    • By shelobslair 29th Nov 17, 11:07 PM
    • 1Posts
    • 0Thanks
    shelobslair
    Musings on bitcoin and other cryptos
    • #1
    • 29th Nov 17, 11:07 PM
    Musings on bitcoin and other cryptos 29th Nov 17 at 11:07 PM
    I am trying to understand why people value bitcoin, (and other crypto currencies). Iíve read many articles, some sensible, some not, and there seem to be three key aspects of bitcoin that believers promote;

    1. It is not produced by any central bank, and so is protected from fiscal shenanigans
    2. It uses block chain technology, the main advantages of which seem to be security and lack of physical properties of the currency
    3. There will only ever be 21 million produced.

    Iím not an IT expert, but my understanding is that any electronic data can be attached to a block chain, leading to a full audit trail of that data at any point in time.

    So, what is it that makes a block chain that is attached to one twenty-one-millionth of the total amount of bitcoins so special?

    What if something else unique came along that could be attached to a block chain? Could this new thing replace bitcoin?

    Letís say we took something unique, such as the Mona Lisa. It is currently hanging in the Louvre in Paris, where anyone who wants to can go and see it.

    If the Louvre decided to, could they not place a hypothetical grid of say, 4000 by 5000 small squares over the Mona Lisa, each with itís own unique identifier? We could call each unique square/identifier an MLCoin.

    There would then be 20 million MLCoins in existence. So, slightly rarer than bitcoin.

    If each of those MLCoins were attached to a block chain, could they not then be traded in exactly the same way as bitcoin currently is?

    Would there be any reason why MLCoins would not be just as valuable, or more valuable than bitcoin in the future? After all, each MLCoin would actually represent a physical object, and the whole system would be backed by the Mona Lisa.

    The key benefits would then be;
    1. As there will never be another Mona Lisa, there is little room for financial shenanigans.
    2. MLCoins will be transacted using block chain technology
    3. There would only ever be 20 million MLCoins in existence
    4. Any owner could let everyone know that they owned a bit of the Mona Lisa. Thatís got to be more attractive than owning a bitcoin.

    Would this work?

    (Obviously, it doesnít have to be the Mona Lisa. Any unique artwork could do.)
Page 2
    • Billco
    • By Billco 30th Nov 17, 11:08 PM
    • 43 Posts
    • 12 Thanks
    Billco
    I am 100% sure conversations just like this took place some 8 years ago, when Bitcoin was what, .00001 USD or something?

    The people that threw 100 bucks at a throwaway gamble back then would be millionaires today.

    Personally with all the scandal of governments and politics and banking systems I quite like the idea of getting away from them so i've taken a gamble.

    Same way that (and shoot me if I open another can of worms here), but I voted to leave the EU. Yeah its a gamble. Yeah its probably gonna cost me in the short term. But I took the risk because I believe the ends justifies the means.
    • puk999
    • By puk999 30th Nov 17, 11:40 PM
    • 499 Posts
    • 447 Thanks
    puk999
    When it's spring again
    I'll bring again
    tulips from Amsterdam
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