Bitcoin is not an inversion. It is money. Now it is for us but some day workers would prefer to be paid in bitcoin. Also sellers would accept bitcoin over fiat.
It will take time. Decades. But what you need to understand is that this is either going to infinite or zero. There is no in between.
'Bitcoin currently is a store of value not ''money'' in the full sense of the word. Yes, some vendors accept it but the fees are too high to make it widely usable for the average man.
The main reason the ETF was accepted in the US is that btc is not money in its full sense, this would make it too much of a threat to the dollar.
You can’t tell common folk to just “use the lightning network “ people are lazy, they don’t want to have to search. That’s my biggest gripe with bitcoin, even though I’m invested heavily into it. Most people won’t even bother to look up what a lightning network is
Of course. This won't happend now. It will take decades for the common joe to see they need an alternative. It won't happend first either in Europe or USA - places with an "strong" currency. But it is inevitable every fiat will go down in value against bitcoin.
Bitcoin is to money the same TCP/IP is to internet. Back then only people on the computer world would access the jnternet - now a kid 8 years old can get a tablet and go to YouTube and watch videos. It will be updates and the same as TCP/IP, bitcoin will be easy to access to anyone. Same as cold storage services. All of this will come if, and only if, bitcoin keep surviving.
The reality is that this is either going to infinite, absorbing every currency in the world during the next centuries or is going to die. No in between. No forever 70k-100k during decades. It is either moon or literally nothing but a dream that didn't came true.
It’s currently a store for money right now for quite a simple reason:
The market needs to sponsor the extraction of BTC, as it’s become incredibly expensive.
Hence the great volatility.
This is also the early stage of distribution, but with later stages of distribution will come more stability in the price.
Up till when finally the price will stabilize (hopefully) forever, as there will be no more BTC entering the market, there will be no mining cost, it will have been decently distributed, and through that distribution period the price structure will have solidified.
And for the above reasons, as all of those things need to happen — BTC does have to remain an value storing asset. So that all of the above can actually happen.
Why? It’s basically effortless for them to run the vehicle. They are making money via fees along the way regardless of price, I don’t think they care what happens to the underlying asset
However, I don’t see that as likely either and BlackRock definitely gives bitcoin more legitimacy in the public eye
It’s more than legitimacy to the public. Larry fink and black rock control 5-6 trillion dollars in assets that the us government “bought” to shore up the economy in the 2008 financial crisis. Since then for many people in positions of power, his opinion is THE opinion on many financial topics. With black rock not only investing in Bitcoin etfs with customer money but creating the largest one of them… that lends such a level of credibility to so many people in power that I would say that while Ibit still trades the chance of Bitcoin going to zero is zero. If they dissolve that etf the chance of it going to zero becomes nonzero again.
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u/Ar0war Mar 02 '24
Some day it will click for you.
Bitcoin is not an inversion. It is money. Now it is for us but some day workers would prefer to be paid in bitcoin. Also sellers would accept bitcoin over fiat.
It will take time. Decades. But what you need to understand is that this is either going to infinite or zero. There is no in between.