Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

Neither gold nor bitcoin are particularly good for the purpose you are suggesting -- that's why gold was replaced with fiat currency. Because fiat currency was better. Bitcoin chasing after gold's position is unfortunate because of course, fiat is better than gold.

The characteristics you need for a medium of exchange are:

- fungibility.

- the ability to hold its value for exactly as long as you need to hold onto it. Any longer than that is a non-goal.

- stability/predictibility.

- the ability to adjust to shocks, and a changing population.

- low cost of transactibility.

Scarcity is a non-goal. Clear ownership is a non-goal except in as much as possession is 9/10th of the law.

Basically none of these apply to gold, and basically none of these apply to bitcoin. That's why nobody uses it as such.



The first use of gold as an exchange was 550 BC.

Our fiat money has been around since the 1970s with staggering blowups

Come back to me on 2500 years and we'll see who has the better track record.


Generally speaking we don't need to wait as long as the previous iteration existed to prove the new generation is successful.

For instance, I think it's fair to say e-mail is a success, even though the first postal system was established under Cryus the Great in 550 BCE in Persia. The first e-mail was sent in 1971. Are you saying we won't be able to declare victory on e-mail until the year 4492?


You are right! So I should invest in emails right? I'm sure emails will get more valuable as time goes on.


A useful currency is not one which increases in value.


Well I hear "bitcoin is TCP/IP" and for some reason people are trying to buy that lol, so can't lose.


Sure. I think people will be sending physical mail to each other longer than using pop3 smtp and imap


Obviously. However, that doesn't mean email isn't trivially an improvement lol. And it certainly doesn't mean we need to wait two thousand years to make that claim. C'mon now, that's patently ridiculous.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: