What Is Cryptocurrency: Everything You Need to Know

Re:What Is Cryptocurrency: Everything You Need to Know by RandomInteger4 on Tuesday November 15, 2016 @01:15AM (#12956015)

Bitcoin is has a supply limit, so that taken together with it's technical features such as a proof of transaction and digital-ness makes it highly valuable in an economy where more and more transactions take place in the digital rather than the physical space.

I'm sure there's a better answer, but that's the best I can muster with my current knowledge on the matter.

I think a better question is "given the rarity of bitcoin, why wouldn't people value it?"

Also, as for the confidence thing, bitcoin is no different than anything else in our economy. Our economy is built on confidence.

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Re:What Is Cryptocurrency: Everything You Need to Know by aethertron on Tuesday November 15, 2016 @04:51AM (#12956821)

>"given the rarity of bitcoin, why wouldn't people value it?" Because rarity in and of itself doesn't confer value. Or every altcoin would be valuable.

>Our economy is built on confidence. Yes, but not only that. Use of fiat currency is made legally compulsory.

Maybe Bitcoin-demanding ransomware plays a useful role in the BTC economy, as it gives people a negative/fear-based reason to obtain BTC.

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Re:What Is Cryptocurrency: Everything You Need to Know by mirimir on Tuesday November 15, 2016 @05:48AM (#12957035)

I suspect that it was just that Bitcoin had a head start.

Regarding drivers for using Bitcoin, consider that 99% of Bitcoin is now traded in CNY.[0] I doubt that ransomware plays a substantial role there.

[0] https://www.bitcoincharts.com/charts/volumepie/

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