Re:Steam is no longer supporting Bitcoin
by tomkarlo on Thursday December 07, 2017 @03:05PM
(#15873557)
Because there's fundamental value behind most traditional securities, even if it's well below the current market price. If you hold a bond, it will (usually) pay interest and principal. Equities carry the value of the cash holding of the company, plus the potential for future dividends. These cash flows act as an anchor on the value of those securities (in both directions, up and down.)
Re:Steam is no longer supporting Bitcoin
by speedplane on Thursday December 07, 2017 @06:26AM
(#15869179)
Couldn't you say the same about penny stocks? And won't this problem go away as BTC gets more popular?
Re:Steam is no longer supporting Bitcoin
by ForHackernews on Thursday December 07, 2017 @08:03AM
(#15869618)
> Couldn't you say the same about penny stocks?
Sure, but there are also laws and regulations that limit what you can do with stocks on a real exchange: https://en.wikipedia.org/wiki/Microcap_stock_fraud
> won't this problem go away as BTC gets more popular?
Maybe. It would have to get a lot more popular, and a lot more legitimate and regulated. At that point, it's lost all the cyberpunk appeal, and it's just another speculative asset.
According to some blockchain site[0] the average transaction volume for BTC is something like $2.25m USD equivalent
For comparison, on an average day, SPY[1], which is just one security (albeit a popular one) trades something around $17,160m (e.g. $17.16b).
[0] https://blockchain.info/charts/estimated-transaction-volume-...
[1] https://finance.yahoo.com/quote/SPY