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A comment on A Prediction: Bitcoin Is Doomed to Fail. Parent comment

Re:A Prediction: Bitcoin Is Doomed to Fail by stevewilhelm on Wednesday November 27, 2013 @04:28PM (#6811263)
People value goods and services. They use currency to denote the value of these goods and services.

If enough goods and service providers pegged their BTC/USD exchange rate to one, the initial BTC speculators would take a bath.

But subsequent Bitcoin users would receive the benefit of Bitcoin transaction technology and the benefit of the US government's fiat currency for monetary policy.

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Re:A Prediction: Bitcoin Is Doomed to Fail by GhotiFish on Wednesday November 27, 2013 @04:47PM (#6811370)
In a sense, it's true that the value of a currency is how much you can get for it. The problem is that you can't just peg it at a value, bitcoins supply is limited.

Imagine if every goods and service provider pegged their unit product at $1,000,000USD. The VALUE of the US dollar would drop immensely. What force could actually make them do that though? Because no one's going to pay a million bucks for a big mac, unless they have 4 billion in the bank at least. Something that can't happen to bitcoin.

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