So i have recently come across the concept of bitcoins and i am intrigued. First i dont understand how they work so if someone could explain it in simpiler terms than in blocks and gpus i would appreciate it. Also how safe are bitcoins or long lasting do you think this movement will last?
Bitcoins!
- Thread starter coenzyme
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In its simplest terms it's virtual gold. The supply is limited by mining it with computers (Not sure on this part) hence all that GPU stuff, and the value is checked by the supply. They have no intrinsic value, and you trade them as you would paypal money. You get round all the issues with trading using your country's currency with one, non-centralised currency.
Based on the current trend of value per coin I'd say it's a bubble waiting to burst.
Based on the current trend of value per coin I'd say it's a bubble waiting to burst.
Here's the wiki page, there was a thread on the escapist not long ago about bitcoins, if you use the search button you can find them and read through what everyone said. http://en.wikipedia.org/wiki/Bitcoin
Judging by the way the currency is generated it doesn't look sustainable at all, just read the critisms section of the wiki page. They also claim that the number of bitcoins will be limited to 21 million. It will probably be quite lucrative until the system hits a crisis point, and then in an instant the whole thing will crumble, leaving the investors and users with quite a large hole in their wallets.
Judging by the way the currency is generated it doesn't look sustainable at all, just read the critisms section of the wiki page. They also claim that the number of bitcoins will be limited to 21 million. It will probably be quite lucrative until the system hits a crisis point, and then in an instant the whole thing will crumble, leaving the investors and users with quite a large hole in their wallets.