Since it’s currently in vogue, I’d like to announce that I’m launching my own cryptocurrency next week.
Let’s call it “kingcoin”.
No, that’s too useful.
How about “muttcoin”? I always had a mild place for mixed breeds.
Yes, that’s perfect – everyone loves dogs.
This is going to be the biggest thing about fidgeting.
Congratulations! Anyone who reads this will get one muttcoin when my new coin rolls out next week.
I will share a million muttcoins evenly. Feel free to spend them wherever you want (or wherever someone accepts them!).
What is it? The cashier at Target said she wouldn’t accept our mutcoins?
Tell those who suspect that muttcoin has a scarcity value – there will only be a million muttcoins. On top of that, it is backed by the full faith and merit of 8 GB of RAM on my desktop computer.
Also, remind them that ten years ago bitcoin couldn’t even buy you a pack of chewing gum. Now one bitcoin can buy a lifetime stock.
And like bitcoin, you can keep muttcoin safely offline, away from hackers and thieves.
It is basically an exact replica of the properties of bitcoin. Muttcoin has a decentralized book with cryptography that is impossible to break and all transactions are immutable.
Still not convinced that our muttcoins will be worth billions in the future?
Well, that’s understandable. The fact is that launching a new cryptocurrency is much harder than it seems, if not completely impossible.
That is why I believe that bitcoin has reached these heights regardless of all chances. And because of its unique user network, it will continue to do so.
Certainly, there was a failure. But each of these failures ultimately resulted in higher prices. Not even the recent 60% drop will be any different.
A miracle of Bitcoin
Bitcoin’s success lies in its ability to create a global network of users who are either willing to make transactions with it now or store them for later. Future prices will be determined by the growth rate of the network.
Even faced with wild price changes, bitcoin adoption continues to grow at an exponential rate. Now, 23 million wallets have been opened worldwide, haunting 21 million bitcoins. In a few years, the number of wallets could grow to include 5 billion people on the planet connected to the Internet.
Sometimes the motivation of new crypto converters was speculative; the second time they sought a storehouse of value away from their own domestic currency. In the last year, new applications like Coinbase have made it even easier for new users to enter.
If you haven’t noticed, when people buy bitcoin, they talk about it. We all have that friend who bought bitcoin and then he wouldn’t keep quiet about it. Yes, I’m guilty of this – and I’m sure there are plenty of readers.
Perhaps subconsciously, owners become crypto-evangelists because convincing others to buy serves their own interest in increasing the value of their possessions.
The evangelization of bitcoin – spreading the good word – is what has miraculously led to a price increase of $ 0.001 to a recent price of $ 10,000.
Who could have imagined that his pseudonym, saturated with the global banking oligopoly, triggered an intangible digital resource that had been a rival to the values of the world’s largest currencies for less than a decade?
No religion, political movement or technology has ever witnessed these growth rates. So again, humanity has never been so connected.
The idea of money
Bitcoin started as an idea. To be clear, all the money – whether it was shell money used by primitive Islanders, a piece of gold or the US dollar – started as an idea. The idea is that the network users value equally and would be willing to share with something of equal value for your form of money.
Money has no intrinsic value; its value is purely external – only what others think it is worth.
Look at the dollar in your pocket – it’s just a fancy piece of paper with a one-eyed pyramid, a spotted portrait and the signatures of important people.
To be useful, society must view it as a unit of account, and merchants must be willing to accept it as payment for goods and services.
Bitcoin has shown an unusual ability to reach and connect to a network of millions of users.
One bitcoin is only worth as much as the next person is willing to pay for it. But if the network continues to expand exponentially, the limited supply claims that prices can only move in one direction … more.
The bottom line
The nine-year rise of Bitcoin has been marked by huge bursts of instability. In January 2015, there was a correction of 85%, and several others over 60%, including a colossal decrease of 93% in 2011.
Through each of these corrections, however, the network (measured by the number of wallets) continued to expand rapidly. As some speculators saw their value decimated, so new margin investors saw value and became buyers.
Abnormal levels of volatility are actually what helped the bitcoin network grow to 23 million users.
Hey, maybe we just need price volatility in muttcoin to attract new users …