Quote:
Originally Posted by TheMVP
Please cite proof.
Speculation largely done on exchanges, not onchain.
If your thesis is correct and speculation dies down, then fees will become minimal again and I'm sure you will find something else to FUD about.
I could care less about fees. I was simply addressing your assertion that "it is a highly sought after means of transaction". Myself, and many others have asked repeatedly what it's being used for besides speculation and no answer is ever forthcoming. All anecdotal evidence suggests that it's being used less and less for any transactions not related to speculation.
As far as my thesis about speculation dyeing down, do you disagree? The only way I can see for speculation not to die down is if the price continues to skyrocket in perpetuity. I don't see how it's possible for the price to continue increasing dramatically forever so at some point the price will necessarily have to stabilize. Do you think there will still be as many people speculating on btc using their credit cards once the price stabilizes?
Quote:
Originally Posted by piepounder
it will settle into a risk adjusted rate of return somewhere between stocks and bonds. all assets have risk and the returns eventually fall in line with the level of risk. bitcoin isnt that risky. right now its volatile because its being adopted...but eventually it will be pretty boring. IT could hit the moon but then it might settle into an orbit giving a boring 6-8%. it must be so eventually, unless the theories behind risk adjusted rate of return are flawed
Surely the number of speculators will drop dramatically once that happens? My question is what else is it going to be used for then or will it no longer be "a highly sought after means of transactions" once the speculators leave?