It's an absolutely brilliant idea, and is seriously revolutionary. Fractional reserve banking has been disastrous for mankind, and the idea of continuous exponential growth of everything is completely unsustainable. There's a story of a small town of farmers, who each had 10 dollars, and made $10 a year. A banker convinced them to put their money in his bank, and he would pay them the coming year's wages up front, and they just had to pay $1 of interest at the end of the year. They all try and do everything they can to make that $1, and they work so hard they ignore one neighbor when his house is burning down during harvest time. I've butchered the story, but basically by making more debt than there is cash, everyone is always struggling to catch up, and someone has to be a loser in order for the others to get by.
Computer Science, blockchain
- Thread starter cory
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pantheraba
More biners!!!
Cory...it's a great topic, good thread. But I am like Butch...a dog watching TV. I have read descriptions of bitcoin several times but understanding still eludes me...and, yes, computer science is abstruse AF.
Typing into a board that leads to a box and you can read it almost instantly...voodoo.
Typing into a board that leads to a box and you can read it almost instantly...voodoo.
so...BC being international...who insures it? World Bank?...or is it just gone when it disappears?
Being only stored in your own computer, when your pc fries you've lost all your cryptocoins, cause they aren't stored on a server?
With over 700 crypto currencies available it gets a bit confusing.
KodaK coins are coming out...yes, from Eastman Kodak
It's interesting but over my hacking grade.
Being only stored in your own computer, when your pc fries you've lost all your cryptocoins, cause they aren't stored on a server?
With over 700 crypto currencies available it gets a bit confusing.
KodaK coins are coming out...yes, from Eastman Kodak
It's interesting but over my hacking grade.
They aren't stored on your computer only, there's something like it has a running tab, which is continuously sent to everyone in the whole system at once, basically making every computer in the system have a ledger of it.... Or something like that, it is wayyyyyyyyyy over my head as well. I used to know a little programming, but those brain cells are long gone. I do know it uses tons of broadband and power tho, I read a few articles to that effect.
As far as insuring it, the only reason that exists was the runs on the banks which helped trigger the great depression. Since we operate under the fractional reserve system, the banks didn't have to have the cash on hand, or at all. So to prevent future runs, the government decided to use tax dollars to insure it, so you didn't have to call the bank on their shit because you knew the government had your money if it disappeared. It's gotten to 10 percent now, meaning the bank needs to have 10 percent of its total deposits on hand, which also means they can loan out $100 for every $10 deposited, and then collect interest on that...
As far as insuring it, the only reason that exists was the runs on the banks which helped trigger the great depression. Since we operate under the fractional reserve system, the banks didn't have to have the cash on hand, or at all. So to prevent future runs, the government decided to use tax dollars to insure it, so you didn't have to call the bank on their shit because you knew the government had your money if it disappeared. It's gotten to 10 percent now, meaning the bank needs to have 10 percent of its total deposits on hand, which also means they can loan out $100 for every $10 deposited, and then collect interest on that...
MasterBlaster
Administrator Emeritus
I don't know why it's so hard to understand.
There needs to be a Bitcoin for Dummies tutorial somewhere!
There needs to be a Bitcoin for Dummies tutorial somewhere!
- Thread Starter Thread Starter
- #31
There is, Ive read several of them, doh. My understanding is some better but far from clear.
Regarding insurance: one of the biggest attributes of bitcoin is decentralization, no single person or entity runs it so there is nobody nor nothing that fees or costs have to be paid to to use it or run it so it is a cheaper way to buy things ("transfer value").You set up a bitcoin 'wallet' that contains the amount of value you possess in bitcoin. The wallet has a public ID # for all in the network to know, plus a secret key ID # for the wallet owner. Everyone everywhere in the bitcoin network knows how much loot is in that wallet and every other bitcoin wallet but they don't know who own each wallet. They simply have a ledger (the blockchain) that records every transaction that has ever occurred and the order and time it occurred and the before and after results on every wallet. You use your key to spend or to receive bitcoin (money) in your wallet. Because the amount in every wallet is always know by all parties in the network, cheating is made impossible. For example nobody can digitally manipulate their own wallet to create extra money/bitcoin because it wouldn't match the amount everybody's ledger shows is in that wallet.
I'm still working on figuring mining and miners.
- Thread Starter Thread Starter
- #32
The ledger, aka blockchain, is kept in thousands or tens of thousands of seperate computers so if yours shits the bed, you've got 10k other computers to confirm what amount of bitcoin you possessed in your bitcoin wallet before your device crashed, so you are in no danger of losing any of your bitcoin worth. Well, unless there was a worldwide computer crash, then that would seem to be a problem unless bitcoin developers have devised a back up plan for that.
SeanKroll
Treehouser
What happens if you lose your pass-code? Someone dies with no will or heirs?
- Thread Starter Thread Starter
- #34
Good question.
Idk the answer but it must happen, I presume there is an answer for that. But if there is an answer then that suggests a hacker could pose as you to get access to your key # and therefore your wallet.
But bitcoin is known as being supposedly hack proof
Idk the answer but it must happen, I presume there is an answer for that. But if there is an answer then that suggests a hacker could pose as you to get access to your key # and therefore your wallet.
But bitcoin is known as being supposedly hack proof
Yeah, sure seems like that has been said many times in the past only to be proven wrong.
I wonder what it is that drives us to keep seeking answers to our problems by looking further and further away from the natural world.
MasterBlaster
Administrator Emeritus
Can you expound on this natural world?
- Thread Starter Thread Starter
- #37
Dave and Merle, both seem like great and bright guys, but both often tend to give cryptic and limited responses to issues. Perhaps they are of the sentiment "if you don't, can't, or won't figure things out on your own it wont do any good to flat-out tell you the answer"?
True, Cory, I have never been an overly chatty individual. But I honestly thought that Butch was joking. Is there anybody here that does not understand that "money" is a concept and regardless of its form has no actual value but instead represents things that can be acquired, some of those have value and some, not so much.
People are always looking for someone else to give them "the answer" when in truth they already know it.
People are always looking for someone else to give them "the answer" when in truth they already know it.
SeanKroll
Treehouser
Spot on.
FireFighterZero
Captain Zero!
Looks like a scam to me.
Something that does not exist has a great value.........
I have several 5 gallon buckets of Lentils that I will trade you for your bitcoins. At least you will have something for all the trouble.
Something that does not exist has a great value.........
I have several 5 gallon buckets of Lentils that I will trade you for your bitcoins. At least you will have something for all the trouble.
Money is the idea that something that does not exist, or is represented by a piece of paper, is worth so much that people do risky jobs, give you time with their family, and sell their body. The difference is the dollar is manipulated, bitcoin isn't.
Well, someone obviously invented and can control it...but we should all trust him right...no back door could possibly exist...he would never want to profit from this scheme...he would never manipulate anything ofr his own benefit...what a Saint...
Well, let's look at who controls the currency we are currently using. Banks, governments, and the global elite. I trust the bum under the bridge more than them. By having a set amount in the world, no more or less, you can't manipulate it with fractional reserve banking. You can't inflate or deflate it. It's stable, without swings. Because of this, it is far less likely to collapse. By being digital and likely unhackable, it can't be stolen, at least far more difficult. I'm failing to see the downsides...
No. I understand the reluctance to "trust" a different currency than the one that has been used for generations here. What I'm saying is that I completely distrust our existing system, which is designed from the ground up for manipulation by the banking cartels and the government (which is run by banks). The elite gave us what we have now, and when the time comes, the workers of the world can simply drop the entire system by switching to currency that isn't controlled by those powers. That's why using a different currency is illegal. If you refuse to use the dollar, they no longer can control you. If enough do that, the whole system comes crumbling down. The internet has democratized many things, lowering the thresholds for entry in many different things. You can now make and distribute movies, music, ideas, etc, and now the idea of a fiat currency. Of all of the revolutionary ideas made possible by the internet, the idea that we can make, distribute, and use a different currency than what was made from the fractional reserve banking model is by far the most powerful.
Steve Mack
Life Member.
Kodak is cashing in on it, you can lease a bit coin miner and make easy money. If you've got Kodak shares you're laughing, this month anyway.
kevin bingham
TreeHouser
- Joined
- Nov 10, 2010
- Messages
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http://markets.businessinsider.com/...rs-this-year-morgan-stanley-2018-1-1012823094
energy consumption of bitcoin is interesting. apparently a LOT!
energy consumption of bitcoin is interesting. apparently a LOT!
Uhuh.....and what was it before that? In the human timeline, 1793 is a short blip. You probably know that the meter is based on a measure of one 10-millionth of the distance from the north pole to the equator and it is, almost correct.
There is much in the world around us that, at the very least, is extremely slow to change. It is us that have trouble with keeping things the same.
There is much in the world around us that, at the very least, is extremely slow to change. It is us that have trouble with keeping things the same.
