Is BitCoinn price real ?
Don't compare with Gold.
Gold is created by Mother nature. It's supply is limited.
Gold mining is controlled by big comapnies, They know, oversupply should be avoided.
Physical Gold cannot be hacked, it can be stolen from your safe box.
Even when stolen, it is 0.00001% of total gold available. Whereas, if wallet/exchange server is hacked it can be 5%,10%, or even 50% of total supply.
CryptoCurrency is not a "Currency". It's behaviour is more like metal. But, unlike metals supply is limited by artificial "Costant" in software.
Everyone gets paid for producing something.
1. Farmer for producing vegetables or grains
2. Software developer for producing software.
3. Workers in factory for producing goods.
3. Accountant's for giving services.
4. Scientist for doing research and development.
Does CryptoCurrency mining adds in vegetables, metals or is it a service ?
By making a complex hash does not solve in big arithmetical problem which has been not solved for decades.
It is just consuming some power of computers and electricity.
It is like you watching a TV/Movie.
Watching movie/TV also consumes power, your time and you don't get paid for that, Rather it goes into your expenses.
High price in BitCoin will attract hackers. They have few options.
1. Hack exchange where crypto's are being traded.
2. Hack servers which hold's Crypto wallets.
3. Hack BitCoin mining network.
4. Hack BitCoin mining to create hash easily and start adding fake blockchains
5. Supply of BitCoin is limited by a "Constant" in a BitCoin mining software. (I don't know where this variable is located). IF someone arrange to change it, supply increase, dificulty in mining is reduced and eventually price come down.
Don't compare with Gold.
Gold is created by Mother nature. It's supply is limited.
Gold mining is controlled by big comapnies, They know, oversupply should be avoided.
Physical Gold cannot be hacked, it can be stolen from your safe box.
Even when stolen, it is 0.00001% of total gold available. Whereas, if wallet/exchange server is hacked it can be 5%,10%, or even 50% of total supply.
CryptoCurrency is not a "Currency". It's behaviour is more like metal. But, unlike metals supply is limited by artificial "Costant" in software.
Everyone gets paid for producing something.
1. Farmer for producing vegetables or grains
2. Software developer for producing software.
3. Workers in factory for producing goods.
3. Accountant's for giving services.
4. Scientist for doing research and development.
Does CryptoCurrency mining adds in vegetables, metals or is it a service ?
By making a complex hash does not solve in big arithmetical problem which has been not solved for decades.
It is just consuming some power of computers and electricity.
It is like you watching a TV/Movie.
Watching movie/TV also consumes power, your time and you don't get paid for that, Rather it goes into your expenses.
High price in BitCoin will attract hackers. They have few options.
1. Hack exchange where crypto's are being traded.
2. Hack servers which hold's Crypto wallets.
3. Hack BitCoin mining network.
4. Hack BitCoin mining to create hash easily and start adding fake blockchains
5. Supply of BitCoin is limited by a "Constant" in a BitCoin mining software. (I don't know where this variable is located). IF someone arrange to change it, supply increase, dificulty in mining is reduced and eventually price come down.
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