OK - here is a brief discussion about the REAL value of 'fiat currency', legitimate currency, and how bite-me-coin fills none of the requirements of a legit currency. Have spent a lot of time thinking about 'fiat currency', 'full faith and credit', and the so-called 'market multiplier' effect (false) of new currency.

Basic conclusion: NO-fiat currency is NOT 'worthless'. Yeah, that's a big change - and the reasoning below is open for discussion. Nor is a 'gold backed' currency needed, nor any other 'real value' needed in a currency for it to be legitimate, and not cause monetary inflation with associated price increases.

Albert Schoner shared a link.
23 hrs
“I can calculate the movement of stars, but not the madness of men.�
La Rhonda at the risk of a few boos, Bridgewater Associates founder Ray Dalio, the 68-year-old founder of the world’s largest hedge fund, said bitcoin is "in a bubble" during an interview on CNBC Tuesday morning, arguing that the so-called currency is too difficult to spend, and too volatile to be a useful store of value.
“There are two things that are required for a currency. The first thing is that you can transact in it, it’s a medium of exchange. The second thing is it’s a store of value. Bitcoin today…you can’t spend it very easily."
"In terms of a storehold of wealth, it’s not an effective storehold of wealth because it has volatility to it. Unlike gold, let’s say, which reflects the value of money, its more stable than the value of money, bitcoin is a highly speculative market.�

Biggest Hedge Fund Manager In The World Warns "Bitcoin Is A Bubble", Says Gold Is Money | Zero Hedge
"... it’s not an effective store of wealth because it has volatility to it... Unlike gold, let’s say, which reflects the value of money, its more stable than the value of money,…
ZEROHEDGE.COM
(image superflous)

Albert Schoner “I can calculate the movement of stars, but not the madness of men.�
http://www.zerohedge.com/.../advice-trader-who-made-1...

Advice From The Trader Who Made $1 Billion In 1929... | Zero Hedge
“After spending many years in Wall Street and after…
ZEROHEDGE.COM
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Joan Daily
Joan Daily Ugh. What I suspect is the bubble prognosticators are old and talking from ignorance of what crypto currencies are and are oblivious to the exchanges upon which they are traded.
Bitcoin is super high right now and maybe it's "right" price is $1,000....See More
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monkeytrots
monkeytrots: It's "right" price is .... Z E R O. Pure scam.
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Joan Daily
Joan Daily No more a scam than Travellers Checks were.
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monkeytrots
monkeytrots: Not true at all, Joan. Traveler's checks were only originated in exchange for currency, held in escrow, and redeemed for currency. Bitcoins are originated based on nothing, with absolutely SQUAT in escrow. THEY ARE A HUGE SCAM and FRAUD - perpetrated by CRIMINALS - every single 'miner' is a CRIMINAL - including John McAfee.

monkeytrots: Traveler's Checks are no different than any other checking account - except that the amount of the checks are pre-printed, and the account upon which the checks are drawn is not held by the individual presenting the check. Function no different than other 'third party' check - such as a paycheck. BASIC TRUTH - There is an account, with legitimate deposits that BACK UP THE CHECK - just as in any other legally written check.

Albert Schoner Doesn't Am Express use Bank of America?

monkeytrots: Unlike TRAVELERS CHECKS - there is absolutely NO ACCOUNT HOLDING ANY VALUE that backs up ANY BITCOIN - and that is because bitcoins are written (mined) in the first place from THIN AIR WITH NOTHING BACKING THEM UP.

Joan Daily Understood.
Fractional reserves and the current less than fractional reserves have opened the currency markets wide open to crypto currencies. I'm profiting from that comprehension. Play the game, pull the principle out when it's doubled, again and again...

monkeytrots: Then you are one of the participants in a criminal conspiracy, Joan. At least you admit YOUR vested interest in pumping this fraud. More than most who support this scam are willing to do. IT IS A FRAUD AND A SCAM - and just because YOU are able to 'play' the game and make a profit does NOT make it any less a criminal activity.

monkeytrots: Fractional reserves DO NOTHING to 'opening' the currency markets up to fraud. They DO NOT 'inflate' the money supply - there is no magical multiplier effect as so many stupidly claim. That is a fact easily proven. Take the fraction requirement to zero - and according to the multiplier myth, there is INFINITE MONEY/CURRENCY in circulation. LMAO - of course it fails - because it is a STRAW ARGUMENT - with no substance and can't be mathematically backed up with a LEGITIMATE LEDGER analysis.

Joan Daily monkeytrots all of which has happened years ago via quantitative easing.
The hullabaloo is that crypto currencies admit they are baseless. The illusion that regular currencies aren't is why world bankers are threatened by the competition.

monkeytrots: FALSE in large part. Small amount of truth about 'monetary inflation' - the Bismark/Venezueala/Mexico models - upon which all successful lies flourish- a small amount of truth versus a big heaping of falsehood.
CURRENCIES issued by a collective are IOU's and a TAX, and are issued for REAL VALUE received, with the collective RECEIVING THE VALUE of that real value rendered. In exchange - THE COLLECTIVE agrees to redeem the IOU"s for OTHER GOODS AND SERVICES of REAL VALUE. Now - what the H*** do the 'originators' of BITCOIN have of REAL VALUE to exchange/barter for MY GOODS AND SERVICES ? Collective issued currencies become worthless when issued for things that HAVE NO VALUE- like most government services, and exceed the ABILITY of the collective to redeem those IOU'S for REAL GOODS AND SERVICES OF VALUE to everybody.

monkeytrots: BITCOIN is worthless - benefitting ONLY THE MINERS - and for those 'making a profit' ... that is WORTHLESS because it is a ZERO SUM GAME - for every 'bitcoin trading profit' - there is, and must be a 'bitcoin trading loss'. YOUR 'profits' are coming out of the pockets of OTHER PEOPLE, for something that has no value and has never been issued for any VALUE that increases the wealth of all - unlike ALL LEGITIMATE CURRENCIES - and calling them 'fiat' currency is only a smokescreen - masking the REAL functioning of a REAL economy - an economy that PRODUCES VALUE.

monkeytrots: That, my dear- is the TRUE MEANING behind the 'full faith and credit' of a legitimate government issuing LEGITIMATE currency IOU's that will be HONORED by those citizens that COLLECTIVELY issue the currency - and back it up with REAL GOODS and SERViCES OF VALUE.

BITCOIN has NOT ONE SINGLE of those LEGITIMATE FUNCTIONS - they are no better than ANY FRAUDULENT OTC STOCK that are actively traded until the fraud of NO LEGITIMATE GOODS or NO LEGITIMATE SERVICES being rendered is fully revealed. Not ALL otc companies are frauds - but a VAST MAJORITY of them are.

BITCOIN IS 100% FRAUD.

monkeytrots: that bears repeating - BITCOIN IS 100% FRAUD.

monkeytrots: And yes = I have just blown away ALL the most common myths about so-called 'fiat' currency and the prevailing charlatan 'money theories' around.
Studying Ludwig Mises will back up every single one of the points above.

NO - The first thing required of a 'currency' is that it be issued for REAL VALUE. It is an IOU - a chit to be used in lieu of direct barter - that will be accepted by THOSE THAT ISSUE it.

The second requirement (implicit in #1) is that it be issued by a LEGITIMATE GROUP OF PEOPLE that agree to the above contract. That 'legitimate group of people' is called a GOVERNMENT, and that group RECEIVES THE REAL VALUE for which the chit is issued. They place their honour on the pledge to honor the issued IOU's with GOODS AND SERVICES , that they, the issuers, will produce. IT IS CALLED A TAX.

David Crandall NO - The first thing required of a 'currency' is that it be issued for REAL VALUE. It is an IOU - a chit to be used in lieu of direct barter - that will be accepted by THOSE THAT ISSUE it.

The second requirement (implicit in #1) is that it be issued by a LEGITIMATE GROUP OF PEOPLE that agree to the above contract. That 'legitimate group of people' is called a GOVERNMENT, and that group RECEIVES THE REAL VALUE for which the chit is issued. They place their honour on the pledge to honor the issued IOU's with GOODS AND SERVICES , that they, the issuers, will produce. IT IS CALLED A TAX.

monkeytrots: Ray Dalio should NOT be involved in discussing economics, currency, or monetary systems. Ray Dalio does not have the fundamental understanding of how any of the above really work.

Albert Schoner well MT I don't think think so. to be quite.

monkeytrots: I do think so, Albert. Zerohedge has been HORRIBLE when it comes to these issues. Tyler Durben and Ray Dalio both should not be writing about these issues.

If you can counter any of what I have said above with clear reasoning, more than willing to discuss further. I have laid it out in fairly simple to understand terms - and countered every single one of Joan's claims.