Why Bitcoin Is Valuable - Debunking The ‘Greater Fool’ Theory
Why Bitcoin Is Valuable - Debunking The ‘Greater Fool’ Theory
Why Bitcoin Is Valuable – Debunking The ‘Greater Fool’ Theory
Greater Fool Theory - Meaning, Examples, How it Works?
What Is The Greater Fool Theory? – Definition, Examples ...
Bitcoin: The Greater Fool theory
Fuck the ETF. Only core shills care about Wall Street getting in to pump their worthless shitcoin. Bitcoin (Core) is a game of "Greater Fools Theory." Bitcoin (Cash) will take over the world through utility. 8 billion users shit on 100 fat-cat "investors" every day of the week.
Fuck the ETF. Only core shills care about Wall Street getting in to pump their worthless shitcoin. Bitcoin (Core) is a game of "Greater Fools Theory." Bitcoin (Cash) will take over the world through utility. 8 billion users shit on 100 fat-cat "investors" every day of the week. /r/btc
CMV: Bitcoin's value is strictly backed by the idea that the next person will pay more for it (greater fool theory), not because it is a finite and decentralized currency.
Hello Reddit, as the title states I am a firm believer that bitcoin has no value other than the idea that the next person will pay more for it. I myself invested quite a lot into bitcoin and was successful in paying off all my student loans thanks to this, so I should be happy about bitcoin's popularity, but as I see more and more friends investing I am worried they don't fully grasp what they are getting into. I invested with the thought in mind that my investment had no actual value, but would increase because people would think it had value. However, other investors I speak to seem to invest because they think bitcoin itself has value, but I just don't see it. My worry is that this rumor based investing is getting out of hand and will eventually result in greater economic consequences when bitcoin crashes, taking the savings of the many ignorant investors down with it. Reasons I do not think it has value:
not widely accepted enough to use in day to day transactions (arguable)
fluctuation in value negates any use as currency
liquidation can take 2-3 weeks
Defined as currency, yet treated like an asset.
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"Speculators buy bitcoins because they think they will sell their bitcoins a short while later for an even higher price. This is the Greater Fool Theory — buy at a foolish price and sell to an even bigger fool for a profit."
08-13 15:13 - 'Greater Fool Theory: Economics professor thinks he's smarter than you, tell him what you think' (self.Bitcoin) by /u/Californeo removed from /r/Bitcoin within 12-22min
''' This economics professor thinks he is so smart, smarter than everyone else. He writes as if he is the only person aware of tulip mania and greater fool theory. I sent him a courteous message letting him know that I have set a reminder to re-read his article in the year 2022 (see message below). We'll see how his theory ages. Tell him what you think! [gary_[email protected]]1 (909) 624-7935 [[link]3 Message to "smart" economics professor: Dear Gary, I’ve set a reminder to myself to re-read your article on your bitcoin greater fools theory in two years. Let’s see how your theory ages. In 2022, you will find yourself realizing that you were blind to appreciating the single most revolutionary invention in finance ever experienced by the human race. Skeptical academics who consider themselves smarter than the masses will be humbled accordingly. Best wishes for your financial freedom, ''' Greater Fool Theory: Economics professor thinks he's smarter than you, tell him what you think Go1dfish undelete link unreddit undelete link Author: Californeo 1: mailto:[email protected] 2: www.**rket*a*c*.com/s*or*/bitcoin-*u*e*s*are-onl**fo*l*n**th*msel*es-*ga*n-2019-07-15 3: www**arketwatch*com*s*or**b**coin**u*ers-*re-onl*-foolin*-the*s**v*s-a*ain-**19-07-15]^^2 Unknown links are censored to prevent spreading illicit content.
Why bitcoin is not bound by the greater fool theory
IMO, and I welcome informed rebuttal, bitcoin is not subject to the greater fool theory... yet. In short, the greater fool theory regarding investments refers to the the irrational buying of a product at foolishly expensive prices hoping that there will be another fool, a greater fool, looking to pay you more than you did so that that fool can find some greater fool to pay him more than what he paid you. Still following me? Good. This happened during the 17th century tulip mania. This happened most recently during the housing boom and sudden collapse. Remember how we all seemed to know of someone who was eager to flip houses for a profit, paying exorbitant prices for homes that they couldn’t afford to live in but hoped someone else would buy it off of them at a higher price. Those are prime examples of the greater fool. Bitcoin is NOT bound by that theory. For a very simple reason: unlike tulips or houses, you CAN buy FRACTIONS of bitcoin. The current price of bitcoin as of this blogpost is $9975. According to the greater fool theory, that means I would need to buy it at $9975 and hope there’s a greater fool willing to pay me $10,200 so I can make a quick profit of $225. With numbers such as that, it seems like the theory makes sense and that at any moment, we will run out of fools willing to pay $10,500, or $11,000... or $20,000. But is that really the case? My answer is a loud and resounding NO! Because we can purchase bitcoin at any amount, whether it’s $1, $10, $50, $100, $500, or the full per coin price currently at $9950.... we don’t need greater and greater fools willing to pay bigger and bigger amounts. I can buy $10 of bitcoin fractions ... and there can easily be another buyer willing to pay $20 for my fractions of bitcoin. It only costs that buyer $20. Since global adoption of bitcoin is at 0.01% of the world population,it will be a VERY VERY long time before we run out of people willing to pay a little extra for the small fractions of bitcoin from sellers who own fractions of bitcoin. In the case of flipping houses during the real estate boom, you couldn’t buy fractions of a house. You needed to pay the full amount: $200,00.... then $250,000... then $500,000.... and so on and so forth, hoping there’s a greater fool willing to pay those lump sums all in full. When dealing with those massive amounts of money per transaction, of course the market will eventually run out of wealthy fools willing to pay ever larger amounts. But when the product, like bitcoin, is broken into fractions, the number of “fools” is close to infinite, bound only by the size of global population. And as mentioned before, bitcoin adoption is currently at 0.01% of the worlds population. Just imagine where the price will be when more and more people get in on bitcoin via fraction sized purchases. Since last week, I have heard and known of many friends and acquaintances who have got in on bitcoin but with only $100 amounts. That’s why bitcoin is NOT bound by the greater fool theory. Am I wrong?
(crosspost from Change My View) CMV: Bitcoin's value is strictly backed by the idea that the next person will pay more for it (greater fool theory), not because it is a finite and decentralized currency. • r/changemyview
10-03 11:54 - 'You are confused. Gambling on a "greater fool" theory is still gambling, not investing. Those gains came from suckers FOMO rushing in on media hype, and not on the basis of any fundamental development or prospects of such...' by /u/DingleAgain removed from /r/Bitcoin within 12-22min
''' You are confused. Gambling on a "greater fool" theory is still gambling, not investing. Those gains came from suckers FOMO rushing in on media hype, and not on the basis of any fundamental development or prospects of such. People have how learned their lesson, so there will not be anything like that again. The only suckers left are the HODL ones. ''' Context Link Go1dfish undelete link unreddit undelete link Author: DingleAgain
/u/A_Soporific responds to: CMV: Bitcoin's value is strictly backed by the idea that the next person will pay more for it (greater fool theory), not because it is a finite and decentralized currency. [+148]
Bitcoin and the Greater Fool Theory. Bitcoins have been occasionally making headlines for a few years now, stirring up many discussions and debates about their profitability and value. A logical question is: why are they valued so highly by the market? Typically, the value of an asset would be calculated by considering the returns it will give. For stocks, this is a dividend. However, since ... https://www.forbes.com/sites/matthougan/2020/06/17/why-bitcoin-is-valuabledebunking-the-greater-fool-theory/#166b73e13c12 Bitcoin: The Greater Fool theory. Sean O'Neill July 30, 2017 7:00am More on: SUN WES. I read an interesting statistic on a US news network the other day. Apparently, the current value of all ... In the financial literature, this is known as the “greater fool theory.” The idea is that you should never invest in something if its value depends solely on selling it to someone else at a ... Greater fool theory The bitcoin bubble. There may be good reasons for buying bitcoin. But the dominant reason at the moment is that it is rising in price
Bitcoin & the Greater Fool - World's 1st HFT Ponzi Scheme - PART 3
The greater fool theory supports the principle that there will always be a ‘greater fool’ in the market who will be ready to pay a higher price based on some... Bitcoin & the Greater Fool - World's 1st HFT Ponzi Scheme - PART 3 - Duration: 6:39. REDRUM JOODEN 1,268 views. 6:39 . Bitcoin a Pyramid or Ponzi Scheme? - Duration: 12:10. Ernie Varitimos 4,041 ... The Bitcoin market has finally run out of greater fools... Bowen B. Loading... Unsubscribe from Bowen B? ... What is the Greater Fool Theory? (Animated) - Duration: 3:47. Trade Brains 2,936 views ... What is The Greater Fool Theory? And how to avoid being a greater fool? Find out in this video. The Greater fool theory is a popular theory in the investing ... Bitcoin & the Greater Fool - World's 1st HFT Ponzi Scheme - PART 3 REDRUM JOODEN. Loading... Unsubscribe from REDRUM JOODEN? Cancel Unsubscribe. Working... Subscribe Subscribed Unsubscribe 197 ...