Okay, so it certainly isn't a metal, but what about bitcoins? "What is a bitcoin," you ask? Only the TOP PERFORMING CURRENCY IN THE WORLD!!! I've recently been looking at purchasing a little cache just for diversification and (I'll be honest) idealistic notions. I love the idea of an electronic money that is totally outside of gov't regulations. The gov't, of course, does not love this idea so much. In fact, I just heard today that the FBI admitted to being in an active campaign to undermine the bitcoin. (sorry, I'm at a loss to find a link to the details on that one--maybe take it with a grain of salt) EDIT: Found it! Anyway, what do you think about bitcoins?
I don't mind a currency that is in demand, and is one that people desire, but at the same time they aren't really backed by anything. In my opinion the sole source of their rise is the future speculation that they will continue to increase in value. Realistically, they're only worth what someone believes they can get for them. Despite being a currency that is growing, it is completely liquid and can rapidly fluctuate in the future depending on demand. Also, in a SHTF scenario, they would no longer exist, and be worthless, unlike the metals and coins discussed elsewhere on the forum. If I were able to get my hands on a few, I wouldn't refrain from spending them at all, but I would also try to get something for them as quickly as I could as I don't trust currencies like that. Just my two cents. Great idea for a different topic though.
The Bitcoin organization controls the creation, control, and fluctuation of Bitcoins. You can find more information here: Bitcoin - P2P digital currency
I've personally thought about mining for bitcoins a while back. However, then I realized, the amount of money spent on electricity, servers, you name it by far exceeds the amount you can actually get from mining them. If someone offered me some bitcoins in return for a service, I probably would go ahead and take it hoping to get rid of them a little later for something worth more of physical value. I personally am not 100% sold on BitCoin and their efforts, and more than likely I will not be going along with the craze that has been going along with them. That's just my opinion though.
I tend to agree. I don't feel it is really a 'safe' investment, but it is a fun one! While I think the complexity involved in mining them will help them retain value, the fluctuation in their value could be dramatic. My favorite coins are gold
I also thought about mining them. But as you know, the fluctuation in price makes too risky. Apparently, there have been other online electronic currency before the bitcoin, and they have failed. I read many articles online that Bictoins will fail eventually just like every other e-currency before. But those might just be the FBI trying to undermine it
But as you've said, there have been multiple online currencies before this one, and all of them HAVE failed. Generally speaking, these type of things don't last. It'd be very interesting if one did stick around though. A virtual currency that is universal is not a bad one in my opinion.
