Would you not learn any lesson from that? People with years of experience investing, who have seen fads and bubbles are not buying into this nonsense, whereas people with very limited experience are buying it.
The bitcoin crusade for a better futureNobody can predict the future, some of us want to build a better one
Ahh, so that explains why the Nobel Prize winners and all mainstream economic commentators have rubbished bitcoin.
Because there are starving people all the world dreaming of decentralized money system.
Apparently somebody’s wife looks at a load of paper work
This comment could replace the "It's time to sell when the shoe shine boy is buying stocks" story.
Brendan
So maybe jwoman could provide a little more statistical background to help us understand her quite remarkable empirical observation.
https://www.coindesk.com/central-bank-digital-currencies-fuel-bank-runs-bis-says/In sum, the BIS noted that a currency of that nature "might be useful for payments but more work is needed to assess the full potential."
"A general purpose CBDC could give rise to higher instability of commercial bank deposit funding. Even if designed primarily with payment purposes in mind, in periods of stress a flight towards the central bank may occur on a fast and large scale, challenging commercial banks and the central bank to manage such situations," the BIS stated at the outset.
Later on, the report's authors revisited the subject, outlining a hypothetical situation in which banks - even stronger ones - could face issues during a bank run thanks to the ease at which a depositor could move their funds by way of the digital currency.
The report explains:
"Depending on the context, the shift in deposits could be large in times of stress. A crucial element in such system-wide shifts is the stronger sensitivity of depositors to the actions of others. The more other depositors run from weaker banks, the greater the incentive to run oneself. If CBDC were available, the incentives to run could be sharper and more pervasive than today, as the CBDC would be the favoured destination, especially if deposits were not insured in the first place or deposit insurance was (made more) limited. Whereas weaker banks could experience a run, even stronger banks could face withdrawals in the presence of CBDC."
"It would be difficult to stem runs under such conditions, even when providing large lender of last resort facilities," the report adds.
I have a hunch
But now that I have bought and sold and transferred it, I can see clearly its potential to be used as a currency.
That said, its not without its difficulties and how this all ends up remains to be seen. Some say it will go to zero, others to $100,000. I not sure of either. But I would factor in one thing, that the way we will be transacting with each other in financial terms looks set to be something quite different as to the way we transact today in the not too distant future.
Exciting times ahead I would say.
I have a hunch the same posters that appear to be clueless regarding crypto are similarly clueless that young people such as today's teens, aren't into Facebook; and that this generational divide is going to carry some serious implications for that company.
I have a hunch the same posters that appear to be clueless regarding crypto are similarly clueless that young people such as today's teens, aren't into Facebook; and that this generational divide is going to carry some serious implications for that company.
I found this article rather telling.
The Bank of International Settlements (BIS) expresses some concern over central banks issuance of digital currency (CBDC).
Essentially, if Central Banks issue their own cryto, they are worried that punters will be able to transfer money out of their local banks and into say, a larger one like the Central Bank really quickly, facilitating 'bank runs'.
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