Reply to post: Re: Bitcoin is bound to collapse in value prior to this date

Don't panic, but your Bitcoins may just vanish into the ether next month

MonkeyBob

Re: Bitcoin is bound to collapse in value prior to this date

And that happens to currencies every day. None of them are backed by Gold any more.

And why would a currency backed by gold be any more valuable and stable? Gold itself has little intrinsic value as you can't eat it, wear it or make many useful things with it such as car or plane parts. It's value is only linked to it's shinyness and like all currencys it's only value is that which is collectivly assigned to it. In this sense BitCoins value is based on the same collective imagination as all other fiat currencies with the exception that the collective is currently much smaller. The future of BitCoin and other virtual currencies is in the size of the collective that believes in them.

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