Why Bitcoin is valuable and why Bitcoin is so valuable

For example, in reality, money is earned because people pay labor (** give things to others, and use labor to create value), and labor that I do not create any value (such as walking) cannot or money"

This is wrong, if you happen to know that there is a gold mine in a place, as long as you keep mining and then change money.

The concept of Bitcoin is to scatter a fixed value of 41 million (as if it were this value) into the network, and whoever picks it is whoever collects it. It's the same as someone picking gold, just one"Measure"If you take iron ** as the standard, then you find iron ** is equivalent to finding money.

People look at Bitcoin and assume that it should be the legendary virtual currency. In fact, it is not. As you might have worried, Bitcoin is all hyped by the tycoons and paid by the fish.

Paper money and bitcoin seem to be the same, first of all, you have to understand that bitcoin is not a virtual currency, the currency is guaranteed, and the paper money is guaranteed by the national credit. Even the game currency is guaranteed by the company, ** with the company's asset revenue guarantee, Bitcoin is nothing without a guarantee.

Yes, theoretically anything could become money, but only theoretically. Shells used to be currency, but now would you buy a few bags of shells? Not because people think it doesn't guarantee that you can buy something that has a use value.

So as long as Bitcoin doesn't have a credible guarantee, be careful**. At present, it seems that the tycoon is speculating, speculating on arbitrage, and then fleeing the rhythm. I know a lot about Bitcoin, and it's hard to type by hand, and as a kind reminder, the basic advice is that someone can buy it and sell it, but don't buy it.

In addition, no country will allow Bitcoin to exist, it is equivalent to the ancient private coin. The hegemony of the United States depends on the US dollar, and the United States does not tolerate the free convertibility of other countries' currencies. The ultimate sign of China's rise is the full and free convertibility of the renminbi.

Why is Bitcoin soaring? What is it used for?

Because the quantity is limited, it is difficult to buy, so it is worth the money.

1. Bitcoin.

In fact, it is a P2P form of digital**. Bitcoin does not rely on a specific monetary institution to issue, it is based on a specific algorithm, through a large number of calculations, the Bitcoin economy uses a distributed database composed of many nodes in the entire P2P network to confirm and record all transactions, that is to say, Bitcoin does not have a bank, and does not rely on banks to issue. Decentralization of P2P.

The features and algorithms themselves ensure that the value of the currency cannot be artificially manipulated by mass-producing bitcoins.

2. Bitcoin is a virtual currency on the Internet.

Q is similar, but can be used for cash: it can be exchanged for the currencies of most countries. You can use bitcoin to buy some virtual items, such as clothes, hats, equipment, etc. in online games, as long as someone accepts it, you can also use bitcoin to buy real-life items.

3. The biggest difference between Bitcoin and other virtual currencies is that its total number is very limited and has strong scarcity. The monetary system will only have no more than 10.5 million in the first 4 years, and the total number after that will be permanently limited to 21 million, so it is very difficult to buy, so it is rare and expensive, so it is valuable.

Extended Materials. About Bitcoin.

1) Bitcoin is an electronic currency generated by open-source P2P software, which is a network virtual currency. Bitcoin is not issued by a specific monetary institution, it is generated through a large number of calculations by a specific algorithm, and the Bitcoin economy uses a distributed database of many nodes in the entire P2P network to confirm and record all transactions. The decentralized nature of P2P and the algorithm itself ensure that the value of the currency cannot be artificially manipulated by mass-producing bitcoins.

2) Bitcoin is a decentralized transmission mode based on cryptography and blockchain technology.

It is currently ranked first in the cryptocurrency market by market capitalization.

3) Bitcoin is not a real currency, but through internet technology.

and the resulting digital currency.

There are 21 million bitcoins in the world, and this total number is fixed, and it circulates between different owners through online transactions, and the ** of bitcoin will be generated by continuous transactions**or**.

4) Bitcoin is decentralized and global.

Anonymity and other characteristics, global transactions are very simple, the cost is very low, and the liquidity is very strong.

5) There is only one way for bitcoins to be issued, which is the block reward, which means that bitcoins are generated through mining. However, Bitcoin cannot be mined indefinitely, and its algorithm dictates that for every 210,100 blocks produced (about four years), Bitcoin's blockchain rewards are halved. Since the total number of bitcoins issued is constant at 21 million, it is expected to be mined by 2140.

This regulation ensures that bitcoin will not be subject to severe inflation due to artificial issuance, and can protect the value of bitcoin.

Mr. Cai's analysis of the reasons for the sharp rise in Bitcoin.

Hello friends! That's right, Bitcoin is a decentralized peer-to-peer transaction, an electronic cash settlement system, and Bitcoin's high price is not a hype to increase prices, but its technology and application!

Bitcoin is a network virtual currency, it is virtual, but the value is given by people, how many years ago a bitcoin was less than a dollar, and now it has become 80,000 yuan, all of which are noisy, and there are many mining industries.

This is a kind of currency speculation, bitcoin at the earliest thousands of dollars a coin, now more than 10,000, this is the same as speculation, housing prices used to be how much, but now in many places in first-tier cities housing prices to 100,000, it's the same, a lot of it is speculated, there is a value on the basis of currency, and now people recognize its value, so it is speculated.

The reason why Bitcoin is high is that its value is gradually discovered and recognized, and more and more people will need Bitcoin.

1. The total amount is constant.

The total amount of bitcoin is 21 million, and no additional bitcoins will be issued. Relying on mining output, which halves every four years, its economic model is deflationary, and the more it is mined, the less it is. Therefore, from an economic point of view, ** will naturally rise.

2. Storage value.

Bitcoin is known as a "digital **" and its storage function is becoming more and more recognized. Currency depreciation, prices, people's money is becoming less and less valuable, and bitcoin can be effectively used as a storage tool, people exchange their money for bitcoin, in addition to hedging, but also has a certain growth function. And because of its decentralization, privacy, etc., people have absolute control over their wealth and make their money free.

Everyone needs Bitcoin, and there are only 21 million Bitcoins, so it's hard to think about it.

Under normal circumstances, it is the supply and demand relationship that determines the short-term ** of goods, and the long-term ** is the value, the total amount of bitcoin is constant, and the annual inflation rate is about 2%, and it is getting lower and lower, which is lower than the inflation rate of general money; On the other hand, the value of Bitcoin has unique advantages in cross-border payments, peer-to-peer transactions, etc., and is therefore valuable in its own right. However, Bitcoin is also targeted by speculative funds, ** volatility will be relatively large, there is an inflated phenomenon, investment risk is large, the specific situation can go to the currency to check the real-time ** and investment advice.

According to Metcalfe's law, the more users of a network, the greater the value of the network, and the more people who use a certain currency, the stronger its consensus, such as **, ** will increase, and the more investors will attract attention. If Bitcoin really becomes a global currency for circulation, transaction and savings, then its ** will be much more expensive than it is now, on the contrary, if fewer and fewer people use it, Bitcoin's ** will naturally go down. I usually use the currency to check the real-time ** and investment strategy, and it feels pretty good.

Bitcoin's ** will continue to rise, especially next year's halving**.

Bitcoin's ** is determined by market ** factors, Bitcoin's initial ** was only the US dollar, last year's Chinese currency ** showed that there were more than 3,000 US dollars, the past two days** has been falling, but Bitcoin's ** has been hovering around 8000.

Bitcoin is gradually recognized by everyone, and more and more people feel that Bitcoin has room for appreciation, and the trading volume has also increased, so it is relatively high, and Bitcoin is about 70,000 or so, but the price of the currency has been changing, and there are more than 10,000 when ZB is low.

Because the total amount of bitcoin is high, it will never be issued. It relies on mining output, which halves every four years, and its economic model is deflationary, and the more coins are mined, the less they are. Therefore, from a financial point of view, ** will naturally rise.

There is also storage value. Bitcoin is also tradable on the China Currency Network. And convenient, stable and reliable.

Bitcoin is currently the most widely used digital currency. Born on January 3, 2009, it is a peer-to-peer (P2P) transfer of digital cryptocurrency with a total amount of 21 million coins. The Bitcoin network releases a certain amount of coins every 10 minutes, which is expected to reach its limit by 2140.

Bitcoin has risen nearly 4.6 million times and is known as a "digital" by investors. So far, the total market capitalization of Bitcoin has exceeded 374.8 billion yuan. Bitcoin is favored by technology enthusiasts due to its characteristics of decentralization, global circulation, low transaction fees, and anonymous circulation.

Recently, traditional financial institutions such as Wall Street and central banks of many countries have begun to study Bitcoin blockchain technology, and the People's Bank of China has also announced plans to develop digital currency. Japan** officially recognizes Bitcoin as a legal payment method, and more and more Japanese merchants accept Bitcoin payments.

Bitcoin is a virtual asset, and it can also be seen on the Zhongbi platform.