Cootha, on 18 September 2014 - 07:12 PM, said:
Haha not for that reason, I know its pretty safe but at this point I don't personally trust it enough for storing large amounts of money, if you had a house fire or someone steal your cold storage drive you could potentially lose it all. I know it every unlikely but still possible. Its also possible that another system is developed and overtakes bitcoin potentially driving the price of coins down greatly. Just my opinion on bitcoins as it currently stands.
A usb these days costs <$10, just have multiple usbs with a backup of your wallet file, keep some offsite away from your house. Even if someone somehow finds it, the wallet file is still encrypted and inaccessible without your private key. Similarly, if someone steals your cold storage drive, they can't do shit without the private key. As far as another system that overtakes bitcoin, no other system could garner the amount of support bitcoin has. Bitcoin has paid devs working on it, the code is open source and there is a community that is literally in the tens of millions, it is much too far past its infancy to be overtaken. Another point is that bitcoin is a proven system, any new system that comes onto the market:
a) won't have a proven track record
unless it is absolutely revolutionary, there will be no point in using it
c) because bitcoin has been open source, its code has been critiqued extensively over the last 5 years, there simply has just been too many resources divulged into bitcoin through the contributions of millions around the world. It is something that is unparalleled and cannot be repeated. Only the right political and economic milieu can let that happen and that's a luxury that bitcoin had and a reason it has flourished.
The only way I could ever see bitcoin to not reach mainstream adoption is if all government around the world banned it. It is a very genuine fear of mine, but I do think that in that case that there are far too many millions of peopl;e invested in it, companies like google too, that there would be mass protesting around the world and could quite seriously trigger the collapse of the current and imo archaic economic system we have now. In an ideal world, bitcoin would continue to steadily grow as it is, with companies like google etc accepting it and bitcoin growing side by side with fiat adoption and eventually out-growing fiat in adoption and trust, but I think that in the next couple of years, some serious shit will be going down with banks and governments trying to suppress it.
The bank of England recently did a whole research paper on it and released it, I haven't read it fully yet, save for some excerpts, but at one point in the paper, the BoE did mention that it could supersede the current banking system. I think atm, a lot of banks and government entities are keeping a close eye on bitcoin, but aren't yet to decide on what to do about it. It is interesting though that our own government is quite fast in the upkeep with bitcoin with the ATO releasing taxation related information on it.
I think for the moment, I am pretty happy with my bitcoin wealth and am going to start spending some of my money on more cars and stuff haha. You can never have too many cars
But yeah, interesting future lies ahead of us
I think as you mentioned earlier, for investment purposes, diversifying your investment portfolio is a wise thing to do. But I'm not much of an investor, nor am I really that interested in investing haha. Maybe in the future I will dip more into stocks and stuff, my boss is heavily into stocks haha, said his whole house was entirely paid off by his stock profits, but yeah, for now, I'm happy where I'm at
Edited by Shadow_Matrix, 18 September 2014 - 08:16 PM.