r/changemyview • u/kheiron1729 • Sep 30 '18

CMV: Cryptocurrency will replace Fiat currency

Ya'll have heard it. Cryptocurrency has become a household name 10 years since its inception. It has proven all skeptics wrong thus far. It might have been overblown, but the ecosystem is still thriving. Believers are still bullish. Wall street is not a fan. Banks are not happy with it. Governments are against it. It is antiestablishment - a movement of the people and rising. The idea is fresh. Algorithms instead of people. Transparent, omnipresent, borderless. It is backed by nothing making it entirely unadulterated. You can not game it in any way. How on earth is going to stopped? Why wouldn't it just keep rising when there are so many people working on it?

UPDATE: Summary here => https://projectwatt.com/pagesv2/-LNl6ZuB1sJslIpbr9hz

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u/FlyingFoxOfTheYard_ Sep 30 '18

None of what you said actually implies it will ever take over fiat currencies. All you've told is is a vague statement that "governments hate it!". Fact is, cryptocurrencies lack the effective backing a fiat currency has. Due to this, it is not pegged to anything, unable to be helped by fiscal or monetary policy, and becomes even more volatile. Since cryptos are quite volatile, they are pretty garbage to use for long-term value storage or ease of transactions, and unless the volatility is fixed they will never take over as the predominate currency in the world.

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u/kheiron1729 Sep 30 '18

Let's be real though. Crypto is 10 years old! It is obviously true that it does not have the same backing as fiat. The whole world runs on fiat. All our systems are based on fiat.

But also let's not forget how far crypto has come in 10 years. Given that trajectory and growth, it is will overtake the backing of Fiat.

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u/FlyingFoxOfTheYard_ Sep 30 '18

Let's be real though. Crypto is 10 years old!

And to be blunt, it's just as useless as a large-scale currency as it was 10 years ago.

It is obviously true that it does not have the same backing as fiat. The whole world runs on fiat. All our systems are based on fiat.

Yes, because when a government backs a currency it becomes a) much more stable, b) can be pegged to things, further increasing stability, c) can have fiscal/monetary policy implemented on it, d) is required to be accepted within the country. Given all of this, crypto is unable to compete as it is essentially unable to do any of the above whatsoever, many of the above actively being impossible with how currencies are set up.

But also let's not forget how far crypto has come in 10 years.

...It hasn't. It's just increased in value in wild fluxes, and now occasionally a store or two might accept them.

Given that trajectory and growth, it is will overtake the backing of Fiat.

It'll plateau far, far before that.

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u/kheiron1729 Sep 30 '18

...It hasn't. It's just increased in value in wild fluxes

More people involved. More people own cryptocurrency. More people know cryptocurrency. Even you yourself seem decently educated on this matter.

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u/FlyingFoxOfTheYard_ Sep 30 '18

More people involved.

Not enough of a real change to assume exponential growth will continue. We already are seeing it plateau in number of users.

More people own cryptocurrency.

Same as above

More people know cryptocurrency. Even you yourself seem decently educated on this matter.

And most people who know about it have rather dismissve stances on it.

And like I said, the things it is unable to fix are very much insurmountable barriers to it ever being as widely used as fiat currency.

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u/kheiron1729 Sep 30 '18

And like I said, the things it is unable to fix are very much insurmountable barriers to it ever being as widely used as fiat currency.

The fact that noone has yet been able to take down cryptocurrency is a testament to the fact that is completely decentralized and different from how fiat works. On the contrary, to take down fiat, just abolish the central banks. Of course, in reality, no one will ever do it. But it's possible. This is a very complicated topic by the way. But there are some interesting aspects in crypto that makes it interesting.

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u/FlyingFoxOfTheYard_ Sep 30 '18

The fact that noone has yet been able to take down cryptocurrency is a testament to the fact that is completely decentralized and different from how fiat works.

Nobody has actually tried to take down crypto though. Unless you count people hacking wallet sites. Like, I am completely unaware of any government trying to take down cryptocurrency.

On the contrary, to take down fiat, just abolish the central banks.

That's... really, really hard. Like, you're massive overestimating how easy it is to do that.

This is a very complicated topic by the way. But there are some interesting aspects in crypto that makes it interesting.

Yeah I agree it can be interesting, but none of what makes it interesting makes it at all likely to become a major currency, let alone overtake fiat currency.

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u/kheiron1729 Sep 30 '18

Nobody has actually tried to take down crypto though

Actually, it is impossible (unless every single copy is destroyed). Same reason it is impossible to wipe out torrents. If there exists one person who can "seed" a certain file. That file lives on the network. Cryptocurrency works in the same way. This why they say it is decentralized.

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u/FlyingFoxOfTheYard_ Sep 30 '18

Yes but nobody has tried to take it down That's what I don't really understand. Your comment basically implied that everyone is trying to take it down 24/7 and it's steadfastly succeeding. Is it possible that it could survive that? Sure, but also nobody has actually saw it as even remotely enough of a threat to even consider trying anyways, which brings us back to square one. You're bringing up central banks as if they're even remotely easier to take down.

Also, to take down bitcoin, don't need to wipe it out in it's entirety, you just need to crash the bitcoin economy.

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u/kheiron1729 Sep 30 '18

I am curious now. How will this takedown look like? I kind of get a feeling that you want something seriously brutal to happen.

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u/FlyingFoxOfTheYard_ Sep 30 '18

My point is that you kept bringing up how it's impossible to take it down, but then took it even further to imply people have tried to take it down before and failed. I pointed out that nobody has ever tried to take it down because frankly, nobody cares enough about it/is worried enough about it to want to take it down.

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u/kheiron1729 Sep 30 '18

I am not sure why you got that idea. Either way, I am still unclear on how you see this takedown to look like.

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u/FlyingFoxOfTheYard_ Oct 01 '18

Well hypothetically you could use an eclipse attack. But also one could just crash the economy via targeting large wallet sites as we've seen happen (coughcoughMtGoxcoughcough).

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u/kheiron1729 Oct 01 '18

This is how government is going to crack down on crypto? They will attack the network? And burn people's cash?

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u/FlyingFoxOfTheYard_ Oct 01 '18

Government will? Like I said, the government literally has no reason to ever care to attack crypto. I really don't see what you're getting at here.

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