Comment: Misinformation

(See in situ)


Bitcoin is a distributed, global, transaction network (capital 'B'). Transactions are made with bitcoins (lowercase 'b') - a pseudonymous digital currency.

Mining is the process of auditing or verifying transactions on the network. In exchange for the 'work' required to audit transactions, miners/auditors are rewarded with new bitcoins and transaction fees. The introduction of ASICs will not increase the reward rate. The Bitcoin protocol self-adjusts to 10 minutes per audit block no matter the processing power behind the network. The currency will reach its maximum circulation of 21 million bitcoins in 2140.

Bitcoin is not a ponzi scheme. In a Ponzi Scheme, the founders persuade investors that they’ll profit. Bitcoin does not make such a guarantee. There is no central entity, just individuals building an economy. Anyone promoting Bitcoin as a way to profit is doing you a disservice.

Lastly, Bitcoin supports what libertarians believe in - a limited, market-driven currency free from government manipulation. The fact that you decide to conduct transactions with it is completely up to you. I could care less what you think of Bitcoin - It works for me.