

BItcoin misconceptions - floorlamp
http://nortonwang.com/2013/12/bitcoin-misconceptions/

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nrs26
>I don't need to use bitcoin. >Did you need to use the Internet in 1993?

I think this is actually the most interesting point. The truth is that, no,
you don't actually need to use bitcoin right now. And that's different than
not needing to use the internet in 1993. Right now, there are plenty of
substitute goods - more stable, more accessible currency that is used by more
people. In 1993 there weren't that many substitute products for the internet.

Said another way: I wanted to do something like send a text string to another
person in 1993, the internet was my only option. But if I want to do something
like purchase an item right now: there are tons of other ways of doing it.

So, In order to convince me that I need to use bitcoin, the benefits of using
it need to outweigh the costs, risks and hassle of converting my money.

From a ideological perspective, I think this really appeals to the HN
community (including me). But from a practical standpoint, I can't see this
catching on with enough average consumers to really become a stable currency.

~~~
kdeforche
> I think this is actually the most interesting point. The truth is that, no,
> you don't actually need to use bitcoin right now. And that's different than
> not needing to use the internet in 1993. Right now, there are plenty of
> substitute goods - more stable, more accessible currency that is used by
> more people. In 1993 there weren't that many substitute products for the
> internet.

There is always a risk with drawing parallels, but the Internet-Bitcoin one
isn't entirely silly.

Tell me, right now, what's the easiest way for me to safely send you 5 Euro? I
think that would be putting cash in an envelope with enough stamps on it to
reach your house? And how would I know you really live there? And how can we
both assert that the transaction happened? Perhaps if you happen to live in
Europe (as I am) we could do a bank transfer. But what if you're in the USA,
or in Africa?

That's something that today can only be done with Bitcoin. Sure it's no
panacea (bitcoin), but neither was editing a mail in VI and ELM.

Question is: is there a need for this? I believe so, given that there even
supposedly is a need for something like SnapShat.

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kdeforche
>That's because with POS systems, you're not waiting for 6 confirmations. It's
just assumed that you won't try to double spend your coins, and that no forks
or orphans in the block chain happen. This is not 100% reliable - if you
wanted a guaranteed, irreversable transaction immediately, well, you're out of
luck. Permanent or immediate: pick one.

Actually, in absence of double spends, forks or orphans are innocent: valid
transactions (w.r.t a chain) that are not part of a block will be picked up
eventually by the main chain. So there's only an (expensive/complicated)
double spend risk, and not a (more common) orphan block risk.

