Hacker Newsnew | comments | show | ask | jobs | submitlogin

It seems like people just throw around the term "Ponzi scheme" without any understanding of what it actually means, saying that "Bitcoin is a Ponzi scheme" or "fiat currencies are a Ponzi scheme", when those statements simply do not make any sense.

A Ponzi scheme is when you offer an interest bearing or dividend paying investment, and you have to use the money obtained from new people buying into your investment to pay out the interest or dividends.

That's a very clear definition, and Bitcoin obviously does not fit - and it wouldn't fit the definition even if Bitcoin weren't based on a transparent protocol and open source implementations.




Applications are open for YC Summer 2015

Guidelines | FAQ | Support | Lists | Bookmarklet | DMCA | Y Combinator | Apply | Contact

Search: