Bitcoin and All Cryptocurrencies Are A SCAM.

in #bitcoin3 years ago

Scam sign.jpg

I hear this all the time when I try to tell folks about Steem and Steemit. As soon As I mention the relationship to Bitcoin. Folks are uncertain whether they can trust any Cryptocurrency. They are afraid that it's not real money, that it's not backed by anything. How often do you hear this when telling folks about this awesome platform? Are you unsure of how to help them gain trust in Cryptocurrencies?
I'll tell you what I tell them. Usually, they begin to understand and are then more willing to learn more about Steem and Steemit.

So when folks tell me that Cryptocurrencies are a Scam, and that they are not backed by anything or that they have no real value, I just turn things around on them a little bit. Start out by asking a few simple questions.

  1. Do you trust the US Dollar? (Or whatever Fiat currency they use)
  2. What is the US Dollar backed by?
  3. Where does the value of the US dollar come from?
  4. What makes the US Dollar real?

After they answer your questions, you then need to give them these facts.

  1. The US Dollar is not backed by anything more than the FAITH of the people that accept it as payment for goods or services.
  2. The only value that the US Dollar has is that which the people that both spend and accept it, give to it. If people chose to stop, either spending or accepting the Dollar then it would lose any perceived value that it has. The only value it has is that which people give it.
  3. Again, the only thing that makes the US Dollar 'REAL' is the people that use it.

Now you can tell them that the same things apply to Cryptocurrencies. They will either choose to listen and learn or not. If not then don't waste your time. Move on and keep steeming.


Even if the USD is fully backed by the U.S. government, what does that mean? Fully backed by what exactly? Not gold or silver. What can you be sure to exchange your dollar for if you want to extract its perceived value?

Yep. Zip, zilch, nada, nothing.

That is my point exactly.