What's the difference?

[john.ranney]

I was really excited when I started reading about bitcoin, then I discovered all these companies taking over the transactions, issuing cards, creating storage etc. This is going the way of the banks, PayPal, and all the rest of the middlemen bitcoin was supposed to eliminate. The only difference is it's universal. Otherwise, this currency is no different then the rest and therefore useless. And you still have to buy it like any other currency, so In fact it's not any different lol! Worse because the value is so flakey.

[bitkilo]

I was really excited when I started reading about bitcoin, then I discovered all these companies taking over the transactions, issuing cards, creating storage etc. This is going the way of the banks, PayPal, and all the rest of the middlemen bitcoin was supposed to eliminate. The only difference is it's universal. Otherwise, this currency is no different then the rest and therefore useless. And you still have to buy it like any other currency, so In fact it's not any different lol! Worse because the value is so flakey.

It sounds like you have a lot more reading to do.

Yes there are a lot of companies that have come onto the scene acting as bitcoin banks but they are not needed if you know what you are doing.
You can still transact between 2 users without any 3rd party required.

In my opinion bitcoin is still a much better option than the current debt based fiat system.
In centralized banking and economic systems such as the Federal Reserve System, corporate boards or governments control the supply of currency by printing units of fiat money or demanding additions to digital banking ledgers. In the case of decentralized cryptocurrencies companies or governments cannot produce new units, the total supply of bitcoin will always remain at 21 million coins.

Of course you have to buy it, or work for it or in other words just like fiat money you must earn it, nobody is just going to give it to you.

[Decoded]

You aren't fully understanding Bitcoin, you're comparing it with a currency. It does so so so much more than that.

Let's start off by discussing Bitcoin's economic model. It was based originally not on any currency, but that of gold. A limited, and slowly diminishing supply of it meant that it would keep its value. The reason the price is as you say, "flaky", is because the market is so laughably tiny. Just over a 10 billion dollar market cap. It, at its current state, can be swayed and manipulated easily.

Second, the cryptographic implementation. Its the original proof of concept for a digital ledger, the blockchain. I won't go into detail about it now, but let's just say big banks are already looking into or even implementing blockchain technology. The software can be used for things like securing medical documents, of creating smart, decentralised, automated systems more powerful than a computer any single corporate or government entity can get their hands on. It prevents the one thing that plagues modern day payment. Fraud. It requires so much processing power, almost threefold the power of the current most powerful supercomputer, to manipulate and edit the Bitcoin blockchain right now.

Third is its seperation from the current financial system. Currently, the idea is that you give your personal details to a third party, which you have to trust to keep your information safe. The Bitcoin model is that everyone is able to see your transactions, but no one can trace them to you. Each person keeps their own copy of your transaction, so if someone was wanting to change it, they would have to change the copies of most of the devices of the Bitcoin network. This means that no third party is needed, and the knowledge that there are more good people and there are bad will keep your Bitcoin safe.

[btcwonder]

Similar to fiat currency? no way! here are some features of Bitcoin that you seem to be unaware of.

• The currency is decentralized, meaning no government or private authority can monitor or control the flow of it

• The transactions are completely anonymous - no matter what you buy or where you send your coins,

• Stored in digital wallets protected by a private key - so next time you are in a crowded place, you won't have to worry about someone picking you pocket

• Instant transactions from one part of the world to another

• No chargeback frauds, which is pretty common among the credit/debit card users

• Easy to transfer from places like china where it is illegal to take the foreign currency (USD, Pound, Euro) out the country

And much more. I would suggest doing a thorough research and hopefully, it will help change your opinion.

[EdwardKelly1964]

I would also suggest you research more about bitcoin and other e-currencies. I strongly believe they will soon become as widespread and official as regular currencies. With all the advantages, this is just a matter of time.

[mjglqw]

Yep. Like everyone said..

You are very very VERY wrong on alot of things you've said.

Bitcoin is at a very very young stage as of now.

[Rmcdermott927]

I was really excited when I started reading about bitcoin, then I discovered all these companies taking over the transactions, issuing cards, creating storage etc. This is going the way of the banks, PayPal, and all the rest of the middlemen bitcoin was supposed to eliminate. The only difference is it's universal. Otherwise, this currency is no different then the rest and therefore useless. And you still have to buy it like any other currency, so In fact it's not any different lol! Worse because the value is so flakey.

Yes, you have to buy it like any other currency. And just as there is potential for loss in price fluctuation, there is the potential for gain. If you bought BTC 6 months ago at $800, you would be pretty happy right now.

Bitcoins biggest advantages are its security and decentralization. Eliminating banks, and transacting with low fees makes Bitcoin far superior to PayPal.

Also, the technology behind Bitcoin, the blockchain, is so innovative that just about every financial and records related industry is in the process of creating and adopting blockchain technology into their record keeping.

[Possum577]

The variety in wallet providers and exchanges keeps the market free and open. As long as no company controls all of the mining or the blockchain the market will remain free.

By the way, the involvement of paypal or ebay or other retailers is a great thing, it makes access to bitcoin much easier for the general masses...which leads to adoption and growth.

Welcome to the Bitcoin community and if you have other questions, don't be shy here!