{"id":162,"date":"2014-07-26T08:08:00","date_gmt":"2014-07-26T08:08:00","guid":{"rendered":"http:\/\/blog.holytransaction.com\/bitcoin-has-passed-tipping-poin\/"},"modified":"2023-01-10T03:42:28","modified_gmt":"2023-01-10T01:42:28","slug":"bitcoin-has-passed-tipping-point","status":"publish","type":"post","link":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html","title":{"rendered":"Bitcoin has passed the tipping point"},"content":{"rendered":"

Products and services that are first-to-market often take such a battering that they lose out to competitors with copycat products. Business history is littered with wildly successful products with ultimately spectacular collapses because they lost out to competitors that found a better way of doing things \u2013 things they learned at the trailblazer\u2019s expense.<\/p>\n

The Sony Betamax is the poster child for products that created a market and lost out to a rival \u2013 in this case VHS. Sony created a market for recording TV, but because the tapes where an hour long VHS grabbed the movie rental market.<\/p>\n

More recently, Friendster was the first social network to explode, with millions of users in the first 3 months. But it couldn\u2019t manage its growth and lost out to MySpace and of course Facebook.<\/p>\n

<\/div>\n
\n
\n

\"adoption<\/p>\n<\/div>\n<\/div>\n

\n

There are many more examples. Some lost slowly, like the Atari 2600 game console, and some crashed spectacularly like Rio MP3 player. Palm lost to Apple, Netscape to Internet Explorer, WebCrawler to Google, Tivo to the cable companies, and on and on.<\/p>\n

So far Bitcoin is an exception to this model. And though it\u2019s been battered by ruinous headlines, including one just this week where the World Bank is calling it a naturally occurring Ponzi scheme, Bitcoin remains resilient.<\/p>\n<\/div>\n

<\/div>\n
\n

Kaushik Basu, World Bank economist and author of \u2018Ponzis: The Science and Mystique of a Class of Financial Frauds\u2019 argues that most Ponzis today are not always obvious and that today\u2019s Ponzi schemes often don\u2019t have a puppet-master pulling the strings. Bitcoin, he says, is just such a Ponzi. The speculation on the currency raises the demand for Bitcoin making it a bubble.<\/p>\n

Bitcoin has hundreds of competitors all built on the Bitcoin model. A handful are gaining some success, like Litecoin which is currently trading at $9, and Darkcoin (I\u2019m not kidding) which is trading now trading at $7.50.<\/p>\n

Darkcoin was built to cover perceived flaws in Bitcoin\u2019s anonymity. One reason for the early success of Bitcoin was that it was as anonymous as passing dollars on the street. And while there is a far greater level of anonymity with this electronic transaction than making a purchase with a credit card or PayPal, Bitcoin is not anonymous to those forces who really want to know.<\/p>\n

Unlike Bitcoin<\/a>, Dash<\/a> mixes up users\u2019 transactions so that it\u2019s nearly impossible to trace a payment to a person. But the promise of Dash<\/a>\u2019s privacy features solves a problem for only a small subset of Bitcoin users.<\/p>\n<\/div>\n

\n

Few have heard of other crypto-currencies. If people barely understand Bitcoin, then any competitor has the impossible task of differentiating itself.<\/p>\n

In his paper Basu mentioned Bitcoin by name, so did the IRS when it said it was a taxable asset. And this week Benjamin M. Lawsky, the superintendent of financial services for the State of New York, proposed regulations to create a \u201cBitLicense\u201d to include rules on consumer protection, the prevention of money laundering and cybersecurity. That\u2019s akin to Apple successfully rebranding the MP3 to a podcast.<\/p>\n

Just search \u201c20 USD in BTC\u201d on Google and you\u2019ll get the exchange rate. It works for any fiat currency. You can\u2019t do that with any other crypto-currency.<\/p>\n

Bitcoin is currently trading at $600. Not bad for a five year old Ponzi scheme.<\/p>\n<\/div>\n

Open your free digital wallet here<\/a> to store your cryptocurrencies in a safe place.<\/p>\n","protected":false},"excerpt":{"rendered":"

Products and services that are first-to-market often take such a battering that they lose out to competitors with copycat products. Business history is littered with wildly successful products with ultimately spectacular collapses because they lost out to competitors that found a better way of doing things \u2013 things they learned at the trailblazer\u2019s expense. The […]<\/p>\n","protected":false},"author":1,"featured_media":662,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,37,76,82,191,192],"tags":[704,764,771,871,872],"yoast_head":"\nBitcoin has passed the tipping point -<\/title>\n<meta name=\"description\" content=\"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Bitcoin has passed the tipping point\" \/>\n<meta property=\"og:description\" content=\"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/facebook.com\/holytransaction\" \/>\n<meta property=\"article:author\" content=\"https:\/\/facebook.com\/holytransaction\" \/>\n<meta property=\"article:published_time\" content=\"2014-07-26T08:08:00+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-01-10T01:42:28+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"941\" \/>\n\t<meta property=\"og:image:height\" content=\"624\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Satoshi\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@https:\/\/twitter.com\/holytransaction\" \/>\n<meta name=\"twitter:site\" content=\"@holytransaction\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Satoshi\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html\",\"url\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html\",\"name\":\"Bitcoin has passed the tipping point -\",\"isPartOf\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage\"},\"image\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage\"},\"thumbnailUrl\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg\",\"datePublished\":\"2014-07-26T08:08:00+00:00\",\"dateModified\":\"2023-01-10T01:42:28+00:00\",\"author\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69\"},\"description\":\"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.\",\"breadcrumb\":{\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage\",\"url\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg\",\"contentUrl\":\"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg\",\"width\":941,\"height\":624},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/holytransaction.com\/blog\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"adoption\",\"item\":\"https:\/\/holytransaction.com\/blog\/tag\/adoption\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Bitcoin has passed the tipping point\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/holytransaction.com\/blog\/#website\",\"url\":\"https:\/\/holytransaction.com\/blog\/\",\"name\":\"\",\"description\":\"HolyTransaction's Blog - Your crypto blog\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/holytransaction.com\/blog\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69\",\"name\":\"Satoshi\",\"sameAs\":[\"https:\/\/holytransaction.com\",\"https:\/\/facebook.com\/holytransaction\",\"https:\/\/twitter.com\/https:\/\/twitter.com\/holytransaction\"],\"url\":\"https:\/\/holytransaction.com\/blog\/author\/admin\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Bitcoin has passed the tipping point -","description":"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html","og_locale":"en_US","og_type":"article","og_title":"Bitcoin has passed the tipping point","og_description":"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.","og_url":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html","article_publisher":"https:\/\/facebook.com\/holytransaction","article_author":"https:\/\/facebook.com\/holytransaction","article_published_time":"2014-07-26T08:08:00+00:00","article_modified_time":"2023-01-10T01:42:28+00:00","og_image":[{"width":941,"height":624,"url":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg","type":"image\/jpeg"}],"author":"Satoshi","twitter_card":"summary_large_image","twitter_creator":"@https:\/\/twitter.com\/holytransaction","twitter_site":"@holytransaction","twitter_misc":{"Written by":"Satoshi","Est. reading time":"3 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html","url":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html","name":"Bitcoin has passed the tipping point -","isPartOf":{"@id":"https:\/\/holytransaction.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage"},"image":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage"},"thumbnailUrl":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg","datePublished":"2014-07-26T08:08:00+00:00","dateModified":"2023-01-10T01:42:28+00:00","author":{"@id":"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69"},"description":"Experts believe Bitcoin has reached a turning point. Stay informed with HolyTransaction's blog for insights on the future of cryptocurrency.","breadcrumb":{"@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#primaryimage","url":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg","contentUrl":"https:\/\/holytransaction.com\/blog\/wp-content\/uploads\/2014\/07\/adoption_curve.jpg","width":941,"height":624},{"@type":"BreadcrumbList","@id":"https:\/\/holytransaction.com\/blog\/2014\/07\/bitcoin-has-passed-tipping-point.html#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/holytransaction.com\/blog"},{"@type":"ListItem","position":2,"name":"adoption","item":"https:\/\/holytransaction.com\/blog\/tag\/adoption"},{"@type":"ListItem","position":3,"name":"Bitcoin has passed the tipping point"}]},{"@type":"WebSite","@id":"https:\/\/holytransaction.com\/blog\/#website","url":"https:\/\/holytransaction.com\/blog\/","name":"","description":"HolyTransaction's Blog - Your crypto blog","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/holytransaction.com\/blog\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/holytransaction.com\/blog\/#\/schema\/person\/1643e2c0c2df67ae0d6eacff8a185e69","name":"Satoshi","sameAs":["https:\/\/holytransaction.com","https:\/\/facebook.com\/holytransaction","https:\/\/twitter.com\/https:\/\/twitter.com\/holytransaction"],"url":"https:\/\/holytransaction.com\/blog\/author\/admin"}]}},"_links":{"self":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/162"}],"collection":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/comments?post=162"}],"version-history":[{"count":7,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/162\/revisions"}],"predecessor-version":[{"id":4956,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/posts\/162\/revisions\/4956"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/media\/662"}],"wp:attachment":[{"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/media?parent=162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/categories?post=162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/holytransaction.com\/blog\/wp-json\/wp\/v2\/tags?post=162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}