Bitcoin: a bubble ready to burst?

Timothy B. Lee, on Forbes, points four reasons why we shouldn't buy BitCoins:

1) Losses: bitcoins don't have consumer protection; if your bitcoins are lost by the service where you keep them, or stolen by someone, there's no juridical protection.

Well, we know the nature of governmental consumer protection. We saw that protection on the 1930's Roosevelt government, and on the Cyprus Euro Crisis...

2) Regulation: BitCoin is extremely resistant to government regulation.

Oh, that's a problem?!

3) Scaling: There's a limit on the number of BitCoins that can be mined.

4) Lack of applications: "There’s a real question about how useful Bitcoin actually is. We know Bitcoin is popular for drugs and gambling, but does it have uses for more conventional forms of commerce?"

That will change, as more people adopt the new currency...

The actual problem, is to know whether the value of BitCoins will continue to rise. In my opinion, if the Euro crisis continue - and when we look at the Economy of Cyprus, Greece, and Portugal, we have to say "yes" - more and more investors will buy Bitcoins. Those who have Bitcoins, keep them. Those who don't, keep mining. But stay tuned: at any moment, those speculators who came from the Euro - specially on the last month - can leave it at any time... It's a risk that can worth millions...


#BTC: 18UtAYMy8zUUanHtkbvv4MUTajA2NoprNB

#LTC: LcgtnX2JDgKZAM4kh4JDsa1h6WVTFPnzXm