Why is BTC is not a financial pyramid or a "Ponzi scheme"?

in bitcoin •  7 years ago 

A Ponzi scheme uses money from new investors for paying dividends to those that came earlier. Bitcoin does not use investments. Moreover, the first holders are unlikely to cash their coins. After all, they spent it on pizza, games and more.
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Bitcoin is not only an excellent repository of valuables. It is also a secure transmission protocol that is resistant to censorship and unconfirmed operations.

Bitcoin not a bubble, it's more like a pin.

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I'm not sure about this. While I am a huge crypto enthusiast and I'm convinced that these types of currencies will be the future of money, I think that bitcoin is a bubble because people are not using it as money or as currency. Most of the newbies are entering the market just hoping to get higher returns on investments in fiat money. No one is buying cryptos like BTC, ETH or LTC because of them anymore. They are buying them in hopes of getting more dollars later.