Bitcoins Major Usage Case As A Store Of Value Makes It Look Like A Ponzi Scheme
bitcoin·@elleok·
0.000 HBDBitcoins Major Usage Case As A Store Of Value Makes It Look Like A Ponzi Scheme
<div class="pull-right">https://steemitimages.com/DQmTtHDy35tBxDWFMGNfLaGg5VmBuLzGfQY4n6wzwxkTSgx/bitcoin-2007769_1920.jpg</div> Bitcoin [BTC], being the first Cryptocurrency and the tool that got the Blockchain technology to the point where it is right now, sits comfortable on its throne since the start. Up until about a year ago it had a dominance of 80-90% (percentage of total market capitalization) on the market. In summer last year Bitcoins dominance bisected and other Cryptocurrencies and Altcoins dominance rose. After a short upswing at the end of 2017 to a high of 60% dominance Bitcoin is at around 35% dominance at the moment of writing:  <center>[Source](https://coinmarketcap.com)</center> Despite its many disadvantages compared to other Cryptocurrencies and Altcoins it seems to still be unbeatable. Bitcoins dominance once more rose nearly 2.5% over the course of the last 7 days and I really ask myself why its still increasing its dominance. In this post I’m trying to sort of „review“ Bitcoin and the reasons why it is still on top and would like to encourage you to leave a comment and state your opinion on the topic and add information I didn’t think of.  ### Bitcoins flaws: * One of the biggest problems I see in Bitcoin is its huge energy consumption. As stated by [The Guardian](https://www.theguardian.com/technology/2018/jan/17/bitcoin-electricity-usage-huge-climate-cryptocurrency) Bitcoin uses as much CO2 a year as 1 million transatlantic flights which should be considered a real climate threat (just yesterday the Bitcoin Energy Consumption Index breaked the 50 TWh mark which could power more than 4.5 million U.S. households) - Resulting from its massive energy consumption we see huge transfer fees. As it is right now you will pay the same fee for a $100 USD transfer and for a $1,000,000 USD transfer. + Bitcoin also has a really high confirmation time compared to other Cryptocurrencies or Altcoins averaging at around 60-120 minutes.  All those major flaws seem to give some Cryptocurrencies or Altcoins a huge advantage over Bitcoin considering their utility. Literally in every discussion about the real value of Bitcoin I read its major usage is its proven usage case as a store of value (existing since 8 years without failure). But if that is true and this is Bitcoins major or only usage it has the characteristics of a classic Ponzi scheme (I'm not saying Bitcoin is a Ponzi scheme but at this stage and its being mainly used as a store of value makes it look like a Ponzi scheme). I do believe new „investors“ with literally no clue about Cryptocurrencies and or the market are a big reason for Bitcoins rise. I for myself know at least 20 people personally that bought some Bitcoins just because they heard they will get rich on various sources (Social Media, Youtube,…) without even knowing the basics of Cryptocurrencies. Of course Bitcoin is and will always be the first Cryptocurrency and therefor it will always have value, but in my opinion if they do not change something Bitcoin will thrown from its throne (maybe even this year). I’m aware Bitcoin could just add features which would improve the problems mentioned above but I never heard of some plans to do so that would result in a major change and or improvement. And of course if a major feature is added this post most likely will lose its value.  <center>**Please comment your opinion and add facts I forgot! Would really appreciate hearing other opinions on that topic!**</center>  **Buy** and **Sell** your cryptocurrencies on [Coinbase](bit.ly/coinbasefreebtc10), the most trusted digital currency exchanger out there and get **free $10 worth of Bitcoin** on your first transfer (min. $100). <center>[)](bit.ly/coinbasefreebtc10)</center> <hr> **Trade** your cryptocurrencies on [Binance](bit.ly/BinanceExchangeMarkets), the fastest growing exchange in the world with the lowest fees on the market out their. If you are new to Binance I created a step by step guide on [How to trade STEEM on Binance](https://steemit.com/steem/@elleok/how-to-trade-steem-on-binance-a-step-by-step-guide), feel free to check it out! <center>[)](bit.ly/BinanceExchangeMarkets)</center> <hr> **Disclaimer:** I'm in no way a financial advisor. I just state my opinion! Never do investments because someone told you or in the fear of missing out! Take your time to research. Don't be sheep, develop critical thinking on your own! <hr> If you are interested in my opinions and daily cryptocurrency news updates feel free to upvote, resteem and: <center>[](https://steemit.com/@elleok)</center>