{"id":134,"date":"2011-06-28T14:10:26","date_gmt":"2011-06-28T12:10:26","guid":{"rendered":"http:\/\/bininda.com\/blog\/2011\/06\/my-part-of-the-bitcoin-world-economy\/"},"modified":"2011-06-28T22:39:48","modified_gmt":"2011-06-28T20:39:48","slug":"my-part-of-the-bitcoin-world-economy","status":"publish","type":"post","link":"http:\/\/bininda.com\/blog\/2011\/06\/my-part-of-the-bitcoin-world-economy\/","title":{"rendered":"My Part of the Bitcoin World Economy"},"content":{"rendered":"

A few months ago, I first heard about Bitcoin<\/a> on the Security Now podcast<\/a> by Steve Gibson and Leo Laporte. I was intrigued and downloaded the Bitcoin client<\/a>. I noticed, how the exchange rate<\/a> of Bitcoin vs. US Dollars kept climbing and got even more intrigued. So I opened an account at the Bitcoin exchange Mt. Gox<\/a> and transferred \u20ac500 to it on May 31. It turned out to be $713.60, for which I started buying Bitcoins. I tried to catch the lows in the exchange rate development but didn\u2019t really succeed. So in effect I bought around 68.28BTC. Luckily I finished buying before the exchange rate skyrocketed to $31 on June 7.<\/p>\n

So what will I do with my Bitcoins now? Well I think I\u2019ll keep them and dream a bit. Lets assume, the world at large embraces the advantages of Bitcoins over the current currencies we have and in a few years all currencies are traded into Bitcoins. Today the amount of $ (M2)<\/a> floating around is around 10 000 Billion $, The amount of \u20ac (M2)<\/a> is around 85 000 Billion \u20ac. Let\u2019s assume the total amount of money in the world is somewhere around 40 000 Billion $.<\/p>\n

The total amount of Bitcoins is limited by the system to asymptotically approach 21 Million BTC<\/a> (it is currently around 6.4 Million BTC).<\/p>\n

So, if the world economy completely converts to Bitcoin (21 Million available) and I still have my 68.28 BTC, I will have about 0.000325% of the global money supply. Translated to the current money supply that would come out to be around 130 Million $. Not too shabby.<\/p>\n

Of course you could argue that this outcome isn\u2019t very likely. I completely agree. However, I have invested only 500\u20ac in this little dream and so far it is living up to its promise. Today my Bitcoins are worth around 800\u20ac and I can\u2019t wait to check again tomorrow.<\/p>\n

 <\/p>\n

\"\"<\/a><\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

A few months ago, I first heard about Bitcoin on the Security Now podcast by Steve Gibson and Leo Laporte. I was intrigued and downloaded the Bitcoin client. I noticed, how the exchange rate of Bitcoin vs. US Dollars kept climbing and got even more intrigued. So I opened an account at the Bitcoin exchange […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[30],"tags":[],"_links":{"self":[{"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/posts\/134"}],"collection":[{"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/comments?post=134"}],"version-history":[{"count":7,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/posts\/134\/revisions"}],"predecessor-version":[{"id":143,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/posts\/134\/revisions\/143"}],"wp:attachment":[{"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/media?parent=134"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/categories?post=134"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/bininda.com\/blog\/wp-json\/wp\/v2\/tags?post=134"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}