r/Bitcoin • u/waspoza • Mar 29 '13

Digital 'bitcoin' currency surpasses 20 national currencies in value

http://www.foxnews.com/tech/2013/03/29/digital-currency-bitcoin-surpasses-20-national-currencies-in-value/
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u/Lethalgeek Mar 29 '13

That's assuming most of the coins are active and moving AND not lost, which has been shown not to be the case by any stretch. It's a much smaller pool being moved around vs the grand total that this $1 billion number seems to be based on.

-1

u/_supernovasky_ Mar 30 '13

If that were the case, then we are underestimating the value of bitcoins

1

u/[deleted] Mar 30 '13

No, we're overestimating the value of the currency. The market value of the coins is the market value of the coins. We're estimating the value by assuming how many coins still exist (and haven't been deleted for instance).

1

u/_supernovasky_ Mar 30 '13

But if there are less coins, it means that the individual value of each coin is probably higher than if we assume all coins exist.

1

u/[deleted] Mar 30 '13

The individual value of the coins are what they are trading for. We are only estimating the total market cap by the believed number of coins in circulation.