170926 Bitcoin’s Name Problem

Bitcoin has a problem. The problem is its name — Bitcoin. You think it’s referring to some sort of coin. As you learn about it, you decide, “Ok, it’s not a coin. It’s more like coin-of-the-realm — some sort of money. But Bitcoin at the moment is $4,407.00. That’s much more than any coin I know.  In fact, if Bitcoin continues as it has been doing, it might be worth several hundred times more than it is today. We’re not talking about pennies anymore.

What’s the solution? Start thinking of Bitcoin as something larger, much larger; maybe a house or a factory building or something. When you think of buying a single Bitcoin, think of it as though you are buying something huge, and substantial. Then you can wrap your head around the importance of such things as trading .0001 Bitcoins. Otherwise, it’s very difficult to think about equivalencies. Until we see just how large Bitcoin becomes, it will be hard to deal with all the zeros and decimal places.  What do you think?