Bitcoin: The Cryptocurrency That Refuses to Die... 330 ‘Deaths’ and Counting

Francisco Memoria

Bitcoin, the flagship cryptocurrency, has been “killed” over 90 times by mainstream media outlets so far this year, and over 330 times throughout its short existence.  While this year bitcoin turned 10 and saw its price plummet, last year it was declared ‘dead’ more times.

According to the ‘Bitcoin Obituaries’ page on 99Bitcoins, the cryptocurrency has been dying since 2010. Since then, mainstream media outlets have been focusing on bitcoin and declaring it dead for a number of reasons, ranging from its proof-of-work (PoW) algorithm to its distinct characteristic, including the semi-anonymity.

Although bitcoin has been ‘dying’ for eight years now, over 200 of its 3335 ‘deaths’ occurred in the last two years, as the cryptocurrency ecosystem gained more attention when BTC surged from little over $1,000 in January of 2017 to a near $20,000 in December. In 2017 alone, it ‘died 125 times.

Notably, bitcoin’s over 1,800% surge saw mainstream news outlets declare it ‘dead’ more times than this year’s over 80% decline. As CryptoGlobe has been covering, among those who criticize the flagship cryptocurrency and claim it’ll fail are various prominent financial industry personalities.

These include JP Morgan CEO Jamie Dimon, who has bashed bitcoin on various occasions, and ended up concluding investors should “just beware” of BTC, and billionaire investor and Berkshire Hathaway CEO Warren Buffett.

Buffett has notably claimed buying bitcoin is “not investing,” and along with Berkshire’s vice chairman Charlie Munger compared it to “turds” and “dementia.” This year, we’ve also seen Nouriel Roubini, a prominent economist known as Dr. Doom, claim bitcoin is the “mother of all scams.” At the time, he said:

Until now, Bitcoin’s only real use has been to facilitate illegal activities such as drug transactions, tax evasion, avoidance of capital controls, or money laundering.

Roubini has since become a well-known cryptocurrency critic, who among other things has claimed blockchain technology is no more than a “glorified spreadsheet,” that bitcoin isn’t truly decentralized,  and that central bank digital currencies will destroy BTC and other “worthless cryptocurrencies.”

Bitcoin’s critics also include financial journalists and CEOs in other areas. Bitcoin’s latest ‘death’ came in the form of an Engadget article published by Daniel Cooper, that claim “Bitcoin was never more than a vehicle for tax evaders and grifters to burn carbon in the hope of scoring a hot new Lambo.” It also adds it represents “all of our worst excesses.”

Its first one, written in 2010 when it was trading at $0.23, was published by the Underground Economist. It read:

Negative feedback loops like this are basically homeostasis. In nature, positive feedback loops like exist with Bitcoin are lethal; the only thing that’s even kept Bitcoin alive this long is its novelty. Either it will remain a novelty forever or it will transition from novelty status to dead faster than you can blink.

Since then, bitcoin has kept on growing and is currently trading at $3,900 after rising 6.7% in the last 24-hour period.

Billionaire Tim Draper: Bitcoin Is 'the Currency of the Future'

  • Tim Draper, a billionaire venture capital investor, has recommend taking a long-term approach to investing in Bitcoin (BTC).
  • The Harvard business school graduate believes Bitcoin is the "currency of the future" and that the value of the USD (and other fiat currencies) will gradually depreciate - as people lose interest and confidence in them.

Billionaire venture capitalist Tim Draper recently made a rare appearance on a Facebook live Q&A session during which he shared his views and insights regarding current traditional financial markets and also offered some suggestions on how to sensibly invest in cryptocurrencies.

Draper, an electrical engineering graduate from Stanford University, is well-known for purchasing 29,656 bitcoins (BTC) in 2014, for $18 million. from the US Marshall Service auctions. Notably, 144,336 bitcoins (in total) had been seized at that time after the US Federal Bureau of Investigation (FBI) took down online black market Silk Road.

Bitcoin Will Create "Much More Fluid Markets"

In his recently conducted Facebook live session, the legendary investor and business tycoon seemed to express more confidence in Bitcoin’s long-term performance than on the world’s most dominant currency, the USD. He remarked:

What it is (Bitcoin) is the future of currency and the currency is going to [remain] decentralized and open and you’re going to end up with a much more fluid, dynamic currency if you own Bitcoin, than if you own [US] dollars.

In mid-September 2018, Draper compared the growth and adoption of the internet to that of the current development of cryptocurrencies and blockchain technology. The Harvard business school graduate argued at the time that the combined market capitalization of the digital asset market would surge to around $80 trillion within the next 15 years.

Bitcoin Will Surge To $250,000 By 2022

This, as fiat currencies would gradually begin to lose their value and become practically worthless, Draper forecasted. Moreover, Draper believes bitcoin's price will skyrocket to $250,000 by 2022. In his most recent comments regarding Bitcoin’s potential, Draper noted that: “I never make bitcoin predictions in the short term because short term anything can happen.”

He added:

It (Bitcoin) will move up and down and if you’re investing in the short term you’re making a mistake. People can manipulate the price, it moves up, moves down depending on big customers coming in to buy or big owners coming in to sell.

Psychology of Investing

Going on to describe the psychology of the investing process, Draper remarked:

Sometimes Bitcoin is going to feel very valuable … and sometimes you’re going to feel like dollars are what you really want to hold on to. When you feel like dollars are what you really want to hold on to, you probably want to buy Bitcoin.

Draper, who’s notably the founder of Draper Associates, a Menlo Park, California-based, seed-stage VC firm founded in 1985, further explained that having a long-term investment strategy and approach towards Bitcoin could potentially yield a significant return-on-investment (ROI).