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rhollerith_dot_com comments on General Bitcoin discussion thread (May 2011) - Less Wrong
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Thanks.
(The problem does apply to gold speculation in this day and age, though, right? I will BTW readily concede that gold speculation in this day and age is high risk.)
It would apply if gold were legally enforced and usable as a currency, but I don't think it is.
It does apply to forex speculation, though.
OK, so investors buying and holding gold do not cause the problem.