Whether up or down bitcoin have on the “bubble” in the market is full of sound, form about bitcoin all knowledge points below with “bubble”.
What is the “bubble”? Literally in many vesicles. The extended meaning is on the surface of prosperity, prosperity is something in vain and untrue composition. We say the economic bubble is a series of assets (especially virtual capital) price inflation, that is in a continuous process greatly rise, the market price is far more than it actually represents the value that the total economic formation of false prosperity and contains too many “bubble”. Simple said is the price from the value. The famous “bubble” tulip bubble”.
What happened is tulip spread in Holland, some speculators hoarding tulip bulbs, pending price increases. 1634 years of speculation spread into the Dutch tulip craze national movement. 1000 yuan of tulip roots, less than a month to 20 thousand yuan appreciation. At that time, Holland all walks of life, whether noble or errands guys have joined the ranks of speculative. By 1637, the price of a tulip maximum of up to 6700 Holland shield, while the average annual income was only 150 of the Dutch Holland shield. 2 1637 4, the seller sold a lot of public panic, the tulip prices plummeted. At that time, the Holland government issued an emergency statement to advise the public to stop selling and settle all the contract in the contract price 10%. But a week later, tulip prices fell 90%, the price as an onion. 1637 4, the Holland government decided to terminate all contracts, Banning Speculative tulip trading, completely break this unprecedented in the history of the economic bubble.
The most famous is the “Hainan real estate bubble bubble” Hainan, 1992, during the peak period, but the total number of 1 million 600 thousand of the island actually had more than 20000 Real Estate Company, the land price by ten yuan / mu in 1991 soared to about 6000000 yuan / mu.
While many people criticized bitcoin bitcoin prices rose, that is of no value to bubble economy. At present, most people in the hand is not to create any additional value, is the existence of a bubble. Things have two sides to see things, there is speculation the value behind will have wonderful produce added value. 1. In seventeenth Century, the tulip bubble, Holland has laid a further role in the transport hub sea carriage, the ability to further strengthen national economic circulation. 2 Hainan real estate bubble sounded the alarm for the Chinese real estate reform, adjust the national real estate policy failures, reverse promote national comprehensive reform tide. 3 Bitcoin way, after 10 years of ups and downs, it is not a bubble stick top, rise period, also let more and more people are more rational understanding of bitcoin. Which day based on the application of bitcoin blockchain technology is popular at the present stage of the bubble, it really is a “bubble”.