Wen Ye Bao Yi bitcoin has been the capital darling since this year. It has reached 28000 US dollars. It has quadrupled from $7100 at the beginning of the year. Bitcoin is the most innovative digital currency so far. The emergence of bitcoin can be said to be an innovation in the history of currency. However, bitcoin has been questioned by people since its birth, and its price has soared and fallen sharply and is extremely unstable, which also leads us to think about bitcoin. In 2010, bitcoin was only $0.003, and it rose 100 times to $0.3 at the end of the year. In 2013, bitcoin rose from $13.5 to $758, up 55 times. In 2018, bitcoin suffered the largest pullback, falling 73% from $13000 to $3600. The U.S. dollar continues to decline, and good investment projects in the market are almost extinct due to the epidemic. Bitcoin has come into the eyes of investors. Bitcoin has not collapsed because some countries are endorsing it, allowing bitcoin to be exchanged for their country’s legal currency, such as the United States, Canada, France, etc. This is also the reason why bitcoin is popular in the dark network. Without this condition, bitcoin is really worthless. Bitcoin is a negative cash flow asset, which can only be maintained by constant consumption of electricity costs. All drummers want to let go before the drum stops. This is Bosch. Don’t admonish these people. They all know that this is a gambling house. They want to make a lot of money. Unfortunately, if you win, you want to win bigger, until you lose. In history, the consensus on gold has been strengthened and formed in a large number of transactions. Gold and gold standard currency exchange various commodities and assets. Therefore, gold as money is endogenous. The difference between bitcoin and gold is that it is a kind of artificially designed currency, which can be understood as credit currency. Collateral is the source of credit and the source of consensus. The stability of credit currency needs collateral. In addition to being based on agreements and serving transactions, currency should also meet the stability of value. It is believed that bitcoin is not likely to become a currency because of its volatility. Bitcoin is still in its infancy. With the strengthening of consensus and the growth of its value, the value of bitcoin will become more and more stable, and eventually close to the volatility of fiat money. At the same time, I also believe that even at the initial stage of history, the volatility of gold is relatively large. Later, with the enhancement of consensus, the value of gold becomes more and more stable. The problem of digital currency should not be added, but subtracted. Those extended technological, conceptual and speculative gimmicks should be removed and returned to the essence of the tool of exchange and circulation. The digital currency relying on the blockchain can make the currency return to the nature of barter, which is the most important intrinsic value. Unfortunately, bitcoin has too many externalities, limited circulation, exchange of computing power and other concepts, which cover up the essential attributes. How to coexist effectively is a common problem for human beings. The common recognition and stable currency provides an angle transaction in people’s communication, and provides the basis on which the results can be expected to be stable. The result of the difference between the mandatory currency and the actual common “recognition” is that the market is distorted, resulting in the crisis of the Commons. But in the end, this forced determination will inevitably collapse, just like Soros’s attack on the pound, but the more distorted the market is, the tide of collapse may drown everyone.