[beagle3]

Well, depends on your point of view if it's "not like bitcoin at all". If you have your retirement in Bitcoin or something that is effectively short the Swiss Franc, it doesn't matter to you whether the jump was orchestrated by people with names and Ph.Ds sitting in the SNB office, or unknown people with mining equipment - the money is gone either way (or, if you managed to be short bitcoin or long CHF, has been created).

In economics, just like any other subject, stories matter much less than actions.

[quonn]

But investment, into "something that is effectively short the Swiss Franc" is not the real purpose of currency anyway. Indeed, excessive speculation is the reason why bitcoin is in so much trouble. It never became a proper currency.

For Swiss people, the value of their money has not changed, except if they travel abroad or import - in which case they have gained something. Foreigners who have put their money into it have not lost anything either.

The main point is, that the Franc works as a currency, because it is actually really stable, and Bitcoin currently does not work.

[mike_hearn]

> excessive speculation is the reason why bitcoin is in so much trouble. It never became a proper currency.

I'm not convinced such arguments have legs these days. CHF and ruble are seeing massive volatility, are they not "proper currencies"?

Bitcoin is a proper currency. It's just that it's economy is tiny, so just like little Switzerland the currency gets battered a lot by speculators looking to make money.