LYN ALDEN | NOV 1, 2021 @swanbitcoin
One of the concerns I’ve seen aimed at Bitcoin is the claim that it’s a Ponzi scheme. The argument suggests that because the Bitcoin network is continually reliant on new people buying in, that eventually it will collapse in price as new buyers are exhausted.
So, this article takes a serious look at the concern by comparing and contrasting Bitcoin to systems that have Ponzi-like characteristics, to see if the claim holds up.
The short version is that Bitcoin does not meet the definition of a Ponzi scheme in either narrow or broad scope, but let’s dive in to see why that’s the case.
Lyn Alden
