BTC bubble

One of the world's experts in bubbles -- Prof. Robert Shiller, a Yale economist -- said Bitcoin "was an amazing example of a bubble" back in 2014. If you exchange fiat US dollar $100 to BTC in 2010, now in 2017 have value of 72.9 millions dollars. Find annual growth of value of bitcoin currency (BTC) against US Dollar. Make conclusion about steep exponenial growth.



Result

p =  587.9 %

Solution:

a=100 USD b=72.9 1000000=72900000 USD n=20172010=7 y q=(b/a)1/n=72900000/10076.8791 p=100 q100=100 6.8791100587.9114=587.9%a = 100 \ USD \ \\ b = 72.9 \cdot \ 1000000 = 72900000 \ USD \ \\ n = 2017-2010 = 7 \ y \ \\ q = (b/a)^{ 1/n } = \sqrt[7]{ 72900000/100} \doteq 6.8791 \ \\ p = 100 \cdot \ q - 100 = 100 \cdot \ 6.8791 - 100 \doteq 587.9114 = 587.9 \%







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Dr Math
on BTC now earn - exchanges, brokers, producers of miners, producer of electricity. Bitcoin network has enormous consumption of electricity, which all end user must pay...

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