Re: So someone steals something that doesnt exactly exist
I think you've skipped a couple of points.
The first is inherent value. In the old days, the inherent value of gold was that it made good jewelry. Today, of course, it is important or critical component of a lot of manufacturing processes. The inherent value of fiat is that it pays taxes. There is no inherent value in coin. The fact that there is a cost to their manufacture, and that, absent a change accepted by 50% of the miner power, the supply is limited, is designed as an aid to stability, but with no underlying inherent value, holding coin needs be a purely speculative play. And a long-term bad play should the boys with the guns feel threatened.
The second is transferability. Gold is a physical thing, and the limits on its transfer are precisely what has driven the move to paper. As pointed out by another, the blockchain of BTC is equivalent to a database, which means that the CAP theorem applies. In order to function, the blockchain is CP, which means that A is "whatever". Historically, I guess that transactions have taken an hour to settle.
So if by "digital gold" you mean "a philosophic token which has proven unworkable for general economic use", I can go with that.
Biting the hand that feeds IT
