Bitcoin thread anyone?

Discussion in 'Cryptocurrencies' started by COB, Jun 8, 2011.

  1. COB

    COB

    I'm extremely surprised to see that bitcoin has only been discussed once and very briefly on these forums.

    This digital currency is amazing. It's exactly what money should be.
    Government proof.
    Bankproof.
    Anonymous.
    Mathematically impossible to counterfeit.
    Has no owner or central authority (it's all open sourced).
    Can only be shut down if the entire internet shuts down.
    Cuts out the middlemen (and fees!)


    Anyway I've invested a bit into in a few days ago. It was at 11$ per bitcoin.
    Today it's approaching 32$.

    It's catching up to Silver at an incredible rate. And the bitcoin economy only has something like 60 million dollars into it.
    Once this goes mainstream, a new term will be in existence: The Bitcoin Billionaire :)

    More and more software and websites are popping up to make buying and selling, more and more user friendly. When Bitcoins become accessible to the non-geeks, and are as easy as forex or stocks trading, the value of them will skyrocket.

    Imagine when the black market catches on.
    And imagine when wall street catches on.

    OR

    it could have an internal problem no-one saw coming. Exactly like every new invention ever.


    I'dd like to hear everyones opinion on this matter. It's great to test ideas out by seing if they withstand an onslaught of attacks :)

    Fire away!
     
  2. limited quantity

    so you can not earn much gain much buy much
     
  3. Someone said yesterday that the order book only has like 30 grand in it. Too illiquid. And it is still a fiat currency. I like hard assets. Commodities ect to protect against inflation.

    It's used mostly for services like programming . It's kind of like world of warcraft money.
     
  4. p2p virtual currency is nothing new, to bitcoin's credit it seems to be in demand due to all the hype/media. But have you actually looked at their otc market? it's complete shit. The most popular one is bitcoin-otc.com where it took me 1 hr to setup all this encryption crap only to find out nothing is automated.

    Basically you need to chat with the other side in irc then decide how to trade. They have a bunch of seller/buyer listing bitcoin for sale, most of it are pure scams/stale orders. I couldnt find 1 active legit seller that's online willing to close the transaction with me.

    Also paypal officially banned bitcoin purchase, i am sure many other big financials will follow. So the only way to transact is under the table using wire or noname online cash transfers.

    Until they establish a legit otc market with order system, this thing wont get very far.
     
  5. world of warcraft currency is MUCH BETTER established and liquid, bid/ask and transaction is very smooth compared to bitcoin. Only problem is wow currency are printed nonstop (like our government) so inflation is rapid and nonstop, and the minor issue of getting your account banned if blizzard catches you buying/selling.

    i played around a bit with project entropia currency, it's a fixed peg to the usd. Spent a few hundred and bought some land to test things out but didnt have time to maintain it. I still own that piece of land in my account, maybe it went up in value now :) it was a few years back when i bought it.
     
  6. I suggest getting into Bitcoin.

    I have made a small little profit over a few days and I really don't see it going down. It is basically in its infancy if you think about it.

    Other than the well informed I really do not think this is a square trade. In fact, I am guessing most don't even know why the price is going up.

    It is the drug dealers new choice of currency. That makes it very very valuable, IMO.

    I have talked to people that have accounts with SilkR. They have said that there is an explosion of members and listings on the site. I don't see this diminishing anytime soon.

    You can get Bitcoins with Western Union - > Liberty reserve - MtGox. There are also ways to "clean" these -

    I suggest some research into this if you haven't already. Even $100 ( which is pennies to some of you ) would be a good means of diversification.

    Here is the link to bitcoin charts

    GL guys..

    http://bitcoincharts.com/charts/mtgoxUSD#rg60ztgSzm1g10zm2g25
     
  7. the bottom line is that someone will step up.

    take a huge position, start accumulating the entire float and pump it to the price of gold.

    the entire market is worth maybe 250million right now. for the most secure, efficient, and sound digital currency in the world.. 250million is nothing compared to the 6billion potential internet users.

    if you want to bet that bitcoins will be the worlds single currency, where fractional denominations are valuable. $25 per unit is NOTHING.

    this could be the Louisiana purchase of the 21st century!!

    http://www.elitetrader.com/vb/showthread.php?s=&threadid=221643
     
  8. Agree.

    Bitcoin can go to 8 DECIMALS

    Really guys, for the few that can afford to throw down a $100 without breaking a sweat, I would really do it.

    There is always a "limited" supply in a way because as time goes on it gets harder and harder to "mine" these coins. Just think about all the people that are willing to finance their underground operations through this.

    I suggest at least reading about the TOR Onion system / bitcoin / and anonymity surrounding these.

    BTW, it is IMPOSSIBLE to short Bitcoin ( AFAIK ). Until this happens, which I don't even know if possible, I would try to dollar cost average your way in.

    I suggest though forming your own conclusions after a few days of research. After that, come back in post and give your opinions. I would be very willing to hear what some of you have to say.
     
  9. well i finally got some, bought 12 at $30 a pop. Wanted $1000 worth but it was so fucking painful, literally had to chat up with those mining nerds and go through paypal 1 at a time, they all scared shitless i will charge back paypal after getting the bitcoins sigh. Who the fuck has the time for this bs...

    I see the price on ebay doubled, it was $20 a few days ago now going for $40.

    What i like about bitcoin is the way it's programmed is very elegant and secure now that i read up its white paper. Once the cap is reached i believe in 20 years, it will be forced to start dividing internally in a deflationary manner, it can be divided almost infinitely so getting the smallest unit of trade will never be a problem. The whole thing is a very cool read as a technology proof of concept for us programming geeks. This is supply and demand in its purest form, whether it succeeds or not.

    The downside is there is no market at all, just a bunch of guys running solo in their basement, need a big player to step up and establish a legit market to inject confidence in those bid/ask. I really dont see this thing take off until a real market is established. Also if your computer is hacked you fucked there is no handholding. I suggest you encrypt your bitcoin account and store it in a disconnected usb dongle, and only plug it in for transaction.
     
  10. I like the idea behind bitcoin. I briefly looked in to it for something else. If I understood right, there is no new currency added. Unlike money.

    It's really a good idea but i think you just have to watch out for the press. Chances are, we came across it when it was more talked about. This would mean we saw it at a high.

    So just watch for your entry, make sure its not being hyped at the time you buy it (remember its not a stock or commodity) exposure means popularity which should mean high price.

    Couple of problems (from what i remember i understood of it.
    trading means working with strangers with large amounts of cash. This can be limiting as it is a test, splitting your orders in small chunks may result in predictability of your volume requested. after a long period of this, people can get start to get ideas. this is for face to face trading.

    lack of traders,

    and I'm a bit worried that the idea get copied and maybe improved. In this case we could see a % of user start selling to use the new service lowering price,

    but like i said i thought about it and didn't like the risk so didn't go deeper in to it. Id really like to see a chart. Its been a long time since i last saw it and maybe now the press is a bit quiet.
     
    #10     Jun 12, 2011