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Arkie
11-07-2013, 09:39 PM
Bitcoin is at new highs ($325) as of this post. There's a lot of resistance. I'm expecting it to correct at any moment.

Bitcoin Live Charts (http://bitcoinwisdom.com/markets/mtgox/btcusd)

Rohirrim
11-07-2013, 09:45 PM
Can I buy gold with it?

DenverBrit
11-08-2013, 08:53 AM
Pet rocks, invest in pet rocks. ;D

Rohirrim
11-08-2013, 12:34 PM
Pet rocks, invest in pet rocks. ;D

That guy made a million bucks.

I had a million in bitcoins, but I blew it on WOW weaponry. ;D

B-Large
11-08-2013, 01:08 PM
That guy made a million bucks.

I had a million in bitcoins, but I blew it on WOW weaponry. ;D


Sorry, I am developing my idea: the Jump to Conclusions Mat


I read and article about Bitcoins, and I still am not sure what they are... I might just stick to what I know and understand.

Bronco Yoda
11-08-2013, 03:37 PM
Looks like my vote is worth TWO! so take that... hahaha

Arkie
11-08-2013, 06:46 PM
Sorry, I am developing my idea: the Jump to Conclusions Mat


Ironic

CHEF LUIGI
11-09-2013, 12:31 PM
sex is the universal currency.

CHEF LUIGI
11-09-2013, 12:32 PM
go redskins, seriouisly, just go.

fankadeo
11-10-2013, 01:28 AM
http://www.orangemane.com/BB/showthread.php?t=110599&highlight=bitcoin check this thread out from a BIT ago. Some wonderful crazy going on

baja
11-10-2013, 08:05 AM
I'm thinking of jumping in.

StugotsIII
11-10-2013, 05:08 PM
http://www.orangemane.com/BB/showthread.php?t=110599&highlight=bitcoin check this thread out from a BIT ago. Some wonderful crazy going on

No one cares.

fankadeo
11-10-2013, 09:59 PM
No one cares.

awwwwwwwww so really this is all you got? This is weak Kade I expected better from you. Bring something worth fighting about

Arkie
11-18-2013, 10:48 AM
Oct 2009: the first exchange rates were $1 = 1,309.03 bitcoins (less than a tenth of a penny)

May 2010: the first pizza sold for 10,000 bitcoins ($25 value then)

July 2010: bitcoin increased 10 fold from less than a penny to about 8 cents.

Feb 2011: MILESTONE bitcoin reached parity with the US dollar, $1 per bitcoin

June 2011: MILESTONE bitcoin reaches $10

June 8, 2011: bitcoin goes over $30 then comes crashing back down to $10

2012: remains stable and trades between $5 to $13 for the entire year

2013
Jan: $13
Early March: $30
Late March: $90, Baja mentioned then new currency
April: MILESTONE bitcoin reaches $100
April 9, 2013: bitcoin goes over $250 then comes crashing back down to $75
Oct 2, 2013: Silk Road was taken down, bitcoin dropped from $150 to $110
Nov 7, 2013: $325, tripled since the silk road takedown, and I expected a correction at this all time high price.
Nov 18, 2013: $650, doubled since the start of this thread. WTF?!


That $25 pizza in 2010 would be worth $650,000 today.


Present Day:http://silver.youmeandbtc.com/frombtc.php?value=1&eur=0&mbtc=0&exchange=MtGox&dec=8

Mr.Meanie
11-19-2013, 08:50 PM
Oct 2009: the first exchange rates were $1 = 1,309.03 bitcoins (less than a tenth of a penny)

May 2010: the first pizza sold for 10,000 bitcoins ($25 value then)

July 2010: bitcoin increased 10 fold from less than a penny to about 8 cents.

Feb 2011: MILESTONE bitcoin reached parity with the US dollar, $1 per bitcoin

June 2011: MILESTONE bitcoin reaches $10

June 8, 2011: bitcoin goes over $30 then comes crashing back down to $10

2012: remains stable and trades between $5 to $13 for the entire year

2013
Jan: $13
Early March: $30
Late March: $90, Baja mentioned then new currency
April: MILESTONE bitcoin reaches $100
April 9, 2013: bitcoin goes over $250 then comes crashing back down to $75
Oct 2, 2013: Silk Road was taken down, bitcoin dropped from $150 to $110
Nov 7, 2013: $325, tripled since the silk road takedown, and I expected a correction at this all time high price.
Nov 18, 2013: $650, doubled since the start of this thread. WTF?!


That $25 pizza in 2010 would be worth $650,000 today.

Serious question, why is the value of bitcoin $650? Is there a way to exchange for actual dollars beyond buying something of real value (drugs) and selling it for cash? I don't know much about it but it seems like the main value is being an untraceable currency that is great for black market sites like SR, or straight up speculation. Am I off?

Arkie
11-20-2013, 08:26 AM
Serious question, why is the value of bitcoin $650? Is there a way to exchange for actual dollars beyond buying something of real value (drugs) and selling it for cash? I don't know much about it but it seems like the main value is being an untraceable currency that is great for black market sites like SR, or straight up speculation. Am I off?

It's just an infinitely cheaper and functionally superior way to transact over the internet. Big and little amounts. Wiring large cash amounts around the world is 1000s of times more expensive. The transaction costs comparison is like hundreds of dollars to 1 cent. There are no third party transaction costs so that makes micro payments possible. You can easily tip others like I could send you 3 cents (0.00005587 BTC) for enjoying one of your posts if I had one of your addresses to send it to. You'll have a collection of addresses that all go to your bitcoin wallet. Each time you transact a new address is automatically generated for you or you can use one of the previous ones. For example, this address goes to my wallet - 1HLBw9688PQiqbmPMx7wT1ZyZTXpuHYDkw

That address was generated days ago and already has thousands of confirmations around the world on a decentralized ledger. My bitcoin is set in stone (or set in the blockchain) Nobody can hack the bitcoin system. Yes, they can hack online accounts just like any other bank accounts but not bitcoin itself. It's safer than USD which can be either counterfeited or legally duplicated through QE. You have no control over the money in your pocket being less of the total supply. With bitcoin, you know exactly what % of the supply you have and that can't change unless you spend or receive it.

The price scares people, but it doesn't matter what it costs. You can always just own a few cents if that's all you really wanted. It's trending up because more people are using it. The bitcoin community is still just a tiny percentage, but the market capitalization is over $6 billion. You can buy cars, houses, just about anything. The first ATM machines sprang up earlier this month.

Fedaykin
11-20-2013, 08:33 AM
Serious question, why is the value of bitcoin $650? Is there a way to exchange for actual dollars beyond buying something of real value (drugs) and selling it for cash? I don't know much about it but it seems like the main value is being an untraceable currency that is great for black market sites like SR, or straight up speculation. Am I off?

Many places will convert it, ranging from extremely shady (blind drops at airports) to just mildly risky (sites with very poor security records that you have to give bank account info to).

It's a speculation bubble, which makes it a poor currency currently. The speculation bubble means it's in a massive deflationary spiral at the moment. The example of the pizza is perfect. You're a lot better off NOT buying the pizza, because the value of that BTC used will likely be much higher soon.

The worst possible thing you can do with BTC right now is actually spend it....

Currency with massive deflation is just as unsuitable for commerce as currency with massive inflation.

Most likely BTC is in for a roller coast of inflationary and deflationary cycles that will prevent it from being a viable currency for quite some time (if ever). With a bit of good luck though, you can make a whole lot of money. With a little bad luck, you'll lose a whole lot of money. Just like a highly volatile stock.

Fedaykin
11-20-2013, 08:38 AM
The price scares people, but it doesn't matter what it costs. You can always just own a few cents if that's all you really wanted. It's trending up because more people are using it. The bitcoin community is still just a tiny percentage, but the market capitalization is over $6 billion. You can buy cars, houses, just about anything. The first ATM machines sprang up earlier this month.

The absolute price certainly is meaningless, but the roller coaster of price change is a huge problem. Until/unless it stabilizes, doing any kind of commerce (buying or selling) is a LOT more risky than with USD.

Would you start a business that only accepted a highly volatile stock as payment?

Arkie
11-20-2013, 08:49 AM
Would you start a business that only accepted a highly volatile stock as payment?

I would accept bitcoin because I could instantly convert it to USD (not that I would want to) at the point of sale, and I would have access to every country with no charge-backs. I could deal with them on my terms cheaper than my competitors that don't accept bitcoin.

Fedaykin
11-20-2013, 09:02 AM
The bitcoin community is still just a tiny percentage, but the market capitalization is over $6 billion. You can buy cars, houses, just about anything. The first ATM machines sprang up earlier this month.

The BTC market will never stabilize unless it takes at least the majority share of the "market" from the USD. It's a catch-22. The only way for BTC to become a viable currency is to be widely used and accepted, and maintain a reasonably stable value. Unfortunately, the only way to become widely used and accepted is to be used by more people, and the more people that use it, the more the deflationary cycle will continue, preventing a stable value.

There are currently 12 million BTC. There is currently around 2 trillion dollars in the M1 supply, meaning to replace the USD, the actual exchange rate is at a minimum, 1.7 million USD to BTC (never mind the actual money supply is far more than $2T, M1 is just bank deposits + actual minted currency).

So, potentially, your 1 BTC could be worth 1.7 million USD (if it replaced all M1). Right now it's "worth" $550. In other words, it'll be a LONG time before the BTC price stabilizes if it starts gaining significant acceptance as an alternative to USD, even if it only take 1/2 or 1/3 of the currency market. Even at 1/10, it would have to deflate to $170,000 per BTC.

So, like I said. The worst possible thing you could do right now is actually use BTC to buy something, which is why it's a horrible currency.

Fedaykin
11-20-2013, 09:03 AM
I would accept bitcoin because I could instantly convert it to USD (not that I would want to) at the point of sale, and I would have access to every country with no charge-backs. I could deal with them on my terms cheaper than my competitors that don't accept bitcoin.

So in other words, no, you would NOT use BTC as a currency.

Arkie
11-20-2013, 09:16 AM
So in other words, no, you would NOT use BTC as a currency.

I wouldn't spend it, but others are. The daily transactions are going up. I don't know what it was spent on a few years ago, but computer nerds started buying equipment with it. It's still not mainstream, but people have bought everything from cars to houses.

Fedaykin
11-20-2013, 09:21 AM
I wouldn't spend it, but others are. The daily transactions are going up. I don't know what it was spent on a few years ago, but computer nerds started buying equipment with it. It's still not mainstream, but people have bought everything from cars to houses.

How many of those transactions are for legit transactions (rather than drugs, etc?) and not as a way to cash in or out? Because a few transactions are done legit, doesn't mean much.

And again, in order to replace the USD in any significant way (BTC isn't even a blip yet), the value is going to have to change drastically.

no stable value = not a currency

It's a speculation bubble.

Arkie
11-20-2013, 09:39 AM
no stable value = not a currency

It's a speculation bubble.

The speculation is only on whether it will stabilize at some price higher or lower than today. Volatility decreases over time. It had more volatile growth spurts in earlier years before it stabilized at around $8-$12 for the computer nerds and the shady market. It's been speculated up as the market expands. Everybody knows it has absolutely no value if it isn't used. It will eventually settle at a price higher than the last stable range which was around $80-$120 for most of late spring, summer and early fall.

Fedaykin
11-20-2013, 09:53 AM
The speculation is only on whether it will stabilize at some price higher or lower than today. Volatility decreases over time. It had more volatile growth spurts in earlier years before it stabilized at around $8-$12 for the computer nerds and the shady market. It's been speculated up as the market expands. Everybody knows it has absolutely no value if it isn't used. It will eventually settle at a price higher than the last stable range which was around $80-$120 for most of late spring, summer and early fall.

That's an awesome analysis pulled directly out of your ass! Gratz!

Like I've said multiple time now. The only way BTC will become a viable currency is if it's used, and if it's used it's value is going to have to go up drastically in relation to the USD in order to fullfill currency/value needs.

$170,000/BTC is the value necessary to replace 10% of commerce.

Arkie
11-20-2013, 10:02 AM
That's an awesome analysis pulled directly out of your ass! Gratz!


The first part is reality. The last sentence was just my own guess. :)

Fedaykin
11-20-2013, 10:11 AM
The first part is reality. The last sentence was just my own guess. :)

Yep, that's what I was commenting on. The problem is: math.

BTC does 50,000 transactions a day, and at current market Capitalization of $6bn can only replace 0.3% of M1. In other words, only 0.3% of commerce can occur in BTC at current valuation. If I own a business, why should I give a rats ass about the current 0.3% of my customers might have BTC and 0.0025% of all transactions (my est)?

To be a currency, BTC must grow enormously in usage. Because the supply is BTC is essentially fixed, that means the valuation of BTC much grow proportionally as well.

Arkie
11-20-2013, 10:22 AM
Many places will convert it, ranging from extremely shady (blind drops at airports) to just mildly risky (sites with very poor security records that you have to give bank account info to).


People you trade with in person can be shady strangers at the airport or just your friends with smartphones. Coinbase.com is an American site based in San Francisco with a good reputation and good security. They need your info only if you are purchasing from your bank account or want to cash out to a bank account. That's only necessary because of the USD banking system. They don't need your info if they are just holding bitcoin you acquired from a friend or mined yourself.

Arkie
11-20-2013, 10:26 AM
To be a currency, BTC must grow enormously in usage. Because the supply is BTC is essentially fixed, that means the valuation of BTC much grow proportionally as well.

Bitcoin can handle it. A Satoshi is the smallest fraction of a Bitcoin that can currently be sent. A satoshi equals 0.00000001 BTC, or $0.00000605. It's a lot cheaper than a penny and has plenty of room to appreciate.

Fedaykin
11-20-2013, 10:37 AM
Bitcoin can handle it. A Satoshi is the smallest fraction of a Bitcoin that can currently be sent. A satoshi equals 0.00000001 BTC, or $0.00000605. It's a lot cheaper than a penny and has plenty of room to appreciate.

You're not understanding the issue. The issue is not the divisibility of the BTC, it's the wild changes in valuation (of ALL units unit) against the USD that it needs to undergo to be a viable currency.

BroncoBeavis
11-20-2013, 10:56 AM
You're not understanding the issue. The issue is not the divisibility of the BTC, it's the wild changes in valuation (of ALL units unit) against the USD that it needs to undergo to be a viable currency.

Yeah, wildly erratic deflation is not exactly something you want in a replacement currency. :)

Fedaykin
11-20-2013, 11:01 AM
Coinbase.com is an American site based in San Francisco with a good reputation and good security. They need your info only if you are purchasing from your bank account or want to cash out to a bank account. That's only necessary because of the USD banking system. They don't need your info if they are just holding bitcoin you acquired from a friend or mined yourself.

Giving your bank account info to an internet site = at least mildly risky
Mining bitcoin = requires specialized knowledge, expensive up front investment in equipment, and free electricity to be profitable.

Arkie
11-21-2013, 01:05 PM
The first airport bitcoin machine opened up in Turkey 2 days ago. That's a great idea. It accepts several currencies so you can transfer all of your unspent foreign currency to bitcoin before you hop on the plane. These will be popular in airports around the world. No need to travel with money anymore. Just get off the plane, go to the machine, and get however much foreign currency needed for your stay in that country.

DenverBrit
11-21-2013, 02:47 PM
The first airport bitcoin machine opened up in Turkey 2 days ago. That's a great idea. It accepts several currencies so you can transfer all of your unspent foreign currency to bitcoin before you hop on the plane. These will be popular in airports around the world. No need to travel with money anymore. Just get off the plane, go to the machine, and get however much foreign currency needed for your stay in that country.

Like an ATM? ;D

Blart
11-21-2013, 08:19 PM
http://i.imgur.com/FAVyM.gif
http://buttcoin.org/

W*GS
11-22-2013, 08:27 AM
"Bitcoin is a Ponzi scheme libertarians use to make money off each other" (http://www.theatlantic.com/business/archive/2013/11/bitcoin-is-the-segway-of-currency/281625)

Fedaykin
11-22-2013, 09:41 AM
"Bitcoin is a Ponzi scheme libertarians use to make money off each other" (http://www.theatlantic.com/business/archive/2013/11/bitcoin-is-the-segway-of-currency/281625)

Interesting bit:

"Indeed, researchers from the University of California-San Diego and George Mason University found that 64 percent of all bitcoins are being hoarded in accounts that have never been spent. And of the bitcoins that are being spent, a full 60 percent are on the gambling site Satoshi Dice."


So, in other words only 15% of bitcoins are being used for anything other than as an investment or for gambling on one particular site.

Want to guess what the overwhelming majority of the rest are used for? Hint: not legal purposes.

Arkie
11-22-2013, 09:58 AM
"Bitcoin is a Ponzi scheme libertarians use to make money off each other" (http://www.theatlantic.com/business/archive/2013/11/bitcoin-is-the-segway-of-currency/281625)

The author lost credibility saying it's a Ponzi scheme. He either doesn't know the characteristics of a Ponzi scheme, doesn't understand how bitcoin works, or he's trying to mislead people who haven't tried it yet. It can be obsessive. It can be compared to a mania or bubble, but not a Ponzi scheme. Everybody knows how many bitcoins exist and can make judgments based on this knowledge. All profits come from appreciating perception of market value. There is no central authority moving money from new investors to old investors. If this is a Ponzi scheme, then Ponzi schemes have been redefined to include all commodities.

DenverBrit
11-22-2013, 10:18 AM
The author lost credibility saying it's a Ponzi scheme. He either doesn't know the characteristics of a Ponzi scheme, doesn't understand how bitcoin works, or he's trying to mislead people who haven't tried it yet. It can be obsessive. It can be compared to a mania or bubble, but not a Ponzi scheme. Everybody knows how many bitcoins exist and can make judgments based on this knowledge. All profits come from appreciating perception of market value. There is no central authority moving money from new investors to old investors. If this is a Ponzi scheme, then Ponzi schemes have been redefined to include all commodities.

He is somewhat correct.

A case study report by the European Central Bank observes that the Bitcoin currency system shares some characteristics with Ponzi schemes, but also has characteristics that are distinct from the common aspects of such schemes.
http://www.ecb.europa.eu/pub/pdf/other/virtualcurrencyschemes201210en.pdf

But whatever it is, it's proven too volatile and unstable to be called a 'currency.'

Fedaykin
11-22-2013, 11:00 AM
The author lost credibility saying it's a Ponzi scheme. He either doesn't know the characteristics of a Ponzi scheme, doesn't understand how bitcoin works, or he's trying to mislead people who haven't tried it yet. It can be obsessive. It can be compared to a mania or bubble, but not a Ponzi scheme. Everybody knows how many bitcoins exist and can make judgments based on this knowledge. All profits come from appreciating perception of market value. There is no central authority moving money from new investors to old investors. If this is a Ponzi scheme, then Ponzi schemes have been redefined to include all commodities.

Not a ponzi scheme, but the sentiment is correct: it's something that looks to be about certain folks making a lot of money on total bull.

Fedaykin
11-22-2013, 11:08 AM
An argument could easily be made that it's a pump and dump scam.

http://en.wikipedia.org/wiki/Pump_and_dump

Arkie
11-22-2013, 11:18 AM
"A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money or the money paid by subsequent investors, rather than from profit earned by the individual or organization running the operation." - http://en.wikipedia.org/wiki/Ponzi_scheme

Not to be confused with economic bubble.

An economic bubble: A bubble is similar to a Ponzi scheme in that one participant gets paid by contributions from a subsequent participant (until inevitable collapse). A bubble involves ever-rising prices in an open market (for example stock, housing, or tulip bulbs) where prices rise because buyers bid more because prices are rising. Bubbles are often said to be based on the "greater fool" theory. As with the Ponzi scheme, the price exceeds the intrinsic value of the item, but unlike the Ponzi scheme, there is no single person misrepresenting the intrinsic value.


Bitcoin may be in a bubble now, but it's not unsustainable. It worked for 3 years at much lower prices. It will keep going whether it's $10 or $10,000. People will save it and spend it at any price. The condo in Portugal that sold for 850 bitcoins a couple of weeks ago would still sell for 400 bitcoins today. Like Fed said, it would have to be substantially higher to support even a small percentage of the economy. The market still perceives this as not very likely, and $750 is actually cheap. It's only 75% of the $1000 milestone, a magnitude of 10 below 10,000. Bitcoin has been growing at these magnitudes in it's short existence. It's speculative. No doubt about that. I personally think it's cheap even if it only becomes the internet currency for drugs and gambling, but I really think it's much more useful than that.

Arkie
11-27-2013, 08:58 AM
November 27: MILESTONE bitcoin reaches $1000

Arkie
12-03-2013, 06:25 PM
A College Kid Made More Than $24,000 Yesterday Just By Waving This Sign On ESPN (http://www.businessinsider.com/someone-holding-bitcoin-sign-on-college-gameday-receives-over-22-bitcoins-2013-12)

The guy received 100 transactions totalling more than 22 bitcoins. At current prices above $1,100 per bitcoin, the kid has made over $24,000.

http://c3201142.cdn03.imgwykop.pl/comment_bkU2IehzW4ntmm2tmvVu9L9Tlj9XsNxO,w400.jpg

peacepipe
12-06-2013, 01:40 PM
http://www.huffingtonpost.com/2013/12/06/bitcoin-crashes_n_4400392.html

Well, it had to happen some time: Bitcoin is crashing.

The price of the crypto-currency tumbled nearly 21 percent on Friday to $877.46 on trading site Mt. Gox and has fallen more than 29 percent since closing at a record high of $1,237.96 on Wednesday, according to Bitcoin data tracker BitcoinCharts.com. (Story continues after chart, courtesy of bitcoin.clarkmoody.com.)

bitcrash

Much of Bitcoin's meteoric rise in the past few months has been due to speculative trading in China, the Wall Street Journal pointed out earlier this week (subscription only).

China's central bank shot a gigantic hole in that trade on Thursday by telling Chinese banks they couldn't use the untraceable digital currency, calling it "not a currency in the real meaning of the word."

That doesn't mean Chinese investors can't keep speculating in Bitcoin, but it is a blow to the credibility of the four-year-old currency. Created by an unknown hacker or hackers known as Satoshi Nakamoto, Bitcoin has the potential to be a long-lasting digital alternative to national currencies like the U.S. dollar and the Chinese yuan. But it has also become favored for illicit uses such as money laundering and drug-dealing, raising concerns about whether policy makers will ever embrace it fully.

Regardless of Bitcoin's long-term potential, there is little doubt its price has jumped too far too quickly: It traded for less than $100 just six months ago.

An official for Bitcoin exchange BTC China, where a growing percentage of Bitcoin trading takes place these days, told the WSJ that most Chinese investors are just hoping prices will keep rising long enough for them to sell and turn a profit. The People's Bank of China, in its statement on Thursday, reminded traders that might not be the soundest approach to investment, according to the New York Times:

“The price can be easily controlled by speculators, creating severe turbulence and huge risks," the PBOC reportedly said. "Ordinary investors who blindly follow the crowd can easily suffer major losses.”

Arkie
12-06-2013, 04:35 PM
Much of Bitcoin's meteoric rise in the past few months has been due to speculative trading in China

I thought it was a ponzi scheme that libertarians were using to make money off each other. ;D

Anyway, Fed thought nobody would ever spend it. The best time to spend it is when everybody perceives it's in a bubble.

Bitcoin May Be in a 'Bubble' but It Can Also Buy You a Tesla Model S (http://finance.yahoo.com/news/bitcoins-aren-t-just-for-boring-stuff--tesla-s-buyer-finds-165255714.html)

A Lamborghini dealership (http://lamborghininewportbeach.blogspot.com/2013/12/we-just-sold-our-very-first-vehicle.html) in Costa Mesa, California, says it just sold a Tesla Motors Model S for bitcoins and will accept the virtual currency for any future car purchases.

A Tesla costs 60 bitcoins, but if you think it's a bubble, then you need to act fast!

Fedaykin
12-06-2013, 04:59 PM
I thought it was a ponzi scheme that libertarians were using to make money off each other. ;D

Anyway, Fed thought nobody would ever spend it. The best time to spend it is when everybody perceives it's in a bubble.

Bitcoin May Be in a 'Bubble' but It Can Also Buy You a Tesla Model S (http://finance.yahoo.com/news/bitcoins-aren-t-just-for-boring-stuff--tesla-s-buyer-finds-165255714.html)

A Lamborghini dealership (http://lamborghininewportbeach.blogspot.com/2013/12/we-just-sold-our-very-first-vehicle.html) in Costa Mesa, California, says it just sold a Tesla Motors Model S for bitcoins and will accept the virtual currency for any future car purchases.

A Tesla costs 60 bitcoins, but if you think it's a bubble, then you need to act fast!

Oh look, yet another high profile purchase. Whoop de do! Meanwhile, the vast bulk of bitcoins are still just being used as an 'investment'.

And, Tesla just lost about 1/3 of their asking price as the price drops from $1250 to $850 in < 2 days (assuming they didn't cash out immediately)...

I know I just can't wait to us a 'currency' that changes in value that much so frequently! Not that boring old USD where what I'm spending doesn't change by 30% overnight. Give me the thrill of never knowing how much I'm actually spending! Yee-haw!

W*GS
12-18-2013, 12:32 PM
Bitcoin crashed 50% just today. (http://www.nytimes.com/2013/12/19/business/international/china-bitcoin-exchange-ends-renminbi-deposits.html)

Why I want Bitcoin to die in a fire (http://www.antipope.org/charlie/blog-static/2013/12/why-i-want-bitcoin-to-die-in-a.html)

To editorialize briefly, BitCoin looks like it was designed as a weapon intended to damage central banking and money issuing banks, with a Libertarian political agenda in mind—to damage states ability to collect tax and monitor their citizens financial transactions. Which is fine if you're a Libertarian, but I tend to take the stance that Libertarianism is like Leninism: a fascinating, internally consistent political theory with some good underlying points that, regrettably, makes prescriptions about how to run human society that can only work if we replace real messy human beings with frictionless spherical humanoids of uniform density (because it relies on simplifying assumptions about human behaviour which are unfortunately wrong).

Arkie
12-19-2013, 06:48 AM
China drove the price up to 7,588 yuan ($1,250). That's why the price on the western exchanges almost reached that price. It would be worth only $10 if it were just Libertarian money. It was growing faster than the most optimistic projections last summer which had the price quadruple to $400 by the end of the year and reaching $1000 by next April. Even that was crazy to imagine back then.

Arkie
05-22-2014, 04:33 PM
http://i27.photobucket.com/albums/c179/gjbronco/108fefb6-e3a8-4896-9a2f-0198b4fc59ae.jpg?t=1400801005

- It was four years ago today that the first purchase was made using bitcoin, when a Florida programmer bought two Papa John’s (PZZA +2.48%) pizzas.

Mr. Hanyecz was a programmer and coder living in Jacksonville, Fla., and part of the fledgling bitcoin community. On a bitcoin forum, he offered 10,000 bitcoins to anybody who would buy him a pizza. Today that’s worth about $5 million at current prices, but back then it was worth about $60. Hanyecz figured that was enough for two pies and compensation for somebody’s time.

He finally found a taker, another coder living in the U.K., who called a Papa John’s in Jacksonville, placed the order, and paid with his credit card. Hanyecz sent over the 10,000 bitcoins, and a somewhat confused deliveryman showed up at his door with two pepperoni pizzas. “Pizza delivery from London,” he said in an unsure voice. Hanyecz left the offer open, and bought several more pies. But the publicity surrounding his purchase brought more people into bitcoin. As a result, he said, the mining level of difficulty increased, and Hanyecz found himself unable to harvest as many bitcoin as he used to. He then dropped the offer.

In the four years since, it’s become much easier, although still very limited, to spend bitcoins, and it has more utility online than in the real world, which is to expected with a digital currency. So far as we know, there aren’t any major pizza chains that take bitcoin (you can, however, go through eGifter, which takes bitcoin), although if you’re in Brooklyn, drop in to Lean Crust Pizza on Fulton Street. We reached out to Papa John’s for comment, by the way. The company didn’t respond, and we’re not sure if it’s aware of its place in bitcoin history.

-And on Bitcoin Pizza Day, the digital currency’s price jumped above $500. This is the first time the price has been over $500 since late March, according to the Coindesk Bitcoin Index. After a dismal four-month start to 2014, this week is bringing some renewed hope that good news might again be in the driving seat for bitcoin.

Still, as we’ve warned repeatedly over the past week, history tells you to be wary. Volatility will be back.

http://blogs.wsj.com/moneybeat/2014/05/22/bitbeat-happy-bitcoin-pizza-day/

mhgaffney
05-22-2014, 04:57 PM
It's just an infinitely cheaper and functionally superior way to transact over the internet. Big and little amounts. Wiring large cash amounts around the world is 1000s of times more expensive. The transaction costs comparison is like hundreds of dollars to 1 cent. There are no third party transaction costs so that makes micro payments possible. You can easily tip others like I could send you 3 cents (0.00005587 BTC) for enjoying one of your posts if I had one of your addresses to send it to. You'll have a collection of addresses that all go to your bitcoin wallet. Each time you transact a new address is automatically generated for you or you can use one of the previous ones. For example, this address goes to my wallet - 1HLBw9688PQiqbmPMx7wT1ZyZTXpuHYDkw

That address was generated days ago and already has thousands of confirmations around the world on a decentralized ledger. My bitcoin is set in stone (or set in the blockchain) Nobody can hack the bitcoin system. Yes, they can hack online accounts just like any other bank accounts but not bitcoin itself. It's safer than USD which can be either counterfeited or legally duplicated through QE. You have no control over the money in your pocket being less of the total supply. With bitcoin, you know exactly what % of the supply you have and that can't change unless you spend or receive it.

The price scares people, but it doesn't matter what it costs. You can always just own a few cents if that's all you really wanted. It's trending up because more people are using it. The bitcoin community is still just a tiny percentage, but the market capitalization is over $6 billion. You can buy cars, houses, just about anything. The first ATM machines sprang up earlier this month.

How do you get into bit coin?

Doggcow
05-22-2014, 05:11 PM
http://dogecoin.com/imgs/dogecoin-300.png

baja
05-23-2014, 09:59 AM
Attn: Bit Coin values about to sky rocket.

Fedaykin
05-23-2014, 10:01 AM
Attn: Bit Coin values about to sky rocket.

Did your psychic tip you?

Arkie
05-23-2014, 12:43 PM
This is the best talk on Bitcoin ever.

<iframe width="560" height="315" src="//www.youtube.com/embed/joITmEr4SjY" frameborder="0" allowfullscreen></iframe>

El Minion
05-23-2014, 12:50 PM
This is the best talk on Bitcoin ever.

<iframe width="560" height="315" src="//www.youtube.com/embed/joITmEr4SjY" frameborder="0" allowfullscreen></iframe>

Don't have 30 minutes, can someone give the summary bullet points

El Minion
05-23-2014, 12:55 PM
http://dogecoin.com/imgs/dogecoin-300.png

To this day, this meme still makes me laugh:

http://upload.wikimedia.org/wikipedia/en/5/5f/Original_Doge_meme.jpg

http://cdn1.sbnation.com/assets/3775847/scarfdoge_meme.jpg

Arkie
05-24-2014, 12:38 AM
How do you get into bit coin?

I'm not the most tech savvy person, so I'm not the one to ask. The easiest way (what I did) was to open an account with coinbase.com.

This looks helpful.

Buying Bitcoins (the newbie version) (https://en.bitcoin.it/wiki/Buying_Bitcoins_(the_newbie_version))

I noticed a new place in Colorado Springs that's gaining some popularity in the bitcoin world. You give Bit Brothers cash and your bitcoin address, and your purchased bitcoins will arrive at that address. They have an easy cash by mail, but I'm sure you go can to 745 Amberglen Court in person and physically give them cash.
https://www.bitbrothersllc.com/Bitbrothersllc/Welcome.html

mosca
06-03-2014, 02:21 PM
How do you get into bit coin?
Gaff, I'll second what Arkie mentioned about http://www.coinbase.com . It's the easiest and most user-friendly way to purchase them safely online these days, however you pay a bit more in fees.

Here's a good wiki that should answer most of the basic Qs: https://en.bitcoin.it/wiki/Main_Page

And of course, check out http://www.reddit.com/r/Bitcoin/

If you purchase any, just be sure not to leave any bitcoin on a third-party online site longer than you have to. Move the bitcoin to a properly created paper wallet or encrypted wallet and make sure you secure the private keys.

http://www.blockchain.info has some good resources as well

Arkie
06-13-2014, 05:18 AM
https://s3.yimg.com/bt/api/res/1.2/1bOV8Ubp6mVtPNxEIic0Tw--/YXBwaWQ9eW5ld3M7cT04NTt3PTYzMA--/http://l.yimg.com/os/publish-images/smb/2014-06-12/7e9b9fc0-f23a-11e3-ab3d-f1d0dfcedf35_1402504746-how-teenage-entrepreneur-built-startup-bitcoin-riches-erik-finman-2.jpg

When 15-year-old Erik Finman turned a $1,000 Easter gift from his grandma into $100,000 after cashing in on his Bitcoin investment, he wasn’t all like Cristal, Maybach, diamonds on your timepiece. He was all business.

The Idaho robotics champ and early North Idaho College student used his Bitcoin riches to launch Botangle.com, a burgeoning online video tutoring startup, according to Mashable.

The fee-based e-learning service currently offers 59 impressive subjects, including, of course, Bitcoin and entrepreneurship, along with a wealth of other “resources that just do not exist in a normal classroom setting.” Botangle students can also enroll in computer programming, advanced mathematics (stochastic calculus!), 3D special effects and, oddly, equine nutrition courses.

Finman credits his older brother for turning him on to Bitcoin back in 2012. As reported by CoinDesk, he received 0.2 bitcoins from his sibling and bought more using the $1,000 from his grandmother. He sold them a year later for $100,000, when the price per Bitcoin was about $1,200. Smart move, kid.

Like so many other "Bitcoinians,” Finman expects the cryptocurrency to be as big of a game-changer as the Internet itself. He’s going all in, paying his staff of 20 in the digital cash most of the time.

“I’m sharing the wealth of bitcoin because I have no doubt it will be huger [sic] than anyone can imagine right now,” he told Mashable. “Bitcoin is like the Internet in the 90s.”

https://smallbusiness.yahoo.com/advisor/teenage-entrepreneur-built-startup-bitcoin-riches-160200205.html

Arkie
06-13-2014, 05:59 AM
Don't have 30 minutes, can someone give the summary bullet points

I can't write down all the great points that deserve their own bullet crammed into 30 minutes. Here are a couple of quotes.

”Historically, politicians have always fought for the power to create money out of thin air, so they can increase their spending without having to directly increase taxes. The staggering growth of political power throughout the twentieth century — the century of war — was largely made possible by replacing money limited by gold with paper currencies, which can be printed at will by government-controlled banks.”

”Cryptocurrencies are the first self-limiting monetary systems in the history of mankind, and could be our greatest chance to check the growth of political power since the Magna Carta."