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Bitcoin community in panic as major exchange goes AWOL.
- Thread starter criesofthepast
- Start date
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well, they're no longer totally AWOL, though it's still the same kind of shit vague statement they usually make:
http://www.cnbc.com/id/101444038
and prices are jumping.
http://www.cnbc.com/id/101444038
and prices are jumping.
Oh and I heard the same sort of crap when I bought in with bitcoin when it was $15. I bought $2000 worth. I pulled out when the price dropped to $10. The same nonsense was heard then as it is now, it's doomed, you're going to lose your money rah rah rah. I did lose money, because I listened to average joe sceptic.
Had I stayed in and not listened to people similar to the sceptics in this thread, I would have turned $2000 into $130,000 in the space of a couple of years.
I'm well aware of the average joe mindset. It's why they are forever average joe's.
Had I stayed in and not listened to people similar to the sceptics in this thread, I would have turned $2000 into $130,000 in the space of a couple of years.
I'm well aware of the average joe mindset. It's why they are forever average joe's.
All fiat money is printed out of nothing. Crypto currency is actually quite a bit more restrictive since there's a finite amount and you actually need to perform the work to generate it. And no, people cannot just create it on their own as the entire network of people using the currency locally store every transaction ever made and it all has to agree.
criesofthepast
Member
He really has balls I'll give him that. No rush, buddy. "Soon-ish."
SMH.
New reddit rumor is that BTC China has bought MTGox. lol
If true...
We are witnessing the failure of a company the government would deem "too big to fail" (self.Bitcoin)
(252|67) submitted 3 hours ago by PotatoBadger
110 commentsshare[l=c]
This is a free market. These exchanges have been operating in the closest thing we've had to a financial free market in a long time.
There won't be a bail out for Mt. Gox. It will simply fail as a company.
Right now, their failure is taking a hit on the overall market. But you know what? Anyone who wasn't a customer of Mt. Gox still has their full amount of bitcoins. Nobody is being robbed to bail out an incompetent company. The only losers here are Mt. Gox and those who voluntarily chose to do business with them.
This is a free market speed bump. It sucks right now, but because the crappy companies (Gox) can go bankrupt while the good companies (Bitstamp, Coinbase, etc.) succeed, the entire Bitcoin ecosystem will grow stronger with time. Regulators think that a market should be patched together with bail outs rather than left alone to adapt and develop. Let's prove them wrong.
Cheers
5/5
Top rated comment in that thread:
And a response:
At least there's a little sanity over there.
Austriacus
Member
For what its worth, i believe you can do it if you have the determination(like ima asume you have from your posts). I aplaud that you have learned not to let the majority dictate what you do. Real success in all aspects of life comes from carving the path you take with your own hands.
But that's the point of real currency. It's supposed to be worthless in itself because there's no point in wasting resources on what at the end of the day is just a symbol anyway. Their value comes from state actors guaranteeing that value.
The funny thing is that I can swear that the argument back when Bitcoin launched was that a finite reserve would keep the value stable, as compared to the ever-present inflation that occurs with real currencies. Instead Bitcoin, if it's a currency, is the most volatile currency that has ever existed.
Based on the details you've given in this thread, over the long term you've made an income of $27 and lost $713.67 with an investment of $2020.
That's an actual ROI of -35.33%! Congrats!
It's deflationary by design, so I don't see how anyone could have argued that the finite supply meant it would be stable.
SneakyStephan
Banned
Whoa, what is this post...You can lol all you want but the joke is seriously going to be on you guys if I bump this thread in a year telling everyone my scheme worked and I'm now as loaded as all fuck, driving a high class sports car, looking hot as all fuck
And I have to do it. I have to pull this off. I've got a point to prove to this skeptical, cynical world.
Anyway, my scheme. It's basic compounding. 2% roi daily (averaged over time) is equivalent to an annual interest rate of 730% a year. The compound factor is daily.
A 2% roi can be achieved with a few successful trades a day on a bitcoin market such as BTC-e. Losses can be minimised through conditional stop loss orders if the price falls below the line of support. The majority of trades should be successful through the use of solid good chart analysis fundamentals and not letting emotion get in the way of strategy.
So I say a millionaire within a few years? Ok.
Use the following parameters in this compound interest calculator - http://www.thecalculatorsite.com/finance/calculators/compoundinterestcalculator.php
Annual Rate 730%
Compound Rate Daily
A base of $1000, getting a 2% roi daily will return 1.3 million after 1 year.
The question is can one actually achieve 2% daily? I achieved 17% daily averaged over the last week. I'm confident enough.
criesofthepast
Member
They updated the site with this. Wow. Protect the site and its users? Give me a break.
PdotMichael
Banned
Just a proud owner of the Golden Gate Bridge.
the wacky passionate lib rants are an underrated component to crashes (and pumps) imho
Another free market anarchist's self satisfied ego running wild and doubling down on the lunacy as the consequences of the freeest of free markets unfold in front of their eyes.
There are a few goldbugs in the cryptocurrency community. I was listening to one of their popular apologists (can't remember the name, but his initials are AA and he's European), and his hypothesis was that the volatility of Bitcoin would go away as the money supply rises. It's not fair to compare the stability of the dollar to Bitcoin because the dollar is too big! :,(
He went as far as to present Bitcoin as an alternative to "volatile" currencies in the third world. Of course, all of the example currencies he gave were more stable than Bitcoin. Does anyone agree with his hypothesis? Even for the inflationary cryptocurrencies, I wouldn't bet on stability rivaling a managed currency.
Can't we just get the RSA master key that EMC gave the NSA and mine the wayback machine?
... that gif... oh my god.
You made my day <3
Thank you all. The satire in this thread has entertained me all morning. I know it's old news to most of you, but I laugh hard when I am reminded that this company's name is Magic: The Gathering Online eXchange.
Data Elemental
Member
In what way do state actors guarantee the value? I'm honestly curious. There are, I believe, three factors that make the money of the place I'm living in special:
1) I can use it to pay taxes.
2) Debtors are forced to accept it as payment for debts.
3) Everybody is using it, because it's there and everybody is using it.
Of course, for foreign currencies, none of that holdsthey aren't special in the same way here.
Anyway, I'm not seeing which part there guarantees a certain value. There is no guarantee that I can buy a certain amount of something (say bread or gold) for a certain amount of money, to the best of my knowledge. In fact, I can usually buy less for the same amount after some time passes. I suppose, living in a reasonably decent place, I can rest assured that there won't be any hyper-inflation any time soon and that there won't be any wild short-term swings in value, which is rather convenient. Were you referring to this ability of state actors to influence the value through corrective measures to hit, for example, certain target inflation rates, when you talked about "guaranteeing that value"?
PdotMichael
Banned
The problem is that such people think that "stable" only means that the value of something can't decrease.
Although stable would mean that the bitcoin boom in the last years wouldn't be possible in the first place.
I think the argument was that it would start cheap, deflate as it was mined (rewarding early adopters and driving the value up from the minuscule amounts it started off with) and then stabilize as production dwindled. This would probably already have happened if not for the rampant speculation and hoarding, which no-one even discussed as a problem as far as I can recall.
I mean a lot of the arguments for Bitcoin back then were based in libertarian ideology after all. Its proponents were people who were convinced the Fed was responsible for the banking crash and that the infinite supply of "fiat currency" would soon render it completely worthless.
jim-jam bongs
Member
Fixed
Wouldn't that eventually become deflationary?
Also how does mining work if there is an almost infinite amount of mining that can be done but a finite amount of coins that can be dished out for that highly variable amount of mining work?
You can lol all you want but the joke is seriously going to be on you guys if I bump this thread in a year telling everyone my scheme worked and I'm now as loaded as all fuck, driving a high class sports car, looking hot as all fuck
And I have to do it. I have to pull this off. I've got a point to prove to this skeptical, cynical world.
Anyway, my scheme. It's basic compounding. 2% roi daily (averaged over time) is equivalent to an annual interest rate of 730% a year. The compound factor is daily.
A 2% roi can be achieved with a few successful trades a day on a bitcoin market such as BTC-e. Losses can be minimised through conditional stop loss orders if the price falls below the line of support. The majority of trades should be successful through the use of solid good chart analysis fundamentals and not letting emotion get in the way of strategy.
So I say a millionaire within a few years? Ok.
Use the following parameters in this compound interest calculator - http://www.thecalculatorsite.com/finance/calculators/compoundinterestcalculator.php
Annual Rate 730%
Compound Rate Daily
A base of $1000, getting a 2% roi daily will return 1.3 million after 1 year.
The question is can one actually achieve 2% daily? I achieved 17% daily averaged over the last week. I'm confident enough.
1.3 million? what kind of shit sports car are you going to buy with that? a miata?
it's inflationary since they're allowing an increase in the money supply each year
Q1: Yes, assuming economic activity with dogecoins grew at a faster rate than the currency. I think the inflation rate is like 5%, though. Economic activity will probably grow slower than that. I'm not sure we'll discover a set it and forget it algorithm that can replace a central bank. It's not a bad idea if you're a monetarist.
Q2: More work is required to mine additional coins as the money supply increases.
MT Gox CEO made an announcement just a bit ago, not sure what it means
http://www.reuters.com/article/2014/02/25/bitcoin-mtgox-ceo-idUSL1N0LU12G20140225
"Feb 25 (Reuters) - Mt. Gox, once the world's largest bitcoin exchange, is "at a turning point," CEO Mark Karpeles told Reuters in an email, as the trading website remained down on Tuesday after halting withdrawals earlier in February.
In an emailed response to a question of whether the Tokyo-based exchange was dead, Karpeles said: "We should have an official announcement ready soon-ish. We are currently at a turning point for the business. I can't tell much more for now as this also involves other parties."
The digital marketplace operator said earlier this month that it had detected "unusual activity" and its office in Tokyo was empty on Tuesday, barring a handful of protesters saying they had lost money in the virtual currency.
Six leading bitcoin exchanges distanced themselves from Mt. Gox in a statement, calling the exchange's activities a "tragic violation of the trust of users of Mt. Gox.""
http://www.reuters.com/article/2014/02/25/bitcoin-mtgox-ceo-idUSL1N0LU12G20140225
"Feb 25 (Reuters) - Mt. Gox, once the world's largest bitcoin exchange, is "at a turning point," CEO Mark Karpeles told Reuters in an email, as the trading website remained down on Tuesday after halting withdrawals earlier in February.
In an emailed response to a question of whether the Tokyo-based exchange was dead, Karpeles said: "We should have an official announcement ready soon-ish. We are currently at a turning point for the business. I can't tell much more for now as this also involves other parties."
The digital marketplace operator said earlier this month that it had detected "unusual activity" and its office in Tokyo was empty on Tuesday, barring a handful of protesters saying they had lost money in the virtual currency.
Six leading bitcoin exchanges distanced themselves from Mt. Gox in a statement, calling the exchange's activities a "tragic violation of the trust of users of Mt. Gox.""
empty vessel
Member
There is never any guarantee that any social construct will have any certain value in perpetuity. However, the government's ability to literally place you in a cage if you do not pay your taxes in a designated currency will always create a demand for that designated currency so long as the government retains its power to cage people. The value of currency can move relative to the value of real goods and services offered for sale if the amount of currency changes relative to the amount of goods and services offered for sale. Assuming we are talking about a fiat currency, this is not difficult to manage, because the government can easily control the supply of currency through its fiscal (spending and taxing) powers. It can inject currency by spending, and it can drain it by taxing. Historically, instances of hyperinflation are rare, and are usually rooted in quick disruptions in the supply of goods available for sale.
It would be the government's ability to manage currency supply while imposing tax obligations to drive demand. Only the government can effectively manage money in this way.
All of the points you listed, actually. This is the point behind legal tender: by law, it is always guaranteed that you will be able to use it as currency - there will never be a situation where a shopkeeper or debtor will go: "Dollars? Screw you, we only take Pounds here!" in the currency's respective home country. So you're guaranteed that the money you have is worth what it says on the bills.
Then there's the fact that the supply is at any given time limited by law. You can't print your own money (that's counterfeiting). You legally also can't destroy it, although this is obviously a rather rare problem and seldom enforced. So you know that the money you have will not drastically change value overnight because of supply reasons.
And finally, while the value over time will change due to inflation, like you said, the government is guaranteeing that the changes take place over long time frames - years, at the very least - and won't be so drastic that you seriously have to take them into account when you buy things like food or pay your rent.
In the end you have a currency with a predictable, guaranteed value because a state actor is enforcing it through legislation and regulation.
Sounds like you're both describing similar arguments. It's really pretty baffling that hoarding wouldn't be considered in the case of a deflation! I thought that was expected behavior when something like that happens with any other currency.
Did the proponents of these arguments explain why the value is so volatile but the expansion of supply is fairly steady over time? I could see if coins were created haphazardly and in large quantities but the whole system is designed to introduce coins at a predictable rate as far as I understand.
shakin_haitian
Banned
He had the ability to save 357k dollars.
Guy not only puts his life savings but his son's education fund in a completely unregulated, unsecure currency and exchange. It's hard to feel sympathy for that.
Yeah I was gonna say, he stashed away a considerable amount of money before his kid turned 5. It's obviously a devastating loss but something tells me the guy will manage.
Could be a late in life kid, hard to say without more details.
This is how I feel. How dumb can you be? I hope he learns from this experience. I feel bad for the kid.
Textbook example of why you shouldn't put all of your eggs in one basket. Especially not 357k of them into the lala-libertarian cryptocurrency basket. He'll never see his money again. (He certainly shouldn't commit suicide, though - that would only be worse for his son.)
Of course it does. The same types of people that are attracted to EVE are attracted to cryptocurrency, and a subset of those people are sociopaths who use the cover of anonymity provided by these markets to screw other people to their benefit. That's why I wouldn't touch that game with a 10-foot pole; it's libertarian economic and social philosophy taken to its natural conclusion.
criesofthepast
Member
Be careful with these sob stories because a lot of them are bogus. I know he isn't asking for donations directly but people can tip on reddit and it is common for people to make up stories to draw tips. Having said that, do I doubt that there are similar stories are out there that actually have happened? No doubt. A lot of people are out big money and it could have life changing repurcussions for them. That's why you have suicide hotline threads pop up in time of crisis.
I think the idea is that it's acting as a commodity now, but will act as a currency in the future. According to him, the magnitude of the volatility spikes will decrease over time until they become manageable, but I don't buy it.
Chittagong
Gold Member
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