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[tipoo]

http://www.theverge.com/2013/11/18/5119062/senate-committee-hearing-on-bitcoin

I'm seeing a pattern here, the price skyrockets after every time I idly ponder buying some but decide not to.

 

[ElbowRocket]

Are all the miners ok?

 

[Vermillion]

Fuck me, I was considering buying when it was about to hit $500, but I didn't expect it to move so fast.

 

[Jacobi]

Bought at sunday, got a nice 33% rebate on my weed and molly.

 

[ComputerMKII]

I'll get bitcoins the day I can spend them on Amazon.

 

[LordCanti]

With cash on hand I couldn't have made a whole lot of money buying at $500 anyway, so I'm not too bummed about that. Bummed about not mining them when that was actually quick and easy though...yeah...I'm bummed.

 

[Rubbish King]

I had like 5 bitcoins from when I was 13 or something


I cannot for the life of me remember what details I used

 

[gaming_noob]

I don't "get" bitcoins. I've scimmed through Wikipedia articles and still don't really understand it.

 

[Cryolemon]

I wonder how long it'll be before a government tries to ban bitcoin.

 

[nullset2]

*generic post about how it is a bubble and will buy when it bursts and it's low again*

 

[paile]

Tulip bubble. It's pure speculation.

And yet when it rebounds it just rebounds to newer and greater heights.

 

[Rocket Scientist]

Another example of how making money is easy when you already have money.

 

[kick51]

I wonder how long it'll be before a government tries to ban bitcoin.

considering they endorsed it a couple days ago and that it's impossible to ban, I'd say never.

*generic post about how it is a bubble and will buy when it bursts and it's low again*

guess again-- generic bitcoin posts on gaf are generally stuck in the dark ages, thinking it's a "scam" or that it's going to die forever for real this time or any number of idiotic things that people come up with when they guess at things before informing themselves.

then the next bubble comes and goes and they're all "see! it was a bubble!" lolllllllllllllllllllll

 

[ElectricBlue187]

Are there any fundamentals to this? What is the price based on? There has to be some reason these people are giving $700 for an algorithm

 

[SteveWinwood]

what's the cash out wait time again? 3 months?

 

[Jacobi]

what's the cash out wait time again? 3 months?

? none. you can sell it whenever you want

guess again-- generic bitcoin posts on gaf are generally stuck in the dark ages, thinking it's a "scam" or that it's going to die forever for real this time or any number of idiotic things that people come up with when they guess at things before informing themselves.

Yeah, pretty much every bitcoin thread is the same

 

[SteveWinwood]

? none. you can sell it whenever you want

To a person. Not off an exchange.

 

[joelseph]

Bought at sunday, got a nice 33% rebate on my weed and molly.

hahahhahahaha

 

[Jacobi]

To a person. Not off an exchange.

It takes 1-3 hours to transfer a bitcoin

 

[Naked Snake]

Are there any fundamentals to this? What is the price based on? There has to be some reason these people are giving $700 for an algorithm

Price is based on supply and demand, like anything else.

People are giving $700 on the hope/expectation that the price will increase in the future, like any other investment.

 

[ElectricBlue187]

Price is based on supply and demand, like anything else.

People are giving $700 on the hope/expectation that the price will increase in the future, like any other investment.

Isn't it made to become more and more scarce as it gets harder and harder to mine for new coins? It seems like it was made for wild speculation

 

[Coreda]

I had like 5 bitcoins from when I was 13 or something

I cannot for the life of me remember what details I used

Are you sure you even used encryption for your wallet? All you'd need is the file otherwise.

 

[Darklord]

I still haven't got my account verified to buy in. I'm going to miss the fun. ;_;

The bubble better pop god damn it!

 

[allisolm]

I'm sure there are millions of investments I could have made over the years.
This is probably the most dubious of them all.

 

[Madness]

considering they endorsed it a couple days ago and that it's impossible to ban, I'd say never.

guess again-- generic bitcoin posts on gaf are generally stuck in the dark ages, thinking it's a "scam" or that it's going to die forever for real this time or any number of idiotic things that people come up with when they guess at things before informing themselves.

then the next bubble comes and goes and they're all "see! it was a bubble!" lolllllllllllllllllllll

There isn't a single financial analyst or economist that believes it's not a bubble. According to many, it's the very definition of bubble and is bound to 'pop' soon. Whether you can make any quick money on it is another thing.

"Exponential price moves in a matter of hours, no meaningful value metric, price basically moving on nothing but momentum."

 

[ggnoobIGN]

There are a bunch of trading firms in Chicago actively trading this now due to how much easier it is to make money in it compared to actual securities. The combination of no regulation and stupid people will do that. I know one individual firm who claims to be the sole reason of the big rise and collapse a few months back. Hilarious if true.

 

[methane47]

I don't "get" bitcoins. I've scimmed through Wikipedia articles and still don't really understand it.

Monopoly money. That's worth alot of real money.

 

[Lucario]

Are there any fundamentals to this? What is the price based on? There has to be some reason these people are giving $700 for an algorithm

speculation, anonymous exchange of legal goods and services, criminal activity.

Speculation is the vast majority of the bitcoin market, but the biggest chunk of actual transactions are gambling IIRC.

 

[SteveWinwood]

It takes 1-3 hours to transfer a bitcoin

I didn't say transfer, I said cash out. United States currency in exchange for a bit coin. The most up to date information I can find is that It's twelve weeks at Mt Gox, which correct me if I'm wrong is where the majority of known exchanges take place and where these prices always get quoted for headlines. There are other exchanges sure, but I can't find their times for that and some don't even offer the exchange.

Isn't it made to become more and more scarce as it gets harder and harder to mine for new coins? It seems like it was made for wild speculation

It's ron paul's wet dream.

 

[SmokeMaxX]

I don't understand why it's so high right now. There are more and more miners everyday. Is it just because Silk Road went down and so now it's harder to get bitcoins? I'm so confused. One thing I'm confident on- the price will soon plummet. Maybe all the "gold" investors went to bitcoins lol.

 

[Jacobi]

I didn't say transfer, I said cash out. United States currency in exchange for a bit coin. The most up to date information I can find is that It's twelve weeks at Mt Gox. There are other exchanges sure, but I can't find their times for that and some don't even offer the exchange.


It's ron paul's wet dream.

BTC-E is faster. But I use a platform (German one) where you directly transfer the money on the BTC seller's bank account, so if everything works everyone is happy on the same day.

 

[Timedog]

I've just been waiting for another crash to buy .

 

[Jacobi]

I don't understand why it's so high right now. There are more and more miners everyday. Is it just because Silk Road went down and so now it's harder to get bitcoins? I'm so confused. One thing I'm confident on- the price will soon plummet. Maybe all the "gold" investors went to bitcoins lol.

It's been made available in China and that is a reason I think. Other than that the system is too complex to tell simple reasons.

 

[IHaveIce]

I have about 10 bitcoins... what now?

 

[Lucario]

I don't understand why it's so high right now. There are more and more miners everyday. Is it just because Silk Road went down and so now it's harder to get bitcoins? I'm so confused. One thing I'm confident on- the price will soon plummet. Maybe all the "gold" investors went to bitcoins lol.

All of 2013: Chinese market becomes interested in bitcoin as long-term investments.

October 2nd: Silk road goes down, causing temporary crash due to panic sellers who didn't realize what a small percentage of the market it was. Corrected mostly by end of day.

~October-November: The 'bitlocker' ransomware becomes a major issue, and the easiest and most anonymous way to get your files back is to pay in bitcoins. Bitcoin price starts to climb.

November: Senate hearing happens, giving bitcoin a shitton of media attention. Becomes the #1 google search for a day as new 'investors' decide to throw their money at cryptocurrency.

 

[methane47]

I don't understand why it's so high right now. There are more and more miners everyday. Is it just because Silk Road went down and so now it's harder to get bitcoins? I'm so confused. One thing I'm confident on- the price will soon plummet. Maybe all the "gold" investors went to bitcoins lol.

As more people buy coins from the exchange, and the available stock of coins for sale dwindles the price of a coin increases?

 

[Coreda]

I don't understand why it's so high right now. There are more and more miners everyday. Is it just because Silk Road went down and so now it's harder to get bitcoins? I'm so confused. One thing I'm confident on- the price will soon plummet. Maybe all the "gold" investors went to bitcoins lol.

The value crashed not too long ago but since then has risen steadily, and no doubt will go up and down. Still, it has paid well for those who bought in earlier.

It never becomes harder to obtain bitcoins, you can just purchase them or exchange them for goods/services, etc. It's only if you're a miner that it slowly becomes more and more difficult as time goes on to guess the block validation challenge for the 50BTC reward.

I have about 10 bitcoins... what now?

Keep them. I can imagine in time their value may increase. Besides, unless you're strapped for cash it could be a pretty little investment depending on how much you paid for them.

 

[Cryolemon]

considering they endorsed it a couple days ago and that it's impossible to ban, I'd say never.

I said "a government" not the US government. I was thinking primarily of the UK.

 

[methane47]

The value crashed not too long ago but since then has risen steadily, and no doubt will go and and down. Still, it has paid well for those who bought in earlier.

It never becomes harder to obtain bitcoins, you can just purchase them or exchange them for goods/services, etc. It's only if you're a miner that it slowly becomes more and more difficult as time goes on to guess the block validation challenge for the 50BTC reward.

The reward is 50Bitcoins?!

Thats 500-700 * 50? 25,000 - 35,000?!

How long must a miner mine before breaking the code?

 

[itsgreen]

I'll just wait until it all collapses and laugh...

But maybe that never happens...

 

[Prime crotch]

I'll just wait until it all collapses and laugh...

But maybe that never happens...

lol yeah right, bitcoins fluctuate like mad

 

[Coreda]

The reward is 50Bitcoins?!

Thats 500-700 * 50? 25,000 - 35,000?!

How long must a miner mine before breaking the code?

Heh, unless you have a pretty great GPU/dedicated hashing chip setup you'll likely be paying a good deal in electricity costs to keep it running.

From memory there are a limited number of 'blocks' that are created on the network each day, these are the collective virtual receipts of transactions across the network during a certain period. In order to be valid they each require users who have opted in (miners) on the network to validate the blocks by solving a hashing puzzle.

The likelihood of a regular computer on the network successfully guessing the hash puzzle is less than once a year (likely even less now). What 'miners' are doing is essentially buying more and faster guesses with their mining rigs. So although theoretically a slow computer has a slim chance it would likely be guessed faster by others first.

I should add that I've read of pooled groups of miners collaborating, that way they share in the profits of the entire group. Haven't looked much into that side of it, but I'm guessing there would be minimum power requirements.

 

[JaseC]

Apparently Blockchain has moved away from a username/password log-in system and now I can't access my wallet. Thanks!

 

[Jacobi]

I'll just wait until it all collapses and laugh...

But maybe that never happens...

What do you laugh about? A lot of people already cashed out.
There was an interview with a silk road dealer on vice once (last year), he said he mostly saved his bitcoins up. If he's selling now... Damnnnnn.

 

[ElectricBlue187]

What do you laugh about? A lot of people already cashed out.
There was an interview with a silk road dealer on vice once (last year), he said he mostly saved his bitcoins up. If he's selling now... Damnnnnn.

If a lot of people cashed out then the price wouldn't be this high

 

[Jacobi]

If a lot of people cashed out then the price wouldn't be this high

Depends on the miner/black market user/speculator/black market dealer-ratio, which no one knows about I guess....

 

[SteveWinwood]

What do you laugh about? A lot of people already cashed out.
There was an interview with a silk road dealer on vice once (last year), he said he mostly saved his bitcoins up. If he's selling now... Damnnnnn.

why would you ever cash out if its a stable and ever growing currency

 

[Cryolemon]

why would you ever cash out if its a stable and ever growing currency

Because you don't believe that it's stable and ever growing would be the obvious one, or because you need cash for something that doesn't accept bitcoins.

 

[Jedeye Sniv]

IIRC, this mad inflation was meant to happen. I read an article a couple of years back that said it would have inflation in the 1000s of percent as Bitcoins are still being mined, but eventually it will settle as the addition of new coins to the market slows.

At least, that's what I understood from it.

 

[FLEABttn]

IIRC, this mad inflation was meant to happen. I read an article a couple of years back that said it would have inflation in the 1000s of percent as Bitcoins are still being mined, but eventually it will settle as the addition of new coins to the market slows.

At least, that's what I understood from it.

Deflation.