"I predict that it has at least another thousandfold increase to go in the coming few years"
Clearly a 'Bernard Madoff 2.0' pyramid scam. Only profitable for the early adopters, pay by the last suckers whom enter.
Why I’m Putting All My Savings Into Bitcoin
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Re: Why I’m Putting All My Savings Into Bitcoin
#12I recommend reading up on the MMM company. http://en.wikipedia.org/wiki/MMM_%28Ponzi_scheme_company%29 there is also a Russian movie called PiraMMMida that came out a few months ago, which is the fictionized version of history. Now that movie, is pretty much exactly how bitcoin tends to be covered by the fanboys. And as the movie points out, it comes down to pure greed, people give up real money in order to buy worth…
If such silly thing as gold became money and paper printed by governments became money then a tool possessing qualities that bitcoin possess is bound to become money eventually.
Only two real risks. Crypto weakness or Bitcoin 2.0
Gold is intrinsically similarly useless as bitcoin. We used it as money only because it was durable and rare. We used paper as money because strong, trustworthy entity declared that its supply will be limited and controlled. Bitcoin has this basic necessary quality but also much much more.
Re: Why I’m Putting All My Savings Into Bitcoin
#13This person lost all credibility to me when he said that he borrowed money to invest. I'm a huge admirer of Bitcoin's technical aspects, but I would never even think of borrowing money to invest in anything, let alone bitcoins.
Re: Why I’m Putting All My Savings Into Bitcoin
#14"[Bitcoin is] an entirely new kind of currency that can’t be seized or frozen by governments"
Simply not true. At the end of the day you need to change Bitcoins back to real money. The money that actually has some value because it (is supposed to) represents goods. The stuff you need in order to survive and live (food, clothes, ...).
Goverments can declare these "banks" that change bitcoins back to real money illegal - mabe because bitcoins can be used to launder money (because it's advantage is, that "you can transfer any amount anywhere instantly without any authority knowing or interfering"). In this case all your money is worthless.
But you can still write nice blog entries and get other people to buy the stuff from you ;)
Re: Why I’m Putting All My Savings Into Bitcoin
#15A few points: 1. There is a difference between "This is useful, I will use it," "This is useful, many people will use it, I think it is going to succeed," and "This is useful, I will invest in it." I have recently started using a text editor called Byword. I quite like it. But I am not rushing out to invest in it. 2. There is also a difference between "I will invest some of my money in it," I will invest all of my mo…
Does anyone know of any balls-out investments that paid off (or didn't)?
(I'm referring to "if this investment doesn't pay off, I'm jumping out a window" risk.)
I'm just looking for interesting stories, and that sounds promising.
Re: Why I’m Putting All My Savings Into Bitcoin
#16This person lost all credibility to me when he said that he borrowed money to invest. I'm a huge admirer of Bitcoin's technical aspects, but I would never even think of borrowing money to invest in anything, let alone bitcoins.
Leveraged positions are common, but leveraging yourself to the maximum possible and not leaving yourself a safety net, as is implied by the article, is crazy. I assume the author is speaking hyperbolically.
Re: Why I’m Putting All My Savings Into Bitcoin
#17This violates two simple, and obvious, tenets of investing: 1. Don't put all your eggs in one basket. 2. If it sounds too good to be true, it probably is.
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Re: Why I’m Putting All My Savings Into Bitcoin
#18A few points: 1. There is a difference between "This is useful, I will use it," "This is useful, many people will use it, I think it is going to succeed," and "This is useful, I will invest in it." I have recently started using a text editor called Byword. I quite like it. But I am not rushing out to invest in it. 2. There is also a difference between "I will invest some of my money in it," I will invest all of my mo…
Does anyone know of any balls-out investments that paid off (or didn't)? (I'm referring to "if this investment doesn't pay off, I'm jumping out a window" risk.) I'm just looking for interesting stories, and that sounds promising.
Those stories could be made any day. Take any volatile stock and stake out an extremely leveraged position on it for a day (or a few hours). If the stock moves in the direction you've bet, then congratulations, you've just made a bunch of money on a gamble. If not, you've lost everything.
Re: Why I’m Putting All My Savings Into Bitcoin
#19A few points: 1. There is a difference between "This is useful, I will use it," "This is useful, many people will use it, I think it is going to succeed," and "This is useful, I will invest in it." I have recently started using a text editor called Byword. I quite like it. But I am not rushing out to invest in it. 2. There is also a difference between "I will invest some of my money in it," I will invest all of my mo…
Does anyone know of any balls-out investments that paid off (or didn't)? (I'm referring to "if this investment doesn't pay off, I'm jumping out a window" risk.) I'm just looking for interesting stories, and that sounds promising.
Bob Parsons had already made tens of millions from an earlier startup, and he put all of his money into starting up GoDaddy, to the point where he would have been broke if it had been failed and he was almost out of funds to keep it going, before it turned profitable.
He wrote an article about it but I can't find it right now.
Re: Why I’m Putting All My Savings Into Bitcoin
#20Investing in Bitcoin is akin to investing in a startup. There's a chance the startup will become wildly successful and you'll make a tonne of money from it. But you also have to be prepared for the more likely chance that you will lose everything you put in.
Investing all your savings in anything is a risk. Investing everything in a risky startup seems the height of madness... unless you don't have a lot of savings, I guess.