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Bitcoin hits $10,000

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Re: Bitcoin hits $10,000

#351

Post by BLanen »

dahdum wrote: post #113
deorder wrote: post #41

Be careful. There is evidence that certain parties are issuing fake dollars called USDT / Tether from which they buy cryptocoins (incl. BTC) to artificially increase the price: https://mobile.twitter.com/bitfinexed (One of the people monitoring the situation) https://np.reddit.com/r/btc/comments/7g5yml/my_investigation... (Some more info) Make sure you are able to get out on time if needed. Investigate and decide for…

The Friedman memo showed they were 1-1 cash/usdt back in September, and they've stated clearly it's institutional money coming in. In fact, that's exactly what I would expect for large buyers trying to spread their purchases across exchanges who don't use USD directly. "I agree that if no one was able to get fiat in or out of Tether and USDT were still being issued that would be a huge problem. As it stands, however,…

The Friedman memo is a joke.

Re: Bitcoin hits $10,000

#352

Post by vabmit »

lokedhs wrote: post #326
drcross wrote: post #243

Earlier quoted context omitted.

>On the other hand I could create 21M cryptocoins on a blockchain (calling them Bitcoin2 or even just Bitcoin if it pleases). I can make them function identically, similarly or more efficiently than Bitcoin. I can create a new blockchain (network) or put these coins on an existing blockchain (say the Ethereum blockchain). How much would you pay for all 21M Bitcoin? How much would you pay me to create you 21M Bitcoin2…

"Econ 101: The price of a currency is based on people's trust in that currency." Right, but how many people really trust Bitcoin? And by trust, I mean trust that it will retain its value for the foreseeable future. I have trust that the Euro will retain its value, so I feel confident pricing my product and services using it. On the other hand you'd be crazy to price anything in Bitcoin. No one has trust in Bitcoin as…

I wouldn't say no one. There are a number of companies that trust Bitcoin enough to use it in trade for their goods and services. For example, ProtonMail (a secure private e-mail provider) trusts Bitcoin enough to accept it in trade for its services.

So, the same thing that gives the Euro and Gold value (that people will take it trade for goods and services) is one of the components accounting for Bitcoin's valuation. The majority of Bitcoin's value at this point is likely speculation. However some percentage of the value is not derived from currency arbitrage or speculation.

Even if Bitcoin trade participating merchants do not trust the market valuation of Bitcoin enough to be willing to hold Bitcoin for very long after they accept it as part of a transaction (and therefor immediately convert it to USDs) it is still valued by the participating merchant in line with the trade. The same could be said for the value of the electronic ledger recordings created by credit cards. They are generally viewed to have around equivalent value to USDs. But, they are not a currency either.

Re: Bitcoin hits $10,000

#353

Post by koonsolo »

will_brown wrote: post #216
wintom wrote: post #17

“Rosenstreich at online trading firm Swissquote said bitcoin’s surge harks to the surprises of the U.K. referendum on European Union membership and President Trump’s election. “We have underestimated the populist movements,” he said. “There is growing unease on how central banks and governments are managing fiat currencies. Ordinary people globally understand why a decentralized asset is the ultimate safe haven.”” Th…

>No one likes to talk about that though, they like to demonize bitcoin which actually does something gold could never do. Just playing devils advocate, but you can't replicate/duplicate gold. On the other hand I could create 21M cryptocoins on a blockchain (calling them Bitcoin2 or even just Bitcoin if it pleases). I can make them function identically, similarly or more efficiently than Bitcoin. I can create a new bl…

> On the other hand I could create 21M cryptocoins on a blockchain (calling them Bitcoin2 or even just Bitcoin if it pleases). I can make them function identically, similarly or more efficiently than Bitcoin.

You can do the same thing with Facebook or Twitter, but the value is not in the code or functionality, it really is in the network of people using it.

Re: Bitcoin hits $10,000

#354

Post by gitgud »

Fjolsvith wrote: post #344
lokedhs wrote: post #326

Earlier quoted context omitted.

"Econ 101: The price of a currency is based on people's trust in that currency." Right, but how many people really trust Bitcoin? And by trust, I mean trust that it will retain its value for the foreseeable future. I have trust that the Euro will retain its value, so I feel confident pricing my product and services using it. On the other hand you'd be crazy to price anything in Bitcoin. No one has trust in Bitcoin as…

> On the other hand you'd be crazy to price anything in Bitcoin. Why? It was easy to add Cryptocurrency as a purchasing option for the online store for my shed business. My buildings are priced in dollars, but people can use crypto to pay and the crypto value is pegged at the current rate of trade on an exchange. Bonus: I can use the crypto to go buy materials - never have to convert it to dollars.

If they're priced in dollars and converted into Market price Bitcoin at the checkout... then they're obviously not priced in Bitcoin.

Re: Bitcoin hits $10,000

#355

Post by keymone »

coolspot wrote: post #330
keymone wrote: post #286

Earlier quoted context omitted.

BTC is what the distributed consensus says BTC is. You can’t fake that without pouring billions into building up mining infrastructure to organize a 51% attack and even then the distributed consensus will simply fork around your amazing achievement of successfully doing a single double spend? So yeah, BTC is definitely not like gold, it’s way better.

By "distributed consensus" you mean couple chinese guys who own all bitcoin mining?

Bitcoin mining is fairly diversified, with new players about to enter hardware business.

Re: Bitcoin hits $10,000

#356

Post by koonsolo »

fullshark wrote: post #61
wintom wrote: post #17

“Rosenstreich at online trading firm Swissquote said bitcoin’s surge harks to the surprises of the U.K. referendum on European Union membership and President Trump’s election. “We have underestimated the populist movements,” he said. “There is growing unease on how central banks and governments are managing fiat currencies. Ordinary people globally understand why a decentralized asset is the ultimate safe haven.”” Th…

This is nonsense. This is being driven by speculation / minuscule interest rates / greed. Very little of the demand for btc in the past year is due to lack of faith in institutions.

You might be right, but in Zimbabwe it actually was driving the price like this. There it already reached 10K at the end of October. Why? Hyperinflation of the local currency.

http://edition.cnn.com/2017/10/31/africa/zimbabwe-bitcoin-su...

Re: Bitcoin hits $10,000

#357

Post by koonsolo »

nwah1 wrote: post #218
Cookingboy wrote: post #56

Disclaimer: I do own BTC. But I really can’t see how this is not just an instrument for some people to get very rich in a very short amount of time on the back of others. Can it reach 100k? Absolutely. 1M? Who knows. 10M/BTC? Someone on Reddit said it will get close. But in the end I do think it will be remembered as a global mania instead of the creation of a new asset class. I do believe in block chain and the valu…

I heard a rumor that it will hit 1 trillion dollars. It sounded legit.

Funny, but on the other hand, if Bitcoin reaches 1 million dollars, how much will the dollar still be worth? So first part could be rise of Bitcoin, second part fall of dollar. 1 trillion dollars is within reach! ;)

Re: Bitcoin hits $10,000

#358

Post by sobani »

alexbeloi wrote: post #260
shitgoose wrote: post #217

Earlier quoted context omitted.

money laundering is legitimising illicit profits but disguising them as legitimate income. none of the examples above fits this definition.actually, it is the opposite - protecting your legitimate gains from illegitimate actions of government.

You are right, I am using money laundering to mean 'anonymous monetary transfer of arbitrary size/value', which most governments don't allow as far as I know.

Neither Wikipedia [0], Investopedia [1], nor the International Compliance Association (ICA) [2] seem to agree with your definition.

You seem to confuse a technique to combat money laundering with the laundering itself.

[0] https://en.wikipedia.org/wiki/Money_laundering "Money laundering is the process of transforming the profits of crime and corruption into ostensibly "legitimate" assets."

[1] https://www.investopedia.com/terms/m/moneylaundering.asp "Money laundering is the process of creating the appearance that large amounts of money obtained from criminal activity, such as drug trafficking or terrorist activity, originated from a legitimate source."

[2] https://www.int-comp.org/careers/a-career-in-aml/what-is-mon... "Money laundering is the generic term used to describe the process by which criminals disguise the original ownership and control of the proceeds of criminal conduct by making such proceeds appear to have derived from a legitimate source."

Re: Bitcoin hits $10,000

#359

Post by Joeboy »

Joeboy wrote: post #296
uncoder0 wrote: post #285

Earlier quoted context omitted.

Took me a few hours. Use `-dbcache=n` where n = bytes of memory... will make sync super fast if you have +8GB of RAM. I think default is pretty low.

Ah cool, I set it to 4000 and it looks to have sped it up a bit (currently saying 16 hours to go, down from "two days"). I'm still not convinced it's a very practical decentralized currency though.

(Actually it's back up to two days now, I think it might just be that the break in downloading made my ISP unthrottle my connection).

Re: Bitcoin hits $10,000

#360

Post by shitgoose »

wils1245 wrote: post #231
shitgoose wrote: post #200

Earlier quoted context omitted.

"Bitfinex has injected millions of dollars of fake money into the ecosystem" please, explain what money is "fake" and what "injected" and "ecosystem" mean.

Bitfinex controls Tether, a single source cryptocurrency supposedly backed by and pegged to the US dollar. The market cap of Tether has risen $188 million dollars to $678 million in one month: https://coinmarketcap.com/currencies/tether/ If Tether is what they say it is, this can only come from investments of US dollars. Ie nearly $400 million dollars of investment in one month. On November 21 Tether announced a hack…

the topic is - bitcoin (Bitcoin hits $10,000). how is tether related to bitcoin? there are hundreds of coins of various credibility.
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