Some may consider the Bitcoin/cryptocurrency activity to be frivolous, and it in some guise may turn out to be. But this is people's savings in search of substance: is it surging stocks? Is it real estate (again)? Is it PMs (eternally waiting for the hyperinflation)? Is it putting it in a sock under your mattress (or in a bank account--same thing)? Is it just tripping through the tulips, letting your kids/grandkids just take what comes?
Some may consider the Bitcoin/cryptocurrency activity to be frivolous, and it in some guise may turn out to be. But this is people's savings in search of substance: is it surging stocks? Is it real estate (again)? Is it PMs (eternally waiting for the hyperinflation)? Is it putting it in a sock under your mattress (or in a bank account--same thing)? Is it just tripping through the tulips, letting your kids/grandkids just take what comes?
I know this source is not always reliable, but this is interesting. Bitcoin is on a tear...and who know some why. Are illegal funds (laundering, drug dealers, tax dodgers or thieves) being used to fund this epic rally?
Either way, i don't think the banking and national powers like cryptos very much. I'm sure the 300%+ rally is gettig he attention of the government, IRS and legislators. Will be interesting to see what happens to it in the near future.
I can't stomach the voilality of Bitcoin but it has become extremely popular on Instagram with a lot of people buying and selling. I actually put in $500 when it was around $2,500 less than 2 months ago and with the Bitcoin cash fork I am up almost 80% already. It is bound to crash at some point but what point? It is hard to want to get out when day after day it is up $100+. I just put a little play money in but I could not see this being an investment that I relied upon.
as i mentioned to the old timers here earlier this year, when bitcoin was at 1,300, bitcoin is the younger generation's gold and silver. They want an alternative to dollars, stocks, etc and another store of value, and bitcoin appeals to them. It also appeals to many others who live and understand the digital age. By the time most of the people here finally get around to stop laughing at bitcoin, dismissing it, etc, it will be much, much higher and owned by a much higher percentage of the population. Its really probably pointless talking about it on a precious metal site where 99% of the people who post here dont care about making money or putting their money in alternative stores of value, but only like gold and silver. Only invest in precious metals what you can afford to lose. Same applies to bitcoin.
@cohodk said:
Is it true that these crypto currencies can be created via a computer running a program?
Yes, but the processing power and the time that is needed would result in a break even (at best) and a net loss for most people. (when you factor in your time, equipment cost, electricity, etc...)
Some miners have 2000 + square foot facility's with wall to wall servers doing nothing but mining. It would take a large investment to get started, and who's knows how long this train will keep going in the positive direction.
@cohodk said:
Is it true that these crypto currencies can be created via a computer running a program?
Yes, but the processing power and the time that is needed would result in a break even (at best) and a net loss for most people. (when you factor in your time, equipment cost, electricity, etc...)
Some miners have 2000 + square foot facility's with wall to wall servers doing nothing but mining. It would take a large investment to get started, and who's knows how long this train will keep going in the positive direction.
crypto currencies are a threat to fiat. The fiat masters will find ways to discourage their acceptance and their use. Don't be holding when the hammer drops.
It was rumored to hit 5K a few years back. I treated it like silver to the moon stories. I was mining at the time and had a couple dozen btc. It was crashing then from $800 and I felt lucky to convert to bullion at $650 for a 3x profit as I watched it fall to $3??. I was also pleasantly surprised how much the mining equipment resold for. I guess they got the last laugh on that because that equipment was just above break even to run(electric cost / BTC value). But do a 12x to BTC value and that miner would of done 70k profit in those years. I'm bumming myself out here. Still had fun, learned, made $, and set a baseline for my max PV system side.
@cohodk said:
Is it true that these crypto currencies can be created via a computer running a program?
Yes, but the processing power and the time that is needed would result in a break even (at best) and a net loss for most people. (when you factor in your time, equipment cost, electricity, etc...)
Some miners have 2000 + square foot facility's with wall to wall servers doing nothing but mining. It would take a large investment to get started, and who's knows how long this train will keep going in the positive direction.
Given that technological efficiency improves exponentially over time, the cost to produce a crypto currency will also decrease. Eventually, anyone will be able to create them, thus rendering them valueless.
@cohodk said:
Is it true that these crypto currencies can be created via a computer running a program?
Yes, but the processing power and the time that is needed would result in a break even (at best) and a net loss for most people. (when you factor in your time, equipment cost, electricity, etc...)
Some miners have 2000 + square foot facility's with wall to wall servers doing nothing but mining. It would take a large investment to get started, and who's knows how long this train will keep going in the positive direction.
Given that technological efficiency improves exponentially over time, the cost to produce a crypto currency will also decrease. Eventually, anyone will be able to create them, thus rendering them valueless.
You would think so, but not true in this case. They are getting More difficult to mine as time goes on. Go to Wiki and read a little about mining them, your head will hurt after an hour or so of reading how the block chain works.
So I opened up a coinbase account as I wanted to buy some bitcoin. They charge a 1.5% fee as commission. Ouch!! I looked into the GBTC as I could buy that on Fidelity for a flat $4.99 fee but that trades at like a 70% premium to a bitcoin. Bitcoin realtime is $4294, GBTC is $729.70 (1/10 of a bitcoin)
Then there is taxes. Bitcoin is taxed as property. you must calculate a gain/loss on every transaction
How are the IRS treating Bitcoins?
The IRS has recently given guidance on the specific treatment of Bitcoins and other crypto-currencies, which has helped clarified the situation.
Bitcoin is a personal property, not a currency, and so is taxed as a capital asset
Gains made from converting Bitcoins into a fiat currency are subject to capital gains tax
Purchases of goods or services with Bitcoins must also account for gains
Bitcoins and other alt-coins obtained from mining is recognised income immediately at their fair value
Mining equipment can still be deducted as a legitimate business expense
"For now, the development of this bubble is in the hands of a speculating public, who periodically see manias as a failsafe way to make money. But the answer to the question posed in this article’s headline is that cryptocurrencies are not money and never will be."
Cryptos are a currency. It's gonna be so much bigger than anyone can predict, take that to the bank. When 3% of the world's population catch on it will be insane. Then probably a few decades from now when all the fiat has been used for toilet paper you'll remember this post and say "yep, them there young whippersnappers were right. The way we do stuff changed, just like it always has........and will."
Just because you don't understand something doesn't make it fake, or Ponzi, or bound to fail (like all fiat has in the past), or whatever.
@ Elite CNC Routing & Woodworks on Facebook. Check out my work. Too many positive BST transactions with too many members to list.
@AllCoinsRule said:
What happens if governments declare bitcoins illegal, and via the rule of law force you to use their currency (whether fiat or crypto)?
A bit of stretch for them but they can take steps to make its use is undesirable (i.e taxes, reporting requirements, etc.). Besides, if they can blow up a few Iranian centrifuges with software, surely they can blow up something that exists only in the digital world.
The future of all the cryptos will be dictated by the success or failure in its acceptance for payment. This is what will determine if it is in fact money - users determine what is money. As its role as money grows, so does its threat to "protect at all costs" funny money.
The problem with crypto currencies is crypto currencies.
Is all this attention to crypto currencies the mechanism themselves, or that they have become a trading vehicle? IE..if bitcoin was still $100, would anyone be talking about it?
@cohodk said:
The problem with crypto currencies is crypto currencies.
Is all this attention to crypto currencies the mechanism themselves, or that they have become a trading vehicle? IE..if bitcoin was still $100, would anyone be talking about it?
bitmania, a good example of what speculators can do.
"However well intentioned, in the end, the creators of cryptocurrencies are really just modern day alchemists; and what they ended creating is nothing more than fool’s gold."
Comments
Would any readers prefer 3 ounces of gold to one bitcoin ? Or would you endeavor into the crypto world now ?
I will stick with gold....
Cheers, RickO
8 months ago, it was "1 oz of gold, or 1 BTC?"
4 months ago, it was "2 oz of gold, or 1 BTC?"
Today, it is "3 oz of gold, or 1 BTC?
4 months from now, who knows.
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Why does it seem like video game money?
Knowledge is the enemy of fear
I wouldn't touch it. Gold or silver, please.
My YouTube Channel
LiteCoin for me...
Just crossed $4000!
My Adolph A. Weinman signature
Strange things are happening.
Some may consider the Bitcoin/cryptocurrency activity to be frivolous, and it in some guise may turn out to be. But this is people's savings in search of substance: is it surging stocks? Is it real estate (again)? Is it PMs (eternally waiting for the hyperinflation)? Is it putting it in a sock under your mattress (or in a bank account--same thing)? Is it just tripping through the tulips, letting your kids/grandkids just take what comes?
Where's the wisdom here?
Here's a warning parable for coin collectors...
I just can't feel sorry for people when their bitcoin bubble pops.
Still waiting for a crypto currency to be pegged to Gold or Silver.
Good luck in the wild West.
100% Positive BST transactions
The float is tiny. Don't confuse price for value.
Knowledge is the enemy of fear
$4108
My Adolph A. Weinman signature
http://www.zerohedge.com/news/2017-08-13/us-launches-quiet-crackdown-cryptocurrencies
I know this source is not always reliable, but this is interesting. Bitcoin is on a tear...and who know some why. Are illegal funds (laundering, drug dealers, tax dodgers or thieves) being used to fund this epic rally?
Either way, i don't think the banking and national powers like cryptos very much. I'm sure the 300%+ rally is gettig he attention of the government, IRS and legislators. Will be interesting to see what happens to it in the near future.
I can't stomach the voilality of Bitcoin but it has become extremely popular on Instagram with a lot of people buying and selling. I actually put in $500 when it was around $2,500 less than 2 months ago and with the Bitcoin cash fork I am up almost 80% already. It is bound to crash at some point but what point? It is hard to want to get out when day after day it is up $100+. I just put a little play money in but I could not see this being an investment that I relied upon.
as i mentioned to the old timers here earlier this year, when bitcoin was at 1,300, bitcoin is the younger generation's gold and silver. They want an alternative to dollars, stocks, etc and another store of value, and bitcoin appeals to them. It also appeals to many others who live and understand the digital age. By the time most of the people here finally get around to stop laughing at bitcoin, dismissing it, etc, it will be much, much higher and owned by a much higher percentage of the population. Its really probably pointless talking about it on a precious metal site where 99% of the people who post here dont care about making money or putting their money in alternative stores of value, but only like gold and silver. Only invest in precious metals what you can afford to lose. Same applies to bitcoin.
$4224.
My Adolph A. Weinman signature
Dang!
My YouTube Channel
It will be even harder to get out (read: find buyers) when it is dropping $500+ a day on the impending quick downturn.
Hence why I only have $500 into it and no intentions of putting more in. If I make a little money great, if I lose it oh well.
So if I go buy a good powerful computer, then let it run some program, then I can create my own bitcoins?
Knowledge is the enemy of fear
Will trade one bitcoin for 3.5 ounces of gold. Hurry , while supplies last.
3 days later, it's 3.5 oz of gold.....
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We need a bitcoin forum.
BTW, why do those who accept it as payment charge a 2% fee?
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It's down $200 since yesterday! Ouch!
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I am not sure why, to buy/sell using it through Bittrex the fee is around 1/10%
Is it true that these crypto currencies can be created via a computer running a program?
Knowledge is the enemy of fear
Yes, but the processing power and the time that is needed would result in a break even (at best) and a net loss for most people. (when you factor in your time, equipment cost, electricity, etc...)
Some miners have 2000 + square foot facility's with wall to wall servers doing nothing but mining. It would take a large investment to get started, and who's knows how long this train will keep going in the positive direction.
eBay ID-bruceshort978
Successful BST:here and ATS, bumanchu, wdrob, hashtag, KeeNoooo, mikej61, Yonico, Meltdown, BAJJERFAN, Excaliber, lordmarcovan, cucamongacoin, robkool, bradyc, tonedcointrader, mumu, Windycity, astrotrain, tizofthe, overdate, rwyarmch, mkman123, Timbuk3,GBurger717, airplanenut, coinkid855 ,illini420, michaeldixon, Weiss, Morpheus, Deepcoin, Collectorcoins, AUandAG, D.Schwager.
I'm still waiting for the train to crash.
crypto currencies are a threat to fiat. The fiat masters will find ways to discourage their acceptance and their use. Don't be holding when the hammer drops.
Give Me Liberty or Give Me Debt
It was rumored to hit 5K a few years back. I treated it like silver to the moon stories. I was mining at the time and had a couple dozen btc. It was crashing then from $800 and I felt lucky to convert to bullion at $650 for a 3x profit as I watched it fall to $3??. I was also pleasantly surprised how much the mining equipment resold for. I guess they got the last laugh on that because that equipment was just above break even to run(electric cost / BTC value). But do a 12x to BTC value and that miner would of done 70k profit in those years. I'm bumming myself out here. Still had fun, learned, made $, and set a baseline for my max PV system side.
Given that technological efficiency improves exponentially over time, the cost to produce a crypto currency will also decrease. Eventually, anyone will be able to create them, thus rendering them valueless.
Knowledge is the enemy of fear
You would think so, but not true in this case. They are getting More difficult to mine as time goes on. Go to Wiki and read a little about mining them, your head will hurt after an hour or so of reading how the block chain works.
eBay ID-bruceshort978
Successful BST:here and ATS, bumanchu, wdrob, hashtag, KeeNoooo, mikej61, Yonico, Meltdown, BAJJERFAN, Excaliber, lordmarcovan, cucamongacoin, robkool, bradyc, tonedcointrader, mumu, Windycity, astrotrain, tizofthe, overdate, rwyarmch, mkman123, Timbuk3,GBurger717, airplanenut, coinkid855 ,illini420, michaeldixon, Weiss, Morpheus, Deepcoin, Collectorcoins, AUandAG, D.Schwager.
@Wabbit2313 I see you disagreed with my post stating the Bitcoin fee rate, if it isn't correct then what is?
Got in on some GBTC @ $215 in mid May. Just closed @ $733. Only play for bitcoin on the exchanges that I have been able to find.
Give Me Liberty or Give Me Debt
$4450.
My Adolph A. Weinman signature
So I opened up a coinbase account as I wanted to buy some bitcoin. They charge a 1.5% fee as commission. Ouch!! I looked into the GBTC as I could buy that on Fidelity for a flat $4.99 fee but that trades at like a 70% premium to a bitcoin. Bitcoin realtime is $4294, GBTC is $729.70 (1/10 of a bitcoin)
Then there is taxes. Bitcoin is taxed as property. you must calculate a gain/loss on every transaction
How are the IRS treating Bitcoins?
The IRS has recently given guidance on the specific treatment of Bitcoins and other crypto-currencies, which has helped clarified the situation.
Bitcoin is a personal property, not a currency, and so is taxed as a capital asset
Gains made from converting Bitcoins into a fiat currency are subject to capital gains tax
Purchases of goods or services with Bitcoins must also account for gains
Bitcoins and other alt-coins obtained from mining is recognised income immediately at their fair value
Mining equipment can still be deducted as a legitimate business expense
The main thing in this bubble bitons in time to leave the auction and withdraw your investment back, so as not to lose all your savings.
Crytocurrency: Its Status As Money
"For now, the development of this bubble is in the hands of a speculating public, who periodically see manias as a failsafe way to make money. But the answer to the question posed in this article’s headline is that cryptocurrencies are not money and never will be."
Give Me Liberty or Give Me Debt
Cryptos are a currency. It's gonna be so much bigger than anyone can predict, take that to the bank. When 3% of the world's population catch on it will be insane. Then probably a few decades from now when all the fiat has been used for toilet paper you'll remember this post and say "yep, them there young whippersnappers were right. The way we do stuff changed, just like it always has........and will."
Just because you don't understand something doesn't make it fake, or Ponzi, or bound to fail (like all fiat has in the past), or whatever.
Too many positive BST transactions with too many members to list.
A bit of stretch for them but they can take steps to make its use is undesirable (i.e taxes, reporting requirements, etc.). Besides, if they can blow up a few Iranian centrifuges with software, surely they can blow up something that exists only in the digital world.
The future of all the cryptos will be dictated by the success or failure in its acceptance for payment. This is what will determine if it is in fact money - users determine what is money. As its role as money grows, so does its threat to "protect at all costs" funny money.
Give Me Liberty or Give Me Debt
The problem with crypto currencies is crypto currencies.
Is all this attention to crypto currencies the mechanism themselves, or that they have become a trading vehicle? IE..if bitcoin was still $100, would anyone be talking about it?
Knowledge is the enemy of fear
bitmania, a good example of what speculators can do.
Give Me Liberty or Give Me Debt
Crypto is currency?, lol sounds like a Hans Christian Anderson story...
_ It also appeals to many others who live and understand the digital age. _
I understand the digital age, and I would venture to say that most everyone on this forum does as well.
What I don't understand is the lack of understanding of money so rampant in our society.
I knew it would happen.
two parties conducting a financial transaction determine what is money.
Give Me Liberty or Give Me Debt
Cryptocurrencies: Modern Day Alchemy
"However well intentioned, in the end, the creators of cryptocurrencies are really just modern day alchemists; and what they ended creating is nothing more than fool’s gold."
Give Me Liberty or Give Me Debt
Pineapples = $3.25
How to Set Up Your Own Bitcoin/Ethereum IRA
Give Me Liberty or Give Me Debt
JM Bullion accepts BC, for a fee
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Bad transactions with : nobody to date