BitGold explained

Mesquite

Two new pieces by Bob Moriarty

1st

2nd

These might be of some general interest to y'all.

derryb

From the second link:

"BitGold has no counterparty risk. You own it. It’s yours."

Anytime someone else has their hands on your gold there is counterparty risk.

Also of importance:

"The United States of America is currently not part of the List of Supported Countries."

OperationButter

pretty interesting company and idea. too bad its not allowed in the US.

Stork

That sounds like a familiar business plan. Didn't GoldMoney start that way? Open an account, and holdings based on how many grams you owned...and for awhile there could buy stuff with your grams at various websites? It doesn't look like that's how the company is anymore--maybe all that regulatory stuff that keeps BitGold out of the US is the problem. But I'm sure I saw some eBay auctions, maybe even Witco, offering to take GoldMoney grams back in the day (and before paypal and eBay became so enmeshed). Like the early 2000s time frame. Now GoldMoney looks like a regular gold storage program.

Interesting concept, but is it truly different than any other plan where you have to trust another as a custodian? In this case there is a debit card linked to the account, and you money is in gold instead of dollars/euros/whatevers.


edited to add:
Link to e-gold entry, and GoldMoney gets a mention partway down

ricko

No thank you... I will hold my gold... Cheers, RickO

BAJJERFAN

So would you maintain a cash and a phys gold balance? If you buy something is it going to sell just enough gold to cover the cost of what you've purchased?

roadrunner

No counterparty risk? No storage fees?

There's always a counterparty risk unless you are your own counterparty. And someone pays to vault it, always.

Baley

This a gimmick.

Seems like a hybrid cross between an ETF and a debit card, with the host making 1% on the additions and the subtractions, and the funds fluctuate with gold spot.

Yikes, like you guys, if I want gold I'll jingle the coins in my hot little hand, if I want to speculate I'll work the ETFs. I personally don't need this thing,

but it seems like a great way to burn the newbies off of metals investing forever

cohodk

It violate the KISS principle. No thank you.

KennyBerger

Seriously, it's his niece in the story? You don't find this a conflict of interest?

OperationButter

<< <i>Seriously, it's his niece in the story? You don't find this a conflict of interest? >>



He took his niece on a trip. While there he met a guy. What conflict?

Mesquite

Seems to me that what he is describing with bitgold is taking us back to pre-Nixon; maybe even pre-Johnson era. Use to be that you could exchange the greenback (certificates) for gold or silver if you wanted to. This has much the same ring to it. My guess is that's why the US won't allow it. The whole system is, of course built on trust and that is in short supply these days, for good reason in my opinion. As he says, your best option is to hold your own PM's; second best may be to have a bitgold account if you reside outside of the USA. For world travelers this might make currency exchange almost automatic.

derryb

just another twist on an "allocated" gold account. Your gold is there until all of a sudden it isn't. Sorta like the disappearing bitcoins.

s4ny

You either hold physical gold or you have something else. Everything else is not gold.

GLD trades like a stock and moves like gold but it is not gold.

"Bitgold?" Who needs this?

If something has to be explained, I don't need it.

roadrunner

One of the more level-headed market analysts out there.

Steve Saville's view of bitgold

derryb

<< <i>One of the more level-headed market analysts out there.

Steve Saville's view of bitgold >>


While I too respect Saville, he fails to discuss the counterparty risk of an allocated metals account. For that reason, as Mr. Wonderful would say, "I'm out."

johnny9434

<< <i>No thank you... I will hold my gold... Cheers, RickO >>

same here.. fwiw

derryb

BitGold just became a serious platform for savings and making payments in gold - bought GoldMoney for CAD 51 million.

Zubie

Looks like trading was halted on their stock. Hmmm???

cohodk

Schiff sounds jealous. http://www.marketoracle.co.uk/Article50801.html

derryb

As usual, Schiff sounds correct and cohodk sounds like CNBC.

cohodk

Rah Rah Rah
Go team go.
Lmao! !!


Is Schiff lamenting that he didn't have the wherewithall to follow through on "his great idea". Making excuses for lack of technology?

If given the choice between being a cheerleader and a whiner, I'm choosing cheerleader.

derryb

<< <i>Rah Rah Rah
Go team go.
Lmao! !!


Is Schiff lamenting that he didn't have the wherewithall to follow through on "his great idea". Making excuses for lack of technology?

If given the choice between being a cheerleader and a whiner, I'm choosing cheerleader. >>


And a fine one you are.

Baley

If cheering the United States of America and booing the boo-birds who do nothing but complain about, well, practically everything, is a "cheerleader",
particularly this weekend, well then, count me as one too and proud of it

derryb

The value of your currency and your metals is not about patriotism and loyalty. It's now a world stage. Outside players have a lot of inside influence. Ignore this at your own peril.

cohodk

<< <i>The value of your currency and your metals is not about patriotism and loyalty. il. >>



And this is why you are always wrong.

Mesquite

Just to extend the conversation - BitGold now available in the US.

Text

ricko

And I am still not interested.... Cheers, RickO

TwoSides2aCoin

Money works against me all the time. BitGold will likely do the same , knowing my luck with every form of the _ _ _ _.