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Futures gain ahead of Fed decision; Bitcoin in free fall

  • Stock index futures are all up about 0.25% ahead of the Fed's 2 PM ET policy decision announcement, with consensus on whether the taper will be initiated at about a 50/50 split.
  • Europe's up nearly 1% on the session, and the Nikkei closed 2% higher overnight.
  • The 10-year Treasury yield is up one basis point at 2.86% and gold is little-changed.
  • Meanwhile, Bitcoin is in free fall to below $500 after BTC China - the largest Bitcoin [[BITCOIN]] exchange in the country - has temporarily stopped taking yuan deposits. BTC's CEO Bobby Lee cites a Monday PBOC meeting where officials ordered about 10 major third-party payment processors to stop working with Bitcoin exchanges.
Comments (20)
  • mitrado
    , contributor
    Comments (1949) | Send Message
     
    Bitcoins are crazier than $AAPL shares.
    18 Dec 2013, 07:50 AM Reply Like
  • Leont68
    , contributor
    Comments (1356) | Send Message
     
    from $1000 down to $500 ouch
    18 Dec 2013, 08:34 AM Reply Like
  • Kyle Spencer
    , contributor
    Comments (998) | Send Message
     
    When Bitcoin is expensive, everyone moans "Oh, why didn't I buy in when they were cheap?!"

     

    When Bitcoin is cheap, everyone cries, "Oh, my God! They're not expensive!"

     

    It's like contrarian Mozart.
    18 Dec 2013, 08:50 AM Reply Like
  • PeteCal
    , contributor
    Comments (90) | Send Message
     
    Glad I stuck with tulip bulbs.
    18 Dec 2013, 09:15 AM Reply Like
  • sophos2
    , contributor
    Comments (137) | Send Message
     
    at least tulip bulbs are real and can grow into a tulip
    18 Dec 2013, 09:22 AM Reply Like
  • th3decider
    , contributor
    Comments (287) | Send Message
     
    Like the concept of bitcoin, but honestly its just a fiat currency that has all the negatives of a regular fiat currencies but with none of the few benefits, such as having major government back it. As is being seen today.
    18 Dec 2013, 09:49 AM Reply Like
  • bullfeathers
    , contributor
    Comments (135) | Send Message
     
    They cannot be created in arbitrary ways and amounts by corrupt central planners, unlike government backed currencies.
    18 Dec 2013, 11:37 AM Reply Like
  • johncworth
    , contributor
    Comments (424) | Send Message
     
    If you ever want to have a fun conversation with someone who starts talking about bitcoins, ask them how they are "mined". The number of people who talk about bitcoins vs the number of people who have any idea how bitcoins actually work is hilarious.

     

    ps - I googled "explain bitcoins to me like i was 5" and it still took me 10 minutes to get a handle on it lol
    18 Dec 2013, 09:58 AM Reply Like
  • Erik T
    , contributor
    Comments (82) | Send Message
     
    Here's the wiki article on money supply. Break it down to me like I'm a 5 year old:
    http://bit.ly/UCjRCy
    18 Dec 2013, 11:47 AM Reply Like
  • The_Hammer
    , contributor
    Comments (3813) | Send Message
     
    "Money supply" = include currency in circulation and demand deposits (depositors' easily accessed assets on the books of financial institutions).
    How does money supply count the trillions and trillions in money created by debt? i used my credit card and produced money into the economy. the debt slave putting 0 down for a car and borrowing the rest is putting money into the economy same with the slave buying the 60" smart tv on credit or restaurant tab.
    18 Dec 2013, 11:56 AM Reply Like
  • Overanalytical
    , contributor
    Comments (643) | Send Message
     
    Whether bitcoin ends up working or not I do like seeing people trying to innovate and change the way business is done.
    18 Dec 2013, 10:03 AM Reply Like
  • SaltyDog62
    , contributor
    Comments (701) | Send Message
     
    Wonder if twiddle dee and twiddle dum dumped their bit coins? You know the guys who shook down zburg!
    18 Dec 2013, 10:14 AM Reply Like
  • The_Hammer
    , contributor
    Comments (3813) | Send Message
     
    Wow. Hotair came out fast.
    When this global digital money printing experiment comes to a conclusion then a quick sharp fiat currency devaluation across the board vs gold.
    18 Dec 2013, 11:35 AM Reply Like
  • Michael Nau
    , contributor
    Comments (972) | Send Message
     
    Bitcoins are a ponzi scheme: their "value" depends upon recruiting ever more people into the "investment opportunity" and the last guy in will be left holding the bag.

     

    That is not to say that bitcoins won't trade for $10,000 apiece in 6 months or $1,000,000 apiece in 2 years. A lot of the original investors are true believers so this may take a while to play out.....
    18 Dec 2013, 11:53 AM Reply Like
  • Andy Zelenak
    , contributor
    Comments (293) | Send Message
     
    It sounds like Michael gets it.

     

    Bitcoin's power consumption will prevent it from being competitive. Here's an interesting article about a botnet that consumed over $500,000 in electricity/day to earn the botmaster $2165.
    http://bit.ly/1aql9Fb
    18 Dec 2013, 12:24 PM Reply Like
  • buyandhold???
    , contributor
    Comments (889) | Send Message
     
    how is that different from stocks?
    18 Dec 2013, 12:41 PM Reply Like
  • mitrado
    , contributor
    Comments (1949) | Send Message
     
    That's... insane!!!!!
    19 Dec 2013, 03:42 AM Reply Like
  • Conspiracy Keanu
    , contributor
    Comments (2) | Send Message
     
    I saw Cameron Winklevoss' AMA three days ago about how much he loves bitcoins. He said he has yet to sell a single bitcoin. Poor guys--I'd really like to see at least one idea work out for those unfortunate landed aristocrats. Since it was three days ago I'm optimistically imagining that they took some gains off the table before this little haircut. Probable not. The only thing left after tulip mania (thanks for the awesome reference PeteCal) was some beautiful flowers the following spring.
    18 Dec 2013, 12:53 PM Reply Like
  • mitrado
    , contributor
    Comments (1949) | Send Message
     
    Well, if history repeats itself, they'll be able to sell the Bitcoins for $5000 in a couple of months, before it plunges to $2000. :-P
    19 Dec 2013, 03:43 AM Reply Like
  • BornIn87
    , contributor
    Comments (102) | Send Message
     
    The curious thing about trading bitcoins...you buy them with the hope that their value will increase, but ultimately their value depends upon whether people will use them to make purchases. So all of the speculators looking to hold bitcoins while they rise in value are actually keeping bitcoins from becoming a viable currency.

     

    The guy who sold his house for bitcoins invested the right way. Added to his wallet, and created a market.
    19 Dec 2013, 08:31 AM Reply Like
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