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Alanx

Alanx
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  • Bitcoin Remains Not Viable And Borderline Illegal [View article]
    You have it backwards. There is no incentive to save dollars.

    Saving Bitcoin makes total sense. Betting the farm on Bitcoin is way too much.

    Some amount of investment in high risk markets is just part of most people's investment profile. To the extent that one has some high risk investments, It is hard to ignore a 10x rise in value for 4 years straight, 9 days of gains for every 1 day of contraction over four years. Even the bubbles have corrected and added value within very short time periods (compared to other investments and other bubbles).

    Backing the future for Bitcoin is the observation that Bitcoin provides services and cost savings that are disruptive to the entire financial sector. Disruptive technologies (cars, Internet, phones, T.V., mobile phones, plastics) have always been good investments in their day. The problem is figuring out which technologies are really disruptive, and how to invest in them.
    Oct 28 08:49 AM | 3 Likes Like |Link to Comment
  • Bitcoin Remains Not Viable And Borderline Illegal [View article]
    NYC Trader

    1. All markets have this vulnerability, regulated or not. Given the price fixing in the other markets (See http://bit.ly/1aAxnz7) how can you claim regulation is the answer?

    2 & 3: The Dollar, Yen, Euro, Pound ... these are backed by nothing. Well, other than governments accept them as payment. To the extent that the market accepts Bitcoin as payment, then Bitcoin has value. Different source of value, same principle.

    And Bitcoin has value in what it can do. It can process a payment to anyone in the world in minutes without Banks, Credit Cards, PayPal, Western Union, etc. See PassingBitcoin.com. Demonstrate how you can do that (pass a Bitcoin from person to person around the world and deposit it with a charity) using dollars. If you can't (and you cannot) Bitcoin has value.

    If you can make an Internet payment with Gold, Silver, Oil, or Orange Juice to anyone anywhere in the world, I'd like you to explain how you do that. Heck, how would you send $1 to China inside of 10 minutes? I can with Bitcoin....
    Oct 28 08:39 AM | 3 Likes Like |Link to Comment
  • Bitcoin Remains Not Viable And Borderline Illegal [View article]
    Absolutely no way Bitcoin is easier to manipulate than Dollars/Yen/Pounds/Euros or any other central bank issued currency.
    Oct 27 08:05 PM | 4 Likes Like |Link to Comment
  • Bitcoin Remains Not Viable And Borderline Illegal [View article]
    All the holes in this article are so difficult to address... Nearly nothing here holds up under examination. The author is simply so biased that facts just don't concern him.

    First off, Gold and Silver have problems as a hedge against Central Banks. They cannot be used directly in trade (A Silver Coin is worth over 22 dollars an ounce, so how do you buy a coke? Or pay the 8 cents of tax on a dollar purchase? Let's not even talk about Gold at over 1300 dollars per ounce.) Furthermore, you have to secure Gold and Silver with a safe. And if you have quite a bit, maybe a bank.

    Vaults cost money. Safes cost money. They are expensive to move.

    And use on the Internet? Forget it. You go to the banks and the credit cards, and the money transfer businesses... And you are right back to the Federal Reserve, and nothing changes.

    IF a currency collapse occurs, what you have in the banks (even gold in your safety deposit boxes) is at risk. What you have in your safe is subject to confiscation (we have done it before). How will international trade be done in Gold and Silver? Are we really going to start loading up planes and flying it around?

    Bitcoin is set up to do this. And the Open Source means many people know how the code works. And at this date, there are about eight independent open source implementations of the Bitcoin protocol. There simply isn't a single point of failure. Government could take over Bitcoin, but everyone would know what they did. And nothing Government can do can prevent Bitcoin from being reconstituted to the side without the Government.

    Lastly, how does the article manage to paint Bitcoin as the preferred criminal payment system when the preferred criminal payment system is Dollars and the Banks (like HSBC)!!! The U.N. estimates an illicit economy in the USA alone to be more than 300 billion a year. Bitcoin's total value is about 2 billion. There is no way Bitcoin is the preferred criminal anything. On the enforcement side, the DOJ brags they captured 1.2 Billion in illicit transactions in 2011 (the latest year with posted numbers). That is less than 1 percent of the 300 billion illicit economy!!!

    If we are to believe the author's OWN references, the Bitcoin illicit economy was nearly completely compromised! Lesson? Dollars safe for drugs, Bitcoin dangerous. Exactly the opposite of the author's claims. Per his own writing.

    Bitcoin is risky. Perhaps some flaw might be found someday. But we know today that the 100 dollar bill is the most counterfeited currency in the world! Bitcoin: Zero successful counterfeits, and only one incident (failed). That means Bitcoin is safer by 1 to 1000 million gazillion dollar compromises. (I actually have no way to count the number of successful counterfeiting of dollars that have occurred)

    Even Gold and Silver is counterfeited. The only currency we have that nobody knows how to counterfeit is the cryptocurrencies, the first of which in the history of mankind is Bitcoin.
    Oct 27 07:45 PM | 16 Likes Like |Link to Comment
  • The Slow Death Of Bitcoin And Gold [View article]
    1. Duh. Prices are currently in dollars. Bitcoin hasn't taken over the world yet.
    2. Yes Bitcoin has fees. Not 3 to 6 percent + .20 cents for domestic transactions, and over 10 percent for international transactions (usually a few pennies, flat). But who cares about facts?
    3. Exchanging Bitcoin back and forth between USD is getting easier all the time. This complaint is like saying email in the 90's was hard to exchange. True, but meaningless.
    4. Governments can't effectively crack down on distributed systems, and they cannot outlaw Bitcoin without huge collateral damage (i.e. also outlawing video game economies, coupons, gift cards, frequent flyer miles, and barter in general).
    5. Bitcoin will increase in value over time. No currency in the history of mankind has failed because it is "too deflationary," i.e. it increased in value too much, i.e. too many people wanted it.
    6. Saying you can't pay taxes with Bitcoin is stupid. Of course you can. You might need to exchange your Bitcoin for dollars, but that is how you do it, not the same as saying you can't do it. You can't pay your taxes if all you have are pennies either. But it can be done.
    Jun 26 05:54 PM | 4 Likes Like |Link to Comment
  • Bitcoin: I Hate To Say I Told You So... But I Told You So [View article]
    Actually it turns out that Mt.Gox was flooded with new users, trades got delayed, then some part of the market went into a panic.

    Those of us that see the technology as solid, providing solutions in a space where there are none, we just watched. And over the next couple days, we will see Bitcoin recover.

    Until the valuation of Bitcoin is high enough to denominate large transactions (somewhere around 100 billion), there is no bubble. And once Bitcoin can handle large transactions, and the liquidity is in place to exchange currencies at realistic volumes (one's that make this flood look puny), Bitcoin will really take off.

    Nobody else is in a position to offer anything like fast, secure, world wide, transactions without any centralized third party involved. As long as Bitcoin is the only game in town, the sky literally is the limit.
    Apr 11 01:56 AM | 1 Like Like |Link to Comment
  • Bitcoin: I Hate To Say I Told You So... But I Told You So [View article]
    Hey another difference:

    The Government can just come and take your gold away!

    And if you want to pay someone a few cents? Well you can't do that with Gold.

    And if you want to send someone money over the Internet? Ah, another thing you can't do with Gold.

    Gold requires Vaults. Digging up the environment. Stacking a resource away from pragmatic use. Gold is manipulated and controlled by the Banks and governments. Gold has been central to defining nationalist currencies, and part of currency wars for hundreds of years.

    Bitcoin is International, government free, bank free, resource free, counterfeit free, as secure as you make it, a freely traded world wide.

    Bitcoin isn't Gold. One of its best features.
    Apr 10 11:10 PM | 5 Likes Like |Link to Comment
  • Bitcoin: I Hate To Say I Told You So... But I Told You So [View article]
    ... and back to 178 as I type. For all the drama, Bitcoin shed its gains of the last 4 days. http://bit.ly/16SP1ZR

    Thsi is just a correction, nothing more. Cerrtainly not the Bubble burst that you were (it seems) hoping for.
    Apr 10 09:19 PM | 2 Likes Like |Link to Comment
  • Bitcoin: I Hate To Say I Told You So... But I Told You So [View article]
    Right. Nobody has ever been able to make money in a deflationary market. Technology has been in a deflationary market for 40 years! The disk storage in the average phone exceeds the storage in the Mainframe computer everyone shared at my university in the 70's!!!

    Deflation absolutely prevented any technology being developed! Nobody would buy, knowing that tomorrow their computer/software/appl... would be out of date!

    That's why the most successful people in technology are the poorest people on the planet! Because deflation wreaks such horrible tolls!
    Apr 10 09:18 PM | 2 Likes Like |Link to Comment
  • Bitcoin: I Hate To Say I Told You So... But I Told You So [View article]
    This wasn't a "Bubble Burst" but a correction. You see this all the time when an investment takes off. Heck, you actually saw a "bubble burst" in 2011 with Bitcoin, which took over a year to recover.

    My prediction? Bitcoin will be back over 200 in a few days, and it will continue to climb. Why did this happen? Some number of people decided to take some profit. Bitcoin has had a mind boggling run up. Why wouldn't people cash in, maybe retire some debt?

    This process will spread Bitcoin around. Why? Because with the dip, lots of people jumped in who see the long term value of a technology that allows transactions without a centralized third party. Without SWIFT, or Wire Transfers, or MC, or VISA, or PayPal.

    This little bump in the road will soon be forgotten.

    And the many of us who see the tech for what it is will be there to say, "We told you so!"
    Apr 10 04:59 PM | 4 Likes Like |Link to Comment
  • Bitcoin Bubble 2.0 [View instapost]
    American Express charges the highest transaction fees of the major credit cards (VISA/Mastercard/American Express). That is why you often cannot use your Amex with some venders.
    Mar 19 04:39 AM | Likes Like |Link to Comment
COMMENTS STATS
11 Comments
44 Likes