I was giving up Bitcoin interest, UNTIL
by flynavy | January 22, 2014 10:31 am
OK, I went through a couple of weeks digging on Bitcoin interest and long term survivability. I mean, Micheal Robinson had me turning in my dollars but I could not get matched up with any other blogger or news letter site which seemed to find the same energized feeling
I was having on Bitcoin so I decided to move on down the investment road. Then, on Tuesday January 21st in the Dallas Morning News is a nearly full lenght column on ”Overstock to accept bitcoins”.
”I’ve been hearing from people all over the world–cult followers of Bitcoin — who say they are going to shift all of their shopping to Overstock.com” chief executive Patrick Byrne[1] said.
Although Amazon is apparently denying ever stepping over to Bitcoin, Burne’s contended Amason and other big retailers will jump on board as they are not going to concede this whole section of the market to Overstock.com.
Additionally, the column writer expressed that the linchpin of the system would be the ”miners” — high-end computer users who supply the bitcoin network with the processing power needed to maintain a transparent, running tally of all transactions. Tally is one of the important ways to prevent fraud.
So, I’m back on the Bitcoin issue and looking for ways and means to consoladate current and future news, thoughts and comments (tracking) on the movement of Bitcoin from ya’ll who are interested in, following or invested in the same (Bitcoin).
P.S. Received Robinson’s ”Edison’s revenge” yesterday via snail mail so will read the print asap.
- Patrick Byrne: https://www.stockgumshoe.com/tag/patrick-byrne/
Source URL: https://www.stockgumshoe.com/2014/01/microblog-i-was-giving-up-bitcoin-interest-until/
I’m in the same boat. Got the info from Robinson and am tempted to step into the bitcoin realm, but still not sure.
I’ve been trying to trade the Forex and have had little (read that as “no”) success. I’m trying to figure out how I might utilize bitcoin as an alternative to forex, as it seems to have the potential of addressing my concerns over the USD devaluation.
It’s hard to tell if the renewed attention on the bitcoin is because its a good deal, or if it is simply to provide new buyers for the folks now trying to take profits.
At any rate, I’d be interested in sharing thoughts, ideas, etc. on bitcoin investing.
I THINK I understand Bitcoin as a storehouse of value, but don’t understand how it would have any ‘investment’ value except in arbitrage, much like any foreign currency. Seems to me the value of any currency is simply what it will buy (what we think it will buy). So, what makes a ‘bitcoin’ go up in apparent value? What is the standard against which it is being measured?
Bitcoin is simply about supply and demand. Only 21million bitcoins will ever be mined from the “cloud”! There’s only so many to go around so as it goes the more scarce the items are the more expensive! To me, it’s kinda like the gold industry! THere’s only so much gold And it s costs xyz to get out of the ground, right? so it costs xyz to buy special computers to mine, lots of electricity to run computers and blah blah blah. So, I think the bitcoins are a good investment but it probably would have been better to get in five years ago, 1200US for one bitcoin? I like it better than gold because I think there’s less overhead needed to mine bitcoins than gold. Pay 125,000 for one excavator or pay 25,000 for a nifty computer system? Almost guaranteed to get bitcoins if you mine for them but told just costs way to much to get out of the dirt. Gold is nice cause you can get lucky and hit but at least you know what you have to do to get bitcoins! The more numbers and powerful computers you have the faster you can get bitcoins! I think the idea if bitcoins is less risky of an investment than gold but gold is ancient history. So, the gold industry just has more history behind it which makes people feel it’s less risky. There’s just so much propaganda behind gold too! Bitcoins are less risky, to me, because the amount of time and effort it takes to mine them. Plus, as the industry of bitcoin becomes more saturated the demand for bitcoins will increase driving up the value of each bitcoin
“Only 21million bitcoins will ever be mined from the “cloud”.”
So there is the crux of the question. How can a person be sure that more ‘bitcoins’ won’t be ‘mined’?
two sites for some good information are https://coinbase.com/ and https://www.bitstamp.net/
Because it is designed to have a finite number over x amount of time…the most promising application would have to be payment processing …. supposedly the next biggest thing, the theme of 2014 is Mobile Payment….credit cards and payment methods are going to rapidly change and Bitcoin being first to market will have a role and hopefully a key one. I read an article two years ago called “Why I’m buying $1,000 worth of bitcoin” (about 100 bitcoins at the time), the author said that he could go to a casino and give the money a chance, he could buy gold, he could buy a stock, he could even short a stock etc….The worst thing that could happen was to lose a finite amount, $1000, but he could lose no more. But he could hit big. Well I thought that maybe they were already overpriced at $10 ea. since jeez I can just mine some with a good video card…so instead of $100,000 in bitcoin gains, I gained nothing and bought my first ones after the Silk Road crash around $660 and am happy to still have that entry price considering I used to think $10 was too expensive. When Amazon or Wal-Mart starts accepting, then it is game over. It will not be able to be stopped by any one government and efforts to do that will further push the price upward ultimately. The libertarians figured out a silver lining from the Great Recession, it is a natural evolution, people are forever pissed and distrustful of the current banking system and the 2.99% fees they get for payment processing etc. is ridiculous. Money changers. Bitcoin has the power to disrupt the money changers for good and people like that on a fundamental level. The Too Big to Fail institutions have unleashed some major changes that we will all live through in a rapidly changing future and I am using bitcoin as a part of a diversified yet very aggressinve investing approach.
Who would have thought that Marijuana would be legal for recreational use and the DA and Justice Dept are actively, rapidly working to change the banking rules to allow related business to bank and not have to do everything with armored cars. It is almost a public safety issue. Whoever is elected in 2016 will not be able to put this Jeannie back in the bottle and it is a great example of the rapid rate of change we can expect to see moving forward.
Interestingly, marijuana discussions of all types can be heard on tv and talk radio…the demographics are amazing as many older folks are fully behind ending prohibition…in other words there is a lot of buzz on the subject and it is a mini gold rush which could avalanche into a full blown frenzy when big pharma and tobacco get involved. A clear leader or three will emerge in a few years for stocks related to the changes. But the buzz among everyday folks on bitcoin is not at the same levels…just ask acquantinces what they know or think about bitcoin and you will hear something like, Ponzi scheme, it’s gonna crash within a month, what are you talking about, I have no idea what bitcoin is etc….It is still something that is not quite widestream yet but it will blow up just as quickly as the sweeping changes in Washington and Colorado.
Bitcoin is simple and easy now on Coinbase,,,,buy some spend some and hoard some, but only a portion of your total portfolio. After all what if you buy the same $1000 worth of BTC today (about 1.15 BTC) and in two years a single coin is worth $10,000 or in 5 years $100,000 (assuming 10% of global trade is transacted using bitcoin a single coin would have be worth that much at a minimum. Virtually no fees, instant payment and verification as well as ability to exchange and liquidate instantly and the 10% figure looks very realistic. If not, you lose $1000…..or a bad night at the craps table. I’m rolling the dice on Bitcoin, PHOT, BNIKF, RNN, FSPM, SCTY, TSLA, F.