Bitcoin on the rise

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BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

does chenda care to elaborate? brute would agree that elites use keynesian "economics" to hoodwink dumb humans

chenda
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Re: Bitcoin on the rise

Post by chenda »

BRUTE wrote:does chenda care to elaborate? brute would agree that elites use keynesian "economics" to hoodwink dumb humans
They have persued austerity in a liquidity trap and have done little to alievate unemployment.

Hankaroundtheworld
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Re: Bitcoin on the rise

Post by Hankaroundtheworld »

In the meantime DOA (and Application / Smart contract) on top of Ethereum has been hacked, and ETH dived 30% in value. Just to show the risks in investing in these new technologies, hence why I call it fun-investments (casino play). By the way, to show you how greed works, I now bought more ETH with this lower rate, and I probably get punished for it :-) People need to re-learn all the time!

BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

chenda wrote:
BRUTE wrote:does chenda care to elaborate? brute would agree that elites use keynesian "economics" to hoodwink dumb humans
They have persued austerity in a liquidity trap and have done little to alievate unemployment.
brute and chenda must be talking about different elites. brute is pretty sure this cannot be said about the FED ;)

chenda
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Re: Bitcoin on the rise

Post by chenda »

BRUTE wrote:brute and chenda must be talking about different elites. brute is pretty sure this cannot be said about the FED ;)
Keynesians have been critical of the Federal Reserve, for an inadequate programme of quantitative easing and too low an inflation target. Chairman Bernanke has ignored Professor Bernanke's own advice.

BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

maybe some keynesians have. the monetary expansion under the ben bernank has been pretty unprecedented.

brute personally has yet to see anything he'd call "austerity".

Ydobon
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Re: Bitcoin on the rise

Post by Ydobon »

I would posit that the Greeks have experienced something close to austerity, or at least a nasty period of cold turkey!

BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

certainly their government hasn't, at least not "austerity" in relation to a terrible economic crisis.
http://www.tradingeconomics.com/greece/ ... t-spending

brute always finds it funny how humans compare post-bubble spending to mid-bubble spending, determine it's lower but humans are unhappy, and then claim "austerity doesn't work". what do humans think caused the bubble, austerity?

trfie
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Re: Bitcoin on the rise

Post by trfie »

A lot of separate topics are being confused here.

Yes, most/all major state-sponsored currencies are inflationary and have their own problems. This has nothing to do with bitcoin, except that it makes bitcoin more valuable because relatively, it has advantages over other currencies.

Gold has its own issues and is not used as a currency anywhere because of this. Fiat currencies can no longer be exchanged for gold. So gold cannot be used to support bitcoin being used as a currency.

Why is there an assumption that the deflation of bitcoin will be <2%? It will be more than 2% per year, but in actuality the deflation cannot be predicted in advance and there will be separate problems because of this. It was also commented about being a long-term problem, which is true, but this is not an argument in favor of bitcoin, only that the problems will not happen right now.

I think it's possible for a cryptocurrency to be created that deals with all of these issues and has all the advantages over traditional currency, but it hasn't been created yet.

BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

the 2% deflation was just an example. nobody freaks out over 2% inflation (except goldbugs). brute thinks deflation is a neutral phenomenon, not a bad phenomenon. it has certain implications, just like inflation does. the people who are afraid of it (and criticize bitcoin for being deflationary) are usually keynesians who think the only way the economy isn't going to tank is PRINT BABY PRINT.

wood
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Re: Bitcoin on the rise

Post by wood »

Bitcoin got hacked the other day and dropped 20% in value. I'm just waiting for something similar to happen to "real" money.

Ydobon
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Re: Bitcoin on the rise

Post by Ydobon »

wood wrote:Bitcoin got hacked the other day and dropped 20% in value. I'm just waiting for something similar to happen to "real" money.
It seems to be happening every other day in the UK at the moment :lol:

ether
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Re: Bitcoin on the rise

Post by ether »

wood wrote:Bitcoin got hacked the other day and dropped 20% in value. I'm just waiting for something similar to happen to "real" money.
Happens more than you think! It's just market participants don't freak out when it happens to the USD!
Read Here

Banks use SWIFT instead of blockchain. There is a reason people are excited about blockchain technology!

BRUTE
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Re: Bitcoin on the rise

Post by BRUTE »

bitcoin did not get hacked, a huge exchange got hacked. that's like saying the USD got hacked vs. BoA got hacked (which happens all the time).

many banks are actively researching blockchain technology right now. brute thinks this is going to be a big thing in finance/banking soon. it's such a resilient ledger, which seems to be very important in banking.

Ydobon
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Re: Bitcoin on the rise

Post by Ydobon »

I would be interested in buying BTC with a very small amount of my fun money (basically gambling and a chance to find out more about the technology, which is fascinating).

Does anyone have any tips for someone just starting out?

stayhigh
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Re: Bitcoin on the rise

Post by stayhigh »

Ydobon wrote:Does anyone have any tips for someone just starting out?
I'd recommend spending some time reading this, for better understanding:
https://en.bitcoin.it/wiki/Main_Page

Ydobon
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Re: Bitcoin on the rise

Post by Ydobon »

stayhigh wrote:
Ydobon wrote:Does anyone have any tips for someone just starting out?
I'd recommend spending some time reading this, for better understanding:
https://en.bitcoin.it/wiki/Main_Page
Thanks for that.

steveo73
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Re: Bitcoin on the rise

Post by steveo73 »

I'm bumping this thread because I've been reading up on bitcoin. I think a crypto-currency makes a tonne of sense. At the moment there are a tonne of these crypto-currencies but bitcoin is definitely the largest.

I'm not sold on investing in bitcoins but I'm going to buy a tiny amount and use it just to experiment. I think as part of my cash savings I'd like to have some bitcoins or other crypto-currency.

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Seppia
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Re: Bitcoin on the rise

Post by Seppia »

I am more skeptical honestly.
What, ultimately, gives any currency its value?
I think if we dig enough, we have to get to the conclusion that the real reason why a piece of paper with a dead president's face drawn on it it commonly accepted as form of payment is the fact that the US government only accepts said currency as a form of payment for taxes.

Bitcoin does not have that.
It's a piece of code, it has zero "real" value, aside from the fact some people are willing to accept it as form of payment.
The same people could tomorrow decide to utilize rocks, and the Bitcoin value would immediately become zero.

It is unlikely that the us government will shift to rocks, since they are the ones printing dollars.

Not saying Bitcoin is useless, I know it has its advantages, but I would never own them for more than a day or two (just the time needed for an eventual Bitcoin based transaction)

Even if there was not this type of problem, I would not consider investing in a currency.
It's speculating, not investing, in my opinion.

steveo73
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Re: Bitcoin on the rise

Post by steveo73 »

Seppia - I also wouldn't invest in a currency. I just think the risk is too high. I have traded currencies and still do but I don't do it a lot.

I like the concept of crypto-currencies a lot though. They are worldwide currencies with trivial barriers of exchange. It doesn't cost a fortune to transfer funds from my account to someone else's account. Banks get much less opportunities to gauge fees from us.

I think as a form of money they make more sense than US dollars or gold or any other currency.

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