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Title: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 30, 2012, 11:07 PM
Here is an article on the subject.

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Title: Re: Does anyone here use Bitcoins?
Post by: mouser on September 30, 2012, 11:17 PM
Can you give us the website url where the pdf originally came from?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 30, 2012, 11:50 PM
Looks like here:

http://blog.malwarebytes.org/intelligence/2012/08/passing-the-bitcoin/
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 01, 2012, 10:11 AM
Looks like here:

http://blog.malwarebytes.org/intelligence/2012/08/passing-the-bitcoin/

Right. I just didn't think anyone would want it.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on October 01, 2012, 10:57 AM
Right. I just didn't think anyone would want it.

Most people usually like to see context for stuff like this. :)
Title: Re: Does anyone here use Bitcoins?
Post by: zridling on October 01, 2012, 11:14 PM
At least with Bitcoin, there's no inflation and no government can manipulate its value.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 02, 2012, 12:00 AM
At least with Bitcoin, there's no inflation and no government can manipulate its value.

Or privately owned central banks, which are the largest manipulators. I only wish that it were governments doing it...

Some very quick quotes from the horse's mouth about money




Cued link (for last bit):

http://www.youtube.com/watch?v=AidBugvVqpw&feature=player_detailpage#t=85s



Those are just 3 drops in the ocean of earth-shattering statements. Well, earth-shattering when you know what they're actually saying.



(I could go on about that all day! :) )

As for the article:

Combine the end goal of the BitCoin malware with the credit card scanning technology and BitInstant debit cards may very well become targets for literal “walk-by” card scans to steal account information and virtual money.

Kind of a moot point there. That ship sailed long ago.



Again, yet another case for 2-factor authentication (or n-factor).

Potential good uses for bitcoin
The article goes on about "illegal" stuff that bitcoin is used for. I think that's a good thing. Mind you, I say "illegal" as opposed to "criminal". Theft is criminal. Not allowing governments to steal from you is "illegal". Big difference.

It would be fantastic to see bitcoin used to help foster a thriving black market in things like food and consumer goods - with no tax.

Tax freedom day in Canada is June 11th. That's a tax rate of about 45%. Does this not strike anyone as completely insane? And every year it keeps growing... never stopping... 1 step back in a year only means next year sees 2 steps forward. If bitcoin could help people get around paying tax, that would be wonderful!

Is it immoral to stop someone from stealing from you?

Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on October 02, 2012, 06:45 AM
Is it immoral to stop someone from stealing from you?
Is the financing of public healthcare, educational system and infrastructure "stealing"? :-)

The taxes in Denmark are a wee bit high, and I wish the whole system could be reformed - and on top of that I definitely don't like the greedy immoral bastards from the banks (and the rest of the financial sector). I don't think BitCoin is a good (part of) a solution - the combination of a global fixed maximum number of coins with the possibility of coins getting lost forever, and basing its entire safety in a cryptographic method that hasn't been super well peer reviewed and definitely hasn't stood the test of time? No thanks.

But it sure does seem like a handy way to pay for drugs, and a lovely thing if you're intending to steal other people's coins and/or whitewashing.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 02, 2012, 07:33 AM
But it sure does seem like a handy way to pay for drugs, and a lovely thing if you're intending to steal other people's coins and/or whitewashing.

+1! Right up there with the raw diamonds.

Why should only criminals and government sponsored black ops get to have all the fun? :D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 02, 2012, 08:07 AM
@f0dder - OT part
Since this is off-topic... ;)

Is it immoral to stop someone from stealing from you?
Is the financing of public healthcare, educational system and infrastructure "stealing"? :-)


It's really boils down to one of those fundamental issues that that you either believe in, or say that you believe in but don't really. Freedom.

As a very simple example, take property tax... It's simply there. Period.

You are FORCED to pay it basically at then wrong end of a gun. This is how government works. They make physical threats and actually follow through on them with force. None of that is controversial or inaccurate.

However, in the case of property tax it is slavery. Period. There's not really much to debate on the topic there. Slavery is forced labour. Property tax forces you to participate in the economy in order to pay the tax. It forces your labour out of you. Again, nothing controversial. Well, unless someone thinks that slavery is ok, or things that it matters *how* someone is forced to work.

Property tax removes the option to not participate in the economy. This is a complete violation of a person's freedom.

Property tax is stealing, is theft, is forced labour, is slavery. It steals your labour. Is it theft of the fruits of your labour. It forces you to work (slavery) through threats of violence against you. (I would take it that kidnapping someone and forcibly confining them is violence.)

Property tax eliminates the freedom to simply be left alone.

Now, the typical retort is usually something about "who will provide water, electricity, roads, whatever." The answer is pretty simple... Does it really matter all that much who does it? And why not just get people to pay for their water, electricity, roads, whatever? There's more than 1 way to skin a cat. :D




The on-topic part: :)

The taxes in Denmark are a wee bit high, and I wish the whole system could be reformed - and on top of that I definitely don't like the greedy immoral bastards from the banks (and the rest of the financial sector). I don't think BitCoin is a good (part of) a solution - the combination of a global fixed maximum number of coins with the possibility of coins getting lost forever, and basing its entire safety in a cryptographic method that hasn't been super well peer reviewed and definitely hasn't stood the test of time? No thanks.

But it sure does seem like a handy way to pay for drugs, and a lovely thing if you're intending to steal other people's coins and/or whitewashing.


Well, it's just a tool. If it tanks, oh well. If it succeeds, great!

But I think that you're being a bit pessimistic.

Imagine you want to go from A to B by bus/tram/subway/metro/whatever - public transportation. Also imagine that you're a political dissident. Well, given that everyone is a terrorist now (especially if you pay cash for coffee or have more than 7 days of food in the house), it's not much of a stretch for anyone. :)

Anyways, I digress... Back on topic...

But you don't really feel like having your every move tracked. You use the bus a few times a day, and carrying around a lot of change is simply heavy. Digital currency is lighter and more convenient. But if you use your bank card or credit card, well, you're being tracked.

Wouldn't it be nice to have the option to not be tracked?

Now, someone is going to jump in with the completely irrelevant objection, "But I can buy a bus card at the station with cash, so... blah blah blah."

Ok. Forget the bus. How about buying milk? Gas? Paying at toll booths? Perhaps you don't want to be tracked for how much technology you buy - computers, HDDs, cards, memory? Out of cash and out of pron? :P

Or perhaps you need to purchase something over $1,000 or so, and the store refuses to take cash for large purchases (this is becoming more popular), but you don't want your spouse to figure out what their birthday present is, which they would if they checked the accounts?

There are SOOOOOOOOOOOOOOOOOOOO many good reasons to use bitcoin legitimately!

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 02, 2012, 11:59 AM
Perhaps you don't want to be tracked for how much technology you buy - computers, HDDs, cards, memory? Out of cash and out of pron?

Especially the pron!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 02, 2012, 12:07 PM
Perhaps you don't want to be tracked for how much technology you buy - computers, HDDs, cards, memory? Out of cash and out of pron?

Especially the pron!

Why not? You'll start getting all kinds of personal email from sexy (legal age!) Russian hotties who want to date you once you get pegged as a pr0n addict. They'll tell you exactly what they want to do with you. And as a plus, they speak pretty good English too!

I guess Russian ladies really get off on porn huh?  :P
Title: Re: Does anyone here use Bitcoins?
Post by: urlwolf on October 02, 2012, 06:03 PM
I own them, but do I use them? Nope :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 02, 2012, 10:17 PM
I own them, but do I use them? Nope :)

Can't find any bitcoin pron, eh? :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Tuxman on October 03, 2012, 05:27 AM
"Does anyone here use Bitcoins?"

I use them, but no one spends some to me. A pity, I really would love to buy drugs off the Silk Road.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 04, 2012, 11:43 AM
This might be interesting for some:

Bitcoin copper rounds.

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Now, they are ornamental, and only for collectors. Also, if you are into purchasing metals as a way to store wealth, you have to be braindead to buy them - but that goes for pretty much all copper rounds, and not just those. (They are overpriced by a LOT! Silver or gold are much better buys, and particularly silver.)

Anyways, just thought it might be interesting for some people here. Gimmicky? Sure. Fun? Definitely! :)
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on October 04, 2012, 11:57 AM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 04, 2012, 12:16 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)

It's just a gimmick to sell copper at inflated prices. That's all. Copper rounds are insanely overpriced.

Copper: $3.7829 per pound
Rounds: $1.89 each (avoirdupois ounces) or $37.80 for 20 (avoirdupois ounces) => $30.24 per pound

Title: Re: Does anyone here use Bitcoins?
Post by: zridling on October 04, 2012, 01:59 PM
Or privately owned central banks, which are the largest manipulators. I only wish that it were governments doing it...

Ah, good point. It is the central banks that manipulate currencies, among other LIBOR things.
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on October 04, 2012, 02:33 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)
It's just a gimmick to sell copper at inflated prices. That's all. Copper rounds are insanely overpriced.
It looks pretty.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on October 04, 2012, 03:12 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)
It's just a gimmick to sell copper at inflated prices. That's all. Copper rounds are insanely overpriced.
It looks pretty.

I'm with f0dder ...(damn the avoirdupois value)... Where can we go and get screwed out of $2 for one of these cool little trinkets.  :D
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 04, 2012, 03:33 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)

I'd love one of those - or two, frame them showing both sides.

I'll repeat: "where's the link?" (apparently there's been a few versions already released but I couldnt find these ones)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 05, 2012, 01:07 AM
I'm with f0dder ...(damn the avoirdupois value)... Where can we go and get screwed out of $2 for one of these cool little trinkets.  :D


Heheh~! See below!

The metals dealers typically only sell in lots of 20 for copper rounds. But, there are some that sell singles. Mostly on eBay.


I'd love one of those - or two, frame them showing both sides.

I'll repeat: "where's the link?" (apparently there's been a few versions already released but I couldnt find these ones)


You can get them all over the place. Here are a few links:

http://www.ebay.com/sch/i.html?_from=R40&_trksid=m570.l2736&_nkw=bitcoin+copper+round

The mint:
http://mjbmonetarymetals.co.uk/copper.html

http://copperrounds.org/?s=1+Oz+Copper+Rounds
Goes to ==> http://www.ebay.com/itm/ws/eBayISAPI.dll?ViewItem&item=221134928422&item=221134928422&vectorid=229466

http://www.preciousmetalhouse.com/copper-bullion/rounds/2012-copper-mjb-bitcoin-1oz-roll-of-20.html

I have not purchased from any of those places, so I can't vouch for them, but they all seem ok.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 05, 2012, 09:32 AM
Quite by accident, I noticed another site accepting Bitcoins:

http://nevertakeaplea.org/support/never-take-a-plea-now-accepts-bitcoins/

It's an activist site accepting donations, but still, it's 1 more. Out of the blue. (I really wasn't looking for anything Bitcoin related, but noticed it, and thought of this thread.)
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on October 05, 2012, 09:35 AM
s an activist site accepting donations, but still, it's 1 more. Out of the blue. (I really wasn't looking for anything Bitcoin related, but noticed it, and thought of this thread.)
Activist? You know what that's a synonym for, right? Yep, you're right (http://dictionary.reference.com/browse/terrorist?s=t)! ( ;) )
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 05, 2012, 09:37 AM
Activist? You know what that's a synonym for, right? Yep, you're right (http://dictionary.reference.com/browse/terrorist?s=t)! ( ;) )

Bwahahahaha~! :D

Sadly, that's true! But still very funny!  :tease:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 05, 2012, 06:18 PM
My understanding is that Charon is accepting them for the toll.

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Guess I better get me two huh? ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 07, 2012, 03:33 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)


If they are selling the coins, they should take Bitcoins to pay for them unless they are hypocrites.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 07, 2012, 10:03 PM
They look wicked cool - what's the link? I might get one even though I'm skeptic wrt. the whole scheme :-)


If they are selling the coins, they should take Bitcoins to pay for them unless they are hypocrites.


It's kind of ironic when you think about it. Metals are the best (portable/non-land) store of wealth around, and Bitcoins are digital.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 08, 2012, 01:54 AM
It's kind of ironic when you think about it. Metals are the best (portable/non-land) store of wealth around, and Bitcoins are digital.

It is. But when you think about it, metal coins are also still just as much a symbolic representation of economic value as the the digital data in a bank account. The intrinsic value of the metal in a coin is not equivalent to the economic value it represents. So in the end it's really all just symbols and tokens, no matter what the currency is fabricated out of...

Money is more an idea than it is a thing. Possibly it's the closest thing to "pure information" the human race has ever created representative objects for.

Title: Re: Does anyone here use Bitcoins?
Post by: ewemoa on October 08, 2012, 02:36 AM
Rai stones (https://en.wikipedia.org/wiki/Rai_stones), any one?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 08, 2012, 02:37 AM
It's kind of ironic when you think about it. Metals are the best (portable/non-land) store of wealth around, and Bitcoins are digital.

It is. But when you think about it, metal coins are also still just as much a symbolic representation of economic value as the the digital data in a bank account. The intrinsic value of the metal in a coin is not equivalent to the economic value it represents. So in the end it's really all just symbols and tokens, no matter what the currency is fabricated out of...

Money is more an idea than it is a thing. Possibly it's the closest thing to "pure information" the human race has ever created representative objects for.

Well, yes and no. You're referring to money in a fiat system where it isn't tied to a commodity. (Which is what we have now.)

What I was referring to there was "metals" as in silver, gold, palladium, etc. I wasn't referring to coinage so much, but I can see why you'd take it that way.

The issue of coinage is a bit more involved than just not being equal to the face value. However, that's linked to the monetary system, and in a system where the money is linked to the currency in a strong way, then things are different. But, that's getting off-track.

Current coinage in circulation is basically worthless. It has a face value, but the value of the metals is virtually nothing. Even pennies aren't made of copper anymore because copper is too expensive (?).

However, mints create coinage that has value far above the face value. Take a $50 coin made of platinum that trades at around $1,700 or so.

Probably, or at least IMHO, the best valued coin out there is the 1 oz 9999 fine silver $5 Canadian Maple Leaf. It has the highest face value of any coin in its class, and currently trades at about $37, or $34.50 spot + margin. It's also 4x9's pure instead of 3x9's pure.

Other common coinage before about 1965 was 90% silver (or so), and $1,000 face value trades at around $25,000 (715 oz about). Take $1,000 of any current coin in circulation, and you have no hope of getting even face value for its metal. Zinc is trading at around $0.91 per pound or so, which is what is in a lot of coins. Nickels aren't even nickel anymore, which isn't surprising as it trades at over $8 per pound. Copper is almost $4.

There is a fundamental disconnect between currency and metal now, but that is entirely due to the current fiat monetary system, and private central banks that manipulate interest rates and currencies, but not a necessary disconnect - you can well imagine a system where currency is tied to a commodity.

The metal itself is far from symbolic. The metal in common coinage is basically worthless, but plain old "metal" (not the Judas Priest variety) still has very real applications that make it valuable. e.g. Silver in semiconductors or solar panels, etc.

Paper currency (or plastic as in Vietnam or Australia) is fundamentally worthless. Toilet paper is intrinsically more valuable because it has a real use beyond burning. Take US Confederate currency now - it has no value at all except to collectors.

But, I suppose that's still about the same for Bitcoins - how can 1's and 0's on a screen have an intrinsic value? You can't "use" the 1's and 0's. That stands in stark contrast to something like a 1 oz silver coin that you can actually use the material from, and make something with it. Same for old pennies that were made of copper - you can use the copper from them to do lots of things - they have an *intrinsic* value on their own, and even entirely outside of any monetary system, they have real uses. Bitcoins only have use inside of the system - in the exact same way as US, Canadian, British, Australian, and other currencies are only valuable inside of the monetary system -- otherwise, they're worth less than toilet paper. Literally. :D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 08, 2012, 06:24 AM
Precious metals only have an intrinsic value within a system too. They're not directly consumable. They need to be refined, assayed, and agreed upon by whomever. They need both a market and an exchange before they become valued. So I'd like suggest they don't have much 'intrinsic' value outside of the society that assigns such value to them. And once you get outside a technological society, the far more common metals and alloys (iron and steel) are much more valuable (i.e. useful and usable) than the more precious variety which are used in less advanced societies primarily for decoration - if they are used at all.

Look at the early days of the Russian Revolution. Nobles were fleeing and bartering gold, jewels, and other precious objects for basic commodities such as food - and half the time having their offers refused. "You can't eat gold" as the saying goes.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 08, 2012, 07:24 AM
Precious metals only have an intrinsic value within a system too. They're not directly consumable. They need to be refined, assayed, and agreed upon by whomever. They need both a market and an exchange before they become valued. So I'd like suggest they don't have much 'intrinsic' value outside of the society that assigns such value to them. And once you get outside a technological society, the far more common metals and alloys (iron and steel) are much more valuable (i.e. useful and usable) than the more precious variety which are used in less advanced societies primarily for decoration - if they are used at all.

Look at the early days of the Russian Revolution. Nobles were fleeing and bartering gold, jewels, and other precious objects for basic commodities such as food - and half the time having their offers refused. "You can't eat gold" as the saying goes.

Not so sure about that. You hit a few points - precious, system, and technological society.

Outside of a technological society, silver still cannot be replaced by other metals as an antibiotic/disinfectant. But, you'd have to know that, which kind of makes the use anachronistic.

Iron and copper certainly are far more useful than gold or other precious metals for practical, everyday life.

But no matter what system or level of technology, any metal is still more useful than an arrangement of a few electrons (a charge or whatever - more than one way to skin the cat here) that can store a single number, like for Bitcoin (or bank accounts). Those few electrons in themselves really have no value that can compare with a nice sledge hammer. :D

Metals simply are fantastic for tools, even if you're on a deserted island. And there, they still have value, entirely outside of any system or society.

I think that the "deserted island" is a good measure for the intrinsic value of something. i.e. Is it useful in and of itself. Metals fill that quite well, though precious metals, not so much as iron, copper, etc. The "deserted island" nicely measures the utility of something, and not what people believe about it, e.g. fiat currencies.

But --- getting back into a technological society --- precious metals absolutely have intrinsic value still. The average car has a few hundred dollars of platinum in it, used for functional purposes because platinum is good at doing some things.

Similarly, silver has countless uses from clothing to semiconductors and solar panels. Silver is used extensively in manufacturing.

So, if you're on a deserted island, and you have solar panels to power your, well, whatever - doesn't matter - blenders and fridges maybe - and then magically all the silver disappeared, you'd be left without power. (Same goes for gold in electronics, etc. etc.)

Maybe not that simple, but I'm trying to get at the idea that irrespective of any kind of societal value placed on a precious metal, they still have practical uses that "belief" can't replace. I say "belief", because that's what "powers" fiat currencies like the US dollar or bitcoin or whatever.

Now, perhaps gold (or others) are overvalued now, but none of that diminishes its suitability to perform certain tasks/functions, and those tasks/functions are entirely independent of any society as they are merely capacities to do something - a potential if you will.

Have we hit a red herring, or are we talking about the same thing when we say "intrinsic value"?
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on October 08, 2012, 07:30 AM
"You can't eat gold" as the saying goes.
O'Rlly? (http://www.caterersearch.com/Articles/06/07/2007/200088/gold-leaf-saffron-risotto-by-gualtiero-marchesi.htm) - *giggle*
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 08, 2012, 09:17 AM
^ :D you can get drunk (http://en.wikipedia.org/wiki/Goldwasser) on gold too, cant you? (http://en.wikipedia.org/wiki/Goldschl%C3%A4ger)
_______________________________

Precious metals only have an intrinsic value within a system too. They're not directly consumable. They need to be refined, assayed, and agreed upon by whomever. They need both a market and an exchange before they become valued. So I'd like suggest they don't have much 'intrinsic' value outside of the society that assigns such value to them. And once you get outside a technological society, the far more common metals and alloys (iron and steel) are much more valuable (i.e. useful and usable) than the more precious variety which are used in less advanced societies primarily for decoration - if they are used at all.

I think that's pretty clear.
If precious metals were just valued for their industrial worth, I wonder what they'd be worth (probably impossible to estimate).

_______________________________

Re the metal in coins, I wonder what it actually costs to make a coins?
I wouldn't be suprised if the smaller nominations cost more than their worth - yup ;) -

As of 2012, it costs the U.S. Mint 2.41 cents to make a cent because of the cost of materials and production.[4]
http://en.wikipedia.org/wiki/Penny_%28United_States_coin%29
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 08, 2012, 09:28 AM
^ :D you can get drunk (http://en.wikipedia.org/wiki/Goldwasser) on gold too, cant you? (http://en.wikipedia.org/wiki/Goldschl%C3%A4ger)
_______________________________

Precious metals only have an intrinsic value within a system too. They're not directly consumable. They need to be refined, assayed, and agreed upon by whomever. They need both a market and an exchange before they become valued. So I'd like suggest they don't have much 'intrinsic' value outside of the society that assigns such value to them. And once you get outside a technological society, the far more common metals and alloys (iron and steel) are much more valuable (i.e. useful and usable) than the more precious variety which are used in less advanced societies primarily for decoration - if they are used at all.

I think that's pretty clear.
If precious metals were just valued for their industrial worth, I wonder what they'd be worth (probably impossible to estimate).

_______________________________

Re the metal in coins, I wonder what it actually costs to make a coins?
I wouldn't be suprised if the smaller nominations cost more than their worth - yup ;) -

As of 2012, it costs the U.S. Mint 2.41 cents to make a cent because of the cost of materials and production.[4]
http://en.wikipedia.org/wiki/Penny_%28United_States_coin%29

There's about $0.005 worth of materials in a penny. The majority of the cost is production. They're being a bit disingenuous there by calling it "materials and production" as it's almost entirely production costs.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 08, 2012, 09:34 AM
^ yes!
I didnt mean to be disingenious there, I should have said that too. Was literally just wondering about the cost of production.
(Obviously if higher value coins were made with valuable metals, that factor would be a relatively small percentage.)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 08, 2012, 09:53 AM
^ yes!
I didnt mean to be disingenious there, I should have said that too. Was literally just wondering about the cost of production.
(Obviously if higher value coins were made with valuable metals, that factor would be a relatively small percentage.)

Oh - sorry -- I was pointing the finger there at the Wikipedia article quote. Not you.

And yes -- when minting higher value coins, like silver dollars, the production costs are disproportionately far lower compared to face value and real value.
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on October 08, 2012, 11:03 AM
I'm with f0dder ...(damn the avoirdupois value)... Where can we go and get screwed out of $2 for one of these cool little trinkets.  :D

This is the end of all Marketing threads, anywhere, ever!   ;D
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on October 08, 2012, 11:08 AM
Rai stones (https://en.wikipedia.org/wiki/Rai_stones), any one?

"In one instance, a rai being transported by canoe was accidentally dropped and sank to the sea floor. Although it was never seen again, everyone agreed that the rai must still be there, so it continued to be transacted as genuine currency.[4] What is important is that ownership of the rai is clear to everyone, not that the rai is physically transferred or even physically accessible to either party in the transfer."
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on October 08, 2012, 11:21 AM
Hoping this is on topic,

One of the most brilliant "small innovations" I ever saw was the 50+ (some exceptions apply) quarters for the US Quarter dollar. Brilliant. Govt makes an actual product that is "sold" (removed from circulation by collectors, both pro and amateur). They're rather pretty and it's a good year's worth of fun trying to finish the set (without going to ebay, just using register change.) PS That reminds me ... gimme a min to check...

Not counting people who are total experts in micro-millimeter observance, all the face sides are the same. (Let's even assume you get the 'mints' right, most of my spares are the Philly Mint not the Denver mint, so with a little work you could normalize those.) So theoretically, though it apparently never went viral, you could play "card games" with the coins. The Suits part is a little tough, but with a little work others still work. And if some twerp was counting "50 vs 52" I reply that there are now TWO Puerto Rico quarters, not on my standard collector board, but there they are.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on October 08, 2012, 11:26 AM
Rai stones (https://en.wikipedia.org/wiki/Rai_stones), any one?

"In one instance, a rai being transported by canoe was accidentally dropped and sank to the sea floor. Although it was never seen again, everyone agreed that the rai must still be there, so it continued to be transacted as genuine currency.[4] What is important is that ownership of the rai is clear to everyone, not that the rai is physically transferred or even physically accessible to either party in the transfer."

So was that the first Rai of Hope?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 08, 2012, 11:48 AM
Rai stones (https://en.wikipedia.org/wiki/Rai_stones), any one?

"In one instance, a rai being transported by canoe was accidentally dropped and sank to the sea floor. Although it was never seen again, everyone agreed that the rai must still be there, so it continued to be transacted as genuine currency.[4] What is important is that ownership of the rai is clear to everyone, not that the rai is physically transferred or even physically accessible to either party in the transfer."

Much like the assuredly present but unseen gold stored at Fort Knox?  ;)

So was that the first Rai of Hope?

Good grief! (OK Chris - you can't let that one pass unchallenged. ;D )
Title: Re: Does anyone here use Bitcoins?
Post by: Shades on October 08, 2012, 05:14 PM
The previous link for Rai stones results in an error. This link (http://en.wikipedia.org/wiki/Rai_stones) will take you to the Wikipedia page
Title: Re: Does anyone here use Bitcoins?
Post by: Shades on October 08, 2012, 05:17 PM
Rai stones (https://en.wikipedia.org/wiki/Rai_stones), any one?

"In one instance, a rai being transported by canoe was accidentally dropped and sank to the sea floor. Although it was never seen again, everyone agreed that the rai must still be there, so it continued to be transacted as genuine currency.[4] What is important is that ownership of the rai is clear to everyone, not that the rai is physically transferred or even physically accessible to either party in the transfer."

So was that the first Rai of Hope?

I would sooner associate Johnny Cash with this.    :P
Title: Re: Does anyone here use Bitcoins?
Post by: Shades on October 08, 2012, 05:20 PM
But I could also be tempted to call it 'Papa'... (http://en.wikipedia.org/wiki/Papa_Was_a_Rollin%27_Stone)    :D
Title: Re: Does anyone here use Bitcoins?
Post by: ewemoa on October 08, 2012, 05:53 PM
The previous link for Rai stones results in an error. This link (http://en.wikipedia.org/wiki/Rai_stones) will take you to the Wikipedia page

I went through what I thought were all of the Wikipedia links in question and they all worked for me...May be I missed one?
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 09, 2012, 04:37 AM
The previous link for Rai stones results in an error. This link (http://en.wikipedia.org/wiki/Rai_stones) will take you to the Wikipedia page

I went through what I thought were all of the Wikipedia links in question and they all worked for me...May be I missed one?

they work for me too - but Shades got an error with the https one I think (his is http)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 05, 2012, 07:00 PM
Here's an interesting article on Bitcoin:

http://www.libertariannews.org/2012/10/31/european-central-bank-report-on-bitcoin-its-likely-to-grow-and-it-poses-risks/

The European Central Bank (ECB) recently issued a report on digital currencies.  The report largely revolves around Bitcoins and Linden Dollars, and provides a review of the currencies from the perspective of central bankers.  Unsurprisingly, they found the currencies to pose “risks” that potentially require future “regulation.”

If central banksters are against Bitcoin, then there must be something GOOD about Bitcoin~! :D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 05, 2012, 07:24 PM
Also interesting, an article on a hitpiece on Bitcoin:

http://www.libertariannews.org/2012/11/04/bitcoin-fear-mongering-by-an-mba-school-ranking-website/

The video is just silly. Everything it describes can be said about paper money as well. Just a bunch of idiots.
Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on November 06, 2012, 06:17 PM
I'd love one of those - or two, frame them showing both sides.

I'll repeat: "where's the link?" (apparently there's been a few versions already released but I couldnt find these ones)

You can get them all over the place. Here are a few links:

http://www.ebay.com/sch/i.html?_from=R40&_trksid=m570.l2736&_nkw=bitcoin+copper+round

The mint:
http://mjbmonetarymetals.co.uk/copper.html

http://copperrounds.org/?s=1+Oz+Copper+Rounds
Goes to ==> http://www.ebay.com/itm/ws/eBayISAPI.dll?ViewItem&item=221134928422&item=221134928422&vectorid=229466

http://www.preciousmetalhouse.com/copper-bullion/rounds/2012-copper-mjb-bitcoin-1oz-roll-of-20.html

I have not purchased from any of those places, so I can't vouch for them, but they all seem ok.

Darn Renegade, you missed a perfect opportunity to use:
http://lmgtfy.com/?q=bitcoin%2Bcopper%2Bround   ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 21, 2013, 11:04 PM
Just to make people feel sick, if you'd have bought some bitcoins when this thread was started, you'd have 7.5x your investment.

Anyone else want to cry?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 08:32 AM
^Out of curiosity - exactly where and how do you spend them? From what I've personally seen, there isn't much I'd be all that interested in I could use them for. At least so far. But I don't do much in the way of transactions I'd feel the need to stealth, so maybe I'm just not part of that demographic where 'buyer anonymity' seems to be the major selling point.

So I'm genuinely curious...just how usable for mainstream purposes are they as of right now?

Anyone else want to cry?

Yup.:P How about the people who got their accounts cleaned out in any one of several net heists successfully perpetrated on various Bitcoin exchanges? News like this (http://www.nbcnews.com/technology/technolog/250-000-worth-bitcoins-stolen-net-heist-980871) or compilations like this (https://bitcointalk.org/index.php?topic=83794.0) don't exactly give me warm fuzzies...

How bitcoin users seem to imagine bitcoin exchanges.

Except even better!


What a real bitcoin exchange most likely looks like.

Not that there's anything wrong with it
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.

@Ren - sorry. Couldn't resist. :P (Definitely have way too much free time on my hands these last two days.) ;) :) :Thmbsup:

Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on March 22, 2013, 10:49 AM
^Out of curiosity - exactly where and how do you spend them? From what I've personally seen, there isn't much I'd be all that interested in I could use them for. At least so far. But I don't do much in the way of transactions I'd feel the need to stealth, so maybe I'm just not part of that demographic where 'buyer anonymity' seems to be the major selling point.

So I'm genuinely curious...just how usable for mainstream purposes are they as of right now?

Anyone else want to cry?

Yup.:P How about the people who got their accounts cleaned out in any one of several net heists successfully perpetrated on various Bitcoin exchanges? News like this (http://www.nbcnews.com/technology/technolog/250-000-worth-bitcoins-stolen-net-heist-980871) or compilations like this (https://bitcointalk.org/index.php?topic=83794.0) don't exactly give me warm fuzzies...

How bitcoin users seem to imagine bitcoin exchanges.
http://www.youtube.com/watch?feature=player_embedded&v=DwC6IFi6RuU
...
@Ren - sorry. Couldn't resist. :P (Definitely have way too much free time on my hands these last two days.) ;) :) :Thmbsup:

40 Hz is quotalicious, so I shall fold and spindle his post ruthlessly!

First: Are Bankers like the goblins in the Harry Potter snip?

Second: Does this describe how much time you have on your hands?
http://www.youtube.com/watch?v=5XcKBmdfpWs

 :D

More seriously:
Bitcoins gets my vote for Top-25 most innovative / disruptive concepts this last decade. (A NEW currency!?) Yeah, I agree with the *current* flaws, but long haul, it's something that will either be standard old hat in 10 years or relegated to "only something terrorists use".
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 22, 2013, 11:00 AM
^Out of curiosity - exactly where and how do you spend them?

Lots of places, and in exactly the same way as anywhere else.

From what I've personally seen, there isn't much I'd be all that interested in I could use them for.

Really? ;)

At least so far. But I don't do much in the way of transactions I'd feel the need to stealth, so maybe I'm just not part of that demographic where 'buyer anonymity' seems to be the major selling point.

Ah yes... Now I understand your point. You want every merchant you deal with to keep track of every purchase.

How much milk do you buy?

What brand of toilet paper do you buy?

etc. etc.

Yes. It's a great thing to have zero privacy in your normal purchases. ;)

(In case you haven't noticed, this is a ball-busting post. :P )

So I'm genuinely curious...just how usable for mainstream purposes are they as of right now?

By "mainstream" you mean "tracked"? :P

There are many sources out there that accept BTC and many that ONLY accept BTC.

Who cares who is buying? If you're selling ACME rocket skates, do you really care who buys them as long as people buy? Is it important WHO buys them?

Well, I suppose in a totalitarian and dystopian world where everything is controlled... well... that's a Basement topic. ;)

Yup.:P How about the people who got their accounts cleaned out in any one of several net heists successfully perpetrated on various Bitcoin exchanges? News like this (http://www.nbcnews.com/technology/technolog/250-000-worth-bitcoins-stolen-net-heist-980871) or compilations like this (https://bitcointalk.org/index.php?topic=83794.0) don't exactly give me warm fuzzies...


Yes. Let's please tally the amount of money stolen from people in BTC and the amount stolen in other currencies. Yes. Let's do that. ;) I have a sneaking suspicion that the amount of stolen USD only will dwarf any BTC thefts. But let's not confuse the topic of a currency with the degree to which money is protected. ;)

*** For those not willing to read critically, I just critiqued the security of money. i.e. If I rob you at gun point, I just steal your money. There is no difference when BTC is robbed/stolen. None. Zero. Nadda. This isn't up for debate or discussion. It's a simple matter of fact for anyone that actually understands the issues at hand there.

@Ren - sorry. Couldn't resist. :P (Definitely have way too much free time on my hands these last two days.) ;) :) :Thmbsup:

Hehehehe~! Me neither! :D

We have to have some fun aggressive banter at some point~! ;D

Oh, and BTW, I made around $300 in a few hours today for doing jack all other than buying some BTC. :P

Now, I may lose later, but I really doubt it. All indicators say that I've got a serious upside.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 11:38 AM
@Ren - So ok. Next week I need to: buy some hardware for a client project, get a new set of flatwound bass strings (Daddario Chromes!), pay a few utility bills, pick up some groceries, buy another friggin' tank of gas, and pay my GF's car tax. Assuming I had $3000 in a Bitcoin account - could I use it for any of the above? That's what I mean by "for mainstream purposes."

My earlier question wasn't meant to be a challenge. I'm just seriously interested in where you can use botcoins for non-geek types of products and services. Because if I'm going to introduce an additional point of potential theft, fraud or failure into my financial life (to complement the risk I already have using my country's banking system and legal currency) then I'd like to at least be able to use it on a day to day basis. That's all.

Every time I ask where bitcoins are accepted I hear: Plenty of places! But when I ask specifically where, all I usually get are things like some web services (Wordpress), a few non-EBay auction sites, some 'gray area' file sharing services (Megaupload), a big bunch of online casinos, and some unabashedly illegal online "pharmacies."

So again - who in the "mainstream" is accepting bitcoins for "mainstream" purchases? :huh:

Oh, and BTW, I made around $300 in a few hours today for doing jack all other than buying some BTC. :P

BFD. I know attorneys and doctors who turn twice that in an hour and do even less to get it. :P

Now, I may lose later, but I really doubt it. All indicators say that I've got a serious upside.

That's where you come up short compared to them. They won't loose it later. And they have "serious upside" too.  :P :P

 ;D 8) :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on March 22, 2013, 12:42 PM
Update:

See this note about the US getting grumpy and applying Money Laundering laws against Bitcoin.

You didn't think they'd allow a brand new currency, did you?!

http://online.wsj.com/article/SB10001424127887324373204578374611351125202.html

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 12:50 PM
Update:

See this note about the US getting grumpy and applying Money Laundering laws against Bitcoin.

You didn't think they'd allow a brand new currency, did you?!

http://online.wsj.com/article/SB10001424127887324373204578374611351125202.html



The reaction was inevitable. The outcome is predictable.  :o
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on March 22, 2013, 01:15 PM
^40, I'm not sure what you mean by "the outcome is predictable".
According to that article it's given bitcoin credibility:

The value of a bitcoin rose to more than $60 a unit from less than $49 on one exchange following the release of FinCen's new guidance—a move that Mr. Garzik attributed partly to a new level of certainty and legitimacy that federal recognition attaches to bitcoin transactions.


Re spending it:
why would anyone want to spend it when the price is inflating so much - which means of course that it's pretty useless as an active currency - but good as an investment (for the moment anyways).
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 22, 2013, 01:57 PM
An investment is only as good as the ways that you can capitalize on it.  Until then, it's speculation IMO.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 03:18 PM
^40, I'm not sure what you mean by "the outcome is predictable".

It will either implode (likely), be outlawed and shut down (quite likely), or (much less likely) forced into the existing financial framework in much the same way that Paypal was as a vanilla payment service. What it will not be allowed to remain is an "investment opportunity." Or as a system with the potential to easily facilitate the transfer of funds for things deemed to be 'illegal.' Legally (or extra-legally if necessary) it simply won't be allowed to continue. Period.

According to that article it's given bitcoin credibility:

The value of a bitcoin rose to more than $60 a unit from less than $49 on one exchange following the release of FinCen's new guidance—a move that Mr. Garzik attributed partly to a new level of certainty and legitimacy that federal recognition attaches to bitcoin transactions.

I think it more accurate to characterize it as giving Bitcoin the spotlight rather than credibility. The simple fact its valuation is zooming up so rapidly is a positive indication (to me at any rate) that the arbitragers, always out to make a quick buck, have scented an opportunity (i.e. money + publicity + amateur investors) and are starting to move in on it. If I'm correct, bitcoins will continue their rapid rate climb for a few more months before it all tanks when the pros suddenly cash out en masse.

And lets not forget there is federal recognition - and then there's FEDERAL RECOGNITION - as in "subject of interest" in an government investigation or probe. In this case, the 'recognition' is that the feds see this as a potential problem just starting to show up on their SONAR and which they are now in the process of computing a "shooting solution" for.

Re spending it:
why would anyone want to spend it when the price is inflating so much -

They wouldn't. Which can cause major problems for an economy and therefor why speculation in domestic currency is illegal in many countries. Hording cash has negative consequences across the board in most instances.

which means of course that it's pretty useless as an active currency - but good as an investment (for the moment anyways).

Which is an interesting switch in much of the argument for having Bitcoins. Originally it was meant to be an alternative currency. Now, most of it's admirers seem to prefer to see it as on investment opportunity. However, what it is actually an investment in raises some interesting questions. There doesn't seem to be much of anything behind a bitcoin other than the cash originally paid - and a bunch of people somehow mutually agreeing it's magically worth more than that. Which then raises the question of how its value can be increasing so rapidly above the value of the hard money paid in to create it originally. How and where is there any value being added? By demand? Ok. But if so, demand for what? A demand for a higher value based on the demand it be...valued higher?

It's circular logic... :huh:

And if so, that's not investing. It's pure speculation. More along the lines of having the brass kahunas to raise on a busted flush in a poker game with the hope your opponent folds first. So if these bitcoin "investors" aren't very careful, this whole thing could easily turn into something much like a Ponzi scheme, with those first in (and first to cash out) being the big beneficiaries, while everybody else is left holding a bag full of worthless bits in some database.

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Dunno. This whole thing strikes me as being more like the brief US Pog fad a few years back then anything else. For awhile that was the big "in thing" with collectors touting the "incredible value" and rapid price appreciation of their collections. Then, once the kids started getting into, it the prices for "collectible" Pogs really took off. It wasn't long before Pog collectors even had their own magazine.

It took less than a year or so before people woke up and asked: "Why exactly did I spend $10 last week to buy this little round piece of printed cardboard?" That usually happened right about the time they tried to sell their collection and discovered it was suddenly worthless - which coincided very neatly with the fact that the little kiosk at their local shopping mall (which had been doing such a brisk trade selling Pogs the month before) was now gone...


Title: Re: Does anyone here use Bitcoins?
Post by: tomos on March 22, 2013, 05:05 PM
wraith & 40 - thanks for calling me out on using the 'investment' term :up:
Yes, 'speculation' is correct.

I'm not a fan of bitcoin in any real way, but I'm deadly curious to see what does happen with it. I agree with lots of what you're saying 40. As I said above, as an active currency it's a fail. That could change if it survives.
But ironically, a lot of what you say about it applies to 'regular' money too (the 'circular logic'). In this day and age, that fact that they say the production of bitcoins will be limited is enough to get people excited - there's a lot of fear around about 'real' money production since banks have become less and less regulated and not held responsible for their cockups.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 05:29 PM
But ironically, a lot of what you say about it applies to 'regular' money too (the 'circular logic').

It very much does. But people are used to it - and are more willing to tolerate the problem they're familiar with than take a chance on having to deal with a new one.

When the US redesigned it's currency not too long ago, the original idea was to use color and a completely new look. IMO, the mockups for some of the new bills were absolutely gorgeous.

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But they were all trashed and a design for somewhat ugly green bills that more closely resembled the previous design were chosen instead. Because the government worried that the American people wouldn't like them being so different. And then might possibly wonder why they were being changed at all - and maybe then start asking some potentially disruptive questions that could lead to them losing faith in their currency...

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The solution? Don't rock the boat too hard. Put as many anti-counterfeiting features into the new design as possible while making it look as much like the old currency as possible. End of problem after some very minor griping on the part of the public.

This is the mindset Bitcoin is going to go up against if it wants to become a currency in its own right. Overcoming the memes that say: Only nations and governments can issue legitimate currency. Anything other than a national currency is a Mastercard. And anything 'new' is bad when it comes to money.
 ;) 8)
Title: Re: Does anyone here use Bitcoins?
Post by: ewemoa on March 22, 2013, 06:14 PM
I'm just seriously interested in where you can use botcoins for non-geek types of products and services.

Once we all start using botnets to do things, I think you have your answer ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 22, 2013, 11:39 PM
@Ren - So ok. Next week I need to: buy some hardware for a client project, get a new set of flatwound bass strings (Daddario Chromes!), pay a few utility bills, pick up some groceries, buy another friggin' tank of gas, and pay my GF's car tax. Assuming I had $3000 in a Bitcoin account - could I use it for any of the above? That's what I mean by "for mainstream purposes."

My earlier question wasn't meant to be a challenge. I'm just seriously interested in where you can use botcoins for non-geek types of products and services. Because if I'm going to introduce an additional point of potential theft, fraud or failure into my financial life (to complement the risk I already have using my country's banking system and legal currency) then I'd like to at least be able to use it on a day to day basis. That's all.

Well, it isn't everywhere. Yet. But it is becoming more accepted all the time.

Places to use bitcoin? Well, yeah, mostly geeky stuff at the moment. But, there are others:

Buy gold & silver with bitcoin here: http://coinabul.com/

A LARGE list of places here: https://www.spendbitcoins.com/places/

A lot of geeky stuff there, but also some surprises. Guitar lessons, an architect, and others. Mostly small places, but that just shows that it is a grassroots uprising against the totalitarian control of fiat currencies by central banks.

Many places ONLY accept bitcoin. Those are often bitcoin related though, like ASIC hardware manufacturers, bitcoin mining companies, etc.

So, for the moment... nope. No gas, milk, or slurpees. But I dimly recall an article about bars in Spain taking bitcoin for beer and other libations. ;D

As for governments clamping down on it... well... it's a bit too late for that. It's P2P which pre-empts the possibility of the obsessive central control that authoritarian governments so crave. The power of the bitcoin is in the network. Pandora's box has been opened. There is no going back. This is the same thing as 3D printing an AR-15 lower receiver - the information is out there. It's too late. The cat is out of the bag. Game over. The control freaks lost.

Will they try to control it? Hell yes! Can they? No. TOR. VPNs. Strong encryption. P2P. Anonymous networks. Just some of the reasons that they will fail.

Mainstream purchases are still a ways away, but with the dark forces of the IMF, Angela Merkel, and their other central banking criminal friends trying to steal money from bank accounts in Cyprus... Well, they have exposed their intentions and permanently undermined faith in banking. It will only get worse. They will try again, and there will be runs on banks that spiral out of control.

Back in 2010 I thought about dumping some money into BTC. Had I have done that, sigh... I'd never work again... hind sight is 20/20. Oh well. It's still pretty much ground floor.


As for investment vs. speculation... I really don't care what term is used.

I think it more accurate to characterize it as giving Bitcoin the spotlight rather than credibility. The simple fact its valuation is zooming up so rapidly is a positive indication (to me at any rate) that the arbitragers, always out to make a quick buck, have scented an opportunity (i.e. money + publicity + amateur investors) and are starting to move in on it. If I'm correct, bitcoins will continue their rapid rate climb for a few more months before it all tanks when the pros suddenly cash out en masse.

There is always market manipulation. That's a given. Stocks/bonds/funds/commodities/equities/whatever - they are all manipulated.

But the price will continue to go up no matter what. Will there be retracements? Sure. But they will always rebound. This is a mathematical certainty.

This is an overlay of the price of BTC and the difficulty factor. As you can see, there is a very strong correlation. You can find those charts out there then go check yourself to see the correlation. Difficulty factor is constantly increasing, as is the price of BTC.

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Now, the most recent spike has illustrated not a relationship to difficulty factor, but has illustrated accelerating adoption and faith in BTC. (It spiked with the Cyprus "haricut" announcement.)

So, we have 2 fundamental factors affecting the value of BTC:

1) Difficulty factor
2) Faith & adoption

Looking at the overlay before Cyprus, I initially thought that BTC was overvalued last October/November/December. However, I'm not so sure of that now. It looks more as though BTC has simply been undervalued. In other words, the difficulty factor is the minimum valuation factor for BTC, which it has pretty much followed to date, and that the market valuation has mostly relied on difficulty factor, but with accelerating adoption the difficulty factor will play less of a role as social factors take over. Difficulty factor will remain the baseline though, and the level that it will not fall through. i.e. Difficulty factor provides strong support, while skepticism or slow adoption provides the basic resistance.

The notion that just because market manipulators cash out or make money isn't really any kind of a valid argument against BTC (or anything) as the market simply continues. We've seen lots of market manipulation in the past, but it simply is a part of the market and you can still look at technical analysis with a good degree of faith. i.e. Market manipulation doesn't preclude the opportunity for other people to hop on board and make money. You simply need to be aware of what is going on and plan ahead.

If BTC drops by half, I'm not really worried as the difficulty factor will still kick in and push it up. The introduction of ASIC mining hardware will accelerate the price of BTC as well.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 22, 2013, 11:50 PM
But the price will continue to go up no matter what. Will there be retracements? Sure. But they will always rebound. This is a mathematical certainty.

Sounds more like a declaration of religious faith rather than a mathematical proof to me...but ok. If you say so. ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 23, 2013, 12:05 AM
But the price will continue to go up no matter what. Will there be retracements? Sure. But they will always rebound. This is a mathematical certainty.

Sounds more like a declaration of religious faith rather than a mathematical proof to me...but ok. If you say so. ;D

Just look at the math. Difficulty factor increases. Check the chart. It certainly looks like difficulty factor is at a very minimum strongly correlated with BTC value.

https://en.bitcoin.it/wiki/Difficulty

http://www.thinlinedata.com/bitcoin-mining-explained/

http://bitcoin.sipa.be/

Get a bitcoin miner and join a pool, e.g. BTC Guild. You'll see just how slow mining is on desktop hardware (CPU & GPU). The new ASIC hardware out there is incredibly fast. Orders of magnitude faster. And... You CANNOT buy the stuff. It's all sold out & pre-ordered. Waits for ASIC hardware are worse than for the Raspberry Pi.

Is it a gamble? Everything is a gamble! Nothing in life is certain. The question isn't whether or not it is a gamble, but whether or not it is a good one. With so many people so heavily invested in BTC, I think it's here to stay.

I'm not a fan of bitcoin in any real way, but I'm deadly curious to see what does happen with it.

I sat on the fence for a long time. I'm on board now.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 24, 2013, 07:04 AM
Another list of places to spend BTC:

http://bitcoinmagazine.com/where-to-spend-your-bitcoins/

Coffee, music, clothing, etc.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 25, 2013, 10:52 AM
BFD. I know attorneys and doctors who turn twice that in an hour and do even less to get it. :P

Well, so far I'm up what your doctors and sharks turn in an hour and I've done nothing since. :D

Do you really care if it is a pump & dump if you can make a buck? That's just the sick system that we live in. You either make your living slaving for the system or working inside of it. I need to eat, so I'll take it where I can get it. I don't need to be proud about it, but I can certainly put food on the table and smile. 

I'll make more on this. We'll even have cake~! ;D ;P
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 25, 2013, 01:25 PM
so... for the uninitiated, how do you get started?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 25, 2013, 02:53 PM
Do you really care if it is a pump & dump if you can make a buck?

Oddly enough, yes I do. And I've paid dearly for holding that position over the years, so I don't offer it to anyone by way of advice.

I don't need to be proud about it, but I can certainly put food on the table and smile.

Makes two of us! ;D  :Thmbsup: And to your point, we all make it as best we can (nor not) within the bounds of our own "convictions' (as in imaginings, self-delusional thinking, personal hangups or whatever) so regardless of how it's done, there's seldom cause for pride. We do what we do for our own reasons.

Careers-NSFW
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:tellme: :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 25, 2013, 03:02 PM
so... for the uninitiated, how do you get started?

Yeah really! :Thmbsup:

I'd dearly appreciate having somebody I respect and trust (who is actually doing bitcoins) give a little informal presentation on the mechanics of getting into it. I did some quick scanning and it seems to be a bit confusing. (https://www.donationcoder.com/forum/esmileys/gen3/1Small/MOL.GIF)Ren-man, any chance of you doing us up a 5-15 on it? (https://www.donationcoder.com/forum/esmileys/gen3/1Small/63.gif)
 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 25, 2013, 06:08 PM
To get started, there are a couple things to understand first.

BITCOIN TRANSACTIONS ARE IRREVERSIBLE. YOU CANNOT DO A "CHARGEBACK" OR GET A "REFUND".

This makes bitcoin (BTC is the symbol) very much like physical currency. Once you give it to someone, you've given it to them. Done. Once the pot is swept off the poker table, it's gone to whoever sweeps it up.

This has a strong implication in that you CANNOT buy BTC with a credit card because you can reverse a credit card transaction.

So... to get started you need to get an account at a bitcoin exchange. Once you have that done, follow their instructions on how to send money, e.g. a wire transfer.

When you have completed the wire transfer, you simply buy BTC like you would with any forex account or stock/trading account.

I wouldn't worry too much about the price that you get BTC at though. It's going up and there will be corrections. This can be very stressful if you sit there at watch the market all day long. Don't do that unless you can handle it. e.g. You might buy BTC at USD $72, see it rise to $75 as you jump for joy, then drop to $68 as you head to the bathroom to vomit, and then rise again only to see the process repeated.

You cannot predict the future, so don't pretend that you can and stress yourself out. The "if only I had..." will kill you.

I know this from personal experience trading and literally getting nauseous and dizzy.

I'll continue in a bit... have to jet for now.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 25, 2013, 06:36 PM
A couple of links on the subject:

http://bitcoin.stackexchange.com/questions/4292/is-there-an-easy-way-to-purchase-bitcoins

http://bitcoin.stackexchange.com/questions/3928/bitinstant-how-do-i-trade-my-plain-cash-for-bitcoin-at-cvs-7-11-walmart
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 25, 2013, 07:59 PM
Once you have an exchange account, you can buy BTC.

Now, there are some places that will let you buy BTC without an exchange account, however, that's a bad idea. Their spreads are massive, so it's a very expensive way to buy BTC. An exchange account will cost you far less. However, if you only want to buy a very small amount, the non-exhange way is ok.

Once you have your BTC, you can then send it from your exhange account to your bitcoin wallet. You get your bitcoin wallet at http://bitcoin.org. Just download it, let it update and sync (takes a while the first time around), then poof! Automagically you have your bitcoin wallet ready to use.

Click on the "Receive" button, copy an address, label it if you like, then give that address to your bitcoin exchange account to send to.

MAKE CERTAIN TO HAVE A BACKUP PLAN IN PLACE.

MAKE CERTAIN TO HAVE A BACKUP PLAN IN PLACE.

MAKE 100% TOTALLY FOR SURE AND ABSOLUTELY CERTAIN TO HAVE A VERY GOOD, RELIABLE, ROBUST, BACKUP PLAN FOR YOUR BACK PLAN AND THEN ANOTHER BACKUP PLAN FOR YOUR BACKUP PLANS.

If you lose your bitcoin wallet, it is GONE. Forever. Do not lose it. Guard it like nothing you have ever guarded before. Print it out on paper as well. (I think the name of the program that lets you do that is something like "armory wallet".)

Using BTC very easy. It's so simple that you'll wonder if you're doing something wrong.

All you need to do it type in an amount, enter the address that you are sending it to, and click. Done.

Mining is an easy way to get a small amount of BTC. It isn't economically feasible to do it on a typical desktop, but you can.

Well, that's not really true. RIGHT NOW it isn't economical, but, if you manage to mine a small amount, and BTC takes off, then you'll be glad that you did.

E.g. Say you manage to mine 0.01 BTC per day. That's about $0.75 or so today. If BTC hits the lower end of Falkvinge's target (won't be for years though), then you'll be sitting on 0.01 BTC worth $1,000.00. So, if you mined for a month, in 10 years or so you might have $10k.

For the BTC market, you can think of BTC the "gold" of the crypto-currency world and Litecoin (LTC) as the "silver".

I just started mining LTC and will be looking into it more in the near future. I have no idea about whether it will be worth anything, but there is a market for it and it is growing. I missed out on the very early days of BTC as I was just too damn lazy. I don't plan to let this potentially lucrative opportunity pass me by like I let the last one.

One other thing, if you read the MSM, you'll see numerous hit pieces on BTC. Tonnes of them. BTC is HATED there, which in "I'm not a complete moron"-speak means that there has to be something good about it.

The dominant theme in the hit pieces right now is "illegal drugs". And you can use USD or CAN or GBP or JPY or AUD to buy drugs too... Their point is total garbage. It's like saying that because someone was killed by some idiot with a hammer, hammers are bad. Pfft.

Got to run again...
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 11:02 AM
It was going to eventually happen...

US to regulate Bitcoin currency at its all-time high (http://www.newscientist.com/article/mg21729103.300-us-to-regulate-bitcoin-currency-at-its-alltime-high.html)

LOOKS like Bitcoin has got too big to ignore. Virtual currencies are to be regulated by the US Treasury after the Financial Crimes Enforcement Network (FinCEN) moved to clarify their status under anti-money-laundering laws.

The move comes as Bitcoins doubled in value in just a few weeks to hit a record high of more than $70 each, possibly fuelled by the banking crisis in Cyprus and the rest of Europe.

FinCEN's new guidelines don't mention Bitcoin by name, but say that anyone involved in exchanges of decentralised virtual currency for real currency must register as a money services business and obey existing regulations. The same applies for centralised virtual currencies, such as Facebook credits.

I wonder if this will also apply to this site and our donation credits?
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 11:17 AM
A better explanation from Bitcoin Channel (http://www.youtube.com/user/BitcoinChannel?feature=watch):



And you can read the document from FinCEN yourself:  https://docs.google.com/viewer?url=http://fincen.gov/statutes_regs/guidance/pdf/FIN-2013-G001.pdf&chrome=true
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 26, 2013, 12:32 PM
An interesting bit from that...

The same applies for centralised virtual currencies, such as Facebook credits.

So, though they say Facebook credits, does this apply to others also, such as XBox live points, Sony Points, etc?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 02:10 PM
So, though they say Facebook credits, does this apply to others also, such as XBox live points, Sony Points, etc?

I think they'll probably mostly restrict it to transactions not already locked into a single company's business like most of the gaming currencies seem to be. Anything that can act as a ready substitute for cash (i.e convertible to real cash - or - broadly accepted) will probably come under the rubric.

Look at it this way - if they're even slightly serious (and in the USA they certainly are) about all Internet transactions soon being subject to some form of state sales tax, you can bet they'll regulate things like bitcoins since you could potentially do an end run around the tax system using them. And that brings up a much more powerful way of going after non-cooperative alternative currencies and their users - TAX EVASION! (That's how they ultimately got Al Capone.)

When it comes to monetary equivalents, governments generally take one of two approaches: (a) regulate it, or (b) outlaw it. Paypal learned about that the hard way early on and decided to play ball with the regulators by getting licensed as needed. But that was easy compared to what Bitcoin will be facing. Because Bitcoin can also be (and is) viewed as a speculative or investment vehicle. So that also will likely make them subject to securities regulations as well as money-transfer or banking rules. And good luck with that. Since there's no central authority or clearing center with a clear line of traceable responsibility, who exactly is going to sign on behalf of all bitcoin? Especially since its decentralized P2P structure is its biggest selling point...

I'll stand by my earlier comment: The reaction was inevitable. The outcome is predictable. :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 02:36 PM
An interesting bit from that...

The same applies for centralised virtual currencies, such as Facebook credits.

So, though they say Facebook credits, does this apply to others also, such as XBox live points, Sony Points, etc?

I think they'll probably mostly restrict it to transactions not locked into a single business like most of the gaming currencies. Anything that acts as a ready substitute for cash (i.e convertible to real cash - or - broadly accepted) will probably come under the rubric.

Look at it this way - if they're even slightly serious (and in the USA they certainly are) about all Internet transactions soon being subject to some form of state sales tax, you can bet they'll regulate things like bitcoins since you could potentially do an end run around the tax system using them. And that brings up a much more powerful way of going after non-cooperative alternative currencies - TAX EVASION! (That's how they ultimately got Al Capone.)

I stand by my earlier comment: The reaction was inevitable. The outcome is predictable. :tellme:

Any service or business in the US, in which one can pay cash for a virtual currency and then convert that currency back to cash is covered by this and has to comply with their rules.

Bitcoins falls under that to some degree, at least those businesses that buy and sell bitcoins.

Facebook does, because you can buy Facebook credits and transfer them to someone else, and if you have enough facebook credits, turn them back into cash.

The government isn't so much looking to catch tax evaders (but that could be a bonus) as much as they are trying to stop money laundering, which supports the drug trade and terrorism.

What I'd still like to know is if this site will be affected by these new rules. Will this site's donation credits system cause it to have to register as an MSB?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 03:23 PM
The government isn't so much looking to catch tax evaders (but that could be a bonus) as much as they are trying to stop money laundering, which supports the drug trade and terrorism.

Oh, I don't think it's to catch evaders per se either. I think it's more to criminalize one more thing. With that in place, it allows the IRS (and laws with no statute of limitations on them) to be brought into play. Those are powerful "persuaders" when you want to convince somebody to see things the government's way.

What I'd still like to know is if this site will be affected by these new rules. Will this site's donation credits system cause it to have to register as an MSB?

I'd suspect if they can be cashed out for 'real' money the answer right now is: possibly probably maybe.  ;)

However, long term, I think the answer to that question will very likely be: Yes.
 8)
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 03:26 PM
^I'd suspect if they can be cashed out for 'real' money the answer is: possibly probably maybe.  ;)

Well, mouser is reading that pdf right now, so we'll soon know what he thinks.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 26, 2013, 04:56 PM
I wonder if there is a floor on the amount of money.  I mean, for my years here, I've really only made money to support hobby and entertainment stuff.  Not sure if anyone else has made more than that...
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 05:59 PM
I wonder if there is a floor on the amount of money.  I mean, for my years here, I've really only made money to support hobby and entertainment stuff.  Not sure if anyone else has made more than that...

There is nothing in the pdf about what the record keeping and reporting rules actually are, just who has to comply with them.

It is possible that it only applies to transactions over a certain amount. One wouldn't know unless they got a copy of those rules.

It might turn out that even if this site does have to register that the rules may not affect us at all, beyond the need to register, due to the smaller size of the donations and cashouts.

But this whole subject is something mouser does have to look into, very carefully, in order to not make any fatal mistakes that could get him or this site into trouble, which is why I brought it to his attention and gave him a link to that pdf, personally. I don't want to see anyone get into legal troubles, especially if it can be avoided with knowledge.

Give him some time to read & digest that pdf, and I am sure he will respond to this thread, or create a new one if he feels the response is that important.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 06:13 PM
I wonder if there is a floor on the amount of money.  I mean, for my years here, I've really only made money to support hobby and entertainment stuff.  Not sure if anyone else has made more than that...

I'm not sure what you mean there.

If you're going to buy from an exchange, you kind of need to buy enough to lower your transaction costs (bank wiring fees) unless the offer some method that reduces your costs that you can take advantage of. So, depending on just how greedy your bank is, and how the collude with other banks to rip you off (the often send through intermediary banks that gouge you in addition to the sending and receiving banks gouging you), your wiring fees could be higher or lower. Also, remember that banks are allowed to abuse "float time", which is criminal for you or me and would land any of us in prison. By abusing float time they are able to skim interest off you. Some banks are worse than others. The practical upshot for people that don't care about banks stealing from them is that the worse your bank is, the longer it takes for the money to land in the receiving bank. Typically this is 2 to 5 days. (Electrons travel very slowly in banks when it suits them... :P Which just goes to show how powerful the banksters are when they can bend fundamental laws of physics. :P ;D )

So, assume that you're going to get gouged for around $20~50 or so in wiring fees, but it should probably sit around $25. Again, how deeply the banks cut into you all depends on your bank and the receiving bank.

This makes it impractical for anyone that wants to buy 1 BTC or so unless they are confident that BTC will rise well above its current levels to cover their transaction costs. How long that will take is anyone's guess.

Of course the lower the percentage you pay in transaction fees, the better. So if you're comfortable with around 5% or so, then sending around USD $500 or so begins to make sense.

It's also possible to pool money with friends then buy BTC with a single wire transfer and then send everyone their BTC. If you have 5 or 10 friends that want to try it out, the transaction fees suddenly become far less important.

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 26, 2013, 06:32 PM
What I mean is a minimum amount in transactions before you have to register.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 06:48 PM
What I mean is a minimum amount in transactions before you have to register.

Is that about FinCEN? I'm still confused.  :-[
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 06:56 PM
What I mean is a minimum amount in transactions before you have to register.

Is that about FinCEN? I'm still confused.  :-[

Yes, it is about the FinCEN rules, and in particular, how they may relate to this site and the donation credits system we have in place here.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 07:12 PM
^Bear in mind theres a big difference between transferring funds as part of a sale, and a simple money transfer. One is ordinary commerce. They already have governing laws in place for commercial transactions.

Monetary transfers are "a whole 'nother smoke." That's what the current flap is about - is bitcoin acting as a monetary transfer agent; or engaging in activities currently restricted to licensed banking institutions; and (now) also serving as a financial investment that is subject to securities regulations? All of those require registration to be conducted legally in the US.

As things stand, I think bitcoin is on fairly shaky legal ground. (In the US at least.) :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 26, 2013, 07:29 PM
And what about Facebook and their virtual currency, which according to that article, they will have to comply and register as a MSB?

Anything which has the potential to be used for money laundering, whether or not it actually is being used that way, will most likely have to register.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 07:40 PM
Well...in the end it will be for the courts to decide. I'm guessing the question will at least attempt to come before the Supreme Court someday - although the court would have plenty of ground for refusing to hear it since the proposed new rules basically are only specifically adding "virtual currencies" to the formal list of electronic transfers already covered by existing laws. So it's really only clarifying rather than extending wire transfer regulations.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 08:41 PM
Time to call a spade a spade...  >:(

This attempt to regulate is a 2-pronged attack on people.

1) The kleptocrats trying to get into your pockets and steal more from you.
2) The authoritarians trying to exert complete control over all transactions between people.

That's the short version. Here's the almost-ranty version. ;)

1) The Kleptocrats

The kleptocracy in charge does nothing but look for new ways to steal from people. This is pretty obvious when you hear about attempts to tax breathing. (No... that isn't made up... It is horrifyingly real.)

The US has no legal jurisdiction over any currency other than its own. It is neither their responsibility nor duty to address any other currency outside of their own borders. BTC is a P2P crypto-currency that has no relationship to the US whatsoever. Their attempt to regulate that which does not concern them only further illustrates the kleptocratic nature of the beast.

2) The Authoritarians

The control freaks still don't get it. The cat is out of the bag. It's loose. It ran away and they'll never catch it.

The power is in the network and out of their hands.

However, their attempt to try and regain control only further exposes their insatiable greed for power & control.

John and Fred are drinking then head out to a bar. They have a few more when John realizes that he forgot his wallet at Fred's place. Fred spots him a few bucks, and John happily pays for a beer then pays back Fred when they get back to Fred's place for another round or 10.

How many transactions are there there? How many more could be scrutinized and taxed if the authoritarian control freaks had their way?

Well, Fred lent John a few bucks, so why shouldn't they take their cut there? With a digital, centrally controlled currency this is very possible. With BTC, it is not. Then there's the transaction where John pays Fred back. And why shouldn't the authoritarian control freaks at a minimum at least KNOW about that? With a centrally controlled digital currency that is possible. With BTC, it isn't that simple, nor is it realistic. With BTC, control has been taken from the authoritarians, and they don't like it one little bit.





BTC robs the authoritarians of the possibility of knowing what people have, and further robs the kleptocrats of the possibility of stealing people's money. (Oh certainly they create laws to call their theft "legal", but it's still theft.)

THIS is why BTC is such a threat to the establishment. It puts POWER back in the hands of the people. It RETURNS the rightful power of commerce to the participants in commerce, and prevents the establishment from meddling where it has no legitimate right and doesn't belong.

They will fight tooth and nail on this issue.

BTC is antithetical to current system. And that is why it will flourish as it returns the power to the people.

Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on March 26, 2013, 08:42 PM
Well...in the end it will be for the courts to decide. I'm guessing the question will at least attempt to come before the Supreme Court someday - although the court would have plenty of ground for refusing to hear it since the proposed new rules basically are only specifically adding "virtual currencies" to the formal list of electronic transfers already covered by existing laws. So it's really only clarifying rather than extending wire transfer regulations.

  I'm sure it has something to do with the world bank.  They've got to get theirs, if you know what I mean.  Regulating Bitcoins will bring more transactions back to the banks along with their little "fee's".
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 09:31 PM
@Ren - stop shouting. We're all in the same room even if everybody isn't on the same page. :P

THIS is why BTC is such a threat to the establishment. It puts POWER back in the hands of the people. It RETURNS the rightful power of commerce to the participants in commerce, and prevents the establishment from meddling where it has no legitimate right and doesn't belong.

They will fight tooth and nail on this issue.

I'm sure they will.

[ You are not allowed to view attachments ]
 ;)

However, they might want to take a page from the civil rights and antiwar movements back in the 50s and 60/70s and stop letting "The Establishment" frame the debate and marginalize them in the mind of the public if they hope to succeed. They're falling for all the same old tricks and set-ups those in power traditionally have used against those pushing for major changes.

Good lord! Doesn't anybody teach headgames (i.e. psycho-political warfare) and agitprop in the radical coffee shops anymore? ;D
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 26, 2013, 09:33 PM
Time to call a spade a spade...  >:(

And press the express elevator button... down? ;D

And here we survived for 4 pages! LOL
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 09:41 PM
And here we survived for 4 pages! LOL

Nah! There's nothing that can possibly be considered offensive here. It's all just politics and economics. Dirty words to be sure - but hardly offensive. ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 10:11 PM

The control freaks still don't get it. The cat is out of the bag. It's loose. It ran away and they'll never catch it.

The power is in the network and out of their hands.


Minor point - "the networks" so beloved by today's would-be cyber-revolutionaries are all built, paid for, owned, operated, and monitored by governments, big telcos, and major corporations. You can't use the Internet without going through a router under the direct control of one of the above 'establishment' players.

I work with networks and network technologies for a living. And believe me when I say the power is not out of the hands of the network managers. You may have the occasional talented rogue user find an open exploit to take advantage of for however long it remains unpatched and undetected. But you can't fight a protracted cyber-battle using such loopholes as your main weapons. And now, with Big Brother in the Desert monitoring all US electronic communications, there is little that can't be dealt with once it reaches sufficient "noise level" that somebody in a position of authority decides it needs attending to.

20 years ago it might have been technically possible to do an end run. That's not really the case any more. Today, the main reason people get away with things online is because there isn't sufficient economic justification to pursue them. Most federal police agencies won't even open an investigation unless they can either cost justify it, or show it somehow has direct bearing on "national security." It's much along the lines of what George Lucas envisioned at the end of THX-1138 when the person the police are chasing is allowed to get away because project cost for his pursuit and arrest has gone over budget by 6%.



But even so, short of establishing a totally separate and independent global data network that's totally isolated from the existing one, you've already lost 99% of the cyber-battle. And now that even the most clueless of bureaucrats understands the power inherent with a global data network, do you really think such an alternate network will ever be allowed to be built?

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Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 10:22 PM
@40hz - How could it be shut down? Shut down all encrypted traffic? I don't get how it's possible to shut down like that.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 10:23 PM
Time to call a spade a spade...  >:(

And press the express elevator button... down? ;D

And here we survived for 4 pages! LOL

Hey, I didn't bring up the... ummm... I'll leave it at that. ;) ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 10:54 PM
@40hz - How could it be shut down? Shut down all encrypted traffic? I don't get how it's possible to shut down like that.

Require a license and registration for access and use. Designate allowed forms of encryption. Go super "net nanny" and just firewall out everything other than registered commerce sites and government addresses. Put DNS under direct government control along with a change in methodology for how it works.

The possibilities are endless.

And if push comes to shove you could always just wall off the country ala China/N.Korea/etc. Or shut down the backbone routers and/or DNS servers.

It's doable. Not something you'd want to do right this minute. But long-term, requiring some sort of certificate or credential in order to access the Internet (or its successor) is probably coming. Add locked down computing appliances or NIC cards to the mix and you could make it happen in about 10 years without undue hardship for the average user.

Sad but true. The "good old days" will eventually come to an end for the Internet, just like they have for every new technology once it became mainstream and serious money started riding on it. To get something off the ground, allowing rapid innovation is the main thing. Once it's working "good enough" and widely deployed, the importance of chaotic innovation lessens as "standards" becomes the paramount concern. Finally, once the technology is established and entrenched, standards give way to concerns about regulation after the no longer 'new' technology gets fully assimilated into daily life.



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 26, 2013, 10:59 PM
So, in summary... Full on "make Nineteen Eighty-Four looks like paradise".

I'm not disagreeing with you, but I think we both know what will happen before that. We've discussed that in PMs, so I'll leave it out here for the sake of not pushing the elevator button.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 26, 2013, 11:10 PM
So, in summary... Full on "make Nineteen Eighty-Four looks like paradise".

Not so much a paradise as it's how benign it can all be be made to look now that the technology and labor-saving innovations for doing up a '1984' have improved so dramatically in the last ten years!

[ You are not allowed to view attachments ]

Even the uniforms have gotten really cool looking... :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 08:26 AM
Well, digressing from the obvious implications of a free market currency that has no central bank controlling it...

Here's a great chart to follow BTC.

WARNING: Be prepared to crap your pants and kick yourself...

http://bitcoin.clarkmoody.com/

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On the chart, make sure to click these:

Period: W1 D3 D1 H4 H1 M15 M5 M3 M1

Those let you zoom in. Weeks, days, hours and minutes. Here's a minutes chart (m5):

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There's lots of volatility in the for the forex people.

I've been following corrections, and if you are a forex expert, you can capitalize on them and profit to insane degrees, but if not, they're simply bumps on the way up.

After I initially bought, I saw it drop, crapped myself for a moment, then calmed down and watched it rise well over my buying price.

I am extremely bullish on this. All the news and indicators point up. I fully expect it to breach the USD 100 mark very soon. That will be a major event in financial history.

The thing that I find absolutely fascinating about it is the power of the people in a P2P network to create such an incredible market.

Right now we are seeing the Wild, Wild West repeating itself online. It's a gold rush for anyone willing to jump in, get dirty, and start panning, and the barriers to entry are very low.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 27, 2013, 09:36 AM
I am extremely bullish on this.

Really? You think?  ;D

The thing that I find absolutely fascinating about it is the power of the people in a P2P network to create such an incredible market.

It's all been done before (http://en.wikipedia.org/wiki/Tulip_mania). It will all be done again.

Right now we are seeing the Wild, Wild West repeating itself online. It's a gold rush for anyone willing to jump in, get dirty, and start panning, and the barriers to entry are very low.

Yup. It's whats called a totally out-of-control speculative bubble in progress. You can get the same (or better) odd at the blackjack table.

There's an old story (probably apocryphal) about how Old Man Rockefeller was on his way over to the Wall Street Exchange one morning, and overheard a stand of shoeshine boys and their customers swapping stock tips with each other. Stopping for a shine, Rockefeller listened attentively as his boy regaled him with one 'hot tip' after another.

After thanking the boy, and tipping him handsomely, Rockefeller (so the story goes) went to the exchange and calmly and slowly began (so as not to attract undue attention) selling off all the shares in his portfolio over the next three or four days. He then moved most of his money into secure government bonds. When the stock market crashed about a month later, Rockefeller's personal fortune was left largely intact.

When asked what tipped him off the market was going to tank, he said: a shoeshine boy.

Seems Rockefeller reasoned that when professional investors are the main force driving the markets, all is well. But when the speculators and amateurs show up in large numbers, the stock market is in serious trouble. Rockefeller supposedly said: When your doctor and lawyer are getting into the market, it's troubling. But when the butcher, the baker, and even the shoeshine boys begin discussing stock prices, it's time for the professionals to get out.

Or, as short version goes: To avoid injury, NEVER play hardball with amateurs.
 :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 09:56 AM
@40hz

Hehehehe!

Well Rockefeller sold his soul to Lucifer, so I have no illusions about his "endeavours". I can only think of a small handful of people equally sinister as him. Anyways... THAT is a VERY long rant. ;)

I've been dodging major stock market manipulation and come out ahead of it by a good margin, though that is is a different and far more manipulated and volatile market than BTC.

If there is manipulation, it will become apparent very quickly. These things cannot be hidden.

Here's a tip for the Korean stock market... If you see 18 shares bought or sold, one of the market manipulators is VERY pissed off, and mostly likely by people manipulating the market in the opposite direction.

18 - NSFW
The Korean pronunciation for "18" is almost identical to "fuck you".


But really, if it's climbing, who cares? As long as you can climb upwards and jump off at the right time.

Markets are NOT about value - they are about PERCEIVED value. For BTC, this will continue for a long time for reasons better discussed in the Basement. ;) (Or by PM/email/not DC main forums.)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 27, 2013, 10:07 AM
But really, if it's climbing, who cares?

Hmm...what was that you were saying earlier about selling one's soul to Lucifer? :P
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 27, 2013, 10:52 AM
As long as you can climb upwards and jump off at the right time.

And that- as many broke or dead from terminal forces after jumping off a high precipice day traders can attest to- is not as easy as putting those words to the keyboard is.  ;D
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 27, 2013, 12:03 PM
But you know who are and will continue to really make out like bandits with this? The guys with the botnets, distributing malware with bitcoin miner software, getting unsuspecting users to generate BTC for them when their computers are idle.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 12:09 PM
But really, if it's climbing, who cares?

Hmm...what was that you were saying earlier about selling one's soul to Lucifer? :P

At best I have a small mortgage! :P

As long as you can climb upwards and jump off at the right time.

And that- as many broke or dead from terminal forces after jumping off a high precipice day traders can attest to- is not as easy as putting those words to the keyboard is.  ;D


Ha. Ha. Ha. Laugh it up fly boy! :P

;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 12:10 PM
But you know who are and will continue to really make out like bandits with this? The guys with the botnets, distributing malware with bitcoin miner software, getting unsuspecting users to generate BTC for them when their computers are idle.

I've actually thought of doing that... But.. alas.. I have this sense of right & wrong... :(
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 27, 2013, 12:44 PM
But you know who are and will continue to really make out like bandits with this? The guys with the botnets, distributing malware with bitcoin miner software, getting unsuspecting users to generate BTC for them when their computers are idle.

I've actually thought of doing that... But.. alas.. I have this sense of right & wrong... :(

You, me, and a lot of people I know. It didn't stop me from experimenting with a java applet on some of my websites, using the CPU of my visitors while they were on my site...till Google flagged the sites and stuck a malware warning on them in the search results.  :(

After 30 days, even with a bunch of people in the DC IRC channel trying to mess up my experiment by hitting the miner page and parking their PCs there and mining BTC for me, I still had not managed to generate a full BTC. And Krishean (https://www.donationcoder.com/forum/index.php?action=profile;u=181527) has some powerful computers!
Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on March 27, 2013, 05:01 PM
Money-laundering rules for virtual currency

With the increasing popularity of online cash, there’s growing concern that virtual currencies bought on the Internet are funding illicit activities.

Now, standard banking rules aimed at suspicious dollar transfers will be applied to Web money. Companies that issue or exchange online cash will be regulated like traditional money-order providers, such as Western Union. Wall Street Journal reports.

http://www.smartplanet.com/blog/bulletin/money-laundering-rules-for-virtual-currency/15905
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 07:47 PM
After 30 days, even with a bunch of people in the DC IRC channel trying to mess up my experiment by hitting the miner page and parking their PCs there and mining BTC for me, I still had not managed to generate a full BTC. And Krishean (https://www.donationcoder.com/forum/index.php?action=profile;u=181527) has some powerful computers!

Mining is intensive. CPU mining is pretty much dead for BTC, though it is still used for LTC.

I've managed to mine about 0.065 BTC using 2 video cards. That was a couple weeks or so. Not a lot, but still a bit more than $5.00 USD, almost $6.00.

I blew some of it playing Satoshi Dice (http://satoshidice.com/) though. :D (It's a kind of fun little casino for BTC.)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 27, 2013, 07:55 PM
Money-laundering rules for virtual currency

With the increasing popularity of online cash, there’s growing concern that virtual currencies bought on the Internet are funding illicit activities.

Now, standard banking rules aimed at suspicious dollar transfers will be applied to Web money. Companies that issue or exchange online cash will be regulated like traditional money-order providers, such as Western Union. Wall Street Journal reports.

http://www.smartplanet.com/blog/bulletin/money-laundering-rules-for-virtual-currency/15905

Yet another in a long, long string of hit pieces.

Baseball bats can be used to hurt people. Better outlaw them.

Cars can be used to crash into stores. Better outlaw them.

Salt has a lethal-50 dosage. Better regulate it more.

 :-\

Cash is used to illegal activities. Better get rid of it and have only digital currency that can be tracked and traced.  :mad:

Regulation is just a bad, bad idea. No regulation is needed. There are already laws on the books to deal with "illegal activities". If they'd just use the laws that exist, but noooooo... that's too obvious.  >:(
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 28, 2013, 04:22 AM
After 30 days, even with a bunch of people in the DC IRC channel trying to mess up my experiment by hitting the miner page and parking their PCs there and mining BTC for me, I still had not managed to generate a full BTC. And Krishean (https://www.donationcoder.com/forum/index.php?action=profile;u=181527) has some powerful computers!

Mining is intensive. CPU mining is pretty much dead for BTC, though it is still used for LTC.

I've managed to mine about 0.065 BTC using 2 video cards. That was a couple weeks or so. Not a lot, but still a bit more than $5.00 USD, almost $6.00.

Well, I managed to end up with 0.09773456 BTC after 30 days of using other people's CPUs and 0 video cards. Didn't have to use my own hardware or electricity. So, I guess its a bit less dead than you thought. I did consider getting around the Google issue by adding a link to the miner page as an alternative donation method for people without any cash to donate...let them mine BTC for me, voluntarily, rather than automatically (which google doesn't like).

May have come up with another way to get BTC without spending money or using my own hardware/electricity...work for it. Got an online friend in need of a VA but has no money to pay one. I told him to look into Bitcoins and if it sounds good to him, get set up and start mining. As soon as he has 1 BTC, we'll discuss how much of my time he can get for it. (I figure that may be awhile)
Title: Re: Does anyone here use Bitcoins?
Post by: Tuxman on March 28, 2013, 05:06 AM
I accept Bitcoin donations for my projects but no one donates them. Well then.
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on March 28, 2013, 08:37 AM
I accept Bitcoin donations for my projects but no one donates them. Well then.

Perhaps nobody that is interested in your projects has any Bitcoins to donate?

That was why I considered including an additional link (http://www.bitcoinplus.com/generate?for=15175129) for one to donate their CPU cycles to generate some for me, rather than only accepting actual Bitcoin donations. That way if you were interested in making a "I have no real money" donation, you could still donate something that you do have, even if you don't have any Bitcoins.  ;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 28, 2013, 09:32 AM
I accept Bitcoin donations for my projects but no one donates them. Well then.

Perhaps nobody that is interested in your projects has any Bitcoins to donate?

That was why I considered including an additional link (http://www.bitcoinplus.com/generate?for=15175129) for one to donate their CPU cycles to generate some for me, rather than only accepting actual Bitcoin donations. That way if you were interested in making a "I have no real money" donation, you could still donate something that you do have, even if you don't have any Bitcoins.  ;)

A quietly brilliant idea. :)  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Tuxman on March 28, 2013, 10:14 AM
According to my website statistics, my projects are quite famous indeed. I included a link to a Bitcoin generator, but that made no difference.

On a side note, I read a story about a guy today who paid 2 pizzas with Bitcoins in 2010. The Bitcoins would be worth about 750,000 $ in 2013. Well.
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on March 29, 2013, 02:19 PM
But you know who are and will continue to really make out like bandits with this? The guys with the botnets, distributing malware with bitcoin miner software, getting unsuspecting users to generate BTC for them when their computers are idle.
Indeed - hence why I think the currency should be renamed "botcoin". The whole thing has always seemed extremely shady to me - like, the original author using a pseudonym, the guy who came to #doco and wanted *us* to write articles about it, et cetera. But I guess I wouldn't want to reveal my real name if I had conjured up a Get Rich From Botnets plan :)

On top of that, I'm pretty much with 40hz. Enjoy the bubble before it bursts.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 29, 2013, 10:58 PM
On top of that, I'm pretty much with 40hz. Enjoy the bubble before it bursts.


I intend to! ;D

What are some other bubbles? Tech in 2000. Housing in 2008. The Asian currency crisis in 1997.

Here's (a bit of a dated) article on 10 bubbles:

http://www.dailyfinance.com/2010/11/09/10-market-bubbles-that-could-soon-burst/

It includes the USD. :D

The question is which bubble will burst first. The fiat monetary system? Or a crypto-currency that provides the possibility of anonymous transactions and the ability to skirt around heavy and burdensome taxes, and which also offers security against "haircuts" (a wonderfully Orwellian Newspeak term for "theft"), and that is outperforming every other currency on the market?

The problem here is that long term fundamentals always catch up to short term analysis in markets. Short term analysis relies on market behaviour, however, there are limits to what markets can do as reality steps in and "corrects" grossly distorted perceptions (i.e. bubbles) with a fury to rival a woman's scorn.

The questions to ask are how long the bubbles can grow before they burst, and do those time-frames fit your purposes?

Other questions to ask are about how fundamentals fit into your plans, and whether you are better off going with short term technical analysis of the markets.

Here, for bitcoin, the skepticism over it (calling it a bubble) is addressing how fundamentally it has no value. However, in some ways this is a bit of a double standard to apply these criteria to BTC but not fiat currencies, e.g. USD, AUD, CAN, GBP, EUR, KRW, etc.

So, if we apply the same standards to currencies that are issued with the stroke of a pen (or typing on a keyboard) to conjure funds out of thin air, well, what can we say about them? They have no backing. And no, a "future promise" isn't a backing. That's called debt, and it's not a backing.

We have a very bizarre system in place. Is it better to have all instruments of trade tightly controlled, taxed, and continually devalued, or to have free and open instruments of trade with no central authority?

BTC is no more of a sham than the USD, but there are many cases to show that it is less of a sham.

We'll see what happens. I've got my bets in place. I'd place more if I could. ;) :D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 30, 2013, 02:54 AM
Ok, this is for the GAMERS out there. ;)  :Thmbsup:

If you like playing games, this could be very fun for you!

And no, I don't mean Satoshi Dice! :) (I play that a tiny bit, but only like 1 spin every few days or so.)

Trading BTC for other currencies is very much like FOREX. But, it just seems a heck of a lot more fun! The volatility in BTC right now is radical, but still doable for anyone that applies themselves.

My last set of trades I opened a position (cash that is) as I watched the charts. I could see it topping out and that there would be an immediate correction, though I didn't see the correction being by very much.

I opened the position at $93.99 and it maxed at $94.00. There was a bit of volatility around there, and the market eventually came down to about $90.10, but I'd already put in an order to close out at $90.50.

I didn't get nauseous or dizzy, though it really does get your blood pumping! You can feel the excitement because it's not just any old video game that you're playing... You're playing with real money for real stakes, there is no reset button, and you only have 1 life.

So, yeah... A pretty darn exciting game to play!

And man... does it every feel good to nail a couple trades like that! Especially when you shave the high & low so darn close like that. ;D  :Thmbsup:

So, for anyone looking for an absolutely THRILLING new game to play, a bitcoin exchange is really a fantastic ride! ;D

        (https://www.donationcoder.com/forum/esmileys/gen3/2Signs/partytime_sign.gif)     (https://www.donationcoder.com/forum/esmileys/gen3/5Large/7877.gif)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 01, 2013, 05:23 AM
Just had a BSOD from a hot CPU! :P Guess I need to quit mining until it cools down a bit. (Mining LTC with CPU.)

For anyone interested, I've been watching support and resistance and they're still creeping up, slowly but surely. There is a new support at $94. Spreads are very thin as well at $94.57 and $94.64 - less than a dime there. The interesting part will come shortly when the North American east coast wakes up.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 01, 2013, 07:21 AM
For anybody still following this thread, there's an article over at Business Insider that has a copy of an interesting presentation on what Bitcoin is (Surprise!!! - it's a protocol.) and how it works.

It probably won't answer every question you may have. And it glosses just a little too quickly over some important economic concepts IMO. (Note: the presentation was put together by a programmer so I guess that's to be expected) But it's still very informative. And also quite funny in several places  

Well worth the look. Check it out here (http://www.businessinsider.com/presentation-what-is-bitcoin-2013-3?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+businessinsider+%28Business+Insider%29#more-on-currency-mining-25).  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 01, 2013, 09:18 AM
http://cynic.me/2013/04/02/bitcoin-hit-100-usd/

It just hit $100 USD.

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Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 01, 2013, 09:19 AM
And it's just broken $100! Hit $101!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 01, 2013, 09:35 AM
For anybody still following this thread, there's an article over at Business Insider that has a copy of an interesting presentation on what Bitcoin is (Surprise!!! - it's a protocol.) and how it works.

It probably won't answer every question you may have. And it glosses just a little too quickly over some important economic concepts IMO. (Note: the presentation was put together by a programmer so I guess that's to be expected) But it's still very informative. And also quite funny in several places 

Well worth the look. Check it out here (http://www.businessinsider.com/presentation-what-is-bitcoin-2013-3?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+businessinsider+%28Business+Insider%29#more-on-currency-mining-25).  :Thmbsup:

That was a good presentation!

Obvious what side of the fence he's on there. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 01, 2013, 09:41 AM
And it's just broken $100! Hit $101!

OCD is in full swing today folks! :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 01, 2013, 09:50 AM
http://cynic.me/2013/04/02/bitcoin-hit-100-usd/

It just hit $100 USD.

Thanks for the site address in the address bar in the picture... that's a cool site!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 01, 2013, 10:28 AM
@Ren - semi-urelated FYI: I just added your feed to my RSS collection. Not too often I add another entry to that carefully vetted list.  :Thmbsup: 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 01, 2013, 10:57 AM
OCD is in full swing today folks! :P ;D

Yup!  :Thmbsup:

I watch the charts constantly. And not just the BTC charts. ;)

Thanks for the site address in the address bar in the picture... that's a cool site!

Very much so! I really like that site. I have it open 25 hours a day (http://www.youtube.com/watch?v=plOIzBqa9MY).

@Ren - semi-urelated FYI: I just added your feed to my RSS collection. Not too often I add another entry to that carefully vetted list.  :Thmbsup: 8)

Ah! Thank you! :D I don't blog a lot, but most are decent. I have a few drunken ones that never got published, and even more sober ones that I never had time to finish properly.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 02, 2013, 06:06 AM
Good grief! BTC has since broken $107 USC/BTC. (107.12101)

There are HUGE volumes going on with people buying up 1000 BTC at a time. It just won't stop shooting up!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 02, 2013, 07:11 AM
Don't let them fool you. Bitcoin is SkyNET. :P
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 02, 2013, 08:38 AM
Don't let them fool you. Bitcoin is SkyNET. :P

No...

SkyNET is when MS ports Skype to .NET. :P ;D

$107.69/BTC now.

But I can see how you'd confuse that... BTC is going sky high on the net! ;D

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 02, 2013, 08:43 AM
Ok...

This then.
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  :P :P
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 02, 2013, 08:48 AM
Ok...
  :P :P

$107.90 :D

Hey, I'm having a great ride here! ;D I wish a few people here could/would join me!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 02, 2013, 08:58 AM
^Don't worry. There's every good chance they'll see you on your way back down.  ;)

(P.S. I also very sincerely hope I'm wrong about that and you make a bloody fortune off it. Luck! :)  :Thmbsup: )
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 02, 2013, 09:12 AM
^Don't worry. There's every good chance they'll see you on your way back down.  ;)


Well, it'll be a long enough fall that I can still cash out and stay ahead. :D


(P.S. I also very sincerely hope I'm wrong about that and you make a bloody fortune off it. Luck! :)  :Thmbsup: )

Me too!  :Thmbsup:


Oh, and if anyone has any BTC that they want to sell, I'll trade DC credits for them~! :D

Just PM me and I'll give you a BTC address and immediately send you DC credits. I'll round up to the nearest $0.50 at the current market price when I send. In other words, the longer it takes me to check PMs, the more you make~! ;D hahahaha :D

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 06, 2013, 05:54 AM
Adam Kokesh rails on a CNBC hit piece on bitcoin:



He can be very entertaining. I don't remember him swearing in there. He can have a real potty-mouth sometimes, which makes him AOK in my books~!  :Thmbsup: ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 06, 2013, 11:59 AM
FYI: this (http://www.geek.com/apps/skype-malware-into-bitcoin-mining-zombie-1551332/).

From the What Took Them So Long Dept...

India comes trough! The previously suggested zombie bitcoin miner is real. From the folks at Geek.com:

A new piece of malware is floating around, but that seems like par for the course these days. What makes this malicious bit of code notable is the goal its creators have in mind. The malware is being spread via Skype messages and is designed to turn your PC into a remote Bitcoin mining rig without your knowledge or consent.

Details at Kapersky here (https://www.securelist.com/en/blog/208194210/Skypemageddon_by_bitcoining).

 8)
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on April 06, 2013, 12:01 PM
What Took Them So Long Dept...
India comes trough! The previously suggested zombie bitcoin miner is real. From the folks at Geek.com:

A new piece of malware is floating around, but that seems like par for the course these days. What makes this malicious bit of code notable is the goal its creators have in mind
Note that "notable" doesn't mean "not seen before" - botcoining is hardly new.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 06, 2013, 01:43 PM
^I think the "notable" (as in worth noticing) reference is that the malware's primary goal is to steal CPU cycles for the author's gain, rather than to steal user data from the host machine as is usually the case.

Bitcoin "mining' is something bitcoin itself encourages - so in that respect it's officially sanctioned. It's only when somebody presses somebody else into service to go mining without their knowledge that it steps over the line - hence the term "zombie" miner. (Zombies as in old-school voodoo plantation slave worker type zombies as opposed to our more modern flesh-eating apocalypse variety.)

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Now if they could just get cloud service users to unwittingly be running this on something like Amazon's S3... :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 06, 2013, 02:00 PM
Note that "notable" doesn't mean "not seen before" - botcoining is hardly new.

There is an interview with a malware writer, from at least a year ago (somewhere on reddit), where he confessed that he made most of his income from botcoining. It was that interview that made me realize that doing it with my own hardware and electricity would probably be futile, not really any different than paying cash for them, and sent me on a search to find out if there was a more ethical way to get others to mine for me.

BTW, if anybody gets the bright idea I had and considers using Bitcoin Plus, forget it. You won't make anything. If you put their script on your site it will be flagged by google as a harmful site. If you link to your miner page it won't, but any BTC that gets mined for you, you'll never get. You can't cash out and the site owner doesn't answer emails. Seems like a big scam to get lots more people to mine BTC for the site owner, by making them think he will actually let them have what's theirs.
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on April 06, 2013, 03:04 PM
^I think the "notable" (as in worth noticing) reference is that the malware's primary goal is to steal CPU cycles for the author's gain, rather than to steal user data from the host machine as is usually the case.
Yup - but as app also noted, it's not new by any stretch :)

(Nor is the use of botnets for CPU-intensive work itself - they've been used in the past for stuff like factoring RSA keys).
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 06, 2013, 03:49 PM
^Sorry! Misunderstood what you were saying.

Agree - bots that work like that are nothing new. What I meant was it was bound to happen to Bitcoin now that a speculative bubble is in full swing. Where I'm surprised is that it took this long for it to show up.

 ;D
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 06, 2013, 07:44 PM
^Sorry! Misunderstood what you were saying.

Agree - bots that work like that are nothing new. What I meant was it was bound to happen to Bitcoin now that a speculative bubble is in full swing. Where I'm surprised is that it took this long for it to show up.

 ;D

But it didn't. As I said, it was discussed on Reddit (http://www.reddit.com/r/IAmA/comments/sq7cy/iama_a_malware_coder_and_botnet_operator_ama/) about a year ago.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 07, 2013, 05:59 AM
Anyone remember, "Where's the beef?"

http://www.honestbeef.com.au/

Buy your beef in bitcoin! ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 07, 2013, 07:29 AM
Some charts from today, in order:

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Still smiling~! ;D

(Oh, and that small sell order that I placed at a stupidly high price a few days ago... Managed to cancel it just in time! ;D )

CLIMB! BABY CLIMB~!  :Thmbsup:

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on April 07, 2013, 09:24 AM
I would really like this forum to avoid anything related to discussing investing or making money on markets -- it's just not the place for it.

It's one thing for us to discuss the concept of something like bitcoins -- but when we start showing charts and talking about making money and when to buy and sell, etc.. that has no place here.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 07, 2013, 11:16 AM
Understood. I would like to thank you for being a gracious host. I feel that I must bid you goodbye. Please know that all my best wishes are with you.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on April 07, 2013, 11:26 AM
There's no reason to have to leave, I'd like you to stay.  I just request that anyone who wants to discuss how much money they are making off the (fill in the blank) market, or suggestions for what to invest in, post in the basement or on a different forum.  

I pass no judgement on any particular currency or market or investment strategy -- to be honest they all seem like legalized gambling and scams to me -- including the US stock market, etc.  But that's besides the point.  If you want to invest in such things go for it, I just don't think we want this forum to be a place for discussing how to make money in the markets.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 07, 2013, 12:43 PM
I didn't read his posts as telling people what to invest in or where to invest, or even to invest.  More of as a cackling statement of glee of his success.  And I felt good for him, and feel that it's not a bad thing to celebrate success among our members (while of course kicking myself that I didn't do the same).
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 07, 2013, 03:41 PM
I would really like this forum to avoid anything related to discussing investing or making money on markets -- it's just not the place for it.
It's one thing for us to discuss the concept of something like bitcoins -- but when we start showing charts and talking about making money and when to buy and sell, etc.. that has no place here.

Yes, and there seem to be plenty of alternative forums to engage in or discuss these things.
However, because of its digital nature, it would seem to be relevant to discuss Bitcoins in the DC Forum, but not necessarily in the manner it predominately seems to be being discussed at present.

It is worth discussing because: To a student of economic theory and practice, Bitcoin is something that seems to break theory by peacefully offering a new, artificial, common, potentially safe and unregulated/uncontrolled (by any government) alternative to any and all national currency, and thereby potentially enabling the consumer to avoid the use of the banking system.
The potential implications are tremendous, apparently including, for example, transformation of the global money supply and associated inter-bank Forex and payments/settlements systems, greater freedom from taxation (forced State theft) and from compulsory/proprietary usury by the banks. Bitcoin would seem to have the potential to defeat the system of fractional reserve banking, which is a major means by which governments effect their State control over the voters.

For speculators to focus on the profits to be made from gambling in arbitrage trading, as a new market develops, would be a natural thing for any emerging market, and will generally assist in its development and stability - Bitcoin would presumably be no exception to that. However, there is some irony in that, where the trade profits are being measured in a State's currency, the new thing is being measured in terms of the old which it could eventually render obsolete. Bitcoins could potentially become the new Gold Standard and the major/only global currency, where the thing being traded (Bitcoin money) is the standard - a modern digital form of gold coins.

There are other forums on the Internet specifically set up for discussing and learning about mining and dealing/trading in the supply of Bitcoins - a good start might be, for example, the Bitcoin Forum - http://bitcointalk.org
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 07, 2013, 03:50 PM
Understood. I would like to thank you for being a gracious host. I feel that I must bid you goodbye. Please know that all my best wishes are with you.

We cannot control events that affect us, but we can control our response to them.
In New Zealand, that kind of response would probably be termed "spitting the dummy".    ;)
Chillax @Renegade.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on April 07, 2013, 03:57 PM
If i seemed to be saying we shouldn't discuss bitcoins at all, then I should clarify my position.  I was only trying to say one should avoid discussions of investment strategies and talking about how much money one is making.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 07, 2013, 04:38 PM
I didn't get a sense, after reading Mouser's comment/request, that there was any feeling on his part that discussing Bitcoin was somehow taboo or unacceptable. What I did hear was a request that the participants refrain from getting into an "investment tip" or boosterism mode when doing so.

I'm not sure I see anything in the discussion that falls into that. Although if you don't know Renegade's unique style of outrageous humor and...um...presentation (or if you landed here from Google) you might be forgiven for not realizing none of his comments were ever intended to be taken as serious investment advice. And I think Mouser's comment was being directed more to the occasional forum visitors who might not know that rather than the regulars. And I wouldn't read any more into it than that.

Regarding Renegade's comment IainB quoted above...I'm not at all sure what any of that is about. So in the absence of knowing what led Ryan to decide he'd prefer to take himself elsewhere, about all I can say is "Hail & farewell good friend and colleague! You will be missed. And should you ever change your mind, you know where to find us."
 :)



  
Title: Bitcoins As Sole Currency
Post by: Tinman57 on April 07, 2013, 07:41 PM

[  Looks like it's really taking off....]

Online electronics store buys into bitcoins as sole currency

An online electronics retailer, Bitcoinstore, has had such a successful trial run accepting only bitcoins for payment that it will continue operating.

http://www.pcworld.com/article/2033373/online-electronics-store-buys-into-bitcoins-as-sole-currency.html
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 07, 2013, 07:51 PM
Still can't really get behind it 100% until it's possible to pay for the basic necessities with it, (rent, utilities, food) without having to convert it into traditional currency, first.
Title: Re: Does anyone here use Bitcoins?
Post by: KynloStephen66515 on April 07, 2013, 09:15 PM
$171.4/BTC now o.0

How I wish I bought them back in '12 when they were $5/BTC

Hindsight is a heartless bitch.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 07, 2013, 09:39 PM
Still can't really get behind it 100% until it's possible to pay for the basic necessities with it, (rent, utilities, food) without having to convert it into traditional currency, first.

Well, that defines stock, gold... pretty much everything that's not hard curry.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 08, 2013, 06:33 AM
I tend to follow about a dozen libertarian/counter-economics blogs. And needless to say, bitcoins seem to be their new poster child.  However, I find it interesting that the diehard bitcoin supporters are constantly crowing about how the prices are illogically ratcheting up while at the same time criticizing national monetary policies and currencies for encouraging inflation. Same goes for the widespread bitcoin supporters' criticism of fractional reserve banking for "printing money with nothing backing it " when there is really no underlying value you can pin a bitcoin to - other than the "irrational exuberance" that is apparently driving its soaring rates.

In the end, I think this is going to end with the usual wheeler-dealers making out like bandits, and the rest of the general public (who got involved in all good faith) being robbed blind. But that should come as no suprise. In the investment world that's called: business as usual.

 8)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 08, 2013, 06:49 AM
[  Looks like it's really taking off....]

Online electronics store buys into bitcoins as sole currency

An online electronics retailer, Bitcoinstore, has had such a successful trial run accepting only bitcoins for payment that it will continue operating.

http://www.pcworld.com/article/2033373/online-electronics-store-buys-into-bitcoins-as-sole-currency.html

I think that's a purely political move on their part. (Note the name of the store.) I strongly suspect they're attempting to garner goodwill and capitalize on the current bitcoin publicity juggernaut. Where I come from, one of the first rules of running a successful retail operation is that you accept every form of payment out there.

Deliberately restricting the ways people can hand you money makes no business sense at all. :-\
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 08, 2013, 09:22 AM
I tend to follow about a dozen libertarian/counter-economics blogs. And needless to say, bitcoins seem to be their new poster child.  However, I find it interesting that the diehard bitcoin supporters are constantly crowing about how the prices are illogically ratcheting up while at the same time criticizing national monetary policies and currencies for encouraging inflation. Same goes for the widespread bitcoin supporters' criticism of fractional reserve banking for "printing money with nothing backing it " when there is really no underlying value you can pin a bitcoin to - other than the "irrational exuberance" that is apparently driving its soaring rates.

You ignore the *big* difference that Bitcoin is limited. Otherwise I agree with the above.

As to how it'll turn out ...
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 08, 2013, 09:46 AM
Nothing, be it bitcoins, gold, diamonds, paper currency, baseball cards, classic cars, real estate, grandma's wedding dress, or anything else, has any value unless humans place one upon it. And it only has the value that we decide upon, and only for as long as we decide.

You ignore the *big* difference that Bitcoin is limited.

I own things I wouldn't trade for all the bitcoins, gold, diamonds, paper currency or anything else in the world, like my grandmother's sewing box. They are very limited...only 1 exists. They have great value to me. But you wouldn't agree that they have any value at all and would consider them worthless...to you.

That kind of makes the value that we humans assign to most things, nothing more than an opinion. And opinions are subject to change. (see Texas dollars, French Francs, German Deutschmark, Pogs, Beanie Babies, stock prices, etc.)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 08, 2013, 09:58 AM
Yes app
it's not that I'm a fan of Bitcoin, nor even a fan of money at all - as we know it. Just wanted to point out to 40 that he ignored that important difference in his comparision with fractional reserve banking. It's a big reason it's doing so well and may be the making of it (could even possibly be the breaking of the fiat currencies).
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 08, 2013, 02:40 PM
You ignore the *big* difference that Bitcoin is limited. Otherwise I agree with the above.

I think I'm probably missing something again being a bitcoin neophyte. Limited in what way?

A pseudo-currency that was worth pennies a few years ago suddenly became valued at $100 last week and is now (or maybe has already) broke the $200 mark? Says who? And with what to back it? It's hyperinflating by huge amounts above all the other traditional value backers like gold.

If there were a sudden loss of confidence in standard currencies I'd think gold and all the other commodities would be hyperinflating in market value just as rapidly. But they're not. So I don't think the Cypress banking crisis (as one often given example) is driving the bitcoin roller coaster. I think it's pure speculative "gold rushing" fueld by the usual combination of greed and ignorance at play here. It's not sustainable. And when it crashes it will be far more likely to take down bitcoin rather than anything else.

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 08, 2013, 03:08 PM
I think I'm probably missing something again being a bitcoin neophyte. Limited in what way?

http://blockchain.info/charts/total-bitcoins

Bitcoin uses an inflation source method of Limited Release, i.e. the rate of inflation will be halved every 4 years until there are 21 million BTC.

http://eprint.iacr.org/2012/584.pdf

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 08, 2013, 03:14 PM
Sure, there's lots of differences. There's the novelty thing too.

You ignore the *big* difference that Bitcoin is limited. Otherwise I agree with the above.

I think I'm probably missing something again being a bitcoin neophyte. Limited in what way?

Oh, I presumed you knew that - the production of Bitcoin is limited. I cant remember exactly but (I think) 20 million by 2040 and that's it. That is a big difference between it and current currencies. A lot of people blame fiat currencies for the economic state of the world. While I have grave reservations about fiat currencies, I think this is not the main problem at all. But for these people, Bitcoin is very attractive. Simply because it's limited. Well, also that it's 'free-market' and not controlled by banks or governments. And oh yes, it's a novelty thing too ;-)

[overlapped with wraith's post but will leave this bit anyway]

It seems to bother you a lot it not being backed by anything, yet you seem accepting of the same thing with the dollar (or am I misunderstanding your position there?)


If there were a sudden loss of confidence in standard currencies I'd think gold and all the other commodities would be hyperinflating in market value just as rapidly. But they're not. So I don't think the Cypress banking crisis (as one often given example) is driving the bitcoin roller coaster. I think it's pure speculative "gold rushing" fueld by the usual combination of greed and ignorance at play here. It's not sustainable. And when it crashes it will be far more likely to take down bitcoin rather than anything else.

very good points
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 08, 2013, 07:22 PM
All this discussion seems to rather cloud the reality that Bitcoin started off as a very interesting kind of practical digital experiment in creating a crypto-currency, to test the theory as first described in 1998 by Wei Daito. (http://www.weidai.com/bmoney.txt)
"b-money, a scheme for a group of untraceable digital pseudonyms to pay each other with money and to enforce contracts amongst themselves without outside help".

The initiator of the Bitcoin experiment went under the pseudonym of Satoshi Nakamoto. Towards the end of 2010 Satoshi apparently left the project saying he had moved on to other things (http://bitcoin.org/en/about).

However, the experiment continues unabated, and this discussion thread is tangible evidence that we have effectively become participants in it to some extent. Even if we are not directly involved in Bitcoin, we are all apparently part of the associated and influencing environment within which it operates.
Though the relative value of a Bitcoin in terms of exogenous currencies seems to be the most compelling factor for some, it is actually a by-product of the experiment. The current artificial and deliberate cap of about 20 million BTC numbers (objects) that can be created in/by the Bitcoin protocol is very interesting in that it is a control - it safely controls the experiment and caps the bubble that we see inflating/deflating (it is currently re-inflating after having had one major deflation).
This control affects/limits the endogenous money supply (M3) in this enclosed system, but not necessarily the velocity of circulation of the money. The latter may be theoretically unlimited, but in practice could be under a constraint set via a function determining the necessary CPU cycle time forced to be consumed in operating the protocol.

The discussion in this thread around Bitcoin's comparative US$ value appreciation worries me, because I have kinda "seen it all before" in other artificial bubbles, in stock exchanges and commodity exchanges in different parts of the world, and witnessed the financial outcomes for the real people (and their families) involved.
From experience and the study of real-life practical market economics and from econometric modelling and modelling the behaviour of traders in stock exchanges and commodity trading systems, I would strongly suggest extreme caution when considering committing any hard cash (or other assets) into Bitcoin.
As I said above:
For speculators to focus on the profits to be made from gambling in arbitrage trading, as a new market develops, would be a natural thing for any emerging market, and will generally assist in its development and stability - Bitcoin would presumably be no exception to that.

The rule-of-thumb for financial risk management in such speculative markets is: Do not risk more than you would be prepared to lose or could afford to lose.
$171.4/BTC now o.0
How I wish I bought them back in '12 when they were $5/BTC
Hindsight is a heartless bitch.
-Stephen66515 (April 07, 2013, 09:15 PM)
Don't let the glare of the potential gains dazzle you to the extent that you are unable to see the potential losses (statistical history: there's already been one relatively major deflation, don't forget), and be aware that fear is likely to be a primary motivator in your behaviours - fear of potential loss of an unrealised potential and intangible gain. This is or would be absurd/irrational. As well as being irrational and acting as an amplifier for our innate greed under these circumstances, fear is one of the most destructive of human emotions, and it is extremely difficult to remain rational whilst in a state of fear - and therefore easy to make mistakes.
Money can make a very good servant, but a dreadful master.
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 08, 2013, 08:24 PM
Don't let the glare of the potential gains dazzle you to the extent that you are unable to see the potential losses (statistical history: there's already been one relatively major deflation, don't forget), and be aware that fear is likely to be a primary motivator in your behaviours - fear of potential loss of an unrealised potential and intangible gain. This is or would be absurd/irrational. As well as being irrational and acting as an amplifier for our innate greed under these circumstances, fear is one of the most destructive of human emotions, and it is extremely difficult to remain rational whilst in a state of fear - and therefore easy to make mistakes.
Money can make a very good servant, but a dreadful master.

What you said agrees with what I had said before, elsewhere, about not investing in objects to which you can easily become emotionally attached, or are symbolic (investing huge sums on an engagement ring for your bride is the first that comes to mind). That attachment reduces the value of the object to $0, because the attachment will stand in your way of ever selling it. You can't cash in on sentimental value. The only thing you can buy with it is regret.

There is no room for emotions of any kind in investing. Good investing is done cold, without feeling, nothing like love or fear to misguide you or stand in your way.
Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on April 08, 2013, 08:25 PM
  Well....I'm no financial genius or stock market expert, but I think I'll just keep my cash in a money market account, even if the interest rates are for crap.  Thanks once again Uncle Sam.   >:(

  But I do know that I just popped open a bottle of Samual Adams Alpine Springs Ale, and it's just soooooo good it very well may lead to another.  If nothing else it will at least make me forget all about this head cold I have and the for-crap finances the U.S. is sweltering under.  But then again, this isn't the forum for that.....   :beerchug:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 08, 2013, 09:34 PM
It seems to bother you a lot it not being backed by anything, yet you seem accepting of the same thing with the dollar (or am I misunderstanding your position there?)

Not misunderstanding. More me not making myself clear. Which comes from not sufficiently elaborating because I was trying to do a post on a smartphone. ;D

By "not backed by anything" I meant anything - as in nada.

There is no government enforcement, no sanctioned exchange system with any regulatory clout behind it, no specie or standard of valuation - and above all, no legal status protecting it.

If somebody cleans out my bank account I have several very direct avenues of legal recourse. If somebody swipes my bitcoin wallet,  who am I supposed to call?

Although many who are into the whole "pirate" thing are quick to dismiss (or simply diss) government, it still has its uses. One is that it possesses the means (legal and physical) to enforce its will. And that's significant. Because bitcoin does not.

If you burn bitcoin, what can bitcoin actually do? Threaten a civil suit? And because of its decentralized P2P structure - who exactly has legal status to file a suit anyway? And for what? Since bitcoins have little if any legal recognition (so far) it may be very hard to establish they actually have any genuine value.

And therein lies the fundamental problem with crypto-currencies IMO. Currencies are only as good as your ability to make them (emphasis on make) mean something. In the case of the US dollar, it's backed by Uncle Sam's promise to tax US citizens unto the umpteenth generation to make good on what the dollar is said to represent. Behind that pledge is the full productive capacity, labor force, natural resources, and military might of the United States - which the government holds a great deal of control and influence over.

That's what I mean by "backed by something" as opposed to bitcoin which strikes me as primarily being a small mutual admiration society attempting to do an end run around government backed currencies. Unfortunately, short of a complete economic collapse of the world monetary system - it just isn't going to happen.

Bitcoins could (in theory) fill a vacuum in places where the legal currency did collapse. (But so could a lot of other things like cigarette packs.) However, an attempt to create a parallel monetary system in places where it hasn't is simply not going to be allowed - both for bad reasons - and also for some extremely good ones. And that will remain the case no matter how many people and places sign on to accept bitcoins as a form payment.

Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on April 09, 2013, 02:03 AM
The initiator of the Bitcoin experiment went under the pseudonym of Satoshi Nakamoto. Towards the end of 2010 Satoshi apparently left the project saying he had moved on to other things (http://bitcoin.org/en/about).
Title: Re: Does anyone here use Bitcoins?
Post by: SKA on April 09, 2013, 02:43 AM
Another guess on bitcoin future:
http://www.naturalnews.com/039830_bitcoin_bubble_crash.html

Ska
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 09, 2013, 05:33 AM
...If somebody cleans out my bank account I have several very direct avenues of legal recourse....
Yes, well, maybe you might have - today, in any event - but this would seem to be inapplicable if you live in Cyprus/Europe.

The currency "backing" you perceive is just that - i.e., perceived. Modern money is generally created by things including credit creation, printing, and fiat, supported by fractional reserve banking (a virtual accounting myth) and enabled with stability of notional value through trust. Military or economic might do not of themselves "prove" or "command" money to have/retain value - as you seem to be suggesting - the USSR and China already tried that and failed (QED).
No, breach that trust and the whole thing collapses like a house of cards and the notional value evaporates.
So...guess what just happened in Cypress?

I am very interested in, but also ambivalent about Bitcoin and crypto-currency generally, but I do at least see that in Bitcoin the currency seems to be its own gold standard (as I wrote in a separate post), and trust seems to be made irrelevant and is substituted by the security and statistical authenticity inherent in the incorruptible cryptographic protocol. I would suggest the possibility that Bitcoin - or other crypto-currency - could be considered as a potential new "gold standard", against which all other currencies could be valued.
Nationa/International settlement and exchange could even take place through the medium of the crypto-currency, thereby reducing systemic risk. Forex trading could become obsolete.

I recommend maintaining a healthy skepticism toward any of the MSM (mainstream media) running TV docos or writing pro-Bitcoin or anti-Bitcoin pieces. They are arguably not doing this from the perspective of good journalism, since most of them don't seem to know the meaning of that term. So why would they be doing it? The answer is that, generally speaking, the MSM communicate only those religio-political marketing messages and propaganda that they are told to communicate (QED), and so the messages are dumbed down and NTR (No Thinking Required), aimed at the standard reading ability and/or mentality of a 13 or 14-year old.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 09, 2013, 07:39 AM
^I have a healthy skepticism for all things created by humans. I'm also a keen student of history and a decent enough amateur psychologist that I'm not too easily 'taken in." At least not unknowingly. (Allowing oneself to be knowingly taken in is an altogether different thing. That's the tariff we pay for allowing ourselves to have hopes and dreams. It's a fair exchane IMHO.)
 ;D

Again, it comes down to a question of having a relative and reasonable level of trust - or more correctly, a rational level of reliance on something. When looking at something like Cypress, about the best I can say is that the United States is not Cypress. And although the world's economy and monetary system has a significant impact on the American economy, and a collapse elsewhere would be felt, it's consequences would be different both in form and scale.

And a sudden economic collapse would be nothing new for us. The US has been through one totally catastrophic economic collapse recent enough to still be within living memory. It has also weathered several major recessions, and at least two (depending upon how you define it) systemic banking crises. We're somewhat used to them. And mechanisms are in place for dealing with it as far as that goes. So Cypress is not actually that equivalent here.

Regarding currencies, they're all perfect examples of a willing suspension of disbelief. But some lies are more 'dependable' than others - relativistically speaking.

Which brings me back to my problem with bitcoin. Right now it's not a big enough - or a commonly believed enough 'falsehood' - for me to knowingly let myself be taken in by it. And this roller coaster ride it seems to be so proud of is a clear indication (to me at least) of its total lack of control and failure to exercise fiscal responsibility as either a medium of exchange or an investment vehicle. Not exactly something I'd want to get involved with.
 8)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 09, 2013, 03:47 PM
The current artificial and deliberate cap of about 20 million BTC numbers (objects) that can be created in/by the Bitcoin protocol is very interesting in that it is a control - it safely controls the experiment and caps the bubble that we see inflating/deflating (it is currently re-inflating after having had one major deflation).
This control affects/limits the endogenous money supply (M3) in this enclosed system, but not necessarily the velocity of circulation of the money. The latter may be theoretically unlimited, but in practice could be under a constraint set via a function determining the necessary CPU cycle time forced to be consumed in operating the protocol.

I'm not too well up on the terminology here Iain - could you explain what you mean by "operating the protocol"? Do you mean 'creation of' - or simply trading bitcoin? I thought only creation was affected by CPU etc. but confused when you say this will affect the "velocity of circulation".



I am very interested in, but also ambivalent about Bitcoin and crypto-currency generally, but I do at least see that in Bitcoin the currency seems to be its own gold standard (as I wrote in a separate post), and trust seems to be made irrelevant and is substituted by the security and statistical authenticity inherent in the incorruptible cryptographic protocol. I would suggest the possibility that Bitcoin - or other crypto-currency - could be considered as a potential new "gold standard", against which all other currencies could be valued.
Nationa/International settlement and exchange could even take place through the medium of the crypto-currency, thereby reducing systemic risk. Forex trading could become obsolete.

I wonder what would/will happen if/when another similar currency is created ... (I suppose that would only happen if Bitcoin is a 'success' - in the medium term at least.)
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 10, 2013, 09:15 AM
@tomos: I'm no expert. I was using the terminology and concepts explained here: About Bitcoin (http://bitcoin.org/en/about)

Concise Oxford: Computing protocol - a set of rules governing the exchange or transmission of data between devices.

Operating the protocol occurs at an internal "clock" speed, which governs the rate at which it consumes CPU cycles. The output from the cycles is an object - actually a number - and that is the Bitcoin.
The velocity I referred to was the velocity of circulation of a currency, which, if it is scarce, might change hands faster to compensate for the lack of supply.
But since the protocol apparently has to be involved to exchange Bitcoins, then that might constrain the max velocity of exchange of Bitcoins in a Buy/Sell transaction.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 10, 2013, 09:52 AM
^Thanks Iain
"the protocol apparently has to be involved to exchange Bitcoins" would explain it.

Re the circulation: unless it's value stabilises, this will be useless as a currency AFAICS. Even then it would have to stabilise at a very high value. At very high value, it could be divided in 'billionths' or 'trillionths'. The trickle down effect would take a long time to be felt by those without Bitcoin though....

Ska's link was interesting (http://www.naturalnews.com/039830_bitcoin_bubble_crash.html).
I quote -
• Bitcoin is a currency that's subject to human psychology
• As such, it is subject to the "greed" and "fear" herd mentalities of human investors


Sounds like something Jeeves would say to Wooster - "it's subject to human psychology" :)
I think in order for a money to be successful in terms of everyday use it has to somehow avoid those pitfalls.
I like the idea of a mutual credit system where one can create 'money' through work - rather than (mostly) needing the money to be available before work can be done - but it's not something I know much about. AFAIK it has only ever been implemented locally, on very small scales.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 10, 2013, 10:14 AM
^It would very likely have to be local in that a labor exchange is most commonly a barter arrangement. And without an agreed standard for valuation, how much are you worth really? The answer is: it all depends on local needs. Take it beyond that and you're right back to creating a private currency since its tokens, scrip, or account balances become a general medium of exchange.
 :)

 
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 10, 2013, 10:45 AM
^Well the idea of a mutual credit system is to 'become a general medium of exchange'.

I'm not sure what exactly you mean when you say that beyond local, you're creating a 'private' currency - but I think you might be right :)
- I presume you mean with all the pitfalls of todays currencies.
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 10, 2013, 03:50 PM
Bitcoin falling HARD, amidst possible DDos attack of one or more exchanges.

http://techcrunch.com/2013/04/10/bitcoin-crash/
http://venturebeat.com/2013/04/10/bitcoin-prices-crash-over-100/

Title: Re: Does anyone here use Bitcoins?
Post by: KynloStephen66515 on April 10, 2013, 04:00 PM
Seems to be going back up now:

$184.5/BTC*

*Correct at time of writing
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 10, 2013, 06:21 PM
Another interesting posting on Bitcoin...

http://www.reddit.com/r/Bitcoin/comments/18f3pd/i_have_my_entire_retirement_and_savings_invested/
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 10, 2013, 07:13 PM
Another interesting posting on Bitcoin...

http://www.reddit.com/r/Bitcoin/comments/18f3pd/i_have_my_entire_retirement_and_savings_invested/

Glad to read that he did the smart thing to correct what could have been a really big foolish mistake and now whatever he makes from what he still has invested will be pure profit without risk.

But it could have easily become a situation where a fool and his money were soon parted, with him living on no more than $150.00/wk for a long time, if he defaulted on those credit cards and they obtained judgements against him, along with permission to garnish his wages till it was all paid off.
Title: Re: Does anyone here use Bitcoins?
Post by: SKA on April 10, 2013, 10:43 PM
You gotta appreciate this guy's modesty:
http://www.naturalnews.com/039865_bitcoin_crash_prediction_Mike_Adams.html

Ska
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 10, 2013, 10:51 PM
Was that... sarcasm?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 10, 2013, 11:41 PM
^Yeah. A guy who writes for a natural food site and goes by the nickname The Health Ranger?

Sure sounds like a qualified financial professional to me.  ;D

This is a good example, however, of just how many amateurs are piling on the bitcoin bandwagon for whatever reason. In this case I think the motivation is probably the hope of driving traffic to the site by getting some hot button keywords up on a page in order to increase their visibility with the search engines.
 ;)
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on April 11, 2013, 12:14 AM
Just for fun, I installed a bitcoin miner yesterday evening, and joined a mining pool.

If my maths is any good, it seemed like - at the current rate - it would take me around 400 days to mine one single BTC, even though I used a GPU miner (on my not-so-recent-but-still-relatively-beefy GTX460... but OK, AMD/ATI cards are better for mining). And do note the "at the current rate" - mining gets progressively harder as the minting-limit approaches.

Guess one has to gamble the bubble (or resort to botcoining :p) in order to cash out on the scheme - and neither is my cuppa tea.
Title: BTC Trades halted after major drop in value.
Post by: KynloStephen66515 on April 11, 2013, 06:16 PM
BTC Trades halted after major drop in value.

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As of right now the MTGOX website is showing:

Service is down for emergency maintenance for one hour, until 2013-04-11 23:30:00 UTC. Please retry at that time
-www.mtgox.com

MTGOX Released the following statement:

As expected in such situation people started to panic, started to sell Bitcoin in mass (Panic Sale) resulting in an increase of trade that ultimately froze the trade engine! To give you an idea of how impressive things were here are some numbers that we would love to share with you guys: – The number of trades executed tripled in the last 24hrs. – The number of new account opened went from 60k for March alone to 75k new account created for the first few days of April! We now have roughly 20,000 new accounts created each day.

Bitcoin plummeted more than $160 yesterday after hitting a new high of $266. It continued to fall on other exchanges Thursday, trading below $100 in many. Two months ago the digital currency was valued at $20.

As of this moment, BITSTAMP is valuing $72.00/BTC but exchange rates are for information only.

[edit]

After refreshing the MTGOX website, I can now only see the following text

Database access error, please retry later

[/edit]

Panic selling seems to be at the heart of this problem.

Due to the nature of the so-called "Crypto-currency", there is no physical backing.  Not being on the public stock market, or based on any governments economy, BitCoins are notoriously difficult to predict.  Due to this, people rely on each others reactions, in order to figure out when to buy and sell.

Over the past several weeks, MTGOX have been subjected to a bombardment of DDOS attacks, causing some major downtime, severe trading lag, and the inevitable panic selling that comes along side seeing prices fluctuate wildly. 

Amongst all this however, BitCoin saw its highest ever trade value of $266/BTC.

[edit2]
The MTGOX Website is now showing:

502 Bad Gateway

nginx/1.3.11
[/edit2]

If any of you do have real money currently riding on BTC, I would love to know your thoughts on the ups and downs, and also...do you plan to panic sell?
Title: Re: BTC Trades halted after major drop in value.
Post by: KynloStephen66515 on April 11, 2013, 06:18 PM
As soon as I posted the above, the MTGOX website re-appeared.  Perfect timing really.

Lets see what happens from here.

<Update>

Trading is halted until 2013-04-12 02:00am UTC to allow the market to cooldown following the drop in price. Read more details on the support. Additionally trading fees will not be charged within 48 hours of trading resuming (until 2013-04-14 02:00am UTC).

</Update>


The latest press release from MTGOX currently says:

TOKYO - JAPAN - April 11, 2013   Hi everyone, just a quick update on the situation and what happened last night.  First of all we would like to reassure you but no we were not last night victim of a DDoS but instead victim of our own success!  Indeed the rather astonishing amount of new account opened in the last few days added to the existing one plus the number of trade made a huge impact on the overall system that started to lag. As expected in such situation people started to panic, started to sell Bitcoin in mass (Panic Sale) resulting in an increase of trade that ultimately froze the trade engine!  To give you an idea of how impressive things were here are some numbers that we would love to share with you guys: - The number of trades executed tripled in the last 24hrs. - The number of new account opened went from 60k for March alone to 75k new account created for the first few days of April! We now have roughly 20,000 new accounts created each day.  Due to these facts we have been busy working on improving things since last week and our team has been working around the clock to improve Mt.Gox to catch up with the demand. We will continue to release several updates today and in the coming few days to improve our system overall performance.  Also please note that we may have to close the exchange for two hours in the next 12 to 24hrs to add several new servers to our system.  Thank you for your understanding and continuous support! 
Regards
Mt.Gox Co. Ltd Team.
-https://mtgox.com/press_release_20130411.html
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on April 11, 2013, 07:01 PM
This whole thing sounds like a gorgeous scam now, and this is about where the propellers are being fired up for that night-flying.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 12, 2013, 12:40 PM
Hacker News has a post by Dan Kaminsky who casually attempted to do a hack on bitcoin - and (somewhat predictably) failed.

Not much depth in the article, but it does provide some insights into how bitcoin's protocol works - even if it does sound like the author is occasionally regurgitating info off some "talking points" PR sheet.

By all extant metrics in security system review, this system should have failed instantaneously, at every possible layer.

And, to be fair, it has failed at other layers – BitCoin thefts have occurred, in the meta-code that surrounds the core technology itself.

But the core technology actually works, and has continued to work, to a degree not everyone predicted. Time to enjoy being wrong.  What the heck is going on here?

First of all, yes.  Money changes things.

A lot of the slop that permeates most software is much less likely to be present when the developer is aware that, yes, a single misplaced character really could End The World.  The reality of most software development is that the consequences of failure are simply nonexistent.  Software tends not to kill people and so we accept incredibly fast innovation loops because the consequences are tolerable and the results are astonishing.

BitCoin was simply developed under a different reality.

The stakes weren’t obscured, and the problem wasn’t someone else’s.

They didn’t ignore the engineering reality, they absorbed it and innovated ridiculously.

Worth a read since it's that much more grist for the mill. And some of the information is quite interesting. Link here (http://www.businessinsider.com/dan-kaminsky-highlights-flaws-bitcoin-2013-4).
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on April 12, 2013, 06:51 PM

Hmm. Well, sure, there's a couple of bright fellas behind it. So maybe they caught the most obvious bugs. But it just feels like something is unstable for the Long Game, and when that happens a few people win and lots of people lose. I just don't have the complete theme of how it will play out yet.

Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on April 12, 2013, 07:02 PM

  I came across this today, it gets into how BTC are made, how they're traded, security, and the authors opinions on investing:

7 things you need to know about Bitcoin
Bitcoin is booming, but don't buy the hype before you read our guide.


http://www.pcworld.com/article/2033715/7-things-you-need-to-know-about-bitcoin.html
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 13, 2013, 07:01 AM
Bitcoin or some other crypto-currency might yet be the place of calm in turbulent times. I would suggest this news (following) will further destabilise the world currency of the US$, and inflate Bitcoin prices:
Here It Comes – Australia to Abandon the U.S. Dollar (http://iowntheworld.com/blog/?p=180568)
April 13, 2013 - 07:00 America/
The Trumpet

Australia’s announcement that it is abandoning the U.S. dollar for trade with China is the latest broadside in the global currency war. Starting April 10, Australia and China will no longer use the U.S. dollar for trade between the two nations. For the first time, Australian businesses will be able to conduct trade in Chinese yuan. No more need for U.S. dollar intermediation.

This is a significant announcement and key development for China as it continues its campaign to internationalize the yuan and chip away at the dollar’s role as the world’s reserve currency.

Australian Prime Minister Julia Gillard made the announcement during an official visit to Shanghai on Monday. She noted that China is now Australia’s biggest trading partner and that the direct currency trading would be a “huge advantage for Australia.”

She called the currency accord a “strategic step forward for Australia as we add to our economic engagement with China.”

(Read the post for more.)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 13, 2013, 07:40 AM
This is a significant announcement and key development for China as it continues its campaign to internationalize the yuan and chip away at the dollar’s role as the world’s reserve currency.
>

I think it's more a political statement than an economic groundswell at this point. But still not something to dismiss as pure politics either.

Ideally (for China >:D ) this move will be coupled with a significant shift towards less manipulative monetary policies and exchange rate games on the part of China.

Because if China could just pull it's political head out of Mao's butt they would probably become unstoppable economically.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on April 13, 2013, 09:56 AM
^^ Yes, Mao's butt would seem to be a potentially  limiting factor for China.
A potentially bumpy ride for us all though, if the US$ is being incrementally removed from its mandated position as the primary currency/unit of global exchange. This rather looks like a first brick being removed from the wall.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 13, 2013, 01:50 PM
This rather looks like a first brick being removed from the wall.

Or at least an attempt to do so. The real trick will be to pull enough bricks out of the wall to make a new entry for yourself without having the whole building come crashing down on your head.

But China will first need to do a lot more to fix the problems caused by the need to secure highly placed political patronage in order to conduct any significant business. And also to check the blatant and pervasive corruption plaguing their emerging new economic elite before it will be able to push any harder than what it's intrinsic market potential as a customer base will allow.

Unfortunately, cases like the 'disappearance' of Chinese billionaire Liu Han, and the somewhat bizarre circumstances leading up to it, won't give the average western investor warm fuzzies about dealing with Chinese businesses or the Chinese government.

As a recent article (http://www.bloomberg.com/news/2013-03-28/missing-billionaire-casts-pall-on-china-s-private-business-push.html) about Lui Han in Bloomberg noted:

Liu’s rise to riches and sudden disappearance aren’t just the makings of a made-for-Hollywood potboiler. They’re a warning of the risks investors take when dealing with opaque private businesses in China, where fortunes depend on political ties and the favors of state entities, and even the wealthiest entrepreneurs can vanish if they lose the patronage of powerful government allies.

Certainly gonna be worth watching.

For these times, they are a-changin'... as the old Dylan tune goes.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on April 13, 2013, 02:16 PM
Here's another Bitcoin article, this time in USA Today:

Bitcoin virtual money draws investments, skepticism (http://www.usatoday.com/story/tech/2013/04/13/bitcoin-opencoin-winklevii-andreessen-horovitz-coinlab/2078161/)

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Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on April 15, 2013, 01:24 PM
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Mining Bitcoins takes power, but is it an “environmental disaster”  Ars Technica (http://arstechnica.com/business/2013/04/mining-bitcoins-takes-power-but-is-it-an-environmental-disaster/)

Does this mean we can blame global warming on BitCoins?
Title: Re: Does anyone here use Bitcoins?
Post by: app103 on April 15, 2013, 04:20 PM
I wouldn't say it's more of an "environmental disaster" than the combo of Flash and Facebook games.

At least the massive power consumption with Bitcoin will stop once the max number of BTC has been generated.

There doesn't seem to be an end planned or in sight, to the Flash games.  :P
Title: Re: Does anyone here use Bitcoins?
Post by: rgdot on April 15, 2013, 05:15 PM
And you need flash to mine bitcoins?  :P
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 15, 2013, 11:37 PM
It would seem that reality has finally raised her pretty but unwelcome little head in the investment world...

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Bitcoin drops below $70 on April 15th 2013. Chart here (http://www.businessinsider.com/bitcoin-falls-below-70-2013-4).

Gold is not doing much better as a "safe haven." Story here (http://www.businessinsider.com/gold-is-not-a-safe-haven-2013-4).

What a surprise! :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 16, 2013, 03:23 AM
^maybe we can actually use it as a currency now (if it's stabilises)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 16, 2013, 06:38 AM
^maybe we can actually use it as a currency now (if it's stabilises)

Some could. I wouldn't willingly. Would you?  ;)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on April 16, 2013, 07:21 AM
^maybe we can actually use it as a currency now (if it's stabilises)

Some could. I wouldn't willingly. Would you?  ;)

well, for example, if it stabilised, and I was buying from a trusted supplier, and it meant I could buy something a few percentage points cheaper - yes, I would.
I feel fairly neutral towards Bitcoin myself . . .
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 16, 2013, 08:56 AM
I wouldn't say it's more of an "environmental disaster" than the combo of Flash and Facebook games.

This.  I'd say its more of a sensationalist headline than anything else.  :-\
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 16, 2013, 09:49 AM
I wouldn't say it's more of an "environmental disaster" than the combo of Flash and Facebook games.

This.  I'd say its more of a sensationalist headline than anything else.  :-\

Agree. Looks like someone late to the party is looking to "break" a new angle on a story everybody is already getting tired of. Especially now that the recent bubble on bitcoins has burst.

Articles like the above remind me of the maliciously petty city prosecutor who couldn't but help adding a charge of 'littering' against an Occupy Wall Street protester originally only charged with "disturbing the peace."

Apparently when the police grabbed this protester from behind (without warning) he was so startled he dropped the pile of information leaflets he was carrying - and the police video footage of his arrest showed him dropping them.
 :-\
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 16, 2013, 11:03 AM
Bitcoin drops below $70 on April 15th 2013. Chart here (http://www.businessinsider.com/bitcoin-falls-below-70-2013-4?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+businessinsider+%28Business+Insider%29&utm_content=FeedBurner+user+view).

Gold is not doing much better as a "safe haven." Story here (http://www.businessinsider.com/gold-is-not-a-safe-haven-2013-4?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+businessinsider+%28Business+Insider%29).

What a surprise!

I'm pretty sure it will start trending up again... at a more reasonable pace this time.  These kind of adjustments happen... which is a big reason why investing is such a crap shoot over the short term.

(oh... and something I always forget; remove the tracking crap from the urls if you remember... :))
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 16, 2013, 11:38 AM
(oh... and something I always forget; remove the tracking crap from the urls if you remember... :))

Apologies. Those links were because I went to them through my RSS reader. :-[

Fixed now! :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 17, 2013, 07:44 AM
Investopedia (http://www.investopedia.com/) has posted a good article on currency speculation and regulation (or lack thereof) which outlines some of the unique risks this investment strategy brings to the table.

In that 'investing' in bitcoins or any other form of cryptocurrency is essentially a form of foreign exchange speculation, what's in the article is worth reading if you're either curious or tempted to put a hand in the game.

One of the points in the article is that regulation (so often denounced by bitcoin and libertarian economics diehards) actually does have a point and a benefit. And some regulation is not necessarily the automatic evil (and government/Illuminati/freemason/UFO sponsored conspiracy  ::)) that a few people will argue any and every financial regulation must be.

It's a good read. Read it here (http://www.investopedia.com/articles/forex/041613/why-its-important-regulate-foreign-exchange.asp?ModPagespeed=noscript).:Thmbsup:

Why It's Important To Regulate Foreign Exchange
April 16 2013| Filed Under » Forex Economics, Forex History, Government Regulation

The foreign exchange (forex) market is the world's biggest financial market by far. According to the Bank for International Settlements (BIS)'s triennial survey, global forex turnover in April 2010 averaged a staggering $4.0 trillion daily, an increase of 20% from $3.3 trillion three years earlier. In an increasingly globalized economy, the significance of the foreign exchange marketplace to the average consumer cannot be underestimated. The rate at which our domestic currency can be exchanged in the global forex market determines the price we pay for an increasing number of products, the price-tag for our vacations, the rate of return on our investments (ROI), and even the interest rate on our loans and deposits.

And yet, despite the importance of this market, where currency gyrations can dictate the fortunes of everyone from the largest nation to the smallest consumer, foreign exchange remains a largely unregulated business. Although foreign exchange has traditionally been regarded as the exclusive domain of the biggest banks and corporations - recent trends have dispelled this notion, making it increasingly important for foreign exchange to come under the ambit of regulation...
8)
Title: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 18, 2013, 01:10 PM
Odd bit of news this morning.  Bitfloor (http://bitfloor.com), fourth largest of public bitcoin exchanges (but which represents only 4% of all bitcoins trading) has announced an immediate cessation of operation. Bitfloor has announced it will also be returning all funds to all it's account holders, which seems to indicate this won't be a temporary state of affairs.

Details as to exactly what happened are still sketchy so far. ArsTechnica (http://arstechnica.com/business/2013/04/bitfloor-number-four-bitcoin-based-exchange-shuts-down-for-good/) covered it briefly.

Here's the announcement on Bitfloor's website:

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Be interesting to see what went down that prompted this decision.

Some may remember that Bitfloor was the exchange that got taken for 25,000 bicoins last year in a theft that would be worth approximately $2 million at today's exchange rates.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on April 18, 2013, 07:51 PM
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Bitcoins may be the libertarian tax solution- MSN Money (http://money.msn.com/now/post.aspx?post=62d34ed1-83f8-4c3d-b30e-1271c1d5cb46)
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: Tinman57 on April 18, 2013, 08:20 PM

  Well as long as they don't declare bankruptcy and screw thousands out of millions....
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 18, 2013, 08:37 PM
^Of course the US government could just outlaw bitcoins and cryptocurrencies for US citizens in much the same way it once outlawed individual possession of gold coins and bullion. That wouldn't be enough to stop some people - although it would certainly up the consequences rather drastically for those people unfortunate enough to get caught.


If things like bitcoins are going to succeed, they're going to have to make some attempt to reach an accommodation with current government backed currencies. If they're presented primarily as a way of evading regulation, or creating an underground economy, they're going to get stepped on pretty severely.

The one big problem with would-be Libertarian economic revolutionaries (from what I've seen) is their tendency to be overly romantic and somewhat naive. Direct confrontation is the one thing most global powers are well equipped to deal with. So while direct confrontation and nose thumbing may be cathartic, they don't do much to further social change - unless the target institution is already weakened and has lost the bulk of its own public's support. None of the major world governments are in that position yet - and likely won't be any time soon.

If cryptocurriencies are the wave of the future, those pushing for them are going to need to take a longer view, and play a much more mature political, economic, and social 'game' than they have so far.

I wish them well. But I don't hold out much hope because of the way so many of their advocates have been conducting themselves lately...
 :-\
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 18, 2013, 08:42 PM
I'm still wondering about that cryptic remark about how their US bank account is "scheduled to be closed."

I can't say I've ever heard of anything like that before. Closed or shutdown? Yes. That can happen for a variety of reasons. But scheduled to be closed? That's really odd. Almost sounds like they've been served with a 'cease & desist' order and have been given a short grace period to cash out their bitcoin account holders before shutting down.

Which sounds like the government has stepped in with an ultimatum to either stop or face prosecution.
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: KynloStephen66515 on April 18, 2013, 08:44 PM
Seems to me to be a case of "We can't be bothered anymore...BitCoins are fluctuating to goddamn badly to make us enough money...that...and the taxman is becoming more and more aware of huge amounts of money moving between our accounts, and is now looking for  ways to take as much of it as possible"
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 18, 2013, 08:53 PM
^Taxes are the least of your worries if there's concerns about possible money laundering or wire fraud. Which opens you up to such fun things as racketeering charges and RICO. And visits from nicely dressed (and sometimes heavily armed) postal inspectors and federal marshals.

That sort of legal heat makes an IRS tax enforcement action seem like a love tap. :tellme:
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: Edvard on April 18, 2013, 09:57 PM
Ask anybody who's tried minting their own stable-resource-backed money, like the banks used to do in the good/bad old days.  I can't remember the name of the book, but I used to have one that detailed the trials and tribulations of people with the best of intentions and great ideas on how to rebuild our economy with a monetary system that gave actual value to it's currency, but ended up eventually running afoul of their greatest competition, the Federal Reserve.  :-\

When I first heard of BitCoins, I said to myself that this was eventually going to happen.
It always does... :(
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: mouser on April 18, 2013, 11:44 PM
I can't remember the name of the book, but I used to have one that detailed the trials and tribulations of people with the best of intentions and great ideas on how to rebuild our economy with a monetary system that gave actual value to it's currency,

If you can remember the name of it, let us know, sounds like an interesting read!
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: Edvard on April 19, 2013, 12:35 AM
I seem to recall it was a chapter in one of the many books offered by Loompanics or Paladin Press, but I can't find the title I'm looking for.  It may have been touched on in "How To Start Your Own Country (http://www.amazon.com/How-Start-Your-Own-Country/dp/1581605242)" by Erwin Strauss, but I'm not quite sure.

Relevant Wikipedia pages:
http://en.wikipedia.org/wiki/Alternative_currency
http://en.wikipedia.org/wiki/Local_currency

Also read:
http://www.ratical.org/many_worlds/cc/NMfHC/chp8.html
(the rest of the work is not my cup of tea, but that chapter is informative).
Title: Re: Does anyone here use Bitcoins?
Post by: KynloStephen66515 on April 19, 2013, 06:13 AM
much the same way it once outlawed individual possession of gold coins and bullion.

wait...what?  You guys can't own gold?!  Since when? o.0
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on April 19, 2013, 07:01 AM
much the same way it once outlawed individual possession of gold coins and bullion.

wait...what?  You guys can't own gold?!  Since when? o.0
-Stephen66515 (April 19, 2013, 06:13 AM)

@Stephen - we can now. Couldn't for a good number of years starting in 1933 and ending in 1975. See here (http://en.wikipedia.org/wiki/Gold_Reserve_Act).

Remember, this is the land of the "free" and the home of the brave.

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Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 19, 2013, 07:23 AM
Ask anybody who's tried minting their own stable-resource-backed money, like the banks used to do in the good/bad old days.  

Uh-huh. Back in the late counter-culture/commune days (1969-1975) it was tried fairly often. I had...um...a friend...who was involved with some folks who made a very serious attempt at doing just that.

The only result was a rather sharp lesson in realpolitik, the mind-bogglingly awesome power of government, and what sort of response you can expect from 'authority challenged.'

That's when I lost my girlish laughter and romantic illusions about social activism. Bringing about social change is not a polite parlor game. It's a tough, often ugly, and very very real struggle at the best of times. And when it succeeds, it invariably comes with a pretty steep price tag attached.

That hasn't stopped me from still getting involved from time to time. But when I do, I no longer have any illusions about the other side playing fair or being constrained either by its own laws or constitutional limits. When sufficiently questioned and challenged, virtually every government goes into "wounded rhino" mode and viciously attacks everything in sight.

That's why I thought that the bitcoin revolutionaries and Libertarians had no idea of what they were getting themselves into if they planned on pursuing a "pirate" agenda when it came to money. Anything which might destabilize national currencies simply won't be tolerated. Period.

When I first heard of BitCoins, I said to myself that this was eventually going to happen.
It always does... :(

Yep. Always.

Something my...uh...friend learned first hand some years ago. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on April 19, 2013, 07:45 AM
And a good snippet from that article that mirrors a lot of the reasons behind BitCoins...

The Gold Reserve Act had economic ramifications far beyond national finance. At that time many contracts stipulated that their monetary terms could be demanded in gold. Such gold clauses were intended to protect against the United States devaluing the dollar.
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 19, 2013, 07:57 AM
If anybody cares to read a real Libertarian wet dream novel about an economic revolution succeeding, take a gander at Schulman's book Alongside Night (http://en.wikipedia.org/wiki/Alongside_Night).

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The story is set in United States experiencing economic collapse, with inflation increasing rapidly and the government struggling to keep its power. Trading in foreign currency has become illegal and many shops are subject to rationing. As a result there is a black market for most goods. The setting represents the world as Samuel Edward Konkin III conceived it would be just prior to a successful agorist revolution.

The story begins with Elliot Vreeland, son of Nobel Laureate economist Dr Martin Vreeland (an economist of the Austrian school) hearing of his father's apparent death and being rushed home from school. He discovers quickly that the death is fake, a plot concocted by his father (after receiving a tip-off) to escape arrest by the FBI who are collecting "radicals" accused by the government of worsening the economic crisis...

It's a fun read that fits right into the long tradition of picaresque storytelling. It's also less likely to get you put on a government 'watch list' than online purchases of old Loompanics (http://en.wikipedia.org/wiki/Loompanics) titles probably will.
 :tellme:

I understand they're also making a movie (http://www.imdb.com/title/tt1667061/) which is due out in July of this year. Be interesting to see where you'll be able to catch it. I'm guessing it will end up going straight to DVD.
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: KynloStephen66515 on April 19, 2013, 02:41 PM
This whole BitCon Bitcoin fiasco is fun to read about :P
Title: Re: Does anyone here use Bitcoins?
Post by: KynloStephen66515 on April 19, 2013, 02:41 PM
much the same way it once outlawed individual possession of gold coins and bullion.

wait...what?  You guys can't own gold?!  Since when? o.0
-Stephen66515 (April 19, 2013, 06:13 AM)

@Stephen - we can now. Couldn't for a good number of years starting in 1933 and ending in 1975. See here (http://en.wikipedia.org/wiki/Gold_Reserve_Act).

Remember, this is the land of the "free" and the home of the brave.
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg324193#msg324193))

 ;D
Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: TaoPhoenix on April 19, 2013, 03:09 PM
I wouldn't call it a Fiasco, since I bet a few smart people are making a bundle on the fluctuations.

Just overall, a "imaginary digital new form of money"?! Really?! The main thing for me is how it "survived" this long in our "OMG Terrorist" age, except if a few Powers That Be saw a few million bucks profit by playing a Long Game.

Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: 40hz on April 19, 2013, 03:15 PM
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Title: Re: Bitfloor - 4th largest bitcoin exchange shutting down indefinitely?
Post by: Edvard on April 19, 2013, 06:49 PM
@Mouser: In the dark recesses of my memory, I believe now it was an article from an issue of Paranoia Magazine (http://www.paranoiamagazine.com/) (I was quite the conspiracy buff in my youth).  Perhaps issue #7 (http://www.paranoiamagazine.com/shop/paranoia-7/) (I remember reading the Chappaquiddick article), the "Funny Money" article (maybe, can't read the rest on the cover scan).  

If anybody cares to read a real Libertarian wet dream novel about an economic revolution succeeding
...
@40Hz: I'm gonna have to look that one up!  Austrian economists FTW!!  :tellme:

Want a taste of mid-90's Paranoia?  They posted issue #1 for free as a celebration of their website relaunch:
http://www.paranoiamagazine.com/wp-content/uploads/2013/02/PARANOIA_MAGAZINE_Issue_1.pdf
Enjoy!

*edvard backs slowly out of the room with a dusty candelabra and a salacious grin*
Title: PayPal may start accepting Bitcoins
Post by: kyrathaba on May 06, 2013, 06:57 AM
http://blogs.wsj.com/digits/2013/04/30/could-paypal-be-on-horizon-for-bitcoin/?mod=e2tw (http://blogs.wsj.com/digits/2013/04/30/could-paypal-be-on-horizon-for-bitcoin/?mod=e2tw)
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on May 06, 2013, 08:51 AM
Bleh.
Bitcoins is an example of someone with IQ 150 behind the math, who will lure in the geek crowd, and someone else with IQ 180 behind the Social Construct campaign, who will fleece them to make a killing!
 ;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on May 06, 2013, 09:24 AM
^+1! Truer words were never spoken.

And all is not well in the Brave New Utopia of crypto-currencies either:

There's now a $75 million lawsuit between Coinlab and Mt. Gox (the largest Bitcoin exchange) over a contract dispute. Coinlab was supposed to manage Mt. Gox's American and Canadian accounts. Coinlab is alleging Mt. Gox is in violation of the terms of the contract by refusing to allow Coinlab to manage these accounts, as well as for Mt. Gox's refusal to grant Coinlab adequate access to it's exchange data as agreed to in the same partnership agreement. More here (http://www.forbes.com/sites/kashmirhill/2013/05/04/living-on-bitcoin-for-a-week-bitcoiners-are-the-new-vegans/?utm_source=twitterfeed&utm_medium=twitter).

As Forbes staff writer Kashmir Hill observed: "Lawyers are about to make a killing on Bitcoin, even if it’s not the currency they get paid in."

Yup! It's just like Cyndie Lauper so wisely sang: Money changes everything. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on May 06, 2013, 10:00 AM
It's fascinating to watch, because it's all taking place rather slowly. If I were more connected and smarter in the early days etc I "shoulda/woulda" gotten my early Bitcoins then sat on them to make a living!

"Limited number of bitcoins" - so did no one else remember the story of the Black Lotus in Magic the Gathering?
8)

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on May 06, 2013, 10:14 AM
It's fascinating to watch, because it's all taking place rather slowly. If I were more connected and smarter in the early days etc I "shoulda/woulda" gotten my early Bitcoins then sat on them to make a living!

"Limited number of bitcoins" - so did no one else remember the story of the Black Lotus in Magic the Gathering?
8)



You mean that same Magic the Gathering that I paid for part of college off of my collection?

Investment = $450.  Return = $6000+, plus a pretty fun game.
Title: Re: Does anyone here use Bitcoins?
Post by: kyrathaba on May 06, 2013, 11:20 AM
You mean that same Magic the Gathering that I paid for part of college off of my collection?

Investment = $450.  Return = $6000+, plus a pretty fun game.

I'm a MTG oldster as well. Still have some killer decks. But nobody around my rural community, that I know of, plays the game.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on May 06, 2013, 01:16 PM
Here you go. (http://store.steampowered.com/app/49470/?snr=1_7_15__13)

It's pretty cool, too!
Title: Re: Does anyone here use Bitcoins?
Post by: kyrathaba on May 06, 2013, 04:05 PM
Thanks for the link. Looks pretty cool.
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on May 06, 2013, 05:23 PM
It's fascinating to watch, because it's all taking place rather slowly. If I were more connected and smarter in the early days etc I "shoulda/woulda" gotten my early Bitcoins then sat on them to make a living!

"Limited number of bitcoins" - so did no one else remember the story of the Black Lotus in Magic the Gathering?
8)



You mean that same Magic the Gathering that I paid for part of college off of my collection?

Investment = $450.  Return = $6000+, plus a pretty fun game.

Sure, which means you did it right, just like any "speculation", it's always possible to do it right. But then you get late "players" (in the speculation! though I see the pun!), who having finally heard about it, then do it backwards and get hosed!

Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on May 06, 2013, 05:24 PM
You mean that same Magic the Gathering that I paid for part of college off of my collection?

Investment = $450.  Return = $6000+, plus a pretty fun game.

I'm a MTG oldster as well. Still have some killer decks. But nobody around my rural community, that I know of, plays the game.

Exactly, meaning the "value" is becoming erratic! And even in areas that do have players, a lot of the ones I used to go to began quietly "not holding" Type 1 tourneys, thus making all of those Super Cards "valueless", which was the point I was hoping to make.

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on May 06, 2013, 05:35 PM
Exactly, meaning the "value" is becoming erratic! And even in areas that do have players, a lot of the ones I used to go to began quietly "not holding" Type 1 tourneys, thus making all of those Super Cards "valueless", which was the point I was hoping to make.

The value is as erratic as the market in anything.  There is no intrinsic value in anything, other than what the market will put on it.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on May 11, 2013, 12:09 PM
An interesting read on alternative new crypto currencies:
http://arstechnica.com/business/2013/05/wary-of-bitcoin-a-guide-to-some-other-cryptocurrencies/
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on June 07, 2013, 07:32 AM
The Bitcoin cryptographic protocol is an unconventional agnostic and rational form of currency, not easily subject to the political whims of regulatory or policy bodies charged with controlling/manipulating monetary policy for economic benefit and/or Treasury benefit - e.g., bailing out failed/corrupt banking systems.
Here's an interesting set of discussion points by Detlev Schlichter, on the subject of conventional monetary policy:
(Copied below sans embedded hyperlinks/images.)
Is present monetary policy rational? (http://detlevschlichter.com/2013/05/is-present-monetary-policy-rational/)
By Detlev Schlichter On May 8, 2013

While the stance of monetary policy around the world has, on any conceivable measure, been extreme, by which I mean unprecedentedly accommodative, the question of whether such a policy is indeed sensible and rationale has not been asked much of late. By rational I simply mean the following: Is this policy likely to deliver what it is supposed to deliver? And if it does fall short of its official aim, then can we at least state with some certainty that whatever it delivers in benefits is not outweighed by its costs? I think that these are straightforward questions and that any policy that is advertised as being in ‘the interest of the general public’ should pass this test. As I will argue in the following, the present stance of monetary policy only has a negligible chance, at best, of ever fulfilling its stated aim. Furthermore, its benefits are almost certainly outweighed by its costs if we list all negative effects of this policy and do not confine ourselves, as the present mainstream does, to just one obvious cost: official consumer price inflation, which thus far remains contained. Thus, in my view, there is no escaping the fact that this policy is not rational. It should be abandoned as soon as possible.

The policy and its aims

The key planks of this policy are super low interest rates and targeted purchases (or collateralized funding) of financial assets by central banks. While various regional differences exist in respect of the extent of these programs and the assets chosen, all major central banks – the US Federal Reserve, the European Central Bank, the Bank of England and the Bank of Japan – have been engaged and continue to be committed to versions of this policy. Its purpose is to facilitate exceptionally cheap funding for banks and to affect the pricing of a wide range of financial assets, in particular and most directly government bonds but also mortgage bonds in the US and real-estate investment trusts and corporate securities in Japan. There is an ongoing debate in the UK and in the Euro Zone, too, about directly boosting prices of other, ‘private’ securities, that is, to have their prices manipulated upwards by direct purchases from the central banks.

To the wider public this policy is described as ‘stimulating’ growth, ‘unlocking’ the flow of credit and ‘jump-starting’ the economy. If that is indeed the aim, this policy has already failed.

We have now had almost five years of near-zero interest rates around the world. If such low interest rates were indeed the required kick-starter for the economy, we should have seen the results by now. ‘Stimulus’ is something that incites or arouses to action, a kind of ‘ignition’ that sets off processes, in this case, one assumes, a self-sustained economic recovery. But if the world economy was really fundamentally healthy and only in need of a dose of caffeine to stir it back into action, then dropping rates from around 4 to 5 percent to zero, as happened already 4 or 5 years ago, should have done the trick by now.

Defenders of the policy will argue that we would all be in much more of a bind without it but this is not the point here. This is something we can discuss when comparing costs and benefits. There is no escaping the conclusion that this policy has failed if its aim is to provide a required ignition – the stimulus – to ‘jump start’ the economy.

In support of my conclusion that this policy has failed as a ‘kick-starter’ of self-sustained growth I can quote as witnesses the very officials and experts who advocated this policy in the first place and who are still implementing it. Not a single one of the major central banks is even close to announcing the successful conclusion of these policies or is even beginning to contemplate an exit. 5 years into ‘quantitative easing’ and zero interest rates, the Fed last week began to openly consider increasing its monthly debt monetization program. Although the week ended on a bright note, at least for the professional optimists out there, as the unemployment rate came in a tad lower than expected, manufacturing data during the week was disappointing and the US economy is evidently entering another growth dip.

Still, many argue that the roughly 2 percent growth that the US economy may achieve this year is nothing to be sniffed at. Yet, for a $15 trillion dollar economy that is just $300 billion in new goods and services. In the first quarter of 2013, the Fed expanded the monetary base by $300 billion alone, and the central bank is on course for $1 trillion in new money by Christmas, while the federal government will run a close to $1 trillion deficit despite the ‘sequester’. That is very little growth ‘bang’ for a lot of stimulus ‘buck’. Self-sustained looks different.

Last week in the Euro-Zone, the ECB cut its repo rate to 0.5%, a record low. If suppressing interest rates from 3.75% in 2007 to 0.75% by 2012, has not lead to a meaningful, let alone self-sustaining recovery, or at a minimum the type of underachieving recovery that would at least allow the ECB to sit tight and wait a bit, what will another drop to 0.5% achieve?

Shamelessly, some economists and financial commentators cite high youth unemployment in countries such as Spain as a good reason to cut rates further. The image that is projected here is evidently one of countless Spanish entrepreneurs standing at the ready with their investment projects, willing and eager to employ numerous Spanish young people if only rates were 0.25% lower. Then all their ambitious investment plans would become potentially profitable, and the long promised recovery could finally commence.

The number of young Spanish people who will find employment thanks to the ECB cutting rates close to zero cannot be known but I suggest a number equally close to zero is a reasonably good guess.

The ‘benefits’ – or are they costs?

This is not to say that this policy has no effects. It even had benefits, for some.

By suppressing market yields and boosting the prices of financial assets this policy has delivered substantial windfall profits for owners of stocks, bonds, and real estate. Those who did, for example, speculate heavily on rising property prices in the run-up to the recent crisis, then were put through the wringer by the financial meltdown, now find themselves happily resurrected and restored to their previous wealth, if not more wealth, courtesy of central bank charity.

The 0.25% rate cut from the ECB may not lift many young Spaniards into employment but it surely makes ‘owning’ financial assets on credit cheaper. For every €1 billion of assets the rate cut means a €2.5 million saving per year in cost of carry, as duly noted by the big banks, ‘investment’ banks and hedge funds. After the ECB rate cut, German Bunds reached new all-time highs as did, a few days later, Germany’s main stock index.

That we are witnessing strange and dangerous deformations of the capitalist system, if we can still even call it capitalist, and that new bubbles are being blown everywhere, is not only evident by the increasingly grotesque dichotomy between a woefully underperforming real economy perennially teetering on the brink of renewed recession and a financial system, in which almost every sector is trading at record levels, but also by the fact that the high correlation among asset classes on the way up to new records is beginning to strain the minds of the economists to come up with at least marginally plausible fundamental justifications for such uniform asset inflation. ‘Safe haven’ government bonds that would usually prosper at times of economic pain are equally ‘bid only’ as are risky equities and the grottiest of high yield bonds. The common denominator is, of course, cheap money. And if cheap money for the foreseeable future is not enough, then how about cheaper money – forever?

A conflicted conscience or outright embarrassment are now stirring some financial economists to suggest that the joys of bubble finance should be brought straight to the economic war zones in the European periphery, and that in order to have a bigger impact on the ‘real’ economy, the ECB should buy private loans and other local assets in these regions and thus more directly interfere in their pricing. The manipulations of the monetary central planners are too blunt, they need to be more fine-tuned. These suggestions are dangerously wrongheaded. Extending the addiction to the monetary crack cocaine of cheap credit beyond the financial dealing rooms of London, New York and Frankfurt and to the economy’s productive heartland is not going to solve anything, at least not in the long run, and that is a timescale that may still matter to some people, at least outside of the financial industry. Spain needs nothing less than a new artificially propped up real estate boom. The aforementioned Spanish youth would only swap today’s dependency on state hand-outs for dependency on never-ending cheap-credit policies from the ECB and ongoing asset-boosting price manipulations. This has nothing whatsoever to do with sustainable growth, lasting and productive employment and real wealth creation.

The fact that trained economists today seriously contemplate these policies and are willing to dress them up as ‘solutions’ only goes to show how far the new ’entitlement culture’ on Wall Street and in the City of London, where everybody now feels entitled to cheap credit and ongoing asset-boosting policy programs as the universal cure-all, has affected economic thinking. The speculating classes are beginning to feel generous: “Hey, this free cash is great. Let’s extend it to everybody.”

Would a deflationary correction be better?

Back to our cost-benefit analysis. The defenders of the present policy will argue that without it GDP in the major economies would have dropped more, that asset prices and lending would be more depressed, and that we might even be in the middle of some dreadful debt deflation. Maybe so. But to the extent that the present GDP readings are the result of central bank pump priming and not the result of renewed growth momentum, they are simply artificial and thus ultimately unsustainable. In fact, the mere suspicion that this might be so must undoubtedly depress optimism and thus the willingness to engage in the economy and put capital at risk. Nobody knows any longer what the real state of the economy is.

While the unemployed Spanish youth may not benefit – or only very marginally so – from record high German stock prices and their own government’s renewed ability to borrow yet more and yet more cheaply – they may in fact ultimately benefit from a deflationary clear-out that would cause prices on many everyday items to drop. Deflation is not such a bad thing if you have to live on your savings or a modest, nominally fixed payment stream. Additionally, reshuffling the economy’s deck of cards could also offer opportunities. Tearing down the old structures and allowing the market to price things honestly again, according to real risks and truly available savings, may at first cause some shock but ultimately bring new possibilities. The present monetary policy is inherently conservative. It bails out those who got it wrong in the recent crisis at the expense of those who didn’t even participate in the last boom. Some Schumpeterian creative destruction is urgently needed.

I am not advocating deflation or economic cleansing for the sake of deflation and contraction, or out of some sense of economic sadism, or even out of moral considerations of any kind. However, it strikes me that what ails the economy is not a lack of money or lack of a powerful ‘kick-starting’ stimulant, and it may not suffer from unduly high borrowing costs either. Wherever borrowing costs are still high in this environment of ‘all-in’ central bank accommodation they may be high for a reason, maybe even a good one. What ails the economy are the structural impediments that are well established and that had been long in the making, such as inflexible labor markets with their permanently enshrined high unit labor costs and excessive regulation that have always protected current job-holders at the expense of those out of work or entering the labor market. Overbearing welfare systems, high tax rates and outsized public sectors have long held back major economies. Easy money that, for some time, enabled high public sector borrowing and spending, and facilitated local property booms, helped cover up these structural rigidities. Now these issues simply come to the fore again. New rounds of easy money will not make these problems disappear but only create a new illusion of sustainability.

I haven’t even touched upon the growing risk that never-ending monetary accommodation will end in inflation and monetary chaos but it is apparent already that this policy has no convincing claim on rationality. Nevertheless, it is almost certain that it will be continued.

This will end badly.
Title: Bitcoins Can Be Regulated
Post by: Tinman57 on August 08, 2013, 08:08 PM

Sorry, libertarians: Bitcoins are currency and can be regulated under U.S. law, says judge

08.08.2013 7:11 AM

If Bitcoins are the currency of choice for a computerized Wild West, the sheriff in town is trying to impose some order.


http://www.pcworld.com/article/2046188/sorry-libertarians-bitcoins-are-currency-and-can-be-regulated-under-u-s-law-says-judge.html
Title: Re: Bitcoins Can Be Regulated
Post by: TaoPhoenix on August 08, 2013, 08:13 PM

I wasn't surprised at that news at all. The Govt doesn't like anything to be wild-westy anymore.
Title: Re: Bitcoins Can Be Regulated
Post by: 40hz on August 08, 2013, 09:28 PM
I wasn't surprised at that news at all. The Govt doesn't like anything to be wild-westy anymore.

It's not really quite that simple. Unregulated currencies generally don't work well. There's just too much temptation to start gaming the system without regulation. And it's only a matter of time before it happens. The real problem with today's regulated currencies is deciding whom to trust to handle the regulating. Because governments have proven they can't be trusted not to game the system either.

No real easy answers except to demand honesty, even handedness, and consideration of the greater good when regulating money.

Yeah, I know. Good luck getting much of that.
Title: Re: Bitcoins Can Be Regulated
Post by: Stoic Joker on August 08, 2013, 11:24 PM
So it all comes down to the price of the suit the guy that bends you over is wearing.
Title: Re: Bitcoins Can Be Regulated
Post by: Renegade on August 08, 2013, 11:36 PM
But Bitcoin still isn't under government or central bank CONTROL. Sure they can try to regulate it... try. But where are the teeth?

Interest rates for bitcoins can't be controlled by TPTB. They are still a free market currency.

From the article:

but one thing is clear: If Bitcoins are the currency of choice for a computerized Wild West, the sheriff is pushing hard to impose some order amongst the chaosanarchy.

Needed a correction. Anarchy is not chaos.
Title: Re: Bitcoins Can Be Regulated
Post by: Vurbal on August 08, 2013, 11:53 PM
Needed a correction. Anarchy is not chaos.
Definitely not. Constructive anarchy is the natural state for human society.  Unfortunately there's always some douchenozzle waiting to take advantage of it and we haven't worked out a solution to that yet which doesn't involve a government.
Title: Re: Bitcoins Can Be Regulated
Post by: Renegade on August 09, 2013, 02:02 AM
The only truly secure way to use bitcoin, from a long time computer security expert.

http://www.reddit.com/r/Bitcoin/comments/1e4b9s/the_only_truly_secure_way_to_use_bitcoin_from_a/



I've worked in the computer security industry almost since it was created, and I've heard a lot of misconceptions on this subreddit about how to securely use bitcoin.  I thought it would be helpful to provide a few common sense steps anybody can use to safely secure their bitcoins.



So long as you follow these simple 8 steps, you'll be reasonably safe against any would be attacker, assuming of course the entire universe isn't just a simulation running on Satoshi's computer.



8)[/list]
Title: Re: Bitcoins Can Be Regulated
Post by: 40hz on August 09, 2013, 03:59 AM
Sure they can try to regulate it... try. But where are the teeth?

Ask Manning. Ask anybody who is a detainee (who doesn't exist, being held by any government in places that don't exist, having things done to them that aren't done, courtesy of laws they're not allowed to know about) where the teeth are.

People are amazingly unaware of just how mind-numbingly powerful modern governments are. There's plenty of teeth to be seen once the decision to bare them gets made.

This isn't to say it's hopeless to buck the system. But it's important to realize that if you think any government is just going to roll over - or follow its own rules should the going get tough - you are setting yourself up for very harsh lesson in realpolitik.



Title: Re: Bitcoins Can Be Regulated
Post by: Renegade on August 09, 2013, 06:20 AM
Sure they can try to regulate it... try. But where are the teeth?

Ask Manning. Ask anybody who is a detainee (who doesn't exist, being held by any government in places that don't exist, having things done to them that aren't done, courtesy of laws they're not allowed to know about) where the teeth are.

People are amazingly unaware of just how mind-numbingly powerful modern governments are. There's plenty of teeth to be seen once the decision to bare them gets made.

This isn't to say it's hopeless to buck the system. But it's important to realize that if you think any government is just going to roll over - or follow its own rules should the going get tough - you are setting yourself up for very harsh lesson in realpolitik.

Well, yes. It depends on if you can fly under the radar. Unfortunately, the radar is getting lower and lower.

For the moment, I think most of us can skate by. (crossing fingers)

Quoting one of the top advisors in the US that most people have never heard of:

http://www.scribd.com/doc/12764606/Zbigniew-Brzezinski-Chatham-House-Speech-November-2008-

Namely in earlier times it was easier to control an million people literally it was easier to control an million people than physically, to kill a million people. Today it is infinitely easier to kill a million people, than to control a million people.
-Zbigniew Brzezinski Chatham House Speech November 2008 Part 1

People are amazingly unaware of just how mind-numbingly sinister modern governments are. Absolute power & absolute corruption and all that jazz. Still, I'm hopeful. Zbigniew even gives hope:

Their capacity to oppose control over the politically awakened masses of the world is at A historical low.

There is hope. While they may regulate bitcoin, they can't police every single person for every transaction, unless they go full on Khmer Rouge psychotic democide spree or flat out Nazi concentration camp. Given that "cold eggs" (literally - not a joke) is an offense along with collecting rain water and planting tomatoes (both again quite literally), I wouldn't rule that out. Just hoping... And bitcoin can be a good tool to help undermine the power of the all-powerful state.
Title: Re: Bitcoins Can Be Regulated
Post by: 40hz on August 10, 2013, 07:22 AM
While they may regulate bitcoin, they can't police every single person for every transaction,

From recent news reports there's every good indication that they actually might be able to do just that.

That said, they don't need to come down on individuals. All they have to do is cripple the exchanges. Because there's no getting around  the need for some type of exchange mechanism to make it work.

Most people also aren't so motivated about something that they're willing to become criminals to show their support of it. True, what constitutes "criminal" is in the eye of the beholder - or drafter of the law in this particular context. But even so, most people aren't willing to go through their entire lives with a 'siege mentality.' We don't wish to engage in protracted wars - either the shooting kind, or the the moral variety. The victory conditions need to be achievable within a relatively short time frame in order to get broad public buy-in.

Easiest thing to do to torpedo Bitcoin would be to just issue a law forbidding the use or exchange (along with facilitating same) of any unregistered currency or currency equivalent.

Once that's done, lean on the ISPs and search engines (who are largely cooperative anyway) to clamp down on access to  the exchanges.

And finally, have government just go in scoop or nuke the data (funds) whenever they find any. Law enforcement has learned that two of the most effective tools in the battle with so-called wrongdoers are confiscation and forfeiture. Cash is the lifeblood of most human activities. When "crime doesn't pay" (or can be made not to) it usually stops being committed.

People who loose the wallets that way have no recourse. You're out the money - and likely ID-ed in the process. And then what are you going to do? File a complaint in court? That's the equivalent of saying: "I want to report a theft. I had $5k worth of crack hidden in my house...and I just got robbed!"


That's the problem with operating outside the law. You're completely on your own - and competing on a field where the biggest thugs will almost always win.

bitcoin can be a good tool to help undermine the power of the all-powerful state.

Yeah, it's good to have a dream... ;) :)
Title: Re: Bitcoins Can Be Regulated
Post by: Renegade on August 10, 2013, 10:42 AM
^^ [ You are not allowed to view attachments ]

For the PSA, you're probably right. But they don't have infinite power. Some countries still have the shadows of the vestiges of principles. Some just like to buck the PSA when they can.

I'm still not going to give up hope.
Title: Re: Bitcoins Can Be Regulated
Post by: 40hz on August 10, 2013, 01:18 PM
Never abandon hope. :Thmbsup:

But:

[ You are not allowed to view attachments ]

When it all goes south and you're faced with overwhelming odds against, do what the pros do: fold the 'op' and bugger out of there pronto. Next: regroup. Then sneak up and hit them from behind while they're still laughing about it.

There's plenty of things you can lose your freedom or life over. Nothing is easier than throwing yourself on the nearest sword. But the last thing the world needs right now is another dead hero. So pick your venues. Always make it worth the price that's paid.
 ;)
Title: Re: Bitcoins Can Be Regulated
Post by: Renegade on August 10, 2013, 08:40 PM
Quit? Like this?

http://www.businessweek.com/news/2013-08-09/americans-giving-up-passports-jump-sixfold-as-tougher-rules-loom
http://www.zerohedge.com/news/2013-08-08/americans-renouncing-citizenship-surge-66

???

They're even making quitting hard! :P
Title: Re: Bitcoins Can Be Regulated
Post by: Tinman57 on August 11, 2013, 04:59 PM

  It's pretty damned bad when a country tries to trap rich people into staying in the U.S.  But if your in Germany and become a German citizen, I think it would be pretty hard for the U.S. to collect a tax on you when you turn in your pass-port and expatriate yourself.  I don't think Germany or any other country would allow the U.S. to extradite one of it's own citizens over their U.S. taxes.  But of course, I could be wrong.... 
Title: Icelandic Company Selling Bitcoin ATM
Post by: Renegade on August 12, 2013, 09:15 PM
Looks like once again we have the good people of Iceland setting an example for the rest of us:

https://lamassu.is/

This is the Bitcoin Machine. Here's how it works:

  • Scan your Bitcoin QR code.
  • Insert cash.
  • You have bitcoins! Buy yourself something pretty.

[ You are not allowed to view attachments ]

But, as you would expect, problems for those in the US:

If you are located in the US, we require a signed due diligence questionnaire prior to shipping.

Still, it's encouraging to see more people innovating in the alternative crypto-currency space.
Title: Massive Subpoenas For Bitcoin People
Post by: Renegade on August 13, 2013, 12:26 PM
It mostly speaks for itself. More nonsense and silliness.

http://www.forbes.com/sites/kashmirhill/2013/08/12/every-important-person-in-bitcoin-just-got-subpoenaed-by-new-yorks-financial-regulator/

Every Important Person In Bitcoin Just Got Subpoenaed By New York's Financial Regulator

Things are getting serious for Bitcoin this month: a federal judge declared it real money, Bloomberg gave it an experimental ticker (XBT), and New York’s financial regulator announced an interest in regulating it. Declaring Bitcoin “a virtual Wild West for narcotraffickers and other criminals,” the New York State Department of Financial Services is stepping into the sheriff’s boots.

“We believe that – for a number of reasons – putting in place appropriate regulatory safeguards for virtual currencies will be beneficial to the long-term strength of the virtual currency industry,” said NYSDFS superintendent Benjamin Lawsky in a statement.

...

List of companies subpoenaed by the New York State Department of Financial Services

  • BitInstant
  • BitPay
  • Coinabul
  • Coinbase Inc.
  • CoinLab
  • Coinsetter
  • Dwolla
  • eCoin Cashier
  • Payward, Inc.
  • TrustCash Holdings Inc.
  • ZipZap
  • Butterfly Labs
  • Andreesen Horowitz
  • Bitcoin Opportunity Fund
  • Boost VC Bitcoin Fund
  • Founders Fund
  • Google Ventures
  • Lightspeed Venture Partners
  • Tribeca Venture Partners
  • Tropos Funds
  • Union Square Ventures
  • Winklevoss Capital Management


"Bloomberg gave it an experimental ticker (XBT)" - Huh? Does anyone happen to know what "X" means there? They're full of it. It's a mockery.

"We believe that..." blah blah blah. It would have been more intelligent to start vomiting half-digested horse manure after that point.
Title: Re: Massive Subpoenas For Bitcoin People
Post by: TaoPhoenix on August 13, 2013, 01:43 PM
Hmm. This feels different.

So it really kicked off about 2010 after a couple of years of concept demos etc.

Three years is a long time. "Suboenas are "instant" - random bits of paper. Last I knew there isn't exactly a super-event in Bitcoin that signaled Things Must Change.

So after random round-tables, *now* they decide to basically do a tombstone piledriver on the entire industry?!

This really is the fight-back of the Jocks vs the Nerds again. Even with flaws, the concept of Bitcoin is brilliant. Subpoenas are Muscle.

Title: Re: Massive Subpoenas For Bitcoin People
Post by: 40hz on August 13, 2013, 03:20 PM
This really is the fight-back of the Jocks vs the Nerds again. Even with flaws, the concept of Bitcoin is brilliant. Subpoenas are Muscle.

Pretty much...

Thou shalt not create your own currency.

For whatever reasons (some bad and a few good) that's simply not the way it's done. Period.
It has been tried previously. And the official reaction was much the same.

This is just like watching any other summer rerun...

Title: Re: Icelandic Company Selling Bitcoin ATM
Post by: wraith808 on August 13, 2013, 04:29 PM
The questionnaire doesn't seem to over the top... except one question about consenting to a background check. 

But I get it after doing a bit of research:
An ATM regulation from 2006 stems from the Patriot Act concerning background checks and money wire transfers. If someone has a felony on their record, they cannot operate an ATM in the USA because an ATM conducts wire transfers from a bank account. People with a felony record cannot legally operate or even legally fill an ATM with money.

A background check must now be run by the processing networks before an ATM is allowed on the network to make sure the law is followed. If someone thinks they may not pass a background check because of a felony record, maybe a spouse or business partner can. As stated above, anyone with a felony cannot own a machine or load money into the machine, this includes an individual performing administrative duties inside the machine. An ATM falls under the wire transfer regulations for banking which are part of the Patriot Act.

So I guess this would be considered an ATM machine, and we fall under the glorious Patriot Act.
Title: Re: Icelandic Company Selling Bitcoin ATM
Post by: 40hz on August 13, 2013, 05:01 PM
There were regulations in place for US ATMs long before the Patriot Act.

The Patriot Act just added additional rules to the mix.  

And the restriction against ownership and operation by someone with a prior felony conviction also isn't too unusual. There's lots of things (some quite arbitrary IMO) that people with 'priors' aren't allowed to be involved with. Lottery ticket sales or being issued a liquor permit in my state for example.

So it's not all the Patriot Act. This has been going on for years.
Title: Re: Massive Subpoenas For Bitcoin People
Post by: app103 on August 13, 2013, 07:08 PM
"Bloomberg gave it an experimental ticker (XBT)" - Huh? Does anyone happen to know what "X" means there?

The X probably stands for eXperimental.

Title: Re: Massive Subpoenas For Bitcoin People
Post by: Tinman57 on August 13, 2013, 07:12 PM
  He who controls the money controls the world, it's all about the bucks.  The U.S. wants to regulate it so they can open the door to taxation and manipulation of the market.....
Title: Re: Massive Subpoenas For Bitcoin People
Post by: Renegade on August 13, 2013, 07:14 PM
"Bloomberg gave it an experimental ticker (XBT)" - Huh? Does anyone happen to know what "X" means there?

The X probably stands for eXperimental.

It's a not-so-subtle "f*(& you, poser" to bitcoin.

https://en.wikipedia.org/wiki/ISO_4217

ISO 4217 includes codes not only for currencies, but also for precious metals (gold, silver, palladium and platinum; by definition expressed per one troy ounce, as compared to "1 USD") and certain other entities used in international finance, e.g. special drawing rights. There are also special codes allocated for testing purposes (XTS), and to indicate no currency transactions (XXX). These codes all begin with the letter "X". The precious metals use "X" plus the metal's chemical symbol; silver, for example, is XAG. ISO 3166 never assigns country codes beginning with "X", these codes being assigned for privately customized use only (reserved, never for official codes)—for instance, the ISO 3166-based NATO country codes (STANAG 1059, 9th edition) use "X" codes for imaginary exercise countries ranging from XXB for "Brownland" to XXR for "Redland", as well as for major commands such as XXE for SHAPE or XXS for SACLANT. Consequently, ISO 4217 can use "X" codes for non-country-specific currencies without risk of clashing with future country codes.

Supranational currencies, such as the East Caribbean dollar, the CFP franc, the CFA franc BEAC and the CFA franc BCEAO are normally also represented by codes beginning with an "X". The euro is represented by the code EUR (EU is included in the ISO 3166-1 reserved codes list to represent the European Union). The predecessor to the euro, the European Currency Unit (ECU), had the code XEU.

Now, you *could* pull something else out from there, but when the generally accepted code is BTC, nah... it's a slight.
Title: Re: Icelandic Company Selling Bitcoin ATM
Post by: Tinman57 on August 13, 2013, 07:20 PM

  Yep, once you get that big red x on your back, they want to make sure that you continue to fail until an act of self preservation puts you back in prison.  Then everyone wonders why so many cons wind up going back to prison.  But that is a debate for another thread.....
Title: Re: Massive Subpoenas For Bitcoin People
Post by: 40hz on August 13, 2013, 08:32 PM
Now, you *could* pull something else out from there, but when the generally accepted code is BTC, nah... it's a slight.

@Ren - I think you're reading way too much into it. ;)

XE.com has been using XBT for Bitcoin for some time now:

In case anybody doesn't know who XE is:
XE was founded in Canada in 1993, providing computer consulting and Internet services for corporate clients. Through our consulting services we quickly identified the need for interactive financial services on the web, so we set out to demonstrate how interactive financial services could be. As a result, in 1995, on our XE.COM™ website, we launched a service called the XE Currency Converter ® - creating one of the web's very first dynamic sites.

XE became increasingly popular, and by 1997, it was clear that we were running the Internet's dominant currency tool. We switched our business focus to currency services and began enhancing our proprietary rate system and website. We further developed our advanced rate infrastructure to factor in multiple sources and automatically detect errors. This lets us generate a highly reliable data feed that is much more accurate than any individual feed. By the new millennium we had become a bona fide currency portal. Today, more than one thousand clients, many of them major corporations, license our Data Feed Service currency rates for commercial purposes.


Bitcoin Currency Code
Bitcoin is not recognized by the ISO and therefore does not have an official ISO 4217 code. A currency code is generally built from the two-digit ISO 3316 country code and a third letter for the currency. Although "BTC" is often used in the Bitcoin community, BT is the country code of Bhutan. An X-code reflects currencies that are used internationally and so, XE has chosen to use XBT to represent Bitcoin.

Bloomberg just used what XE has been using. Wise move since XE is where many corporate currency rate watchers go for info.

Title: Re: Icelandic Company Selling Bitcoin ATM
Post by: 40hz on August 13, 2013, 08:37 PM
Yep, once you get that big red x on your back, they want to make sure that you continue to fail until an act of self preservation puts you back in prison.

Bingo! This. :Thmbsup:
Title: Re: Bitcoins Can Be Regulated
Post by: mouser on August 13, 2013, 08:41 PM
i've merged several recent bitcoin threads as i think they were starting to clutter up the living room.
i think we would be better off keeping all bitcoin discussion on one or two threads.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 13, 2013, 08:54 PM
@Ren - I think you're reading way too much into it. ;)

Sure, that's very possible. I'm overly cynical sometimes.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on August 13, 2013, 09:04 PM
@Ren - I think you're reading way too much into it. ;)

Sure, that's very possible. I'm overly cynical sometimes.

Yeah, but you wouldn't be Renegade if you weren't!  ;D

Don't change. :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on August 14, 2013, 08:14 AM
i've merged several recent bitcoin threads as i think they were starting to clutter up the living room.
i think we would be better off keeping all bitcoin discussion on one or two threads.

+1. One thread. :)

It will be a non-issue in about a year anyway. Either it will become another regulated financial instrument - or it will be out of business.

Cyber-anarcho rhetoric aside, most of the people behind Bitcoin have already conceded it's now time they started working out an accommodation with the financial mainstream instead of holding out as some sort of rebellion against it.

So are they "selling out" or merely "buying in" in order to render unto Ceasar?

I guess that all depends on what your original expectations for Bitcoin were. ;)

Title: Re: Does anyone here use Bitcoins?
Post by: mahesh2k on August 14, 2013, 08:43 AM
I have started using the bitcoin for domain registration. Namecheap accepts domain registration fee in the form of bitcoins. I earn bitcoins from coinchat.org and from another mining pool client (using it on office machine). Not a bad way to earn If you ask me. I would double my efforts if i get any local exchanger for bitcoins.
Title: Re: Does anyone here use Bitcoins?
Post by: Tinman57 on August 14, 2013, 07:40 PM

  The only reason I started another Bitcoin thread was because the original one was old and the forum software said to start a new one.....

  And just as I said yesterday, they're after the taxes....

US Senate committee takes a hard look at virtual currencies like Bitcoin

08.13.2013 2:50 PM

A prominent U.S. Senate committee has launched a formal inquiry to investigate criminal activity and other risks tied to the use of virtual currencies such as Bitcoins. It's the first congressional inquiry into virtual currencies at a broad scale.

http://www.pcworld.com/article/2046586/us-senate-committee-takes-a-hard-look-at-virtual-currencies-like-bitcoin.html
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 20, 2013, 06:08 AM
Go on... gloat. Haterz gonna hate.  :mad:

http://www.telegraph.co.uk/finance/currency/10210022/Bitcoins-banned-in-Thailand.html
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on August 20, 2013, 09:25 AM
Go on... gloat. Haterz gonna hate.  :mad:

http://www.telegraph.co.uk/finance/currency/10210022/Bitcoins-banned-in-Thailand.html

No need to hate. I'm sure our governments already LOVE the possibilities presented by Bitcoin. And they'll be behind it 100% once they take over the idea and run with it themselves... :(

The really sad part is that, although Bitcoin will either submit to regulation or be hounded out of existence, the concept behind it (at least the protocol/security and 'wallet' part) will probably be incorporated into official government e-currencies sooner or later. I'm guessing sooner. Figure 5 years max. The public - thanks to Bitcoin's advocates - has already shown they're open to this type of currency. And businesses and securities exchanges are already champing at the bit (no pun intended) to get a crack at it.

Right now it looks very much like this experiment in anarcho-economics will be co-opted. And in Bitcoin's case, it will provide (as a side benefit) even greater levels of monetary surveillance than are possible with our current e-currency systems.

Be careful what you wish for. :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 31, 2013, 05:36 AM
Be careful what you wish for. :huh:

Still wishing for it to go higher and higher! :P (That ain't gonna change!) ;D ($138 or so at the moment.)


1) SQ1.TV

But, there's a new Kickstarter thingamajig for a Bitcoin TV show or somethingishily like that.

http://www.kickstarter.com/projects/sq1/the-bitcoin-phenomenon-on-sq1tv

https://www.sq1.tv/

Will be interesting to see how that turns out.


2) Havelock Investments

Just for anyone that does use bitcoin, Havelock Investments has a range of stocks you can buy & sell, but ONLY in BTC.

http://havelockinvestments.com/

Here's an example of one of their stocks:

http://havelockinvestments.com/fund.php?symbol=VTX

It's kind of fun(d) to play around with it. :P I've played around with some, and it is kind of funky fun buying & selling in BTC and weighing that against BTC/fiat. Just some fun mental math. I'll skip any commentary on any of the funds or that though. Just mentioning it in case anyone else is using bitcoins and interested in a bit of fun there.
Title: Re: Does anyone here use Bitcoins?
Post by: Edvard on August 31, 2013, 11:02 AM
Relevant: http://freecoin.ch/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 04, 2013, 01:51 AM
There's a new bitcoin-qt client available that fixes a bug:

https://bitcointalk.org/index.php?topic=287351.0;topicseen

Bitcoin-Qt version 0.8.4 is now available from:
  http://sourceforge.net/projects/bitcoin/files/Bitcoin/bitcoin-0.8.4/

This is a maintenance release to fix a critical bug and three
security issues; we urge all users to upgrade.

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: mahesh2k on September 04, 2013, 08:10 AM
If anyone wants to make bitcoins by chatting with others, then they should checkout coinchat.org

It is IRC chat channel that pays for the chatting (payout in bitcoins via inputs.io system).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 04, 2013, 10:23 AM
If anyone wants to make bitcoins by chatting with others, then they should checkout coinchat.org

It is IRC chat channel that pays for the chatting (payout in bitcoins via inputs.io system).

Kinda sounds like "paid to surf".

For the link I had above for Havelock, you can pretty much guarantee yourself a decent return if you buy on an IPO and sell IMMEDIATELY afterwards. Buy. Let it spike a bit. Sell. I just screwed up as I missed an email on another IPO. Meh... Oh well.

The nice thing is that anyone can participate as it's all in BTC, so there are no restrictions for anyone, unlike in other markets. (Further commentary forgone to keep this relatively clean here.)

For anyone wanting to do some design work/contest, you could win 2 BTC here:

http://www.dealco.in/havelock

Win 2 Bitcoins!

Design the new look of our website and you could win 2 BTC. For more info, email us contest[at]dealco.in

Could be fun for someone with decent design skills.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 07, 2013, 11:20 PM
[ You are not allowed to view attachments ]

Tracing Bitcoins May be Easier Than Criminals Think  MIT Technology Review (http://www.technologyreview.com/news/518816/mapping-the-bitcoin-economy-could-reveal-users-identities/)

Takes some of the shine off bitcoins doesn't it?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 08, 2013, 01:38 AM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg337131#msg337131))
Tracing Bitcoins May be Easier Than Criminals Think  MIT Technology Review (http://www.technologyreview.com/news/518816/mapping-the-bitcoin-economy-could-reveal-users-identities/)

Takes some of the shine off bitcoins doesn't it?

Hit piece drivel title designed to scare people. Pfft. Big surprise.

“The Bitcoin protocol still has huge potential for anonymity,” says Sarah Meiklejohn, who led the research project, “but the way that people are using it is not achieving anonymity at all.”

People who need anonymity can do their own homework to figure it out. Bitcoin is pseudononymous. It is not designed for strong anonymity. Creating confusion like this is disingenuous. But, big surprise seeing more of it.

Here's a similar complaint...

My car does really well at driving through puddles, but dammit... it just isn't a submarine. Be careful people! Your car may not be a submarine!  :-\
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 10, 2013, 03:39 PM
Another article for the bitcoin fans.

[ You are not allowed to view attachments ]

Let's Cut Through the Bitcoin Hype A Hacker-Entrepreneur's Take (http://www.wired.com/opinion/2013/05/lets-cut-through-the-bitcoin-hype/)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 11, 2013, 08:05 AM
Another article for the bitcoin fans.
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg337439#msg337439))
Let's Cut Through the Bitcoin Hype A Hacker-Entrepreneur's Take (http://www.wired.com/opinion/2013/05/lets-cut-through-the-bitcoin-hype/)

That was SPECTACULARLY middle of the road! A very nice read!

I did like this little bit:

Nothing made by humans is ever free of politics or even error.

Not even math...

And this:

Fighting over what’s “fiat” and what’s “real” is silly. It’s all fiat. Gold isn’t conscious; all value is belief. What’s fiat is who can change the supply and how. Nobody can just declare the existence of one million new bitcoin and start trading on it. It doesn’t matter how much we do or don’t trust the U.S. Federal Reserve, the system knows how many bitcoin exist at what time, and knows where they all are, globally.


Different currencies have different strengths and weaknesses. e.g. Bitcoin can NEVER replace a roll of quarters. :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on September 11, 2013, 08:54 AM
^Correct! They can't replace a roll of quarters. Their bid price is far too high to be useful for making small purchases. And you can't break somebody's jaw with a Bitcoin, whereas a good solid punch delivered while holding a roll of quarters certainly can.  :P

More seriously, the really curious thing (to me) about Bitcoin is that it keeps being put forward as a currency while most Bitcoin owners I speak to seem to be primarily interested in hoarding them as an investment.

Currency as currency is useless unless it circulates freely. Bitcoins seem more like Kuggerrands or Canadian Maple Leaf gold coins or those triple-struck mint coins various governments sell to collectors.  You could spend them. But hardly anybody ever does.
 :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 11, 2013, 08:57 AM
^ I actually do spend and use BTC. But I make sure to keep the vast majority of it.

Havelock is fun. Check one of my posts above.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on September 11, 2013, 08:59 AM
@Ren- I check all your posts I'll have you know.   8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 21, 2013, 11:24 AM
Here's an interesting article on Bitcoin:

http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2294124

Abstract:

This paper will discuss and evaluation the design features of Bitcoin in relation to the libertarian and metallist philosophies that have shaped the cryptocurrency. Bitcoin has failed to be perfectly decentralized or particularly anonymous. Furthermore, its hyperdeflationary design features have made Bitcoin a currency dependent on outside, more stable currencies (e.g., the U.S. dollar), which serve as units of account. Finally, despite the view of money taken by its creators, this supposedly stateless currency is far from apolitical in nature. Although its creators tend to espouse apolitical accounts of money, Bitcoin has been from the beginning a political project -- an evolving, distributed constitutional project, with many goals, visions, and factions. Furthermore, depending on the shape of these political goals, Bitcoin advocates may or may not have a vested interest in creating mechanisms to stabilize the currency and make it a viable unit of account.

You may need to click the download button 2x.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 21, 2013, 11:26 AM
And an interesting Forbes article on buying marijuana:

http://www.forbes.com/sites/andygreenberg/2013/08/14/heres-what-its-like-to-buy-drugs-on-three-anonymous-online-black-markets/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 30, 2013, 11:52 AM
http://www.everydaymoney.ca/2013/09/homeless-survive-using-bitcoins.html

Just  :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash:

But not the first part. The first part is all :beerchug:

The RCM part is just :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash:

What has been dubbed as "mint chip" is exciting since it's being undertaken by the government

Exciting?  :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash: :wallbash:
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 04, 2013, 03:05 PM
[ You are not allowed to view attachments ]

Drugs, Bitcoins and a Canadian blackmailer How the FBI tracked down the Silk Road suspect  (http://www.theglobeandmail.com/news/world/drugs-bitcoins-and-murder-how-a-canadian-blackmailer-led-the-fbi-to-silk-road-suspect-ross-ulbricht/article14678067/)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 04, 2013, 03:27 PM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg339371#msg339371))
Drugs, Bitcoins and a Canadian blackmailer How the FBI tracked down the Silk Road suspect  (http://www.theglobeandmail.com/news/world/drugs-bitcoins-and-murder-how-a-canadian-blackmailer-led-the-fbi-to-silk-road-suspect-ross-ulbricht/article14678067/)

cross-reference for discussion:
Silk Road Seized - Dread Pirate Roberts Arrested (https://www.donationcoder.com/forum/index.php?topic=36259.0)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 08, 2013, 05:02 PM
Looks like more people believe in bitcoins than don't:

http://www.zdnet.com/debate/bitcoins-the-future-of-money/10128933/

75% from what I see there.

Bitcoins: The future of money?
Moderated by Andrew Nusca | October 7, 2013 -- 07:00 GMT (18:00 AEST)

Summary: The FBI's shutdown of Silk Road rekindles discussion about the prospects for that site's preferred currency.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 09, 2013, 12:40 PM
Want to see a credit card company soil itself?

https://insights.mastercard.com/2013/10/07/why-would-you-want-to-be-anonymous-or-bitcoin-and-the-great-silk-road-bust/

Why Would You Want to Be Anonymous? Or, Bitcoin and the Great Silk Road Bust
Theodore Iacobuzio | October 7, 2013

It’s a fair question. Now that Silk Road has been busted (the details are ultra gamey) is there any reason for Bitcoin, the anonymous online currency backed by nothing but its users (i.e., not by any state), to continue in existence? After all, the only other reason to hold it is for fun, speculation, and… anonymity. The first two do not promise great volume. Is the last always sinister?

That depends, it seems to Global Insights, on how important your personal information is to you. Just this week we went public with our own look at these issues in The Digital Sharing and Trust Project. One important segment, Proactive Protectors, is very concerned with actively guarding their online identity. And while they are by our estimate 17 percent of the global market, 17 percent of the global market is a lot. Seventeen percent of anything is a lot. Enough to keep Bitcoin going, one would think.

As I say, we’re about to find out.

They're scared. Very scared.

A payment system that lets you pay anyone, anywhere, near instantly, and basically for free.

Mastercard, Visa, etc. - their days are numbered as their business model is a thing of the past.

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on October 09, 2013, 02:23 PM
This seems to ignore the primary function of MC and Visa... to bankroll those people who like to live outside of their means.   Bitcoins does nothing for that use.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 10, 2013, 11:56 AM
And from the pure malice department:

http://www.coindesk.com/capital-one-closes-bank-account-bitcoin/

Capital One has closed a bank account belonging to a company that produces metal medallions after it started selling commemorative silver and copper bitcoin coins.

Rob Gray, CEO of Mulligan Mint, Inc said Capital One gave him no warning before it closed his company’s bank account. He has since contacted the bank, but isn’t satisfied with its response.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 10, 2013, 01:08 PM
from the pure malice department:


Like sharing sites, Bitcoin is something some very powerful interests want to see go away.

So no surprise the banking and credit card systems (handmaidens to the Powers that Be) are doing their part to help out.

I'm waiting for Google to be ordered to stop indexing and providing search results for the terms 'Bitcoin' and 'crypto-currency.' They're already trying to have Google do that with VPN and share sites in some countries.

Only a matter of time...
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 11, 2013, 01:25 AM
I'm waiting for Google to be ordered to stop indexing and providing search results for the terms 'Bitcoin' and 'crypto-currency.' They're already trying to have Google do that with VPN and share sites in some countries.

That's a different topic, but Google *IS* already and has been for some time censoring and politically skewing search results. Their search results are NOT as relevant as they'd like to say they are. They are purposefully and maliciously skewing search results. I'm not the only one to have noticed this. Google is playing the part of a political activist for the establishment. They are shills. No further comment on it as there is no point in trying to convince people - they can only go out and look for themselves.

That aside...



Want to see some regulators and the like get their asses handed to them? Crappy audio quality, and fairly long, but man... Worth it.



Check at about 37:00 for a question that gets nothing but silence because they can't answer. The looks on their faces says it all. (It's about 1 minute.)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 11, 2013, 06:27 AM
^video visuals reminds me of the last supper...

[ You are not allowed to view attachments ]

(will probably take some time to see who that's ironic for)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 11, 2013, 08:33 AM
^video visuals reminds me of the last supper...
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg339823#msg339823))
(will probably take some time to see who that's ironic for)

Well, in this case they all got crucified, and they all deserved it. :P
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 15, 2013, 08:22 AM
Semi-quasi-cross post:

https://www.donationcoder.com/forum/index.php?topic=36343.msg340024#msg340024

If you're a gamer, you're going to crap yourself. LeetCoin is for you.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 16, 2013, 02:29 AM
This is hilarious!  :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup:



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 19, 2013, 09:47 AM
Here's a bitcointalk forum thread with bitcoin documentaries & short films:

https://bitcointalk.org/index.php?topic=268955.0

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 06:21 AM
Get ready for Bitcoin in the news.

It broke $200 USD and passed CNY 1337 (just how cool is that?), and still has strong upwards pressure. Though there is a wall currently at $206 USD, it seems the psychological pressure is pushing up from $200. The days of $100 BTC are gone.

Both BitStamp and BTCChina have overtaken Mt.Gox in BTC volume.

http://bitcoincharts.com/markets/

[ You are not allowed to view attachments ]

(You can see the red dot in that screenshot under "30 days" - that's the Silk Road theft/destruction and kidnapping of the Dread Pirate Roberts, Ross Ulbricht.)

We'll see another flurry of activity in about 1.5 to 2 hours when the east coast of North America wakes up.

In this clip, an analyst talks about how the Chinese government is bitcoin-friendly:

http://youtu.be/BXDSmPk1lQg?t=11m10s

It's cued up to that part.

So far, it seems like nothing is remotely close to hindering Bitcoin. The Silk Road incident only led to a much stronger bitcoin. The strong demand for BTC in China has driven up bitcoin prices, and that's likely to continue with the kinds of volumes that we've been seeing.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 07:12 AM
And here come the media reports:

http://techcrunch.com/2013/10/22/bitcoin-breaks-200-again/

After Silk Road Closure, And With Baidu’s Blessing, Bitcoin Breaks $200 Again

The value of a single Bitcoin has broken the $200 mark for only the second time. The cost of a single Bitcoin hit a high of more than $205 earlier today on the biggest Bitcoin exchange, Mt. Gox, although it’s since dipped slightly. At the time of writing it’s still trading at above $200.

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 22, 2013, 10:24 AM
^Again, if Bitcoin is officially supposed to be a currency alternative and not an investment, why does it's constantly spiraling value keep being touted as a proof of concept?

Currency needs to maintain a fairly stable and predictable value in order to be a usable medium of exchange. Otherwise it gets dumped whenever it drops and hoarded when it's rising. Neither case is good for a given currency, or the the economy which said currency gets used in.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on October 22, 2013, 10:53 AM
It's very much like gold, IMO, and the reason that we moved away from the gold standard (and the reason that I think it was a good thing to move away from it).  It's a commodity, which means that it *is* an investment.  Just one that is used as currency also.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 11:46 AM
^Again, if Bitcoin is officially supposed to be a currency alternative and not an investment, why does it's constantly spiraling value keep being touted as a proof of concept?

Its increasing value is an illustration of confidence in it.

Please name another currency that has confidence within an order of magnitude like bitcoin. ;)

Currency needs to maintain a fairly stable and predictable value in order to be a usable medium of exchange.

That doesn't follow.

If by "fairly stable" you mean its purchasing power doesn't change, then no currency is "fairly stable". If you mean that the rate of change is slow, then no - bitcoin is not stable compared to other currencies.

Perhaps that would be better phrased as "volatility".

However, it predictably goes up.

The USD predictably goes down. As does the CAD, AUD, GBP, EUR, CNY, JPY, KRW, etc. etc. etc.

This is relevant:

https://en.wikipedia.org/wiki/Gresham%27s_law


But none of that matters in the least. You're wrong about "in order to be a usable medium of exchange". The problem has been solved by BitPay. (** This is about frames of reference, but that gets icky.)

https://bitpay.com/

So you can accept bitcoins, and have them instantly turned into fiat.

Here's a fun example with you and me as the main characters! :D

Say you are selling nice, super-sexy CentOS servers that you've tweaked out yourself for the paultry price of only USD $2,000.

Now, I on the other hand am but a mere customer. I drool over those wonderful machines you've built, and start saving up.

However, being a smart saver, and knowing that it will take me some time (say 4 months), I buy bitcoins.

Let's also assume that by the time I have the $2,000, your prices will likely go up about 5% or so ($2,100).

However, being somewhat forgetful and not very good with numbers, I spend $2,000 worth of fiat on bitcoins over that 4 months, and when I check the current value, my bitcoins are worth $3,200.

Now, I can either cash them out and purchase your server, or if you accept Bitpay, I can pay you the $2,100 for the server in bitcoins.

Bitpay processes the transaction and delivers either BTC or USD to you, the merchant. You choose what you want to "get out" of the transaction.

I then take the other $1,100 in bitcoins and throw a sexy-server party. (That means at a joint with topless waitresses!) :D


Otherwise it gets dumped whenever it drops and hoarded when it's rising.

That doesn't follow. Bitpay has solved that problem.

Here's the quick summary of the above:

1) I take my fiat and dump it into BTC.
2) When I need to buy something, I use a merchant that uses Bitpay.

I end up ahead because by doing that (1) I have increased my purchasing power in the future.

It is then ALWAYS in my best interest to dump fiat into bitcoins in so far as I have access to merchants that use Bitpay (or a similar solution) and sell the products/services that I will need.

When the products/services I need/want aren't offered by a merchant that accepts bitcoins, then I need to balance the liquidity of immediate fiat cash on hand vs. the inconvenience of exchanging BTC for fiat.

There's also balancing for volatility, but it's not that hard.

e.g. If you put in $10 today, and next week it's worth $12, but when you get to the store to pay, it's only worth $11, what do you really have to complain about? You had X amount of purchasing power last week, and when you bought some product, you had 10% more purchasing power.


Think of it as putting food in the freezer. The food is preserved there for when you need it. Leave it out on the counter, and it will rot. Inflation is destructive like rot. It destroys your ability to save wealth for the future. I've just outlined how to preserve purchasing power similar to how you'd freeze food.

So, have I convinced you any yet? ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 11:50 AM
It's very much like gold, IMO, and the reason that we moved away from the gold standard (and the reason that I think it was a good thing to move away from it).

Errr... uh, I'm not so sure about that being a good thing. Look at people's purchasing power over the last 200 or 300 years or so. The last 100 years have been a train wreck.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 22, 2013, 12:07 PM
It's very much like gold, IMO, and the reason that we moved away from the gold standard (and the reason that I think it was a good thing to move away from it).

Errr... uh, I'm not so sure about that being a good thing. Look at people's purchasing power over the last 200 or 300 years or so. The last 100 years have been a train wreck.


I'm not so sure about that.

If anybody today thinks the economy and standard of living in the western world during the 1800s was preferable to that of the 1900s, you'd have to turn a blind eye to most of the history of the 20th century.

The increase of total money in the system is what led to much of the economic advances the western world experienced. Even the depression in the 20s wasn't enough to tank the economy permanently - or seriously slow it down.

Just sayin' :)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 22, 2013, 01:35 PM
It's very much like gold, IMO, and the reason that we moved away from the gold standard (and the reason that I think it was a good thing to move away from it).

Errr... uh, I'm not so sure about that being a good thing. Look at people's purchasing power over the last 200 or 300 years or so. The last 100 years have been a train wreck.

I'm never convinced by that argument - can you seperate the "value" of e.g. the dollar from the standard of living? I know they're two different things but they are dependent on each other to a certain (probably debatable) extent. You can e.g. buy a lot more labour when the labour gets paid a pittance.
Now, look at the average standard of living in 1800 and compare with today. (Of course I'm being narrow-minded and just thinking about the 'western' world there :-[ )
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 08:20 PM
I'm not so sure about that.

Hehe! Here we go...~!

If anybody today thinks the economy and standard of living in the western world during the 1800s was preferable to that of the 1900s, you'd have to turn a blind eye to most of the history of the 20th century.

That conflates far too many different issues together.

It's like saying it was impossible for people to enjoy cake in the past because they didn't have gas ovens to bake in.

The point I made above was about the stability of market prices.

Standards of living, the industrial revolution, modern science, etc., were all well on their way up prior to the current incarnation of how our money is being debased.

I think you're giving far too much credit ( :P ) to the banking & finance industry.

If anything, we are doing as well as we are in spite of them, and certainly not because of them.

The increase of total money in the system is what led to much of the economic advances the western world experienced.

So, then you're on board with Ben Bernanke firing up the printing presses for QEternity?

1 word:

Zimbabwe.

Or 3 words:

Weimar Republic hyperinflation.

Take your pick. :)

Currency is a measure of wealth. Wealth is a product of time and effort expended in the past and stored in some form or other. e.g. Cleared land for farming, precious metals, works of art, whatever.

You can't "print" time and effort. You can't print prosperity. If you could, Zimbabwe would be the wealtiest country in the world with everyone there being multi-trillionaires.

Even the depression in the 20s wasn't enough to tank the economy permanently - or seriously slow it down.

You mean the depression in the 30s, right? (Roaring 20s - dirty 30s)

I somehow doubt that. But I think we've been reading different history books when it comes to the origins of the stock market crash of '29 and the subsequent depression. I'll see if I can dig up some references for you later and then I'll post back.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 08:44 PM
I'm never convinced by that argument - can you seperate the "value" of e.g. the dollar from the standard of living?

So, if it cost $0.05 to buy a loaf of bread 100 years ago (when the standard of living was lower), and today it costs $5.00 (with a higher standard of living), then, when a loaf of bread costs $500.00 then what?

Inflation is theft. It robs you of purchasing power. Allowing governments and central banks to inflate currencies is simply criminal negligence.

Today I save enough to buy a loaf of bread. Tomorrow I can't buy that same loaf of bread because of inflation. That's an insidious form of theft.

But confusing the purchasing power of the dollar with standard of living just doesn't follow.

Here are the basic characteristics of money/currency:

http://www.amosweb.com/cgi-bin/awb_nav.pl?s=wpd&c=dsp&k=money+characteristics

(1) durability,
(2) divisibility,
(3) transportability, and
(4) noncounterfeitability.

The USD doesn't fit that definition, and that's a loose definition. It fails #4. Similarly, other fiat currencies do not fit that definition. Japan, Canada, the EU, Australia, etc. etc., are all engaging in quantitative easing, which is nothing more than a fancy word for "counterfeiting".

Note that the source is incredibly deluded:

An economy needs government, ABSOLUTELY NEEDS government, to regulate the total quantity of money in circulation.

Bitcoin is proof positive that the claim there about government being needed is purely false.

Just look at how well bitcoin is doing without government. Can't people see what's right in front of them?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 22, 2013, 09:03 PM
@Ren - your inner Libertarian is showing again. ;D :P (kidding!)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 22, 2013, 09:45 PM
@Ren - your inner Libertarian Voluntarist/Anarchist is showing again. ;D :P (kidding!)

FTFY. ;)

Libertarians actually think that government is ok. ;)

e.g. A lot of people got angry at the Republicans for shutting down the US govt. I was angry that they didn't finish the job! :P ;D 8)

Cue someone complaining about "who will build the roads" in 5... 4... 3... ;)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 23, 2013, 01:31 AM
So, if it cost $0.05 to buy a loaf of bread 100 years ago (when the standard of living was lower), and today it costs $5.00 (with a higher standard of living), then, when a loaf of bread costs $500.00 then what?

I dont really care what something costs in comparision to x years ago (maybe I should) - I care what it costs in relation to what I can earn/make in an hour/day/week/month/year. That's my point when I ask "can you seperate the "value" of e.g. the dollar from the standard of living?".
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 23, 2013, 03:26 AM
So, if it cost $0.05 to buy a loaf of bread 100 years ago (when the standard of living was lower), and today it costs $5.00 (with a higher standard of living), then, when a loaf of bread costs $500.00 then what?

I dont really care what something costs in comparision to x years ago (maybe I should) - I care what it costs in relation to what I can earn/make in an hour/day/week/month/year. That's my point when I ask "can you seperate the "value" of e.g. the dollar from the standard of living?".

Ah. Gotcha. I know what you mean now.

http://www.infoplease.com/ipa/A0774473.html

Minimum wage workers in 1964 made about 30% more than minimum wage earners now. *IF* you look at fiat, only.

Minimum wage for 1 hour in quarters in 1964 was about 0.82 troy ounces of silver.

http://www.kitcosilver.com/charts.html

Today that's worth more than $18.50. (@ $22.60 per ozt)

Somebody... please tell me that you'd rather have $4.87 worth of purchasing power than $18.50 worth of purchasing power. Do it with a straight face. Anyone? Anybody?

<crickets />

Please keep in mind that the current value of silver has been manipulated to be artificially lower, with the greatest manipulator being JP Morgan, who is facing $13 billion in fines to start with, as well as pending criminal charges. (Goldman Sachs stays more on the gold market manipulation side...) They are manipulating precious metal prices through ETFs (Exchange Traded Funds). These are not backed up by physical metals. Resolution is done in $$$ instead of through physical delivery. The ETF markets are used to manipulate the physical markets. You can see this in the large spike in physical premiums we had a few months ago when GS & JPM along with their central banking buddies assassinated gold & silver. (There are other price manipulations going on, e.g. copper, but what I've got there should be enough. Please do go out and fact check me if you don't believe me.)

So that $18.50 number is extremely conservative.

When did Classical Greece fall? After it had debased its currency.

When did Rome fall? After it had debased its currency.

When will we fall? ;)

Now, for "standards of living", we cannot conflate "available gadgets" with the standard of living. The things to look at are life expectancy, home ownership, available leisure time, number of working parents in a family, etc. Not how many people have a big screen TV and gaming console. But... That gets into a very long discussion and I'm simply too lazy to do the research to post links here.

...

But, no matter how you cut it, debasing a currency is not a good thing. I utterly fail to understand how people can think that it is.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 23, 2013, 06:53 AM
^I'm not arguing about debasing of a currency, and whether that might be a good thing. (1) I dont want to argue it (2) I'm not qualified to do it anyway ;-)

Minimum wage workers in 1964 made about 30% more than minimum wage earners now. *IF* you look at fiat, only.
-
I was thinking more in term of a comparision with 1800 or even 1900 (referencing your quote that money had lost so much value in the last 2 to 300 years). It's easy to cherry pick a very short period of time when average people did reasonably well, and say that's what the world would be like if [xyz]. But I dont see much logic there, nor much to convince me of anything really. I could just as easily argue that times were good then because banks were much more regulated (and we might both be right - or wrong, or it might just be the case that there's an awful lot more going on at any time, than any simple idea/concept can explain).

Minimum wage for 1 hour in quarters in 1964 was about 0.82 troy ounces of silver.
[...]
Today that's worth more than $18.50. (@ $22.60 per ozt)
-
Why do I feel like I'm being cheated when you compare minimum wage in 1964 and today in terms of silver :-\
We've touched on this before (my post in basement thread about greenback dollars (https://www.donationcoder.com/forum/index.php?topic=36232.msg338940#msg338940)). SeraphimLabs claims a deflationary model is unstable (second post @ the link above). I dont know about his qualifications, but you didnt respond directly. As I say I'm not qualified to talk about it, but off the top of my head, if money was related to, say, silver, and silver was increasing in value all the time, then wages would probably have to be reduced proportionately, otherwise companies would go bust. Not sure that would go down too well...

I know that you know a lot about the flaws in fiat money Ren. But I get the impression that you dont know a whole lot more about economics than I do, yet you seem so very sure about your ideas. That sets off alarm bells for me. No offence intended - it's the ideas I'm on about ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 23, 2013, 11:32 AM
@Tomos - Dammit! You're making work harder here! ;) ;D (I understand many of these things far above my ability to explain/teach on the topic.)

http://www.minneapolisfed.org/community_education/teacher/calc/hist1800.cfm

Cumulative inflation from 1800~1899: -0.547%
Cumulative inflation from 1900~1999: +315.70%
Cumulative inflation from 2000~2013: +34.30%

For comparison - first 13 years of each century:

Cumulative inflation from 1800~1813: +15.80% <--- War of 1812 is 14.7% here.
Cumulative inflation from 1900~1913: +17.60%
Cumulative inflation from 2000~2013: +34.30%

In the 1900s, the first 13 years represent 5.6% of the inflation for the century.

Keep in mind that I'm using Federal Reserve Bank numbers there. I think this kind of sort of maybe puts my claim there out of the "skewed" category. I'm taking numbers out of the enemy's camp.

Now, to go back further... sigh... too lazy to look that up now. I've seen the numbers before, but don't remember where at the moment. Anyways, moving on and skipping the 1700s...

I was thinking more in term of a comparision with 1800 or even 1900 (referencing your quote that money had lost so much value in the last 2 to 300 years). It's easy to cherry pick a very short period of time when average people did reasonably well, and say that's what the world would be like if [xyz].

I didn't cherry pick 1964. I picked it because 1965+ coins aren't silver; they're copper/nickel.


But I dont see much logic there, nor much to convince me of anything really. I could just as easily argue that times were good then because banks were much more regulated (and we might both be right - or wrong, or it might just be the case that there's an awful lot more going on at any time, than any simple idea/concept can explain).

Dunno what to say there.


Why do I feel like I'm being cheated when you compare minimum wage in 1964 and today in terms of silver :-\

Not sure. Perhaps because I've pulled a fast one and compared money to currency. They're not the same. As you can see above, the US currency isn't worth much now. In 1964 it was worth something and was tied to money (silver coins).

We've touched on this before (my post in basement thread about greenback dollars (https://www.donationcoder.com/forum/index.php?topic=36232.msg338940#msg338940)). SeraphimLabs claims a deflationary model is unstable (second post @ the link above). I dont know about his qualifications, but you didnt respond directly.

I did respond directly to most of that. I didn't go over (primarily) deflationary currency directly though. That would have taken more time than I can reasonable spare.

It can be summed up like this:

https://en.wikipedia.org/wiki/Gresham's_law

People WILL spend. They MUST spend. They MUST eat. They MUST use resources to live, etc. etc.

Deflationary fears are mostly paranoia. What's wrong with people not using more than they need? Is that a bad thing? etc. etc.

To be honest, fears about deflation seem simply silly to me, and not really worth addressing any more than Hollow Earth theories or reptilian aliens - they're fun, and perhaps interesting, but not particularly useful.

As I say I'm not qualified to talk about it, but off the top of my head, if money was related to, say, silver, and silver was increasing in value all the time, then wages would probably have to be reduced proportionately, otherwise companies would go bust. Not sure that would go down too well...

WHOA THERE~!~!~!~!

Ok, this part:

if money was related to, say, silver...

Good so far...

...and silver was increasing in value all the time...

We just went off the rails.

You sound like you're buying into my trick above where I compared fiat currency to money (silver) in the inflationary context. Silver *IS* money. Currency, like the USD or EUR, is *NOT* money - it is just "currency". Perhaps I should have not slid that in there without making it explicitly clear what the actual comparisons are.

Silver doesn't increase in price like that. What happens is that the value of the currency falls.

The value for a loaf of bread doesn't really change. What changes is the value of the currency.

Same thing for eggs, milk, gasoline/petrol, whatever -- their values do not change. The value of the currency used to buy them changes.

This:

"Oh my! Milk is $5.50 and only last month it was $4.50. Milk is getting so expensive!"

Is just WRONG.

This is more accurate:

"Oh my! Milk is $5.50 and only last month it was $4.50. The central banks are raping us with inflation that devalues the crappy currency we're using!"

Don't belive me? Hehehe! Check the first link above. ;) From the Fed even! 8)

...then wages would probably have to be reduced proportionately, otherwise companies would go bust.

From what I've illustrated above, that doesn't follow.

If gold/silver were used, wages would be stable. You can look at the historical prices of silver and see very, very little fluctuation until the central banks get their clutches on the currency and debase the hell out of it. At the same time, you can also see that inflation was about zero.

e.g. In any given year a loaf of bread, stick of butter, and litre of milk will cost the same amount of silver/gold. (This has become distorted due to EFT manipulations in the last few decades, but holds for true prior to that.)

Does that make more sense now?


I know that you know a lot about the flaws in fiat money Ren. But I get the impression that you dont know a whole lot more about economics than I do, yet you seem so very sure about your ideas. That sets off alarm bells for me. No offence intended - it's the ideas I'm on about ;)

No offence taken. I'm not really good at explaining some of these things, and I hate going back to look up references that I've forgotten.

I'm pretty certain about a few things, but my reasons are generally either for reasons of math or because I don't like looking at naked Emperors, e.g. taking perfectly good paper and ink and making them both worthless. :)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 23, 2013, 01:53 PM
^ thanks for taking the time to make that response Ren :up:

I do understand better now where you're coming from. I also understand a bit better your focus on inflation (which btw is still way down my list of problems - personal or theoretical :-\ unless it is a symptom of something unhelpful, which of course it might well be).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 24, 2013, 10:49 AM
Ok, check this fellow:

http://www.zdnet.com/bitcoin-is-going-to-teach-you-a-lesson-a-costly-one-7000022352/

Wow. Just wow. It's amazing that he can pack in so much wrong information and idiocy into such a short space.

Many commenters are similarly clueless. It's like randomly vomited words on a page - incoherent nonsense. The article's author doesn't even understand inflation/deflation.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 24, 2013, 11:32 AM
^an impressively bad article...
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on October 24, 2013, 02:04 PM
Wow... take an economics class!

Inflation (a *decrease* in a currency's value) is a completely different phenomenon from the price of a currency going UP (which is an *increase* in a currency's value).

You see, "inflation", as we usually encounter it, is due to an increase in the *amount* of money in circulation (not necessarily *physical* currency, mind you, as many people are paid, these days, with direct-deposit, and we buy things with a debit card, so no physical currency ever moved through our bank account. So, we're talking about the total amount of bank-account assets plus their cash minus their debts). When the amount of money in the economy goes up, that's more money people can spend on items in the market. And, since every price is the result of an invisible bidding war between buyers on a non-infinite supply of goods, if people *can* spend more money on something, some *will* spend more on it, and the price will be driven up.

When this happens, the price of the *currency* drops. It doesn't cost you as much, in terms of other currencies, to purchase it, because it doesn't have as much purchasing power. For example, suppose the British pound and the American dollar were trading 1:1. Suppose a candy-bar costs 1 dollar or 1 pound. Then, the American gov't prints a bunch of money and pays the people to build a bunch of roads or whatever. Now, the American people have twice as much money in their pocket, so they're going to be able to pay twice as much for a candy-bar, so the price of candy-bars goes up to 2 dollars. Meanwhile, a candy-bar *still* costs 1 British pound. And the *exchange* rate becomes 1 British pound buys 2 American dollars. *THAT* is inflation.

This is the opposite of what's happening with Bitcoin. A bitcoin's price, in terms of other currencies, has been going *up*, even though the supply of bitcoins has been (slowly) increasing. This is due to increased demand for it as more and more merchants accept it (which is the same as "demand" increasing).

Renegade are you posting in comments again?  ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 24, 2013, 08:16 PM
Renegade are you posting in comments again?  ;D

Hahaha! Nope - wasn't me. He was far too polite. :D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 25, 2013, 11:45 AM
"The Street finds its own uses for things." - William Gibson

[ You are not allowed to view attachments ]

---------------------------------------------------------------------------------------


According to BleepingComputer (http://www.bleepingcomputer.com/virus-removal/cryptolocker-ransomware-information#bitcoin), the ransomware CryptoLocker does... ;D

Known Bitcoin Payment addresses for CryptoLocker

CryptoLocker allows you to pay the ransom by sending 2 bitcoins to an address shown in the decryption program. Bitcoins are currently worth over $200 USD on some bitcoins exchanges. Earlier variants of CryptoLocker included static bitcoin addresses for everyone who was infected. These static addresses include:

    https://blockchain.info/address/18iEz617DoDp8CNQUyyrjCcC7XCGDf5SVb
    https://blockchain.info/address/1KP72fBmh3XBRfuJDMn53APaqM6iMRspCh

Newer variants of CryptoLocker appear to be dynamically generating new bitcoin payment addresses for each instance of an infection. You can use the links above to see transactions into the wallet and out of the wallet.

How thoughtful of them to make it so easy to pay up in order to ransom your files back! ;) :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 26, 2013, 01:12 AM
How thoughtful of them to make it so easy to pay up in order to ransom your files back! ;) :Thmbsup:

Looks like quite a few people even pay. :(

I don't like most stories like this in the news because they conflate issues together that are completely unrelated.

e.g. John drove a Toyota as a getaway car in a bank robbery, therefore Toyotas are criminal cars.

etc. etc.

That bit there actually looks simply informational though, which is a nice departure from the non-stop hit-pieces written with kindergarten logic.

In any event...
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 26, 2013, 01:20 AM
For anyone that would like a chance to win 5 ozt .999 fine silver + 1 bitcoin!

http://voluntaryist.com/taxation/contest.html

A Voluntaryist Contest
How Do You Explain to People That Taxation Is Theft?

Details at the link.

I think I'll enter that contest. I've been meaning to PM someone here about that exact issue, but have put it off until I have more time and can write up a more thoughtful answer. This gives me some more motivation to find the time.

5 ozt of silver is sweet, but 1 bitcoin is much sweeter! ;)

If you don't have any bitcoins yet, here's your chance to get 1!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 26, 2013, 07:25 AM

5 ozt of silver is sweet, but 1 bitcoin is much sweeter! ;)

If you don't have any bitcoins yet, here's your chance to get 1!



And in addition to your chance to win a free bitcoin, your name will also be automatically entered for a 'chance' to be selected for the IRS's ever popular "randomly selected" high audit probability list!!! So nice of you to out yourself as a troublemaker...

[ You are not allowed to view attachments ]

( :) Sorry. Not trying to go OT or scare people off. But my current campaign is pointing out the dangerous implications and possibilities for official abuse now that we live in a surveillance state here in the good ol' USA. If the thought of what this technology can be used for finally starts to worry people...well...they need to be worried.)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 26, 2013, 10:09 AM

5 ozt of silver is sweet, but 1 bitcoin is much sweeter! ;)

If you don't have any bitcoins yet, here's your chance to get 1!

And in addition to your chance to win a free bitcoin, your name will also be automatically entered for a 'chance' to be selected for the IRS's ever popular "randomly selected" high audit probability list!!! So nice of you to out yourself as a troublemaker...
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg340748#msg340748))
( :) Sorry. Not trying to go OT or scare people off. But my current campaign is pointing out the dangerous implications and possibilities for official abuse now that we live in a surveillance state here in the good ol' USA. If the thought of what this technology can be used for finally starts to worry people...well...they need to be worried.)

All the more reason to be vocal NOW and to support things/ideas that undermine the surveillance state.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on October 26, 2013, 10:57 AM
^I think we 're past the point where just "speaking out" is going to be sufficient to extract us from this quagmire.
 :(
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 26, 2013, 11:13 AM
^I think we 're past the point where just "speaking out" is going to be sufficient to extract us from this quagmire.
 :(

All the more reason to put one's money where one's mouth is and use bitcoins instead of fiat. ;)  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: mahesh2k on October 27, 2013, 07:47 AM
I wonder if DC allows bitcoins for the donation? That would be great. I don't know if mouser has any plans to add bitcoins over here.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 12:01 AM
I wonder if DC allows bitcoins for the donation? That would be great. I don't know if mouser has any plans to add bitcoins over here.

The only problem is this:

https://en.wikipedia.org/wiki/Gresham's_law

Why spend bitcoins when you can get rid of fiat? (This is a general problem.) What I'm thinking is that constantly funnelling fiat into bitcoins then spending that is a good way to preserve value as you avoid fiat inflation and get the advantage of bitcoin's deflation. This becomes easier and easier as more merchants/etc. start accepting bitcoins.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 12:02 AM
And just for fun, add some holiday horror for your local banksters:

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 :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: barney on October 28, 2013, 02:16 AM
Why spend bitcoins when you can get rid of fiat? (This is a general problem.) What I'm thinking is that constantly funnelling fiat into bitcoins then spending that is a good way to preserve value

???

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 05:28 AM
A different perspective. Note that it is a log scale.

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Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 05:43 AM
Why spend bitcoins when you can get rid of fiat? (This is a general problem.) What I'm thinking is that constantly funnelling fiat into bitcoins then spending that is a good way to preserve value

???

I'm not quite sure what "???" means, but I'm guessing that what I had above was a bit confusing. Here's a basic explanation.

All world currencies are inflationary. That is, they all lose value over time. $1 today has less purchasing power tomorrow. This is true for ALL world currencies that are issued/backed by governments/central banks. There are no exceptions.

When you see the USD go "up", it's not really going up. It's still going down. It's simply that it's falling in value slower than other currencies. For example, last May the EUR was around $1.28 USD. It is currently about $1.38 USD. So, the USD has fallen in value faster than the EUR since May.

BTC (bitcoins), on the other hand, is a deflationary currency. That is, if you have 1 BTC today, tomorrow you will have more purchasing power.

So, imagine you have $1,000 USD today. You plan to save that to spend on a very nice gift for your honey for St. Valentine's Day. But that's still about 3.5 months away. With inflation, your $1,000 will be worth about $965. i.e. You LOST $35 of purchasing power by saving your money instead of spending it today. (I'm running with a flat rate of about 1% inflation per month there, which is simple, but may be high, though it is entirely realistic - some sectors see 4% inflation per month.)

However, if you buy $1,000 worth of bitcoins, you'd have about 5 BTC today. In 3.5 months you could sell your BTC for USD and have about $2,000, which adjusted for inflation from today (as above), would be $1,930 worth of purchasing power. (I'm running on a rough estimation of BTC doubling every quarter. Given that it grows by an order of magnitude or more per year, this is realistic, though may be conservative.)

So, your options are:

1) Save USD and spend $965 PPP on your honey.
2) Buy BTC, save it, sell it for USD, then spend $1,930 PPP on your honey.

* PPP = Purchasing Power Parity

Does that make sense?

i.e. Buy BTC to save - cash out in fiat in order to take advantage of the additional purchasing power that a deflationary currency provides.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 06:08 AM
All world currencies are inflationary. That is, they all lose value over time. $1 today has less purchasing power tomorrow. This is true for ALL world currencies that are issued/backed by governments/central banks. There are no exceptions.

* I skipped a lot there. It's just a simple matter of tracing monetary history. For the USD, it's the gold/silver standard, the 1913 betrayal by Wilson, Bretton-Woods, Nixon's 1971 betrayal, deregulation, derivatives, and Quantitative Easing.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 08:14 AM
Here's a site that ONLY accepts bitcoins. They sell shoes. (Some nice looking ones, I might add.)

http://persianshoes.com/bitcoin/

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Why don’t you accept other forms of payment?

The short answer is we’d love to but we can’t!

Our business is making and selling leather products. We like to sell our products across the world and the more customers the better. The problem is we operate in Iran and most payment systems either are not willing to serve us at all or impose a huge risk on our business. Before launching this website, our international sale has been limited to a few dedicated customers who knew about the quality of our products and were prepared to go through a lot of trouble to pay us! This of course, may sound incomprehensible for people who have all sorts of electronic payments at their disposal. However, before finding out about Bitcoin, receiving our money was the number one obstacle in expanding our business.

Now, with Bitcoin and the help of Bitcoin community we are hoping to become a role model for other small businesses in Iran to find global customers.

I really wish them all the best!

But there's another example how bitcoin is helping people do things that they otherwise couldn't. Buy & sell handmade Persian shoes direct from Iran!  :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup:

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 10:33 AM
Interesting. 8)

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Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on October 28, 2013, 11:27 AM
I wonder if DC allows bitcoins for the donation? That would be great. I don't know if mouser has any plans to add bitcoins over here.

That might actually be a good opportunity to allow everyone here a chance to buy into the Bitcoin system without having to spend a lot and/or save up for the current cost of a single Bitcoin. Assuming Mouser would be interested in converting the current DC micropayment system to be Bitcoin based/backed.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 28, 2013, 03:11 PM
The ... problem is this:

https://en.wikipedia.org/wiki/Gresham's_law

Why spend bitcoins when you can get rid of fiat? (This is a general problem.) What I'm thinking is that constantly funnelling fiat into bitcoins then spending that is a good way to preserve value as you avoid fiat inflation and get the advantage of bitcoin's deflation. This becomes easier and easier as more merchants/etc. start accepting bitcoins.

IIUC Gresham's Law would indicate that Bitcoin will be saved and not spent at all - so long as fiat money exists (presuming Bitcoin continues increasing in value). [edit] but yes, your logic is good, so long as bitcoins increase). [/edit]

Interesting to note the couple of paragraphs there (http://en.wikipedia.org/wiki/Gresham%27s_law#Theory) about how/why they stopped using silver and other valuable metals to make coins (with silver in the US, a chicken/egg scenario could be argued).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 07:42 PM
...without having to spend a lot and/or save up for the current cost of a single Bitcoin.

You can purchase fractional amounts. There's no need to purchase an entire bitcoin.

The easiest way for most people is probably through https://localbitcoins.com/.

IIUC Gresham's Law would indicate that Bitcoin will be saved and not spent at all - so long as fiat money exists (presuming Bitcoin continues increasing in value). [edit] but yes, your logic is good, so long as bitcoins increase). [/edit]

Well, I think we need to be a bit flexible with Gresham's law. It's more of a tendency than an absolute.

But bitcoin is naturally deflationary, so it will continue. The scenario where bitcoin inflates is where you have bitcoins being the dominant currency in a massively contracting economy with a slow velocity of money. However, that's a nightmare scenario that will probably be accompanied by the zombie apocalypse. ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 28, 2013, 11:24 PM
The 3rd largest crowd-funding site now accepts bitcoins:

http://www.pozible.com/blog/article/index/129
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 29, 2013, 11:01 PM
A fellow posted a video of himself using the new Robocoin Bitcoin ATM in Vancouver:



 :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 30, 2013, 01:00 PM
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Kristoffer Koch, Norwegian man, buys apartment with Bitcoin profit (http://now.msn.com/kristoffer-koch-norwegian-man-buys-apartment-with-bitcoin-profit)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 31, 2013, 10:23 AM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg341037#msg341037))
Kristoffer Koch, Norwegian man, buys apartment with Bitcoin profit (http://now.msn.com/kristoffer-koch-norwegian-man-buys-apartment-with-bitcoin-profit)

That was an awesome story! He's got an interview out somewhere now as well.

http://pri.org/stories/2013-10-30/how-one-guys-24-investment-bitcoins-turned-886000-payday



And now...

For the statist control freaks bent on regulation and strangulation... ;)

-- GAME OVER --

https://darkwallet.unsystem.net/

We don't need to cooperate with control freaks

http://libbitcoin.dyne.org/



One of my favourite anarchists is a part of the Dark Wallet team: Cody Wilson. If you heard about Defense Distributed, then you've already heard about him. If you've heard about 3D printed firearms, then you've heard of him.

You can support Dark Wallet through Indiegogo:

http://www.indiegogo.com/projects/bitcoin-dark-wallet/x/5209896

Or with bitcoins too.


The future is looking brighter already!  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 02, 2013, 05:43 AM
WOW! When I donated, there were only a couple hundred dollars worth of donations, but they raised almost 50% of their $50,000 goal on day 1!

From an email:

Combined with our Bitcoin donations. Dark Wallet reached 50% of its goal on Day 1. None of us saw that coming. Incredible.

Please continue to share this page with others. $50k but no visibility is only half the battle. We must feed the revolutionary imagination!
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 02, 2013, 01:50 PM
Authoritarian supression can not be supressed. If rebels are too strong, they will call in the Evil Emperor and his dark Jedi to use the dark side of the Force for them. Don't laugh, why do you think dystopias are so popular in literature?  Be very careful how you rebel, atomic war and nuclear winter are not laughable.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 04, 2013, 04:36 AM
Authoritarian supression can not be supressed. If rebels are too strong, they will call in the Evil Emperor and his dark Jedi to use the dark side of the Force for them. Don't laugh, why do you think dystopias are so popular in literature?  Be very careful how you rebel, atomic war and nuclear winter are not laughable.

I'm not that pessimistic. We have many examples of successful revolutions throughout history. What we need now is one, well, now.



http://www.zerohedge.com/news/2013-11-03/ebay-expands-accepted-digital-currencies-says-paypal-may-one-day-incorporate-bitcoin

Ebay Expands Accepted Digital Currencies, Says PayPal May One Day Incorporate BitCoin

First it was China hinting that where Silk Road failed in monetizing, pardon the pun, BitCoin, the world's most populous nation could soon take the lead. Then, none other than private equity titan Fortress said it had great expectations for the digital currency. Now, it is eBay's turn to announce that it is preparing to expand the range of digital currencies it accepts, adding that "its payment unit PayPal may one day incorporate BitCoin." But not just yet. FT reports that according to eBay CEO John Donahoe, "digital currency is going to be a very powerful thing."

Bitcoin could heat up quite a bit if PayPal jumps in. That would definitely take it mainstream real quick.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 04, 2013, 06:43 AM
Paypal is in a very delicate position and stands to lose far more than they'd gain embracing and unconditionally endorsing Bitcoin right now. Bitcoin is still largely the province of geeks and campus coffeshop economic revolutionaries and bloggers. Until Bitcoin becomes more mainstream (and the bitcoin crowd tones down their rhetoric a bit and stops talking down to those who don't share their religion) I don't think Paypal is gonna stick their neck out too far for Bitcoin. At least not until the whole "Bitcoin thing" grows up a little more- in every sense.
 :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 04, 2013, 11:30 AM
Paypal is in a very delicate position and stands to lose far more than they'd gain embracing and unconditionally endorsing Bitcoin right now. Bitcoin is still largely the province of geeks and campus coffeshop economic revolutionaries and bloggers. Until Bitcoin becomes more mainstream (and the bitcoin crowd tones down their rhetoric a bit and stops talking down to those who don't share their religion) I don't think Paypal is gonna stick their neck out too far for Bitcoin. At least not until the whole "Bitcoin thing" grows up a little more- in every sense.
 :)

I take it that you're not a convert? :P ;D

To the moon!!! ┗(°0°)┛

Here's a quick run down:


40, you seem to be so resistant in the face of overwhelming evidence that this really is the next big thing. Wouldn't you have loved to have bought "sex.com" or some other sweet-ass domain name way back for $75? Being dirt poor at the time, I didn't. I later wished that I had.

I can see PayPal being resistant and waiting until more merchants start accepting bitcoins and Bitpay and the other BTC processors start to become a thread.

Just the way bitcoins work for payments is so much better than credit cards or PayPal or whatever. There's just zero comparison. Send however much you want to whoever you want, wherever you want, whenever you want, and all for $0.02 *IF* you want to pay a fee at all. Yes - paying a fee for sending money is entirely optional!

I've sent money all over the world to countries on 4 continents for almost nothing. The loose change on my desk is orders of magnitude more than the fees I paid to send that money. And the money arrived near instantly!

I didn't get raped on foreign exchange spreads. I didn't get routed through a half dozen banks that all take a cut. I didn't have to pay fees on both ends. I didn't have to wait several days. All of which I have to deal with when using "regular" banking.

It not being religious. It's just looking at overwhelming evidence and recognizing it for what it is.

I really don't understand why I'm the only one here at DC that's excited about this.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 04, 2013, 01:44 PM
I really don't understand why I'm the only one here at DC that's excited about this.

Maybe we've been around the block (some of us) long enough that we might consider something interesting to think about but still not something that's worth getting excited over? (Students of history - and would-be activists on the receiving end of realpolitik - know what I'm talking about here.)

Seriously, there's a lot more to economics than a cute idea and some basic mathematics. Especially if you've studied business and economics. There are social, legal, and practical considerations that all factor in to the mix. And there's a big difference between a theory and its implementation because the devil is always in the details. That's why any given "ism" hasn't been universally adopted as this planet's government despite numerous good arguments for one or the other.

Economics is about human behavior. And "better mousetraps," " common sense," "seeing what's obvious," and "being logical" don't always apply in situations revolving around what humans do and choose to believe.

Money isn't an exercise in programming logic. If it were, we'd have licked our monetary problems ages ago.
 8)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 04, 2013, 02:04 PM

40, you seem to be so resistant in the face of overwhelming evidence that this really is the next big thing. Wouldn't you have loved to have bought "sex.com" or some other sweet-ass domain name way back for $75? Being dirt poor at the time, I didn't. I later wished that I had.


Two points:

1) While fully electronic currency may indeed be "the next big thing," Bitcoin won't be "it" once it is. No government on this planet will allow it. Regulation of the currency is a key power of government. Nobody is going to cede that to some independent entity outside of government control. Bitcoin, like Paypal, will play by rules handed down to them if it is to survive.

Fully electronic currency, however, is an idea whose time has come. Because unlike cash, it must create records if it's going to work. And that provides the perfect mechanism for the absolute surveillance of everybody everywhere at all times.

Be careful what you wish for. :huh:

Want anonymity? Take a tip from government covert ops and criminals everywhere. Use cash, real gold, or real diamonds. Electronic anything just won't cut it.

2) Regarding sex.com - not really.  ;D But had I had invested $10K in Microsoft in the first year after it went public, I'd be worth close to 5 million today. That's about a 50,000% total return. Cisco and a few other companies I knew enough about to intelligently invest in had similar rates of return. No need to go that far outside the mainstream to make good money. Just the willingness to do something with what you know the best or most about.

 :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 04, 2013, 02:09 PM
I have no investment in Bitcoin in any way (literally or beliefs-wise), but I'm happy to see it, and to see what happens with it. I believe it will change things, even if it eventually collapses or 'is collapsed' or just corralled. It has changed things already. People are thinking about possibilities and looking at how it's working - and if it doesnt, someone else will come along with a new improved version. Or maybe something completely different.

Re PayPal/Ebay, they'll actually go in there if they think it will be profitable, or worthwhile (= profitable indirectly). One scenario is: if it does start to become more popular - or if they even just suspect that - it will be in their interest to support it. Otherwise people will be using bitcoin with no fees - and why should they then revert to PayPal, who want their pound of flesh from you for the privilege of using it? Another scenario is, if they think the advertising will be worth any possible hassles (I'd reckon it's no big hassle to them -any hassles, they just stop supporting it).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 04, 2013, 07:32 PM
Fully electronic currency, however, is an idea whose time has come. Because unlike cash, it must create records if it's going to work. And that provides the perfect mechanism for the absolute surveillance of everybody everywhere at all times.

Which is why something like Dark Wallet is a good thing. Any government issued electronic currency isn't worth using for anything for any reason ever.

Want anonymity? Take a tip from government covert ops and criminals everywhere. Use cash, real gold, or real diamonds. Electronic anything just won't cut it.

Yes. Or use bitcoin with suitable measures to ensure anonymity. :) (Which is still reasonably anonymous without massive effort that are completely unrealistic for every single transaction made.)

BTW - You forgot silver. ;D Poor man's gold.

Regarding buying MS stock...

https://www.microsoft.com/investor/InvestorServices/FAQ/default.aspx

Q. When was Microsoft's initial public offering (IPO)?
A. Microsoft went public March 13, 1986 at $21.00 per share.

Which I guess doesn't account for stock splits, etc. The original price was around $0.10 and today is around $36 (incidentally, it's at a relative high now):

http://investing.money.msn.com/investments/charts/?symbol=MSFT#{"zRange":"10","startDate":"1900-1-1","endDate":"2013-11-4","chartStyle":"mountain","chartCursor":"1","scaleType":"0","yaxisAlign":"right","mode":"pan"} (http://investing.money.msn.com/investments/charts/?symbol=MSFT#{"zRange":"10","startDate":"1900-1-1","endDate":"2013-11-4","chartStyle":"mountain","chartCursor":"1","scaleType":"0","yaxisAlign":"right","mode":"pan"})

27 years to about 3,600x increase or around 133x/year average
vs
4 years to about 239,000x increase or around 59,750x/year average (from 10 BTC per penny originally)

Bitcoin is still offering 2 orders of magnitude more.

For fun (video):

http://www.cracked.com/video_18673_what-nobody-seems-to-understand-about-bitcoin.html
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 05, 2013, 08:44 PM
Bitcoin at risk of network attack, say researchers (http://www.bbc.co.uk/news/technology-24818975)

The [theoretical] Cornell attack involves one large mining group that does not say when it has been rewarded with new Bitcoins. This "selfish" mining group then begins working on the cryptographic puzzle that will eventually release the next reward.

This gives it an advantage because every other mining group will still be working on a puzzle that has already been solved. By leveraging this advantage and being careful about when they release information about new Bitcoins they have mined, the group could gradually take control of the entire mining system.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 05, 2013, 10:15 PM
Bitcoin at risk of network attack, say researchers (http://www.bbc.co.uk/news/technology-24818975)

The [theoretical] Cornell attack involves one large mining group that does not say when it has been rewarded with new Bitcoins. This "selfish" mining group then begins working on the cryptographic puzzle that will eventually release the next reward.

This gives it an advantage because every other mining group will still be working on a puzzle that has already been solved. By leveraging this advantage and being careful about when they release information about new Bitcoins they have mined, the group could gradually take control of the entire mining system.

More FUD. It doesn't matter. One only need look at the mining pools to understand why. The most important is BTC Guild, and the fellow that owns/runs that is what some would call "religiously driven". He's the #1 person to watch if you're remotely worried about this.

-- For those that want the short version, the paper outlines a method where 25% of the network could possibly pull off a 51% attack.

But FUD doesn't matter anymore. Chinese buying has gone into a frenzy and is now in charge of driving this bus.

Short term predictions:

Steep slope up to CNY 1,600 then run up to CNY 1,800 with small wall. Another run up past 1,900 until a small wall at 2,000 slows things.

The run up to 2,000 could be stopped by panic selling, but that is unlikely. The 3 major markets are closely linked for prices with the Chinese being the driving force. Fundamentals are solid with large wallets being static for prolonged periods and solid buying. Mostly green bars peppered with a bit of red (profit taking).

Media attention is only creating more interest with FUD being discarded. However, western media is becoming less relevant and the market shifts to China with Chinese sentiment being most important.

If BTC breaks the CNY 2,000 barrier, we're either in for panic buying or panic selling. Given the strong upward momentum, I'm hopeful for panic buying, though it's a bit far off to tell. We could see a correction.

Since I started writing this, BTC rose about 0.76% on solid volume.

Check http://btccharts.com for depth to have a look. That'll explain or clarify what I have above.

Also, see here: http://bitcoinwisdom.com/markets/btcchina/btccny
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on November 05, 2013, 10:54 PM
I'd like to add financial market prediction and investment advice to the list of topics we should avoid like the plague on this forum.

It's fine to talk about the technology of these new currency things, but i rank financial market predictions and investment advice right up there on par with arguing over politics and religion.  If you want to talk about whether the stock market or the price of gold or bitcoins is going to go up or down please do it on an investment forum.. as far as i'm concerned such things are games for the rich, the insiders, and those who like (and have the spare money to burn for) gambling, and they're contrary to the spirit of this site in my opinion.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 05, 2013, 11:41 PM
The single most exciting technology since the Internet and only the underlying techno-babble is valid for discussion. The benefits of that technology are taboo, as is being excited about the coolest thing since the Internet. Got it. I'll drop it.
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 05, 2013, 11:45 PM
I'd like to add financial market prediction and investment advice to the list of topics we should avoid like the plague on this forum.

+1

This is not a venue for discussions of any stock market, soft or hard.  On a personal level, it is completely boring and inconsequential.  On a forum level, it just does not belong here.  We discuss software and related hardware, not an ersatz stock market.  Move it off-forum, please.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 05, 2013, 11:52 PM
Bitcoin is a technological advance.  Just because it has something to do with financials doesn't make it any less so.  Just my .02.  And looking back through the thread, most of it is of a technological slant- even the last article posted.  First we wanted to have one thread to contain it... and now no threads at all?  Just ignore anything to do with it?

Seems a bit off...
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 06, 2013, 02:18 AM
Seems a bit off...
Perhaps so, but, technology notwithstanding, the general feel of the thread (to me, at least) is more toward profit and less toward the technology.  What I've seen is fiat $$ to bitcoin back to fiat $$.  That seems more financially than technology oriented.  Investments in technology are all good and well, but is this the proper place for that particular discussion?  E-Trade might be a better venue.  There's no particular animus toward the proponents, nor even for the concept, but how does this thread promote the principles of donationcoder.com?
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 06, 2013, 03:40 AM
Bitcoin is a technological advance.  Just because it has something to do with financials doesn't make it any less so.  Just my .02.  And looking back through the thread, most of it is of a technological slant- even the last article posted.  First we wanted to have one thread to contain it... and now no threads at all?  Just ignore anything to do with it?

Seems a bit off...
(my emphasis)

in fairness I didnt see that requested anywhere -
the request was to avoid talk of it as an investment ["financial market prediction and investment advice"].



edit/ I thought the individual post was fine myself, but I can understand the objection in general.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 06, 2013, 03:40 AM
FWIW my main interest in Bitcoin is how, and if, it changes 'money' as we know it.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 06, 2013, 05:58 AM
Apologies to any offended. :-[

I only mentioned Microsoft's stock value appreciation to make the point that there are many mainstream investments that see incredible rates of return. It was intended to be in response to the arguments I'm seeing here (and in some other places I frequent that argue for the adoption of crypto currencies) that the only rational approach to making a profit is to go completely outside the established economic system.

 :)
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 06, 2013, 08:14 AM
but how does this thread promote the principles of donationcoder.com?

A good question.  What are the principles of donationcoder.com?  It seems to shift a bit- especially as different people chime in on it.

It always seemed to me that the focus was on software and software-based technology discussions, and to have a home for coders of all stripes and people that appreciate the software they make.

Bitcoin seems to fall into that.  As does the Snowden revelations.  As do a lot of things that formerly software enthusiasts had no real interest in on a software front.  But as that front changes, it seems in many cases many on DC don't want it to evolve to touch those things.  Which is sad, as all things evolve, and I think that more than anything else is the reason for stagnancy of visitors and stagnancy of the discussions.  Should those things be clearly labeled/tagged so that those that don't want to discuss such things might avoid them?  Sure.  There are some threads that I avoid, just because I'm not interested in the content from the title.  That might be judging a book by the cover, but it's true that people want to discuss different things as a part of the community, and that's ok.  And I think it needs to be ok.  At least in my opinion.  :two: :beerchug:
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on November 06, 2013, 09:19 AM
Sorry if I wasn't clear!

I was *NOT* objecting to this thread or the discussion of bitcoin stuff in general, which i think is completely appropriate for this forum (though i do hope we get to the point soon where the topic doesn't make up a majority of the posts on any given day).

I was only objecting to the recent comments on investment advice and financial market prediction, and trying to nip that in the bud early.  I have a deep seated distaste for such things, and while members here may occasionally be in a position to offer advice about how to invest money to get rich quick, i don't want this forum to have any part in such games.

To repeat, I'm not objecting to this thread or discussion about bitcoin -- just asking people to steer far clear from talking market predictions and offering investment advice.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 06, 2013, 09:49 AM
I had written a long post, but after mouser's post it seems more off-topic here. I'm just wondering if there's another thread for the "off-topic topic" in general (what's appropriate/inappropriate to post about)?
If there's no suggestions of a previous thread, I could start a new one (or may just drop it...)
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on November 06, 2013, 10:06 AM
We tend to have meta-discussions about the nature of the site here: https://www.donationcoder.com/forum/index.php?board=83.0
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 06, 2013, 02:32 PM
Well...I've pretty much said all I have to say about Bitcoin, it's underlying philosophy (such as it is), and what I think it's legal and social prospects are. So I'm gonna wrap it up for myself and leave it to others who may feel the urge to continue.

Bitcoin will either fly or it won't. We'll just have to wait and see.

[ You are not allowed to view attachments ]

Later! :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 08, 2013, 04:11 PM
[ You are not allowed to view attachments ]

$1.2M Hack Shows Why You Should Never Store Bitcoins on the Internet (http://www.wired.com/wiredenterprise/2013/11/inputs/)
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 08, 2013, 08:24 PM
$1.2M Hack Shows Why You Should Never Store Bitcoins on the Internet

A somewhat eye-opening, albeit not unexpected, treatise.  So, the question becomes, "How do I store/protect my bitcoins?"  While I have non-Internet-connected boxes, that's not true of most folk. So do I store my coins on a USB key or memory card (both of which [are|can be] easily misplaced)?  Do I trust to some form of Internet bank?  Just how do I protect my investment, should I make it?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 08, 2013, 08:41 PM
$1.2M Hack Shows Why You Should Never Store Bitcoins on the Internet

A somewhat eye-opening, albeit not unexpected, treatise.  So, the question becomes, "How do I store/protect my bitcoins?"  While I have non-Internet-connected boxes, that's not true of most folk. So do I store my coins on a USB key or memory card (both of which [are|can be] easily misplaced)?  Do I trust to some form of Internet bank?  Just how do I protect my investment, should I make it?

The site was a bank - not a wallet. Securing your bitcoins is simple. If you want to know more, post over at http://www.reddit.com/r/Bitcoin/ or http://bitcointalk.org/ and someone can explain why.
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 08, 2013, 11:09 PM
The site was a bank - not a wallet. Securing your bitcoins is simple. If you want to know more, post over at http://www.reddit.com/r/Bitcoin/ or http://bitcointalk.org/ and someone can explain why.

Been there, done that.  Security is still an issue, always will be for anything online.  There's an old saying to the effect that what Man can devise, Man can destroy.  Anything online is vulnerable to a sufficiently skilled person.  Denial of that does not make it untrue.  I can lose my wallet by any number of physical means, but that is, in most cases, carelessness on my part, a lack of physical security - basically my fault, I failed to secure it properly in a physical manner.  I do not have that security option online.  Others might, but I ain't that bright.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 09, 2013, 10:15 AM
The site was a bank - not a wallet. Securing your bitcoins is simple. If you want to know more, post over at http://www.reddit.com/r/Bitcoin/ or http://bitcointalk.org/ and someone can explain why.

Been there, done that.  Security is still an issue, always will be for anything online.  There's an old saying to the effect that what Man can devise, Man can destroy.  Anything online is vulnerable to a sufficiently skilled person.  Denial of that does not make it untrue.  I can lose my wallet by any number of physical means, but that is, in most cases, carelessness on my part, a lack of physical security - basically my fault, I failed to secure it properly in a physical manner.  I do not have that security option online.  Others might, but I ain't that bright.

You can have bitcoins offline. It's called "cold storage". However, that presupposes the concept of private property and that something can belong to you instead of belonging to the collective, which is inherently violent and the root of all evil. I've seen the light about how bitcoins are evil and how trying to make a living on your own as opposed to relying on the state is a sin. So I can't tell you anymore about it, otherwise I'd be undermining the communist revolution and would have to die. You'll need to ask elsewhere about "cold storage", but you'll be committing a sin.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 09, 2013, 10:59 AM
^ :huh:
maybe barney knows what you're on about there Ren, but I sure dont :D :P
No worries...

@barney, nothing wrong with looking for loopholes, but I get the impression you're looking for loopholes *because* you are against bitcoin (or the concept) for some reason? It is true what you say "Anything online is vulnerable to a sufficiently skilled person".
I only recently started using online banking, and I'm not particularly impressed with the bank's online security. It's up to me now, whether I continue with it. I'll probably let it drift, but if I ever got caught out (there is a Visa debit card associated with the account) I could really be kicking myself. I've heard that if a debit card get's ripped off, you have to pay it yourself, but I dont know -again, it's up to me to research that - but you know the way: it's on my list... This is making me rethink the whole thing lol.

So yeah, if you want to buy Bitcoin, you'd surely want to research first. And make an informed decision. And as you say, if you think it's not safe, dont buy in. I guess due to Bitcoins nature - if they can steal it, IIUC, it's gone - due to that, one would like to be extra sure about it. Online banking might not be quite so unsafe (?), but FWIW, mine aint inspiring me ;-)
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 09, 2013, 03:30 PM
@barney, nothing wrong with looking for loopholes, but I get the impression you're looking for loopholes *because* you are against bitcoin (or the concept) for some reason?

Neither for nor against.  But what I've read to date does not encourage me to participate.  In fact, much of what I've read seems very E-Trade-ish.  My primary concern is the security aspect, but I'm also a bit dubious about the constant growth in value:  at some point that will have to diminish or cease.  Of course, my knowledge of economics may be faulty in this arena  :-\, but I have to work with what [I think] I know  :o.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 21, 2013, 03:08 PM
Today marks another notch in the belt for Bitcoin believers.

The University of Nicosia in Cyprus has become the first accredited university to accept Bitcoin for payment of tuition and associated fees, it announced in a statement today.

It’s been a good week for Bitcoin. Earlier this week, a Subway franchisee started accepting Bitcoin as payment for sandwiches. And last week, Silicon Valley entrepreneurs and investors launched an accelerator focusing specifically on the digital currency.

Another Score for Bitcoin You Can Now Use It to Pay for College (http://www.reuters.com/article/2013/11/21/idUS408952021720131121)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 01, 2013, 03:44 AM
LONDON -- An IT worker threw out a computer hard drive without realizing it contained $7.5 million worth of the digital currency Bitcoin.

The device is now buried somewhere in a vast landfill site near the home of owner James Howells -- who only realized his mistake when it was too late.

Can you feel his pain?
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 01, 2013, 03:57 AM
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In Bitcoin's Orbit Rival Virtual Currencies Vie for Acceptance (http://dealbook.nytimes.com/2013/11/24/in-bitcoins-orbit-rival-virtual-currencies-vie-for-acceptance/?src=un&feedurl=http%3A%2F%2Fjson8.nytimes.com%2Fpages%2Fbusiness%2Findex.jsonp)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 01, 2013, 06:43 AM
In Bitcoin's Orbit Rival Virtual Currencies Vie for Acceptance (http://dealbook.nytimes.com/2013/11/24/in-bitcoins-orbit-rival-virtual-currencies-vie-for-acceptance/?src=un&feedurl=http%3A%2F%2Fjson8.nytimes.com%2Fpages%2Fbusiness%2Findex.jsonp)

an informative but weird article.
The author keeps referring to a "Lawrence Blankenship ... a software engineer from Springfield, Mo.", and his buddies, who are all fans of a particular currency. Almost seems like the author had no clue (a good starting point actually), but instead of researching in depth, decided to just mine "Mr. Blankenship" for info. Not saying the article is misleading. But wouldnt trust it much either. Really poor journalism...
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 01, 2013, 06:58 AM
Wonder how much longer until...

[ You are not allowed to view attachments ]

Hopefully it won't burst before Renegade cashes out and retires as a millionaire! :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 02, 2013, 10:24 AM
Bitcoin mining malware could be hidden in app, security researchers warn (http://www.theguardian.com/technology/2013/dec/02/bitcoin-mining-malwarebytes-app-pc)

Computer users are being warned about "scam" apps which stealthily use their PC's resources to "mine" Bitcoins - by getting permission in a lengthy user agreement.

The security company Malwarebytes says that it has come across a program which silently used more than half of a user's computer power to perform the complex calculations required to generate the virtual currency, whose value has skyrocketed this year to around $1,000.

Adam Kujawa at Malwarebytes says that the move is one step on from the typical "Potentially Unwanted Programs" which offer browser toolbars and search agents that capture user data and pass it back to the companies, which then use that to serve adverts.

More at link (http://www.theguardian.com/technology/2013/dec/02/bitcoin-mining-malwarebytes-app-pc).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 02, 2013, 01:50 PM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg343161#msg343161))
In Bitcoin's Orbit Rival Virtual Currencies Vie for Acceptance (http://dealbook.nytimes.com/2013/11/24/in-bitcoins-orbit-rival-virtual-currencies-vie-for-acceptance/?src=un&feedurl=http%3A%2F%2Fjson8.nytimes.com%2Fpages%2Fbusiness%2Findex.jsonp)

For the skeptical out there, keep your eye on the alt coins. If you have spare CPU or much better GPU power to spare, you can mine alt coins yourself. This is the big alt coin market:

https://www.cryptsy.com

Some others have much more limited offerings. BTC-e is the big Litecoin market. OKcoin.com is influential in the LTC market as well though.

Wonder how much longer until...
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg343175#msg343175))

That ain't gonna happen.

What everyone is missing is that Bitcoin is a PROTOCOL. Very much like HTTP. You can build entirely new services and ecosystems on top of it.

http://www.coindesk.com/colored-coins-paint-sophisticated-future-for-bitcoin/

Bitcoin is a useful way to exchange money, but what if you could do other things with it? If bitcoiners could use it to issue shares, bonds and IOUs, or even to create alternative currencies atop bitcoins, they could add even more value to this innovative cryptocurrency. Bitcoinx, a community wanting to “democratize finance,” is hoping to facilitate just that, with a concept called “colored coins”.

Colored coins is a concept designed to be layered on top of Bitcoin, creating a new set of information about coins being exchanged. Using colored coins, bitcoins could be “colored” with specific attributes. This effectively turns them into tokens, which can be used to represent anything.

More at the link.

What is important to understand is that Bitcoin, and crypto currencies in general, offer a frictionless transaction where you can transfer $150,000,000 (as was done a week or so ago) for about $0.06 where it would cost you hundreds of thousands of dollars to transfer that through a traditional, antiquated system like Western Union or PayPal, etc.

But not only are these systems frictionless, they are faster and far more secure. You do not run the risk of your bank freezing your accounts or stealing your money because of some idiotic regulations or whatever.

And on top of that, you can have distributed stock exchanges and the like.

This is the democratisation of the value of currency. It flips the entire fiat paradigm on its head.

Technologically, this is a revolution in human history that can only be compared to Gutenberg's printing press and the advent of the Internet. And it dwarfs both of those. This revolutionizes commerce and finance. Fiat is dead. It's just a walking zombie now, waiting for someone to shoot it in the head.

If anyone has been paying attention, we are in the midst of a full-on currency war. China has lobbed another salvo against the USD announcing that it will no longer be buying USD or US bonds. That little story, oddly enough, didn't really make much of a wave in the MSM, despite it being some of the biggest and most important news I've heard all year. There are many other stories in the currency war that the MSM is conveniently ignoring. Even the alternative media hasn't really picked up on it yet.

So when the currency battlefield is soaked in the blood of fiat, what will be left standing?

Centralized currency?
Decentralized currency?

Napster died because it was centralized.
Bittorrent is impossible to kill because it is decentralized.

Crypto currency is here to stay. It's just going to take a bit longer for some people to realise that. :D ;)

Hopefully it won't burst before Renegade cashes out and retires as a millionaire! :Thmbsup:

The retirement part *IS* gonna happen~! ;D

Bitcoin mining malware could be hidden in app, security researchers warn (http://www.theguardian.com/technology/2013/dec/02/bitcoin-mining-malwarebytes-app-pc)

This stuff is really annoying as the AV companies label minerd.exe as malware, which it isn't. So, I have to whitelist it and turn off my AV when I download cpuminer. It is NOT malware.

But this is no different than other programs that people run the exact same way. Some programs out there do distributed computing and companies sell that power to different customers. The SETI stuff is one example. A lot of it is done under the banner of "for charity" or "for science". Thankfully I've not seen them try to sell that "for the children", though I'm sure that's coming.

The EXACT same type of software has been around for years and years and not labeled malware. The consistency is, well... whatever. Pfft.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 02, 2013, 03:46 PM
^ Oh, I wasn't implying that it *was* malware in and of itself; just like a lot of other programs that get labeled as such, it's in the use.  And on that point, when someone does install a miner on your machine using your CPU to make money, that use of it becomes malware.  And it's interesting in this fact.  Just like the other forms of malware which are ways to get money (by taking your credit card and bank numbers, or encrypting your files so you can be held for ransom), this is worthy of reporting/being informed of for that very reason.  It's just we're keeping bitcoin confined to one thread, so I did that with this.  Perhaps I shouldn't have so it will get a wider audience, but ...
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 02, 2013, 03:56 PM
^ Oh, I wasn't implying that it *was* malware in and of itself; just like a lot of other programs that get labeled as such, it's in the use.  And on that point, when someone does install a miner on your machine using your CPU to make money, that use of it becomes malware.  And it's interesting in this fact.  Just like the other forms of malware which are ways to get money (by taking your credit card and bank numbers, or encrypting your files so you can be held for ransom), this is worthy of reporting/being informed of for that very reason.  It's just we're keeping bitcoin confined to one thread, so I did that with this.  Perhaps I shouldn't have so it will get a wider audience, but ...

I didn't think that you were implying that. The article was.

But even then, when you download free software from somewhere, especially if it's not been broadly vetted, you do need to read the license. Now, the wording in some is rather terse or obtuse, but it's still "fair warning". If you're not paying for the product... you are the product. Or your CPU/GPU... It's not malware - it's just pretty stupid to install software that's going to max out your machine, especially when you've been warned. Sure it's a crappy deal for the person installing it, but that doesn't make it malware. These terms get thrown around too easily sometimes.

I just have little sympathy for people that install everything and anything then whine about it.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 02, 2013, 05:38 PM
But even then, when you download free software from somewhere, especially if it's not been broadly vetted, you do need to read the license. Now, the wording in some is rather terse or obtuse, but it's still "fair warning".

Legalese is never to be construed as fair anything, and I'll be damned if I'll ever waste an entire second of my life reading that level of convoluted bullshit. I simply don't care what someone's vampiric lawyers thinks is a clever way of phrasing their excuses for trying to rape me. I shred any piece of software I use to be sure it actually does do precisely what I feel it is to be doing.


I just have little sympathy for people that install everything and anything then whine about it.

 :D Me either ... I just have a unique way of enforcing what's allowed on my computer. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 03, 2013, 01:47 AM
But even then, when you download free software from somewhere, especially if it's not been broadly vetted, you do need to read the license. Now, the wording in some is rather terse or obtuse, but it's still "fair warning".

Legalese is never to be construed as fair anything, and I'll be damned if I'll ever waste an entire second of my life reading that level of convoluted bullshit. I simply don't care what someone's vampiric lawyers thinks is a clever way of phrasing their excuses for trying to rape me. I shred any piece of software I use to be sure it actually does do precisely what I feel it is to be doing.

Legalese is total douchebaggery. No argument there.

I just have little sympathy for people that install everything and anything then whine about it.

 :D Me either ... I just have a unique way of enforcing what's allowed on my computer. ;)

My solution is to just not install anything unless I'm pretty damn sure about it.

I don't see this as much different than the whole toolbar thing. It comes with extra crap. I suppose that's one of the reasons that I like OpenCandy - they're very open and up front about what they do. It's hard to be more open than they are.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 03, 2013, 08:29 PM
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Kid holding Send Bitcoin sign on ESPN GameDay gets $24K in donations (http://now.msn.com/kid-holding-send-bitcoin-sign-on-espn-gameday-gets-dollar24k-in-donations)
Title: Re: Does anyone here use Bitcoins?
Post by: Attronarch on December 04, 2013, 09:57 AM
Looks interesting. I've read some articles on mining bitcoins, but I'll need to dig deeper into it. Any recommendations?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 04, 2013, 11:18 AM
Kid holding Send Bitcoin sign on ESPN GameDay gets $24K in donations

a. Well... tangential as it is, it's still a definite win for Renegade's "One should tryout Bitcoins" side of the fence.

b. F**K! WHY Didn't I Think of That!!! :wallbash: :wallbash: :wallbash:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 04, 2013, 12:44 PM
it's still a definite win for Renegade's "One should tryout Bitcoins" side of the fence.

Yup. And I sincerely hope he'll get the chance to say "Told ya so 40hz!"  ;D
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 04, 2013, 02:49 PM
Looks interesting. I've read some articles on mining bitcoins, but I'll need to dig deeper into it. Any recommendations?

there was a post (https://www.donationcoder.com/forum/index.php?topic=36055.msg343116#msg343116) lately in the basement that might give you a few pointers (NOTE: you're heading into a friendly, but not so family friendly zone there).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 09, 2013, 06:30 AM
it's still a definite win for Renegade's "One should tryout Bitcoins" side of the fence.

Yup. And I sincerely hope he'll get the chance to say "Told ya so 40hz!"  ;D

If you saw my finances, you'd know that I'm already thinking that. ;)

In other news...

A song for bitcoin:



;D

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;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 09, 2013, 07:06 AM
If you saw my finances, you'd know that I'm already thinking that.

Glad to see somebody I know is coming out ahead. Luck! :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 09, 2013, 10:05 AM
Here's a fun cartoon:

http://www.pidjin.net/2013/12/09/bitcoined/

;)
Title: Re: Does anyone here use Bitcoins?
Post by: bit on December 09, 2013, 02:29 PM
Why would I want to use a bit coin? It seems unsanitary, and they're not even real gold.

Yay it's my 100th post!  8) ;) :D :up: :Thmbsup: :P
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 11, 2013, 11:54 AM
FWIW, Jupiter Broadcasting (home of Tech Snap and The Linux Action Show) have a weekly
video podcast (20 episodes and counting) devoted to crypto currencies. It's called Plan B and can be found here (http://www.jupiterbroadcasting.com/show/planb/).

Plan B is a weekly talk show contemplating the future and present of Bitcoin. With insights for the novice, shop talk for the expert, and opinionated discussion for the interested observer of bitcoin and related technologies.

RSS for podcatchers: http://feeds.feedburner.com/PlanBVideo

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 11, 2013, 12:29 PM
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Cashing in on the bitcoin boom (http://www.latimes.com/business/la-fi-bitcoin-boom-20131209,0,4927948,full.story#axzz2n38CnGRq)

The bitcoin crash of 2013 - Don't you feel silly now? (http://www.latimes.com/business/hiltzik/la-fi-mh-the-bitcoin-crash-20131207,0,7011276.story#axzz2n38CnGRq)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 11, 2013, 02:59 PM
The bitcoin crash of 2013 - Don't you feel silly now? (http://www.latimes.com/business/hiltzik/la-fi-mh-the-bitcoin-crash-20131207,0,7011276.story#axzz2n38CnGRq)

Articles like this are just 'silly'.
Bitcoin is currently acting like a microcosm of the Stock Exchange - just that everything is all speeded up. It's also not unlike fiat money [only] in that they are both "money without intrinsic value".
So when people who otherwise accept the idea of fiat money, and invest in stocks - or anything along those lines - when these people get all high and mighty about Bitcoin and writing articles *against* it, I just think: hypocrisy. If they want to make an *argument* against it, that's obviously fine - but "Don't you feel silly now?" doesnt quite qualify there.

(FWIW I'm not "for" nor "against" Bitcoin).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 11, 2013, 10:49 PM
Why would I want to use a bit coin?

Payment processors charge 2~5% on every transaction. Crypto currency fees are optional, and much lower if you choose to pay the fee.

Payments are instant. Bank transfers can take several days.

You don't get payments blocked by a bank that wants to tell you what you can and cannot do with your own money.

You can pay anonymously.

Your money cannot be stolen from you through a bank bail-in as was done in Cyprus and as is now law in places like Canada.

Bitcoins are limited in supply so they are deflationary (increase in value - gain purchasing power) whereas fiat is unlimited and inflationary (you lose purchasing power over time).

You can send money to anyone, anywhere in the world with no restrictions on how much you send.

If you send more than $10,000 to anyone or to yourself across "borders", you don't have a bank tattling on you to a government that will label you a terrorist or drug dealer or put you on a watch list.

You can take your bitcoins with you when you fly and have as much as you want and there's nothing that airport security can do about it.

Bitcoins put YOU in charge of your money. Banks and governments can't force you to do anything you don't want to. e.g. You can buy anything you want or take your money anywhere you want or send it to whoever you want and they can't stop you.

You'd want to use bitcoins because they give you some freedom.

There are more reasons.

The real question is, "When you have the option to use bitcoins (or any decentralised, open source crypto currency), why would you ever want to use fiat?"

There is no good argument for using fiat over bitcoins. All the problems/objections have been solved. I've not read 1 single good or valid objection yet. And I've read a truckload on this.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 12, 2013, 04:17 AM
Bitcoins are limited in supply so they are deflationary (increase in value - gain purchasing power) whereas fiat is unlimited and inflationary (you lose purchasing power over time).

This comparision may be true with regard to Bitcoin - but it's not true about crypto currencies in general. New ones keep appearing, and I see no reason why this should stop. The problem with this is exactly the same as with fiat currencies, except worse. As more and more (limitless) currencies, and units come into being, I see no reason that people will say "but Bitcoin is the best" - so Bitcoin and all other crypto currencies will become "inflationary" (i.e. lose value, possibly even becoming worthless).


The real question is, "When you have the option to use bitcoins (or any decentralised, open source crypto currency), why would you ever want to use fiat?"

as per my reasoning above, fiat has some sort of control over itself - cryptocurrencies do not.
(I'm not happy about this but as I said (https://www.donationcoder.com/forum/index.php?topic=36232.msg343337#msg343337) before, I just cant see a way that it can work. Dont mean that way isn't there... we'll see)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 12, 2013, 07:32 AM
Bitcoin = world reserve crypto currency

Alt coins = other currencies

No reason why that can't work at all. We'll just see a lot of currencies fail, and that's ok.

I trade crypto-crypto pairs. I do not trade fiat-crypto pairs. Why would I? I use the world reserve crypto currency (bitcoin) as my primary currency and I trade others.

As fiat currencies continue to be debased by governments and central banks, more people will flock to crypto currencies. It's happening now. People don't want their money to be worth less tomorrow. A bit of upwards volatility is preferable to certain demise.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 12, 2013, 09:23 AM
Bitcoin = world reserve crypto currency

I'm not sure I understand: what would being a 'world reserve crypto currency' involve?
I cant quite tie it in with the current definition of a reserve currency a la http://en.wikipedia.org/wiki/Reserve_currency.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 12, 2013, 10:38 AM
I cant quite tie it in with the current definition of a reserve currency a la http://en.wikipedia.org/wiki/Reserve_currency.

That's actually a great resource; you just have to realize that unlike fiat, the reserve is not held by one group.  Because BC is the anchor for the trading in all of the other CCs, that's why he refers to it in that manner.  At least, that was my understanding.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 12, 2013, 10:52 AM
Bitcoin = world reserve crypto currency

I'm not sure I understand: what would being a 'world reserve crypto currency' involve?
I cant quite tie it in with the current definition of a reserve currency a la http://en.wikipedia.org/wiki/Reserve_currency.

From the article:

A reserve currency (or anchor currency) is a currency that is held in significant quantities by governments and institutions as part of their foreign exchange reserves, and that is commonly used in international transactions.

Edited to make more sense:

A reserve currency (or anchor currency) is a currency that is held in significant quantities by people as part of their savings, and that is commonly used in transactions.

Bitcoin fits that for the crypto world.

Don't worry about the specific details - they're not relevant. Look at the big picture. Or, take it as a metaphor. Either or.

Other than fiat, almost all currency pairs are in BTC, LTC, and XPM, with the vast, overwhelming majority in BTC.

Here's an edge case... If you want to buy Netcoins (NET), you need to buy them in LTC or XPM. So, if you want them, most likely you need to go from USD or EUR (or whatever) to BTC to LTC/XPM to NET.

But pretty much everyone deals in BTC.

DOGE coins are really new and catching on fast. They're really fun. Check the forum here:

http://doges.org/

Here's a joke from me in 1 thread:

http://doges.org/index.php?topic=469.msg2716#msg2716

Dogecoins are sold mostly for games or bitcoins right now. Again, back to bitcoins.  It's the "reserve" of the crypto currency world. Everyone accepts it. Everyone deals in it. Most currency pairs include BTC.

I just mined a bunch of Lottocoins. If anyone wants some, I'm selling them for bitcoins. :D (I'm keeping my dogecoins!)

But seriously - nobody measures alt crypto in anything but BTC. (When dealing with more than 1 crypto.)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 12, 2013, 10:53 AM
I cant quite tie it in with the current definition of a reserve currency a la http://en.wikipedia.org/wiki/Reserve_currency.

That's actually a great resource; you just have to realize that unlike fiat, the reserve is not held by one group.  Because BC is the anchor for the trading in all of the other CCs, that's why he refers to it in that manner.  At least, that was my understanding.

Yes.

You clicked post just a moment before I did. :)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 12, 2013, 03:39 PM
^Thanks for clarifying.

Next: I'm wondering why you're so sure that Bitcoin will retain that reserve currency role?
In a world where there are ever more crypto currencies.

It's comparable to the current system - with the big difference that Bitcoin is limited.
Number of crypto currencies is not limited, so they will just fight it out and some will be successful, some not.
That could work out fine if one remains strong. But I'm struggling with 'why' - why Bitcoin? Simply because it was first? Is that good enough for the long haul?
I'm not convinced. And I'm not sure why others are.

I know it's an experiment and all that. And I suppose most people buying bitcoin arent particularly interested in the long term. And the best laid plans of anyone can take unexpected turns, so no-one can predict. But I kind of wish there was something more there - was this scenario (competition) considered by the creator(s)?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 12, 2013, 03:57 PM
Why would I want to use a bit coin?  It seems unsanitary, and they're not even real gold.

Payment processors charge 2~5% on every transaction. ... Bla Bla Bla

Ren... That was a pun...(bit = past tense of bite)...and a pretty good one too.

Would you please stop making me feel like jiminy Cricket. :D
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 12, 2013, 10:22 PM
When the FBI seizes millions of dollars in cash from some warehouse at the heart of an urban drug cartel, the money winds up in a government building somewhere and eventually finds its way into a government bank account, where it helps finance all sorts of government stuff, like the next FBI drug bust.

But what happens when the feds bust an online drug marketplace and confiscate millions of dollars in bitcoins, the wildly popular digital currency that doesn’t exactly align with the government’s way of doing things — and so often serves as a convenient means of money laundering? What will become of the $3.3 million in bitcoins the FBI seized after shutting down the Silk Road early last week — not to mention the $80 million or so in bitcoins they’ve yet to seize from the personal account of the man who allegedly ran the online drug bazaar?
The Ultimate Bitcoin Question Can the Feds Spend $3.3M in Seized Digital Currency? (http://www.wired.com/wiredenterprise/2013/10/silk-road-bust/)
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 14, 2013, 11:05 AM
Don't know if all here have already seen it, but I personally become hooked on Bitcoin after seeing this video:



This one also is less technical but present some possible interesting outcomes:



"On the blockchain, no one knows you are a fridge." - Richard Brown  ;D

Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on December 14, 2013, 11:54 AM
Mark0 - I appreciate the links - thanks!
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 15, 2013, 09:20 AM
Continuing in the (IMHO) interesting videos...

A Mike Hearn (a Bitcoin dev) presentation that show how a simple transaction like "give 1 BTC to Bob" is just the tip of the iceberg of what can be done with Bitcoin:



And here a bit of a leap in to an optimistic near future:

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 15, 2013, 09:43 AM
Thanks Mark0... between you and Renegade, I'm coming over to that side of the fence... :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 16, 2013, 07:29 AM
Here's a history of Bitcoin infographic. It is very large.

http://www.visualcapitalist.com/wp-content/uploads/2013/12/the-definitive-history-of-bitcoin-infographic.jpg

Not hot linking it for obvious reasons.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 17, 2013, 08:05 AM
Semi-quasi-pseudo-related...

http://www.millionaires-club-international.com/video/?s=pQliVvJDFF&lang=#.UrBYyfQW3up

Ðogecoin is another crypto currency. The video there is just subbing in dogecoin stuff.

Anyways, it's just part of the doge meme and Ðogecoin cryptocurrency, and funny, and the way they sub in the images and text in the video is just pretty damn cool. :D
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 17, 2013, 11:17 AM
Here's a history of Bitcoin infographic. It is very large.

http://www.visualcapitalist.com/wp-content/uploads/2013/12/the-definitive-history-of-bitcoin-infographic.jpg

Not hot linking it for obvious reasons.

That infographic is one of the best explanations I've seen.  Thinking about getting into BC just so I can donate at some point :)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 17, 2013, 11:50 AM
[ You are not allowed to view attachments ]

Why Bitcoin Will Never Be a Currency—in 2 Charts - Matthew O'Brien (http://www.theatlantic.com/business/archive/2013/12/why-bitcoin-will-never-be-a-currency-in-2-charts/282364/)

More argument.
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 17, 2013, 11:51 AM
Check this: https://www.btproof.com/

BTProof
Trusted timestamping on the Bitcoin blockchain

What is trusted timestamping?
Trusted timestamping allows to prove you held a document, some information or a file at some specific point in time, in a way that can't be forged. Read more at Wikipedia (http://en.wikipedia.org/wiki/Trusted_timestamping).

More trustworthy than any notary. Not to mention cheaper!  :Thmbsup:
Someone just signed a marriage certificate & a photo.  :)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 17, 2013, 03:45 PM
Why Bitcoin Will Never Be a Currency—in 2 Charts - Matthew O'Brien (http://www.theatlantic.com/business/archive/2013/12/why-bitcoin-will-never-be-a-currency-in-2-charts/282364/)

More argument.

I'm actually a bit stunned how bad that article is. It's from Matthew O'Brien, a senior associate editor at The Atlantic covering business and economics. He doesnt even acknowledge that there are different schools of economic thought. I'm even wondering was the guy just trying to troll a bit, and upset as many Bitcoin fans as possible - which would actually make it a very amusing article.
Funny how the world is sometimes...
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 17, 2013, 04:16 PM
^ I do see a lot more of what Renegade was on about before- how MSM and the powers that be seem to be in collusion with all of the FUD towards BC.  That's just one of the more... obvious examples.
Title: Re: Does anyone here use Bitcoins?
Post by: kilele on December 20, 2013, 06:35 AM
Amazing concept!
How could one make a site like donationcoder enabling donations with bitcoins ?
For example a download site for homebrew game developers which allowed payments / donations whenever someone downloads digital productions
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on December 20, 2013, 08:06 AM
I'm actually a bit stunned how bad that article is. It's from Matthew O'Brien, a senior associate editor at The Atlantic covering business and economics. He doesnt even acknowledge that there are different schools of economic thought. I'm even wondering was the guy just trying to troll a bit, and upset as many Bitcoin fans as possible ...

Going sideways a bit, "trolls are trolls", but I don't want "senior associate editors at The Atlantic covering business and economics" ... doing the trolling.

I have enough trouble getting my news cleanly, with "known troll rags" out there muddying the picture, without what was supposed to be a Grade A source jumping in!

:o

Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 20, 2013, 08:12 AM
How could one make a site like donationcoder enabling donations with bitcoins ?
For example a download site for homebrew game developers which allowed payments / donations whenever someone downloads digital productions

The simplest way would be to just show an address, either in plain text or as a QR code. People scan the code in their wallet application, send, done: bitcoins are delivered.
Blockchain.info offer a simple donation button maker, ready to be cut & pasted on a web page, that generate a different address every time (to complicate things a bit to whom want to try to see how much bitcoins the receiver have accumulated) and display a QR code.

Or, a payment processor like BitPay can be used, to let users pay in bitcoins and receive the corresponding amount in the legal tender of choice, with a minimal fee (1% per transaction or fixed 30$ monthly, if I remember correctly).
 
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 20, 2013, 10:00 AM
Andreas Antonopoulos on Bitcoin the technology and its social implications:

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 20, 2013, 10:54 AM
The videos are great Mark0 :up:

Here's one Ren posted elsewhere (basement)
"Bitcoin Poised To Make SIM Cards Obsolete"

Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 20, 2013, 11:08 AM
Great. Seeing how spaces on smartphones is at premium, and how the manufacturers try to come up & push with smaller and smaller SIMs format, they should embrace something like this.

Except Apple: they show no love for Bitcoin probably because they are afraid for their next iPay-system-thing...
Title: Re: Does anyone here use Bitcoins?
Post by: kilele on December 20, 2013, 03:00 PM
How could one make a site like donationcoder enabling donations with bitcoins ?
For example a download site for homebrew game developers which allowed payments / donations whenever someone downloads digital productions

The simplest way would be to just show an address, either in plain text or as a QR code. People scan the code in their wallet application, send, done: bitcoins are delivered.
Blockchain.info offer a simple donation button maker, ready to be cut & pasted on a web page, that generate a different address every time (to complicate things a bit to whom want to try to see how much bitcoins the receiver have accumulated) and display a QR code.

Or, a payment processor like BitPay can be used, to let users pay in bitcoins and receive the corresponding amount in the legal tender of choice, with a minimal fee (1% per transaction or fixed 30$ monthly, if I remember correctly).
 


Thanks for the information!
coinbase.com seems to me pretty easy to use, i'm not sure about exchanging bitcoins into dollars or euros
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 21, 2013, 08:53 PM
Bitcoin = world reserve crypto currency

I'm not sure I understand: what would being a 'world reserve crypto currency' involve?
I cant quite tie it in with the current definition of a reserve currency a la http://en.wikipedia.org/wiki/Reserve_currency.

http://words.steveklabnik.com/how-dogecoin-changed-my-perspective-on-cryptocurrency

Near the end:

Basically, BTC is sort of the ‘world reserve currency’ of cryptocurrencies.

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on December 23, 2013, 01:51 PM
Economist Paul Krugman on why he's not a fan of bitcoin:

http://www.nytimes.com/2013/12/23/opinion/krugman-bits-and-barbarism.html
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 23, 2013, 02:25 PM
The growth of the Internet will slow drastically, as the flaw in "Metcalfe's law"--which states that the number of potential connections in a network is proportional to the square of the number of participants--becomes apparent: most people have nothing to say to each other! By 2005 or so, it will become clear that the Internet's impact on the economy has been no greater than the fax machine's. - Paul Krugman, 1998

 :)
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on December 23, 2013, 02:55 PM
The growth of the Internet will slow drastically, as the flaw in "Metcalfe's law"--which states that the number of potential connections in a network is proportional to the square of the number of participants--becomes apparent: most people have nothing to say to each other! By 2005 or so, it will become clear that the Internet's impact on the economy has been no greater than the fax machine's. - Paul Krugman, 1998

 :)

Funny, but I in my Amateur Armchair vehemently disagree.

The Internet has "changed" 110 Trillion dollars of effect. How? Because the "viral" possibility of news means that things can't be shut up like the old days. So any topic ever, times the economic impact, explodes on the net. Just look at these BitCoin stories. I've seen forty of them. Barely one would have made "old news media".

Your choice of 88 other topics.

The Internet has exploded what Information means. And with Information comes Economics.

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 23, 2013, 02:59 PM
Economist Paul Krugman on why he's not a fan of bitcoin:

http://www.nytimes.com/2013/12/23/opinion/krugman-bits-and-barbarism.html

There's a lot of fundamentalism amongst the supporters of gold-backed currencies, and there's a lot of demonisation of fiat currencies out there too. Krugman's arguments against gold-backed currencies, while brief, are very persuasive. But to completely slate Bitcoin simply because it is a reaction to fiat currencies - or worse: simply because it is supported by people who are disillusioned with economics as practised today? That does not convince.

Bitcoin seems to derive its appeal from more or less the same sources [as of gold-backed currencies],
[...]

But don’t let the fancy trappings fool you: What’s really happening is a determined march to the days when money meant stuff you could jingle in your purse.

^ comes across simply as rhetoric. I'm disappointed.


On another note, he mentions regulation - imo, that's where things started to go really wrong (I believe around Reagan's time they started freeing the banks of regulations).
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on December 23, 2013, 03:08 PM
No, but BitCoin as the King and the other CryptoMoney as the followers has a horrible feeling like the old early Dot-Com explosion - all this early activity, then it crashes for good, then it becomes a cheap 3rd rate joke.

See elsewhere for the allegation that the Chinese exchange faked BitCoin trading data in light of the Chinese Ban.

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 23, 2013, 03:20 PM
See elsewhere [...]
ah go on - give us a link :D


If you read my posts on Bitcoin, you'll see that I'm very dubious about it, especially in the light of the glut of other crypto currencies - but that doesnt stop me being disappointed by the quality of Krugman's dismissal of it.
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on December 23, 2013, 03:38 PM
See elsewhere [...]
ah go on - give us a link :D
"Sometimes a clue is more tantalizing. If you didn't feel like a 12 second we search, then you didn't care about the issue anyway!" (This is often what I feel about obscure Linux news.)

: )

Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on December 23, 2013, 04:01 PM
Funny, but I in my Amateur Armchair vehemently disagree.

Yes, it was just to show that Krugman haven't exactly a good track record as a tech prophet!  ;D
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on December 24, 2013, 05:29 PM
Heads up for those looking at Dogecoin.

It originated as a joke, and has since gone viral due to its association with the popular doge meme.

Although it is showing explosive growth, it is known that early adopters mined abnormally large shares of the coins that they are now seeking to unload. The hype we are seeing may be a pump and dump attempt.

At the same time, it has a much larger trading pool than most other cryptocurrencies and might stick around because of its recognizable branding.

If you really want to get into it, mine for it instead of buying it. That way if this is a bubble or a scam you don't lose any money.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 24, 2013, 07:38 PM
The mining window is closing as it is getting increasingly difficult to do (unless you have really serious dedicated hardware). When I first started I was getting over 10,000 coins a day ... Now I'm lucky to break 100.
Title: Re: Does anyone here use Bitcoins?
Post by: TaoPhoenix on December 25, 2013, 12:32 AM
The mining window is closing as it is getting increasingly difficult to do (unless you have really serious dedicated hardware). When I first started I was getting over 10,000 coins a day ... Now I'm lucky to break 100.

Bingo StoicJoker.

That's the big flaw that keeps bothering me. "Look, here's a new crypto-currency and only a hundred people know about it! Nice advantage to us! Then later when it gets popular the algo will slow down and no one can get much more!"

Reminds me of the day when I cared about Magic the Gathering and bought a pizza with two Sengir Vampires!  :D  (The clerk made a note of the sale and said he would pay back his register.)


Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 26, 2013, 09:31 PM
[ You are not allowed to view attachments ]

Buy This House ... in Bitcoin (http://realestate.msn.com/blogs/post--buy-a-house-in-bitcoin)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 26, 2013, 09:35 PM
The mining window is closing as it is getting increasingly difficult to do (unless you have really serious dedicated hardware). When I first started I was getting over 10,000 coins a day ... Now I'm lucky to break 100.

Bingo StoicJoker.

That's the big flaw that keeps bothering me. "Look, here's a new crypto-currency and only a hundred people know about it! Nice advantage to us! Then later when it gets popular the algo will slow down and no one can get much more!"

Reminds me of the day when I cared about Magic the Gathering and bought a pizza with two Sengir Vampires!  :D  (The clerk made a note of the sale and said he would pay back his register.)

But how much were those bitcoins worth then and how much is the 100 worth now?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 26, 2013, 10:31 PM
If I'm reading the page right, each coin is worth $0.00057 USD ... So I'll go with not friggin much. :D But then again I know less about currency trading than my cat knows about canasta.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 02, 2014, 01:38 AM
[ You are not allowed to view attachments ]

Butterfly Labs Jalapeno Bitcoin Miner (http://www.dudeiwantthat.com/gear/computers/butterfly-labs-jalapeno-bitcoin-miner.asp)
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on January 02, 2014, 05:02 AM
Beware of Butterfly Labs! They have built quite a "reputation" in the last months.
Quite a bit of not brilliant feedback around, starting from reddit r/bitcoin.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 08, 2014, 12:20 PM
[ You are not allowed to view attachments ]

Ask Matt: Should I invest in Bitcoin? (http://www.usatoday.com/story/money/columnist/krantz/2014/01/07/bitcoin-invest-volatility-price/4144907/)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 09, 2014, 05:46 PM
Economist Paul Krugman on why he's not a fan of bitcoin:

http://www.nytimes.com/2013/12/23/opinion/krugman-bits-and-barbarism.html

Krugman is just a complete idiot. His basic premise is that if we all just "believe" hard enough, things will magically become wonderful and rainbow farting unicorns will be given to every child.

For an excellent experiment illustrating just what a total moron he is, have a look into Bernankoin:

https://bitcointalk.org/index.php?topic=375010.0

For a literal illustration of what kind of nitwit Krugman is, see here:

https://bitcointalk.org/index.php?topic=375010.msg4393471#msg4393471

ATM I'm not trading COYE, but I'll trade you 10 of my BEK for 20 of yours. Just send me multiples of 10 BEK and keep multiples of 10 BEK for yourself and we'll call the deal done. Send to this address: BndanZXsyDjnrP8dkwgbo87jExvk96tj8z ;D
-RenegadeMind link=https://bitcointalk.org/index.php?topic=375010.msg4393471#msg4393471 date=1389208453

And the reply:

Ill take you up on that trade!  Traded you 2000 BEK for 1000 BEK, great deal! :)
-artiface link=https://bitcointalk.org/index.php?topic=375010.msg4394106#msg4394106 date=1389210538

And yes. He did send me 1,000 BEK.

To really get the joke though, you need to understand a bit monetary policy, a splash of economics, what Quantitative Easing is (printing money), what a "rewards system" is in crypto currency, and how Bernankoin illustrates QE through its rewards system (named "Quantitative Easing").

Krugman is a troll.

Here's another bit of trolling by Krugman:

http://krugman.blogs.nytimes.com/2013/12/28/bitcoin-is-evil/?_r=0

Bitcoin Is Evil
-KrugTroll

There's nothing else in the article worth quoting.

In the comments:

However, Mr Krugman is right about bitcon being evil, at least for socialists. Bitcoin threatens socialist economies, central banks and all government monopolies on money. It is a libertarian tool, so all socialists should hate it.
-Roger McKinney - Broken Arrow, OK

Bitcoin threatens centralisation and collectivism. It is anathema to authoritarians and rent-seekers. Bitcoin is "neutral". To understand what "neutral" means in terms of a currency, I'd strongly recommend viewing a few of the videos posted with Andreas Antonopolous. Here's a link to many videos with him speaking:

https://www.youtube.com/results?search_query=+andreas+antonopoulos&sm=3

Here's a video entitled "Bitcoin Neutrality - Andreas Antonopolous"



The concept of neutrality is really, really important to understanding what Bitcoin is, and in light of what Bitcoin is, further understanding on just how corrupt our current system of fiat currency is.

But, the comment there on Krugtroll's article is quite correct. Socialists should both hate and fear Bitcoin (and by extension, all crypto currencies) because they strip the state of much of its power to dominate and control people.

Remember, Bitcoin has its roots in crypto-anarchism or cypherpunk. It is an anti-political technology. Krugman is a collectivist and hates Bitcoin because of this.

The growth of the Internet will slow drastically, as the flaw in "Metcalfe's law"--which states that the number of potential connections in a network is proportional to the square of the number of participants--becomes apparent: most people have nothing to say to each other! By 2005 or so, it will become clear that the Internet's impact on the economy has been no greater than the fax machine's. - Paul Krugman, 1998

 :)

Exactly. This fool is one of the crowd that helped bring you the sub-prime mortgage crisis. His credibility is negative.

The mining window is closing as it is getting increasingly difficult to do (unless you have really serious dedicated hardware). When I first started I was getting over 10,000 coins a day ... Now I'm lucky to break 100.

While it sucks to mine less, this is actually a good thing. It shows that there are more miners (diggers) out there digging for Ðogecoins. The more miners a currency has, the more secure the network.

I touch on this topic a bit in this blog post:

http://cynic.me/2014/01/07/why-shitcoins-are-good-and-why-bitcoin-purists-hate-shitcoins/

The mining window is closing as it is getting increasingly difficult to do (unless you have really serious dedicated hardware). When I first started I was getting over 10,000 coins a day ... Now I'm lucky to break 100.

Bingo StoicJoker.

That's the big flaw that keeps bothering me. "Look, here's a new crypto-currency and only a hundred people know about it! Nice advantage to us! Then later when it gets popular the algo will slow down and no one can get much more!"

Reminds me of the day when I cared about Magic the Gathering and bought a pizza with two Sengir Vampires!  :D  (The clerk made a note of the sale and said he would pay back his register.)

There are a lot of considerations in looking at rewards systems. Your comment applies to some, but not all currencies.

I wrote up a joke currency here:

https://bitcointalk.org/index.php?topic=390735.0

(http://i.imgur.com/Beoi3n2.png)

It's a joke from top to bottom.

But the rewards system completely eliminates the objection that you just raised. It's based on the Fibonacci series.

Now, while this is an extreme example, there are other currencies that have done similar things to eliminate the scenarios where early adopters jump in and snatch up massive amounts of coins. Some do the exact opposite and reward early adopters.

This should be enough, given the objection/concern, to illustrate just how important rewards systems are for a currency. (The other consideration there is "pre-mining".)

Title: Re: Does anyone here use Bitcoins?
Post by: bit on January 10, 2014, 03:30 PM
No, I never bite my coins, and if I saw anyone else biting one before giving it to me I'd refuse to accept it in case I got rabies or something.
wahahahah!  :P

By the way, my user name has nothing to do with this thread or post.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 12, 2014, 07:46 AM
Good grief...

Andreas Antonopoulos - blows me away all the time.



Long, but the section up to about 15:00 is just mind blowing. And it gets better!  :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup:

EDIT: Non-stop mind-blowing awesomeness. Luckily I have super powers of not pooping my pants. They were much needed. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 13, 2014, 12:06 PM
[ You are not allowed to view attachments ]

Why more businesses may adopt bitcoin (http://www.usatoday.com/story/money/personalfinance/2014/01/12/cnbc-bitcoin-business/4393905/)

Will this feed the Bitcoin frenzy here or are you already completelly manic and restrained only by a straitjacket?

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 13, 2014, 02:04 PM
Andreas Antonopoulos - blows me away all the time.

a big plus one there Ren :up:
I've only watched the first 30 mins yet, and want to watch it again -- there's a lot in there.

I've listened to, I think, four videos by him -- each about different aspects of Bitcoin, and he really is *very* good. He's got great vision -- but with his feet firmly on the ground. It's refreshing to hear someone who supports bitcoin say that the US dollar is in reasonable shape (for a fiat currency).
He's also the only one I've heard or read so far who addresses the questions I had about possible problems with bitcoin. (I'll have to try find a suitable video by him on the practical aspects of Bitcoin to post here.)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 14, 2014, 07:30 AM
Andreas Antonopoulos - blows me away all the time.

a big plus one there Ren :up:
I've only watched the first 30 mins yet, and want to watch it again -- there's a lot in there.

I've listened to, I think, four videos by him -- each about different aspects of Bitcoin, and he really is *very* good. He's got great vision -- but with his feet firmly on the ground. It's refreshing to hear someone who supports bitcoin say that the US dollar is in reasonable shape (for a fiat currency).
He's also the only one I've heard or read so far who addresses the questions I had about possible problems with bitcoin. (I'll have to try find a suitable video by him on the practical aspects of Bitcoin to post here.)

Dude is like a force of nature - unstoppable.

The biggest problem that I see is that nobody really understands Bitcoin yet. Andreas is so way far out there, and man... do I ever learn a lot from him. But there don't seem to be many people that understand even 1% of what he does. And from listening to him, I get the feeling that he still doesn't even remotely understand the implications yet - he goes on about so many possibilities, but there are just too many to really understand well (e.g. what happens if Africa gets out of the debt slavery that has been imposed on it? That's a big deal.). This is uncharted territory. The very early adopters sailed on the May Flower. We're now in the Wild West and there be gold rushes everywhere.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 15, 2014, 06:10 AM
http://sourceforge.net/mailarchive/message.php?msg_id=31813471

A Stealth Address is a new type of Bitcoin address and related
scriptPubKey/transaction generation scheme that allowers payees to
publish a single, fixed, address that payors can send funds efficiently,
privately, reliably and non-interactively. Payors do not learn what
other payments have been made to the stealth address, and third-parties
learn nothing at all. (both subject to an adjustable anonymity set)

Graphic here:

http://imgur.com/rHhNKL6

tl;dr - Game over. Anonymity wins. Establishment loses.

Implications? Beyond your wildest dreams. This is MASSIVE!

Easier explanation... (bastardized)

I send you an address. You combine that address with a key to create a new address. You send Bitcoins to that address. I get my Bitcoins at my address. Untraceable. No record of it is stored in the blockchain thanks to the wonderful magic of cryptography.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 15, 2014, 05:00 PM
Ah... a CEO that I can admire~! ;D

http://rare.us/story/overstock-com-ceo-attacks-krugman-hopefully-bitcoin-will-destroy-central-banking/#sthash.bGfa0Sui.sfju

Overstock.com CEO attacks Krugman: “Hopefully Bitcoin will destroy central banking”

Overstock.com CEO Patrick Byrne discusses Bitcoin and the fears of central planning economist Paul Krugman who claims Bitcoin is evil.

Byrne says “Krugman did some great work before he went crazy” he then goes on to explain his hope that Bitcoin can destroy central banking.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 17, 2014, 08:13 PM
[ You are not allowed to view attachments ]

Bitcoin quiz (http://www.csmonitor.com/Business/2014/0117/Bitcoin-quiz/creator)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 19, 2014, 02:09 PM
25% of Porn.com's payments are in bitcoins!

http://www.nerve.com/entertainment/web/a-quarter-of-porncoms-videos-are-purchased-with-bitcoin

Bitcoin—you know, that cryptocurrency you pretend you know all about at parties but secretly search on Wikipedia when you're drunk in the bathroom, has met its match. In a combination almost as perfect as chocolate and peanut butter, bacon and eggs, or water-based lube and silicone dildos, you can now purchase your spank videos with your fave digital currency. In December, Porn.com announced that it would now accept confidential bitcoin payments for its premium services, and Bitcoin users quickly shot up to 10 percent of all sales. That was just the beginning of the love affair, because after the Bitcoiners of Reddit proudly announced their acquisition just 15 days ago—in a synergistic explosion of Moms Bang Teens and cryptography— bitcoin now accounts for a staggering quarter of all Porn.com sales.

But perhaps more telling about the general success of Bitcoin...

Porn.com's current owners aren't too invested in seeing how this whole digital currency phase works out, though. They're already reportedly looking to sell the domain for $50 million in, well, Bitcoin. It's the circle of life. And it jerks us all.

Follow the money crypto~! ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 20, 2014, 07:02 AM
You're having way too much fun with that.

 :D
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 20, 2014, 11:43 AM
(http://static.guim.co.uk/sys-images/Guardian/Pix/pictures/2014/1/20/1390229373592/aec83578-df47-4eae-9992-58f0f4ddec92-460x276.png)

It's bobsleigh time: Jamaican team raises $25,000 in Dogecoin (http://www.theguardian.com/technology/2014/jan/20/jamaican-bobsled-team-raises-dogecoin-winter-olympics)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 20, 2014, 02:23 PM
(http://static.guim.co.uk/sys-images/Guardian/Pix/pictures/2014/1/20/1390229373592/aec83578-df47-4eae-9992-58f0f4ddec92-460x276.png)

It's bobsleigh time: Jamaican team raises $25,000 in Dogecoin (http://www.theguardian.com/technology/2014/jan/20/jamaican-bobsled-team-raises-dogecoin-winter-olympics)


You beat me to it! :) (And actually $34,944, not $25k.)

This is the donation site:

http://dogesled.net/

The site I made with a few other guys is at the bottom (we didn't ask - they just posted it):

How do I get started with Dogecoin?
howtodoge.com (http://howtodoge.com/) provides some great tutorials on how to get started using Dogecoin!

In other charitable news:

http://www.thedrinkingrecord.com/2014/01/19/romanian-billionaire-saves-openbsd/

Romanian Billionaire Saves OpenBSD

In #bitcoin-assets.

Meanwhile, in the MSM...

OMG! Bitcoin can be used by terrorists and kiddie pornographers! OMG! Money laundering! Crime! Tax evasion! NOOOO~!

Pfft!

And it can save OpenBSD and send the Jamaican bobsled team to the Olympics. Reality trumps paranoid delusions. :P
Title: Re: Does anyone here use Bitcoins?
Post by: barney on January 20, 2014, 09:34 PM
Reality trumps paranoid delusions.

Ya might wanna rethink that statement  :-\.  Money laundering, crime, tax evasion, et al., have been around - i.e., reality - a lot longer than even the concept of bitcoin and other cyber currencies.  Evil or good is not the realm of any currency medium, just the uses to which it is applied.  To paraphrase an old saying, "What Man can create, Man can pervert."  :o :P
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 20, 2014, 09:56 PM
Reality trumps paranoid delusions.

Ya might wanna rethink that statement  :-\.  Money laundering, crime, tax evasion, et al., have been around - i.e., reality - a lot longer than even the concept of bitcoin and other cyber currencies.  Evil or good is not the realm of any currency medium, just the uses to which it is applied.  To paraphrase an old saying, "What Man can create, Man can pervert."  :o :P

I think that's Ren's point. The MSM is trying to spin crypto as causal when it neither is nor can be.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 22, 2014, 04:29 PM
Reality trumps paranoid delusions.

Ya might wanna rethink that statement  :-\.  Money laundering, crime, tax evasion, et al., have been around - i.e., reality - a lot longer than even the concept of bitcoin and other cyber currencies.  Evil or good is not the realm of any currency medium, just the uses to which it is applied.  To paraphrase an old saying, "What Man can create, Man can pervert."  :o :P

I think that's Ren's point. The MSM is trying to spin crypto as causal when it neither is nor can be.

Exactly. If they wanted to "stop all bad things", they'd outlaw the USD as it's used for more criminal activity than any other currency. Which is just complete insanity.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 23, 2014, 02:47 AM
[ You are not allowed to view attachments ]

Bitcoin is not just digital currency. It's Napster for finance. (http://finance.fortune.cnn.com/2014/01/21/bitcoin-platform/)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 23, 2014, 04:53 AM
Terrorism! Drugs! Online Assassinations! Money laundering! Tax evasion!

No... This is what bitcoins are really used for:

http://www.forbes.com/sites/erikamorphy/2014/01/22/here-is-what-bitcoin-users-are-buying-on-overstock-com/

1. Sheets

2. Cell Phone Accessories

3. A/V Accessories

4. Appliances

5. Computer Accessories

6. Computers

7. Men’s Shoes

8. Hard Drives

9. Bedroom Furniture

10. Keyboards & Mice

11. Men’s Watches

12. Computer Hardware

13. Storage & Blank Media

14. Living Room Furniture

15. Shirts

16. Perfumes & Fragrances

17. Networking

18. Cookware

19. Memory Cards

20. Towels

21. Area Rugs

22. Computer Components

23. Decorative Accessories

24. Fiction Books

25. Lighting & Ceiling Fans

Half a million dollars worth in 2 weeks. At 1 store.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 23, 2014, 05:57 AM
Terrorism! Drugs! Online Assassinations! Money laundering! Tax evasion!

No... This is what bitcoins are really used for:



From what I've been given to understand, uncut diamonds (and to a lesser extent cocaine/heroin) are the actual preferred currencies for financing terrorism, revolutions, independent mercenary forces, assassinations, major drug deals - and about half of all national government-sponsored black ops programs throughout the world.

A diamond is forever. And things go better with coke. :(


Title: Bitcoin mining craze
Post by: eleman on January 23, 2014, 04:38 PM
I wonder what's all the fuss about this. Computing power costs electricity. Here in Turkey, a 7/24 draw of 300 watts would cost about 25 Dollars a month. Does the bitcoin mining thingie produce more than this (+ the capital expenditure of course)?

And why are the people make their computers burn fossil fuel (albeit indirectly) to solve useless hash algorithms? I can justify folding@home, and even seti@home... but as far as I can see, the computing power used for bitcoin mining is used just for the sake of proving it is used. Like counting sands on a beach. No use whatsoever.

Am I the only one who does not get it?
Title: Re: Bitcoin mining craze
Post by: tomos on January 23, 2014, 04:54 PM
I'm presuming you havent seen the Bitcoin thread (https://www.donationcoder.com/forum/index.php?topic=32392.0) ?
(I suspect this might get merged to it).

This aspect of it hasn't bothered me, but I suspect many would agree with you about the power waste.
Title: Re: Bitcoin mining craze
Post by: tomos on January 23, 2014, 05:01 PM
There's also a couple of good posts by f0dder here (https://www.donationcoder.com/forum/index.php?topic=24858.msg226705#msg226705) giving a general introduction.
Title: Re: Bitcoin mining craze
Post by: eleman on January 23, 2014, 05:03 PM
uhh.. yes, obviously missed those. Thanks for pointing them out. I'll be reading now :)
Title: Re: Bitcoin mining craze
Post by: eleman on January 23, 2014, 06:16 PM
Now did my reading, but I'm still none the wiser as to why do we burn power? Assume that I'm not a huge fan of Ron Paul, so the "alternative to government conspiracy" brand of arguments would also not make much sense to me.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 23, 2014, 09:23 PM
Anything we do that generates revenue in some way has a cost.  Why should this be any different?  What makes this the thing that makes power the consideration?
Title: Re: Does anyone here use Bitcoins?
Post by: eleman on January 23, 2014, 09:42 PM
But it doesn't.

The other things we used to generate money, for instance mining gold, had an actual use other than just generating money. Actually, the original function of gold (making shiny things women like, using in alloys to make rust resistant weapons etc.) predated the use as legal tender.

This one doesn't have another function. You just burn electricity, and assure yourself that you'll be paid for it. No intrinsic purpose whatsoever.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 23, 2014, 10:18 PM
But it doesn't.

The other things we used to generate money, for instance mining gold, had an actual use other than just generating money. Actually, the original function of gold (making shiny things women like, using in alloys to make rust resistant weapons etc.) predated the use as legal tender.

This one doesn't have another function. You just burn electricity, and assure yourself that you'll be paid for it. No intrinsic purpose whatsoever.

Gold has no intrinsic value.  The only value is what people place on it.  When people mine gold, they use power for all sorts of things, under the assurance that they will be paid for it, out of the fact that people want it.
Title: Re: Does anyone here use Bitcoins?
Post by: eleman on January 23, 2014, 10:38 PM
Gold has no intrinsic value.  The only value is what people place on it.  When people mine gold, they use power for all sorts of things, under the assurance that they will be paid for it, out of the fact that people want it.

I'd disagree with this. Cavemen (or perhaps cavewomen) were attracted to shiny things, so they were attracted to gold, even before it became a medium of exchange. In the iron age it was also used as an ingredient in copper alloys to make them more sturdy. And yes, it predates the minting of the first coin by Lydians. Today we still make jewelry, in addition to substantial use in industry. 10% of all gold mined is used in industrial purposes. If it had been cheaper, the ratio would undoubtedly increase.

So, gold always had and always will have an intrinsic value. What's the intrinsic value of bitcoin hashes? It looks more and more like the shares of the South Sea Trading Company.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 24, 2014, 12:46 AM
Just because someone is attracted to something doesn't define an intrinsic value.  I think intrinsic value is pretty much universally taken to be characterized in terms of the value that something has “in itself,” or “for its own sake,” or “as such,” or “in its own right.”  Gold has no value in and of itself, other than as you say as a shiny bauble.  Therefore, gold has no intrinsic value.

The concept of the intrinsic value of gold is more related to the belief that gold is a safe investment vehicle is based on the presumption that a rare shiny yellow metal has intangible value because it has been used as a store of value and a commodity currency in the past. While this holds today, that does not mean that in the future, gold will be regarded as a "precious metal."

With that in mind, the fundamental intrinsic value of gold, in my opinion, is equivalent to the demand for gold in productive applications.  Not as jewelry, but in production- the same yardstick that you are using in bitcoin vs. the electricity used.  While it is true, as you say, that gold can and is used in electronics, that is not the store placed on its value.  Indeed, if that was the only thing that gold was useful for, it would be as valuable as other metal materials used for the same purpose at the same rarity, especially as the reserve would be larger as jewelry applications would not compete with the use in productive applications.

As such, if you take away the perceived value because of shiny baubles, there is not much in the way of intrinsic value in gold.  It's value is what people see it as.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 24, 2014, 02:50 AM
Yeah, it's getting down to what *is* money - and what do we want money to be like. Maybe even what do we want the world to be like. When you think about it, once we're fed, clothed and have a roof over our heads, we as a society can chose to do anything we want after that. I know that many people dont get beyond working to get enough for those basics. There are people who argue that fiat money causes scarcity. I'm not expert enough to know if that's true. But I do know (look at Ireland) that where it screws up, and there's a shortage of money, you are then screwed - you might be able to work, there might be people who would like you to work for them, but without the money nothing works. (There are other ways to allow people to work i.e. without fiat money, but that's moving onto another topic I think.)

I dont know how Bitcoin as a currency will affect any of this - not much really I suspect. But if it became popular/usable as a currency - it might, in & of itself, be the regulation for the money-system that the governments these days are failing to implement.
Title: Re: Does anyone here use Bitcoins?
Post by: eleman on January 24, 2014, 03:44 AM
Just because someone is attracted to something doesn't define an intrinsic value.  I think intrinsic value is pretty much universally taken to be characterized in terms of the value that something has “in itself,” or “for its own sake,” or “as such,” or “in its own right.”  Gold has no value in and of itself, other than as you say as a shiny bauble.  Therefore, gold has no intrinsic value.

I wouldn't discount the shine as a source of value. Value is defined as the likelihood to get something else in return. I could imagine shiny rocks buying services to some caveman in a cave bordello. In other words you could use it in barter, even before the invention of money. I can't imagine that for random strings of numbers.

And I wouldn't discount jewelry as a functional use. People like it, so it is valuable. In your logic, aesthetical choices do not deserve value, and for instance, you would not pay extra for a fancy house paint color, given limewash is cheaper, and does the bare function of keeping the walls clean. But we do pay extra to paint our house walls green, pink, champagne etc. don't we? Because our sense of aesthetics imposes the function, hence the value. Saying electronics count as a legitimate use, but jewelry doesn't isn't very consistent.

So, gold is valuable in and of itself. Perhaps not the value it fetches today, as it is also considered as a safe investment instrument as you mention, but still some. Say it would command $4 per gram, rather than today's price of $40. But it would command "a price" nonetheless.

What would Bitcoin hashes go for, if it weren't for the implicit agreement that they are a medium of exchange?
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 24, 2014, 06:40 AM
^ I think you're getting bogged down here eleman:
Gold has some value based on it's use industrially and on it's use in jewellery. So, moving on - where does that leave us, money, the dollar, and bitcoin?

Off the top of my head, things of value are: food, your time, things we make that other people want. If we only use things of actual value for trading, we will have to revert to barter :-/


What would Bitcoin hashes go for, if it weren't for the implicit agreement that they are a medium of exchange?

the same as todays dollar - and all other money I know of. Not an argument against Bitcoin, unless you also use it as an argument against money as we know it today.
Title: Re: Does anyone here use Bitcoins?
Post by: eleman on January 24, 2014, 06:46 AM
What would Bitcoin hashes go for, if it weren't for the implicit agreement that they are a medium of exchange?

the same as todays dollar - and all other money I know of. Not an argument against Bitcoin, unless you also use it as an argument against money as we know it today.

Well, I'd also raise the same argument against the dollar, or peso, or lira, or euro, whatever, if it did needlessly contribute to global warming. Sure they do (dead trees), but not at the scale applicable to bitcoin mining I reckon.

Does someone have solid statistics on this? i.e. you get x dollars worth of bitcoins after burning y dollars worth of electricity on a rig that cost z dollars to build.

That would really bring our discussion to some solid footing here.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 24, 2014, 07:13 AM
Well, I'd also raise the same argument against the dollar, or peso, or lira, or euro, whatever, if it did needlessly contribute to global warming. Sure they do (dead trees), but not at the scale applicable to bitcoin mining I reckon.

But they do.  Maybe not as directly... but they do.  It's *all* digital these days, truth be told.  The paper money that we hold is just a representation of digital systems in place, especially in this day and age of fractional reserve banking, quantitative easing, and creative accounting.

So why should bitcoin be held to a different standard?  It's value is in the same thing as all of our other digital banking and such- in the reliability of the transactional data and the ability to conduct those transactions with a measure of security.

You keep harping on how gold has intrinsic value based on the shine, i.e. from your last post:

I wouldn't discount the shine as a source of value. Value is defined as the likelihood to get something else in return. I could imagine shiny rocks buying services to some caveman in a cave bordello. In other words you could use it in barter, even before the invention of money. I can't imagine that for random strings of numbers.

But now you've gotten yourself in a logical hole.  Just because you can't imagine cryptographic strings being worth much- apparently many others can.  And as such, by your definition, doesn't that give it 'intrinsic value'?  After all, people want it, right?
Title: Re: Does anyone here use Bitcoins?
Post by: eleman on January 24, 2014, 07:22 AM
Well, I'd also raise the same argument against the dollar, or peso, or lira, or euro, whatever, if it did needlessly contribute to global warming. Sure they do (dead trees), but not at the scale applicable to bitcoin mining I reckon.

But they do.  Maybe not as directly... but they do.  It's *all* digital these days, truth be told.  The paper money that we hold is just a representation of digital systems in place, especially in this day and age of fractional reserve banking, quantitative easing, and creative accounting.

But they don't require otherwise useless consumption of cpu cycles, do they? They consume only what is necessary for the transactions. Sending 1000 bytes there, saving 300 bytes here. No otherwise useless effort is involved, just to make them artificially precious.

You keep harping on how gold has intrinsic value based on the shine, i.e. from your last post:

I wouldn't discount the shine as a source of value. Value is defined as the likelihood to get something else in return. I could imagine shiny rocks buying services to some caveman in a cave bordello. In other words you could use it in barter, even before the invention of money. I can't imagine that for random strings of numbers.

But now you've gotten yourself in a logical hole.  Just because you can't imagine cryptographic strings being worth much- apparently many others can.  And as such, by your definition, doesn't that give it 'intrinsic value'?  After all, people want it, right?

You're deliberately missing the point. I claim that gold has a value regardless of the assumption of it being a medium of exchange. Bitcoin hashes do not have that VALUE REGARDLESS OF THE ASSUMPTION OF THEM BEING A MEDIUM OF EXCHANGE. See the phrase "in and of itself".

Anyway, this is slowly evolving into a flame war, and I don't want to be a jerk (I feel I will be in my next post, if I'm not already). So I won't reply anymore.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on January 24, 2014, 07:32 AM
I try to avoid this bitcoin stuff because the whole world of finance seems completely insane and make-believe to me.

However, i am somewhat interested in the technology issues.

I think the points being made about other currency (gold, diamonds, etc.) being intrinsically mostly worthless -- and in that sense not particular different from virtual/digital currency, are all valid.

But what I think eleman touched on which is odd about bitcoin is that, if i'm understanding it correctly, one of the key ideas of bitcoin is that by design it MUST require huge amounts of otherwise-useless cpu cycles, in order to simulate/create scarcity.

It's a key property you have to have scores of high-powered computers doing nothing but churning through useless operations 24 hours a day, 365 days a year to do "work" that is of no value other than to purposefully slow down the generation of these digital tokens.

That does strike one as wasteful.

But now the interesting technological question that comes to mind is, could you flip that?

Could you make a new crypto/digital currency where the work required to virtually "mine" such things was actually PRODUCTIVE USEFUL work?

Like a crypto/digital coin which was generated by successfully solving protein folding problems, etc.

Such a thing would still enforce rarity/scarcity by requiring massive cpu cycles -- but those cycles themselves would be producing useful work.

It would be as if coal/diamond/gold mining helped the environment.. Now *that* could be revolutionary.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 24, 2014, 07:41 AM
What would Bitcoin hashes go for, if it weren't for the implicit agreement that they are a medium of exchange?

the same as todays dollar - and all other money I know of. Not an argument against Bitcoin, unless you also use it as an argument against money as we know it today.

Well, I'd also raise the same argument against the dollar, or peso, or lira, or euro, whatever, if it did needlessly contribute to global warming. Sure they do (dead trees), but not at the scale applicable to bitcoin mining I reckon.

Does someone have solid statistics on this? i.e. you get x dollars worth of bitcoins after burning y dollars worth of electricity on a rig that cost z dollars to build.

That would really bring our discussion to some solid footing here.

when I replied there I didnt realise that was still your main focus. It is unfortunate that there is this waste involved. It would have been great it it could have been doing something useful. But that's not the case - and cannot be changed in retrospect. And I dont think it's going to stop the forward march of bitcoin.


and good post above mouser!
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 24, 2014, 08:22 AM
You're deliberately missing the point. I claim that gold has a value regardless of the assumption of it being a medium of exchange. Bitcoin hashes do not have that VALUE REGARDLESS OF THE ASSUMPTION OF THEM BEING A MEDIUM OF EXCHANGE. See the phrase "in and of itself".

Anyway, this is slowly evolving into a flame war, and I don't want to be a jerk (I feel I will be in my next post, if I'm not already). So I won't reply anymore.

I wasn't deliberately missing the point- I was debating the merits of your argument.  Gold does have productive value, as I conceded.  But it's *worth* isn't directly proportional to that value, nor based on it.  It's based on, as you put it, the value of it being shiny, more than that productive value, which skews the argument towards it being more like bitcoin than not.  10% goes towards production- is that correlative to the amount of energy put into mining it?  Not at 10%.  If correlated, there would be a lesser demand, and a lesser investment of industry towards mining it.  I also didn't intend any flame war- it wasn't devolving into such on my side.  I do apologize if you viewed it that way, and if I said anything that you construed as being towards you instead of your argument (it doesn't seem that I did... but then that is, I guess subjective).

Thanks for the conversation.

when I replied there I didnt realise that was still your main focus. It is unfortunate that there is this waste involved. It would have been great it it could have been doing something useful. But that's not the case - and cannot be changed in retrospect. And I dont think it's going to stop the forward march of bitcoin.

But is that waste?  It's providing a very real service, i.e. taking fiat out of the hands of the rich, and putting it into the hands of all of us.  That's not a waste to me. 

85 people have as much money as half the world (http://money.msn.com/now/85-people-have-as-much-money-as-half-the-world)

I strongly recommend that no matter where you stand on the issue, you actually read Adam Smith (https://en.wikipedia.org/wiki/Adam_Smith) (The Wealth of Nations (https://en.wikipedia.org/wiki/The_Wealth_of_Nations)). He knew and said that the top oligarchs were not "job creators" but rather would concentrate on "rent-seeking" which is not Capitalism. Supply Side "economics was a betrayal of Smith that ignored human nature and was never ever right. Jobs are created by small business and by high tech. Both of which across 6000 years were always crushed by owner-oligarchy.

Capitalism of the true, creative and open variety is one of the top VICTIMS of oligarchy. Read… Adam… Smith...

... but that's getting out of the technological aspects of Bitcoin, so I'm going to stop right there.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 24, 2014, 02:22 PM
when I replied there I didnt realise that was still your main focus. It is unfortunate that there is this waste involved. It would have been great it it could have been doing something useful. But that's not the case - and cannot be changed in retrospect. And I dont think it's going to stop the forward march of bitcoin.

But is that waste?  It's providing a very real service, i.e. taking fiat out of the hands of the rich, and putting it into the hands of all of us.  That's not a waste to me.

[edit] didnt mean to be stroppy here, but I think you might have misunderstood my post [/edit]
I just said that there is 'waste involved' (I didnt say/imply that it wasnt worth it).

from my post prior to the one you quoted:
But if it became popular/usable as a currency - it might, in & of itself, be the regulation for the money-system that the governments these days are failing to implement.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 24, 2014, 03:39 PM
Ah... I get it.  But from a philosophical standpoint, if it's worth it, is it waste?  ;D  But yes, I get your meaning.  There is waste in the process, and cutting that would be better, as it would be the waste in burning fossil fuels in automotives and such, with the greenhouse emissions and reduction of those.

And to be sure... I'm not one of the real bitcoin advocates.  I just enjoy a good debate, especially about abstract ideas, especially when they intersect with technology, and was just enjoying myself as there's not been one of those around here in a while.  And I do see the benefit from that level, especially in terms of fiat and who holds it.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 24, 2014, 06:54 PM
Well, seems like a lot going on here since I last checked.  Wraith808 posted down in the Basement, which directed me over here.

INTRINSIC VALUE

This is most often an unproductive discussion that boils down to, "well, that's not what *I* mean by 'intrinsic value'." It's like debating with Humpty Dumpty. "There's glory for you!"

So, I'll be (mostly) clear about how I'm going to use (abuse?) that term... I mean that it has a use. Not very complicated. Not sophisticated. Not difficult. Not full of BS. It has a use. Period. Note that I have used a very broad definition. That is intentional.

Suffice it to say that (I believe) the most proper definition of "intrinsic value" requires this qualification: "to <who>?"

Remember, "value" is subjective, and requires someone to place value on some "thing" ("thing" can also be "event"). To talk about value outside of some kind of agency is to entirely miss the point. Agents place value on things/events. "What is it/that worth to me/you?"  

Nuff said there.
 
ENERGY CONSUMPTION

This is a bit of a silly argument. "Bitcoins are causing the Earth to melt! OMG! Shut it down!" I'll refer people here (https://www.donationcoder.com/forum/index.php?topic=28470.0). All activity requires energy. All of it. There are no exceptions. If you want output, you have to have input first.

A splash of anarchism
I try to avoid this bitcoin stuff because the whole world of finance seems completely insane and make-believe to me.

And no less insane than the world of government. ;)



In any event, the problem is already solved.

Peercoin. ;)

However, i am somewhat interested in the technology issues.

Ah! And how we shall explore some of your musings below~! :D

But what I think eleman touched on which is odd about bitcoin is that, if i'm understanding it correctly, one of the key ideas of bitcoin is that by design it MUST require huge amounts of otherwise-useless cpu cycles, in order to simulate/create scarcity.

You're not understanding it properly.

1) The CPU cycles are not worthless. I'll explain below.
2) They do not simulate/create scarcity. I'll probably skip this as it's going off into a non-tech area. (2 things to address there though.)

It's a key property you have to have scores of high-powered computers doing nothing but churning through useless operations 24 hours a day, 365 days a year to do "work" that is of no value other than to purposefully slow down the generation of these digital tokens.

No. This is a complete mischaracterisation of what is happening. It isn't remotely close.

The next bit will meander a little, so please stick with me.

The genius behind Satoshi Nakamoto's invention (or one aspect of his genius) is that he solved a general computing problem called the "Byzantine Generals' Problem". Previously all attempts at digital currency have failed because they could not solve the "double-spend" problem (a specific case of the Byzantine Generals' Problem). So, people could spend the same digital currency more than once in the same way that you copy a file. Satoshi solved this problem so that coins cannot be spent twice.

More on the 'general' problem here: :P

https://startpage.com/do/search?query=Byzantine+Generals%27+Problem

In short, he solved it. The solution is the "blockchain", a public ledger of accounts.

Now, in order to ensure that people don't access other people's ledger entries (entries in the blockchain - where your bitcoins are stored), we use cryptography.

The cryptographic problems are very difficult to solve, but very easy to verify.

Grab a Sudoku and solve it. Now, verify that it is correct. THAT'S IT! It took you a long time to solve, but you verified it very very quickly.

Bitcoin and other crypto currencies do the same thing.

And thus, the Byzantine Generals' Problem is solved.

The energy is not wasted. It is securing the network and the blockchain. There is no minimum or maximum amount of computing power than "must" be thrown at the network/blockchain. It can be more or less. However, the more computing power thrown at the network/blockchain, the less chance that a malicious miner can fudge entries and double-spend.

The double-spend is now known as a "51% attack".

Another splash of anarchy!
"Democracy" is the original 51% attack! :P


A 51% attack is where you acquire 51% of the network hashing power and then use it maliciously against the network/blockchain.

Yet another splash of anarchy! (Remember the cypherpunk roots.)
This is exactly the same as how the majority in a democracy force their will on the minority.


With the power behind Bitcoin now, a 51% is virtually impossible. Search for videos with Andreas Antonopolous for more information on why that is so.

Hopefully I have outlined the cryptography reasons why the energy isn't wasted.

tl;dr - The energy used to secure Bitcoin is much the same as how you might spend resources to guard your home/business with locks, fences, CCTV, guards, dogs, etc.


But now the interesting technological question that comes to mind is, could you flip that?

I think I've already established that it's not wasted. I skipped quite a bit, but you can read the paper for the details on exactly how it happens. But... to answer the question again from a different perspective...

YES!!!

Could you make a new crypto/digital currency where the work required to virtually "mine" such things was actually PRODUCTIVE USEFUL work?

It has already been done. Primecoin.

http://primecoin.org/
http://www.ppcointalk.org/
https://bitcointalk.org/index.php?topic=251850.0
https://bitcointalk.org/index.php?topic=245953.0

First non-hashcash proof-of-work in cryptocurrency, pure prime number based proof-of-work

http://primecoin.org/static/primecoin-paper.pdf

Abstract

A new type of proof-of-work based on searching for prime numbers is introduced in peer-to-peer cryptocurrency designs. Three types of prime chains known as Cunningham chain of first kind, Cunningham chain of second kind and bi-twin chain are qualified as proof-of-work. Prime chain is linked to block hash to preserve the security property of Nakamoto’s Bitcoin, while a continuous difficulty evaluation scheme is designed to allow prime chain to act as adjustable-difficulty proof-of-work in a Bitcoin like cryptocurrency.

...

Primecoin is the first cryptocurrency on the market with non-hashcash proof-of-work, generating additional potential scientific value from the mining work. This research is meant to pave the way for other proof-of-work types with diverse scientific computing values to emerge.

I highly recommend reading that paper if you are interested in some of the technical details. It's fascinating stuff. They've really done their homework well.


Like a crypto/digital coin which was generated by successfully solving protein folding problems, etc.

The example you've given probably isn't a good one. This is cryptography... not a division of the life sciences. If there is general class of mathematical problems that relates to life sciences, then perhaps. I don't know though. Those are questions for cryptographers to determine. (And specifically, those questions are NOT for biologists or physicists to answer.)

Now, could you tack on some kind of life science problem or problem in astronomy or cosmology? I suppose so, but it would not have any value for the network. It would be "busy" and meaningless work for the network. HOWEVER... Do note that Primecoin DOES the kind of work that you've hinted at and *IS* meaningful to the network. i.e. The work it does is both productive and meaningful.

Specifically, you need a class of problems for which you can continually generate solutions, and not a class of problems for which at some point you have generated all the possible solutions.

The classes of problems that Primecoin addresses are well beyond my grasp as I'm not a cryptographer and I don't have an advanced degree in mathematics.

Such a thing would still enforce rarity/scarcity by requiring massive cpu cycles -- but those cycles themselves would be producing useful work.

Scarcity has nothing to do with anything as far as the Bitcoin technology goes, unless you mean for a 51% attack. If you mean rarity/scarity in the economic sense, then that's an entirely different question and completely irrelevant to the Bitcoin technology.

i.e. The computing power does not create any kind of scarcity --- but there may be a scarcity of computing power.

tl;dr - Well, not really a summary, but hitting 2 main points made above in several posts... Primecoin and Peercoin solve different problems: the problem of scientific usefulness over and above the securing of the network/blockchain, and energy consumption, respectively.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on January 24, 2014, 08:42 PM
You've made some interesting points Ren, but I'm not sure how to square them with the stuff I read.

Here is the (official?) bitcoin faq page (http://bitcoin.org/en/faq#how-are-bitcoins-created), emphasis mine:


The Bitcoin protocol is designed in such a way that new bitcoins are created at a fixed rate. This makes Bitcoin mining a very competitive business. When more miners join the network, it becomes increasingly difficult to make a profit and miners must seek efficiency to cut their operating costs. No central authority or developer has any power to control or manipulate the system to increase their profits. Every Bitcoin node in the world will reject anything that does not comply with the rules it expects the system to follow.

Bitcoins are created at a decreasing and predictable rate. The number of new bitcoins created each year is automatically halved over time until bitcoin issuance halts completely with a total of 21 million bitcoins in existence. At this point, Bitcoin miners will probably be supported exclusively by numerous small transaction fees.
Why do bitcoins have value?

Bitcoins have value because they are useful as a form of money. Bitcoin has the characteristics of money (durability, portability, fungibility, scarcity, divisibility, and recognizability) based on the properties of mathematics rather than relying on physical properties (like gold and silver) or trust in central authorities (like fiat currencies).

To me that (and other discussions i read when searching for "bitcoin + scarcity") seems to confirm my point -- that it is a central element of design that huge amounts of cpu have to be churned through, solely because it is essential that one not be able to quickly mine coins.  That's the whole point of the scarcity thing, which still seems key to me.  The design of the system simply does not allow allow a situation where mining coins is energy cheap and efficient.  By design if someone found a way to mine the coins for half the energy cost, it would simply mean that the next day everyone would be running twice as many computers to mine bitcoins.

In fact, the scarcity-by-design and spread-of-mining-over-all-miners nature means that that the amount of cpu resources and energy costs will ALWAYS rise to a cost near the expected value of the coins.  If you think that a coin will be worth $1000 then you would be willing to spend a little less than $1000 on your energy bills and hardware costs to mine a coin (or spent that much money infecting people's computers with bots to do so).  The system is designed to force people to churn through that cpu time and energy cost because by design it must -- those extra cpu cycles are not benefiting anyone they are simply there to impose an (artificial) cost on users in order to enforce a limited supply.

My point was that it doesn't have to be that way.  You could find a way to keep exactly the same properties (of scarcity, limited supply, protection against attack, etc.) but have the cpu work required for mining actually be useful, in-and-of-itself, for other purposes.

Thanks for the links to primecoin -- i look forward to reading about it.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 25, 2014, 07:00 PM
You've made some interesting points Ren, but I'm not sure how to square them with the stuff I read.

Here is the (official?) bitcoin faq page (http://bitcoin.org/en/faq#how-are-bitcoins-created), emphasis mine:


The Bitcoin protocol is designed in such a way that new bitcoins are created at a fixed rate. This makes Bitcoin mining a very competitive business. When more miners join the network, it becomes increasingly difficult to make a profit and miners must seek efficiency to cut their operating costs. No central authority or developer has any power to control or manipulate the system to increase their profits. Every Bitcoin node in the world will reject anything that does not comply with the rules it expects the system to follow.

Bitcoins are created at a decreasing and predictable rate. The number of new bitcoins created each year is automatically halved over time until bitcoin issuance halts completely with a total of 21 million bitcoins in existence. At this point, Bitcoin miners will probably be supported exclusively by numerous small transaction fees.
Why do bitcoins have value?

Bitcoins have value because they are useful as a form of money. Bitcoin has the characteristics of money (durability, portability, fungibility, scarcity, divisibility, and recognizability) based on the properties of mathematics rather than relying on physical properties (like gold and silver) or trust in central authorities (like fiat currencies).

To me that (and other discussions i read when searching for "bitcoin + scarcity") seems to confirm my point -- that it is a central element of design that huge amounts of cpu have to be churned through, solely because it is essential that one not be able to quickly mine coins.  That's the whole point of the scarcity thing, which still seems key to me.  The design of the system simply does not allow allow a situation where mining coins is energy cheap and efficient.  By design if someone found a way to mine the coins for half the energy cost, it would simply mean that the next day everyone would be running twice as many computers to mine bitcoins.

In fact, the scarcity-by-design and spread-of-mining-over-all-miners nature means that that the amount of cpu resources and energy costs will ALWAYS rise to a cost near the expected value of the coins.  If you think that a coin will be worth $1000 then you would be willing to spend a little less than $1000 on your energy bills and hardware costs to mine a coin (or spent that much money infecting people's computers with bots to do so).  The system is designed to force people to churn through that cpu time and energy cost because by design it must -- those extra cpu cycles are not benefiting anyone they are simply there to impose an (artificial) cost on users in order to enforce a limited supply.

My point was that it doesn't have to be that way.  You could find a way to keep exactly the same properties (of scarcity, limited supply, protection against attack, etc.) but have the cpu work required for mining actually be useful, in-and-of-itself, for other purposes.

Thanks for the links to primecoin -- i look forward to reading about it.


Blah... I had a huge write up, but it was overly complicated and long. I'll just simplify.

Coin scarcity and block rate have nothing to do with energy. Compare gold vs. platinum at 2500 and 130 tons per year of annual production and $1,270 and $1,430 prices - supply (scarcity) doesn't determine value. Demand does. Many coins have the same scarcity as bitcoins, but... big difference. Supply of fixed limit coins is always 100% or less. It's the demand that is driving things - not the scarcity. If it were scarcity, we would see the same effects on other coins, which we don't.

Mining energy costs are not strictly coupled to price. Check out some calculators. Here's an example:

http://www.coinwarz.com/calculators/dogecoin-mining-calculator/?h=660.00&p=500.00&pc=0.10&pf=2.00&d=1135.92830608&r=500000.00000000&er=0.00000217&hc=300.00

And more specifically:

http://bitcoinwisdom.com/bitcoin/calculator

You can see there that energy costs are not particularly important. The important part is the cost of the hardware. Hardware costs easily eclipse the costs of energy.

http://cointerra.com/
https://www.kncminer.com/

Hardware quickly becomes obsolete, as you can see in the calculator above. As hardware approaches obsolescence, energy costs become important. e.g. If you mine bitcoins on a CPU, you are only wasting energy. It's like pissing into the ocean and expecting the tides to rise. CPUs are obsolete for SHA-256 mining.

i.e. Energy costs are only important for obsolete hardware. Moore's Law ensures that hardware becomes obsolete quickly. :)

For scarcity, the limiting factor then isn't energy, it's hardware. Just try to buy some decent Bitcoin mining hardware... just try... ;) It's almost impossible. Chances are you can pre-order, but you can't just get hardware easily. You can get obsolete hardware though.

Obsolete hardware gets removed from the network, and often put onto other coins. e.g. GPU mining on scrypt, CPU on Primecoin algos, etc.

But making the computing power useful is best done through algos like Primecoin's. SHA-256, scrypt, Blake, Quark, and other algos aren't useful beyond securing the network, which is the first and primary goal of the algo. If it can't do that, it can't be used, which makes things like finite problems pretty useless for crypto.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 26, 2014, 04:46 AM
Crypto is about to go nuclear!

http://ethereum.org/
http://ethereum.org/ethereum.html

Watch the video.

More in the Basement.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 26, 2014, 01:56 PM
I think many would do very well to read the following. They illustrate with extreme clarity how Bitcoin is safer than banks:

http://www.bbc.co.uk/news/business-25861717
http://news.yahoo.com/blogs/sideshow/prove-it--bank-blocking-customers-from-making-large-withdrawals-without--evidence--of-spending-need-222425920.html

I'll leave out quotes for the sake of civility. Comments should probably be directed to the crypto thread in the basement.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 26, 2014, 05:17 PM
People looking to ditch the Rand:

http://www.news24.com/MyNews24/The-Rand-is-Dying-Can-Bitcoin-Save-Us-20140124

The Rand is Dying Can Bitcoin Save Us?

A perfect storm has formed and the Rand continues its plummet.

The key factors contributing to the decline: a balance of trade deficit, poor economic data globally and a mining sector hit particularly hard by weak global resource markets.

South Africa, as one of the ‘BRICS’, was often touted as an emerging market to watch. These days it finds itself in less auspicious company; the so-called ‘Fragile Five’ (India, Indonesia, Brazil and Turkey).
The economic fundamentals are poor and citizens are left with few options. Most feel powerless. With few options available many are forced to watch their real wealth, denominated in Rand, evaporate.

More at the link.

Is anyone beginning to see the currency war that's going on? No? Oh... well perhaps this... ;)

http://www.coindesk.com/russias-largest-bank-backs-bitcoin/

Head of Russia’s Largest Bank Backs Bitcoin, Again

Sberbank may not be a household name in the west, but it just happens to be the third-largest bank in Europe.

It’s also the biggest bank in Russia and eastern Europe, with nearly half a trillion dollars in assets and a workforce of 300,000.

The bank is owned by the Central Bank of Russia and it is headed by German Gref, who served as the Russian Minister of Economic and Trade from 2000 to 2007. Gref’s tenure was marked by a period of economic reform and liberalization. Judging by his recent statements, he is still open minded when it comes to monetary issues.

More at the link.

And more on the current currency wars:

http://www.cnbc.com/id/101307137
http://www.moneymorning.com.au/20131116/the-future-of-the-currency-war.html
https://www.google.com/#q=currency+war&tbm=nws

Oh, the carnage is going to be a sight to behold! :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 29, 2014, 02:01 PM
More IT pros than not want to get paid in bitcoins:

http://www.businessinsider.com.au/a-lot-of-it-pros-want-bitcoin-paychecks-2014-1

Once people get paid in bitcoins at scale, it's game over and Bitcoin wins.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 29, 2014, 02:26 PM
Truthfully, I can see why- for the same reason I don't use direct deposit in many cases.  Leaves a money trail that can be reversed.  Tracing is fine... it's the reversal that alarms me.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 29, 2014, 10:49 PM
Truthfully, I can see why- for the same reason I don't use direct deposit in many cases.  Leaves a money trail that can be reversed.  Tracing is fine... it's the reversal that alarms me.

I'm not OK with tracing. It's none of my business what other people do with their money, and it's nobody else's business what I do with mine.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 31, 2014, 07:43 PM


Who's Willing to Go to Jail for Bitcoin? (http://motherboard.vice.com/blog/whos-willing-to-go-to-jail-for-bitcoin)
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 31, 2014, 09:35 PM
I'm not OK with tracing. It's none of my business what other people do with their money, and it's nobody else's business what I do with mine.

Well, not OK in terms of that's ok... but given that there's a money trail with everything right now, it's a given.  Being able to take what you have given... that's a larger transgression.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on February 05, 2014, 07:00 AM
Well, this isn't really exactly "Bitcoin", but is is VERY relevant. It's what you can do with "Bitcoin" the technology...

Huntercoin (https://bitcointalk.org/index.php?topic=435170.0).

It's a crypto currency game. It's the future of gaming. It will revolutionize gaming from here on in.

Bitcoin is the future, and Huntercoin is the proof of concept for the wider application of crypto currencies.

I know a lot of you are still skeptical...

Check this thread (https://www.donationcoder.com/forum/index.php?topic=37139.0) and this thread (https://www.donationcoder.com/forum/index.php?topic=37140.0).

Huntercoin is a game where you can get PAID to play! Seriously! It's craziness! I cashed in about $250 USD today! Really! And that was just a small portion of what I made in the game! It's just bonkers! I don't mean to gloat, but yeah, I'm going to gloat for the sake of all the skeptics out there! :P Nyah nyah~! :P :D Hahaahah~! :D

(https://www.donationcoder.com/forum/esmileys/gen3/4Medium/LaughAtYou.gif)

(https://www.donationcoder.com/forum/esmileys/gen3/5Large/TFR1E0.gif)

(https://www.donationcoder.com/forum/esmileys/gen3/1Small/banana.gif)

(https://www.donationcoder.com/forum/esmileys/gen3/5Large/7877.gif)

(https://www.donationcoder.com/forum/esmileys/gen3/6Cody/cody1.gif) <----- SEE! Even CODY loves coins~! (https://www.donationcoder.com/forum/esmileys/gen3/4Medium/204.gif)

I WISH I COULD GET PAID TO PLAY VIDEO GAMES.

How many times did you say that when you were a kid? I KNOW you did. Every kid did.

Now, I'm not a big gamer, and I already do get paid to play some games (I do work in the gaming industry), but this? This is entirely fresh, innovative, imaginative, new, supendous, incredible, heroic! Or FIINISH for short.

In Huntercoin, you run around the map collecting coins and stealing coins from other players. You return to your spawning area to cash out your coins. BUT! On your way back, people will try to steal your coins. So, you need to be smart about it. You need to use some strategy. etc. etc. etc.

And the entire game is played on the blockchain - a cryptographically secure ledger.

If you have some extra time, and think you'd like to make a few coins, then this is a no brainer.




Now... For the skeptics...

You heard about Bitcoin.

You might have heard about Namecoin.

Perhaps you have heard of Digitalcoin.

They all have functions over and above being a currency. They all innovate in some pretty wild ways.

Huntercoin brings a new innovation to the table where you play games in the blockchain, have fun, and make money at the same time!

Now... Someone please tell me why crypto is going to fail! :P I dare ya~! :P ;D

Get in on the game before the bots do. ;) :P



And this is just 1 new innovation in crypto currencies. What else will come out next? What else will we see? I bet few people saw that one coming! :D

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on February 10, 2014, 06:20 AM
THIS IS TOO AWESOME FOR WORDS~!



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on February 10, 2014, 06:42 AM
MORE PURE AWESOMENESS~!

Video is cued:

http://www.youtube.com/watch?feature=player_embedded&v=jy6XIBnThpY#t=20m40s

"F*ck off. Bitcoin works just fine." - Andreas Antonopolous

In other news, China is GOBBLING UP Bitcoin...

http://www.fiatleak.com/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on February 10, 2014, 09:14 PM
ANDREAS ANTONOPOLOUS EPITOMIZES PURE AWESOMENESS~!



Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on February 25, 2014, 12:19 PM
[ You are not allowed to view attachments ]

Bitcoin exchange Mt. Gox goes offline amid turmoil (http://www.usatoday.com/story/tech/2014/02/25/mt-gox-offline/5801093/)

You were saying...?
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on February 25, 2014, 02:04 PM
Hardly unexpected. Where there's money, there's games being played. It was only a matter of time before one of the big players stumbled. It happens to banks. It happens to businesses. It happens to governments. Why should BItcoin exchanges be any different?

BTC robs the authoritarians of the possibility of knowing what people have, and further robs the kleptocrats of the possibility of stealing people's money.[/b][/size] (Oh certainly they create laws to call their theft "legal", but it's still theft.)

Got news! It ain't just the authoritarians and kleptocrats that rob people blind. Surprise! :huh:

Y'know, I just had a thought: if the powers that be really wanted to hurt Bitcoin, right now all they'd need to do is shrug and say "Oh well!" about the theft - and decline to get involved or open an investigation...Looks like Japan has already decided to do exactly that.



Consider: It's private and anonymous by design. There's no transaction trails. No provable ownership of accounts. No direct path of responsibility. No insurance or regulatory requirements in place. No laws broken...so where could the regulators or police possibly step in to assist? AMF-YOYO! :mrgreen:

And lacking any sort of official status, how do you even establish a legally recognized monetary value for the claimed loss? It's only what the Bitcoin community has chosen to say it's worth. So an argument could be made that despite the claimed value, bitcoins have no real monetary value. Which raises an interesting question as to whether a theft has even been committed.

Such are the risks of going off on your own and insisting on complete independence from any established societal frameworks.


Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on February 25, 2014, 02:36 PM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg349941#msg349941))
Bitcoin exchange Mt. Gox goes offline amid turmoil (http://www.usatoday.com/story/tech/2014/02/25/mt-gox-offline/5801093/)

You were saying...?

Not to be overly simplistic, but if they are trying to protest something in Tokyo - Japan... - Why are the signs in English?
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on February 25, 2014, 02:47 PM
From Arizona's link:
When it froze withdrawals earlier this month, the company cited a software bug that allowed people to "use the Bitcoin network to alter transaction details to make it seem like a sending of bitcoins to a bitcoin wallet did not occur when in fact it did occur."

"The problem we have identified is not limited to MtGox, and affects all transactions where Bitcoins are being sent to a third party," Mt. Gox added in a statement on its website.

It will be very interesting to hear exactly what happened - I presume it will come out as some stage.


You were saying...?
and you are saying ... ? :P


if the powers that be really wanted to hurt Bitcoin, right now all they'd need to do is shrug and say "Oh well!" about the theft - and decline to get involved or open an investigation...Looks like Japan has already decided to do exactly that.


Consider: It's private and anonymous by design. There's no transaction trails. No provable ownership of accounts. No direct path of responsibility. No insurance or regulatory requirements in place. No laws broken...so where could the regulators or police possibly step in to assist?

As you say, I dont think there's much that they can do anyway.
I dont see regulation or government backing as a saviour of Bitcoin. I think the governments dont know how to regulate Bitcoin itself - okay, the exchanges could be regulated as you say. Me, I'd like to see it succeeding in spite of no government regulation or backing.

I dont have any Bitcoin -- but if I did -- from what I've read and listened to (e.g. Andreas Antonopolous) I would not be using an exchange anyway - I'd be keeping my Bitcoin offline (I dont even have a clue how to do that but apparently there are ways). But going back to the quote at the top of the post, this might even not be enough.
Title: Re: Does anyone here use Bitcoins?
Post by: xtabber on March 12, 2014, 10:23 PM
The economist Nouriel Roubini tweeted the following analysis (http://www.businessinsider.com/roubini-bitcoin-is-a-ponzi-scheme-and-a-conduit-for-criminal-activities-2014-3) of Bitcoin this past weekend:

Apart from a base 4 criminal activities, Bitcoin is not a currency as it is not a unit of account or a means of payments or store of value
Bitcoin is not a unit of account as no price of goods and services is set in Bitcoin unit nor it ever will. So it isn't a currency
Bitcoin isn't means of payment as few transactions in Bitcoin. And given its volatility all who accept it convert it right back into $/€/¥
Bitcoin isn't a store of value as little wealth is in Bitcoin and no assets in it. Also given price volatility it is a lousy store of value
So Bitcoin isn't a currency. It is btw a Ponzi game and a conduit for criminal/illegal activities. And it isn't safe given hacking of it.

Pretty much my own feelings on the topic.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 13, 2014, 12:13 AM
Bitcoin is not a unit of account as no price of goods and services is set in Bitcoin unit nor it ever will.

Wrong.  There are several legitimate businesses that accept it as a form of tender.  And there are more than a few that accept only bitcoin.

And given its volatility all who accept it convert it right back into $/€/¥

That's patently incorrect.

And it isn't safe given hacking of it.

Repeat after me.  Bitcoin has not been hacked.  There have been no instances of Bitcoin itself being hacked.  The exchanges and markets have been hacked, yes.  But that's a problem for people who didn't store their funds safely.  It's like saying that the dollar isn't safe because some people had their funds stolen from/by an investment firm.

I'm not a bitcoin apologist.  As with any currency it has upsides and downsides.  You have to make a risk assessment and go in with your blinders off.  But I hate so called experts spreading FUD with a stamp of their expertise.  I hate that on anything, truth be told.

Deal in the unadulterated facts, and if you don't know the facts and aren't willing to do research on it, then you aren't qualified to weigh in.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on March 13, 2014, 05:39 AM
I'm not a bitcoin apologist.  As with any currency it has upsides and downsides.  You have to make a risk assessment and go in with your blinders off.  But I hate so called experts spreading FUD with a stamp of their expertise.  I hate that on anything, truth be told.

a big plus one here - on all counts (I'm also *not* a bitcoin apologist).

That was a very lame 'analysis' (by Nouriel Roubini)...
Title: Re: Does anyone here use Bitcoins?
Post by: drummerjdb on April 24, 2014, 04:52 PM
Forgive me for not having the time to search through 21 pages to see if this has been asked before,  But i've been putting Dr.Windows on friends/family's machines for about 6 years now as well as using screenshot captor. 

I think with the amount of people I've told about Donationcoder.com in this time that would suffice as a small donation but I am curious as to why there is no bitcoin address listed to be able to donate in bitcoin? :tellme: 

Because screw paypal,visa,mastercard!!!   :P

Maybe you guys could just create an account at coinbase.com, or any of the other places people wanting to donate would be able to send you some btc or alts?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 24, 2014, 10:34 PM
Because screw paypal,visa,mastercard!!!   :P

+1  8)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 24, 2014, 10:35 PM
Darkwallet alpha is out:

http://darkwallet.is/

Let there be dark! :)
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on April 25, 2014, 11:09 AM
I need to set up a bitcoin account somewhere for receiving donations -- Renegade was telling me how to do it but I dropped the ball.  Stay tuned.
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on April 25, 2014, 05:10 PM
Or just install the bitcoin wallet to a server somewhere and write a payment handler to use the wallet RPC for generating donation addresses and crediting incoming payments. Bitcoin doesn't need a third party payment processor like fiat currencies do. The wallet daemon provides a JSON-formatted RPC to use for making your own and not having to deal with the fees.

What gets you on such a project is the sheer size of the blockchains. They can get to be a few gigabytes in size.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 09, 2014, 01:09 AM
I need to set up a bitcoin account somewhere for receiving donations -- Renegade was telling me how to do it but I dropped the ball.  Stay tuned.

All you need is an address. ;)

In other news... here's Adam Kokesh interviewing Andreas Antonopolous!



 :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup:

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 09, 2014, 03:44 AM
For a good laugh:

Better to start here:

http://youtu.be/lEWdPe6uACg?t=35m20s

But if you only have 10 seconds and not 30 seconds, start here:

http://youtu.be/lEWdPe6uACg?t=35m53s

;D

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 20, 2014, 07:24 AM
I was going to post this in the Basement where we have an actual discussion, though slow. But, decided to post it here as it's simply too good:

https://blog.ethereum.org/2014/06/19/mining/

It's long, so I'll only paste the really good part:

The second approach is somewhat different: create a mechanism for generating new hash functions, and make the space of functions that it generates so large that the kind of computer best suited to processing them is by definition completely generalized, ie. a CPU. This approach gets close to being “provably ASIC resistant” and thus more future-proof, rather than focusing on specific aspects like memory, but it too is imperfect; there will always be at least some parts of a CPU that will prove to be extraneous in such an algorithm and can be removed for efficiency. However, the quest is not for perfect ASIC resistance; rather, the challenge is to achieve what we can call “economic ASIC resistance” – building an ASIC should not be worth it.

If you understand that, it's damn good. If you don't understand it, it's an excellent example of using a layer of abstraction to solve a difficult problem.

Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on June 30, 2014, 04:49 AM
Speaking of Bitcoin... If you don't know it already, I recommend checking out PurseIO (https://purse.io) (no referral!) / PurseIO (https://purse.io/?_r=YJzdEv) (with referral!).

It provide two services:

It's basically a marketplace for Amazon whishlists, and it works perfectly.
You create a wishlist on Amazon, copy&paste the link to create an offer on PurseIO, and select the markup that will be your discount, and put the corresponding bitcoins in escrow. It takes 2 minutes.
Then if/when someone find the price & markup reasonable, they'll buy the item from Amazon for you. When you'll receive it and confirm, the bitcoins will be released.

I just tried some days ago with something small (a Chromecast), with a 16% discount, and it all went perfectly.
No need to wait for Amazon to accept bitcoins!  ;D



P.S. PurseIO just activated a referral program, so I added a link with it as well. :D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 30, 2014, 08:33 AM
Speaking of Bitcoin... If you don't know it already, I recommend checking out PurseIO (https://purse.io) (no referral!).

It provide two services:
  • A way to spend bitcoins on Amazon, with an incentive/discount
  • A way for who haven't bitcoins to acquire them, using a familiar environment (Amazon!), paying with a CC, for a premium

It's basically a marketplace for Amazon whishlists, and it works perfectly.
You create a wishlist on Amazon, copy&paste the link to create an offer on PurseIO, and select the markup that will be your discount, and put the corresponding bitcoins in escrow. It takes 2 minutes.
Then if/when someone find the price & markup reasonable, they'll buy the item from Amazon for you. When you'll receive it and confirm, the bitcoins will be released.

I just tried some days ago with something small (a Chromecast), with a 16% discount, and it all went perfectly.
No need to wait for Amazon to accept bitcoins!  ;D



Nice!

People have been screaming for Amazon to accept BTC, so these fellows might just help push that a long a bit.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on June 30, 2014, 08:48 AM
Actually, I'm amazed governments weren't in on this from day one. What an ideal way to fund covert activities and black ops. Or handle bribes campaign contributions. They've turned a blind eye toward (or at the very least tolerated) numbered Swiss bank accounts, numerous Istituto per le Opere di Religione shenanigans, and offshore banks for that very reason. So much easier to transact with than blood diamonds too.

Maybe these "democratic" governments need to rethink their position on crypto-currencies. Ya think? :P
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 30, 2014, 09:05 AM
Actually, I'm amazed governments weren't in on this from day one. What an ideal way to fund covert activities and black ops. Or handle bribes campaign contributions. They've turned a blind eye toward (or at the very least tolerated) numbered Swiss bank accounts, numerous Istituto per le Opere di Religione shenanigans, and offshore banks for that very reason. So much easier to transact with than blood diamonds too.

Maybe these "democratic" governments need to rethink their position on crypto-currencies. Ya think? :P


HAHAHAHAHA~! ;D

Nice!

I WISH that they would switch over to Bitcoin. But, that's a pipe dream.

There's a serious problem with governments using Bitcoin.

NOTE: Please be aware that I am NOT saying "crypto-currency" here.

Transactions are all recorded on the blockchain. This is VERY dangerous for a government as it could lead to transparency advocates getting their way... Can we spell D-I-S-A-S-T-E-R?!?!?! It would severely limit their ability to piss away people's money and enrich their buddies. Transparency would be death to government. We already know just how hard FOIA requests are...

Can you imagine what would happen if government spending were open to the public?!?

BUT!!!

For covert operations, such as how the CIA is one of the biggest drug dealers on the planet, it would be EXCELLENT! All their darkest desires could be fulfilled and they could get away with even more murder than they do right now.

tl;dr - Bitcoin could kill legitimate government, but could be a wonderful boon to the covert government.

(NOTE: I am ignoring some issues purposefully because I'm lazy.)

Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on June 30, 2014, 09:34 AM
Actually, I'm amazed governments weren't in on this from day one. What an ideal way to fund covert activities and black ops. Or handle bribes campaign contributions. They've turned a blind eye toward (or at the very least tolerated) numbered Swiss bank accounts, numerous Istituto per le Opere di Religione shenanigans, and offshore banks for that very reason. So much easier to transact with than blood diamonds too.

Maybe these "democratic" governments need to rethink their position on crypto-currencies. Ya think? :P

Swiss bank accounts, for all of the perception that they are inviolable, are not.  There's no humans involved in bitcoin security on transactions, so they are. ;)

Note that any failures on bitcoin have been human related for all of the hubbub otherwise.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 30, 2014, 11:06 PM
Ahem... just in case anyone still doesn't understand the need for Bitcoin...

https://protonmail.ch/blog/paypal-freezes-protonmail-campaign-funds/

Paypal Freezes ProtonMail Campaign Funds

 July 1, 2014  Andy Yen  News & Articles
This morning, we received an email and telephone call from PayPal notifying us that our account has been restricted pending further review. At this time, it is not possible for ProtonMail to receive or send funds through PayPal. No attempt was made by PayPal to contact us before freezing our account, and no notice was given.

2014-06-30_202409

Like many others, we have all heard the PayPal horror stories, but didn’t actually think it would happen to us on our campaign since PayPal promised, very recently, to improve their policies. Unfortunately, it seems those were hollow promises as ProtonMail is now the latest in a long string of  crowdfunding campaigns to be hit with account freezes. (For examples, just look here, here, and here).

While the $275,000 ProtonMail has raised in the past 2 weeks is a large amount, it pales in comparison to many other crowdfunding campaigns that have raised sums in excess of $1,000,000 so we can’t help but wonder why ProtonMail was singled out. When we pressed the PayPal representative on the phone for further details, he questioned whether ProtonMail is legal and if we have government approval to encrypt emails. We are not sure which government PayPal is referring to, but even the 4th Amendment of the US constitution guarantees:

“The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures….”

It seems PayPal is trying to come up with ANY excuse they can to prevent us from receiving funds.

2014-06-30_205105

As a result, we have disabled PayPal as a payment option on our campaign page, but it is still possible contribute with credit card and Bitcoin. Please help us get the word out there as by bringing attention to this issue, we may be able to convince PayPal to do the right thing. And if anybody from PayPal is listening, we’ve emailed and called today, please get in touch with us as soon as possible.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 06:13 AM
Ahem... just in case anyone still doesn't understand the need for Bitcoin...

All well and good.

But what happens when governments do a Mt. Gox on the rest of the Bitcoin exchanges? :tellme:

Who do the exchanges call for help then? The vast and well-organized libertarian-anarcho community? :-\

Yeah, that oughta work...just look how much Occupy accomplished. (Nice of them all to so completely ID themselves to The Powers That Be in the process too. I'm sure the folks who maintain the "roundup the usual" list for the cops are grateful for their assistance.) :P

Bitcoin doesn't continue in spite of government. It continues at the sufferance of governments, which are still examining Bitcoin for ways it can be turned to their advantage. If it proves useful, they'll co-opt it. If not (and it becomes a threat) they'll snuff it without so much as breaking a sweat.

Wish it were otherwise. But as long as you're still running on their fiber, wires, airwaves, and backbone - you're their pooch. :(
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 09:24 AM
But what happens when governments do a Mt. Gox on the rest of the Bitcoin exchanges? :tellme:


That's a very odd thing to say. Are you sure you know what happened at Mt. Gox? It was pretty simple - extremely bad management. It had nothing to do with government.


Who do the exchanges call for help then? The vast and well-organized libertarian-anarcho community? :-\


Oh... right... TARP. You mean like how other corporations, e.g. Bank of America, General Motors, JPMorgan Chase, Wells Fargo, Goldman Sachs, Chrysler, etc., completely fail and then go running to the government for money to bail out their failed businesses!

Somehow I can't see people actually wanting to bail out failed businesses. Err... I mean *normal* people. Not criminal gangs. You know what I mean! :D


Bitcoin doesn't continue in spite of government. It continues at the sufferance of governments, which are still examining Bitcoin for ways it can be turned to their advantage. If it proves useful, they'll co-opt it. If not (and it becomes a threat) they'll snuff it without so much as breaking a sweat.


I'd like to highlight one thing you said there:


It continues at the sufferance of governments


What is the mentality behind affording that "sufferance"?

You're describing a vain, vindictive, evil, sinister, capricious entity. That people are actually ok with this is extraordinarily disturbing.

If it doesn't like something, then whatever that is... there's a good chance that it's good for you.

That you see the nature of the beast, and are then so skeptical of something that stands an excellent chance of diminishing that beast... that just always amazes me.


Wish it were otherwise. But as long as you're still running on their fiber, wires, airwaves, and backbone - you're their pooch. :(


While I love to play around with the term "godvernment", they're not actually all-powerful. They do have limits.

I think Bitcoin is too big now for them to squish so easily. There are congressmen accepting BTC. It's spreading a lot faster now.

Also, the various "godvernments" around the world aren't exactly all that great at working together, and with Bitcoin being global, their cooperation is needed.

I'm still very optimistic.

But, there are bigger worries out there for currencies right now. The global currency war is in full swing and getting nastier all the time. Bitcoin doesn't factor in there though.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 10:24 AM
Another addition - Newegg:

https://twitter.com/newegg/status/483943309564735489

http://www.newegg.com/bitcoin?cm_mmc=SNC-Twitter-_-Bitcoin-_-NA-_-NA

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 10:54 AM
Another addition - Newegg:

https://twitter.com/newegg/status/483943309564735489
 :Thmbsup:
 :'(http://www.newegg.com/bitcoin?cm_mmc=SNC-Twitter-_-Bitcoin-_-NA-_-NA



I think there's more "geek marketing" lurking behind that "decision" than anything else.

Especially in retail where the correct answer to the question: "Which methods of payment should we accept?" is: "ALL of them."
 ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 11:15 AM
I think there's more "geek marketing" lurking behind that "decision" than anything else.

You're probably very right there!

But if you look at Overstock, they have had great success with Bitcoin. The bandwagon is rolling by, and companies are jumping on. :)  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 11:28 AM
The bandwagon is rolling by, and companies are jumping on. :)  :Thmbsup

Any time there's money visible on the street, companies will jump on the bandwagon.

They'll roll with Bitcoin for all it's worth. But the minute there's a problem, they'll kick it to the curb. Don't forget, if your Bitcoin payment goes south, you're still on the hook for the money you owe. So there's little if any risk to a company that accepts Bitcoin, as long as it remains legal to do so.

Like plastic, they'll just call the customer and say "I'm sorry, but your MasterCard declined the purchase. Is there another form of payment you'd prefer to use instead?"

No skin off their noses. Brown or otherwise. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 12:02 PM
That you see the nature of the beast, and are then so skeptical of something that stands an excellent chance of diminishing that beast... that just always amazes me.

Chalk it up to more direct personal experience on my part - and the fact I lack the romantic perspective on all this that you seem to have.

You see colossal forces of good and evil playing out some cosmic struggle.

I see a species whose tribal survival instincts have not transitioned effectively or efficiently into the artificial world it's created for itself.

I don't see cosmic "good vs evil" at play here. I see stupidity, and ignorance, and wilful disregard of hard data and logic, and above all: FEAR! Fear of getting hurt. Fear of change. Fear of living in want. Fear of the unknown. Which sometimes leads to a will to power. Circular logic. Magical thinking. Pointless greed and avarice. A fascination with cruelty and suffering - often disguised as "humor" and "entertainment. Childish fascination with spectacle. And...the list goes on...

There's no BEAST.

There's no EVIL MASTER PLAN.

There's really nothing but us behaving badly towards each other. More often than not for no reason other than habit - and because "We can!"

Government isn't this big wicked extra dimensional creature that we're fighting a religious war of survival against. It's just a bunch of us moving as a group, and sometimes behaving cruelly and stupidly.

So yes, I agree that governments aren't all powerful. However, I'd also add that the sooner we strip the mythic persona and "purple prose" away from all this and deal with government in terms of what it really is (i.e. just another bunch of people), the better.

-----

To the point of "diminishing that beast" all I can say is most people are doing it wrong. Governments are designed to slow or eliminate sudden societal change. And they're engineered to deal with direct frontal assault and confrontation. The only time a direct confrontation will work is if 90% (or better) of the general population is 100% behind the move. If not, it peters out and fails. And usually makes it much harder for the next group that attempts it. Because, while many government are adept at not learning from experience, the one type of experience they do learn from is a direct attack made against it.

Unfortunately, most "revolutionary" thinking and movements are elitist in nature. Agree with those who lead them - or be considered stupid and assigned to the "sheeple" category for all eternity. Most of the "calls for change" I hear are extremely dismissive of the general public. Most of the people I hear discussing "new economics" or other contrarian ideas seem far more intent on proving (to themselves) that they're smarter than most other people than gaining support. Which is a far cry from proving their thesis - or getting large numbers of people to buy into their position.

Not a good way to build that 90% backing I mentioned earlier.

But...I've seen this before. Maybe this time around it'll be different. But I seriously doubt it. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 12:08 PM
Brown or otherwise. ;)

Speaking of brown, get ready to shit your pants.

http://www.gulf-times.com/eco.-bus.%20news/256/details/398622/kuwait-finance-firm-suggests-trading-oil-in-bitcoins

Kuwait finance firm suggests trading oil in bitcoins

Oil producing countries, particularly in the GCC, could benefit if they would use bitcoin in oil trading, instead of dollars, Markaz’ research department argues.


There have been a number of proposals in the past to trade oil and gas in another currency than the US dollar, for political as well as for monetary reasons. Some OPEC member states not particularly friendly to the US, whenever there was a crisis of some sort, have been making repeated noise about denominating their price for hydrocarbons in another than the US currency, but have never quite managed to agree on an alternative.

The most active countries today that pursue a no-dollars-for-oil policy are Iran, which encourages all trading partners to pay for oil in a currency other than the US dollar, and Russia, whose flagship company Gazprom, the largest extractor of natural gas in the world, recently told oil importers from China and Japan that they should pay their bills not with greenbacks, but preferably with yen, yuan or even ruble.

But a new report (Disruptive Technology: Bitcoins, Currency Reinvented?) recently issued by Kuwait-based investment banking and asset management firm Kuwait Financial Centre, also known as Markaz, even goes a step further: Oil producing countries, particularly in the GCC, could benefit if they would use bitcoin in oil trading, Markaz’ research department argues.

This comes a bit as a surprise, since bitcoin as an unregulated and — as of now — highly volatile cryptocurrency, has no manifestation other than bits and bytes stored somewhere in the virtual space and seems not to be the most reliable means of trade for the world’s most sought-after commodity.  The idea is not new, though: There has been an Internet debate about one year ago on what would happen if the Opec would adopt bitcoin as transaction currency. The outcome: Firstly, the US would certainly not sit and watch the dollar losing its petrocurrency status and would do whatever needs to be done to defend the greenback; secondly, China wouldn’t allow it as it wants the yuan to be a petrocurrency as well; thirdly, in the moment oil and gas gets priced in bitcoins, it would be exposed to the cryptocurrency’s extreme volatility with massive consequences and fiscal uncertainties for petroleum-exporting countries. Speculators had a wide and anonymous field to play.

So what did Markaz actually mean? They basically said that using bitcoins would save payment transaction costs for oil exporting countries, because sending and receiving bitcoins of any denomination is just a matter of seconds and costs next to nothing. For the clearance of oil payments through conventional banks, exporting countries currently have to wait one to three days and pay the usual banking fees.

But just for saving some transaction time and costs, would the GCC, where the oil industry currently accounts for 90% of exports and 75% of government revenue, as per Markaz’ own research, really be wise to channel these massive money flows through bitcoin clearing houses, which are, as per their nature, unregulated, work with open source codes and can get — at recent history shows — easily hacked and digitally robbed? This is open for debate.

Before any barrel will ever be paid for in bitcoins, it will be the Chinese yuan that has taken on the role as the dollar’s challenger. China already pays Russia’s and Iran’s oil in yuan and is busy setting up yuan clearing houses in major financial centres all over the world to facilitate the global money flow of its currency. This is, for now, probably a much better solution until the world knows what will rally happen to bitcoin.

I'll give you some time to go clean out your shorts. ;)






















For everyone else who might be bored of scrolling, here's http://www.doodie.com/ :)


















Back? ;D

That it has even been mentioned by that kind of organisation is almost unthinkable.

I've joked about that with people, but never seriously thinking that it would ever happen. Hopeful? Yes. Serious? No.

Yeah... I know... it's not going to happen. But... Those people have been thinking about it.

That's a big deal.

It's like Mother Theresa thinking about whether or not she wants to go to an S&M dungeon party and be a slave or dominatrix.

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 01, 2014, 12:13 PM
Interesting (Ren vs. 40), I actually fall somewhere between these two schools of thought..

Who else wants popcorn?? :D



-------------------------------------

Crap, Ren got ahead of me...I was referring to 40hz's post above.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 12:26 PM
But what happens when governments do a Mt. Gox on the rest of the Bitcoin exchanges? :tellme:


That's a very odd thing to say. Are you sure you know what happened at Mt. Gox? It was pretty simple - extremely bad management. It had nothing to do with government.
 

In the US at least, Bitcoin exchanges are subject to FinCEN regulation.

So they're not the big "revolutionary agorist" monetary system some people like to think they are.

Fail to obey said regulations and follow "suggested" guidelines and you risk having your assets seized.

Even worse, if there's "probable cause" (that magical phrase that makes enforcement action possible in advance of proof of wrongdoing) for a government to think what you're doing is illegal - you're offline. And all that's ultimately required is a signature on an order from a compliant judge to shut you down completely until the matter gets "resolved."

So again, what is stopping any government from doing the same? All you need to do is convince a judge some Bitcoin exchange needs to be seized and it will happen. And with these crazy international trade agreements trumping local law, the alleged crime doesn't even have to be local in the jurisdiction the enforcement occurs in.

No different than Swiss accounts. Their vaunted "secrecy" is crackable with a warrant too. ;)

Mt. Gox, AFAIK was shut down because DHS filed for "probable cause" that Mt. Gox was transferring money illegally.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 12:28 PM
Interesting (Ren vs. 40), I actually fall somewhere between these two schools of thought..

Who else wants popcorn?? :D



-------------------------------------

Crap, Ren got ahead of me...I was referring to 40hz's post above.

Yeah? well..the only reason this ping-pong match is going on is because it's been a slow day. And I don't feel like learning anything technical right now. :P
Title: Re: Does anyone here use Bitcoins?
Post by: barney on July 01, 2014, 01:38 PM
That's a very odd thing to say. Are you sure you know what happened at Mt. Gox? It was pretty simple - extremely bad management.

Ya might wanna rethink that statement - aren't government and extremely bad management pretty much synonymous  :P?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 01:39 PM
@40hz - We're not going to see eye-to-eye on a lot of these things.

Mt. Gox, AFAIK was shut down because DHS filed for "probable cause" that Mt. Gox was transferring money illegally.

Your information is bad.

I do understand more about what you mean about Discordianism from one of your posts above.

I'm going to drop it there. Our world views are simply far too different for this conversation to go anywhere.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 01, 2014, 02:14 PM
^I'm going off the writeup on ArsTechnica so if I'm misinformed I guess I'm in good company at least.

Also sorry if you don't want to chat with me any more about this.

I get that same response from a lot of people I know - although most of them seem to be self-professed "conservatives - and damn proud of it" types.

Guess the futher out on the distribution curve things get, the more they start acting and sounding the same.

Whoulda thunk? :)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 01, 2014, 10:58 PM
Also sorry if you don't want to chat with me any more about this.

I get that same response from a lot of people I know - although most of them seem to be self-professed "conservatives - and damn proud of it" types.

Guess the futher out on the distribution curve things get, the more they start acting and sounding the same.

Whoulda thunk? :)

That's not it. (And I certainly wouldn't call myself "conservative".)

It's stuff like this:

There's really nothing but us behaving badly towards each other. More often than not for no reason other than habit - and because "We can!"

It's "Lord of the Flies"-ish and seems to be deeply pessimistic. "People are inherently bad/evil, and always will be." We can always find something horrible, but we are also immersed in a lot of good that we all too often become blind to.

An excellent example of people being decent human beings is from a few months ago when the war-mongers were screaming to invade Syria, but people everywhere screamed out their opposition, and the death dealers were sent back to their plotting rooms in frustration. It might not happen very often, and probably doesn't happen nearly enough, but TPTB still need enough approval or complacency to "behave badly". Your average person on the street simply doesn't behave badly like that. The vast majority of people are well-intentioned.

So, I'm just not sure that we'll do anything more than come back with different "buts" and always miss the underlying premises that are way off topic here.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 02, 2014, 12:47 AM
By "us" I simply meant "people" in the collective sense.

Not all people. Just "people."

And the jury is out with regard to intrinsic "human nature" AFAIC.

In my case, I don't think in terms like "intrinsic nature." Mainly because I don' t know what "intrinsic" means in that context. I do, however, see behavioral tendencies that are most likely conditioned - although the jury is still out on the "conditioned" part too. And people do what they do.

I don't know why you'd characterize that as being pessimistic. I'd consider it more a behaviorist viewpoint than anything else. But so be it.

And you're right. This is all somewhat OT anyway.. :)
Title: Re: Does anyone here use Bitcoins?
Post by: barney on July 02, 2014, 01:02 AM
The vast majority of people are well-intentioned.
But mostly inactive.
This is all somewhat OT anyway
Seems to be begging the question.  After all, this thread - topic statement notwithstanding - is about folk accepting/following new things/trends.

At any rate, the back-and-forth tween the two (2) of you is certainly entertaining, thought-provoking, and creative.  The thought processes as displayed/evinced certainly require a bit of cogitation from the rest of us.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 02, 2014, 06:51 AM
The vast majority of people are well-intentioned.
But mostly inactive.

Quite true. However ironically - especially for TPTB - frequently the best thing 'people' can do is stay the hell out of it. ;)


This is all somewhat OT anyway
Seems to be begging the question.  After all, this thread - topic statement notwithstanding - is about folk accepting/following new things/trends.

At any rate, the back-and-forth tween the two (2) of you is certainly entertaining, thought-provoking, and creative.  The thought processes as displayed/evinced certainly require a bit of cogitation from the rest of us.

+1,000 - Screw the topic, let'em go ... Watching these two debate human nature (etc..) is Greek mythology level epic!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 05, 2014, 12:00 AM
Decentralised exchange:

http://blackhalo.info/

 :o

Things are moving pretty fast now. The level of innovation and the speed of technology increase are accelerating.
Title: Re: Does anyone here use Bitcoins?
Post by: barney on July 05, 2014, 01:11 AM
Decentralised exchange:

http://blackhalo.info/

 :o

Things are moving pretty fast now. The level of innovation and the speed of technology increase are accelerating.
And that shows me what?  No evident links, no - well, minimal - explanation.  In fact, not much at all other than a page w/o true purpose.  Or is it a placeholder while the site is being established?  Even that, no explanation beyond intuition that I do not possess at the moment.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 05, 2014, 04:44 AM
And that shows me what?  No evident links, no - well, minimal - explanation.  In fact, not much at all other than a page w/o true purpose.  Or is it a placeholder while the site is being established?  Even that, no explanation beyond intuition that I do not possess at the moment.

Scroll down. It's there.
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on July 05, 2014, 07:59 AM
But I curse people who attach useless audio to web pages.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 05, 2014, 10:50 AM
That has got to be one of the more annoying webpages I have ever visited.

Do yourself a favor and just download and read their whitepaper (http://blackhalo.info/wp-content/uploads/2014/06/whitepaper_twosided.pdf) which is a very interesting read.

And...e-hem! Linux beta "real soon now" but Windows version is available right out the door?

How do you operate truly a secure and anonymized exchange when you're allowing a closed and proprietary OS (with known backdoors) for a client into the chain? Dunno...it's all only as good as the weakest link. Learn about by all means - but proceed with caution. (Look at Tor. :redface:)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 05, 2014, 05:15 PM
Mt. Gox, AFAIK was shut down because DHS filed for "probable cause" that Mt. Gox was transferring money illegally.

Your information is bad.


Just a follow up on the above: these sections are taken directly from the warrant issued to the DHS authorizing them to seize Mt. Gox's funds:

---------------------------------------------------------------------------------------------------------------------------

This:
[ You are not allowed to view attachments ]

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and this:
[ You are not allowed to view attachments ]

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A copy of the full 7-page warrant can be downloaded here (http://cdn.arstechnica.net/wp-content/uploads/2013/05/Mt-Gox-Dwolla-Warrant-5-14-13.pdf).

I knew I hadn't imagined it. ;) 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 05, 2014, 09:10 PM
^ The US govt. stealing funds is a separate issue, though it did contribute to it. Mt. Gox is in Japan, and the DHS has no authority there and can't force Japanese courts to be their thugs. (Theoretically... ;) )
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 05, 2014, 11:19 PM
The US govt. stealing funds is a separate issue, though it did contribute to it.

Much like shooting someone in the head a dozen times is a separate issue even if it did, in some measure, contribute to that same someone's demise? Or cleaning out a store's entire inventory and padlocking the doors had some bearing on it going out of business?

While I'm sure there's some desire to save face over the whole Gox affaire, the simple fact is: the US government wanted Gox gone, found a legal argument to torpedo it - and lo and behold - it was gone! It's being in Japan didn't matter. Which raises an interesting question...why did they really want it gone, and why did Japan do zilch (in real terms) to intervene. Could it be that no government anywhere is very welcoming of crypto-currencies to begin with - unless it's to put a cramp in somebody else's monetary system or policy?


Mt. Gox is in Japan, and the DHS has no authority there and can't force Japanese courts to be their thugs. (Theoretically... ;) )

About all I can say to that is: In addition to politics there is something called realpolitik.

If I had to place a bet (even in Bitcoins) I'd be inclined to give odds on the second rather than the first. "Ultima ratio regum" as the old saying (and present reality) goes.
 ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 06, 2014, 01:23 AM
Mt. Gox is in Japan, and the DHS has no authority there and can't force Japanese courts to be their thugs. (Theoretically... ;) )

About all I can say to that is: In addition to politics there is something called realpolitik.

If I had to place a bet (even in Bitcoins) I'd be inclined to give odds on the second rather than the first. "Ultima ratio regum" as the old saying (and present reality) goes.
 ;)

Hey! Get your own schtick! Resident conspiracy theorist is mine~! :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 06, 2014, 01:31 AM
Hey! Get your own schtick! Resident conspiracy theorist is mine~! :P ;D

It's all yours.

Resident "chronically depressed student of history" however, is MINE! It's my precious... :P ;D

BTW...I don't think it's a conspiracy. Crypto-currencies attempt to function as a system of exchange outside the sphere of government. I don't think you'll find any government willing going along with that idea. And national governments certainly have the 'resources' to put some teeth behind their...umm...lack of enthusiasm for it, shall we say? ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 07, 2014, 06:33 AM
From a while back:

http://www.forbes.com/sites/afontevecchia/2012/07/10/spain-forced-to-impose-haircuts-on-savers-private-investors-as-part-of-bailout-deal/

Spain Forced To Impose Haircuts On Savers, Private Investors As Part Of Bailout Deal

Now:

http://www.reuters.com/article/2014/07/04/spain-tax-deposits-idUSL6N0PF2SF20140704

Spain says to charge tax of 0.03 percent on bank deposits

Bail-ins are so yesterday. The new thing is "tax". ;)

Might be small now, but... we all know how that goes.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 09, 2014, 08:20 PM
Some Bitcoin news:



In light of the IRS declaring that bitcoins are property...

"Damn what the law is, we're going to have our cake and eat it too!" - Judge presiding over Ross Ulbricht case.

http://www.wired.com/2014/07/silkroad-bitcoin-isnt-money/

The government and legal community may still be arguing over whether bitcoin can be defined as “money.” But the judge presiding over the landmark Silk Road drug case has declared that it’s at least close enough to get you locked up for money laundering.

In a ruling released Wednesday, Judge Katherine Forrest denied a motion by Ross Ulbricht, the 30-year-old alleged creator of the Silk Road billion-dollar online drug bazaar, to dismiss all criminal charges against him. Those charges include narcotics trafficking conspiracy, money laundering, and hacking conspiracy charges, as well as a “continuing criminal enterprise” charge that’s better known as the “kingpin” statute used to prosecute criminal gang and cartel leaders.

Meanwhile...

https://twitter.com/rogerkver/status/485478065959493632

I’ll give $10 to @Free_Ross for each RT. If guilty, he’s a hero. If innocent, he needs help. http://freeross.org/ross-sends-messagephoto-from-prison/ …

Has racked up over $150,000 in donations from Roger Ver, aka "Bitcoin Jesus".



The Mellons getting into Bitcoin:

http://www.forbes.com/sites/abrambrown/2014/07/08/175-years-later-the-mellons-have-never-been-richer-howd-they-do-it/

But unexpectedly he asks the waiter to take away his cellphones, fearing Snowden-style eavesdropping. And then the scion of America’s most enduring banking family lets it fly: “I feel like citizens are fed up with banksters,” using a term the Occupy Wall Street crowd would surely approve. Politicians receive similar disdain: “We need to live in a more transparent, free democracy. The more secretive America becomes, the more dangerous it is.” The solution, Mellon says, is Bitcoin, and he’s invested $2 million to start an incubator for Bitcoin companies, convinced virtual currency will replace the dollar bill. “The banks are going to be scratching their heads,” he says, a smile encroaching on his high cheekbones.

Did he just say "banksters"?!?!



A former US Mint director chimes in on Bitcoin:

http://www.coindesk.com/former-us-mint-director-save-bitcoin-regulators/

...the digital currency has increased in prominence, prompting Moy to declare bitcoin “a disruptor to the traditional notions of currency” in May.

...

Why US bitcoin regulation is failing

Despite the promise of bitcoin technology, an unclear regulatory landscape makes it difficult for businesses in the US market to develop. At the heart of the problem, says Moy, is a lack of cohesive regulatory language that defines digital currency.

He said:

“Bitcoin is not just one thing. It’s not just currency, it’s not just a payment system, it’s a protocol – there’s multiple things that cross over into many different turfs of government.”

...

“Every agency has to look at bitcoin from the perspective of what their agency does. So the Commodities Futures Trading Commission looks at bitcoin as a commodity, because it complies with all the issues that commodities applies with. The Federal Trade Commission looks at this as a bartering issue, as a trading issue; the FEC looks at it from an investment perspective; the IRS looks at it as a taxable event.”

So, see the above bit about the judge that wants to have his cake and eat it too. ;)



And what new disruptive technology would be complete without PRON~! ;D

A press release from Hustler:

http://www.digitaljournal.com/pr/2043884

HUSTLER.com, the leader in adult entertainment, is offering an unprecedented level of member discretion thanks to a partnership with digital currency payment processor, GoCoin.

Starting today, anyone who pays for their HUSTLER.com subscription with digital currencies bitcoin, litecoin or dogecoin will receive a special lifetime membership for just $500. To take advantage of this exclusive offer, visit www.HUSTLER.com.

...

"It's well known that the adult entertainment industry is often an early adopter and driver of new technologies," said GoCoin Founder and CEO, Steve Beauregard. "HUSTLER is continuing this trend by embracing not only bitcoin, but other emerging digital currencies as well."

It appears Hustler is going for Doge style~! :P



And speaking of doge, an excellent compilation of some fun dogecoin images:

http://imgur.com/a/SBgIl



The Visual Capitalist has created an infographic on BTC vs. banking:

http://www.visualcapitalist.com/wp-content/uploads/2014/07/bitcoin-disrupt-financial-system-infographic-2.png

The graphic is large, so, in a spoiler.

Spoiler
(http://i.imgur.com/FCkl21b.jpg)





Adding to the endless streams of merchants flocking to Bitcoin, SilverGoldBull has added BTC:

https://silvergoldbull.com/payment

For those unaware, SGB is a large precious metals online dealer. I've bought through them, and they're excellent. Very often you'll find they have the best prices.




And if you'd like to WIN some bitcoins, Virtex is sponsoring a contest:

http://lovebitcoin.co/

Purpose:

Bitcoin is one of the most impressive innovations of our lifetime. #lovebitcoin is about sharing and educating the world about the benefits and showcasing the passion. CAVIRTEX and Saucal believe in the spirit of Bitcoin are proud to sponsor this contest.

Rules:

  • Record a video telling the world why you love bitcoin and upload it to YouTube or Instagram with the hashtag #lovebitcoin in the title.
  • All videos will be automatically entered.
  • Keep it short and sweet.
  • Keep it classy (no swearing, no nudity, no racism, etc).
  • Use the hashtag #lovebitcoin to create awareness and promote your video.
  • Post a bitcoin public address in the video description so we know where to send the prize if you are selected.
  • The video’s should be recorded in English or have English subtitles.
  • Winners will be selected by a panel of 3 judges chosen by CAVIRTEX and Saucal.

Prizes:

The prize pool will begin at 1 BTC but in the spirit of Bitcoin the pool will be a public address that is open for additional sponsorship. Don’t you #lovebitcoin?
 
  • Ultimate Grand Supreme Bitcoin Lover – 50%
  • Grand Supreme Bitcoin Lover – 25%
  • Supreme Bitcoin Lover – 10%
  • Super Bitcoin Lover – 5% (3 available)

Criteria for judging:

Videos will be judged with the following in mind:
 
  • Originality & Creativity
  • Popularity & Virality
  • Passion & Enthusiasm
  • Quality




And that's all just a tiny bit of the average news on any given bitcoin day. :)  :Thmbsup:

Even the MSM is having a hard time writing hit pieces on Bitcoin now and the vast majority of MSM articles are bullish. Oh, which reminds me... There was a hit piece the other day! "Terrurists! Safety! AML!"

http://news.sky.com/story/1296508/global-jihad-could-be-funded-with-bitcoin

Global Jihad 'Could Be Funded With Bitcoin'

Donations supporting "violent physical struggle" would be "untrackable" by Western governments, says an ISIS-linked blog.

A new blog associated with the Islamic State in Iraq and Syria (ISIS) has said that bitcoin could "enable jihad on a large scale" by sending "millions of dollars" to fighters.

In a post called "Bitcoin and the Charity of Violent Physical Struggle", the author argues such donations would be "untrackable" by Western governments.

Nobody is buying that nonsense. ;)

http://libertyblitzkrieg.com/2014/07/07/attempt-to-tie-bitcoin-to-isis-is-proof-the-establishment-is-scared-to-death/

http://www.reddit.com/r/Bitcoin/comments/2a581y/the_isis_terrorist_bitcoin_piece_is_phony/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 10, 2014, 06:21 AM
Oh, and if you're in New Zealand ;), you can pay for your ISP service in BTC now!

http://www.stuff.co.nz/technology/digital-living/60142370/slingshot-now-accepting-bitcoins

Slingshot now accepting bitcoins

Internet provider Slingshot has begun accepting payment in Bitcoins.

General manager Taryn Hamilton said he expected the ability to pay in the virtual currency would appeal to the "small, but passionate Bitcoin user base".

"We're a web company, so it seems fitting to accept the world's premier web currency," he said.

A bit more at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 11, 2014, 08:31 AM
MAJOR writeup in Wired about Bitcoin, Dark Wallet, Amir & Cody, Silk Road, Open Bazaar, Liberator, regulation, crypto-anarchy...

http://www.wired.com/2014/07/inside-dark-wallet/

THREAT LEVEL

[ You are not allowed to view attachments ]

DARK WALLET

Amir Taaki and Cody Wilson are cruising north through Texas on Interstate 35 in the 4:30 am predawn darkness. One of the headlights on the aging BMW Wilson’s driving is burned out, and he’s wearing sunglasses. “They’re prescription,” he says drily.

It’s May Day, every anarchist’s favorite holiday, and the two 26-year-olds have marked the occasion by releasing a piece of software that represents their best attempt so far to undermine every government in the world. A call from a lawyer friend has reminded them that creative US prosecutors might hit them with conspiracy or other charges. So they’ve decided to skip town.

Half an hour earlier, they pulled out of Wilson’s apartment in Austin and began the long nighttime drive to Dallas, where Wilson has booked Taaki a last-minute flight to Barcelona. Taaki has friends there living in a squat in an abandoned police station. Wilson himself plans to lay low in his hometown of Little Rock, Arkansas. A 29-year-old Canadian friend, cryptographer Peter Todd, is riding along in the back seat.



A LOT more at the link. (About 5,800 words.)

There's something for everyone in there to love and hate.

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on July 11, 2014, 09:43 AM
Interesting read, thanks for the link  :up:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 06:54 AM
Bitcoin through your TV? If you're in Finland, yes.

http://beta.slashdot.org/submission/3694105

"Finnish national digital TV broadcaster Digita co-operates with startup company Koodilehto to start transmission of Bitcoin blockchain and transactions in Terrestrial Digital TV (DVB-T) signal that covers almost the entire Finnish population of 5 million people. The pilot broadcasting starts in September the 1st and lasts two months. The broadcast can be received by a computer with any DVB-T adapter like this $20 dongle. Commercial production phase is planned to begin later this year."

It's happening.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 12, 2014, 07:26 AM
It's happening.

It's being embraced by a channel broadcaster of (pop. 5 million) Finland? Now that is a major breakthrough. :P

(Sounds like some sharp Finnish entrepreneurs are looking to become the Royal Caymans equivalent of cryptocurrency before the banks in Switzerland and Monaco decide to jump in on it. Somebody must have read The Mouse that Roared and got inspired.)

FWIW I'll agree Bitcoin is poised for something soon. I'm guessing that just as soon as it becomes fully licensed and government regulated it's adoption will be global.  ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 07:42 AM
It's happening.

And as soon as it becomes fully licensed and government regulated it will be universal. :P

I wish people would stop talking about things this way - it's inaccurate and skews the conversation to things that just ain't gonna happen. Bitcoin cannot be regulated. The game is over. It's done. Insert another quarter, but you don't get to continue.

You can regulate what PEOPLE do. But the Bitcoin cat is out of the bag.

Bitcoin is FLOSS software. Can anyone regulate Apache or Linux? It's like that.

TPTB can make laws and regulations about what people do with Bitcoin, but they can't dictate what Bitcoin is or isn't. That game is over.

The conversation needs to be more along the lines of, "this is what you are legally allowed to do with Bitcoin and this is the pain we're going to inflict on you if you don't do what we say." That would at least be more accurate and far more honest. (Of course it would need to be worded less honestly...)

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 12, 2014, 07:47 AM
and skews the conversation to things that just ain't gonna happen. Bitcoin cannot be regulated. The game is over. It's done. Insert another quarter, but you don't get to continue.

So says Renegade - who is wise and can predict our collective future with 100% accuracy.  ;) ;D

A prophet is always without honor in his own country.  :(

----------------------------

He also brew up a helluva fine Ginger Ale! (Thanks for the recipe and suggestions btw!) :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 12, 2014, 07:55 AM
You can regulate what PEOPLE do. But the Bitcoin cat is out of the bag.

Bitcoin is FLOSS software. Can anyone regulate Apache or Linux?

Hate to say it, but they most certainly can. FLOSS is not immune to government interference and regulation. Both directly and (more insidiously) indirectly. (see: China, Russia, N. Korea, New Zealand, Australia, the USA, ...)

Just like that other great piece of technology that was supposed to liberate us all and serve as the absolute check on the power government: the Internet.

The intelligence agencies of the world are still laughing themselves to silly over that one.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 10:14 AM
You can regulate what PEOPLE do. But the Bitcoin cat is out of the bag.

Bitcoin is FLOSS software. Can anyone regulate Apache or Linux?

Hate to say it, but they most certainly can. FLOSS is not immune to government interference and regulation. Both directly and (more insidiously) indirectly. (see: China, Russia, N. Korea, New Zealand, Australia, the USA, ...)

Just like that other great piece of technology that was supposed to liberate us all and serve as the absolute check on the power government: the Internet.

The intelligence agencies of the world are still laughing themselves to silly over that one.

You're not describing regulation there, unless you mean outside of the judicial sense and instead mean the broader concept (control). But that's not what we were talking about -- we were talking about regulation in the judicial sense.

What you've described would be better phrased as "subverted".

Can governments regulate (in the judicial sense)? No. They can't. That ship has sailed. (See here (http://rudd-o.com/archives/well-known-dishonorable-individuals-associated-with-bitcoin-are-colluding-to-destroy-bitcoins-fungibility) and here (https://darkwallet.unsystem.net/) for a couple examples of why that is.)

It just ain't gonna happen. Period.

Will they regulate? YES! BUT. NOT. BITCOIN!

They will regulate HUMAN BEHAVIOUR. They can do that. They can say what you can do with BTC and what you can't do with it.

But they sure as guns ain't gonna crack open vi and gcc. They can't. It's a decentralised network!!! Everyone else needs to agree, and that ain't gonna happen.

Can governments interfere/subvert? Of course.

tl;dr - Regulate (judicial sense) = not possible, Subvert/interfere = very possible.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 10:16 AM
He also brew up a helluva fine Ginger Ale! (Thanks for the recipe and suggestions btw!) :Thmbsup:

Give 'er a shot & tell me what you think. Expect it to be dry though. I actually picked up some ale and champagne yeasts to give it another shot with a more polished approach. :)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 12, 2014, 12:31 PM
He also brew up a helluva fine Ginger Ale! (Thanks for the recipe and suggestions btw!) :Thmbsup:

Give 'er a shot & tell me what you think. Expect it to be dry though. I actually picked up some ale and champagne yeasts to give it another shot with a more polished approach. :)

Trying it with a very nice pale ale yeast I've had some very good luck with in the past. S/B interesting to see how it comes out.

Also thinking of trying for a honey-ginger mead...hmm...

Maybe we should start a separate homebrew thread for this?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 12, 2014, 01:16 PM
Just like that other great piece of technology that was supposed to liberate us all and serve as the absolute check on the power government: the Internet.

The intelligence agencies of the world are still laughing themselves to silly over that one.

Are they? I'm not so sure. Yes, they have done a fine job of playing catch-up ... But they're now where near the front of the pack of who control the information flow. Case in point, we're currently two from the USA nobodies, that are having a conversation with a guy in Australia, while folks from all over the planet watch and can chime in ... That's hardly restrictive.

Now yes, yes, yes ... I'm sure there are plenty of malevolent bits of garbage that are also cataloging the discussion in some subterranean bunker for the expressed purpose of "stamping-out-evil" or some other brand of stunning bullshit. But the point is the tightly spin controlled to the point of being Spoon Feed Crap by the MSM TPTB had on people is a 50s era thing of the past ... Because the truth really is out there to be had by anyone with the compunction to do a Google search.

Remember the concept of the self fulfilling prophecy, and add to that the knowledge that no one really has any power over you unless you give it to them. If we continuously function solely based on the assumption that TPTB have total control over everything ... Then they very soon really will. And we will all die very quietly whenever and wherever we are told too.

As a byproduct of the 70s, I saw Screw the Man! ...And I always will.
Title: Scalable Existence
Post by: ediblesound on July 12, 2014, 03:31 PM
http://thefourcornerstones.blogspot.com/2011/11/for-rulers-are-not-terror-to-good-works.html
https://sites.google.com/site/solutionsfortheindividual/autonomy/peaceful-inhabitants

This may be encouraging and inspiring to a meaningful extent in light of the many many opinions that flurry about down the rabbit hole.

It seems to me to be the archetypal balance between uniperspective and polyperspective (like experiencable meta-awareness, super-empathy, entelechy) of intelligent systems, and I find great peace it seems in looking at the whole apparent goings on in a perspective of looking at living intelligent "self"-organizing systems and self-regulating momentum of existential seeming perpetuation in defiance of any notion of entropy at every increment.

The ostensible continuing evidence that we are here STILL to BEGIN WITH, I think is overwhelmingly persuasive that infinity is boundless and that limitations and "scarcities" are limited and perceptual in nature,—artifacts of the mechanism of interpreting perception—, and that alternative perception provides alternative experience with ever rearrangeable arrangements, rather than just nominal limits; and further that

Complications are compounded simplicities juxtaposed; just like the emergence of programing from zero to any dimensioned language representation and linked dependencies and reconfigurable interdependancies of objects!

I suggest that the soultion is a simple as before the problem ever was, as there being a natural symmetry from one through many to whole, like the rebirth archetype and the process of expansionary static persistence outside of and from which all dimension, measure and allotment comes; and as  A circle  with consistent degrees yet a floating radius maintains ever applicable scalability!

Peace and exuberance I will for the best for all!

I also suggest that the media for valuation representation ("money", commodities, and so on) transfer will naturally float with that which is valuatable! Like the idea of pegging the conjuring of new transactional credits / units to the six year agricultural averages per land patent  area, and so on-- as value is inextricable with the semi-subjective perceptual experience of nature itself, where the assay of land as a foundation of property becomes key, and yet the continuing transmission of all such utility makes it seemingly ultimately necessary for a floating or transmission essentially in some balance of step and sync of all title right with as well the very ebb and flow of nature itself (trusts)- we naturally a part of that-— it all becomes a matter of crust crumble melt and float of monetary tectonics - very much like variously described in the links I've posted here.
 enjoy in joy!!





This might be interesting for some:

Bitcoin copper rounds.

Now, they are ornamental, and only for collectors. Also, if you are into purchasing metals as a way to store wealth, you have to be braindead to buy them - but that goes for pretty much all copper rounds, and not just those. (They are overpriced by a LOT! Silver or gold are much better buys, and particularly silver.)

Anyways, just thought it might be interesting for some people here. Gimmicky? Sure. Fun? Definitely! :)


maybe at the moment…;-0)  I think those are cool, nice designs, how many more are possible?!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 07:33 PM
Remember the concept of the self fulfilling prophecy, and add to that the knowledge that no one really has any power over you unless you give it to them. If we continuously function solely based on the assumption that TPTB have total control over everything ... Then they very soon really will. And we will all die very quietly whenever and wherever we are told too.

^ THIS!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 12, 2014, 07:36 PM
Trying it with a very nice pale ale yeast I've had some very good luck with in the past. S/B interesting to see how it comes out.


Ah! I didn't know that you'd given it a spin before!


Also thinking of trying for a honey-ginger mead...hmm...


I'm thinking about adding in some organic honey that hasn't been filtered to death for my next batch of ginger ale. The more complex sugars aren't so easily broken down so... err...


Maybe we should start a separate homebrew thread for this?


Yes. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 13, 2014, 05:52 AM
Coin Prism lets you create colored coins:

https://www.coinprism.com/

It's a kind of wallet service.

http://coloredcoins.org/

The open source standard for decentralized exchange
Colored Coins is a colored bitcoin minting and exchange protocol that works on top of an existing blockchain infrastructure

Basically, you can colour a coin to represent anything, e.g. your house, a car, some stocks, a coupon/voucher, whatever, and then pass that around.

For example, say you own a hardware shop and you want to issue coupons for $50 off of a new lawn mower. You can issue those in Bitcoins. When someone pays for one of your lawn mowers and sends you one of the coloured coins that you created, you can then redeem it as a $50 coupon.

You could, at the time of sale, give out 0.0001 BTC in coloured coins that are redeemable for next month's specials. It would cost you a few cents, but it would bring in more business... because somebody would create an online marketplace to trade coloured coins and a customer could sell their $50 off lawn mower coupon for $10 (or 0.01 BTC or whatever) or trade for another coloured coin coupon (or whatever). Everyone would win.

You could issue concert tickets like this.

What can you imagine?

And it works on the Bitcoin blockchain.

Can you do that with credit cards or cash? ;)

Hint: It's happening. ;)

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 13, 2014, 08:01 AM
Remember the concept of the self fulfilling prophecy, and add to that the knowledge that no one really has any power over you unless you give it to them. If we continuously function solely based on the assumption that TPTB have total control over everything ... Then they very soon really will. And we will all die very quietly whenever and wherever we are told too.

^ THIS!

Lest what I am saying be misconstrued, I'll spell it out a little more bluntly...

As a product of the anti-war (Viet Nam) era I too say "speak truth to power."

But with the caveat you know what you are getting into if you are genuinely serious. (I don't count 99.999% of the blog and forum crowd in that category.) Real revolutions are not conducted quietly over a cup of tea while online with a laptop. They eventually show up on the street (e.g. the Occupy movement, Ukraine, etc.) once they really start rolling.

And when they do, the odds and rules shift dramatically.

Most movements that want disruptive change are long on verbiage, sometime good on tactics, and absolutely pitiful when it comes to long-term strategy.

Most are also extremely impatient, and attempt to push their agenda through without gaining broad and vocal public support. (Why must so many would-be revolutionaries be such closet elitists? More worthwhile social movements have been sunk by somebody's ego and big mouth than ever were by "the Man.")

This sort of attempt is not a genteel parlour game." To borrow from the Declaration of Independence:

"And for the support of this Declaration, with a firm reliance on the protection of divine Providence, we mutually pledge to each other our Lives, our Fortunes and our sacred Honor."

As Franklin so succinctly put it: We must all hang together, or assuredly we shall all hang separately.

Something to think about when it comes to pushing for disruptive change.
 :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 13, 2014, 09:20 AM
This might belong in the silly humour thread...



But, I've had too much to drink to care. :P

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 13, 2014, 12:17 PM
Remember the concept of the self fulfilling prophecy, and add to that the knowledge that no one really has any power over you unless you give it to them. If we continuously function solely based on the assumption that TPTB have total control over everything ... Then they very soon really will. And we will all die very quietly whenever and wherever we are told too.

^ THIS!

Lest what I am saying be misconstrued, I'll spell it out a little more bluntly...

As a product of the anti-war (Viet Nam) era I too say "speak truth to power."

...

As Franklin so succinctly put it: We must all hang together, or assuredly we shall all hang separately.

Something to think about when it comes to pushing for disruptive change.
 :)

40... This is turning into almost conditioned response to Ren and I getting together on something. :D There is after all a vast amount of middle ground between totally subjugated obsequence and rioting in the streets (Personally I think we're a bit too close to the first one..). Not to mention that if you look at it from a bit of a distance, the only really disruptive change being effected is the consistent downward spiraling push towards a surveillance state.

So... Much like the SOPA/PIPA/ACTA thread implies by its mere existence. Instead of just believing what were told - since the real truth is out there - whenever one of these idiotic constitutional violations shows its head .... We The People respond by making every governmental Email server explode instantaneously with the sheer volume of Email screaming NO THE HELL YOU DON'T!! And we continue to keep it up until those that keep trying to push it through get the message as their voted out ass is now job hunting.

It's really just a few clicks up from passive resistance, but it's damn sure a good place to start...and it seems to be working so far (according to the thread mentioned earlier).

The only problem lies in people weakening and falling for some bullshit "For the Children" line that allows these vermin to burrow deeper into the dark. Haul their happy ass out into the sunshine...and if their albino asses bust into flames like a vampire ... Hay WTF ... Like they always say, omelets gotta get made somehow..
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 13, 2014, 12:38 PM
Remember the concept of the self fulfilling prophecy, and add to that the knowledge that no one really has any power over you unless you give it to them. If we continuously function solely based on the assumption that TPTB have total control over everything ... Then they very soon really will. And we will all die very quietly whenever and wherever we are told too.

^ THIS!

Lest what I am saying be misconstrued, I'll spell it out a little more bluntly...

As a product of the anti-war (Viet Nam) era I too say "speak truth to power."

...

As Franklin so succinctly put it: We must all hang together, or assuredly we shall all hang separately.

Something to think about when it comes to pushing for disruptive change.
 :)

40... This is turning into almost conditioned response to Ren and I getting together on something. :D

 :huh: Ok...If that's the way it's being taken, or starting to sound, then perhaps I'd best just leave the two of you to it.

I'm out.  :)

Onward!  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 13, 2014, 01:28 PM
40... This is turning into almost conditioned response to Ren and I getting together on something. :D

 :huh: Ok...If that's the way it's being taken, or starting to sound, then perhaps I'd best just leave the two of you to it.

I'm out.  :)

Onward!
- Stoic Joker on Today at 01:17:18 PM

*Sigh* I didn't say it was good or bad (because it isn't), I was simply pointing out that it is. I realize that you have a background that involves apparently many (or enough) IRL protests for you to take a particularly seasoned view of said behavior. And that's fine ... It's also a good part of why I value your input in discussions of this type. I just suspect that at times passion may occasionally come across as bloodlust (yes I know it can be a fucking fine line :D) when it's really not the objective. Best I can tell, the actual objective is to maintain the scant few parts of the status quo that don't totally suck.

You labeled Ren as a bit of a romantic not long ago, implying he viewed the world as an epic battle of good vs. evil. And while I agree with the assessment, It's also one of the things I both share with and like about him. I also understand the long game style approach that you appear to be taking. The problem is that if we - and by that I really do mean the three of us in a micro cosmic sense - can't agree on WTF should be done next ... Then we really are (as a big picture of all mankind) collectively doomed.

You dig?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 14, 2014, 08:58 AM
Awesome B-day cake!

[ You are not allowed to view attachments ]

V!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 15, 2014, 09:25 AM
Any Billy Joel fans here?



Lyrics
Lyrics:
Oh oh oh oh, oh oh oh oh oh oh

Bitcoin Girl!

She's been living in her Bitcoin world.
I bet she's never had a Wall Street guy.
She kissed the Federal Reserve goodbye -
for digital dimes.

Bitcoin Girl!
She's been living in her Bitcoin world.
where all her currency is peer-to-peer.
No regulations that can interfere --
unlike my tears.

And when she wakes up
she shakes up her "mine."
Because she knows what she wants:
it's finite supply.

That's when I realized
it is all decentralized!

She's a Bitcoin girl!
You know I've seen her in her Bitcoin world.
She's so over paper money,
which has no value intrinsically.
No stability.

D-o-o-o-o-o-ge

She's the Bitcoin Girl.
She's been living in her Bitcoin world.
Like her transactions I'm anonymous.
Look at her reading the Economist's
analysis.

Digital wallet in her pocket,
it's strange
that when I'm walking
I'm rattling with loose change.

But there's hope for me yet,
after all,
I've got Internet!

She's a Bitcoin girl.
She doesn't care that I can buy her pearls.
But maybe someday when my public key
creates a brand-new cryptocurrency
she'll pick me.

D-o-o-o-o--o-ge

She's the Bitcoin Girl,
the Bitcoin Girl --
You know I'm in love with
the Bitcoin Girl.


Very, very well done and damn funny! :D

Keep your eye out for the shibe! ;)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 15, 2014, 06:26 PM
@Ren - This one was made for you. Francis Black singing the Ewan McColl song Legal Illegal




Lyrics...
Every time you pick up a newspaper,
Every time you switch on the T.V.,
You can bet your old boots that at some point you'll see,
A high ranking Garda or else a T.P.
Calling on all who are meant to be free,
To stand up and defend law and order.

It's illegal to rip off a payroll,
It's illegal to hold up a train,
But it's legal to rip off a million or two,
That comes from the labour that other folk do,
To plunder the many on behalf of the few,
Is a thing that is perfectly legal.

It's illegal to kill off your landlord
Or to trespass upon his estate
But to charge a high rent for a slum is O.K.
To condemn two adults and three children to stay
In a hovel that's rotten with damp and decay
It's a thing that is perfectly legal.

If your job turns you into a zombie
Then it's legal to feel some despair
But don't get agressive and don't get too smart
For Christ's sake don't upset the old applecart
Remember you boss has your interest at heart
And it grieves him to see you unhappy.

If you fashion a bomb in your kitchen,
You're guilty of breaking the law,
But a bloody great nuclear plant is O.K.,
And plutonium processing hastens the day,
This tight little isle will be blasted away,
Nonetheless it is perfectly legal.

It's illegal if you are a traveller,
To camp by the side of the road,
But it's proper and right for the rich and the great,
To live in a mansion or own an estate,
That was got from the people by pillage and rape,
That is what they call a tradition.

It's illegal to kill off your missus,
Or put poison in your old man's tea,
But poison the river's the seas or the skies,
And poison the minds of a nation with lies,
It's all in the interest of free enterprise,
Nonetheless it's perfectly legal.

Well it's legal to sing on the telly,
But make bloody sure that you don't,
To sing about racists and fascists and creeps,
And those in high places who live off the weak,
And hose who are selling us right up the creek,
The twisters, the takers, the conmen, the fakers,
The whole bloody gang of exploiters.


 8) ;) ;D
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on July 15, 2014, 07:17 PM
^ havent heard that one before 40 :up:
Sounds suspiciously like a Libertarian (in the U.S. sense) song though :p
-
and wasnt that partly the reason Bitcoin got going in the first place?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 15, 2014, 08:23 PM
@Ren - This one was made for you. Francis Black singing the Ewan McColl song Legal Illegal


I particularly like the second verse! :)

She could add another verse, because now it's illegal to feed yourself (http://www.inquisitr.com/1235774/michigan-loses-right-to-farm-this-week-a-farewell-to-backyard-chickens-and-beekeepers/).
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 15, 2014, 08:47 PM
Awesome B-day cake!
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg359426#msg359426))
V!

Something slightly uncomfortable to me about the design of that Color design is the slant, going from top Right to bottom left, which seems to me to be less than auspicious, and I refer to 1215.,org and in the audio ( I think 1 of the set of three, but maybe it's in the set of 12) about the common law there is some description about the Ties worn centuries ago- and the symbolism of a king drawing a sword from it's sheath, and this symbolism basically emerging as the "No Parking" signs and even the little "lnodrop.cur" y'all are probably familiar with.




This about the coloured coins now, that is an awesome concept, I really like the sounds of that,   as the "struggle" for "advantage" really is about conscious "control & dominion", it's really about fully acting with cognizance fully of the opportunities and effects, and also as fully of those actions of others, both the possibilities and the resulting effects thereof.

   Technology and the net neutrality issue ( I heard about https://www.battleforthenet.com/, no idea of its affiliations but through that page I commented about how much I love and USE the INTERNET, seeing no harm in expressing myself, for I've no fear,) really acutely represent the critical issue I think we have going on where we so heavily depend upon rather elaborate schemes of DECISIONS MADE BY OTHER PEOPLE!!!!!

Tangentially- Who "OWNS" communication?  is that what the idea of a common wealth is?  Say communication is the resulting TRANSFERENCE of information, validated and bearing the meeting of the minds difference and concurrence, -- is it an abstraction? Is it effervescent, fleeting? Can one even say they own the continuance of it?   So Who Can "OWN" the Internet?   I can control and exercise dominion over technical instruments, like the keyboard I immediately use- and by all means, right now that's effectively part of the INTERNET as I know it! So I Think there must be competition very freshly and avidly among ISPs and all the rest of the infrastructure as much as is practical and ideal-like....

Take the Java debacle case in point!   Just the sheer amount of calling upon library after library, and all these things from all over the net as "fully stated herein" and the reuse of code to such an extent, not to forget mention of the chips made by other people, and the grid itself and basically what you have then is: SOCIETY! lol!   So what's new!?   Point is though-   I think there needs to be attentive cognizant construction and clarity in the creative possibilities, and of course to the extent possible, transparency....


Guess for the moment that's a BTC 2.0e[whatever] worth... :0)    which I guess roughly at the moment is 625.18   BTCUSD
Though I'm casually looking for something of a higher resolution quote, if anyone happens to be able to help me there, I'd love it!


This forum software is sweet! so far it looks very well thought out and it implements, I think some ideas I years ago had posted about- depending on what this start a new thread (with particular post as new root post of new thread?) thing is.  
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 15, 2014, 09:10 PM
^ havent heard that one before 40 :up:
Sounds suspiciously like a Libertarian (in the U.S. sense) song though :p
-
and wasnt that partly the reason Bitcoin got going in the first place?


Bitcoin came out of cryptoanarchyw. Libertarians are what you might call "right" anarchists, who are typically your more peaceful ones (contrast to many "left" anarchists that you see in the news destroying things). But I'm quite certain that a lot of libertarians would object to being called anarchists - many are statists, albeit many are minarchists. But left/right are kind of meaningless. The Nolan chart is a better measure. (Adding axes could continue, but that makes visualisation impossible after the third axes is added, unless you want to start some funky tricks (like you see in visualising hypercubes) that quickly break down.)

Bitcoin certainly feels much more "right" than "left", but that's not really true - Bitcoin is neutral - it can be used any way you want it to be used. Andreas Antonopolous regularly goes on at length about Bitcoin Neutrality. Here's one:



The part that feels "right" is that you actually own your bitcoins in a very real sense when you control the public keys, which isn't true of your bank account balance, etc. So the sense of "property" is pretty strong, and definitely opposed to the "resource based economy" idea that you see in the Venus Project.

But, radical socialism/communism aside, if you accept the idea that it's ok for people to actually own anything, then Bitcoin is neutral.

However... from the wikipedia article linked above:

Described by Vernor Vinge, crypto-anarchy is more specifically anarcho-capitalist, employing cryptography to enable individuals to make consensual economic arrangements and to transcend national boundaries.

Anarcho-capitalism is basically a logical extension of libertarianism to exclude the coercive violence of the state.

But, here's a screenshot of a search I did on YaCy (http://yacy.net/) for "cryptoanarchy":

[ You are not allowed to view attachments ]

There are a lot of "Bitcoin" references in there. :)

Searching for "bitcoin" in YaCy doesn't give me any references for "anarchy".

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 15, 2014, 09:14 PM
Guess for the moment that's a BTC 2.0e[whatever] worth... :0)    which I guess roughly at the moment is 625.18   BTCUSD
Though I'm casually looking for something of a higher resolution quote, if anyone happens to be able to help me there, I'd love it!

Check out Bitcoin Wisdom:

https://bitcoinwisdom.com/markets/bitstamp/btcusd

It's excellent and also includes other currencies as well. Here's Namecoin:

https://bitcoinwisdom.com/markets/btce/nmcbtc

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 15, 2014, 09:17 PM
Awesome B-day cake!
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg359426#msg359426))
V!

Something slightly uncomfortable to me about the design of that Color design is the slant, going from top Right to bottom left, which seems to me to be less than auspicious, and I refer to 1215.,org and in the audio ( I think 1 of the set of three, but maybe it's in the set of 12) about the common law there is some description about the Ties worn centuries ago- and the symbolism of a king drawing a sword from it's sheath, and this symbolism basically emerging as the "No Parking" signs and even the little "lnodrop.cur" y'all are probably familiar with.

The black & yellow flag is the anarcho-capitalist flag. Check my response to tomos above as there's some info about that in there. I'm not sure about the sword imagery though.
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 15, 2014, 11:40 PM
http://i.imgur.com/OM8lWeY.png

I Find that image to pretty well sum things up rather accurately, regardless of the theories one uses to look at the apparent direct experience they experience; The key point being the subjective experience of free agency and the companion point of perspective inherent therewith.

As far as I think about intelligence and systems theory- that's the conclusion I come to- that we have the responsibility and freedom of choice to direct the experience we experience, collectively- though collectively is made up from the core individual seed of this that I think is a great gift of life!

I found good discussion on the topic at the website where the image is sourced from, and this all I found doing a rather amusing and humorous search on images related to the term anarcocapitalism.

The commentary is here:
http://www.reddit.com/r/Anarcho_Capitalism/comments/1gyql5/#
which I think very nicely demonstrates the clear reasoning that I think satisfies the balance between responsibility for self and self's environment.


As far as ownership, the best I've encountered in reasoning is that it is ultimately nothing more than a claim requiring demonstration, i.e. proof, and depending on various interpretations of information regarding title and liens and so on, I figure it safe to merely demonstrate proof of being the holder in due course of any title, as well as of being original creditor at least as demonstrable via direct and immediate usufructuary interest and declared clear intent, (i.e. like a living will, acting as the executor of the trust of the "You"/ Name entity)

Based on the comprehension I have garnered from information available branching out from the links I've previously posted, I think there is quite a brilliant system of jurisprudence in play, and I find the whole rules of the game to probably be far more brilliant and enlightening than much of the alternative media and dissent portrays and suggest it to be,  all based on that hinge that before you have ownership- there is a claim of it staked, and that the rest of the world is thus hinged on the basic persuasiveness held- which I previously referred to as "advantage"

also fundamental to the way I look at all these related things is that based on how the markets and intelligent creativity work, the experience of any including new advantage seems to me to in no way imply any sort of disadvantaging of some theoretical other, and this because- in the case of the vast variety possible in a market characteristically free see footnote 1 - this because of the spread across time and reason for buying and selling; in other words: advantage can be a WIN-WIN-WIN scenario, with no on at a disadvantage, and the same with an ideal-like sort of competition- it can bring the best of good out of any and all involved- and benefit everyone, BECAUSE of the variety of pursuits possible.

There is no end to problems needing fixing- no end to the solutions that can be found and the leverage of efficiency, and novel design thus enjoyed!   There is no reason for a monopoly, and no excuse for it, but people need to actively pursue the advantage they can in order to realize a better picture of this being so!


Just some more thoughts, I'm wary of getting into a work requiring extensive attention to punctuation and so on, such can become unwieldy for me rather quickly!



Awesome B-day cake!
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg359426#msg359426))
V!

Something slightly uncomfortable to me about the design of that Color design is the slant, going from top Right to bottom left, which seems to me to be less than auspicious, and I refer to 1215.,org and in the audio ( I think 1 of the set of three, but maybe it's in the set of 12) about the common law there is some description about the Ties worn centuries ago- and the symbolism of a king drawing a sword from it's sheath, and this symbolism basically emerging as the "No Parking" signs and even the little "lnodrop.cur" y'all are probably familiar with.

The black & yellow flag is the anarcho-capitalist flag. Check my response to tomos above as there's some info about that in there. I'm not sure about the sword imagery though.

Ok So maybe imagine a middle ages scene where you have somehow crossed a noble , and encountering the noble: They get off a horse, approaching thee, they draw a sword with the right hand, preparing to swipe a head off, or....

That's the imagery, so I am a bit averse to the reverse of that symbolism, and would prefer to have that flag with the diagonal slant going from upper left to lower right, as would it appear were I drawing a sword on the left hip with the right arm- that diagonal is formed by the arm across the chest!

  Like the old ties that can still be found more often in second hand goods stores, with the same directional slant in design.  Nowadas notice how many people not aware of the historical reason behind the tie's symbolism walk around, and even go to court (and whose court?!!) wearing a tie with a design slanting from upper right to lower left!  Foolish!?




Footnote 1:
( I think that a free market is unavoidable, though the CHOICE can be as steep as much as  coercion can (theoretically) exist- i.e. the core issues at the bundy ranch (new mexico rancher and recognition of jurisdictions)  assertions of controversy, which I feel it wise to be wary of as being a precursor of something to have an idea of what one desires and how to effectively experience it with all the contingencies taken into consideration as much as possible; title to: cars, bodies, life, DNA, time, transactional units- here at discussion with the bitcoin- the same idea must I think be extended in application to all things desired, i.e. ALLODIAL title via the land patent, et cetera!!!)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 16, 2014, 01:24 AM
title to: cars, bodies, life, DNA, time, transactional units- here at discussion with the bitcoin- the same idea must I think be extended in application to all things desired, i.e. ALLODIAL title via the land patent, et cetera!!!)

Don't get me started on fee simple... I'll just devolve into a blithering mass of profanity and obscenity.

But yes - and it can all be done on the blockchain.

Huntercoin and Namecoin are the coins to look at for the perfect examples.

Let's say that you issue a new address and attach that to something that you own. Later on there's a dispute about who owns it. You have the private key for that address and can demonstrate that it is in your wallet and that you cannot transfer that to yourself (or can transfer it to another wallet), and thus prove your ownership.

This is an address that I own that contains "renegademind.bit":

[ You are not allowed to view attachments ]

Now, if we did the same thing by attaching addresses to cars, we could simply transfer ownership of the car by using the "Transfer to:" in there.

The blockchain is far more powerful than most people understand.
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 16, 2014, 01:37 AM
With the allodial title via the land patent, and other information out there- the issue comes down I think to who has liens on the name entity used, which liens are superseding and preeminent, and also- the addressing here in the united states is a bit messy, in that the zip codes exist in a commercial abstraction- made clear in the doing of that allodial thing i think...


Comes to it, one must preemptively look forward to these possibilities and use all at disposal to create the best life they can!

Perfecting a title is more complicated than one might expect, going the paper route, there's a lot of layers legallity - belief, basically- that serve to allow for such like a false bottomed absolute- which could be unexpected pulled out from under thee!  

I like to think in long term perspective, of course!


wait a minute!   You are obviously talking about digital space domain addressing, right?    well then-   I will have to catch up in comprehension of the specifics there, and that's why I am here.

Recently- listening to steve gibson talk about secure QR login, for an anonymous means of authentication, I have found the topic to be very fascinating, he calls it squirrel and I see this as potentially having applications for blackbox voting, for those interested, and also for perhaps somehow to do with what you write about.

Again, Comes down to it, persuasion and enforcement is the means in this world, whether one likes it or not!  As we each and all are as free as percieved and practiceable!


Same issues though- You would have to prove effectively that it is you using the address- demonstrate it, and demonstrate probably i think- some sort of exclusivity of usage there- which I think could feasibly be done- in order to claim absolute (as for relevant circumstances) control and dominion of the property- in this case I guess an internet address(?)
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 16, 2014, 01:54 AM
title to: cars, bodies, life, DNA, time, transactional units- here at discussion with the bitcoin- the same idea must I think be extended in application to all things desired, i.e. ALLODIAL title via the land patent, et cetera!!!)

Don't get me started on fee simple... I'll just devolve into a blithering mass of profanity and obscenity.

I highly suggest scouring the resources I've mentioned, as I believe I have found great peace in the matter- and also great encouraging initiative to do all I can about it!  I actually find it quite difficult to muster a drop of anger about any of it or most things, just determination, possibility, self-responsibility is all I can find in pondering any of the frustrating issues I have yet pondered or encountered.  

But beyond that- naturally I am more curious as to why- as I believe there is much I could possibly learn and I do encourage you to get started, as practical for you!

Now the blockchain thing- this is very intriguing and I suppose I'll go back and closely listen to where steve gibson breaks down an extensive explanation of how the bitcoin works in the security now podcast, perhaps he covers the subject there.

I really like some ideas, and this may be one of them- to be determined as I further learn about it!


I wonder if there is a way to combine the double post I've made here, I intended to merely append- but the quote button is helpful in getting all the quotation stuff injected into the message automatically... and then I forgot to cut, modify previous post and paste- instead of putting the new post.  

I am moved to express that I think these forum frameworks are for me one of the best things I think there is about the internet- based on what I've been exposed to and used, and I really hope crap like disqus and any other junk is driven out by the sheer elegance usefulness and relative simplicity of this format of commentation...   But I also then must ask- what else is out there I've yet to consider!?


I would love to see some form of twitter extension based on this open character count (probably like what, 76000 characters?)

That would be cool! Do it if you can before I get around to it!









yacy:

Very cool live image on the page linked previously, but I wonder- is the software it looks like i'd be installing in order to do this syndicated indexing and web querying - is it open and peer-reviewed- because that I think is the power of the trust of any syndicate- otherwise it's pointless when I'm supposed to trust the secret separate "experts", for the system to work, I have to be able to by initiative and merit become an expert myself if I choose to so do!  Maybe I am wrong about that- but if so- I believe such can logically be demonstrated so that I see how to adapt as best suits me!  But then I would in that much be enough of an expert about the subject as to so adapt! ;^)


And thanks for the other links...  I'd love to be able to see tick by tick data and depth of market or whatever is available for these cryptocurrencies!

So it seems there are aspects of fungibility AND nonfungibility to the lineage-possessing commodity/currency,  nonfungible in the lineage of prepossessers, or- I guess I need to focus on exactly how these all work...  
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 16, 2014, 02:23 AM
RE YaCy - Yes. It is open source. Give it a look.

So it seems there are aspects of fungibility AND nonfungibility to the lineage-possessing commodity/currency,  nonfungible in the lineage of prepossessers, or- I guess I need to focus on exactly how these all work...  

Funny you should mention that. I'm in the middle of writing an article on why the fiat currency we use today isn't fungible and how the fungibility lie works.
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 16, 2014, 02:28 AM
RE YaCy - Yes. It is open source. Give it a look.

So it seems there are aspects of fungibility AND nonfungibility to the lineage-possessing commodity/currency,  nonfungible in the lineage of prepossessers, or- I guess I need to focus on exactly how these all work...  

Funny you should mention that. I'm in the middle of writing an article on why the fiat currency we use today isn't fungible and how the fungibility like works.

would love to contribute however I can in these subjects, and learn as much as possible,   and specifically- love to review as much information as possible on the subjects and to see the collaboration in the ideal-like consolidation of information- as a scattering of cogent thought in diffusion is slow ( which I think can also sometimes be great, humour for example often relies on the lightning strike of delayed consolidation) - and I believe the answers come together as people mix the variety of perspective- preferably in the peaceful way!

In otherwords- would love to read it at any time you are comfortable.


The yacy network actually seems like an interesting and potentially good way to evolve the ForEx market, which from what I read is already in some ways like that, especially with the expanding number of brokers, and the internet in general.


At the wisdom site- well done! I like that there is the three day time frame as an option, but I also like to group the bars by tick events, — I'm still learning.  It's pretty fast- rather- nice to watch in near-realtime, Thanks so much- I've been planning to find something like that- and intend to continue looking for the very best possible....  As far as I like, naturally.   Love it, thanks!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 16, 2014, 03:53 AM
RE YaCy - Yes. It is open source. Give it a look.

So it seems there are aspects of fungibility AND nonfungibility to the lineage-possessing commodity/currency,  nonfungible in the lineage of prepossessers, or- I guess I need to focus on exactly how these all work... 

Funny you should mention that. I'm in the middle of writing an article on why the fiat currency we use today isn't fungible and how the fungibility like works.

would love to contribute however I can in these subjects, and learn as much as possible,   and specifically- love to review as much information as possible on the subjects and to see the collaboration in the ideal-like consolidation of information- as a scattering of cogent thought in diffusion is slow ( which I think can also sometimes be great, humour for example often relies on the lightning strike of delayed consolidation) - and I believe the answers come together as people mix the variety of perspective- preferably in the peaceful way!

In otherwords- would love to read it at any time you are comfortable.


If anyone responds, I guarantee that people will scream at me for it and call me all kids of names. It won't change the facts though. ;)


The yacy network actually seems like an interesting and potentially good way to evolve the ForEx market, which from what I read is already in some ways like that, especially with the expanding number of brokers, and the internet in general.

Fair warning - Bitcoin charts are addictive when you first get in, and especially when it starts rising. :D

There are others out there as well, but that's one of the best.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 16, 2014, 03:53 AM
Ex-US Mint director just bought his first Bitcoin:

https://twitter.com/EdmundCMoy/status/489185805382868992

I bought my first bitcoin last week.  Easy peasy.

It's happening. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: ediblesound on July 16, 2014, 08:29 AM
I'm looking for a feed to plug in to MT5, Metatrader five- because I have some nice stuff I'd like to run it through- and then of course I need an excel feed, where I'm busy developing things in there...    I really like technical analysis, and harmonic resonance and reflective waves and that kind of stuff.  The reverberations in market movements—interactive fields of co-expressed emotional and reasoned action-reaction, generally whether by finger or mentally designed algorithm (!!)— are so holographic it's almost as if time is nonexistent - you can practically pinpoint when and where certain movements will end up- with remarkable accuracy, I love it.....


No matter how rigged the game is- the remedy is to rig the rigging (i.e. technical analysis to reverse engineer technical analysis, social engineering to reverse social engineering, etc.) -   every backdoor has a backdoor! At least I expect as much!

XAUUSD goes from 1292-to 1311 how often, as a rough example.... (or visaversa, and 1264, 1301 and 1327-30) it's all math- and that- it's fractal-like, incredibly beautiful....  art in numbers...... nature in digits!

Will BTC Displace
1 Special Drawing Right - SDR = 1.5413 US Dollar      
1 XDR = 1.5413 USD      
As of Wednesday, Jul 16, 2014, 01:26 PM GMT      
????
For oil companies?


What matters to me-   Protecting the things I care about- enhancing life for me and who I love, and those that follow after- what can I make a difference in...   What is realistic? what is my responsibility? Who do I answer to?   I go back to when to trace issues like fiat ("so be it!") ?  I've read things about roman insurance fraud, nero and the "assumed" death of unaccounted for individuals after the fire in Rome, and insurance policies, ???(LOL!!!)  Who knows!?  it's an old thing, it seems!

Does the sound of wonder, joy and satisfaction disrupt and inhibit any silent weapons for quiet wars?  At least on the individual level I expect- and the criticality I see as perniciously persistant is the grave effects of long term influence- but it's not so grave as it is an incredibly extended form of social leverage- a multi-generational tool that has like a fractal seed in the perinatal environment- where children are the key to the world!  

Everybodies' bottom line is a complicit amalgam of eachothers, yet individually we can exhalt the experience, but how much further, or differently can the experience be exhalted together?  This I don't know, but I wonder about:  Can entire galaxies be created by the thoughts of a very motivating and conscious few, or many?   Who knows, And as I look upon the universe- Do I see an unforgiving faceless nameless sea of non-emotional black, or do I see a seE of inviting infinite wonder beckoning me to pry further, try harder, and imagine vaster?


So it matters- but does it matter so much- enough for me to decide for another? That removes their bottom line experience!   And while we do all decide for the  each other in influence, Experience, perception is INTRINSICALLY a facet WITH individual freedom, individual free agency, individual responsibility, yet there is a natural law that sifts everybody and their choices consequentially to a balance through out the whole, and so things work out, naturally, and there is room for wonder, and all the rest- yet ire seems to me to be better reserved for where it is used effectively!

One of the pivotal moments for me was when I realized that in all my outrage about supposed issues, I discovered it is actually a passion rooted in love, like everything else.  It seems I always knew this- and it is amazing the journeys possible - internally, one can go through just in the way they look into the world, -  quite a trip reality can be....  With the exquisite twists and turns of the most fascinating thriller edge of the seat fantasy....
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 16, 2014, 01:31 PM
^ havent heard that one before 40 :up:
Sounds suspiciously like a Libertarian (in the U.S. sense) song though :p
-
and wasnt that partly the reason Bitcoin got going in the first place?


@tomos- Ewan McColl was (among other things) a labor activist with definite communist philosophical leanings. At least AFAIK. He was a YCL member at one point in his life, and never attempted to deny or apologize for being one. Even during certain times when it wasn't wise (or healthy) to be called one.

In that Libertarians are the polar opposite of Socialists (in theory so they say - even though much of their rhetoric and arguments are oddly similar to those of the Socialist camp) I think Ewan would be the first to vehemently disagree with you on that point. ;D

That said, it's still a great protest song. My Linux crowd often breaks out singing an impromptu verse or two whenever some new boneheaded bit of tech legislation comes up for discussion at our meetings. The second to last verse is especially popular.  8)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 18, 2014, 07:13 AM
Yet another fly in the ointment. This from Wired (http://www.wired.com/2014/07/ny_bitcoin/):

New York’s New Bitcoin Rules Are Going to Kill Its Startups

    By Robert McMillan 
    07.17.14  |  2:15 pm  |

   

New York State has released a first draft of its much-anticipated plan to regulate bitcoin and other virtual currencies, and at first blush, they look like they were written for the 19th century banking industry, not the modern fast-changing world of crypto currencies.

The guy responsible for the rules, Benjamin Lawsky, has a fine line to walk. Bitcoin, after all, came of age as a lubricant for illegal activity on the Silk Road. But today, a new generation of bitcoin startups are coming of age with millions of dollars in backing from legitimate venture capital companies. Is New York about to drive these startups out of town by clubbing them with onerous regulations before they can walk? Quite possibly. The New York regulations introduce a new level of reporting rules that cover a wider swath of businesses and require more work than the current federal guidelines.

The guidelines ask bitcoin businesses to keep track not only of the physical addresses of their customers, but also of anybody who sends their customers money using the bitcoin network. That undermines the fundamental value proposition of bitcoin, which works very much like the internet’s version of cash. But there’s more. Bitcoin businesses must also file frequent reports to Lawsky’s organization, the New York State Department of Financial Services, or DFS, to detail changes in ownership, financial forecasts, even strategic business plans. <more> (http://www.wired.com/2014/07/ny_bitcoin/)

A complete copy of the NYC-DFS draft regulation discussed above can be downloaded here (http://www.dfs.ny.gov/about/press2014/pr1407171-vc.pdf).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 09:25 AM
Leave it to the nannies in New York to sit the babies on their lap for a suck on their tit while their... I'll skip that as it gets overly obscene very quickly. I think you can imagine for yourselves.

New York isn't doing itself any favours. Nobody gives a rat's ass about New York. That state has a solid record of abusive legislation, and that trend isn't going to stop.

From the article:

New York State has released a first draft of its much-anticipated plan to regulate bitcoin and other virtual currencies

LIES!

Notice that they at no point try to regulate Bitcoin. Because Bitcoin cannot be regulated. The state of New York only has the power to abuse its own citizens (or people inside of its borders) and no power over the rest of us outside of New York.

Look at how cars are regulated. There are laws about seat belts and head lamps and all kinds of things that go into cars.

This does not happen in the software world.

Software cannot be regulated like that.

Reality doesn't work that way.

Trying to regulate software is nothing short of legislating "thought crimes" or banning free speech.

Has anyone ever heard of LAME?

LAME = Lame Ain't an MP3 Encoder

LAME has never been prosecuted because it is nothing but free speech. Period.

I don't understand why nobody every brings up LAME in this context. It just seems obvious to me. (And I'm finally bringing it up.)

Bitcoin is the same thing.

Nobody is going to try to say, "Line 27 of bitcoin.cpp must be amended to..." No. Politicians don't write code. If they did, oh god... that's a nightmare...

The kleptocrats with guns will sit there and watch what you do and bludgeon you to death if you DO anything they don't want you to do, but they won't step on free speech that easily, and they can't step on free speech everywhere. The world hasn't reached that level of totalitarianism yet. They're trying, but they're in for a fight.

Reddit thread where buddy announced that:

http://www.reddit.com/r/Bitcoin/comments/2aycxs/hi_this_is_ben_lawsky_at_nydfs_here_are_the/

Some good posts:

http://www.reddit.com/r/Bitcoin/comments/2aycxs/hi_this_is_ben_lawsky_at_nydfs_here_are_the/cizyqyz

http://www.reddit.com/r/Bitcoin/comments/2aycxs/hi_this_is_ben_lawsky_at_nydfs_here_are_the/cizzoyn

http://www.reddit.com/r/Bitcoin/comments/2aycxs/hi_this_is_ben_lawsky_at_nydfs_here_are_the/cj001u3

2x more comments than votes up.

New York is screwing itself.

From the article:

Roger Ver, a libertarian who and serial bitcoin business investor, believes that—if adopted— the rules will drive bitcoin businesses out of New York. “These men calling themselves government are not asking anybody to do anything. They are making demands, and will put us behind bars if we don’t obey,” he says. “Bitcoin was specifically designed to strip away power from men who would be so presumptuous to believe that they have the right to rule over others.”

Ver is bang on.

He did an interview with James Corbett of The Corbett Report for Boiling Frogs Post. Worth watching.



Interview starts at 2:07.

This isn't going to work out well for New York. The population there is insignificant compared to the rest of the world. Bitcoin businesses will move elsewhere to friendlier places.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 18, 2014, 10:11 AM
@Ren - perhaps nobody in the Bitcoin social club thinks much of NY. However, in the international business finance and banking world, it looms very large, and its voice is heard. Right up there with London, Zurich, and Hong Kong. Like it or not. Please don't let your bitterness cloud your thinking so much as to think wishing it weren't so changes anything.

Regarding Mr. Ver

I've said before the way things seem to work is you can either say whatever you want to people - or get what you want from them. But you never get both.

Ver is playing right into the opposition's hands making toothless and naive comments like the one you quoted. Lovely of him to publicly make a statement to the effect that the real intent (and therefor threat) of Bitcoin is to undermine the rule of law and disrupt government worldwide. Thanks dude! You can be sure remarks like his will be quoted and figure prominently in the justifications given for tougher regulation or abolition.

Sorry, but his constantly polishing his "street cred" with soundbytes to the already converted accomplishes nothing even if it is an "ego-boo" for him. It's a shame so many self-proclaimed Libertarians just can't resist putting in that sarcastic jab or snarky little dig every time they open their mouths. It will likely be their downfall.

Maybe someday they'll realize being a smartass isn't the same thing as being smart or clever.

Just sayin' :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 11:02 AM
@40hz - I'm not denying that governments can do serious damage. Government is the single largest culprit of mass murder by far. There is NOTHING that government will not do to preserve itself. It is abominable, detestable, sick, perverse, and outright demonically evil.

I don't pretend to think that the murderous psychopaths in government won't sink to the torture, mutilation, and inhuman acts that they have historically done. Yes - it WILL happen here. But we can stop the tiny fraction of people that want to kidnap, imprison, or murder everyone.

For example:



That saves me a lot of typing. He's right.

However, the governments we have in the "West" at the moment aren't completely murderous yet. There is a slim window of opportunity right now before they go full retard.

As for NY, only the establishment gives a crap about it. Nobody in the world of normal human beings cares in the least.

And it's the establishment that we fight against. The same establishment that has funded and carried out the mass murder of 100's of millions of people in the 20th century alone.

http://www.hawaii.edu/powerkills/20TH.HTM

I'm not exaggerating. The facts speak for themselves.

(The "religious wars" argument is nonsenese - I've posted elsewhere about that. The only religions that mass murder people are statheism and Islam [that's going to piss off people that haven't looked into history much - I don't care - just read up on some history or PM me for links that I won't post here].)

Please don't let your bitterness cloud your thinking so much as to think wishing it weren't so changes anything.

I don't wish. I do. Big difference. My money is where my mouth is. I buy bitcoins and I spend bitcoins. I support the Bitcoin economy. I put my spending power at every opportunity into undermining the establishment.

While I am limited in what I can do, I do everything possible to undermine the establishment. I do not buy mainstream brands like Heinz or Sun Foods. I don't buy food off the shelf - I buy fresh produce and fresh meat.

Fun Fact: The post on alcoholic ginger ale I did in large part because it undermines the state. Alcohol is heavily taxed and regulated, and I wanted to put out a method by which people could get around the state and taxation. That post was purely for the sake of undermining the establishment/state. I blogged about it a while back here (http://cynic.me/2014/05/18/anarchist-alcohol-ginger-ale/). But, you probably already figured that one out as it's pretty obvious.


I've said before the way things seem to work is you can either say whatever you want to people - or get what you want from them. But you never get both.

Not when you bargain from a position of power. The vast majority of power is in the hands of the "people" and not in the hands of the establishment. I'll skip why that is because it's probably obvious enough.


Ver is playing right into the opposition's hands making toothless and naive comments like the one you quoted. Lovely of him to publicly make a statement to the effect that the real intent (and therefor threat) of Bitcoin is to undermine the rule of law and disrupt government worldwide. Thanks dude! You can be sure remarks like his will be quoted and figure prominently in the justifications given for tougher regulation or abolition.

You can regulate PEOPLE, but you cannot regulate Bitcoin.

Thought policing doesn't work.

I don't know what else I can say that I already haven't... but, let me sum it up:

Regulating Bitcoin means having a hand in the actual coding of it and writing code and then being able to convince everyone in the Bitcoin economy (or 51%) to accept your version of it.

Not. Gonna. Happen.

Unless you start the mass murders.

We're a few years away from that. There is time.

Again, perhaps I'm overly optimistic. But I do see hope, and I'll be goddamned if I'll piss that hope away given what is at stake here. Bitcoin is an opportunity, and one opportunity that I'll hop all over.

I actually do "get" your pessimism. I was that pessimistic before. I'm just not that pessimistic anymore.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 11:24 AM
DELL!

https://twitter.com/MichaelDell/status/490162239983599616

Dell is now the world's largest ecommerce business to accept #bitcoin http://www.dell.com  http://fb.me/1d9ojMrZw

 :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 11:27 AM
Aaaaaaand...

Texans flip NY the finger:

http://www.movetoaustin.io/

15 Reasons For Bitcoin Startups To Move From New York To Austin

More at the link.

Like I said... NY is hanging itself.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 11:35 AM
The bureaucraps in NY may wish to have a peek at this:

https://www.youtube.com/watch?v=YQscE3Xed64

Yeah... It's anti-anti-people. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 11:39 AM
Someone "forked" the NY regs on Github. ;)

https://github.com/onenameio/proposed-bitlicense-regulations
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on July 18, 2014, 03:24 PM
Regulating Bitcoin means having a hand in the actual coding of it and writing code and then being able to convince everyone in the Bitcoin economy (or 51%) to accept your version of it.

Actually, this I will disagree with.  Effective regulation- yes.  But you can regulate without it being effective in and of itself- other than a yardstick for prosecution and persecution.
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on July 18, 2014, 04:04 PM
Aaaaaaand...

Texans flip NY the finger:

http://www.movetoaustin.io/

15 Reasons For Bitcoin Startups To Move From New York To Austin

More at the link.

Like I said... NY is hanging itself.

Tell me about it. I live there.

NY used to be the empire state.

Now its a state of empty business lots and chronic recessions. Businesses are leaving New York as fast as they can pack up and move elsewhere.

The taxes are too high, the red tape too thick. There is no good reason to put a business in New York, and plenty to be elsewhere.

On the other hand, my startup in New York does accept bitcoin and select altcoins as a method of payment. For small businesses bitcoin could be a huge savings- because the transaction fees are a tiny fraction of what a credit card processor would take. In a service business that typically does small transactions, the savings could become enormous and really boost the bottom line.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 18, 2014, 10:19 PM
Regulating Bitcoin means having a hand in the actual coding of it and writing code and then being able to convince everyone in the Bitcoin economy (or 51%) to accept your version of it.

Actually, this I will disagree with.  Effective regulation- yes.  But you can regulate without it being effective in and of itself- other than a yardstick for prosecution and persecution.

I'm not sure what you're saying. Do you mean that some state could say that, for example, no cryptocurrency may use anything other than encryption algorithm ABC, and that using a CC without that is punishable by XYZ? Then people would ignore that and they could then prosecute? A regulation like that would be absurd as it would try to target code with no teeth...

I can see that point.

But it's about as sane as setting regulations on what kind of light the sun should emit, then fining people for using sunlight that isn't compliant.

While it is "possible", I'm not sure how realistic/practical it is (absent a totalitarian world government). It would be far easier to simply regulate what people do with Bitcoin rather than try to regulate the unregulateable. At least that way the legislators don't look like total retards.

But, you never know... Spanish legislators have levied a tax on the sun. (http://www.forbes.com/sites/kellyphillipserb/2013/08/19/out-of-ideas-and-in-debt-spain-sets-sights-on-taxing-the-sun/) So, I think we can safely assume that there is no glass ceiling on the level of utter idiocy in government. Still... That kind of stuff is pretty extreme.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 19, 2014, 07:06 AM
Fun Fact:[/b] The post on alcoholic ginger ale I did in large part because it undermines the state. Alcohol is heavily taxed and regulated, and I wanted to put out a method by which people could get around the state and taxation. That post was purely for the sake of undermining the establishment/state. I blogged about it a while back here (http://cynic.me/2014/05/18/anarchist-alcohol-ginger-ale/). But, you probably already figured that one out as it's pretty obvious.

Must have missed that bit of 'obvious' because homebrewing in the US is a legal non-issue. But thanks just the same. :)

On the federal level (and in most states) making your own wine has been completely legal since prohibition was repealed in 1933. Beer was inadvertently left out of the wording of the 21st amendment so there was some question about it in certain places up until 1978. However, home brewing was officially made legal in 1979 thanks to Jimmy Carter. Some states dragged their feet about reconciling their local laws with the federal rule, which unfortunately left homebrewing in a legal gray area in a few places. Primarily in the deep south (i.e. Mississippi and Alabama). But that changed in 2013 when those last two holdouts formally legalized home brewing. In theory production is restricted to an 200 gallons per household annually for personal consumption. But as long as you're not selling any of it, nobody pays that rule much attention.
 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 19, 2014, 10:11 AM
Fun Fact:[/b] The post on alcoholic ginger ale I did in large part because it undermines the state. Alcohol is heavily taxed and regulated, and I wanted to put out a method by which people could get around the state and taxation. That post was purely for the sake of undermining the establishment/state. I blogged about it a while back here (http://cynic.me/2014/05/18/anarchist-alcohol-ginger-ale/). But, you probably already figured that one out as it's pretty obvious.

Must have missed that bit of 'obvious' because homebrewing in the US is a legal non-issue. But thanks just the same. :)

On the federal level (and in most states) making your own wine has been completely legal since prohibition was repealed in 1933. Beer was inadvertently left out of the wording of the 21st amendment so there was some question about it in certain places up until 1978. However, home brewing was officially made legal in 1979 thanks to Jimmy Carter. Some states dragged their feet about reconciling their local laws with the federal rule, which unfortunately left homebrewing in a legal gray area in a few places. Primarily in the deep south (i.e. Mississippi and Alabama). But that changed in 2013 when those last two holdouts formally legalized home brewing. In theory production is restricted to an 200 gallons per household annually for personal consumption. But as long as you're not selling any of it, nobody pays that rule much attention.
 8)

I think you're mistaking my intention. My intention has nothing to do with the legality of homebrewing. It has only to do with "go and homebrew because when you do, you're not paying taxes to the state, and you are effectively defunding the state."

To be clear - I am advocating the withdrawl of any activity that you possibly can that benefits the state, e.g. by not buying booze that is taxed (which funds the state) and instead brewing your own.

I didn't want to say anything about the legality of it.

In the blog post... err... I'd better not quote that here. ;) :P

Besides, anyone can easily brew better beer at home than they'd get from the store. :D

But it's also practical. You save money.

Save money... get better beer... defund the state... what's not to love?  :-*

I think I need to talk to the guys at the brew store & see if they'll take Bitcoin! :D
Title: Re: Does anyone here use Bitcoins?
Post by: Cuffy on July 19, 2014, 03:02 PM
"legalized home brewing. In theory production is restricted to an 200 gallons per household annually for personal consumption. But as long as you're not selling any of it, nobody pays that rule much attention."

I've been around since 1933 and remember bits and pieces of the prohibition debate.
In a bit of haze, I remember 400 gallons??? you needed a permit from the feds and many years down the road it was discovered that the requests for a permit were ratholed in a government warehouse somewhere and never even opened. Some lady sat at the door, received the requests from the mailman, threw the mail onto the pile behind her........... end of story!
I think the mail remains unopened and the pile in the warehouse continues to grow.
Any thoughts?

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 22, 2014, 03:44 AM
Eric Nakagawa is the co-founder of I Can Has Cheezburger (http://icanhas.cheezburger.com/).

Chase is closing his bank account on him. Apparently he bought some Bitcoins/Dogecoins. Therefore, go nuclear & close his account. Makes sense.

https://twitter.com/ericnakagawa/status/491441392372047873/photo/1

Another apparently deleted post:

http://www.reddit.com/r/Bitcoin/comments/2bd7z6/i_can_has_bitcoin_no_chase_bank_shuts_down/cj45r7r

@ericnakagawa:
2014-07-22 04:36:55 UTC
Chase is closing all my bank accounts after I buy Bitcoin on @coinbase /cc @pmarca pic.twitter.com [Imgur]

Thread:

http://www.reddit.com/r/Bitcoin/comments/2bd7z6/i_can_has_bitcoin_no_chase_bank_shuts_down/

ericnakagawa 24 points 3 hours ago
It's funny, because they kept my credit card account open. But "real" money accounts are getting shut down. :(

I hope that Chase & the boys keep going and continue to shut down people's banks accounts... en masse... all of them... Force people to use either cash or Bitcoin. :P Keep going boys! I'm cheering for you! Keep it up! Keep. It. Up...

This isn't new though. Banks have been on a spree closing accounts of all kinds of people. So far it seems to be mostly targeted industries/activities, e.g. bitcoin & porn.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 23, 2014, 02:40 AM
Here's a quiet heads up - Ethereum is now available for sale:

https://www.ethereum.org/

1 BTC = 2,000 ETH

Ethereum is basically for smart contracts. It costs ETH to maintain a contract. The uses are insanely broad. If Ethereum catches on (which it probably will - it's well funded and has some of the smartest people around working on it), it will revolutionise how we do business.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 23, 2014, 02:35 PM
Do you use Bitcoin? A criminal-hacker by the name of 'w0rm' does! :Thmbsup:

This (http://arstechnica.com/security/2014/07/wsj-website-hacked-data-offered-for-sale-for-1-bitcoin/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+arstechnica%2Findex+%28Ars+Technica+-+All+content%29) from Ars Technica...

WSJ website hacked, data offered for sale for 1 bitcoin
Same hacker attacked BBC, Vice websites, offered user databases for sale.

by Sean Gallagher - Jul 23, 2014 2:51 pm UTC


Dow Jones & Co. took two servers that store the news graphics for The Wall Street Journal website offline yesterday evening after a confirmed intrusion by a hacker calling himself “w0rm.” The hacker was offering what he claimed was user information and server access credentials that would allow others to “modify articles, add new content, insert malicious content in any page, add new users, delete users, and so on,” Andrew Komarov, chief executive officer of cybersecurity firm IntelCrawl, told The Wall Street Journal.

W0rm, according to Komarov, is the same individual previously known as “Rev0lver” and “Hash,” a Russian hacker who tried to sell access to the BBC’s servers last December and attacked the Web servers of Vice Media earlier this year. At 5:30pm ET on July 21, he posted a screenshot to Twitter that showed the e-mail address, username, and hashed password for the database admin on a wsj.com server. He offered to sell the full dump of the database table of authorized users for one bitcoin through an exploit marketplace at w0rm.in...

 :P
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on July 23, 2014, 03:52 PM
^ I'll take the bait:

what did these people use before bitcoin?
what would they use if there were no bitcoin?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 23, 2014, 06:26 PM
^ I'll take the bait:

what did these people use before bitcoin?

Nothing, crime didn't even exist before Bitcoins were created. But instantly after their manifestation the entire planet en masse went criminally insane.

what would they use if there were no bitcoin?

They'd all have to go back to swapping hen weights and handjobs.

 :D
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on July 23, 2014, 06:43 PM
^ thanks for that clarification sj :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 24, 2014, 10:46 AM
^ I'll take the bait:

what did these people use before bitcoin?

Nothing, crime didn't even exist before Bitcoins were created. But instantly after their manifestation the entire planet en masse went criminally insane.

what would they use if there were no bitcoin?

They'd all have to go back to swapping hen weights and handjobs.

 :D

Yup. That. ;)



Coinkite now has a Tor address:

http://blog.coinkite.com/post/92733188841/coinkite-has-an-onion-for-tor

Many of our users protect their privacy and defend themselves against snooping advertising companies by using Tor. This has been the case from day one at Coinkite and we accept that everyone has their own reasons.

Until now, these users have been using the Tor Browser and simply surfing to Coinkite.com using that wonderful package. Starting today, anyone who wishes to use Tor with Coinkite can also use our new “onion address" to connect directly to Coinkite over the Tor network:

http://gcvqzacplu4veul4.onion

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 25, 2014, 10:13 AM
A TEDx talk that isn't an establishment circlejerk:

The Four Pillars of a Decentralized Society: The Technology of Trust



The Four Pillars of a Decentralized Society

1. Decentralized Communications
2. Decentralized Law
3. Decentralized Production
4. Decentralized Finance

#4 gets into Bitcoin.

He's not a good presenter, but has good ideas.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 25, 2014, 10:41 AM
A TEDx talk that isn't an establishment circlejerk:


LOL! Amazing how something that was formerly so incontrovertibly despised (i.e. TED) suddenly becomes a bit more acceptable once things start being said that we can agree with, huh?

(Just sayin' :P)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 25, 2014, 07:34 PM
A TEDx talk that isn't an establishment circlejerk:


LOL! Amazing how something that was formerly so incontrovertibly despised (i.e. TED) suddenly becomes a bit more acceptable once things start being said that we can agree with, huh?

(Just sayin' :P)

I still think a large proportion of TED Talks are revolting and often Malthusian. That doesn't preclude the possibility of someone slipping through the cracks. ;)

TED is no more acceptable than before. But buddy there has some interesting things to say. i.e. Buddy isn't TED.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 26, 2014, 10:21 AM
An excellent presentation here. I've cued up the tl;dr here (about 15 seconds):

http://youtu.be/hPY-5SR-jPQ?t=25m51s

Full presentation:



Via:

http://panampost.com/jose-nino/2014/07/25/michael-goldstein-bitcoin-can-make-the-state-obsolete/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 27, 2014, 09:24 PM
@40hz - More ammo for you to chuck it at me! ;D



Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on July 27, 2014, 09:33 PM
@40hz - More ammo for you to chuck it at me! ;D

Who me? Never! ;D

Two interesting vids btw. :Thmbsup:

Even if they did feel a little like a multi-level marketing meeting in places. But I suppose preaching to an enthusiastic choir (in Goldstein's case) is gonna sound like that more often than not. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 27, 2014, 11:05 PM
Oooo! Rick Falkvinge!

Rick gets into some history of information and properties of information going back to the times when monks transcribed books and acted as the gatekeepers of information/culture, Martin Luther, etc.

Jan. 13, 1535 - Punishment for using a printing press in France is DEATH!  :o

The origins of copyright! (1557)

Red flag act of 1865?!? Pushed by who?

Information war! (cued at 10:30) (http://youtu.be/3xoXZbtOwyg?t=10m30s)

15:55 - "...information wars..." ;)

Ice boxes? Largest industry? Huh?!?

Snail mail. Hmmm...



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 28, 2014, 03:48 AM
A keynote speach by Patrick Byrne - CEO of Overstock.com. Cued up:

#Bitcoin2014 - Keynote Address, "500 Years of Liberalism" by Dr. Patrick Byrne, CEO of Overstock.com

http://youtu.be/l--zHVO3Cik?t=14m50s - Intro
http://youtu.be/l--zHVO3Cik?t=16m - Direct to keynote.

Interesting as he goes over the background, history and philosophy behind Bitcoin.

He also goes over why he was the subject of 6 federal investigations. (Yep - He tried to expose criminality on Wall St., etc.)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 28, 2014, 12:04 PM
This could be in the humour thread...



Yeah... Something like that. ;)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 14, 2014, 08:37 AM
This is pretty good. Christopher Cantwell talking about "how to tell people about bitcoin". He boils it down pretty simply, but his presentation is, well, just him. Or, maybe not completely "him". This is SFW whereas a lot of his stuff is NSFW. (He speaks pretty fast - it's entertaining.)



Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on August 17, 2014, 10:39 AM
And this is what happens when you completely lose you freaking mind:

[ You are not allowed to view attachments ]

The 2 S3 440 GH/s machines are turned to pull cold air out of the room, and - yes that is Dryer Vent Hose - then push the hot exhaust air out through the attic. The other S1 180 GH/s machine only has one fan and no outer housing (rather odd I thought), so it's still dumping a ton of hot air into the room ... But it's at least half assed tolerable in here now.

If these are the "Quiet Ones" (and they are), I'd hate like hell to hear the noisy ones ... Let's just say the wife is not thrilled with this latest development..
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 25, 2014, 09:31 PM
And this is what happens when you completely lose you freaking mind:
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg362119#msg362119))
The 2 S3 440 GH/s machines are turned to pull cold air out of the room, and - yes that is Dryer Vent Hose - then push the hot exhaust air out through the attic. The other S1 180 GH/s machine only has one fan and no outer housing (rather odd I thought), so it's still dumping a ton of hot air into the room ... But it's at least half assed tolerable in here now.

If these are the "Quiet Ones" (and they are), I'd hate like hell to hear the noisy ones ... Let's just say the wife is not thrilled with this latest development..

Like living on a tarmac, eh? :)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 25, 2014, 09:33 PM
Gold dealers are dropping fiat:

http://techcrunch.com/2014/08/25/gold-dealer-drops-credit-card-payments-for-bitcoin/

The world of gold bullion sales is often peopled by the odd and interesting. Joseph Castillo is one of the latter. The owner of Agora Commodities, his company now only accepts Bitcoin for online sales, a move that has reduced fraud and improved his service.

Castillo talked to Coindesk about his decision, saying that “What we had to do to protect ourselves against card fraud, we no longer have to do with bitcoin – and that saves us on costs.”

The company has done $10 million in revenue through bitcoin since he moved to cryptocurrencies in the beginning of 2014. Customers understood the move and have been working with him to transfer assets via the blockchain rather than the Visa card. Castillo is also planning on building a BTC exchange for his customers. The goal is to create a one-stop-shop for all your goldbug tendencies, including fiat to BTC conversions.

“Bitcoin fits perfectly with gold and silver, right? So if people come to the site and want to buy gold and silver, why wouldn’t they want to buy bitcoin from us as well?” he told Coindesk.

Amagimetals has also announced that they are dropping fiat and only accepting Bitcoin.

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on August 25, 2014, 10:21 PM
And this is what happens when you completely lose you freaking mind:
 (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg362119#msg362119))
The 2 S3 440 GH/s machines are turned to pull cold air out of the room, and - yes that is Dryer Vent Hose - then push the hot exhaust air out through the attic. The other S1 180 GH/s machine only has one fan and no outer housing (rather odd I thought), so it's still dumping a ton of hot air into the room ... But it's at least half assed tolerable in here now.

If these are the "Quiet Ones" (and they are), I'd hate like hell to hear the noisy ones ... Let's just say the wife is not thrilled with this latest development..

Like living on a tarmac, eh? :)

hehe not quite that bad. Actually after the temperature stabilized with the exhaust pipes it isn't too bad in here now. A bit warm...yes. But I can turn off the two extra fans I had initially put in the room to keep the system temps down.

I brought two 1TH/s AntMiner S2's online at the office today. The boss got them on eBay for $2300, and we're splitting the take. Plan is to kit both of them with the 1.8TH/s upgrade in September when it comes out.

So now that I've got 1.2TH/s here, 2 headed for 4TH/s at the office, and that friend of mine pushing 6TH/s+ there is a whole string of little monsters you've created... :D

Actually I think there is a 500GH/s upgrade for the S1 we're running available.. :-\
Title: Re: Does anyone here use Bitcoins?
Post by: Tuxman on August 29, 2014, 07:55 AM
Seems like Bitcoin (and other) mining is artificially crippled so the miner devs make higher profits:
http://da-data.blogspot.de/2014/08/minting-money-with-monero-and-cpu.html
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on August 29, 2014, 08:20 AM
^very interesting

Seems like Bitcoin [Bitmonero/Monero] (and [possibly] other) mining is artificially crippled so the miner devs make higher profits:
http://da-data.blogspot.de/2014/08/minting-money-with-monero-and-cpu.html

FTFY (just trying to be objective)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 29, 2014, 10:55 AM
Seems like Bitcoin (and other) mining is artificially crippled so the miner devs make higher profits:
http://da-data.blogspot.de/2014/08/minting-money-with-monero-and-cpu.html

Too much to drink, so that's too much to read...

My gut reaction is that it's just another alt being mined to convert into BTC. Most are.

Am I off? Got a tl;dr?

Title: Re: Does anyone here use Bitcoins?
Post by: Tuxman on August 29, 2014, 11:05 AM
TL;DR: Miner coders cripple their public versions so they can mine faster themselves. I doubt that's a Monero-centric thing.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 06, 2014, 07:21 AM
Here:

http://www.reddit.com/r/Bitcoin/comments/2fjyus/new_bitcoin_puzzle_current_bounty_21_btc/

2.1 BTC puzzle:

(http://i.imgur.com/Q2NQMMJ.png)

From here in a comment:

http://bitcoinmagazine.com/14850/coin_artists-latest-dark-wallet-puzzle-32-page-solution/

@40hz - As I know you share with me a fondness for a certain author, I think you'll like that. :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 08, 2014, 09:44 AM
Here's an excellent, simple explanation of elliptic curve point addition, which is used in elliptic curved cryptography like Bitcoin uses:



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 08, 2014, 09:55 AM
This is funny... but way too esoteric for the silly humour thread:



You have to watch it to the end though.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on September 08, 2014, 10:34 AM
This is funny... but way too esoteric for the silly humour thread:
[...]
You have to watch it to the end though.

:D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 09, 2014, 08:59 PM
PayPal to accept Bitcoin:

http://www.bloomberg.com/news/2014-09-08/ebay-s-paypal-unit-to-start-accepting-bitcoin-payments.html


EBay’s PayPal Unit to Start Accepting Bitcoin Payments

EBay Inc. (EBAY)’s PayPal service will start accepting bitcoins, opening up the world’s second-biggest Internet payment network to virtual currency transactions.

“We’re announcing PayPal’s first foray into bitcoin,” Bill Ready, the chief of EBay’s Braintree unit, said at Techcrunch’s Disrupt SF conference yesterday. “Over the coming months we’ll allow our merchants to accept bitcoin. On the consumer side it will be a sleek experience.”

EBay, as the world’s biggest Web marketplace and operator of a global payments service, is the most significant business to date that’s embraced bitcoin. The move could potentially enable PayPal’s 152 million registered accounts to transact using the virtual currency, spurring wider use and acceptance of bitcoin, according to Gil Luria, an analyst at Wedbush Securities Inc.

“PayPal integrating bitcoin into Braintree is a very substantial development,” Luria said. “Not only will it make it possible for some of the fastest-growing apps to integrate bitcoin seamlessly, it opens the door for PayPal to integrate bitcoin into its main wallet functionality. If that happens millions of retailers will de facto be accepting bitcoin overnight.”


More at the link.
Title: NSFW - Naughty Bits - Sexy Bitcoin "News" Show :)
Post by: Renegade on September 15, 2014, 04:44 AM
Remember the Nude News?

http://www.reddit.com/r/Bitcoin/comments/2gef6p/naughty_bits_sexy_bitcoin_news_show/

NSFW

Naughty Bits - Sexy Bitcoin "News" Show :)

Hello everyone! I just posted the first episode of my new bitcoin "news" show where I talk about things that I think are sexy in the world of bitcoin! :)

The show isn't really intended to be informative or educational, just fun! Hopefully the show will get people excited about bitcoin! ;)

So I did 2 versions of the show, an uncensored version for my Pornhub channel, and a comically-censored version for YouTube! Both are pretty NSFW:

Pornhub: http://www.pornhub.com/view_video.php?viewkey=1683533477

YouTube: https://www.youtube.com/watch?v=CwTCgvCAz80

Here are the things that I thought were sexy in this episode:

PayPal Accepting Bitcoin through Braintree: http://www.theguardian.com/technology/2014/sep/11/paypal-bitcoin-braintree-overstock-reddit

CoinKite's new Nym service: http://blog.coinkite.com/post/97057447171/nyms-anon-personas-and-payment-pages-for-all

The OpenBazaar Beta: /r/OpenBazaar

Bazaar Markets : /r/BazaarMarkets

I'd love to hear what you guys think is sexy in the world of bitcoin so I can talk about it next time!

The show is free and always will be, but donations are always appreciated! :)

XO-Saffron

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on September 28, 2014, 09:28 PM
This is a pretty epic and funny "fun fact":

[ You are not allowed to view attachments ]
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on September 29, 2014, 04:15 PM
 This (http://bitkey.io/#overview) may be of interest to Bitcoiners.  It's called BitKey. It's by the folks that brought us Turnkey GNU/Linux. It's a bootable Linux distro running from a USB key that allows you to perform highly secure "air-gapped" Bitcoin transactions.

No opinion since I don't trade in Bitcoinage nor do I have the expertise to comment on the effectiveness of the build. That said, I have found Turnkey GNU/Linux (http://www.turnkeylinux.org/) targeted solutions worked very well for me in the past.

Worth a look at any rate. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 09, 2014, 11:22 AM
Andreas Antonopolous is signing copies of his book "Mastering Bitcoin" for everyone that buys it AND donates a small amount to 1 of 3 charities.

https://www.bitcoinbook.info/shop/author-signing-and-10-charitable-donation/

In other news, Andreas NAILED IT at the Canadian Senate hearing on cryptocurrencies:



It's long, but very worth it. Canada seems to have a very positive attitude, unlike NY or Australia. This bodes well for jobs and innovation happening in Canada.

On that note... phew... FINALLY... something involving government that doesn't make me purely ashamed to be Canadian. I saw a glimmer of hope there.
Title: Re: Does anyone here use Bitcoins?
Post by: mwb1100 on October 09, 2014, 02:41 PM
Andreas Antonopolous is signing copies of his book "Mastering Bitcoin"...

I got a kick out of this disclaimer:

The author wants you to know that his handwriting is that of someone who has typed almost everything (including grocery lists) for the past 20 years. This means your message might be as legible as a prescription note from a doctor (not at all). Near illegibility serves as proof of authenticity!
-https://www.bitcoinbook.info/shop/author-signing-and-10-charitable-donation/
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 14, 2014, 10:19 PM
For anyone interested in the math of Bitcoin, this is really good:

http://blog.chain.com/post/95218566791/the-math-behind-bitcoin

The Math Behind Bitcoin

One reason Bitcoin can be confusing for beginners is that the technology behind it redefines the concept of ownership.

To own something in the traditional sense, be it a house or a sum of money, means either having personal custody of the thing or granting custody to a trusted entity such as a bank.

With Bitcoin the case is different. Bitcoins themselves are not stored either centrally or locally and so no one entity is their custodian. They exist as records on a distributed ledger called the block chain, copies of which are shared by a volunteer network of connected computers. To “own” a bitcoin simply means having the ability to transfer control of it to someone else by creating a record of the transfer in the block chain. What grants this ability? Access to an ECDSA private and public key pair. What does that mean and how does that secure Bitcoin?

Let’s have a look under the hood.

...SNIP...

Conclusion

For those of you who saw all the equations and skipped to the bottom, what have we just learned?

We have developed some intuition about the deep mathematical relationship that exists between public and private keys. We have seen how even in the simplest examples the math behind signatures and verification quickly gets complicated, and we can appreciate the enormous complexity which must be involved when the parameters involved are 256-bit numbers. We have seen how the clever application of the simplest mathematical procedures can create the one-way “trap door” functions necessary to preserve the information asymmetry which defines ownership of a bitcoin. And we have newfound confidence in the robustness of the system, provided that we carefully safeguard the knowledge of our private keys.

In other words, this is why it is commonly said that Bitcoin is “backed by math.”

If you hung in through the complicated bits, we hope it gave you the confidence to take the next step and try out the math on your own (a modular arithmetic calculator makes the finite field math much easier). We found that going through the steps of signing and verifying data by hand provides a deeper understanding of the cryptography that enables Bitcoin’s unique form of ownership.

The math is snipped out there, but very much worth reading through if you find math or cryptography interesting.

It's certainly one of the best, if not THE best explanation out there. At least that I've seen.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 04, 2014, 10:43 PM
If you are in Melbourne (or Victoria), THIS is THE event of the year to come out for!

http://www.meetup.com/BitcoinMelbourne/events/217722162/

The Bitcoin Address with Andreas M. Antonopoulos

Monday, November 24, 2014
6:30 PM to 9:00 PM

1/41 Stewart Street, Richmond (edit map)

Join us for the highlight event of the year and hear from the brightest minds in the bitcoin community. It’s free, it’s open to the public and it’s catered.

CoinJar is proud to present The Bitcoin Address in Melbourne and Sydney in conjunction with partners College Cryptocurrency Network and Bitcoin Association of Australia. The event is a free, open-to-public bitcoin meetup featuring international speakers from the bitcoin community, including crypto expert Andreas M. Antonopoulos and entrepreneur Tatiana Moroz.

Whether you’re completely new to bitcoin or you’re a bit of a bitcoin enthusiast, this event will educate and inspire you about the currency of the future. Our speaker lineup is well-known by the bitcoin community worldwide, and they’ll give you valuable insights on using bitcoin for the everyday and the extraordinary.

“I’ve been looking forward to visiting Australia, as it has a vibrant and active bitcoin community. Australia’s high tech and entrepreneurial culture combined with its young population make it fertile ground for bitcoin.”
- Andreas M. Antonopoulos

"I have always dreamed of visiting Australia. It represents this raw adventurous spirit... I know that bitcoin has some really solid support and interest in the community, but I also know that just like in the states, there will be plenty of people who don't know about it yet! In between hiking, swimming, and checking out the sites, I hope to have many opportunities to share how bitcoin has improved so many lives around the wall and is a truly international phenomena."
- Tatiana Moroz

About the event
World-renowned crypto-currency expert Andreas M. Antonopoulos will cover current issues and emerging trends of bitcoin in his keynote address.

You’ll hear from Bitcoin law expert Pamela Morgan, who will discuss how bitcoin is being used globally in innovative ways. Entrepreneur and musician Tatiana Moroz joins our speaker lineup to share her experience of spreading the use of bitcoin amongst the artistic community.

We’re expecting a big crowd, with limited places, so invite your friends and RSVP now.

Andreas is a mind-blowing speaker. Off the hook. Crazy amazing.

There is NOTHING that will prevent me from going, short of death.

If you are thinking about it, you MUST RSVP NOW! The RSVP list is ballooning very quickly, and space will likely run out very quickly.

I've RSVP'd +1 for a friend, so if he can't go, I've got 1 space reserved for a DC'er if you couldn't RSVP in time.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 20, 2014, 06:48 AM
Get $0.10 of BTC to learn some Java:

http://www.reddit.com/r/Bitcoin/comments/2mu2oy/giving_out_free_bits_010_to_learn_computer/

I decided to give out $0.10 USD worth of Bitcoin to anybody who uses ktbyte.com:
  • (Optional) Try our free intro CS class on a desktop / laptop
  • Make an account and login
  • Click the check button after listening to any lecture (or solve a problem). The shortest lecture is the intro. Should take you less than 10 seconds.
  • Go to https://www.ktbyte.com/users/progress#freegoodie and send me the redirected url (or paste it below), and I'll send you your bits using changetip!
The second two steps are there so that we don't get ddosed by bots.[/size]
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 24, 2014, 05:54 AM
[ You are not allowed to view attachments ]
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 24, 2014, 07:50 AM
^ hah, that must be you with Andreas Antonopoulos in Melbourne :)
I presume you enjoyed
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 24, 2014, 10:29 AM
^ hah, that must be you with Andreas Antonopoulos in Melbourne :)

Yup!

I presume you enjoyed

Very much!

He is a brilliant mind and I was very happy to have met him.

At one point in his speaking, I could see the emotions beginning to flow up to the forefront, and him holding them back. (I was in the front row.) What he talks about matters because he talks about things that affect people's lives in very deep and practical ways.

In many ways some of what he talks about is deeply saddening, but then he presents great hope.

Long before I became involved in Bitcoin, I was cheering it on because I could see good coming out of it.

Now, more than ever, I am still cheering for those same reasons.

"Another world is possible, and we pledge to make it real."

The Pledge of Resistance - Original:



Mix by Jeff Berwick (brilliant):



(I listen to this regularly as it is, well, listen and you'll know why.)

And when people understand that, they will stop using the blood currencies of the warmongering states and start transacting in the currency of voluntarism, peace, and freedom - Bitcoin.

The more people use Bitcoin and stop using fiat, the less power the vampiric, bloodthirsty, warmongering politicians will have.

Make no mistake - we're headed for war right now. Just look at the economies --- states with weak economies go to war. Today is not an exception in history.

The question now is whether people will support more mass murder or not.

SAUL WILLIAMS PLEDGE OF RESISTANCE LYRICS
We believe that as people living
in the United States it is our
responsibility to resist the injustices
done by our government,
in our names


Not in our name
will you wage endless war
there can be no more deaths
no more transfusions
of blood for oil


Not in our name
will you invade countries
bomb civilians, kill more children
letting history take its course
over the graves of the nameless


Not in our name
will you erode the very freedoms
you have claimed to fight for


Not by our hands
will we supply weapons and funding
for the annihilation of families
on foreign soil


Not by our mouths
will we let fear silence us


Not by our hearts
will we allow whole peoples
or countries to be deemed evil


Not by our will
and Not in our name


We pledge resistance


We pledge alliance with those
who have come under attack
for voicing opposition to the war
or for their religion or ethnicity


We pledge to make common cause
with the people of the world
to bring about justice,
freedom and peace


Another world is possible
and we pledge to make it real.
[/size]

Ideas matter. They're important.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 24, 2014, 11:00 AM

Ideas matter. They're important.


However, the implementation and execution of ideas are even more important.

Without meaningful, sustainable, and ultimately successful action, they're just more rhetoric.

 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 24, 2014, 06:55 PM
However, the implementation and execution of ideas are even more important.

Without meaningful, sustainable, and ultimately successful action, they're just more rhetoric.

 8)

Bitcoin is still a pretty young technology, and the things happening right now are changing the world. Even "the Internet of money" is a limited view of it.

Smart contracts, tokenized property, micro payments, and arbitrary escrow are just a few things there.

It's more than just rhetoric. It's a multi-billion dollar economy with millions of participants and this is just its infancy.
Title: Re: Does anyone here use Bitcoins?
Post by: barney on November 24, 2014, 07:28 PM
Smart contracts, tokenized property, micro payments, and arbitrary escrow are just a few things there.

It's more than just rhetoric.
Well, it is rhetoric, at least to me  :huh:.  For instance:
How does Bitcoin change that perspective  :-\?

Further, as the Internet gets more and more nationalized, how does Bitcoin survive?  If I cannot contact someone in China, how can I pay them or receive payment from them?  Bitcoin, insofar as I can determine, requires a free and open Web - which is currently being strangled by a significant number of nations.

I'm not averse to the concept, but I simply do not see it surviving in current political climate(s)  :'(.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 24, 2014, 08:09 PM
However, the implementation and execution of ideas are even more important.

Without meaningful, sustainable, and ultimately successful action, they're just more rhetoric.

 8)

Bitcoin is still a pretty young technology, and the things happening right now are changing the world. Even "the Internet of money" is a limited view of it.

Smart contracts, tokenized property, micro payments, and arbitrary escrow are just a few things there.

It's more than just rhetoric. It's a multi-billion dollar economy with millions of participants and this is just its infancy.


Agree. A multi-billion dollar economy with millions of users that will be co-opted or assimilated by the current economic system. Not to say that reforms won't ride in along with it. But they will be reforms of existing institutions - not a sea change that will completely replace them.

People with power and guns (i.e. 90% of all current governments) don't relinquish their positions and perks without a fight. A real - as in physical - fight. Something which may come as a surprise to people who primarily see the world through a virtual perceptual framework.

Unless...unless...


Yup. And all we need is for the first 10,000 martyrs to throw themselves on the sword (along with their families and loved ones) and a new era will dawn. That's the unfortunate calculus of all revolutions.

So...any takers?  :huh:

[ You are not allowed to view attachments ]
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 24, 2014, 11:14 PM
People with power and guns (i.e. 90% of all current governments) don't relinquish their positions and perks without a fight. A real - as in physical - fight.

You remind me of this:

(http://i.imgur.com/Y4M3PPR.jpg)

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 24, 2014, 11:36 PM
^Really? I don't even own a gun. Nor do I have any desire to use one. ;D

My point was just that people should know what they're getting into taking a rebel stand. And not delude oneself that a government will play by any sort of rules once the ball gets rolling. Or that's it's helpless in the face of a serious challenge. I saw government with it's claws and fangs out many years ago. It was a sobering lesson in reality. And that was genteel by today’s standards of militarized police forces.

The Oracle at Delphi said: Know thyself. To which I'd add: know what you're letting yourself in for.

 8)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 25, 2014, 02:41 PM
hmmm
what I like about bitcoin is that it's outisde the current system.
Does that equate with being rebellious? I dont think so - well not necessarily so. As 40 says, sometimes how you do something is more important, so we may have to wait a bit there.

I dont see this as a 'revolution' in it's traditional meaning -- I think those kind of revolutions never really work anyway -- they're mostly making relatively superficial changes.
What could work is grass roots change -- transformation even ;-)
And to people who think it cannot work -- in one of Antonopoulos's videos he talks about politicians already accepting bribes in bitcoin and this being the start of the end so-to-speak (do you remember which vid that was Ren?).

Re Bitcoin: I'm neither a 'believer' nor a cynic -- but I think bitcoin *is* going to change the world, how exactly, I dont know, but it's made a start already, and even if it fails as a currency, it has opened doors that cannot be closed.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on November 25, 2014, 02:55 PM
Re Bitcoin: I'm neither a 'believer' nor a cynic -- but I think bitcoin *is* going to change the world, how exactly, I dont know, but it's made a start already, and even if it fails as a currency, it has opened doors that cannot be closed.

Agree. But whatever it is, I don't think it will end up being bitcoin. However, Bitcoin might possibly have opened a door for something else.

Whether it will usher in a whole new age remains to be seen. "The street finds it's own uses for things." as William Gibson so aptly said in Neuromancer.

The web was supposed to be empowering and liberating. And maybe it has been. Sorta. But it's also created the potential for a ubiquitous and repressive surveillance state Orwell couldn't have glimpsed in his worst nightmare.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 25, 2014, 06:27 PM
^Really? I don't even own a gun. Nor do I have any desire to use one. ;D

I didn't mean to imply that you'd have a rifle in your hands. It was an allusion to the 4th box of liberty. You simply reminded me of that.

And to people who think it cannot work -- in one of Antonopoulos's videos he talks about politicians already accepting bribes in bitcoin and this being the start of the end so-to-speak (do you remember which vid that was Ren?).

He's probably said it a few times in a few different ways. He mentioned politicians taking bitcoin campaign contributions on Monday.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 29, 2014, 07:20 AM
This is an interesting thread that goes over cracking with a lot of math.

http://www.reddit.com/r/Bitcoin/comments/2nqbt2/i_rearranged_the_order_of_numbers_letters_in_my/

No excerpts as it's a long thread, and they'd be almost meaningless.

Not a topic for novices, but those intermediate and advanced math/bitcoin/computing people will likely be entertained.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 30, 2014, 03:36 AM
Here's the presentation from last Monday:



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 04, 2014, 06:28 AM
I don't know what to think...  :huh:



Maybe it should be in the gamer forum...  :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 06, 2014, 03:41 PM
[ You are not allowed to view attachments ]

'Professor bitcoin' and the rise of crypto-currencies (http://www.usatoday.com/story/tech/2014/12/06/bitcoin-startup-blockchain-online-payments/19993455/)

Do cyborgs have trouble thinking outside the case?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 11, 2014, 02:53 AM
Microsoft is now accepting Bitcoin for XBOX credit:

http://www.reddit.com/r/Bitcoin/comments/2oxkgr/you_can_now_buy_xbox_credit_with_bitcoin/

http://www.reddit.com/r/xboxone/comments/2oxib4/you_can_now_buy_xbox_credit_with_bitcoin/

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 12, 2014, 04:19 PM
From Newegg:

http://blog.newegg.com/bitcoin-is-going-mainstream-in-2015/

Bitcoin is Going Mainstream in 2015

...

End of article
The timing is right for Bitcoin to gain mass adoption and Microsoft’s acceptance is proof of that. There’s a reason one of the world’s most profitable companies believes in the future of Bitcoin and despite skepticism from some economists, it’s time for something new.

Just like plastic replaced paper, it’s time for ones and zeros to take over.


Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 12, 2014, 10:58 PM
I'm more concerned with its value dropping than its mainstream increasing. Cripes it's down to $350 USD now ...(that shit's making me nervous)... They need to dropkick it back up to at least the 500's..
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 13, 2014, 02:15 AM
I'm more concerned with its value dropping than its mainstream increasing. Cripes it's down to $350 USD now ...(that shit's making me nervous)... They need to dropkick it back up to at least the 500's..

I hear ya, but I wouldn't worry too much. There are a TONNE of new businesses taking BTC and offering new services across a huge spectrum. Remittance will kick things into a higher gear when it gets rolling. The third world might be the next big thing for Bitcoin. But, just speculation...

BTW, did you mean 500k? ;)

TO THE MOOOON~~~~~~~~~!
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 13, 2014, 08:05 AM
Who knows? Linus may just be right after all... ;)

[ You are not allowed to view attachments ]

Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on December 13, 2014, 09:03 AM
I'm more concerned with its value dropping than its mainstream increasing. Cripes it's down to $350 USD now ...(that shit's making me nervous)... They need to dropkick it back up to at least the 500's..

I doubt it will continue.

Right now the market is once again being manipulated, as bulls and bears battle it out with the charts as the scoreboard.

Eventually when the people playing with it have met their quotas, it will go sky high again and take everyone with it. There's enough actual usage for it now to keep it from dissappearing in any kind of hurry, and the economics of supply and demand should guide it once the big money people stop messing around.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 13, 2014, 02:18 PM
Right now the market is once again being manipulated, as bulls and bears battle it out with the charts as the scoreboard.

Yeah, well the greedy pricks can tickle their ass with higher numbers just as easily without crippling the average Joe who's just trying to get by.

The news last night mentioned that the Wall Street vampires were having a hissy fit because of the "Horrifically low" price of gas these days ... Which is in an antithetical contrast to all of the other news reports that say that the economy is finally getting its crippled ass up out of the gutter because of gas prices dropping below the viciously gouging anal rape price range.

...And yet they sit there all baffled looking because the common man wants to have them burned at the stake...because they don't "understand" what they're doing wrong. Much like the French ruling class right before the advent of the guillotine fad back in he day ... We need to do that again.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 13, 2014, 05:16 PM
Keep in mind that oil prices dipping like this could be a signal for a crash. Canadian housing prices just dipped for the first time in 5 years. Spain & Greece have 50% youth unemployment. The Japanese economy is a shambles. The US has 0.34% cash to debt (near zero liquidity), which indicates that they have a lot of market power. The oil price crash is likely part of a broader economic war on Russia. GATA was right about the PM market being manipulated. They all are. Legislation is in place to bail-in the banks (i.e. steal money from people to cover bank losses). New legislation on derivatives went through. The derivatives market is 20x (or more) the size of the world economy. Will pension funds be raided? Can we say "bubble"?

I think we're poised for another crisis, and very well could be headed into another war.

That could push people to put their savings into assets that aren't affected by traditional economic factors, and Bitcoin fits the bill.

Right now with the price like it is, it seems like a buy & hold or buy & spend (with some holding) price. It's pretty cheap now.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 14, 2014, 08:59 AM
Keep in mind that oil prices dipping like this could be a signal for a crash.

Highly doubtful...unless it being intentionally orchestrated. The Oil Err... "Energy Companies" are simply running out of bullshit excuses for keeping the prices jacked up to crippling rates. Last I heard the US is producing 80+% on its own oil so the middle east boogie man (blame game) shenanigans don't fly anymore. They've fracking well known (pun intended) for years they could drop the price to a reasonable level and still rake in mountains of cash per minute - just like they still are right now - without vimpirically draining the economy for fun and profit Ferengi style.

This kind of crap is precisely why these elitist market ghouls need to be publically executed (by the public) as a warning to others.


Canadian housing prices just dipped for the first time in 5 years. Spain & Greece have 50% youth unemployment. The Japanese economy is a shambles.

Blah Blah Blah - Global Economy... Yet another daffy excuse for pillaging the middle class ... Who for some odd reason always seen to get obligated to take the brunt of the damage in the interest of protecting the aristocratic 1%.

 
The US has 0.34% cash to debt (near zero liquidity), which indicates that they have a lot of market power.

"Zero Liquidity" (e.g. no cash) equates to "Market Power" how exactly?? If you're broke, you're supposed to stop buying shit ... Unless you're intention is to star in one of the many blond jokes that end with "But I still have checks left?!?"..


The oil price crash is likely part of a broader economic war on Russia. GATA was right about the PM market being manipulated. They all are. Legislation is in place to bail-in the banks (i.e. steal money from people to cover bank losses). New legislation on derivatives went through. The derivatives market is 20x (or more) the size of the world economy. Will pension funds be raided? Can we say "bubble"?

The key to Russian Roulette, is you're supposed to point the gun at your own head when the trigger is pulled...not the head of guy next to you. Which is why we need to bring back the guillotine (French style) to assist in educating the aristocracy on what constitutes 'acceptable risk' - for the greater good...


That could push people to put their savings into assets that aren't affected by traditional economic factors, and Bitcoin fits the bill.


Or more likely push people into putting their savings into something that is dependent on an infrastructure that can be pulled out from under them at a moments notice in the interest of national security, or some other totally fabricated bull shit "reason".


Right now with the price like it is, it seems like a buy & hold or buy & spend (with some holding) price. It's pretty cheap now.

Nothing is ever "cheap"...if it's all you have.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 14, 2014, 05:44 PM
The US has 0.34% cash to debt (near zero liquidity), which indicates that they have a lot of market power.

"Zero Liquidity" (e.g. no cash) equates to "Market Power" how exactly?? If you're broke, you're supposed to stop buying shit ... Unless you're intention is to star in one of the many blond jokes that end with "But I still have checks left?!?"..

I'm making a bit of a jump there. Strictly speaking, that applies to banks & financial institutions. But, governments aren't a far jump.

For banks, those with greater market power keep investments in less liquid assets, and not in cash. Governments (with central banks) issue currency and interest rates, and have a basic monopoly power, although they still need to cooperate with other market actors.

Keeping cash (liquid assets) is something actors with less market power do as they are forced to respond to market forces, instead of being able to influence the market in the way that stronger actors (market makers) can.

It has to do with risk mitigation. With greater market power, there's less risk, and so less cash can be kept on hand.

That the US as so little cash would seem to point to them being very confident and having little concern for what they would presumably perceive as little to no risk. Or it could be colossal stupidity.



Oil has dipped under $60.

Keep in mind that oil prices dipping like this could be a signal for a crash.

Highly doubtful...unless it being intentionally orchestrated. The Oil Err... "Energy Companies" are simply running out of bullshit excuses for keeping the prices jacked up to crippling rates. Last I heard the US is producing 80+% on its own oil so the middle east boogie man (blame game) shenanigans don't fly anymore. They've fracking well known (pun intended) for years they could drop the price to a reasonable level and still rake in mountains of cash per minute - just like they still are right now - without vimpirically draining the economy for fun and profit Ferengi style.

This kind of crap is precisely why these elitist market ghouls need to be publically executed (by the public) as a warning to others.

You might find this interesting:

http://theeconomiccollapseblog.com/archives/guess-happened-last-time-price-oil-crashed-like

There has only been one other time in history when the price of oil has crashed by more than 40 dollars in less than 6 months.  The last time this happened was during the second half of 2008, and the beginning of that oil price crash preceded the great financial collapse that happened later that year by several months.  Well, now it is happening again, but this time the stakes are even higher.  When the price of oil falls dramatically, that is a sign that economic activity is slowing down.  It can also have a tremendously destabilizing affect on financial markets.  As you will read about below, energy companies now account for approximately 20 percent of the junk bond market.  And a junk bond implosion is usually a signal that a major stock market crash is on the way.  So if you are looking for a “canary in the coal mine”, keep your eye on the performance of energy junk bonds.  If they begin to collapse, that is a sign that all hell is about to break loose on Wall Street.

More anaylsis at the link. He's far from alone in his assessments.

http://www.marketwatch.com/story/15-big-oil-sell-signals-that-warn-of-a-50-stock-crash-2014-10-24

15 Big Oil sell signals that warn of a 50% stock crash

Highly doubtful...unless it being intentionally orchestrated.

Well, GATA was proven right about the PM markets being manipulated. We know about the LIBOR manipulations. Why should this be any different?

A quick look at inflation, CPI, and unemployment figures shows that they're all rigged. Badly.

Martin Armstrong of Armstrong Economics has predicted another crisis for around October 2015, and he's been right far too often before.

But, who knows? Points of interest, and things to watch for.

FWIW - The US has been capping oil wells for years now, so they have a lot of oil ready to tap at any time.

What was that Chinese proverb about "interesting times"? :D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 17, 2014, 05:43 AM
This is a great little story at the Internet Archive:

http://www.reddit.com/r/Bitcoin/comments/2phsdh/my_boss_brewster_kahle_at_the_internet_archive/

My boss (Brewster Kahle), who runs the Internet Archive (archive.org, Wayback) just sent this to employees. I figure it had interest in the bitcoin world that we have someone matching bitcoin contributions to give end-of-year bonuses, which means all the employees are getting on the bitcoin wagon. I asked for permission to reprint the letter, which is below (minus a bitcoin how-to he included at the bottom).



Archive Staff,

To both thank the staff of the Internet Archive for a solid year of building towards Universal Access to All Knowledge, and to support Bitcoin by keeping bitcoins in circulation, the Internet Archive will gift bitcoins at the end of this year to participating Internet Archive employees. The bitcoins for this program are donated by an anonymous donor that is matching the December bitcoin donations from our supporters.

The Bitcoins donated via https://archive.org/donate/bitcoin.php by our supporters will go to servers and other infrastructure, but a generous match is specifically to support end-of-year gifts of bitcoins to employees that are likely to spend the bitcoin in interesting ways. We also hope that this match will encourage more people to donate Bitcoin to the Internet Archive.

To do this, we will divide the number of Bitcoins donated in December among the full time Internet Archive employees that get their own bitcoin wallets (like an account), and will try to use the bitcoins.

Currently, people have donated about 11BTC to the Internet Archive since our fundraising started, which, at current price and if every staff member participated, it would be about $25. This is likely to be higher as more donations come in and not everyone will participate. We will cap this at $1k per employee if things go too far one way or another.

What can you do with your year-end Bitcoin gift? (see below for links) * Buy Sushi: I do almost every week on Clement Street-- really great. * Buy Cupcakes, buy groceries on Haight Street * Buy things at online stores * Donate to the Internet Archive, EFF, Wikipedia, etc. * Exchange for cash * Tip other people via twitter and reddit (I used changetip.com to do this via twitter, which is fun)

Who can help you figure out bitcoin? There is an internal group skype chat "bitcoin players" that has been helpful. June can add you if you would like.

Jacques can also help in explaining the program. Please bear with him/us, since I just sprang this on him on Friday.

-brewster
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 17, 2014, 06:41 AM
@Ren - I think enough people want it to work right now that the single biggest threat is some people in the Bitcoin community doing something completely jive to torpedo it. I remember the heady early days of the libertarian party when everybody thought this was finally the big break with the past we'd all been waiting for. Surprise! Surprise!

All it takes is one or two jerks to poison the well. I already see that happening over in the FOSS world where the stakes are perhaps even higher.

I don't know if the sudden reduction in serious governmental push-back is a good thing or a bad thing. Maybe those that would see Bitcoin gone are banking on the "fall from grace" so many new social movements too regularly suffer. If so, the odds are certainly in their favor.

Good luck Bitcoin. :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 17, 2014, 08:17 AM
@Ren - I think enough people want it to work right now that the single biggest threat is some people in the Bitcoin community doing something completely jive to torpedo it. I remember the heady early days of the libertarian party when everybody thought this was finally the big break with the past we'd all been waiting for. Surprise! Surprise!

All it takes is one or two jerks to poison the well. I already see that happening over in the FOSS world where the stakes are perhaps even higher.

I don't know if the sudden reduction in serious governmental push-back is a good thing or a bad thing. Maybe those that would see Bitcoin gone are banking on the "fall from grace" so many new social movements too regularly suffer. If so, the odds are certainly in their favor.

Good luck Bitcoin. :)

Dammit... I'm into my second bottle (750 ml) of ginger ale here that I brewed with Lalvin EC-1118...

But you raise really good points, and I'll be damned if I'll let a bit of intoxication fart with a response~! ;D  :drinksmiley:

I'm not going to address any libertarian stuff though. I like this thread in the Living Room. ;) (I do sympathise with libertarians though.)

But dammit, I just can't resist this!

https://www.facebook.com/GlennBeck/posts/10152913406058188

Glenn Beck put out a post:

Who is your pick for Person of the Year? Post your pick in the comments. We'll reveal the winner tomorrow.

I know a lot of people here will hate Glenn Beck... but here's the kicker... People are SCREAMING for Larken Rose!!!

If Glenn interviews Larken, Larken will tear Glenn a new asshole. In his forehead. With a voluntaryist chainsaw. Big "V" shape there. Insert more explicit imagery here.

If you hate Glenn Beck, you'll want to see that interview, if it happens. (I kind of doubt it will though as Glenn isn't in Larken's league -- few are.)

But I think you're wrong about the comparison there. A few jerks can't spoil Bitcoin because it's decentralised, and at any time the miners can tell the Bitcoin development team to go f**k themselves.

It would take a LOT of assholes~! ;D

There's a balance in Bitcoin that doesn't exist in other systems. You can create any code you want for Bitcoin and run it. But that doesn't mean that anyone else will do the same. One or two assholes can't poison the pie here. It takes a massive number of assholes to do it.

@SeraphimLabs should chime in. He's up on the topic, and can probably offer a different perspective.



On a personal note, I was talking with my sister on video chat tonight. She was recanting the friggin' nightmares she had to go through simply to pay for her airplane ticket to get here for Christmas.

Hint: NONE of her problems would be problems with Bitcoin.

Bitcoin is just a better way to pay people. If you've not used it, you won't understand just how much easier it is.

Bitcoin allows ANYONE to accept payments from ANYONE from ANYWHERE. This is some majorly badass wicked cool stuff! You just CANNOT do that through traditional payment systems.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 17, 2014, 10:12 AM
Dammit... I'm into my second bottle (750 ml) of ginger ale here that I brewed with Lalvin EC-1118...

But you raise really good points, and I'll be damned if I'll let a bit of intoxication fart with a response~!

But perhaps you should? Just sayin' :P ;D



But I think you're wrong about the comparison there. A few jerks can't spoil Bitcoin because it's decentralised, and at any time the miners can tell the Bitcoin development team to go f**k themselves.

It would take a LOT of assholes~! ;D

There's a balance in Bitcoin that doesn't exist in other systems. You can create any code you want for Bitcoin and run it. But that doesn't mean that anyone else will do the same. One or two assholes can't poison the pie here. It takes a massive number of assholes to do it.

A medium of exchange is only as good as the general public's and the business community's belief and trust in it is. Otherwise, Bitcoins are nothing but faux-collectibles. Their relative rarity is manufactured. No different than pogs, or Beanie Baby dolls, or baseball cards - which may be "valuable" within a minor subset or two of enthusiasts - but are pretty much worthless anywhere else.

Right now I see a certain schizophrenia in the Bitcoin world. One part is attempting to establish Bitcoin as a "store of value" and a "medium of exchange." A fancy way of saying: Bitcoin is REAL MONEY! The other part seems to be saying: Bitcoin is sooo much more than that. It's a...it's a...Oh go screw yourself! You just don't get it!

And in this framework it definitely won't take much more than a jerk or two to derail it. Maybe not within the community of Bitcoin diehards who will be the last to ever admit a failure. They'll continue to man the bastions to defend it long after the rest of the world, having better things to do, gets on with their lives sans Bitcoin.

Truth is, Bitcoin is too much of an "in" thing for it's own good. And from many of the comments by Bitcoin enthusiasts, I think a large part of the Bitcoin world would rather it remain that way. A thing for "the cool kids" to play with. And as for the rest of you? Catch up as best you can - or better yet - KTFO! It's an elitist attitude that doesn't work in Bitcoin's favor if the goal, as espoused, is to make Bitcoin universal.

But maybe that's just me. I've generally found most Bitcoin enthusiasts to be pretty obnoxious about it once they start talking and let their guard down. They've "bought their 'cool'" as George Sanger so beautifully phrased it. Fairly typical behavior for a clique. And Bitcoin is still very much a clique.

Either way, Bitcoin will have its moment on the stage. Whether or not it turns out to be " full of sound and fury, signifying nothing" is entirely up to those involved.

I wish them the best. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on December 17, 2014, 12:01 PM
That clear-cut divide in bitcoin's community is quite obvious too, and it extends all the way down to the altcoins where new features are born. Some people see the future, and are working hard to keep crypto honest and enjoyable so that it can be for anyone. Other people are strictly business- and they are not afraid of fraud and criminal acts to get what they want.

I'm on the side of it where I see what could become one of the biggest economical overhauls since Fiat currency was invented. Bitcoin is a solution to many problems that exist in existing currency infrastructure. But it introduces complications of its own, not all of which are easily solved.

Right now the biggest thing hindering bitcoin is the fact that its greatest selling point is also its own worst enemy - its decentralized architecture.  There is a sort of fundamental human need to blame somebody else when things go wrong. With Fiat currency, you can blame the banks or blame the government, or invent some imaginary conspiracy group to blame when the usual suspects don't fit the bill.

The lack of a central authority in bitcoin means that if it implodes there is nobody to blame but the userbase in general for it. That's a downright scary thought to a lot of people on almost every level of thought. The fact that they might have to actually be responsible for their own actions, because if they mess up they can't blame someone else to cover it up. And with the bitcoin blockchain being a public record of all transactions, your mistake is not only your own fault but everyone can see that you made that mistake and it will never be forgotten.

That makes things really scary for people who only know the basic concepts of bitcoin.

Then you get advertising like a recent Master Card campaign calling out 'trust issues' with bitcoin, even though I would gladly put more faith in the algorithms and mass-validation system bitcoin utilizes than the proprietary, exploitable, and politically corrupt system in use by Mastercard and the other major processors. But to someone not familiar enough with bitcoin to laugh at such claims, this is a very scary idea and effectively a FUD campaign to discourage people from using bitcoin.

I think 2015 is going to be very exciting for Crypto, but right now my long positions in bitcoin are all in the red due to the recent price drop. Kinda not amused.

Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 17, 2014, 12:50 PM
That makes things really scary for people who only know the basic concepts of bitcoin.

And I would guess that those people represent somewhere north of 85% of all the people who might be using Botcoin currently - and possibly 99% of those who would be using it if (or once) it went mainstream.

Simple fact is most people are not sufficiently up on data signal security and cryptographic methodologies to have a considered opinion - let alone be able to adequately evaluate somebody else's opinion of it.

In the end, it all comes down to a matter of trust for most people. Whom do you trust about this?

Or, if that's too much to ask for, to SeraphimLabs earlier point: Who will be blamed??? Who will be held to account if it ever goes sideways big time? For the average Bitcoin user (who has little hope of understanding much of this technology) the response is a resounding: "Not I!"

With a decoupled currency system such as we now have, the collapse of one currency system does not necessarily bring down all currencies. Governments worldwide will step in quickly to shore up the global monetary system until the problem gets resolved. But with a distributed, "non-fixable responsibility" system that is only protected by encryption and some clever algorithms, and no governmental sanction to date, it is very possible a systemic breech or failure could bring the entire system down in flames. And lacking government sanction, it's doubtful many governments would intervene should it ever happen. Many might even conveniently argue a lack of legal jurisdiction because Bitcoin is not a 'recognized' or 'registered' investment vehicle, commercial paper, or currency. A case could be made for intervention on the grounds of wire fraud perhaps. But that would be about as good as it gets. And from my experience with government agencies, their feeling about something like Bitcoin will probably be: "You wanted to operate independent of government? OMF-YOYO!"

Now some may well believe Bitcoin can't be compromised due to the programming cleverness behind it. But up until recently we believed Tor was extremely secure, digital certificates were an excellent safeguard, and random numbers really were random. Complex engraved artwork and special paper was considered a foolproof check against counterfeiting until photo offset printing came along and counterfeiters discovered they could bleach single denominated paper currency and reprint them as hundred dollar bills.

Whatever is made by human design can be undone by humans, given time and sufficient motivation.

And it will be interesting to see how crypto-currencies fare over the long run since there are sufficient humans and motivation on both sides of the equation.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 18, 2014, 05:23 AM
The frist 2 are NSFW, but very fun! :)

NSFW
Putin on Bitcoin (http://dailyhashrate.com/2014/12/18/putin-says-fuck-it-were-switching-to-bitcoin/)

From that link, this video by (Famous Amos) Mr. iPad Chain:

NSFW


And his first bitcoin, someone tipped him! AN ENTIRE BITCOIN!

SFW


Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 20, 2014, 10:41 AM
Bitcoin hit with tax blow in Australia

http://www.theguardian.com/technology/2014/dec/19/bitcoin-hit-tax-blow-australia
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 20, 2014, 11:14 AM
^What is it with Australia (and New Zealand) lately? They went from being two of the coolest most laid-back countries in the world to being participants in the footrace race to see which so-called "Western Democracy" can be the first to fully embrace totalitarianism. So sad. :(
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 20, 2014, 04:38 PM
^What is it with Australia (and New Zealand) lately? They went from being two of the coolest most laid-back countries in the world to being participants in the footrace race to see which so-called "Western Democracy" can be the first to fully embrace totalitarianism. So sad. :(

What happened to my 40?  I could always depend on 40 to be the rational one, balancing out the radical Renegade, and myself in the middle!

It's sort of like the other day I made a joke about Librium... referring to the drug in Equilibrium, and it went right over someone's head... because life imitates art (there's a Librium that does pretty much what the one in the movie does).  Everything turns on it's head... Stephen Colbert needed to move on from his usual because the world was going to stay this crazy and it become the status quo.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 20, 2014, 06:12 PM

What happened to my 40?  I could always depend on 40 to be the rational one, balancing out the radical Renegade, and myself in the middle!

@Wraith - I think you just completely lost me there... :)
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 20, 2014, 09:50 PM
What happened to my 40?  I could always depend on 40 to be the rational one, balancing out the radical Renegade, and myself in the middle!

@Wraith - I think you just completely lost me there... :)

It's just that your statement sounded more closely aligned to a Ren statement :)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 21, 2014, 10:26 AM
What happened to my 40?  I could always depend on 40 to be the rational one, balancing out the radical Renegade, and myself in the middle!

@Wraith - I think you just completely lost me there... :)

It's just that your statement sounded more closely aligned to a Ren statement :)

Oh! Well...that's understandable. Upon extremely rare occasions I do find myself in at least partial alignment with the Renegade. I think we generally agree when there's a problem somewhere. But we generally disagree in our interpretations of how and why said problem(s) came about. And we're almost always disagreeing about the best approach to deal with it.

[ You are not allowed to view attachments ]

Ren is the brave and principled warrior knight.

[ You are not allowed to view attachments ]

I'm the wounded, old, and treacherous Ronin. ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 21, 2014, 05:52 PM
(http://i.imgur.com/pekeR3x.jpg)

;D  :Thmbsup:

At least we can have fun disagreeing!  8)

And it was aliens! :P
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on December 21, 2014, 07:03 PM

At least we can have fun disagreeing!  8)

This! :Thmbsup: A worthy opponent is worth their weight in gold if you really do want to work through and clarify your position on something. It's fun. It's challenging. And it's absolutely essential if you want to avoid the trap of what philosopher William James called: "vicious abstractionism."

And it was aliens! :P

Y'know...lately, I'm beginning to suspect it just might be:

[ You are not allowed to view attachments ]

Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on December 21, 2014, 08:18 PM
I was thinking more:

Renegade:
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40hz:
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Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 21, 2014, 09:02 PM
This! :Thmbsup: A worthy opponent is worth their weight in gold if you really do want to work through and clarify your position on something. It's fun. It's challenging. And it's absolutely essential if you want to avoid the trap of what philosopher William James called: "vicious abstractionism."

I haven't heard it put so eloquently.  I enjoy the exercise... and don't expect to change anyone's position, or be called 'right' or a 'winner'.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 27, 2014, 05:51 AM
I was thinking more:

Renegade: (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg371948#msg371948))
40hz: (see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg371948#msg371948))

Pfft~! Fools! I live in a Faraday house, have a Faraday car, and my entire wardrobe is 100% Faraday! Except my underwear... chaffing... And socks. But my shoes are still good to go!



Bitpay commercial:



 :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on December 28, 2014, 09:42 PM
Except my underwear... chaffing...

Now that's where you're doing it wrong, you should use your normal underwear but use graphite powder instead of talcum ... the benefits of a conductive shield with no chaffing.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 29, 2014, 01:20 PM


Apparently The Bitcoin Bowl Is A Real Thing That’s Happening Right Now  TechCrunch (http://techcrunch.com/2014/12/26/apparently-the-bitcoin-bowl-is-a-real-thing-thats-happening-right-now/)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 07, 2015, 02:55 PM
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BitStamp's bitcoin breach results in loss of $5.4M (http://www.usatoday.com/story/money/2015/01/06/bitcoin-breach-bitstamp-mtgox/21351737/)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 07, 2015, 04:45 PM
On Tuesday, the currency traded even lower at 285.67 per US dollar.

Um... more like $254 from what I was watching. I really don't know how much longer I can stay in at these rates ... As 'Sunny Optimism' isn't really my 'Strong Suite'.. :D
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 11, 2015, 04:22 PM
BitStamp's bitcoin breach results in loss of $5.4M

Bitcoin operator relaunches; hollers at Jimmy Fallon (http://www.usatoday.com/story/tech/2015/01/09/bitstamp-bitcoin-jimmy-fallon/21516945/)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 27, 2015, 10:06 PM
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First U.S. bitcoin exchange opens for business (http://www.usatoday.com/story/money/2015/01/26/bitcoin-usa-coinbase/22341301/)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 08:08 AM
(see attachment in previous post (https://www.donationcoder.com/forum/index.php?topic=32392.msg374412#msg374412))
First U.S. bitcoin exchange opens for business (http://www.usatoday.com/story/money/2015/01/26/bitcoin-usa-coinbase/22341301/)

[ You are not allowed to view attachments ]

I guess the US government and it's intel apparatus (along with its allies) finally had enough time to sufficiently analyze the way Bitcoin works and get some monitoring mechanisms in place that they no longer feel as threatened as they used to.

Then too, bitcoins could be extremely handy for moving covert ops and hush money around. Blood diamonds are sooo unseemly...

It pays to remember, as William Gibson so nicely put it in Burning Chrome, that "the street finds its own uses for things..." -

So too does government. ;) 8)

-------------------------------------------------------------------------------

Note: Can you say "co-opted?"

The giveaway is that Microsoft is now accepting bitcoins. That to me is the clearest indication Bitcoin has been greenlighted at the highest levels. Of course The Powers That Be won't acknowledge that's what happened. It's far more useful to let people think they're powerless to stop it and therefor bowed to the inevitable. Like the old saying goes: "You have to let the kiddies win every so often. Otherwise they won't play."
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 28, 2015, 11:25 AM
It pays to remember, as William Gibson so nicely put it in Burning Chrome, that "the street finds its own uses for things..." -

So too does government.


It's always struck me as funny how - behaviorally speaking - it always seems to be perceived as a pyramid with the government at the top and the - street fighting - rabble at the bottom. Because to me it's not a pyramid at all...but a circle...with middle management being the only ones that truly have to suffer "good" behavior. Because the closer you get to the top of the pile, the less oversight there is constraining ones behavior. And this continues until at the highest levels...where no one is/can be watching ... The typical street rules; posturing, aggressive attitudes, and a reliance/thirst for violence returns as everything circles back to the worst possible behavioral traits.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 11:48 AM
It's always struck me as funny how - behaviorally speaking - it always seems to be perceived as a pyramid with the government at the top and the - street fighting - rabble at the bottom. Because to me it's not a pyramid at all...but a circle...with middle management being the only ones that truly have to suffer "good" behavior.

I always saw it more like when you get two equally aggressive, loud-mouthed kids living on the same street.

They're gonna fight.

It's what they do. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 28, 2015, 12:21 PM
As ultimate outcomes go, yes ... But that wasn't really the point I was trying to make. I was trying to point out the similarities in behavior at the perceived 'top' and 'bottom' of a hierarchy.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 01:05 PM
^Some years ago, an article in The Harvard Business Review noted the curious phenomena of how many antisocial behaviors and attitudes (that are not normally tolerated in regular society, such as: egotism, unprovoked aggression, intolerance, snap judgement, and a callous disregard for the feelings and opinions of others) are somehow magically elevated to the status of virtues, and considered to be desirable and admirable traits when employed in business and government affairs.

Small surprise that so many business and government types seem to live in some weird virtual reality totally divorced from regular life. We apparently encourage our 'leaders' (and I use that term loosely) to misbehave. And furthermore, expect (or possibly even insist) they do so.

Is that more what you were talking about? ;)

(Side note: said tolerance also seems to exhibit strong gender-bias in that many people (including women) are less tolerant of such behaviors in a woman, even if she holds high office, or is the CEO of a corporation. If true, it's not only a matter of different rules - but different rules for boys and girls.)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 28, 2015, 02:52 PM
Is that more what you were talking about?

Yes.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 03:34 PM
Is that more what you were talking about?

Yes.

Good! We aims ta pleeze. :P ;D
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 03:59 PM
This from ArsTechnica:

The venture-backed Bitcoin startup CoinTerra has filed for bankruptcy, making it the second major miner manufacturer to do so in recent months.

The Chapter 7 filing, which begins the process of liquidating company assets, was submitted on Saturday and comes just weeks after a Utah-based data center sued CoinTerra over a contract dispute.

Full article here (http://arstechnica.com/tech-policy/2015/01/cointerra-yet-another-troubled-bitcoin-miner-startup-goes-bust/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+arstechnica%2Findex+%28Ars+Technica+-+All+content%29).
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 28, 2015, 05:29 PM
It's getting really hard for me to stay in this game. I've basically stopped monitoring anything because it's just become too depressing to watch. If the coin's value doesn't crawl out of the toilet soon, I'm kinda screwed..
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 28, 2015, 07:28 PM
^Some years ago, an article in The Harvard Business Review noted the curious phenomena of how many antisocial behaviors and attitudes (that are not normally tolerated in regular society, such as: egotism, unprovoked aggression, intolerance, snap judgement, and a callous disregard for the feelings and opinions of others) are somehow magically elevated to the status of virtues, and considered to be desirable and admirable traits when employed in business and government affairs.

Yup. Kind of like how theft is bad, unless you're government and call it "tax" or "speeding ticket" or "fine" or "civil forfeiture". Theft is theft, even if you have fancy uniforms and titles.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 28, 2015, 07:53 PM
^Yes. But on a certain meta-level, isn't claiming ownership of property - in any way, shape, or form - a specie of theft? :P
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on January 28, 2015, 09:28 PM
That was cute.

Coinbase ran a nice moon rocket countdown time that led to several hours of buying and price-pumping in bitcoin, that came to an abrupt trend reversal the moment it reached zero.

And what can I say? I made bank on that selling seconds before the zero expecting the hype bubble to burst.

Today it is very nearly back to where it was last week, with rumors circulating of another major exchange hack.

At the same time the charts suggest that a major upward or downward movement is imminent, but it remains unknown which direction it is going to move.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 30, 2015, 06:15 PM
^Yes. But on a certain meta-level, isn't claiming ownership of property - in any way, shape, or form - a specie of theft? :P

Not in the least. Well, unless you're a communist. And we all know just how awesome communism ends. (https://www.hawaii.edu/powerkills/) ;)

Labour theory of property (Locke) (http://en.wikipedia.org/wiki/Labor_theory_of_property)

More on Locke & property (http://plato.stanford.edu/entries/locke-political/#Pro)

It's a bit ridiculous to claim that "property is theft".
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 30, 2015, 07:58 PM
^Yes. But on a certain meta-level, isn't claiming ownership of property - in any way, shape, or form - a specie of theft? :P

Not in the least. Well, unless you're a communist. And we all know just how awesome communism ends. (https://www.hawaii.edu/powerkills/) ;)

About as awesomely as Libertarianism and "Free Market" economics keeps misfiring AFAICT. :P ;)


It's a bit ridiculous to claim that "property is theft".

No more than taxation IF you accept the argument it's an acceptable trade-off for what you get in return. And that is definitely a case of something where YMMV. Usually the closer you are to the top of the food chain (i.e. where The System really is working for YOU) the less onerous government taxation and regulation generally seems. 8)

It's the age old have/have-not/has-but wants more struggle. That never changes, no matter how often you rebalance the sides. ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 30, 2015, 09:05 PM
^Yes. But on a certain meta-level, isn't claiming ownership of property - in any way, shape, or form - a specie of theft? :P

Not in the least. Well, unless you're a communist. And we all know just how awesome communism ends. (https://www.hawaii.edu/powerkills/) ;)

About as awesomely as Libertarianism and "Free Market" economics keeps misfiring AFAICT. :P ;)

I'm not sure where you're getting that. We don't have a free market now. Sure, it's in some way similar, but it's still far from free.

Right now we have governments using Keynesian economics policies, which means creating debt, which bears interest, which compounds, and never gets paid off. Debt slavery ring any bells? :)

So, to right the wrongs, central banks double-down on this failing strategy and being printing more money (QE). Bond interest rates drop to near zero, so investors and savers look for other places to put their money -- housing, real estate, stocks -- and lo and behold, what do we have? Bubbles in the real estate, housing, and stock markets.

The artificial creation of interest rates by central banks creates malinvestment and bubbles. On the other hand, interest rates that float with the market don't create that sort of crisis waiting to happen.

For the last financial crisis, the only economists that predicted it were Austrian economists.

We'll see if their predictions bear out this time though. Given the price of oil, the drop in copper prices, and pressure on commodities, it looks like cash will be king in the next year or so.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on February 20, 2015, 10:30 PM
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Marshals to auction Silk Road owner's bitcoins March 5 (http://www.usatoday.com/story/news/2015/02/19/marshals-to-auction-silk-road-bitcoins/23683221/)

Anyone here interested in bidding in the auction? What price do you think they will go for?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on February 21, 2015, 04:10 AM
^ Sure! Why not! I've got an extra $15,000,000 USD lying right over here! ;D

They'll probably go for between 10 and 15 million. There's a chance that someone will bid higher though just to get that many all at once -- could go for double.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on February 21, 2015, 06:57 AM
Yay! ...Just what we need...another government orchestrated nose dive in BTC value.
Title: Re: Does anyone here use Bitcoins?
Post by: Steven Avery on February 21, 2015, 09:59 AM

Coming to this discussion late.  Only read the first few pages and this one, so far.

With Bitcoin being used primarily in internet gambling and involving a wasteful set-up application by a geek oligarchy (mining bitcoins) I find it rather an absurd and funky-wrong attempt to have an alternate medium of exchange. With a bit of a ponzi investment element and dubious internals. (There is no there there.)   The early attendees can do good financially if they can find ways to cash out, which is the nature of ponzi.  If they hold everything, they risk everything.

If you want to speculate at this point, it is a bit like day trading, with far less possibility of a sensible strategy. Except, I gather, that you can not afford to make small transactions, due to transaction fees.

And I am a big fan of bullion and real estate as real money and value.  My view: it is hard to say that gold or silver is overvalued or undervalued.  One ounce of either remains at 1 oz a year later. It is the price, volume and confidence in the fiat currencies that varies.  The bullion remains the same.

If you, or a friend or relative, puts some wallpaper money into bullion, it never changes. If the price goes down, that's ok.  If you lose, you win. Since, up to that time, we have not had an economic collapse and hyperinflation .. yet.  Whatever little stash of green is around is still valuable.

=================

If there is a time when Bitcoin has the same amount of convertibility as decent credit card points (transferable gift cards for Target, Bed Bath and Beyond and Barnes and Noble) let me know and I will rethink the above.

Steven
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on February 21, 2015, 12:30 PM
Coming to this discussion late.  Only read the first few pages and this one, so far.

With Bitcoin being used primarily in internet gambling and involving a wasteful set-up application by a geek oligarchy (mining bitcoins) I find it rather an absurd and funky-wrong attempt to have an alternate medium of exchange. With a bit of a ponzi investment element and dubious internals. (There is no there there.)   The early attendees can do good financially if they can find ways to cash out, which is the nature of ponzi.  If they hold everything, they risk everything.

And thus we had the late 2013 bubble, which has now crashed. A lot of the early adopters already got out, while people who held are alongside later arrivals in building and maintaining bitcoin. It has been steadily creeping up again for a while now, demonstrating a nice slow growth that translates to lasting value instead of the get rich quick bubble mentality.

While it is true that it is used a fair amount for gambling and contraband, it isn't as anonymous as you think. Law enforcement seizing your bitcoin wallet means that they can now follow all of the transactions you made through the public record that is the blockchain. Like so, it is possible to keep your privacy without compromising law enforcement's ability to collect evidence. Even DPR of silkroad got busted pretty hard by that- they were able to positively identify his bitcoin addresses, and use his transaction history as evidence against him. Anonymous? Not really.

These days the marketplace is dominated by Forex-like strategies, and many people who got into daytrading through bitcoin are actually moving back towards Forex using their bitcoin profits as starting investment. Though it remains unregulated and you can easily lose it all if you are careless or leave large sums of money on a vulnerable exchange, its losing its new frontier impression and settling down to be more business-like.

If you want to speculate at this point, it is a bit like day trading, with far less possibility of a sensible strategy. Except, I gather, that you can not afford to make small transactions, due to transaction fees.
The opposite as point of fact. I was not able to turn a profit attempting to daytrade normal stocks or forex, but I am reliably getting profit daytrading bitcoin. The market is actually more predictable than you would expect, and has a high enough volatility to make regular profitable movements if you are positioned to catch them.

For instance a typical trading fee is 0.02% of the total order value, deposits have no fees, and withdrawls usually involve an 0.0001 btc transaction fee to encourage miners to continue as the yield per block decreases by the planned schedule. These fees are so low that I can put $10 on the table and trade it with profit, where a single transaction of NYSE stocks will often have a $10 fee just to place the buy order.

And I am a big fan of bullion and real estate as real money and value.  My view: it is hard to say that gold or silver is overvalued or undervalued.  One ounce of either remains at 1 oz a year later. It is the price, volume and confidence in the fiat currencies that varies.  The bullion remains the same.

If you, or a friend or relative, puts some wallpaper money into bullion, it never changes. If the price goes down, that's ok.  If you lose, you win. Since, up to that time, we have not had an economic collapse and hyperinflation .. yet.  Whatever little stash of green is around is still valuable.

You can also do leveraged trades now too if you go to the right places. Just this morning I closed some short positions that were made with 50x leverage. Such a capability is doing wonders for taking the volatility out of bitcoin by making it so traders can profit happily from smaller movements, keeping the value stable so people can actually use it as a currency.

Bitcoin's volatility is decreasing, and as it does leverage rates will continue to increase to allow traders to profit more efficiently. But its a nice feedback loop that in time will consolidate the unpredictable and fast paced market of bitcoin to behave like any other forex transaction would. It will always move a little, even normal currency forex like USD/CAD moves from time to time. But that movement can be reduced to tenths of a cent per day, allowing bitcoin to retain a value close enough to constant for people to use it as currency without fear of a market crash.





If there is a time when Bitcoin has the same amount of convertibility as decent credit card points (transferable gift cards for Target, Bed Bath and Beyond and Barnes and Noble) let me know and I will rethink the above.

Steven

A big part of the holdup is updating infrastructure to support it. For an online store this is quite easy- connect the store to a payment gateway or directly to a self-hosted bitcoin wallet (lower fees this way).

Physical stores have to purchase additional equipment to interface a bitcoin processor or wallet with their existing point of sale systems, but in theory it should be able to interact the same way a credit card terminal does with the key exception that at some point it needs to present a code for the buyer to scan and send bitcoin to.

Time is solving this issue, if bitcoin can stay clear of attracting the wrong kind of attentions it should survive long enough to see this become largely solved. It is attractive for small businesses because the per transaction fee is so tiny- at the time of this writing it works out to $0.024 for any size transaction. Compare this to the $3 or more often charged by credit providers and the difference will add up quickly.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 04, 2015, 08:08 AM
Screenshot of a Google cache:

(http://i.imgur.com/apx1ULt.png)

404 at the original for some reason.

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on March 23, 2015, 12:34 AM
I figured for the fundraiser I would finally get off my behind and create a bitcoin account so we could accept bitcoin donations.  You'll find the address at the bottom of the alternate donation page: here (https://www.donationcoder.com/Donate/DonateMethod.html).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 23, 2015, 01:09 AM
I figured for the fundraiser I would finally get off my behind and create a bitcoin account so we could accept bitcoin donations.  You'll find the address at the bottom of the alternate donation page: here (https://www.donationcoder.com/Donate/DonateMethod.html).

And people can see how much has been donated so far here:

https://blockchain.info/address/1Hd2aePtYxUD28WZjnp6sGMLAKTcjeQwwX

 :Thmbsup:

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on March 23, 2015, 02:05 AM
Oh that's kind of neat -- didn't realize you could see that.
So now that i've set up bitcoin.. Am I rich yet?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 23, 2015, 07:22 AM
Am I rich yet?

To the moon!!! ┗(°0°)┛ ..○

Or maybe HODL for a bit. ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 23, 2015, 09:55 AM
Big image, so only a link, but this is beautiful!

http://i.imgur.com/BlSVMQx.jpg

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 23, 2015, 10:09 AM
Woohoo~! More bitcoin donations for DC!

https://blockchain.info/address/1Hd2aePtYxUD28WZjnp6sGMLAKTcjeQwwX

Keep 'em coming! :)  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 18, 2015, 10:53 AM
Bitcoin hidden in a TV show in binary:

http://i.imgur.com/GF4GfMD.png

(http://i.imgur.com/GF4GfMD.png)

Producer... Mike Judge. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on April 20, 2015, 06:23 PM
Not sure if anyone has heard about this one, or even if it's legit ... But I'm giving it a shot in the name of insane curiosity. eBitInvest.com (http://) (Yes that is a referral link)

Update: Oh Yeah...It's a scam. Total return was 0.00
Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on April 20, 2015, 08:12 PM
Not sure if anyone has heard about this one, or even if it's legit ... But I'm giving it a shot in the name of insane curiosity. eBitInvest.com (http://ebitinvest.com/ref=cAFKbUw.html) (Yes that is a referral link)

Welcome to Ponzi Scheme.

if you're early enough getting onto one of these, they actually do pay out from time to time.

Usually though, by the time you hear about it the scheme is already on the verge of bankruptcy and you won't ever see your money again.

Better to get some btc via coinbase, and send it to the btc/cny futures exchange bitvc. Then you have quite the list of options for how to trade it, but trade with care- if you take a bad position you'll get margin called and lose it.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on April 20, 2015, 10:04 PM
^That's kinda what I figured...but it is early so I figured dipping a toe in couldn't hurt.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on April 20, 2015, 10:17 PM
I can just imagine the code for this:

Invest Bitcoins and get double of your investment after just five days!

Code: HTML [Select]
  1. <p>Invest Bitcoins and get double of your investment after just <? echo numberToWord($daysSinceStarted + 5); ?> days!

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on May 03, 2015, 05:09 PM
[ You are not allowed to view attachments ]

Trading bitcoin is about to get a whole lot easier  (http://americasmarkets.usatoday.com/2015/04/30/trading-bitcoin-is-about-to-get-a-whole-lot-easier/)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on May 22, 2015, 08:39 AM
You have to visit the page to see, so no preview or snippets.

http://amphibian.com/169

Fun 8)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on May 22, 2015, 03:09 PM
You have to visit the page to see, so no preview or snippets.

http://amphibian.com/169

Fun 8)

interesting - worth following the links
(look at Ren's comic one first!)

http://thoughts.amphibian.com/2015/05/using-http-402-for-bitcoin-paywall.html
http://challengepost.com/software/zero-click-bitcoin-micropayments

easy ways to make micro-payments would be nice to have...
(apologies if that's a micro-spoiler...)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on May 22, 2015, 08:15 PM
You have to visit the page to see, so no preview or snippets.

http://amphibian.com/169

Fun 8)

interesting - worth following the links
(look at Ren's comic one first!)

http://thoughts.amphibian.com/2015/05/using-http-402-for-bitcoin-paywall.html
http://challengepost.com/software/zero-click-bitcoin-micropayments

easy ways to make micro-payments would be nice to have...
(apologies if that's a micro-spoiler...)

Ahhh! That is very interesting! That really could make a lot of the web much different than it is now.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on May 26, 2015, 11:00 PM
The war on cash is escalating pretty rapidly now. The implications are extremely dark. Imagine not being able to buy or sell anything because some bureaucrat froze your accounts. You miss payments. Your home is taken. You lose your car. You're out on the streets, penniless.

Bitcoin is more important than ever in the face of flat out economic war on people. Here are a couple links:

http://libertyblitzkrieg.com/2015/05/26/martin-armstrong-reports-on-a-secret-meeting-in-london-to-ban-cash/

That links to this:

http://armstrongeconomics.com/archives/30862

There are many more articles on the topic out there.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on June 01, 2015, 09:23 PM
[ You are not allowed to view attachments ]

Microsoft BEATS Apple, Google ... to accepting limited Bitcoin payments (http://www.theregister.co.uk/2014/12/11/microsoft_beats_apple_and_google_to_accepting_limited_regional_bitcoin_payments/)

[ You are not allowed to view attachments ]

Hey! Want a FREE TOASTER that makes BITCOIN? What? You DO? (http://www.theregister.co.uk/2015/05/06/bubblicious_bitcoin_bonkers_business_bods/)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on July 14, 2015, 10:14 AM
This was interesting: Is Bitcoin going mainstream (http://www.paymenteye.com/2015/07/09/is-bitcoin-going-mainstream-infographic/?utm_source=PaymentEye+Daily+Newsletter&utm_campaign=62241030b0-09_07_2015_NL&utm_medium=email&utm_term=0_3bd2a3a3c5-62241030b0-14611321) - Infographic.

Apparently it has passed Western Union as the - most popular - fastest way to send money.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on July 14, 2015, 03:23 PM
This was interesting: Is Bitcoin going mainstream (http://www.paymenteye.com/2015/07/09/is-bitcoin-going-mainstream-infographic/?utm_source=PaymentEye+Daily+Newsletter&utm_campaign=62241030b0-09_07_2015_NL&utm_medium=email&utm_term=0_3bd2a3a3c5-62241030b0-14611321) - Infographic.

Apparently it has passed Western Union as the - most popular - fastest way to send money.

that was very good - it's not too far behind PayPal either  :up:
In Germany there is not a lot of acceptance of creditcards, nor of paypal - if they are offered as payment methods, they often incur extra charges (which is fair enough imo seeing as they screw the merchant). I see Germany is one of the top five countries in terms of bitcoin use.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on July 14, 2015, 08:22 PM
To the moon!!! ┗(°0°)┛ ..○
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 25, 2015, 10:31 PM
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Bitcoin Replaces Bag of Bills as Preferred Ransom (http://www.msn.com/en-us/news/us/bitcoin-replaces-bag-of-bills-as-preferred-ransom/ar-AAdv1mi)

I won't make any other comment in order not to incite the criminally-minded here.


Title: Re: Does anyone here use Bitcoins?
Post by: SeraphimLabs on August 13, 2015, 08:33 PM
And that's game.

http://www.coindesk.com/real-cost-applying-new-york-bitlicense/

New York State is requiring sites and services that handle digital currencies on behalf of other people to apply for a "BitLicense" intended to protect end users from the many vicious scams out there and to prevent criminal activity like money laundering and terrorism.

In response though, the majority of the bitcoin-related sites I've been using have opted to simply discontinue service to NYS, listing it alongside Iran and Syria as an area that is not allowed to use their service.

This is the end for bitcoin if other states follow suit. They'll little by little regulate it away until everyone has forgotten what it could have been, then ban it outright and mop up the stubborn people who wouldn't let it go peacefully.
Title: Re: Using Bitcoins - "the Walmart problem".
Post by: IainB on October 11, 2015, 08:27 AM
I have long been interested in Bitcoins, but as a medium of exchange rather than as a speculative punt.
However, I have been and shall remain entirely hands-off Bitcoins until the following conditions are established:

Looks like neither condition is likely to occur in the near future, judging by this thoughtful post on Bitcoins from the economist Gary North:
(Copied below sans embedded hyperlinks/images.)
Bitcoins and the IRS: Walmart's Problem (http://www.garynorth.com/public/14364.cfm)
Gary North - October 10, 2015

It's time for me to revisit the story of bitcoins. As you may have noticed -- or not have noticed -- you don't hear much about bitcoins these days.

A bitcoin used to be worth about $1100. These days, it is worth $250. The price has settled into this range for most of the year. It's boring. The financial media have dropped the topic. So has the hard money community.

I was an early critic of bitcoins, which earned me the hostility of the bitcoin community, which was small then and remains small.

TAXABLE EVENTS
I want to talk about what should be obvious to anybody. Every time some retailer or wholesaler sells something in exchange for bitcoins, this creates a taxable event. The IRS is highly interested in taxable events.

As you know, the IRS taxes people in United States dollars. It taxes businesses in terms of profits made in United States dollars. This is why every business has to keep an account of whatever it has paid out in United States dollars, which constitutes a deductible business expense. At the same time, every business has to keep a record of how many dollars have come in from sales.

This means that every business that does business in bitcoins must keep a record of the price of the bitcoin in terms of dollars at every point of sale or point of purchase. The IRS wants to know how many dollars came in or went out. It is not interested in bitcoins.

This creates huge problems for any business that wants to use bitcoins. Its computerized point-of-sale software must have a conversion system for bitcoins into United States dollars. When somebody buys something from the retailer, and he uses bitcoins to make the purchase, the retailer's software must instantly convert the value of the bitcoins into the value of United States dollars. The businessman is going to be taxed in terms of the value of the bitcoins in United States dollars.

This is obvious, isn't it? But the implications are not obvious.

If you want to get some estimate of the number of businesses that are using bitcoins as part of their operations, you must find out how many businesses have incorporated a conversion system that records the value of the bitcoins at the point of sale. This means barcode software.

Here is what I have discovered: there is no such barcode conversion software available.

This means that no national retail business sells anything for bitcoins. It also means that no small business does, unless its barcode software is integrated with conversion software that enables the business to find out exactly how many dollars came in when somebody purchased something. In other words, until the small business barcode software has built-in bitcoin conversion, bitcoins will remain a dream in the minds of bitcoin enthusiasts.

Here is an article written by a bitcoin enthusiast for small businesses. It discusses integrating bitcoin purchases with QuickBooks. If you want to read incoherent gibberish, read this (https://bitcoinmagazine.com/articles/using-bitcoin-with-quickbooks-part-1-recording-sales-and-accepting-payments-1385976677). I dare you.

Try to find any small business that uses QuickBooks that has integrated this plan for the business operations. The next one will be the first one.

But QuickBooks is a minor issue. The major issue is barcode software.

We were told from the beginning that bitcoins would soon be used for retail businesses. Try to find a store that has anything visible that says it accepts payments in bitcoins. If you find one, ask the person at the checkout counter how many people are using bitcoins to buy something. He will never have heard of it.

PRIVACY
There is no privacy with respect to bitcoins if you are a retail merchant. All the talk about gaining privacy with bitcoins refers only to consumers. None of it refers to businesses.

A business has to defend every deduction, and the business has to defend every purchase. You don't see Walmart, or Target, or any other national business set up to use bitcoins. That's because their point-of-sale software does not have automatic conversion into bitcoin prices.

I have said from the beginning that the use of bitcoins would be limited to a handful of computer programmers and the Mexican drug cartels. They don't report to the IRS. Any normal business reports to the IRS, and it has to account for its sales and purchases, not in terms of bitcoins, but in terms of United States dollars. This means that there will be no adoption of bitcoins until there is a huge market of consumers who use bitcoins, because of the cost of rewriting all of the point-of-sale software to deal with the problem of the conversion factor. This is the chicken-and-egg problem that the bitcoins movement face. There will not be large numbers of bitcoin users until Walmart and Target and similar national chains make available their products in exchange for bitcoins.

Until you see major national chains adopting point-of-sale software that provides automatic bitcoin conversions, you can safely ignore bitcoins. Still.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on October 11, 2015, 10:30 AM
The only thing that impressed me about that article is that it's abundantly clear that the author has not a clue what barcodes do.

Here is what I have discovered: there is no such barcode conversion software available.
-the Article
Right, that's because barcodes are nothing more than a laser readable font...that never gets "converted" to anything.

How can we possible process a BTC sale through a POS system?!? Derp... as ~like~ cash maybe?? Oh wait that was covered - IMO - rather clearly in the "incoherent gibberish" article they linked to.

FUD spreader much?
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on October 11, 2015, 03:37 PM
This means barcode software.
What?? What kind of lame-brained leap of logic is this?? That is such a nonsensical statement -- it's like The Big Lie, just say it in your discussion as if it were fact, and [some] readers will take it as such.

And just because the guy links to someone's "incoherent gibberish" (in his opinion), doesn't mean he isn't spouting his own brand of the same.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on October 12, 2015, 02:00 AM
Hmm. Interesting responses there.
My main interest was in how to use Bitcoin as a medium of exchange - the criteria for which I saw as being:
And I added that:
Looks like neither condition is likely to occur in the near future, judging by this thoughtful post on Bitcoins from the economist Gary North: ..."Bitcoins and the IRS: Walmart's Problem" ...

I could be wrong, of course, but I considered that what he was writing about could convey several implicit and valid points:

I did not quite see why North was so hard on the Jason M. Tyra QuickBooks + BCs article, unless it was maybe that Tyra seemed to be only recommending how SMEs (Small-To-Medium Enterprises) could account in QuickBooks for using BCs for Sales/Purchases, which approach would not be able to contribute overmuch for expanding the use of BCs and certainly couldn't be scaled up for use in large retailers such as Walmart. This approach would be akin to fussing over how to twist and spin wool into yarn by hand, when you actually need to automate the whole thing by using the Mule and the Spinning Jenny.
As far as I could see, Tyra offered what seemed to be a perfectly reasonable workaround (i.e., creating notional Sales or Purchases invoices) to the inherent constraints of not having the forex for a BC "cash" payment, which could then pass  through the books as a legitimate double-entry. Though he does not use that term ("double-entry"), he does warn of the adverse consequences of effectively letting the BC transaction remain as an incomplete single entry transaction in the books.

Two other thoughts occurred to me:

Added up, there would seem to be several factors here which could delay/frustrate the adoption of BC as a generally legitimate and useful currency within a nation state or between nation states. The difficulty would seem to be in enabling BCs to somehow flow through and be monitored as part of the existing tightly regulated and controlled Payment System(s), GSS (for interbank settlement) and SWIFT (forex) settlement systems. I would not expect the Establishment to be in any hurry to sort the mess out. I mean, why should they assist the development of a new, competitive foreign currency and supply of money - which threatens to compete with or undermine the federally-mandated mythical national currency status quo - and which they don't currently control to boot?

Some people (not me, you understand) might say that it is likely to be - and may well be already being - blocked at every turn, but I couldn't possibly comment.
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on October 12, 2015, 05:39 AM
I agree with what you are saying. What I am curious about is why one would look at a dynamic, fluctuating "exchange rate" and then say that the answer is to do some kind of conversion to a static, unchanging barcode.

As to whether there is any sort of pressure being presented by the established financial players, of course I couldn't possibly comment either.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on October 12, 2015, 07:03 AM
I could be wrong, of course, but I considered that what he was writing about could convey several implicit and valid points:
  • BCs (Bitcoins) are effectively a kind of foreign currency at the POS (Point-Of-Sale) for retail outlets (the QuickBooks (https://bitcoinmagazine.com/articles/using-bitcoin-with-quickbooks-part-1-recording-sales-and-accepting-payments-1385976677) article also refers to this).

Only if you let them be.

  • Retail POS terminals/systems are usually only geared up to operate in a single standard national currency (in the US).

Right, and there is no "profit" in telling the POS system anything different. Just tell it this is a cash transaction, and get on with you day.

  • BCs are not a stable currency, due to their fluctuating BC-US$ price, which is presumably fluctuating due to intense speculation in a dynamically changing market.

This is only an issue if one is planning to sit on them for weeks/months at a time. If your margins are so tight that selling off at the end of the day is a risk, then I'd be inclined to assert thet you have bigger problems than BTC.

  • BCs in any event have the potential (at least currently) for escaping any form of local/federal Retail Sales Tax or VAT (Value-Added Tax) at the POS - the IRS would presumably object to that.

Two words ... Cash Transaction.


  • The need to establish the forex (foreign exchange rate) value of the "foreign" BC currency in the local currency (US$) at the POS and at that instant of sale (which is what the BC engine is presumably doing somewhere at that point), would probably be impossible with current Payment Systems technology, as it would necessitate having access to a real-time national database of worldwide BC-to-US$ prices. This seems like it could be a bit of a stumbling-block.

Enter amount into BTC wallet in USD (or your preferred currency) and it is automatically converted to BTC (yes that all already do that).
hit generate QR code button - Assuming it hasn't already done it on the fly (many do).
Have customer -(yes this assumes a phone based wallet)- scan the QR code and - if all looks kosher - hit send.
watch for incoming transfer (it only takes a few seconds).
Transaction complete.

  • In any event, large retailers (such as Walmart, for example) do not currently have the necessary software which, on scanning the barcode of the sale item at the checkout and getting the US$ price, could then look up such a real-time forex database (assuming that it existed and was nationally accessible in real-time in the first place).

The necessary BTC software is free, and they all do a dollars to BTC conversion on the fly...which is based on a user configurable exchange.

FOR SMB's CoinBase (and I'd wager other companies like it) offers a web based transaction handling service that will generate a QR code based invoice, send it to the customer, and then automatically sell off the coin and deposit the money in you bank account (at the agreed on/transacted exchange rate).


...So just a little lite reading and the whole thing turns into a complete nonissue FUD storm.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 12, 2015, 08:55 AM
Price has been fairly stable also since mid-january this year, so for the last 9 months.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on October 12, 2015, 09:32 AM
...What I am curious about is why one would look at a dynamic, fluctuating "exchange rate" and then say that the answer is to do some kind of conversion to a static, unchanging barcode. ...
__________________________
I'm not sure that was what was being intended/proposed, or maybe it's a wrong interpretation (misunderstanding) of what was being proposed. It would seem to be nonsensical.

The necessary BTC software is free, and they all do a dollars to BTC conversion on the fly...which is based on a user configurable exchange.
FOR SMB's CoinBase (and I'd wager other companies like it) offers a web based transaction handling service that will generate a QR code based invoice, send it to the customer, and then automatically sell off the coin and deposit the money in you bank account (at the agreed on/transacted exchange rate).
_______________________
If that is all indeed true, and if it's trusted/reliable/secure, etc., then the hypothesis of the "Wallmart problem" presumably has no validity - i.e., it's not a problem as described. Then Wall mart would probably be implementing - or would be about to implement - BC transactions. Are they, in fact? I wouldn't know - my experience and knowledge is limited to Australasia and what happens in EFT-POS systems and so-called "intelligent networks" used for high volume transaction processing, and the associated Payment Systems and GSS, a lot of which the BC system seems could potentially bypass or make redundant.
That's unlikely to happen without a fight.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 13, 2015, 11:13 PM
StoicJoker is right.

I'd started a post before, but never clicked "Post" because I was simply ranting about how Gary North is just a complete buffoon when it comes to Bitcoin. I really like him. He just loses his mind and sounds like a complete moron when it comes to the topic of Bitcoin.

What Gary misses, as SJ noted, is that you can accept BTC and convert on the fly. Barcodes have ZERO to do with anything, and again, SJ has already noted that.

In transaction processing, bitcoins are really not that much different than debit cards.

I can go to pretty much anywhere I want and stick my bank card into the reader and pay for damn near anything I want with zero problems. BTW - that bank card is in Korean won (KRW).

The difference between paying in KRW and paying in BTC is that there is a lower transaction cost for paying in BTC.

These things are really not that hard to understand if anyone takes the time to understand different payment systems.

Now, it does require a bit of knowledge about payment systems, transaction costs, and settlement procedures, but it's not really all that complicated.

For those that want to look into it, the more complicated the system gets, the more expensive it gets. (If anyone wants, call me out on it and I'll give you basic examples that you can verify for yourself.)

With Bitcoin, the procedures are all very simple. You're talking about a maximum of 2 layers of transaction processing to achieve an objective --- the payment processor and the exchange. It doesn't get simpler than that.

With fiat currency... oh god... the layers are insane. Bank to bank to bank to bank... And that very often means that Chase Manhattan gets their cut because f**k you pay me.

I wish that Gary would just take the time to learn about what he's writing about with Bitcoin because I really like him and hate when he makes a total ass of himself. ;(
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on October 14, 2015, 11:05 AM
^^ Why don't you post a polite comment to that effect on his website? It might be very helpful/useful to him.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 30, 2015, 09:33 PM
There's a sustained rally on BTC right now.

http://techcrunch.com/2015/10/30/the-bitcoin-rally-is-real/

It's also seen a golden cross (50 day moving average and 200 day moving average cross with both on the upswing).

**********

^^ Why don't you post a polite comment to that effect on his website? It might be very helpful/useful to him.

I'm quite certain that people closer to Gary have pointed things out to him. Given the egregiously horrible errors he's made, I don't believe that any level of reason could work. It just seems to be a blind spot for him. Which is a darn shame because he's so good on other topics. I just don't see how he misses this.
Title: Re: Does anyone here use Bitcoins?
Post by: barney on October 31, 2015, 01:57 PM
I'm quite certain that people closer to Gary have pointed things out to him.
That statement reminds me of the prettiest girl in high school going dateless :( because every guy was certain another guy had asked her out.  It also dodges your responsibility to yourself.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 31, 2015, 03:47 PM
I'm quite certain that people closer to Gary have pointed things out to him.
That statement reminds me of the prettiest girl in high school going dateless :( because every guy was certain another guy had asked her out.  It also dodges your responsibility to yourself.

Good point, and fair enough.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 02, 2015, 02:51 PM
Every now and then you see someone speak with real passion. Passion that goes deep down inside them, and passion that pours out through their words, facial expression, and sometimes even to the brink of or past tears.

Cued up (47m 21s):

https://www.youtube.com/watch?v=8zKuoqZLyKg&t=47m21s

Inline, but probably not cued up:



Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 03, 2015, 01:07 AM
I'd not seen this before. Could just as well be in the music thread:



It ain't going away.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 04, 2015, 01:33 PM
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Bitcoin is going nuts (http://www.msn.com/en-us/news/technology/bitcoin-is-going-nuts/ar-BBmNFT6)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 04, 2015, 02:21 PM
[ You are not allowed to view attachments ]

Bitcoin is going nuts (http://www.msn.com/en-us/news/technology/bitcoin-is-going-nuts/ar-BBmNFT6)

More like Bitcoin is driving me nuts. I was just about to do a -(breakeven)- partial selloff, but missed the peak...and now it's - floundering - in correction or something ... Ggaaaaaaaaa!
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 04, 2015, 02:49 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 04, 2015, 03:52 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.

I honestly don't think there is a per se 'Right Way' to get started ... There are however a lot of wrong ways (like investing you life savings, etc..).

I went the mining route, because the whole investing/currency exchange thing confuses the shit out of me. But if you're good at that type of thing maybe pushing some shitcoin around might be a good way in.

In retrospect, I put more into the mining equipment than I should have and the money is kinda stuck there now ... But at the time - it looked good - I couldn't see the bottom falling out shortly thereafter. I'm not looking to pull out completely, I'd just like to break even.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 04, 2015, 04:32 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.

I honestly don't think there is a per se 'Right Way' to get started ... There are however a lot of wrong ways (like investing you life savings, etc..).

I went the mining route, because the whole investing/currency exchange thing confuses the shit out of me. But if you're good at that type of thing maybe pushing some shitcoin around might be a good way in.

In retrospect, I put more into the mining equipment than I should have and the money is kinda stuck there now ... But at the time - it looked good - I couldn't see the bottom falling out shortly thereafter. I'm not looking to pull out completely, I'd just like to break even.


Are you still running your mining setup?  And is it still generating an appreciable amount?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 04, 2015, 04:58 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.

I honestly don't think there is a per se 'Right Way' to get started ... There are however a lot of wrong ways (like investing you life savings, etc..).

I went the mining route, because the whole investing/currency exchange thing confuses the shit out of me. But if you're good at that type of thing maybe pushing some shitcoin around might be a good way in.

In retrospect, I put more into the mining equipment than I should have and the money is kinda stuck there now ... But at the time - it looked good - I couldn't see the bottom falling out shortly thereafter. I'm not looking to pull out completely, I'd just like to break even.


Are you still running your mining setup?  And is it still generating an appreciable amount?

(hehe) No. The miners I have are on the wrong side of unity, so they cost more to operate than they produce. I've got a friend listing them on eBay to see what (if anything) I can recoup from them. I may buy another faster/more efficient miner...or I may give up and bail. The coin currently is at $370 so I'm hosed if I selloff now. I'd have been fine if I could have dumped the bulk of the nut this morning @$499.60 ... But that plan got hosed by the exchange's hyper paranoid 3 factor authentication. By the time I (left work and) got home I'd already missed the crest ... So now I'm just right back to being slightly totally fucked again..

Yay... (https://www.donationcoder.com/forum/esmileys/gen3/3Smileys/wallbash.gif)
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 05, 2015, 07:17 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.

I read somewhere recently-ish that it was practically impossible (for the average person) to earn more money through mining than the cost of the power expended to run the mining hardware. But that may have been before the even-more-recent-ish rally that BTC has had.

I, too, am interested in getting into BTC, but I have no idea how to create a wallet. And I lack basic knowledge about BTC, such as if it's even possible to have a wallet without mining.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 05, 2015, 11:40 PM
I really want to get into BC... but I don't even know where to start with it doing this mess.

I read somewhere recently-ish that it was practically impossible (for the average person) to earn more money through mining than the cost of the power expended to run the mining hardware. But that may have been before the even-more-recent-ish rally that BTC has had.

I, too, am interested in getting into BTC, but I have no idea how to create a wallet. And I lack basic knowledge about BTC, such as if it's even possible to have a wallet without mining.

Yes, you can have a wallet without mining.  And you can get into BTC from the exchanges or from other people.  My problem is more not knowing where to jump in.

https://bitcoin.org/en/getting-started

http://bitcoinsimplified.org/get-started/how-to-set-up-a-wallet/
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 06, 2015, 01:02 AM
Some random thoughts: I watched the videos and heard people mention their computer blowing up and losing 1,000s of bitcoins. Are they lost and gone forever? How does that affect BTC overall since there's a maximum of 21 million of them, or whatever the limit is. What if everybody lost their bitcoin wallet? We'd all have a 21 million bitcoin blockchain but nobody would have access to the currency?  :huh:

Yes, you can have a wallet without mining.  And you can get into BTC from the exchanges or from other people.  My problem is more not knowing where to jump in.

https://bitcoin.org/en/getting-started

http://bitcoinsimplified.org/get-started/how-to-set-up-a-wallet/

Thanks for these links. Time for some reading. :)
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 06, 2015, 02:46 AM
Well, now I have a bitcoin wallet. Too bad I don't have anything to do with it. :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 07, 2015, 03:23 AM
Well, now I have a bitcoin wallet. Too bad I don't have anything to do with it. :)


PM me your address.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 08, 2015, 11:16 PM
PM me your address.

Done.

Also, the initial sync was brutal. Over 50GB of blockchain data. If I had known then what I know now, I'd have chosen a different, "lightweight" bitcoin wallet software.

You live and you learn. 8)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 08, 2015, 11:44 PM
Also, the initial sync was brutal. Over 50GB of blockchain data. If I had known then what I know now, I'd have chosen a different, "lightweight" bitcoin wallet software.

is that 50GB stored on your machine :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 09, 2015, 12:03 AM
Also, the initial sync was brutal. Over 50GB of blockchain data. If I had known then what I know now, I'd have chosen a different, "lightweight" bitcoin wallet software.
is that 50GB stored on your machine :tellme:

Yes. I downloaded a client which locally downloads/stores the full blockchain because I was told it was more secure (https://bitcoin.org/en/choose-your-wallet) (for verifying transactions), and I guess it also makes me act as another node on the P2P Bitcoin network so it helps improve the network.

This wallet is a full node that validates and relays transactions on the Bitcoin network. This means no trust in a third party is required when verifying payments. Full nodes provide the highest level of security and are essential to protecting the network. However, they require more space (over 20GB), bandwidth, and a longer initial synchronization time
-https://bitcoin.org/en/choose-your-wallet

I knew getting into it from the info quoted above that it was going to be a large download, but it didn't set my expectations properly because it said the blockchain is "over 20GB." While that is a true statement, it made me think that it might be as large as 25-30GB. The full blockchain is currently about 53.5GB. Not only that, but the download was relatively slow. I'm currently on a 200Mbps download plan but it took me about 24 hours to download it all. (Not quite that long, since I put my computer to sleep overnight--twice!--during the sync process.)

But if you use a "lightweight" wallet application, it doesn't store the full blockchain, just the parts that are relevant to your transactions (or something along those lines) and only uses a relatively few MB of local storage IIUC. For example, the app I downloaded to my Android device only uses about 8MB of internal storage, and most of that is the APK itself!

Honestly, I still don't feel I understand very well how it works, but I'm starting to get a feel for some of it.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 09, 2015, 01:30 AM
@Deozzan - Check your wallet. I just sent you about $10 in bitcoins. By the time you see this message, it will be in your wallet.

You can do anything you want with that, and **NOBODY** can stop you. Nobody.

That could just as well be any amount of money you can imagine. $10,000. A million. 10 million. And you could send it to anyone you want without any interference.

And it would cost you almost nothing.

It cost me about $0.01 to send it to you.

Jack all. Nothing. Near zero transaction fees.

I only asked that you PM me so that the transaction would be just between you and me.

Bitcoin is "pseudoanonymous". That means that it's not 100% anonymous, but close. As long as nobody knows our addresses, they can't track us.

If you don't know what to do with it, send it to mouser as a donation. He'll put it to good use. ;)

But, do play around with it. Send $0.50 or $1 to a few people here just to see how fast and easy it is.

Here's an address for me where you can send some just to test:

1F1Eiruf9yzCH49jvjxtajVuzV6mBP3tef

But do check it out and see just how easy it is. Try it a few times.

Maybe someone else (that has participated in this thread) can post an address for you to send $0.50 or so.

You'll see just how easy it is.

Heck, it's fun~! :D

BTC FTW!
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 09, 2015, 03:58 AM
Finally reinstalled Bitcoin-core on my machine, still about a year and a half of blocks to download but I've got back the US$0.03 I had in the wallet ... YAY!   ;D
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 09, 2015, 06:58 AM
I've been using the Multibit (lightweight) wallet, and have been quite happy with it (very fast sync). But I wonder do the "Full Node" wallets get paid anything - like from the transaction fees - for their troubles (space usage etc.)? I'd go full node in a flash if is/could be profitable...otherwise I'd rather save the space.
Title: Re: Does anyone here use Bitcoins?
Post by: phitsc on November 09, 2015, 07:58 AM
Communications of the ACM had an interesting article titled 'Bitcoin: Under the Hood' a while back. I found it a very worthwhile read (I knew basically nothing about how Bitcoins work). I'm afraid I can't post it here but you can find it like so (as a pdf):

'bitcoint under the hood Aviv Zohar'

@Renegade
Does that mean by posting that address above you can now no longer do private transactions? or does one usually own multiple addresses? or is there such a thing as private and public addresses?

Concerning addresses: as long as I write down my address (or addresses) somewhere, I can always get back my bitcoins? (even if the machine 'hosting' my wallet dies)
Does one usually install multiple wallets on different machines/devices, all working with the same address? Is it possible to manage / work with multiple addresses using the same wallet?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 09, 2015, 10:11 AM
@Renegade
Does that mean by posting that address above you can now no longer do private transactions?

Well, if anyone looks at that address, they can see what goes in and out of it. However, that doesn't mean that they know where it comes from, or where it goes.

or does one usually own multiple addresses?

Yes. A wallet contains many addresses. However, once you start getting up into the thousands of addresses, it's a good idea to create a new wallet to "clean out" your old one.


or is there such a thing as private and public addresses?

All addresses that have transactions associated with them are listed on the blockchain. However, that doesn't mean that you know who owns them.

So, it's "pseudononymous" as opposed to anonymous.

e.g. I can create an address and not tell anyone about it, so nobody knows it. However, if I do a transaction with that address, then it is listed on the blockchain, but nobody knows that I own it.


Concerning addresses: as long as I write down my address (or addresses) somewhere, I can always get back my bitcoins? (even if the machine 'hosting' my wallet dies)

Yes and no.

No, because you're describing it the wrong way.

But, yes... with the following qualifications.

You need to write down your private keys -- those will "unlock" your addresses, and then you can always get your bitcoins back.

Make certain to back up your wallet (it contains your private keys) multiple times. You can never be too paranoid. :)



Does one usually install multiple wallets on different machines/devices, all working with the same address?


That's possible, but please, please, please... don't even think about that until much later when you understand everything much, much better. I'm not going to explain any of that because it's just too much to go over.

But yes... it is possible.

The practical answer is "no". You would create multiple wallets with different addresses.

e.g.:

1) "Big" wallet with 100 BTC -- This wallet is offline in "cold storage"
2) Desktop wallet with 5 BTC -- This wallet has a small amount of BTC. It's the equivalent of keeping $2,000 or so in your sock drawer or home safe at home.
3) Mobile wallet with 0.82 BTC -- This is just like your normal wallet that you take with you everywhere. It doesn't have "all" your money/BTC, but it has enough for you to buy gas, groceries, lunch, beer, etc.


Is it possible to manage / work with multiple addresses using the same wallet?

Yes. Wallets actually create new addresses behind the scenes, and you'd never even know that they were there unless you started to dig down deep.

e.g. I have address ABC with 1 BTC in it. I spend 0.4 BTC on something, so that 0.4 BTC goes to Joe's address (XYZ), and the remaining 0.6 BTC goes into a new address in my wallet (DEF) that collects "unspent change".

You can think of "addresses" a bit like "envelopes of money" that you keep in your wallet. Or imagine that your wallet is a magic wallet that can create infinite "pouches" inside of itself with infinite space, kind of like Dr Who's TARDIS.

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 09, 2015, 11:35 AM
@Deozzan - Check your wallet. I just sent you about $10 in bitcoins. By the time you see this message, it will be in your wallet.

Wow, thanks!

I only asked that you PM me so that the transaction would be just between you and me.

Bitcoin is "pseudoanonymous". That means that it's not 100% anonymous, but close. As long as nobody knows our addresses, they can't track us.

[...]

Here's an address for me where you can send some just to test:

1F1Eiruf9yzCH49jvjxtajVuzV6mBP3tef

If you privately send me some bitcoins, and then I turn around and send some of it back to one of your public addresses, won't that link your public address to the private addresses, just by following the chain back a bit?

I guess there's a link there, but there's no proof that a payment to that public address came from me unless I publicize the address I'm paying from. And there's no proof who the owners of the other addresses belong to. Right?

But I wonder do the "Full Node" wallets get paid anything - like from the transaction fees - for their troubles (space usage etc.)?

No. They don't get paid anything. It would be nice if they did, even if it was only a satoshi (0.00000001 bitcoins) now and then. But I think that's all down to the trust model. Really the only person who can be trusted to have done what they say they have done is a miner who successfully finds the hash. And that is why whichever miner finds the hash gets the reward. They provide proof (the hash) that they've done the work, and in the work, they include the transaction that gives themselves their reward.

Or at least that's my understanding of it. I could be wrong about some of the details, but I'm pretty sure about the answer to your question: No, nodes do not get paid for their service.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 09, 2015, 11:52 AM
I'm confused about transaction fees. I've read that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Maybe that's because the client I'm using (Bitcoin Core) doesn't allow that? It has an option I've checked to "send as zero-fee transaction if possible" but when I click send the confirmation screen shows the fee added in there automatically anyway.

The fees are fairly minimal. But when I'm only sending a few cents (in USD) anyway to get a feel for how it works, it kinda sucks losing even a penny of it in fees. Feels kind of like handing a dollar bill to a friend, then having him hand it back and it only being worth 98 cents.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 09, 2015, 01:02 PM
I'm confused about transaction fees. I've read that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Maybe that's because the client I'm using (Bitcoin Core) doesn't allow that? It has an option I've checked to "send as zero-fee transaction if possible" but when I click send the confirmation screen shows the fee added in there automatically anyway.

The fees are fairly minimal. But when I'm only sending a few cents (in USD) anyway to get a feel for how it works, it kinda sucks losing even a penny of it in fees. Feels kind of like handing a dollar bill to a friend, then having him hand it back and it only being worth 98 cents.

still a whole lot better than e.g. paypal ...
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 09, 2015, 01:56 PM
Quote from: Stoic Joker on Today at 07:58:43 AMBut I wonder do the "Full Node" wallets get paid anything - like from the transaction fees - for their troubles (space usage etc.)?No. They don't get paid anything.

Shit ... That's what I was afraid of. The more I think about it, it seems like I looked into it back when...and then forgot the answer because it was depressing.


It would be nice if they did, even if it was only a satoshi (0.00000001 bitcoins) now and then.

Right along the same lines I was thinking. Somebody presumably has to be getting to customary 0.0001 satos trans fee...why not the folks processing the transactions.

#! ...That'll teach my to think.
Title: Re: Does anyone here use Bitcoins?
Post by: phitsc on November 09, 2015, 02:54 PM
Thanks Renegade! :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 09, 2015, 04:44 PM
Somebody presumably has to be getting to customary 0.0001 satos trans fee...why not the folks processing the transactions.

The fee does go to the folks processing the transactions: The miners!


And a bit of a niggle: A satoshi is the smallest unit of bitcoin, which is 0.00000001 bitcoins. The customary transaction fee is ~0.00001 bitcoins.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 09, 2015, 10:46 PM
Somebody presumably has to be getting to customary 0.0001 satos trans fee...why not the folks processing the transactions.

The fee does go to the folks processing the transactions: The miners!

I'm not quite sure that's entirely the case, as there's a fixed number of BTC to mine. So (yes many years in the future), after all the coin has been mined there would be no point in continuing to mine ... So the currency would become worthless because no one would be processing the transactions. Unless there is something else going on in the way of verification ... Got a map of this one Renegade??


And a bit of a niggle: A satoshi is the smallest unit of bitcoin, which is 0.00000001 bitcoins. The customary transaction fee is ~0.00001 bitcoins.

As always customs seem to very, and the wallet default charge I keep running across is ~$0.05 USD or 0.0001 BTC
[ You are not allowed to view attachments ]


...Or maybe I just have a knack for getting screwed *Shrug* I don't know..
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 01:43 AM
Somebody presumably has to be getting to customary 0.0001 satos trans fee...why not the folks processing the transactions.

The fee does go to the folks processing the transactions: The miners!

I'm not quite sure that's entirely the case, as there's a fixed number of BTC to mine. So (yes many years in the future), after all the coin has been mined there would be no point in continuing to mine ... So the currency would become worthless because no one would be processing the transactions. Unless there is something else going on in the way of verification ... Got a map of this one Renegade??

As I understand it, the miner gets the new coin reward which, as you said, is very gradually moving to zero. But the miner also gets the fees from all the transactions included in the block he creates when he successfully mines a new block. This provides incentive for miners to continue mining even when the new coin reward is zero. Right now, since the fee is so small, it's probably an almost negligible incentive for mining, especially when compared to the new coin reward. But someday (again, probably many years/decades in the future) there will be so many daily/hourly transactions happening that the miners will be making much more money from fees than from new coin rewards. The more ubiquitous bitcoin becomes, the more fees will be paid out to miners for their services of verifying all transactions for the rest of us.

Bitcoin absolutely depends on miners always mining, forever! If everybody stopped mining, Bitcoin would die because no new transactions would be verified. Miners are the people who create new blocks for the blockchain, which verifies all transactions inside said blocks.

I recommend reading the original paper (http://bitcoin.org/bitcoin.pdf) on Bitcoin by Satoshi Nakamoto.It will give a brief overview of the overall system and how it works. It's only 9 pages (one of which is cited sources/references) and relatively easy to understand in plain English. I was concerned that it would be above my head since I know little of cryptography and mathematics, but I followed it fairly easily, for the most part.

See especially the second paragraph (found on page 4 of the PDF) in the quote below:

By convention, the first transaction in a block is a special transaction that starts a new coin owned by the creator of the block [the miner]. This adds an incentive for nodes to support the network, and provides a way to initially distribute coins into circulation, since there is no central authority to issue them. The steady addition of a constant of amount of new coins is analogous to gold miners expending resources to add gold to circulation. In our case, it is CPU time and electricity that is expended.

The incentive can also be funded with transaction fees. If the output value of a transaction is less than its input value, the difference is a transaction fee that is added to the incentive value of the block containing the transaction. Once a predetermined number of coins have entered circulation, the incentive can transition entirely to transaction fees and be completely inflation free.

The incentive may help encourage nodes to stay honest. If a greedy attacker is able to assemble more CPU power than all the honest nodes, he would have to choose between using it to defraud people by stealing back his payments, or using it to generate new coins. He ought to find it more profitable to play by the rules, such rules that favour him with more new coins than everyone else combined, than to undermine the system and the validity of his own wealth.
-http://bitcoin.org/bitcoin.pdf

Blockchain.info has some stats for the past 24 hours (https://blockchain.info/stats) showing that (as of this edit) 4,025 BTC were mined and ~29.5 BTC in transaction fees were earned by miners. But that's only for ~160,000 transactions. Add a couple zeroes to the end of that number and you can see how it won't be hard for earnings from transaction fees to greatly outweigh new coins being generated, especially since the reward is scheduled to reduce by half next year.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 05:39 AM
As always customs seem to very, and the wallet default charge I keep running across is ~$0.05 USD or 0.0001 BTC

My primary/only experience with this is from the Bitcoin Core (https://bitcoin.org/en/download) program, which says the minimum fee is 0.01 mBTC/kB, and the recommended fee is 0.052mBTC/kB, which is still roughly half of what you are coming across.

Your 0.1 mBTC fee is roughly ten times as high as the 0.0113 mBTC fee I paid when sending a test payment. :-\

Perhaps because the Bitcoin Core program is a full-node client (meaning it stores and transmits the entire blockchain, therefore improving the P2P network) the transaction fee is lower as a result of providing a bit of a service to the Bitcoin platform? I have no idea if that's correct, but it's the only reason I can think of for the discrepancy in the fees.



By the way, does anyone know what the "kB" means in the fee? What does x BTC/kB mean? A fee of X bitcoins per kilobyte of data transmitted in the transaction?
Title: Re: Does anyone here use Bitcoins?
Post by: highend01 on November 10, 2015, 07:21 AM
Is there any cheap (regarding transaction + exchange fees) and reliable exchange platforms where I can use my paypal account to buy bitcoins? I need about 50$ (orig currency: €) until friday so it shouldn't take to long to approve the payment method. Not something from china if possible... :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 10, 2015, 08:47 AM
@Deozzan - Check your wallet. I just sent you about $10 in bitcoins. By the time you see this message, it will be in your wallet.

Wow, thanks!

You're welcome! Now, go forth, and do transactions~!  ;D

If you privately send me some bitcoins, and then I turn around and send some of it back to one of your public addresses, won't that link your public address to the private addresses, just by following the chain back a bit?

With your empty wallet, yes, but not necessarily if you already have a well-used wallet. Again, wallets can have many addresses, and unless you specifically pick an address to send from, it's more or less random which address (envelope) gets used.


I guess there's a link there, but there's no proof that a payment to that public address came from me unless I publicize the address I'm paying from. And there's no proof who the owners of the other addresses belong to. Right?

Right. :)

I'm not quite sure that's entirely the case, as there's a fixed number of BTC to mine. So (yes many years in the future), after all the coin has been mined there would be no point in continuing to mine ... So the currency would become worthless because no one would be processing the transactions. Unless there is something else going on in the way of verification ... Got a map of this one Renegade??

Yep!

Every 4 years (about) the reward for miners halves. So, while it is 25 BTC per block now, in a bit it will be 12.5 BTC.

There is a soft limit on the number of miners out there. This is going to be a bit difficult for some people to grasp, but it really is very, very simple. Here goes...

Miners mine for rewards. This is critically important.

Miners mine for rewards. It bears repeating.

The reward for finding a block has a value.

The cost to find a block has a value.

As the cost to find a block approaches the value of the reward, more miners will begin to stop mining. As it goes above, there will be a sharp cut-off of miners who stop, i.e. Only professional miners that have planned for this scenario will continue, along with amateur miners who are simply in it for fun on a small scale.

So, that is the "soft limit" on how much mining is done.

But that only explains the block reward partially.

In addition to the block reward, miners also receive transaction fees for finding a block.

As Bitcoin becomes more popular, there will be more transactions, and more fees. So you can imagine the declining reward as a \ line on a graph, and the increasing transaction fees as a / on a graph. Exactly how those plot doesn't particularly matter. (See below.)

What will happen is that even when the block reward reaches zero, the transaction fees will have long ago surpassed the block reward in terms of value.

So the intersection of those two lines on the graph represents the point in time when the transaction fees become larger than the block reward.

Hence, a block reward of zero reaches zero importance in terms of value to miners.

I'm confused about transaction fees. I've read that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Maybe that's because the client I'm using (Bitcoin Core) doesn't allow that? It has an option I've checked to "send as zero-fee transaction if possible" but when I click send the confirmation screen shows the fee added in there automatically anyway.

The fees are fairly minimal. But when I'm only sending a few cents (in USD) anyway to get a feel for how it works, it kinda sucks losing even a penny of it in fees. Feels kind of like handing a dollar bill to a friend, then having him hand it back and it only being worth 98 cents.


That's because Bitcoin is transparent, where dollars, euro, and other fiat currencies are opaque.

Don't think in terms of $$$ or BTC. That's always the wrong way to think about things. The value XYZ is an arbitrary number that could mean anything.

Instead, think of $$$ or BTC in terms of **PURCHASING POWER**. That is the real measure that we should think of.

So, if I give you $1 today, in 1 year you have $0.92~$0.97 (about) in terms of actual purchasing power thanks to inflation.

(The central banks aim at 2% inflation per year, but they are failing miserably.)

But, it's worse than that.

If you take your (let's say) $0.95 and go to purchase anything using your credit or debit card or Paypal, etc., there are transaction fees. Those can be as low as 2.5% (sometimes lower, but it depends - they can also be much higher). So, assuming 2.5%, the $1 I gave you gets you $0.92625 of purchasing power.

And that assumes that you don't carry a balance on your credit card, which can easily have an interest rate of 30% or more.

And that doesn't even get into Quantitative Easing... The inflation rate is currently being artificially surpressed because all the central banks are engaged in QE. That is, all the major fiat currencies are being devalued (debased) at the same time, giving it the appearance that inflation isn't as bad as it actually is. If/when the bubble goes pop, it's going to be devastating.

The example to look at is the Swiss Franc. A while back the Swiss decoupled the Swiss Franc from the euro. Previously, it had been pegged to the euro. The unpegging sent the franc soaring by 30% against the euro (and other currencies).

That was a major event in terms of what it showed, although it was rather small in scale as Switzerland is a small country. If that happened to the Chinese RMB, the Japanese JPY, or the USD, it would be a global bloodbath.

Anyways... the small transaction fee in bitcoin transactions is extremely tiny. The only difference is that you can see it and that nothing is hidden from you.

If you could readily see the cost of using fiat currencies, you would be horrified.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 10, 2015, 08:49 AM
Is there any cheap (regarding transaction + exchange fees) and reliable exchange platforms where I can use my paypal account to buy bitcoins? I need about 50$ (orig currency: €) until friday so it shouldn't take to long to approve the payment method. Not something from china if possible... :)

People ask that all the time. I don't know the answer, but I do have "an" answer.

Try Localbitcoins.

https://localbitcoins.com/

I think that's probably the best way to get smaller amounts of bitcoins.

You can also check to see if there is a Bitcoin ATM near you.
Title: Re: Does anyone here use Bitcoins?
Post by: highend01 on November 10, 2015, 02:09 PM
Thanks Renegade.

Unfortunately Localbitcoins doesn't provide any options to buy bitcoins via paypal here in my area...

Anyone interested in a personal exchange? I'd pay 44$ via paypal to get back 40$ in bitcoins (10% fee).
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 03:39 PM
Thanks Renegade.

Unfortunately Localbitcoins doesn't provide any options to buy bitcoins via paypal here in my area...

Anyone interested in a personal exchange? I'd pay 44$ via paypal to get back 40$ in bitcoins (10% fee).

How soon do you need it? I'd be willing to go through the effort of buying some bitcoins, but I'm not sure how soon I could get them. I'm checking out Localbitcoins.com right now.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 03:41 PM
I'm confused about transaction fees. I've read that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Maybe that's because the client I'm using (Bitcoin Core) doesn't allow that? It has an option I've checked to "send as zero-fee transaction if possible" but when I click send the confirmation screen shows the fee added in there automatically anyway.

The fees are fairly minimal. But when I'm only sending a few cents (in USD) anyway to get a feel for how it works, it kinda sucks losing even a penny of it in fees. Feels kind of like handing a dollar bill to a friend, then having him hand it back and it only being worth 98 cents.

That's because Bitcoin is transparent, where dollars, euro, and other fiat currencies are opaque.

[...]

Anyways... the small transaction fee in bitcoin transactions is extremely tiny. The only difference is that you can see it and that nothing is hidden from you.

I understand that the transaction fee is very small and how great that is compared to our current systems (PayPal, credit cards, etc.). But my question still remains:

I've read/heard that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Are transaction fees optional or aren't they?
Title: Re: Does anyone here use Bitcoins?
Post by: highend01 on November 10, 2015, 03:42 PM
@Deozaan

I could wait 'til saturday.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 03:54 PM
@Deozaan

I could wait 'til saturday.

Looking at Localbitcoin, there's only one user in my area willing to sell bitcoins for cash, and the exchange rate isn't favorable. He's selling them for anywhere between $40-$80 over the current value (as per Blockchain.info (https://markets.blockchain.info/)).

It's one of the downsides to living out in the boonies... Adoption of the latest tech-related stuff tends to lag behind.
Title: Re: Does anyone here use Bitcoins?
Post by: highend01 on November 10, 2015, 04:03 PM
e's selling them for anywhere between $40-$80 over the current value
Crazy...

Anyone else that can sell me ~40$ in bitcoins?
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 04:38 PM
selling them for anywhere between $40-$80 over the current value
Crazy...

Anyone else that can sell me ~40$ in bitcoins?

To be fair, he probably listed them at the price they were a couple of days ago. Right now BTC is steadily dropping in value compared to the USD. It's gone down about $10 since I started looking for ways to buy BTC locally (about an hour).

I'm still trying to find other ways to get some bitcoins at a fair exchange rate.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 04:46 PM
or does one usually own multiple addresses?

Yes. A wallet contains many addresses. However, once you start getting up into the thousands of addresses, it's a good idea to create a new wallet to "clean out" your old one.

How do you do this? Just send all your bitcoins to a new wallet? Wouldn't that essentially link all those addresses to one address (the new one) all at once?
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 05:14 PM
Anyone else that can sell me ~40$ in bitcoins?

I'm still trying to find other ways to get some bitcoins at a fair exchange rate.

I just signed up for Coinbase and told them all my darkest secrets to verify my identity, only to find out that if I try to purchase some bitcoins right now, the soonest the BTC will be available to me will be next Tuesday. :(

EDIT: I added a credit card and now I can buy $25 of BTC instantly, once per week. Still not quite good enough. :(
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 10, 2015, 08:29 PM
Just signed up with CoinJar (https://www.coinjar.com/) to have a play, here's their current exchange rate based on current Bitcoin.info @ US$317.80 = 1BTC

[ You are not allowed to view attachments ]

Let's me link my bank account (AU or UK) to direct convert ... now if only I had some money in it  ;D

Their Hedge option looks particularly interesting since BTC is currently dropping.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 10, 2015, 09:46 PM
I was fascinated by the concept of the proof-of-work that miners have to do, so I started working on a little test of something of my own:

Spoiler
I wrote something similar to what I understand the Bitcoin mining requirements to be. This is not mining real bitcoins. It's just a simulation of mining Deocoins!

Started mining with a goal average time of 5 seconds (5000ms) to find each hash:

Hash 1 found: 01D2FB457E9A3CB81B582DD05FEC877B174D6C4A8C9D31C4717A3ACA351D5CC6
Time taken to find hash: 00:00:00.0037843 (avg: 3ms)
Number of hashes attempted to find this one: 39
Increasing difficulty.

Hash 2 found: 00F1713C3A00FCE197B141F47069520962FBF251F33049CE5091A486B3617E90
Time taken to find hash: 00:00:00.0019995 (avg: 2ms)
Number of hashes attempted to find this one: 67
Increasing difficulty.

Hash 3 found: 0007A6C794B9D7D9006777DC9F66EDDC8E48D688CB28B5A87C1D3F8FCC4C0661
Time taken to find hash: 00:00:00.1313240 (avg: 45ms)
Number of hashes attempted to find this one: 3935
Increasing difficulty.

Hash 4 found: 00009BFFF5E31A1915CB3CFF8BDDDBA61E744173810299FE51B0C98F46EFE2EE
Time taken to find hash: 00:00:00.7161587 (avg: 212ms)
Number of hashes attempted to find this one: 19862
Increasing difficulty.

Hash 5 found: 000009E43D1C4C1862F8A3B314C07353E8438444C288E8AB951A7D3D9F50F809
Time taken to find hash: 00:00:28.9602109 (avg: 5962ms)
Number of hashes attempted to find this one: 815994
Decreasing difficulty.

Hash 6 found: 0000ADB894B73D247FEB7DF8714362ECEFC280AD619CFBFC01CF00668009C8C6
Time taken to find hash: 00:00:01.0944133 (avg: 5150ms)
Number of hashes attempted to find this one: 31145
Decreasing difficulty.

Hash 7 found: 0002CE61B2BA3AFD0E917426DBAEA5C528F64B06BABDD662EAF9D7831DADABFC
Time taken to find hash: 00:00:00.1992439 (avg: 4443ms)
Number of hashes attempted to find this one: 5706
Increasing difficulty.

Hash 8 found: 0000BC18227D8857A7095DAD44AAE2142FAD4F3EED1E5E23F5EF93B595B7ACCB
Time taken to find hash: 00:00:02.4294819 (avg: 4191ms)
Number of hashes attempted to find this one: 68096
Increasing difficulty.

Hash 9 found: 000000450668CB46307CFAACE4CEFA5B5AEF34C4C359C49CB7EA2DD7331EDFFF
Time taken to find hash: 00:00:00.5069369 (avg: 3782ms)
Number of hashes attempted to find this one: 14226
Increasing difficulty.

It has been working on hash #10 for quite a long time now, so far with no luck.

EDIT: It finally found hash #10. The reason it took so long was because 1) it was difficult to find and 2) while I was waiting for it to find it, I did other things with my computer, and the application was set to pause if it didn't have focus. When I finally realized my mistake, I changed it so it wouldn't pause when not focused and it finally found the result a few minutes later:

Hash 10 found: 00000015BF4EC882AAF49DF77830131A0CD1BF6C65BD94ED9C8D273B398A3DF8
Time taken to find hash: 01:42:02.7429996 (avg: 615678ms)
Number of hashes attempted to find this one: 19,381,467
Decreasing difficulty

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 10, 2015, 10:31 PM
It's gone down about $10 since I started looking for ways to buy BTC locally (about an hour).

Hell its dropped almost $70 total today. If highend can wait till Saturday he might just get it for a song by then. I can't afford to move any of mine right now, I'm to far under water.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 11, 2015, 11:11 AM
I understand that the transaction fee is very small and how great that is compared to our current systems (PayPal, credit cards, etc.). But my question still remains:

I've read/heard that they're completely optional, but I can't figure out how to make a transaction without including transaction fees. Are transaction fees optional or aren't they?

Yes. Fees are optional.

However, miners may not include the transaction, and it could take a while for it to be included. By including a transaction fee, you basically guarantee that your transaction will be included in the next block.


How do you do this? Just send all your bitcoins to a new wallet? Wouldn't that essentially link all those addresses to one address (the new one) all at once?

Yes - you can just send all your BTC to a new wallet. That would be visible on the blockchain.

If you want to get rid of any linkage, it's pretty easy. You can deposit coins in an exchange, then withdraw a few days later. That isn't a guarantee, but it vastly increases the probability that you don't receive any of your "old" coins.

Also, you can deposit in an exchange, buy LTC, sell those on another exchange, and then get totally different BTC.

There are many ways to sever that connection on the blockchain.
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 12, 2015, 08:27 PM
Just an update to my CoinJar (http://www.coinjar.com) experiment:

ID verification was completed within 3 hours of uploading relevant info, this now lets me transfer up to AU$2500/day into the CoinJar account.
One bank account linked and verified within 6 hours, two remaining bank accounts linked and verified within 48 hours.

Linking a bank account isn't necessary since you can still deposit to your CoinJar account by using BPAYw, (up to 24 hours to process), or POLiw, (up to 48 hours to process).

If nothing else these guys are ridiculously efficient.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 13, 2015, 04:10 AM
Anyone interested in a personal exchange? I'd pay 44$ via paypal to get back 40$ in bitcoins (10% fee).

Still need this? I managed to get my hands on some. :)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 13, 2015, 02:00 PM
Just an update to my CoinJar (http://www.coinjar.com) experiment:

ID verification was completed within 3 hours of uploading relevant info, this now lets me transfer up to AU$2500/day into the CoinJar account.
One bank account linked and verified within 6 hours, two remaining bank accounts linked and verified within 48 hours.

Linking a bank account isn't necessary since you can still deposit to your CoinJar account by using BPAYw, (up to 24 hours to process), or POLiw, (up to 48 hours to process).

If nothing else these guys are ridiculously efficient.

Asher and the guys at Coinjar have worked ridiculously hard against incredible resistance to get things working. I've talked to him about some of those problems on a number of occasions.

What's funny is that both Asher and I have the same problems in using Coinjar due to neither of us being Australian. There are extra hurdles there. He's a good sport about it though.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 13, 2015, 03:17 PM
I've been using Coinbase (https://www.coinbase.com/join/deozaan) for my exchange. If anyone else is interested in checking them out, you can use my referral code (https://www.coinbase.com/join/deozaan) and we both get ~$10 worth of bitcoins if you ever purchase $100 of bitcoins or more (it can be over multiple transactions (https://support.coinbase.com/customer/portal/articles/683805)).

They have a nice interface and make it simple to know important information such as: How many bitcoins are in your account, how much those bitcoins are worth in your local currency, and the current exchange rate between BTC and your local currency. They even have mobile apps which allow you to access your information and buy/sell/send/receive bitcoins on the go. I like Coinbase. :Thmbsup:


For a non-referral link, click here (http://coinbase.com/).
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 13, 2015, 03:20 PM
If you want to get rid of any linkage, it's pretty easy. You can deposit coins in an exchange, then withdraw a few days later. That isn't a guarantee, but it vastly increases the probability that you don't receive any of your "old" coins.

Can you go into a little more detail about this? Perhaps specifically with how this would work with Coinbase? I was under the assumption that any bitcoins I deposited into Coinbase went into a wallet that belonged to me. So sending them all to Coinbase and then withdrawing them a few days later would just link everything to one address, and then everything from that address would come out into my new wallet, still linked.

Or do you mean sell them all off for fiat currency and then re-buy them all a few days later? Or something else entirely?
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 13, 2015, 03:26 PM
Just an update to my CoinJar (http://www.coinjar.com) experiment:

ID verification was completed within 3 hours of uploading relevant info, this now lets me transfer up to AU$2500/day into the CoinJar account.
One bank account linked and verified within 6 hours, two remaining bank accounts linked and verified within 48 hours.

Linking a bank account isn't necessary since you can still deposit to your CoinJar account by using BPAYw, (up to 24 hours to process), or POLiw, (up to 48 hours to process).

If nothing else these guys are ridiculously efficient.

Asher and the guys at Coinjar have worked ridiculously hard against incredible resistance to get things working. I've talked to him about some of those problems on a number of occasions.

What's funny is that both Asher and I have the same problems in using Coinjar due to neither of us being Australian. There are extra hurdles there. He's a good sport about it though.

Can you use CoinJar if you're not from AU?  Looks interesting...
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 13, 2015, 03:27 PM
It's gone down about $10 since I started looking for ways to buy BTC locally (about an hour).

Hell its dropped almost $70 total today. If highend can wait till Saturday he might just get it for a song by then. I can't afford to move any of mine right now, I'm to far under water.

This is my hesitation in getting in...  I just want some for purchases, not for investment.  But it's *still* scary!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 13, 2015, 05:32 PM
If you want to get rid of any linkage, it's pretty easy. You can deposit coins in an exchange, then withdraw a few days later. That isn't a guarantee, but it vastly increases the probability that you don't receive any of your "old" coins.

Can you go into a little more detail about this? Perhaps specifically with how this would work with Coinbase? I was under the assumption that any bitcoins I deposited into Coinbase went into a wallet that belonged to me. So sending them all to Coinbase and then withdrawing them a few days later would just link everything to one address, and then everything from that address would come out into my new wallet, still linked.

Or do you mean sell them all off for fiat currency and then re-buy them all a few days later? Or something else entirely?

Let's do an example.

Say I buy something from you -- a pair of nuclear powered anti-fart underwear -- but the cops are coming down on people for that. You want to "clean" your bitcoins, so you:


Rinse and repeat as you like across different exchanges. The more you do, the "cleaner" it gets.

In more linear terms:

Deposit > Buy crypto > Crypto wallet > Deposit > Sell crypto for crypto (BTC or other) > Clean wallet

Or:

BTC > LTC > DOGE > XYZshitcoin > BTC

All done in different places.

You can sell for different cryptocurrencies at different exchanges. If you're using Bter, BTCChina and others, the trail will get very cold very quickly. Tracing anything would require the full cooperation of all the exchanges, which isn't likely to happen.

You can even transfer between different accounts on 1 exchange, making it all the more difficult.

You never touch fiat currency at all. Fiat has stronger AML and KYC regulation on it, which makes it harder to do with your own money what you want to do.

And you can always buy/sell through Localbitcoins, which will only make things harder if anyone wants to track anything.

That's just 1 way.

There are "mixers" that will mix coins for a fee. The end result is that it's impossible to tell where the coins came from.

For Coinbase, just pull them out and do the above, then send coins back.

However, what I've described above takes some effort, and really isn't necessary unless you're doing some really, very seriously shady stuff. Or anything seriously illegal, like contract killing.

You can completely screw up any kind of "tracking" by doing 1 simple step from above and depositing into a new wallet. If anyone is tracking you, like an ad company, or marketing company, you've just screwed them by creating an entirely new wallet that isn't linked to you. They could try to do pattern matching, but honestly... that's grasping at straws and they're unlikely to ever be able to do that, ever.

(I am missing some highly technical points above, but I've been conservative. For more information you can look into how wallets treat "change". Also look into "dust". It's probably not worth your time.)

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 13, 2015, 06:12 PM
Can you use CoinJar if you're not from AU?  Looks interesting...

Renegade seemed to imply that it was only available within AU, or a lot of extra work if not. But, FWIW, Coinbase seems to offer pretty much the same service as CoinJar, except not the Credit/ATM card.

This is my hesitation in getting in...  I just want some for purchases, not for investment.  But it's *still* scary!

I'm not a financial expert, but looking at a chart of the conversion rate for the past few months (https://markets.blockchain.info/), Bitcoin seems to be in a slight bubble at the moment.

If I wanted to get some Bitcoin available for making purchases, but was afraid of the fluctuating value, I'd transfer some money to my Coinbase USD wallet and leave it there until I was ready to make a BTC payment. Then I could transfer the USD to my BTC wallet (for free, using Coinbase) when I was ready to make the payment in BTC, so the value of the BTC wouldn't have much time to fluctuate between converting USD->BTC and sending the BTC for payment.

But the thing you'd need to do is already have the USD set aside in an exchange such as Coinbase so that you can buy the BTC instantly instead of having to wait a week for bank transfers to go through.

Just my 2 satoshis. :P


P.S. If you do decide to use Coinbase, we'd both possibly benefit from you using my referral link (https://www.coinbase.com/join/deozaan) I mentioned earlier. But I don't want people to think I'm just trying push for a referral, so I won't mention it again any time soon.

You can completely screw up any kind of "tracking" by doing 1 simple step from above and depositing into a new wallet. If anyone is tracking you, like an ad company, or marketing company, you've just screwed them by creating an entirely new wallet that isn't linked to you. They could try to do pattern matching, but honestly... that's grasping at straws and they're unlikely to ever be able to do that, ever.

(I am missing some highly technical points above, but I've been conservative. For more information you can look into how wallets treat "change". Also look into "dust". It's probably not worth your time.)

Thanks for the more detailed response. Of course I'm not looking to get into anything illegal or even shady. Nevertheless I was curious about the idea of "cleaning" the wallet occasionally. :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 14, 2015, 06:40 PM
What's funny is that both Asher and I have the same problems in using Coinjar due to neither of us being Australian.

Can you use CoinJar if you're not from AU?  Looks interesting...

Reading through it, it doesn't seem to matter whether you're Australian or not, just that if you are then ID verification will be quick, (a lot of ID verification in Australia can be done online and/or a quick trip to a local PO), and you have the ability to link Australian bank accounts.

If you're a UK resident then you can deposit via an EEA based credit/debit card (with attendant fee) but apparently no bank account.

If you don't have an Australian bank account then the only way you could get your funds out would be to transfer everything in your CoinJar BTC wallet to another BTC exchange that would give you that facility.

ID verification probably isn't necessary for non-AU/UK residents because there's no way you can deposit/withdraw external funds (non-BTC) to/from your CoinJar, so in that respect it's nothing more than an online wallet.

@Ren: IIRC, you mentioned having an Australian bank account (in another thread) so I would have thought that apart from time taken to verify ID, (with a passport I assume), you would have been OK.

Was there something else I've missed reading in their FAQ/T&C?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 15, 2015, 12:05 AM
@Ren: IIRC, you mentioned having an Australian bank account (in another thread) so I would have thought that apart from time taken to verify ID, (with a passport I assume), you would have been OK.

Was there something else I've missed reading in their FAQ/T&C?

Dammit. I'd share the issue if it were only for me, but I don't want to shed any light on Asher's situation. Sorry.

It is possible, but it is significantly more difficult. I'd mentioned Asher, so I don't want to disclose anything further. Suffice it to say that there's nothing notorious or nefarious going on. It's just that we both shared some common problems that made getting verified account significantly more difficult than for most people. It's a normal, average, every day kind of thing.

Thanks for the more detailed response. Of course I'm not looking to get into anything illegal or even shady. Nevertheless I was curious about the idea of "cleaning" the wallet occasionally. :Thmbsup:

I didn't figure that were up to anything nasty or dangerous. :)

But these things are good to know for everyone.

The long and short is that if anyone wants to "clean" some money, they can. And that's a good thing. Your personal financial affairs are your business, and nobody should be able to stop you from doing with your money whatever you want to do. Financial freedom is a good thing.  :up:
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on November 15, 2015, 01:13 AM
@Ren: IIRC, you mentioned having an Australian bank account (in another thread) so I would have thought that apart from time taken to verify ID, (with a passport I assume), you would have been OK.

Was there something else I've missed reading in their FAQ/T&C?

Dammit. I'd share the issue if it were only for me, but I don't want to shed any light on Asher's situation. Sorry.

No problem  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 15, 2015, 02:30 PM
Just for interest:

http://motherboard.vice.com/read/watch-this-guy-explain-bitcoin-to-judge-judy

tl;dr - A scammer nails 2 people who both end up in Judge Judy's courtroom. Judge Judy makes a fool of herself as usual and... no spoilers. :P
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 16, 2015, 09:13 AM
A bit more about privacy:

http://satoshi.nakamotoinstitute.org/quotes/privacy/

The traditional banking model achieves a level of privacy by limiting access to information to the parties involved and the trusted third party. The necessity to announce all transactions publicly precludes this method, but privacy can still be maintained by breaking the flow of information in another place: by keeping public keys anonymous. The public can see that someone is sending an amount to someone else, but without information linking the transaction to anyone. This is similar to the level of information released by stock exchanges, where the time and size of individual trades, the "tape", is made public, but without telling who the parties were.

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 18, 2015, 03:11 PM
While I love Namecoin, there are problems there. This article tells about how a company moved from Namecoin infrastructure to Bitcoin, and why. The "why" part is pretty important.

https://www.coingecko.com/buzz/3-reasons-onename-switched-from-namecoin-to-bitcoin

The 3 Reasons Why Onename Switched from Namecoin to Bitcoin


Onename is the most well-known, blockchain-based online identity system on the market right now, and this is an idea that many Bitcoin enthusiasts believe has true promise. The identity platform, which was founded and created by Ryan Shea and Muneeb Ali, originally used the Namecoin blockchain for storing user data, but the company recently moved to the Bitcoin blockchain (by way of Blockstore). Shea and Ali were recently interviewed for an episode of Epicenter Bitcoin, and Ali stated, “We were one of the largest production systems built on top of Namecoin, and we started noticing certain limitations.”

Muneeb Ali went on to explain three specific limitations that the company found with Namecoin, which eventually led them to develop Blockstore and move over to Bitcoin.

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 18, 2015, 06:10 PM
While I love Namecoin, there are problems there. This article tells about how a company moved from Namecoin infrastructure to Bitcoin, and why. The "why" part is pretty important.

Interesting. It reminds me of something Andreas said in one of the videos you linked. Something about how even if altcoins are successful, that success will only help Bitcoin because Bitcoin can let the altcoins experiment (and fail or succeed) and then just implement the good stuff while avoiding the bad stuff.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 06, 2015, 09:46 PM
This is just fantastic!

https://medium.com/@jinglan/how-to-explain-zero-knowledge-protocols-to-your-average-child-eb49feb4a41d#.ti4tp89ko

How to Actually Explain Zero Knowledge Protocols to your Child

…because the “child” in Quisquater’s original ZKP paper is waaay smarter than I am, and I’m not sure I count as a child anymore.

Once upon a time, a girl named Pam wanted to make herself a fruit smoothie. However, she didn’t want her friend Victor to drink it, because although Pam and Victor are friends, Victor always drinks Pam’s fruit smoothies without asking and that pisses her off.

Victor also happens to be colorblind, and can’t tell the difference between green and red. He hates spinach as well, and refuses to eat it. Pam decides to capitalize on this by making a green spinach smoothie in addition to her normal red berry smoothie.

Victor walks in to the room and sees Pam standing there with two smoothies. Because of his colorblindness, he has no way to distinguish the smoothies by sight. He is also sick and his nose is plugged up so he cannot distinguish by smell. Anyway, the point is that Victor has no way of telling the two smoothies apart.

“Oh great,” says Victor, “There are two delicious smoothies that I can drink!”

“No,” says Pam, “One smoothie is a spinach smoothie and one smoothie is a berry smoothie.”

“You are lying,” Victor retorts, “They look exactly the same. You just don’t want me to drink your smoothies!”

“Ugh you are so entitled. Don’t accuse me of lying, you greedy bum. I can prove to you that I’m telling the truth *without revealing any information*,” says Pam.

She places the two smoothies in front of Victor and says, “I am going to leave the room. You can choose whether or not to switch the position of the smoothies. Either way, I will be able to tell.”

Pam leaves the room and Victor switches the position of the smoothies, then calls Pam back in to the room.

“So,” says Victor haughtily, confident that Pam will not be able to guess, “Did the position change?”

“Yes, they did!” exclaims Pam, because she is not colorblind and can distinguish by color that the smoothies have moved.

“That was just a lucky guess!” scoffs Victor, “Since there are only two smoothies, the probability that you guessed correctly is 50%. Let’s repeat this experiment again!”

Pam agrees, and leaves the room. When Victor calls her back in, Pam is able to answer correctly again.

“Bollocks!” says Victor. “The probability that you were able to guess correctly twice in a row is 25%, which is still very probable. Let’s try again!”

Victor tries a total of 10 times to befuddle Pam. Each time, she is able to answer correctly. Victor calculates that the probability of Pam guessing correctly ten times in a row is 1/1024, or less than 0.1%, which is enough for him to verify that the smoothies are indeed different and Pam is not guessing.

If Pam and Victor repeat this experiment n times, the probability that she guesses correctly each time would approach zero. So if 0.1% was not low enough for Victor, he could always have tried for 0.00000000000000001%, (which should be low enough for anyone, and if it’s not enough for you, then you probably have other issues to sort out).

Thus, Pam proved to Victor that the smoothies were different without revealing which smoothie was what. Victor was not one to take chances with accidentally eating spinach, so Pam’s smoothies were safe!

Now your child knows some crypto. This pleases you because now you can brag about how your child is better than other children, because you’re a little bit of an ass.

Such a great read! ;D  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 09, 2015, 01:40 AM
Bitcoin is back up to it's old tricks again... i.e. being UP~! :P  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 09, 2015, 06:22 AM
Bitcoin is back up to it's old tricks again... i.e. being UP~! :P  :Thmbsup:

Yes but it's been crawling up so slowly over the last week or so, that I can't decide if it's reassuring or annoying as hell.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 09, 2015, 05:31 PM
Meanwhile, some new information suggests an Australian man named Craig Wright invented Bitcoin (http://www.wired.com/2015/12/bitcoins-creator-satoshi-nakamoto-is-probably-this-unknown-australian-genius/) (along with his now-deceased friend David Kleiman) and is the pseudonymous Satoshi Nakamoto.

Not long after that information was published, Mr. Wright's home was raided by the Australian authorities:

Of course, it wouldn’t be a true Bitcoin story with out a bit of drama thrown in for good measure. That said, The Guardian is reporting that Wright’s home was raided by Australian police following Gizmodo’s published report.

More than 10 police personnel arrived at the house in the Sydney suburb of Gordon at about 1.30pm. Two police staff wearing white gloves could be seen from the street searching the cupboards and surfaces of the garage. At least three more were seen from the front door.

Guardian Australia understands the raids are not related to the claims that Wright may have been involved in the creation of bitcoin, but are related to an Australian Tax Office investigation.
-http://news.yahoo.com/bitcoin-creator-revealed-australian-genius-craig-wright-subsequently-132041966.html

Interesting news indeed.

And since this information about Mr. Wright have been published, almost all of his social media accounts have been erased or made private (http://gizmodo.com/craig-wright-the-man-who-claimed-he-invented-bitcoin-1747137188).
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 09, 2015, 07:08 PM
Apparently it's a hoax, but we'll see.

https://www.reddit.com/r/Bitcoin/comments/3w027x/dr_craig_steven_wright_alleged_satoshi_by_wired/cxslii7

In other news, the 30-day CNY/BTC volume is about $21 billion USD. $1.22 billion USD in the last day. Good times!  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 09, 2015, 10:10 PM
Apparently it's a hoax, but we'll see.

https://www.reddit.com/r/Bitcoin/comments/3w027x/dr_craig_steven_wright_alleged_satoshi_by_wired/cxslii7

Interesting. As I was reading about the news, I kind of had the feeling that he seemed very full of himself, and like maybe he was trying to con people into thinking he was Satoshi. But I'm not sure how much of that was my own intuition or the way the article(s) I read on the subject were written.


Cool to see BTC going up. :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 13, 2015, 12:39 PM
Very funny:



Andreas rocks!  :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup: :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 13, 2015, 08:41 PM
I think a few people will rather enjoy this:

http://forklog.net/longread-failcoin-and-proof-or-meaningless/

 ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 17, 2015, 10:38 AM
Looks like Microsoft is offering "Blockchain as a Service" through Azure now:

http://bravenewcoin.com/news/microsoft-now-offering-several-blockchains-as-a-service-at-azure/

Microsoft now offering several Blockchains as a Service at Azure
Posted by Luke Parker on 17 December 2015 | Comments
Tags: Adoption, Bitcoin, Dapps

Microsoft Azure is a scalable cloud services platform similar to Amazon’s AWS. It offers cloud-based storage, computing, networking, databases, and enterprise-level management, production and deployment environments, along with advanced services such as analytics.

Using it has been likened to having an IT department outsourced to Microsoft services, as it allows customers to spend more time and resources on building applications that benefit their organization, rather than managing hardware and software. Although only a few years old, Azure faces diverse competition from Amazon, Google, IBM, Oracle, Salesforce.com, VMware, and even open source offerings.

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on December 22, 2015, 12:44 PM
Some Bitcoin jokes:

https://www.reddit.com/r/Bitcoin/comments/3xtxvc/bitcoin_jokes_cmon_its_the_silly_season/



What’s the difference between an average bitcoin miner and an average plumber?

An average plumber can at least solve a block.

------------

What’s the difference between Bitcoin and NASA?

Bitcoin’s actually going to the moon.

------------

Why won’t the government embrace bitcoin?

They hate the idea of a ‘Proof Of Work’.

------------
How many miners does it take to change a lightbulb?

A million - One to do it and 999,999 to verify that he did.

------------

Knock Knock.

Who’s there?

Satoshi!

Satoshi who?

;-)

------------

What’s the difference between Mt Gox and marriage?

There’s still hope of recovering some of your coins after Gox

------------

Why won’t the Icelandic government embrace bitcoin?

They don’t trust anything they can’t freeze.

------------

What’s the difference between bitcoin and marriage?

You only lose the house, kids and *half* your wealth when your marriage turns to shit.

------------

I paid a hooker with bitcoins once and asked if I’d ever see her again.

She said sure, next week you’ll find me just a few blocks away.

------------

Why are the Chinese dumping their Bitcoins this week?

Because they were Wong about Wright.

------------

In Bitcoin news the real Satoshi Namakoto was found and arrested this week.

He was charged with indecent exposure for revealing himself to a minor in the pool.

There were concerns that photo evidence in his trial would be deemed too “cryptographic” for public release.

Satoshi’s miraculous escape from his cell moments later was witnessed by at least 200 of his peers…

but is still yet to be confirmed.

------------

What is an Irish cryptocurrency investor most worried about?

“Forking Bitcoin!”

------------

Why is Santa still struggling to get his shit together this year?

His lists are still capped at 1mb!!!





More at the link with some really good ones. Here's just one:

A boy asked his bitcoin-investing father for $10.
Father: $9.82? What do you need $10.08 for?




Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 22, 2015, 12:47 PM
A boy asked his bitcoin-investing father for $10.
Father: $9.82? What do you need $10.08 for?

:P


In other news, I'm considering giving away a few dollars worth of bitcoin for a white elephant exchange. I figure it meets the requirement of a "cheap" gift while still possibly being interesting and having the added benefit of helping spread adoption of bitcoin. I found this website (https://www.bitaddress.org/) which allows you to generate paper wallets you can print off and hand out.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 04, 2016, 12:05 PM
David Cameron seems to think that raiding people's bank accounts is a good thing.

http://www.telegraph.co.uk/finance/personalfinance/tax/10819885/David-Cameron-Taxes-will-rise-unless-we-can-raid-bank-accounts.html

David Cameron: Taxes will rise unless we can raid bank accounts

David Cameron claims he will "have to put up taxes" unless tax officials are given draconian powers to raid people's bank accounts

Maybe for Bitcoin, as it's a heck of a lot safer than a UK bank account now.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 12, 2016, 10:04 AM
The RAND Corporation is encouraging governments to attack Bitcoin.

http://www.neowin.net/news/us-sponsored-report-says-governments-should-attack-bitcoin-and-undermine-it

U.S. sponsored report says governments should attack Bitcoin and undermine it

In a world where constant on and offline surveillance by nation states seems to have become the norm, it’s perhaps little wonder that systems aiming to de-centralize services and maintain privacy have become targets.

In a new report, sponsored by the U.S. government, the influential RAND Corporation paints a bleak picture for the future of Bitcoin and other such technologies based around blockchains and encryption. According to this report, Bitcoin and blockchain technologies are actually succeeding in their primary goal of offering de-centralized, anonymized and resilient services to users around the world.

While that may sound like good news for many users, the report goes on to explain that this is in fact “agnostic to the national security interests of the United States”. Another big problem that the advancement of these technologies brings to the table is the dissemination of information regarding online encryption. Apparently, spreading knowledge of means of encryption and security among the general populace is a very bad idea.

The think tank then goes on to suggest that nation-states, particularly the U.S., should attack services like Bitcoin and other blockchain-based systems, through sophisticated technological means, to undermine their key strengths in the public perception: security, stability and privacy.

So why exactly are these systems, including Bitcoin, “agnostic” to the U.S. and other nation states’ interests? The report focuses on the fact that these technologies could be used by groups, maybe terrorists, to set up persistent communications and currencies that could be almost impossible to disrupt. And that sounds bad.

But there’s another argument which comes up again and again in the original report, and that’s simply the fact that nation-states, again particularly focusing on the U.S., would simply be unable to control or interfere in such systems if they’re developed and widespread.

It’s very doubtful that the debate around encryption and privacy will die down anytime soon, and for good reason, as this is perhaps one of the most important issues for human rights at the beginning of this 21st century.

PDF of the RAND report here: http://www.rand.org/content/dam/rand/pubs/research_reports/RR1200/RR1231/RAND_RR1231.pdf

Title: Re: Does anyone here use Bitcoins?
Post by: mwb1100 on January 15, 2016, 10:59 AM
I don't use Bitcoin, but I came across this article which has some pretty dire statements about it:

  - The resolution of the Bitcoin experiment (https://medium.com/@octskyward/the-resolution-of-the-bitcoin-experiment-dabb30201f7#.wfyjyw1t4)

I don't know enough about the workings of Bitcoin to know if the article is a good one or not, but it sure sounds like he knows what he's talking about.  I'm interested in what you guys think.
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on January 15, 2016, 11:09 AM
That looks like a very interesting article -- thanks for sharing!
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 15, 2016, 11:30 AM
I don't use Bitcoin, but I came across this article which has some pretty dire statements about it:

  - The resolution of the Bitcoin experiment (https://medium.com/@octskyward/the-resolution-of-the-bitcoin-experiment-dabb30201f7#.wfyjyw1t4)

I don't know enough about the workings of Bitcoin to know if the article is a good one or not, but it sure sounds like he knows what he's talking about.  I'm interested in what you guys think.

Article released ~21 hours ago.
Bitcoin price tanks ~20 hours ago.

Coincidence?? ...I think not.

Personally I wish the Son-of-a-Bitch would have kept his freaking teeth shut. I was about to do a selloff, but now I can't without screwing myself through the floor.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 15, 2016, 11:44 AM
I want to see what Renegade thinks.  Especially in the light of that troubling PDF he directed us to a bit ago.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 15, 2016, 12:57 PM
I want to see what Renegade thinks.  Especially in the light of that troubling PDF he directed us to a bit ago.


Me too, I'm just afraid by the time he chimes in it'll be under $200. I hate to 'Panic Sale' the coin, but I'm really really tired of the waiting game...and I have other things - being held up by it - that need to get done.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 15, 2016, 02:07 PM
I want to see what Renegade thinks.  Especially in the light of that troubling PDF he directed us to a bit ago.


Me too, I'm just afraid by the time he chimes in it'll be under $200. I hate to 'Panic Sale' the coin, but I'm really really tired of the waiting game...and I have other things - being held up by it - that need to get done.


If you read the article, some people ask some really good questions of him... that he doesn't answer.

Mike, How were you able to sell your coins if your claim “Couldn’t move your existing money” is true?

I think someone who quits an open source project to work for a company that does basically the same (centralized blockchain) should not comment on their previous “employer”. It’s the lowest thing you can do, you lost all credibility and if I were an employer I would never hire someone who just talks crap about an ex-employer.

You do realize that these messages are poisonous to Bitcoin… And that, especially coming from you, this might be a nail in the Bitcoin coffin. I mean, it’s a little petty to spread these articles to destroy the confidence in Bitcoin, just because things didn’t go the way you wanted it to go. There would’ve been better solutions… I’m just saying, we all have a problem now… I hope Bitcoin won’t respond too much to this article..
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 15, 2016, 02:11 PM
Other analyses of the article:

https://news.ycombinator.com/item?id=10905118

https://www.reddit.com/r/technology/comments/410f6b/the_resolution_of_the_bitcoin_experiment/

https://www.reddit.com/r/programming/comments/4137uo/the_resolution_of_the_bitcoin_experiment/

I have to wonder if this is TrueCrypt with a little more veracity, but we all know, in order to make a good lie, you put in a modicum of truth...
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 15, 2016, 11:06 PM
I want to see what Renegade thinks. 

Oh? The death of Bitcoin? Again?

Must be Friday.

Shitstorm will last a while, then it'll go back to normal.

Personally I wish the Son-of-a-Bitch would have kept his freaking teeth shut. I was about to do a selloff, but now I can't without screwing myself through the floor.

The SOB is not being paid by the banksters. Yep. Them. Literally.

Proof:

https://www.youtube.com/watch?v=R0iArSIU0Z8&feature=youtu.be&t=47m16s

Listen for a couple minutes. This was all deliberately orchestrated.

But do listen carefully or you might miss it. He's speaking prior to Mike's post. Deliberate.

Bitcoin is the fastest, safest, cheapest, most reliable payment system on the planet. Period. Nothing beats it.

It's neutral.

It scares people/luddites.

Sigh... it's Friday. Guess we're back to waiting until Tuesday.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 16, 2016, 02:33 AM
I should have posted this before, but here it is:

https://www.reddit.com/r/Bitcoin/comments/413pwp/mike_hearns_latest_blog_post_was_a_strategic_move/

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 16, 2016, 07:55 AM
Personally I wish the Son-of-a-Bitch would have kept his freaking teeth shut. I was about to do a selloff, but now I can't without screwing myself through the floor.

The SOB is not being paid by the banksters. Yep. Them. Literally.

ftfy - Fun and games aside.. I've been working towards something for the past 3 years that I was finally going to pull the trigger on for my birthday Tuesday. I was willing to take a small loss to get the project off the ground, but now it's simply not going to be possible for the foreseeable future - until these idiots finish their petty little pissing contest.

I'm going to stop here...before I devolve into a tirade of profanity. because I am currently at a level of anger that can only be adequately described as unhealthy.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 16, 2016, 09:48 AM
I should have posted this before, but here it is:

https://www.reddit.com/r/Bitcoin/comments/413pwp/mike_hearns_latest_blog_post_was_a_strategic_move/



THanks for that.  AFter your prior post on the recommendation to attack bitcoin in any way possible, that's what I figured this was.  But it still sucks.
Title: Re: Does anyone here use Bitcoins?
Post by: Edvard on January 18, 2016, 03:24 PM
OK, so what I get from this is that he's a goon either way, and really shouldn't be spouting off without being prepared to answer the questions arising from his claims, but he raises some himself that I'm not finding good answers for:
1- Is it true that raising the blocksize limit is bad, and more specifically, in the way that Maxwell says it is? [EDIT] Partially answered, see below.
1a - By the way, why the holy-ever-lovin is Maxwell even deving for BTC if he "proved bitcoin impossible (http://www.coindesk.com/gregory-maxwell-went-bitcoin-skeptic-core-developer/)"?
2- Are dissenting opinions really being wholesale censored by those who side with Bitcoin Core over those who disagree? Ignoring that which you don't feel like answering is one thing, attempting to answer regardless if the questioner takes it is better, actively killing the conversation with censorship is just... really bad.
3- Any clue as to who systematically DDOS'd XT nodes? If it were banks or governments, I'd think they would go after Core as well. Excuse me for reading things plainly, but it seems like a clear-cut case of killing the competition.  Please prove me wrong.

Also, this should improve the temperature of the conversation around scaling and relevant to question #1. 
https://medium.com/@ryanshea/the-scaling-announcement-bitcoin-core-should-have-made-146790f755df#.inxhnxuig
To Maxwell's (and other devs) credit, there IS a commitment to incremental capacity increases that has been in place since Dec 7, 2015:
https://bitcoin.org/en/bitcoin-core/capacity-increases
FWIW, I have read through a few of the commit logs on Bitcoin Core's Github, and for all the criticism that Mike Hearn heaps on Greg Maxwell, he doesn't seem to be JUST an engineer/coder; he actively thinks about how people and developers are going to actually use/abuse the systems as they get implemented. Such as:
https://github.com/bitcoin/bitcoin/pull/2738

Also, the discussion here is better than the actual post:
https://www.reddit.com/r/Bitcoin/comments/41ipu0/some_advice_for_everybody_at_this_point_in_time/
IMO, commenters are right in saying that the prime directive of Bitcoin is not as a drop-in replacement for the economic exchange as we know it today (though it may become a large part of it in the foreseeable future), but a system outside/alongside of it, with the primary aims being anonymity and security in financial transactions between people. I agree with Mike Hearn on one point:
When misinformed investors lose money, government attention frequently follows.
if only to say that in that context, people who use Bitcoin as an investment probably shouldn't be.  Yes, I understand the ups and downs of Bitcoin value can be played just like the stock market or other investment venture, and many people have.  Some have done well and others have lost their shirts.  So far, it seems most of the players involved understand the risks of doing such business with a new system outside of authoritative oversight, but I sincerely believe that doing such should be actively discouraged, as it only takes one idiot with less sense than the amount of money they lost for Bitcoin to come under very unwanted scrutiny.  So far it's been fortunate; most of those buying in seem to be in it for the technical and socio-economic merits (even 'investors'), not for any notion of convenience or stability. But I wonder if a "tipping point" may come before it is fully mature; where enough clueless users join up expecting it to be some magically 'better' transaction system with no notion of how the thing actually works, then complain when the value dips.

Of course, IMHO, YMMV, 2c, etc...
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on January 18, 2016, 05:01 PM
If you read the article, some people ask some really good questions of him... that he doesn't answer.
Mike, How were you able to sell your coins if your claim “Couldn’t move your existing money” is true?

Simple. Right now, because of the low blocksize limit, transactions with higher fees are accepted/added to the blockchain by miners while transactions with lower fees are delayed/ignored. You can easily move your money if you're willing to pay exorbitant fees.

Just a couple of months ago I could make transactions for a couple of cents. Now I've heard the average transaction fee is about 10 cents. While still relatively low, there is no reason for artificially increasing the fees by keeping the blocksize limit small as the miner reward of 25BTC is still pretty significant! Even when it halves to 12.5BTC (scheduled to happen in about 6 months) that's ~$4,750 every ten minutes at the current exchange rate.

I think someone who quits an open source project to work for a company that does basically the same (centralized blockchain) should not comment on their previous "employer". It’s the lowest thing you can do, you lost all credibility and if I were an employer I would never hire someone who just talks crap about an ex-employer.

This isn't a question.

You do realize that these messages are poisonous to Bitcoin… And that, especially coming from you, this might be a nail in the Bitcoin coffin. I mean, it’s a little petty to spread these articles to destroy the confidence in Bitcoin, just because things didn’t go the way you wanted it to go. There would’ve been better solutions… I’m just saying, we all have a problem now… I hope Bitcoin won’t respond too much to this article..

This also isn't a question.

That said, I read Mike's post not as being harmful to nor as a condemnation of Bitcoin, but as a condemnation of the Bitcoin Core developers who, it appears, are doing their very best to bring down Bitcoin from within. People who believe in Bitcoin still believe in Bitcoin. They just have very little to no confidence in the Bitcoin Core devs.



My opinion is that I agree with a lot of what Mike Hearn stated about the current problems with Bitcoin (Core). However, I disagree with his final conclusion that BTC is dead/failed.

People got sick of the Bitcoin Core devs strong-arming their ideas on the entirety of Bitcoin through ignoring the community at best and censoring/silencing opposing viewpoints at worst. It's the Core devs who are/were "killing" BTC, but the beauty of an open source project and a distributed blockchain is that you don't have to stick with a tyrannical leadership. Finally, a group of people organized a fork called Bitcoin Classic (https://bitcoinclassic.com/) which is rapidly gaining traction/popularity/acceptance and looks like it will be the dominant fork of BTC relatively soon.

The data show consensus amongst miners for an immediate 2 MB increase, and demand amongst users for 8 MB or more. We are writing the software that miners and users say they want. We will make sure that it solves their needs, help them deploy it, and gracefully upgrade the bitcoin network’s capacity together.

We call our code repository Bitcoin Classic. It starts as a one-feature patch to bitcoin-core that increases the blocksize limit to 2 MB.
-http://bitcoinclassic.com/

As stated, they're taking action to double the blocksize limit ASAP (within a few months) and then gradually increase it on an ongoing basis thereafter.


There's also strong community opposition to Replace By Fee (RBF) which makes it incredibly easier for people to rip other people off and basically cripples the ability for BTC to be used in commercial transactions (i.e., paying for goods in brick & mortar stores). Core is trying to ramrod this into the client despite the strong opposition to it, and has already committed some RBF code to the repository. Classic may remove this "feature" (though at this time AFAIK they will not commit to anything until they've finished the one-feature patch to increase the blocksize limit). For an explanation of what RBF is and why it's a bad idea, see the long description below:

Long explanation of RBF
To explain what RBF is, I have to explain a bit about how BTC transactions work (which I'm sure many of you already know, but just to cover all the bases...)

The gist of it is that when accepting BTC payments, to be sure someone doesn't "double-spend" the money, you should wait for at least 1 confirmation (meaning the transaction is on the most recent entry in the blockchain ledger) which takes about 5-10 minutes at best or much, much longer given the current issue with high fees and the blocksize limit being nearly reached. To be "ultra-safe" it is recommended to wait for 6 confirmations which takes about an hour (~50 minutes) longer than the first confirmation.

To backtrack slightly, a "double-spend" is when someone makes a transaction paying one person, and then almost immediately (before the first confirmation) makes another transaction paying another person (possibly even themselves). In such a scenario, only one of these transaction will come out the victor and be added to the blockchain (i.e., only one will be confirmed). Typically the first transaction, chronologically speaking, is the one that is confirmed. But there are ways to make the 2nd transaction the one that confirms. I may be wrong about this, but I think you would basically have to send the transactions to two different miners and hope the miner who got the 2nd transaction is the first one to confirm it.

Either way, this means the transaction that didn't go through is effectively void and the recipient didn't actually get paid. I've heard that this is relatively easy to do if you know what you're doing, but probably it's beyond the ability of the casual/usual BTC user. This is why it's recommended to wait for at least 1 confirmation, to assure that you get your BTC. On the other hand, imagine going to the drive-through and having to wait 10 minutes or longer after you paid to get your coffee. Nobody would do that! Thus, some businesses accept the relatively small risk of double-spends by delivering the goods without waiting for the first confirmation. This is called zero confirmation (or some variation of 0-conf). It makes more business sense to accept the risk of the occasional double-spend (losing money on the sale) because the convenience of 0-conf brings much more business in than it loses to double-spends.

Enter RBF: Replace By Fee allows a person to easily replace a 0-conf transaction with a NEW transaction, and as long as it has a higher fee than the old transaction the miner's software would be instructed to ignore the first transaction and only accept the second transaction. This sounds like and is proposed as a great idea if your transaction gets stuck in limbo forever because your initial transaction didn't include a high enough fee, but this is wrong for two reasons:

1. Transactions shouldn't be getting stuck due to low fees. There's no reason for fees to be so high. The only reason the fees are so high is because Core won't increase the blocksize limit. Increasing the limit will allow more transactions to go into the block, reducing the amount of fees required to be included. Core is artificially increasing the fees and then proposing RBF as a solution to the problem they're creating.

2. The even bigger problem is that the new RBF transaction could be to anyone, including the person making the payment. So with RBF a person could go into a shop, buy something, walk out with the goods, then make a new RBF transaction paying the money back to themselves, and basically get things for free.

In my opinion, a much better solution to the problem of transactions getting stuck in limbo forever is the following:

1. Increase the blocksize limit. As stated before, a higher blocksize limit means miners can fit more transactions into a single block, thereby reducing the artificial limitation on supply and therefore reducing the fees required to be included in a block.

2. Child Pays for Parent (CPFP).

A quick explanation of CPFP: If a transaction gets stuck due to a low fee, another transaction (made by the recipient of the "stuck" coins) which spends the "stuck" coins--and has a high enough fee to be included in the block--will pay for the stuck transaction to go through.

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on January 18, 2016, 05:46 PM
1- Is it true that raising the blocksize limit is bad, and more specifically, in the way that Maxwell says it is? [EDIT] Partially answered, see below.

It's true you don't want to increase the limit by too much. Too large of a blocksize can result in DDOS of the blockchain (which is why the 1MB limit was added in the first place). It can also mean that miners with low internet speeds will have a hard time propagating the blockchain. It might take so long to download the latest transactions/blockchain that by the time a miner gets it and is ready to start mining a new block, there's already been another block added to the blockchain which needs to be downloaded and verified before work can begin on a new block. This way the miner is always trying to catch up to the latest version and never gets a chance to actually mine anything. Or another possibility is if a miner has solved a block and then has to upload a large amount of data on a slow connection, this could result in someone else solving the block independently before the miner's block propagates over the network.

That said, there's no reason why raising the blocksize limit at all is bad. This is why Bitcoin Classic is immediately increasing the limit to a conservative 2MB, and gradually increasing it thereafter.

2- Are dissenting opinions really being wholesale censored by those who side with Bitcoin Core over those who disagree? Ignoring that which you don't feel like answering is one thing, attempting to answer regardless if the questioner takes it is better, actively killing the conversation with censorship is just... really bad.

These links might answer your question:


Also, this should improve the temperature of the conversation around scaling and relevant to question #1. 
https://medium.com/@ryanshea/the-scaling-announcement-bitcoin-core-should-have-made-146790f755df#.inxhnxuig
To Maxwell's (and other devs) credit, there IS a commitment to incremental capacity increases that has been in place since Dec 7, 2015:
https://bitcoin.org/en/bitcoin-core/capacity-increases

Their plan for "scaling Bitcoin" is to implement a feature called Segregated Witness (SegWit). But SegWit isn't all it's advertised to be. It's really just an accounting trick, or perhaps better described as a subsidy. It uses up just as much data as before (more, actually!) they just don't count it the same way under certain circumstances. Here's an explanation from someone who understands it far greater than I do:

>    The size of of a Seg-Wit transaction is counted as 25% hence resulting in just under 4x the 1MB hard limit. Non witness data is counted the same as usual at 100% of it's size.

No, the size of the witness portion of a SegWit transaction is counted 25%. A SegWit transaction can be split into two parts: the transaction data (i.e. where the coins come from, how many coins, where they go to), and the witness data (the signatures and scripts you use to prove that you're allowed to spend the coins). It's only the second half of the transaction, the witness data, that gets the 75% discount. This means that transactions that have a lot of signatures (e.g. large multisig) benefit much more than typical transactions.

>    Deploy segregated witness soft-fork April 2016 (tentative) resulting in a maximum blocksize just under 4MB if only segregated witness is used for transactions.... Reaching 4MB is unlikely as blocks are a mixture of both seg-wit and non seg-wit transactions.

Segregated witness is nearly 4 MB if only 15-of-15 multisig segwit transactions are used. If only segregated witness p2pkh transactions are used, the limit is 1.6 MB. if 100% 2-of-2 multisig with SW, then 2 MB. If a mix of SW transactions that resembles the current mix in terms of the amount of multisig is used, then 1.75 MB. If the current mix is used but only 50% are SW, then 1.375 MB.
-https://www.reddit.com/r/btc/comments/3zuhnu/summary_of_major_blocksize_proposals/cypcobn

Additionally, it's looking like SegWit is really complicated and changes things so much (https://twitter.com/jgarzik/status/688796294194704385) that "many reasonable people are skeptical that this roll-out can be accomplished in 9-12 months (https://twitter.com/jgarzik/status/688796718461128706)" yet the demand/need for a larger blocksize limit is here right now.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 20, 2016, 03:31 PM
If you read the article, some people ask some really good questions of him... that he doesn't answer.
Mike, How were you able to sell your coins if your claim “Couldn’t move your existing money” is true?

Simple. Right now, because of the low blocksize limit, transactions with higher fees are accepted/added to the blockchain by miners while transactions with lower fees are delayed/ignored. You can easily move your money if you're willing to pay exorbitant fees.

Just a couple of months ago I could make transactions for a couple of cents. Now I've heard the average transaction fee is about 10 cents. While still relatively low, there is no reason for artificially increasing the fees by keeping the blocksize limit small as the miner reward of 25BTC is still pretty significant! Even when it halves to 12.5BTC (scheduled to happen in about 6 months) that's ~$4,750 every ten minutes at the current exchange rate.

I think someone who quits an open source project to work for a company that does basically the same (centralized blockchain) should not comment on their previous "employer". It’s the lowest thing you can do, you lost all credibility and if I were an employer I would never hire someone who just talks crap about an ex-employer.

This isn't a question.

You do realize that these messages are poisonous to Bitcoin… And that, especially coming from you, this might be a nail in the Bitcoin coffin. I mean, it’s a little petty to spread these articles to destroy the confidence in Bitcoin, just because things didn’t go the way you wanted it to go. There would’ve been better solutions… I’m just saying, we all have a problem now… I hope Bitcoin won’t respond too much to this article..

This also isn't a question.



We see that pedantry hasn't helped the situation.  However, his answers to those non questions but definitely queries could go a lot towards his reasons behind posting the article at this point, and engagement with the community that he dropped this load on would be a good measure towards showing that the reasons for such are not self-serving nor self-aggrandizing.  If you're going to drop an article like this and not engage, it becomes an open letter, and you shouldn't even open up the comments section, IMO.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on January 20, 2016, 04:40 PM
We see that pedantry hasn't helped the situation.  However, his answers to those non questions but definitely queries could go a lot towards his reasons behind posting the article at this point, and engagement with the community that he dropped this load on would be a good measure towards showing that the reasons for such are not self-serving nor self-aggrandizing.  If you're going to drop an article like this and not engage, it becomes an open letter, and you shouldn't even open up the comments section, IMO.

I'm not sure if you were calling me pedantic or not, but it wasn't my intent to be so. I don't see those non-questions as even queries. I see the first one as an accusation/conspiracy theory and the second one as someone who doesn't seem to have much belief of their own in Bitcoin expressing their opinion about Mike's opinion.

My opinion on both "queries" is:


Either way, Mike Hearn didn't necessarily respond in the comments section (which I'm not sure you can disable on Medium) but he did write a follow up (https://medium.com/@octskyward/a-small-followup-aa399a83acbb#.7oncywoh1) article that addresses the accusations/conspiracy theories:

I sold the last batch of my coins in December, a few days after the second “Scaling Bitcoin” conference. Since that time I haven’t had any positions in any cryptocurrencies, long or short, and no way to make profit or loss off anything that is happening to Bitcoin.

Some people suggested that there is some sort of banker conspiracy, because after I privately concluded Bitcoin wasn’t working I took a job with a startup that’s looking at how to apply distributed ledger technology in the existing financial system (R3 CEV). This isn’t a secret: there were stories in the press about it in November. It was also mentioned in the New York Times article. I didn’t mention this in my post because R3 is not a Bitcoin company, or even a cryptocurrency company, and there is no “BankCoin” or “R3Coin”. So this is really nothing to do with them and conspiracy theories are just a waste of time when there are more serious issues to consider.
-https://medium.com/@octskyward/a-small-followup-aa399a83acbb#.7oncywoh1
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 20, 2016, 05:45 PM
Thanks for the response.  And that's why I didn't respond for so long... didn't really know how exactly to respond, but it was more an engagement, especially after leaving a piece like this in the community- which it seems he did, to remove the cloud over the disparities.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 20, 2016, 09:25 PM
Mission to moon resumed. People realising MH's rage-quit for what it is. And that he's in bed with the banks. And that his response to that is silly given the evidence.

tl;dr - Mission to moon resumed.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on January 22, 2016, 06:19 PM
I discovered Copay (https://copay.io/) (a Bitcoin wallet) last night.

After trying Bitcoin (Core) Wallet, Electrum, and some other wallets I don't remember their names of, I really like Copay for the following reasons:


I really like it. The UI is clean and simple, but still allows me to easily figure out how to do the stuff I want to do. All the other wallets I've tried were either obtuse/confusing or lacking in security (i.e. other parties had access to my private key(s)).
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 22, 2016, 07:30 PM
Looks interesting... thanks!
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 24, 2016, 12:36 AM
http://europe.newsweek.com/bitcoin-too-big-fail-418481?rm=eu

BITCOIN: TOO BIG TO FAIL

More at the link.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on January 24, 2016, 10:02 AM
Can't get to link.  At least, not without disabling ad blockers.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on January 24, 2016, 11:01 AM
It seems foolish to me, (a little odd too), that Hearn proclaimed the demise of bitcoin in his article.
In ways, it allows people to respond by simply saying -- but look, it's not dead -- without directly addressing his complaints.


Can't get to link.  At least, not without disabling ad blockers.
I got through (w. uBlock origin) but it wants email address after looking at a couple of pages
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 24, 2016, 03:47 PM
I think all it would take to kill bitcoin was two major exchanges getting hacked and looted in quick succession to start a run on the 'bank.' With no fallback or account holder insurance, it'd be gone.

No doubt something similar would take its place down the road. But bitcoin - as Bitcoin - is far from an unsinkable ship.

I think it is mainly managed to survive because it's been found useful to the very people who have the capability to take it down. Not because of anything specifically magical or charmed about Bitcoin itself. Which makes me wonder...

Ah forget it! I'm starting to sound as conspiracy theory loving as Ren. :-))


---------------------

P.S. Hey Ren! How's it going? Move completed ok?
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on January 24, 2016, 05:34 PM
Can't get to link.  At least, not without disabling ad blockers.
I got through (w. uBlock origin) but it wants email address after looking at a couple of pages

Read it without a problem here, no request for email address.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 24, 2016, 08:11 PM
Can't get to link.  At least, not without disabling ad blockers.

Odd.

Anyways, here it is:

The death of bitcoin has been proclaimed once again. Prominent developer Mike Hearn’s recent comments that the bitcoin experiment was over mark the 89th time the digital currency has been pronounced dead since it first launched in 2009, at least according to one website dedicated to tracking bitcoin obituaries. While it’s sad to see a talented programmer like Hearn turn his back on bitcoin, there are still thousands of people working on making the world’s first digital currency a success.

The bitcoin network has been running without interruption for seven years now; a feat no banking system can claim. Bitcoin and its underlying blockchain technology—an online ledger that records every bitcoin transaction—represent a fundamental innovation that can dramatically speed up transaction times. The first step is replacing our need for financial middlemen. Next, we can restructure notaries, land registries, stock markets and much more.

People have criticized bitcoin for its price fluctuations but there are applications now that lock the value of bitcoin to dollars, euros or gold; people have insinuated it could be used by drugs or arms dealers operating on the dark web even though the U.K. government said bitcoin was the least likely funding tool for criminality; people have worried that regulation might discourage innovation. Meanwhile bitcoin continues to grow.

Subscribe now - Free phone/tablet charger worth over $60
Hearn’s criticisms that the bitcoin network isn’t set up to support the ever-increasing number of transactions performed on it is more a reflection of the currency’s success. It’s true that if bitcoin keeps growing as quickly as it has in the past few months parts of the network will need to be upgraded. This is a good problem to have.

What began as a small experiment is now a rapidly expanding ecosystem. There are so many people using it now that we have to plan for more capacity. It was never a secret that the software powering bitcoin would have to get upgraded occasionally—just like the software on your iPhone. Let’s look at the data. According to Bloomberg, bitcoin was the best performing currency in 2015. Why? More than 5 million new users started transacting in bitcoin last year alone. More importantly, the total transaction volume has more than doubled over the past 12 months.

bitcoin too big to fail blockchain
A graph displaying the increase in Bitcoin transactions since the beginning of 2009.
BLOCKCHAIN.INFO
The Bitcoin blockchain will catalyze innovation over the coming years. As citizens of the internet we demand transparency and ease of use. In 2016 people expect to be able to send money over the internet as quickly and cheaply as sending an email. The fact that it still takes several days to send an international money transfer is a throwback to yesteryear. Bitcoin solves that problem.

This currency is not a “failed experiment,” as Hearn suggested. Our firm, Blockchain (a bitcoin wallet provider), had its best month yet in December. All successful projects face problems as they grow, thankfully there are a multitude of brilliant minds working to solve them. In five years, hundreds of millions of users will be sending money on the internet as easily as they send chats, and the only obituaries being written will be those of the traditional banks.

Nicolas Cary is the co-founder of Blockchain, the world's leading bitcoin software company with over 5.5 million wallets.

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 24, 2016, 08:16 PM
Ah forget it! I'm starting to sound as conspiracy theory loving as Ren. :-))


Just wait until you're kidnapped by aliens and see just how much you like the old Buttvader 2000! (http://southparkstudios.mtvnimages.com/images/shows/south-park/clip-thumbnails/season-1/0101/south-park-s01e01c11-80-foot-satellite-16x9.jpg?) :)


P.S. Hey Ren! How's it going? Move completed ok?

Done over 6 months ago now. :) But, probably moving again in August... However, this time it will only be a few days drive away, so we won't have to throw everything in the garbage like the last time.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on January 25, 2016, 06:56 AM
BITCOIN: TOO BIG TO FAIL

I bet they used to say that about the Knights Templar ... Until the first Friday the 13th rolled around.
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on January 25, 2016, 03:14 PM
BITCOIN: TOO BIG TO FAIL

I bet they used to say that about the Knights Templar ... Until the first Friday the 13th rolled around.

Wow! Way to go SJ! :Thmbsup:  Interesting observation when you think about the not inconsiderable similarities between the services offered by the two. Or their relative status in the eyes of the respective Powers That Be...

Just goes to illustrate why it may be a good thing to be considered useful by kings - but never so useful that kings start to feel beholden to you after a while. They're somewhat notorious for requesting "new game" by the simple expedient of flipping the table over...and then shooting their unarmed opponent.

Bitcoin holders better hope that doesn't turn out to be prescient on your part.  :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on January 26, 2016, 12:11 AM
BITCOIN: TOO BIG TO FAIL

I bet they used to say that about the Knights Templar ... Until the first Friday the 13th rolled around.

Wow! Way to go SJ! :Thmbsup:  Interesting observation when you think about the not inconsiderable similarities between the services offered by the two. Or their relative status in the eyes of the respective Powers That Be...

Just goes to illustrate why it may be a good thing to be considered useful by kings - but never so useful that kings start to feel beholden to you after a while. They're somewhat notorious for requesting "new game" by the simple expedient of flipping the table over...and then shooting their unarmed opponent.

Bitcoin holders better hope that doesn't turn out to be prescient on your part.  :tellme:


You guys are talking about an absolute totalitarian system. So... yeah... I completely advocate... I'll cut it there. Read my mind. Let your imaginations go to very, very dark places. Those places are very well lit.

When you want to restrict my ability to buy milk for my family, you deserve <insert depraved horror here />.

Bitcoin is a way around that kind of economic totalitarianism.

Just wait. It will come. All of our freedoms are being systematically raped and destroyed. All of them.

Bitcoin represents the ability to freely transact with other people without any permission needed.

Look at Europe.

How much can you spend in France in cash? 3,000 euro? Nope. It's only 1,000 euro now. WTF?!? You can't buy a good oven for that. You can't buy a good computer for that.

The war on cash is on. The war on your freedom to buy things without being tracked is on.

This isn't rocket appliances (https://www.youtube.com/watch?v=wAIe9QtRKlc)! :P




































I want to scream.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on February 11, 2016, 11:45 AM
Valve is enabling Bitcoin transactions in steam.

http://bitcoinist.net/valve-is-bringing-bitcoin-to-over-125-million-gamers-worldwide/

Via Ghacks. (https://www.patreon.com/ghacks?ty=c)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on February 11, 2016, 12:19 PM
I finally came up with a use for Bitcoin on Tuesday. I bought a 1981 Harley-Davidson (Shovelhead) FLT:

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Damn Straight, I took a beating on the selloff...but I got what I wanted. So now it's (finally) restoration project time!

I'm going to call her Alice.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on February 11, 2016, 01:11 PM
I just switched web hosts a few days ago and they allowed me to pay my bill in BTC. :)
Title: Re: Does anyone here use Bitcoins?
Post by: mwb1100 on February 11, 2016, 07:24 PM
I finally came up with a use for Bitcoin on Tuesday. I bought a 1981 Harley-Davidson (Shovelhead) FLT:

That's the best Bitcoin story I've heard so far.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on April 07, 2016, 02:05 AM
Someone has issued a challenge worth 1 BTC: Simply crack/bruteforce his 6-character wallet password to claim the bitcoin within.

Details here: No one cracked 0.5BTC PaperWallet with easy password in a year. (https://www.reddit.com/r/btc/comments/4dkw1q/no_one_cracked_05btc_paperwallet_with_easy/)

One year ago i tried a little experiment with BIP38 paper wallets. [...]

I am quite surprised that "6 character" wallet is still loaded with bitcoin. Looks like encrypted paper wallets give you quite high level of security even with very modest passwords. Lets not forget that hacker has to first get his hands on physical BIP38 wallet before he can even start cracking...

I decided to keep this experiment going for another year. I've also added extra 0.5BTC - so happy cracking!


Details:

pub: 1J5cjne6YVkgRTMTjqnaJVk1CWEEr3CcdX
b38: 6PfRB98F9vZLhSpqY5URas5vYUU3qYQrpkJFTLuCg1FvDni6LwT3qAirkp
pwd: 6 characters (only upper and lower case US alphabet letters)

Here is a small hint for you: If you divide the number of UPPERCASE letters by the number of lowercase letters you get an integer.
-https://www.reddit.com/r/btc/comments/4dkw1q/no_one_cracked_05btc_paperwallet_with_easy/

According to my calculations, this means the password has either 3, 4, or 5 uppercase letters (I'm ruling out the possibility of 0 uppercase letters since it says it has upper AND lower case letters). I'm a bit rusty in the discrete mathematics department, but I think that means there are (52*52*52*52*52*52) - (52*52*52*52) possible combinations. Which totals 19,763,298,048 combinations.

I'm running a brute-force script in a linux VM which takes ~7 seconds to try 25 passwords. Unless I really messed up my math somewhere, it will take over 175 years for me to try them all at this rate. :D
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on June 11, 2016, 01:24 PM
I've been running a vanity Bitcoin address generator for over two months and it finally found one!

Ladies and gentlemen, I present to you my new vanity Bitcoin address:

1DeozaanYaZY4kFr3jHo4jDWamYJ79S1QS (https://blockchain.info/address/1DeozaanYaZY4kFr3jHo4jDWamYJ79S1QS)
Title: Re: Does anyone here use Bitcoins?
Post by: f0dder on June 11, 2016, 02:30 PM
Congratulations, DeoGeek! :P
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on June 13, 2016, 06:21 PM
Persistence is rewarded!  ;D :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on June 13, 2016, 07:27 PM
But is it full?
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 05, 2017, 11:43 PM
Anyone happy with the new ATH?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on March 06, 2017, 06:35 AM
Anyone happy with the new ATH?

Um... ATH?? What is this ATH of which you speak? ...I'm waiting to see how the SEC/ETF thing plays out. Is it anything to do with (/like) that?
Title: Re: Does anyone here use Bitcoins?
Post by: Ath on March 06, 2017, 10:37 AM
Anyone happy with the new ATH?

Um... ATH?? What is this ATH of which you speak? ...I'm waiting to see how the SEC/ETF thing plays out. Is it anything to do with (/like) that?
It's not me, at least I'm not aware of me being internationally known outside of DoCo :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on March 06, 2017, 10:41 AM
Anyone happy with the new ATH?

Surely not "Prof. Bitcorn"! :D

(http://i.imgur.com/MfRGEqy.jpg)
Title: Re: Does anyone here use Bitcoins?
Post by: 40hz on March 07, 2017, 06:19 PM
@Ren - you'll appreciate this. Yours truly used Bitcoin for the first time just recently. Interesting.  8)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on March 12, 2017, 01:15 AM
@Ren - you'll appreciate this. Yours truly used Bitcoin for the first time just recently. Interesting.  8)

Congrats! You popped your cryptocurrency cherry!  ;D

Once you get used to it, it's far better.

And currency is just one use for it. More will come. It's the Internet of money now.
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on March 13, 2017, 05:45 AM
It's the Internet of money now.
Woohoo! Me and my hard-earned bitnickel (.05 bitcoin) are ridin' high! It took how long for two hard working slow machines with old video cards to generate that much from one of the shared pools...

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Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on June 19, 2017, 04:18 PM
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Move Over, Bitcoin. Ether Is the Digital Currency of the Moment (https://www.nytimes.com/2017/06/19/business/dealbook/ethereum-bitcoin-digital-currency.html?_r=0)

I have just presented what is out there. Don't complain to me if you think this is wrong or misleading.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on June 19, 2017, 04:51 PM
Move Over, Bitcoin. Ether Is the Digital Currency of the Moment (https://www.nytimes.com/2017/06/19/busness/dealbook/ethereum-bitcoin-digital-currency.html?_r=0)

hadn't heard of that -- I found a couple of comparisons, (still dont quite understand the difference/s):
http://www.investopedia.com/articles/investing/031416/bitcoin-vs-ethereum-driven-different-purposes.asp
and
https://en.wikipedia.org/wiki/Ethereum

they seem to be having their problems too...
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on June 29, 2017, 02:25 AM
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A big British bank may be about to bring Bitcoin into play (https://www.usatoday.com/videos/money/2017/06/27/-big-british-bank-may-bring-bitcoin-into-play/103222246/)

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 11, 2017, 01:55 PM
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TREZOR - The Bitcoin Safe (https://www.amazon.com/TREZOR-The-Bitcoin-Safe-Grey/dp/B00R6MRI50)

Black & White Combo Trezor Hardware wallet vault safe for digital virtual currency Bitcoin Litecoin (https://www.amazon.com/Trezor-Hardware-digital-currency-Litecoin/dp/B01LVVA07X/ref=pd_lpo_vtph_147_tr_t_3/132-4846058-8526242?_encoding=UTF8&psc=1&refRID=EZ6TTRCHXJVH881JXYZM)

Is anyone here interested in these?

Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on July 13, 2017, 05:01 AM
On the subject, fresh from EEVblog:



Pavol Rusnak, SatoshiLabs CTO, also posted on the forum to clarify some points:
EEVblog Electronics Community Forum - EEVblog #1006 - Trezor Bitcoin Hardware Wallet Teardown (https://www.eevblog.com/forum/blog/eevblog-1006-trezor-bitcoin-hardware-wallet-teardown/msg1255268/#msg1255268)

Another leading HW wallet manufacturers is the french Ledger (https://www.ledgerwallet.com/).

A HW wallet is surely highly recommended for anyone with a non trivial sum in cryptos, IMHO.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on July 14, 2017, 03:48 PM
Over the years and as a frugal and lapsed accountant who deliberately gave away his considerable steadily and honestly-accumulated capital some years ago, then started to rebuild it only to succumb to a legalised scam and have a mistakenly-trusted business partner covertly syphon it away (impoverishing me and my young family), there are several scams that I have successfully avoided and/or advised friends colleagues to avoid. These include pyramid schemes, get-rich-quick schemes and junk bonds and one of them would have to be Bitcoins.
Before any Bitcoin advocates rush to throw up their hands in horror at such (to them) heresy/blasphemy committed against their pet religio-political ideology or Thing-That-Might/Does-Make-Them-Speculatively-Rich, I would point to the conceit that Bitcoin is a currency or potentially a replacement currency.
There are two points of clarification that may need to be made to this:

First off, I am absolutely in favour of an open/free and competitive market and the idea of inventing a stable and feasible market-driven "currency" independent of and as an alternative to the official currency manipulated/maintained/controlled by The Man, or inventing even (say) a fiduciary instrument - e.g., carbon credits, sub-prime mortgages - but which is independent of and alternative to the fiduciary instruments manipulated/maintained/controlled by The Man and that is thus not subject to the self-serving whims/control of The Man or associated or other scams. Of course, carbon credits and sub-prime mortgages could not meet that latter criterion.

Here, "The Man" is a loose term for "The Establishment" or the prevailing Establishment's sanctioned/authorised entrenched financial manipulators - i.e., large speculators, government treasuries, or officially-approved regulators, banks and finance houses - which latter group are especially privileged/protected and said to be "too big to fail" and which thus tend to be bailed out at egregiously excessive cost to the taxpayer and with seemingly regular monotony whenever they are on the cusp of failure and usually before they do actually fail. (In an open/free and competitive market, bank failure would be theoretically natural/tenable and could be a natural outcome of a lack of proper prudential management.)

Sadly, events have demonstrated pretty conclusively that, though Bitcoin seems to fall outside of the domain of the Establishment's sanctioned entrenched financial manipulators, it nevertheless is highly unstable and wide open for use in speculation or fraudulent manipulation/scams - as this recent example seems to illustrate:
(Copied below sans embedded hyperlinks/images.)
AlphaBay taken down by law enforcement across 3 countries, WSJ says (https://arstechnica.com/?p=1132709)
tags: Law & Disorder, alexandre cazes, alphabay, Silk Road
Cyrus Farivar

(Image)

AlphaBay, one of the largest Tor-hidden drug websites that sprang up in the wake of Silk Road, has been shuttered for good after a series of law enforcement raids and arrests.

The site mysteriously went dark earlier this month. Some users on Reddit suspected an "exit scam," in which AlphaBay's founders had shuttered the site and absconded with piles of bitcoins.

According to The Wall Street Journal, which reported the news on Thursday, police in the United States, Canada, and Thailand collaborated to arrest Alexandre Cazes, who allegedly was the head of the online operation. The Canadian citizen was arrested on July 5 in Thailand, the same day that two raids on residences in Quebec, Canada, were executed. On Wednesday, Cazes was found dead, hanged in his Thai jail cell.

The Bangkok Post, citing Thai police sources, reported that Cazes had been living in Thailand for about eight years. Thai authorities also impounded "four Lamborghini cars and three houses worth about 400 million baht ($11.7 million) in total."

Cazes' name does not appear in a search of federal court records, but if any charges do exist, they may still be sealed.

Ross Ulbricht, the young Texan who was convicted of creating and operating Silk Road, was given a double life sentence—which was upheld earlier this year on appeal. Ulbricht was also known as "Dread Pirate Roberts."

The Department of Justice did not immediately respond to Ars' request for comment.

Presumably, Bitcoin has been found by some in the criminal fraternity as an attractive covert/illegal medium of exchange in crimes/scams and which can be relatively easily laundered into "legitimate money". (The same could seem to to be true, to some extent, of carbon credits and sub-prime mortgages.)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 15, 2017, 11:04 AM
Cazes was found dead, hanged in his Thai jail cell.

How convenient for the Thai government.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on July 16, 2017, 05:49 AM
@Arizona Hot:
Cazes was found dead, hanged in his Thai jail cell.
How convenient for the Thai government.
_________________________________
Some people (not me, you understand) might say - as you do - that Cazes' unfortunate death in prison was convenient for the Thai government, but I couldn't possibly comment.

Having worked in Thailand on a World Bank project for the Royal Thai Government Department of Lands, I was privileged to meet and work with many Thai government employees (civil servants). One thing that struck me was that many of the ones I worked with were from wealthier middle-class type families and had degrees from Thai and often American universities, spoke two languages (Thai and English) and had useful technical specialisms in one area or another. The Thai Government didn't pay high salaries, and those people could have been paid a great deal more if they had worked in more commercial (as opposed to government) roles, but they chose not to do so, and this was apparently their way of giving back to and supporting the country - and they didn't need the extra money, anyway. They generally seemed to be hard-working, sharp-witted and thorough individuals, with a strong dose of national loyalty, ethics and integrity and - in the project that I was engaged upon - they were absolutely intent on improving certain business processes (involved in the sale and transfer/purchase of land) by making them more efficient and especially more transparent, the latter so as to preclude further corruption (which they knew went on). This was why it was a World Bank project - the stability and transparency of the business processes for the sale and purchase of land and the proper custodianship of cadastral records/data (i.e., showing the extent, value, and ownership of land, especially for taxation) together form a crucial foundation for the stability of any national economy.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 24, 2017, 07:20 PM
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Singapore Startup Counts on Visa to Take Bitcoin Into Real World (http://www.msn.com/en-us/news/other/singapore-startup-counts-on-visa-to-take-bitcoin-into-real-world/ar-AAoHwUa)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 21, 2017, 11:57 PM
Major drama coming over the next little while. Expect ups and downs.

For any long time DCers looking for an inside scoop, email me. If you don't know my email, then figure it out. Option only open to long time DCers here.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on August 23, 2017, 12:03 PM
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Bitcoin cash is crashing (http://www.businessinsider.com/bitcoin-cash-price-crashing-2017-8)
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on August 28, 2017, 07:56 PM
Wow... For some reason this thread hasn't shown up on my unread posts since it went silent for 9 months starting last year. I didn't know anyone else was still talking about Bitcoin here.

I don't have anything to add to the conversation at the moment. I'm just posting in the hopes that it will make future posts to this thread show up on my Unread Threads list.
Title: Re: Does anyone here use Bitcoins? - Crashes explained?
Post by: IainB on September 17, 2017, 08:09 PM
Bitcoin cash is crashing (http://www.businessinsider.com/bitcoin-cash-price-crashing-2017-8)
________________________________
There's a rather interesting potential explanation as to why that might be happening - it could be part of a deliberate, concerted attack by The Establishment.
I couldn't see why the crashing was occurring, except that it was probably a knee-jerk response to the steady stream of anti-Bitcoin news re China and other parts and that has been published in the MSM over the last several months.
The question to pose is: Under what conditions would a crash make sense (be expected to occur)?
See the HackerNoon.com article: The Empire Strikes Back with a Coordinated War on Crypto (https://hackernoon.com/the-empire-strikes-back-with-a-coordinated-war-on-crypto-bdd84fd2f854)

There seem to be some credible and possible reasons given in that article. Deliberate manipulation of the market by/through the power/money brokers.
Title: Re: Does anyone here use Bitcoins? - An introduction to bitcoin.
Post by: IainB on September 17, 2017, 09:03 PM
Also, another interesting/relevant HackerNoon.com article: (I've corrected the title)
An introduction to bitcoin: what it is, why it exists, where to buy it (https://hackernoon.com/an-introduction-to-bitcoin-what-it-is-why-it-exists-where-to-buy-it-6f2b17b548ad)
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on September 18, 2017, 07:42 AM
Bitcoin cash is crashing (http://www.businessinsider.com/bitcoin-cash-price-crashing-2017-8)

I hadn't even known it had split...
Bitcoin cashw
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 19, 2017, 03:24 PM
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Bitcoin price bounces back almost $1,000 as market moves on from recent drama (https://www.usatoday.com/story/money/2017/09/18/bitcoin-price-bounces-back-almost-1-000-market-moves-recent-drama/676261001/)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 22, 2017, 12:30 PM
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Can you live only on bitcoin? Some believers try it. (https://www.usatoday.com/story/tech/news/2017/09/21/bitcoin-buyers-libertarian-bent-drive-prices-records/594971001/)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on September 24, 2017, 02:13 AM
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No, bitcoin isn't going to replace gold as a safe haven investment (https://www.usatoday.com/story/money/markets/2017/09/23/no-bitcoin-isnt-going-to-replace-gold/105839990/)

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 13, 2017, 02:16 AM
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Bitcoin hits a new record high above $5,200 (https://www.usatoday.com/story/money/markets/2017/10/12/bitcoin-hits-new-record-high-above-5-200/757001001/)

Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 15, 2017, 07:27 PM
I'm involved in a project that's now publicly open. (Check bounties below.)

Chimaera is a blockchain gaming platform. If you remember Huntercoin (it's still running), Chimaera can put countless games with near limitless players on the blockchain. We've solved the scalability issues, so the sky's the limit.

The main web site is here:

https://chimaera.io/

The token sale is here:

https://chimaera.io/token/

It's open to large investors until October 23rd when it's then open to the general public. Discounts are offered for the first investors with lower discounts offered as the CHI tokens are bought up.

Technical details and other information is in the white paper here:

https://chimaera.io/downloads/Chimaera_White_Paper.pdf

The official Bitcoin Talk announcement is here:

https://bitcointalk.org/index.php?topic=1784048.0



However, that's not really why I came here.

We have a MASSIVE bounty campaign, and you can make quite a few CHI coins in it. 3.5% of the total supply is available for it.

Check out the bounty details here:

https://bitcointalk.org/index.php?topic=2274123.0

There are lots, and there's something for everyone in there. Some of the best bounties may end up being for the creative section (Articles). You can make videos or blog posts or whatever.

So, if anyone wants to earn some crypto, head on over!  8)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on October 28, 2017, 03:38 AM
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Bitcoin's creator may be worth $6 billion — but people still don't know who it is (https://www.usatoday.com/story/money/markets/2017/10/27/bitcoins-creator-may-worth-6-billion-but-people-still-dont-know-who/806993001/)

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 06, 2017, 12:17 AM
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The costly mistake bitcoin investors are probably making (https://www.usatoday.com/story/money/markets/2017/11/05/the-costly-mistake-bitcoin-investors-are-probably-making/107257984/)

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 06, 2017, 02:46 AM
The costly mistake bitcoin investors are probably making (https://www.usatoday.com/story/money/markets/2017/11/05/the-costly-mistake-bitcoin-investors-are-probably-making/107257984/)

Here's the tl;dr version: "Bitcoin's price is surging yet again, so I have to write something about it so that our site gets clicks when people search for 'Bitcoin' on Google. (BTW I have no idea what I'm talking about, lol.)"
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on November 06, 2017, 02:49 AM
The real question is.. some of you crazy people who were ranting about it, and telling us how bitcoin was going to take off during the early days of it.. are any of you rich enough to retire and bankroll the rest of us yet?
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 06, 2017, 02:59 AM
I'm involved in a project that's now publicly open. (Check bounties below.)

Chimaera is a blockchain gaming platform. If you remember Huntercoin (it's still running), Chimaera can put countless games with near limitless players on the blockchain. We've solved the scalability issues, so the sky's the limit.

I haven't had a chance to read the whitepaper yet, and have been generally distracted since basically the day after I first learned of Chimaera. But I perused the website and the bounties. The website seemed sparse on the details (but maybe the details are in the whitepaper). And it seems I'm not a good candidate for the bounties since I'm not really active (as anything more than a lurker) in any of the regular cryptocurrency forums, etc.

Would you mind briefly explaining how you solved the scalability issues? And what you mean by that? Or if it's in the whitepaper just say so and I'll try to get the time to finally read through it. But the reason I ask is because scalability seems to be a major issue in most of the major cryptos, especially Bitcoin. There are lots of interesting ideas out there on how to resolve or work around the issues, but as far as I know things like sidechains (Lightning, Raiden, Plasma, etc.,) are all still currently being researched and/or developed but nothing is actually released and running on the network(s) yet. If you're talking about scalability in a similar sense as for other blockchains, then solving the scalability issues could be really big news for cryptocurrency in general. :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 07, 2017, 02:20 AM
The real question is.. some of you crazy people who were ranting about it, and telling us how bitcoin was going to take off during the early days of it.. are any of you rich enough to retire and bankroll the rest of us yet?

Stoic Joker? Did you sell off your entire stash for that motorcycle, or did you keep some of your BTC you spent so much time and effort (and USD) mining?

And also I'm curious if 40hz's opinion of BTC has changed at all over the years since this thread began.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 07, 2017, 12:10 PM
The real question is.. some of you crazy people who were ranting about it, and telling us how bitcoin was going to take off during the early days of it.. are any of you rich enough to retire and bankroll the rest of us yet?

Stoic Joker? Did you sell off your entire stash for that motorcycle, or did you keep some of your BTC you spent so much time and effort (and USD) mining?

And also I'm curious if 40hz's opinion of BTC has changed at all over the years since this thread began.

<Answering from the very deep dark hole that Deozaan just dug for me> Yes, at the time I sold off all of my holding to buy Alice. So... -(based on that)- to date she has "cost" me about $40,000.


:D Fuck...


Note: It was worth it..  ;)
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 07, 2017, 12:24 PM
Note: It was worth it..  ;)

 ;D :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 07, 2017, 02:46 PM
Note: It was worth it..  ;)

 ;D :Thmbsup:

I wish I had that problem :)  :Thmbsup:
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 07, 2017, 03:19 PM
Note: It was worth it..  ;)

 ;D :Thmbsup:

I wish I had that problem :)  :Thmbsup:

I must have phrased it badly then... You see, it's not that I have invested $40,000 in the Alice project. The actual project cost is just a bit over $8,000 right now. It's that by selling off my holdings (early...) to cover a large-ish portion of her initial ($3,000) cost ... I've to date lost ~$40,000 based on the current value of BTC that I had sold...for just over $200 each (back then..).

So in hind sight from a strictly fiscal stand point, it's a pretty horrific loss over a ~2 year period ... But investments - as always - are a long game affair.

But the point of getting into BTC/crypto coin in general was equal parts Renegade's infectious enthusiasm, and my own interest in leveraging it as a means to an end. That end of course being Project Alice... So as anyone who has read the Alice Chronicles can surmise...the end result - and the fun had in the process - was ultimately (to me) worth it.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 07, 2017, 03:35 PM
...Come to think of it - my numbers are off a bit - it's actually a somewhere north of $60,000 I'm down because of the "early" selloff.

So... I'm going to stop thinking about this now....because my cavalier is broken. :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on November 08, 2017, 01:00 PM
Psychologists have theorised that there seems to be in the human psyche an irrational fear of unrealised loss.
The reality is that one only realises a profit or a loss when something is actually sold.

In any speculative venture, managing to sell a tradeable asset at the highest market value/price point is likely to be largely a matter of chance. If one sells it at a profit, then, however one might attempt (and fail) to predict it, the market's perceived value of the asset could subsequently (of course) go down as well as up, post-sale.

However, if the asset was sold at an acceptable profit at the time, then, from an accounting perspective, it was a profitable investment, by definition. Barring fraud or market-rigging, the fact that the asset might have risen appreciably in market value after having been sold is kinda academic, and to consider its rise in value as, for example (say) a missed opportunity, or as a loss/cost, because the higher resale price was never realised, is a speculator's (gambler's) irrational nightmare.
It's an "If only I had a done such-and-such" event - a sort of needless self-recrimination, post fact.

One would arguably need to hoard and avoid selling any tradeable asset - once acquired - if one wanted to be sure of getting the highest possible potential future sale price, and thus one would never actually sell, and the objective would be forever unachievable, and the price would continue to fluctuate up or down, regardless. The unsold/hoarded tradeable asset would simply form part of one's estate on death.

A useful rule-of-thumb is probably:
Buy when everyone else is selling and hold until everyone else is buying. That's not just a catchy slogan. It's the very essence of successful investing.
 - J. PAUL GETTY.
____________________________________________

I recall reading another another quote from Getty to the effect that:
"To avoid taxes, in life have all capital but no income; in death have all income but no capital."
____________________________________________
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 01:14 PM
 :huh:  :-\ ...Iain, if you're trying to cheer me up - skip the investment advice - and just send beer. :D
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 08, 2017, 02:19 PM
just send beer. :D
I'll drink one for you ;-)
(https://www.donationcoder.com/forum/esmileys/gen3/3Smileys/drinksmiley.gif)

mine is a pils actually - been a long day, snooker on the tele - sláinte!
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 08, 2017, 02:55 PM
My question is, does anyone here still use Bitcoin?

Which fee should I use?

The fastest and cheapest transaction fee is currently 300 satoshis/byte, shown in green at the top.
For the median transaction size of 226 bytes, this results in a fee of 67,800 satoshis.
-https://bitcoinfees.earn.com

That's about $5 to send a transaction at current prices. And if you have a bunch of small amounts in different addresses, which is the recommended way to do it for privacy, transactions can easily be over 1,000 bytes (or over $20 in fees to send a transaction). And if you try to pay a lower fee, you could be waiting days before your transaction finally goes through, if it ever does.

I was really enthusiastic about it back in 2015 when I first really looked into Bitcoin for the first time, but now the fees are just way too high. Some of the major selling points (fast, virtually free) no longer seem to apply. :(

I still try to follow the news, and I still have some BTC, but I hate to use it because it's just so expensive these days. :(
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on November 08, 2017, 03:09 PM
Due to encouragement of the bitcoin evangelists here on DC I did eventually provide a bitcoin address for people who wanted to donate to DC via bitcoin, back in 2015.

There have been a total of 12 payments received in that 2 year period.

Total received from those 12 payments was 287mBTC which apparently is worth about $2,000 USD currently  :huh:
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 08, 2017, 03:16 PM
Total received from those 12 payments was 287mBTC which apparently is worth about $2,000 USD currently  :huh:

wow, maybe it's time to cash in?
then again...
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 08, 2017, 03:45 PM
That's about $5 to send a transaction at current prices. And if you have a bunch of small amounts in different addresses, which is the recommended way to do it for privacy, transactions can easily be over 1,000 bytes (or over $20 in fees to send a transaction). And if you try to pay a lower fee, you could be waiting days before your transaction finally goes through, if it ever does.

it's ironic that it's so user-un-friendly, considering the opposite was the intention.
Was that covered here in this thread -- how that changed (I think it was, but I'm being a lazy beggar here - I mostly work on memory first, then search, but tonight I'm leaving out the search part...)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 03:45 PM
My question is, does anyone here still use Bitcoin?

I'm still mining it. I used the (mined post Alice) coin we had to upgrade the pair of S2's to a single S9 (way cheaper to run) back in May. The S9 has managed to produce about 0.62 since then running out of the AntPool.

Anybody have a better/best/favorite pool suggestion??
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 03:47 PM
Total received from those 12 payments was 287mBTC which apparently is worth about $2,000 USD currently  :huh:

wow, maybe it's time to cash in?
then again...



At least hold until after the SegWitx2 split on the 16th, then at least you get "free" coin - of questionable value - off the new fork.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 03:54 PM
I still try to follow the news, and I still have some BTC, but I hate to use it because it's just so expensive these days.

IIUC the cost in satoshis per transaction hasn't changed. It's just that with the rise in the coins value the # of satoshis the transaction cost are worth more. So technically we've always paid the same...it's just more noticeable now.

And it costs nothing to sit on ... In the hopes it will "hatch".
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 08, 2017, 04:43 PM
At least hold until after the SegWitx2 split on the 16th, then at least you get "free" coin - of questionable value - off the new fork.

Segwit2X has been canceled (https://lists.linuxfoundation.org/pipermail/bitcoin-segwit2x/2017-November/000685.html).

IIUC the cost in satoshis per transaction hasn't changed. It's just that with the rise in the coins value the # of satoshis the transaction cost are worth more. So technically we've always paid the same...it's just more noticeable now.

That's not (entirely) correct. You could always customize the amount of satoshis per byte you paid with your transaction, and there used to be a time when you could set the fee to 0 and still get your transaction included within a few blocks because there was extra space for it. But now that blocks are full, you have to pay more satoshis per byte to get your transaction included or else risk having your transaction stuck in limbo for days.

That said, it is true that the increasing value of each BTC is making the fees more noticable in USD amounts. Even if you only paid 1 satoshi per byte on a regular ~220 byte transaction, that's still about 1.5 cents at today's current price.

Back when I first got into Bitcoin toward the end of 2015, I sent a test transaction to Renegade (https://blockchain.info/tx/191e91f7b4ed64e11c801285b5ff13dca32f43208b132ec5f2ce478d8128bebd) after he sent me what was then just a few dollars worth of BTC (now worth almost $200! Wish I had kept it...). I paid 5 sat/byte for that transaction, which at the time was less than 1 cent. But now the recommended fee is 300 sat/byte (https://bitcoinfees.earn.com/) to get your transaction included quickly.

To further illustrate the point: Just for fun back in 2015 I gave a friend $1 worth of BTC for Christmas (the low value was an inside joke) to try to get him interested in cryptocurrency. It failed to pique his interest. With the value of BTC going up so much this year (by my calculations that $1 gift is now worth about $22.50), he has finally taken an interest in crypto, and asked me how to access the funds I gave him. But it would cost ~$5 in transaction fees for him to do anything with it so I've told him not to bother.

That's about $5 to send a transaction at current prices. And if you have a bunch of small amounts in different addresses, which is the recommended way to do it for privacy, transactions can easily be over 1,000 bytes (or over $20 in fees to send a transaction). And if you try to pay a lower fee, you could be waiting days before your transaction finally goes through, if it ever does.

it's ironic that it's so user-un-friendly, considering the opposite was the intention.
Was that covered here in this thread -- how that changed

Yes.

https://www.donationcoder.com/forum/index.php?topic=32392.msg394988#msg394988

In a nutshell: The Bitcoin "Core" developers refuse to increase the blocksize limit from 1MB to anything larger even though people and developers and businesses have been clamoring for an increase for years. So the blocks are at full capacity. Which means if you want your transaction included in the blockchain, you need to compete with others for the limited space in each block. The only way to incentivize a miner to include your transaction over others is by paying higher fees than others. But everyone else is also trying to pay higher fees than everyone else so they can get their transaction included, so the fees just go higher and higher. Meanwhile more and more transactions are being added to the backlog. So if you intentionally try to get away with paying a low fee, you could be waiting days for your transaction to clear (the backlog tends to catch up over the weekend). And even if you pay what your software deems a decent fee, but for some reason fees skyrocket due to sudden increased demand (making miners consider your fee to be a comparatively "low" fee), then you could be waiting days for your transaction to clear anyway.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 08, 2017, 05:14 PM
My question is, does anyone here still use Bitcoin?

I'm still mining it. I used the (mined post Alice) coin we had to upgrade the pair of S2's to a single S9 (way cheaper to run) back in May. The S9 has managed to produce about 0.62 since then running out of the AntPool.

0.62 BTC is a pretty good haul at current prices. :Thmbsup:

I never got into mining BTC because I heard it was a fast race to the bottom in terms of profitability. But I suppose that didn't take into account the price doubling every few months. . . Oh well. I didn't have the initial capital to afford an ASIC miner in the first place. :D

I did mine LTC for about two weeks on just about every machine I owned (again, toward the end of 2015), just to get an idea of what mining was like. I did it for so long so that I could earn the minimum payout from whatever pool I has signed up for. Once I got the payout I decided I was burning way more in electricity than I was earning in LTC, so I used ShapeShift to convert it to BTC. I ended up spending more in fees (and the unfavorable ShapeShift exchange rate) converting and transferring the LTC to my BTC wallet than I earned. So it was a net loss. But it was worth it for the experience. :D
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 05:30 PM
PMIIUC the cost in satoshis per transaction hasn't changed. It's just that with the rise in the coins value the # of satoshis the transaction cost are worth more. So technically we've always paid the same...it's just more noticeable now.That's not (entirely) correct. You could always customize the amount of satoshis per byte you paid with your transaction, and there used to be a time when you could set the fee to 0 and still get your transaction included within a few blocks because there was extra space for it. But now that blocks are full, you have to pay more satoshis per byte to get your transaction included or else risk having your transaction stuck in limbo for days.That said, it is true that the increasing value of each BTC is making the fees more noticable in USD amounts. Even if you only paid 1 satoshi per byte on a regular ~220 byte transaction, that's still about 1.5 cents at today's current price.Back when I first got into Bitcoin toward the end of 2015, I sent a test transaction to Renegade after he sent me what was then just a few dollars worth of BTC (now worth almost $200! Wish I had kept it...). I paid 5 sat/byte for that transaction, which at the time was less than 1 cent. But now the recommended fee is 300 sat/byte to get your transaction included quickly.
-Stoic Joker on Today at 04:54


Well that makes sense ... Now that you mention it. I do recall it being stated that certain pools were starting to pay out (to the miners) for the transaction fees. Because as the coin per block drops (which it has drastically) the transaction fees are the only incentive the miners get/have to continue mining. Which is important due to the fact that if they stop mining there is no more network for the coin to travel across. The hashing power that keeps the network strong/resilient/decentralized comes from the miners.

0.62 BTC is a pretty good haul at current prices.

Kinda, but it seems a bit low (to me) for the 6 months the (11.5TH) S9 has been running.

I'm toying with switching pools...I'm just not sure which one to jump to.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 08, 2017, 05:44 PM
But now the recommended fee is 300 sat/byte (https://bitcoinfees.earn.com/) to get your transaction included quickly.

Since I wrote this, I just went back to that tab to close it and the recommended fee has increased to 310 sat/byte. :(

1 satoshi/byte is about 1.7 cents per 226 byte transaction at current prices, or about 7.7 cents per kilobyte. Imagine if your ISP charged you 7.7 cents for every kB you transferred. That's ~$78.64/MB, or ~$80,530.64/GB, or ~$82,463,372.08 per TB. :tellme:
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 08, 2017, 05:52 PM
But now the recommended fee is 300 sat/byte (https://bitcoinfees.earn.com/) to get your transaction included quickly.

Since I wrote this, I just went back to that tab to close it and the recommended fee has increased to 310 sat/byte. :(

1 satoshi/byte is about 1.7 cents per 226 byte transaction at current prices, or about 7.7 cents per kilobyte. Imagine if your ISP charged you 7.7 cents for every kB you transferred. That's ~$78.64/MB, or ~$80,530.64/GB, or ~$82,463,372.08 per TB. :tellme:

Hm... Yeah, I gotta switch pools to get in on that action me thinks..
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 10, 2017, 04:49 AM
Yes.

http://www.donationc....msg394988#msg394988

In a nutshell: The Bitcoin "Core" developers refuse to increase the blocksize limit from 1MB to anything larger even though people and developers and businesses have been clamoring for an increase for years. So the blocks are at full capacity. Which means if you want your transaction included in the blockchain, you need to compete with others for the limited space in each block. The only way to incentivize a miner to include your transaction over others is by paying higher fees than others. But everyone else is also trying to pay higher fees than everyone else so they can get their transaction included, so the fees just go higher and higher. Meanwhile more and more transactions are being added to the backlog. So if you intentionally try to get away with paying a low fee, you could be waiting days for your transaction to clear (the backlog tends to catch up over the weekend). And even if you pay what your software deems a decent fee, but for some reason fees skyrocket due to sudden increased demand (making miners consider your fee to be a comparatively "low" fee), then you could be waiting days for your transaction to clear anyway.

I remember now, thanks... so, that never got resolved.
Odd that it's still going up in price -- IIUC it's now totally useless for it's original intentions, currency etc.

is now worth about $22.50), he has finally taken an interest in crypto, and asked me how to access the funds I gave him. But it would cost ~$5 in transaction fees for him to do anything with it so I've told him not to bother.

one question - does that fee go up exponentially -- if someone wants to transfer more bitcoin, will it cost proportionally more?
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 10, 2017, 06:54 AM
one question - does that fee go up exponentially -- if someone wants to transfer more bitcoin, will it cost proportionally more?

Not exactly. It depends more on how many coin fragments are involved in the transaction. Much like the difference in paying for a $10 with a 10 dollar bill vs. paying for the same $10 item with a huge pile of unrolled change. The pile of change - representing the various fragments of BTC making the total - will take much more work (e.g. larger transaction size) and will therefore "cost" more to get done.

...It once took me almost 4 weeks to get a pile of mining dust transferred to an exchange, because of all the tiny ("sub") transactions/confirmations involved in getting it there.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 10, 2017, 02:49 PM
Well... BTC is certainly taking a Red Candle ride through the freaking floor now..
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 10, 2017, 11:21 PM
@MOUSER

The real question is.. some of you crazy people who were ranting about it, and telling us how bitcoin was going to take off during the early days of it.. are any of you rich enough to retire and bankroll the rest of us yet?



Well, I can't bankroll the rest of you, but I can certainly bankroll myself.

I'm not super wealthy, but, I have options open to me and some freedom to choose what I work on.


@DEOZAAN

Would you mind briefly explaining how you solved the scalability issues? And what you mean by that? Or if it's in the whitepaper just say so and I'll try to get the time to finally read through it.


The very short answer is "Game Channels". It's a form of trustless off-chain scaling. You can read the academic paper in the journal Leger (a crypto journal) here:

https://www.ledgerjournal.org/ojs/index.php/ledger/article/view/15/64

It's also in the endnotes in the White Paper. The White Paper explains it briefly.

You can think of it like this... You have the Chimaera blockchain, and then every single game running on the Chimaera platform has its own blockchain where size doesn't matter. (Get your mind out of the gutter!)

That's a bit crude, but should give you an idea.

But the reason I ask is because scalability seems to be a major issue in most of the major cryptos, especially Bitcoin. There are lots of interesting ideas out there on how to resolve or work around the issues, but as far as I know things like sidechains (Lightning, Raiden, Plasma, etc.,) are all still currently being researched and/or developed but nothing is actually released and running on the network(s) yet. If you're talking about scalability in a similar sense as for other blockchains, then solving the scalability issues could be really big news for cryptocurrency in general. :Thmbsup:

What can I say? We're ahead of the curve! :D


@MOUSER

Due to encouragement of the bitcoin evangelists here on DC I did eventually provide a bitcoin address for people who wanted to donate to DC via bitcoin, back in 2015.

There have been a total of 12 payments received in that 2 year period.

Total received from those 12 payments was 287mBTC which apparently is worth about $2,000 USD currently  :huh:


That's great! Keep it! HODL! :D

You perked my interest, so I went back through my wallet to have a peek:

https://blockchain.info/tx/ea5e436a21d7641ebfcf6f37d7239f24f6dc41fa9786548e7e90f02934c1b170

https://blockchain.info/tx/fcab047a540f8c91edc6c5b7fd165c70ced266045239115e1a531b2cbf1fc3a6

Checking again... Geez... That's more than I've donated in fiat to you. I'm pretty sure I've donated to DC a few times with fiat.

HODL~!


@TOMOS - @DEOZAAN

That's about $5 to send a transaction at current prices. And if you have a bunch of small amounts in different addresses, which is the recommended way to do it for privacy, transactions can easily be over 1,000 bytes (or over $20 in fees to send a transaction). And if you try to pay a lower fee, you could be waiting days before your transaction finally goes through, if it ever does.

it's ironic that it's so user-un-friendly, considering the opposite was the intention.
Was that covered here in this thread -- how that changed (I think it was, but I'm being a lazy beggar here - I mostly work on memory first, then search, but tonight I'm leaving out the search part...)


A few screwey things there...

@DEOZAAN

That's about $5 to send a transaction at current prices. And if you have a bunch of small amounts in different addresses, which is the recommended way to do it for privacy, transactions can easily be over 1,000 bytes (or over $20 in fees to send a transaction). And if you try to pay a lower fee, you could be waiting days before your transaction finally goes through, if it ever does.


You can choose your transaction fee rate. You're not forced to spend anything. The only issue is that the transaction may take longer.

I regularly send BTC to people and set a lower fee because I don't care if they get it in 12 seconds or 12 hours. It's all close enough.


@TOMOS

it's ironic that it's so user-un-friendly, considering the opposite was the intention.

That's soooooo far from the truth.

Have you ever had to send money to people in another country?

It's not easy.

I recently had to send funds to a company to pay for a service.

I did it in 2 parts:

1) BTC
2) Fiat

BTC was easy. I sent it. Done.

Cost me about $1.80 CAD. I could've spent less on that fee.

Fiat? F**king nightmare.

I had to drive almost an hour to another town to get to the bank to wire $$$.

The teller there didn't know how to do it. After 10 minutes.

I waited another 15 minutes.

Then it took 30 minutes to send.

The transaction fee cost me $40 CAD. That's over 22x what I spent sending BTC.

It cost me gas. Probably around $30 or $40 CAD there. Call it $35.

So, about 3 hours of my time, plus around $75 in costs (not including paying for parking), and that's the fiat world.

Sorry. No. BTC is far better. Crypto is better. By leaps and bounds.

Summary:

BTC COSTS:
2 minutes & $1.80 CAD

FIAT COSTS:
180 minutes & $75.00 CAD

Now... for a $2 coffee at a shop... The Lightning Networks are coming. That's next year.

But, even forgetting that, it's still easier to send BTC to a friend than to send fiat.

I don't send my friends BTC. I send fiat. Because it's less valuable. I HODL. :)


@TOMOS

Was that covered here in this thread -- how that changed (I think it was, but I'm being a lazy beggar here - I mostly work on memory first, then search, but tonight I'm leaving out the search part...)


We all do it. :D


@DEOZAAN

Back when I first got into Bitcoin toward the end of 2015, I sent a test transaction to Renegade (https://blockchain.info/tx/191e91f7b4ed64e11c801285b5ff13dca32f43208b132ec5f2ce478d8128bebd) after he sent me what was then just a few dollars worth of BTC (now worth almost $200! Wish I had kept it...). I paid 5 sat/byte for that transaction, which at the time was less than 1 cent. But now the recommended fee is 300 sat/byte (https://bitcoinfees.earn.com/) to get your transaction included quickly.


Heh! I remember that!

I sent at the time about $10 USD, and Deozaan sent back about $0.40.

Now, for many of my transactions I'm spending in the area of 50k satoshis to 2k satoshis. It depends on how quickly I want it to arrive.


@DEOZAAN

To further illustrate the point: Just for fun back in 2015 I gave a friend $1 worth of BTC for Christmas (the low value was an inside joke) to try to get him interested in cryptocurrency. It failed to pique his interest. With the value of BTC going up so much this year (by my calculations that $1 gift is now worth about $22.50), he has finally taken an interest in crypto, and asked me how to access the funds I gave him. But it would cost ~$5 in transaction fees for him to do anything with it so I've told him not to bother.

You can spend MUCH less. It's not hard.

The expensive fees are all fiat fees.


@DEOZAAN

In a nutshell: The Bitcoin "Core" developers refuse to increase the blocksize limit from 1MB to anything larger even though people and developers and businesses have been clamoring for an increase for years. So the blocks are at full capacity. Which means if you want your transaction included in the blockchain, you need to compete with others for the limited space in each block. The only way to incentivize a miner to include your transaction over others is by paying higher fees than others. But everyone else is also trying to pay higher fees than everyone else so they can get their transaction included, so the fees just go higher and higher. Meanwhile more and more transactions are being added to the backlog. So if you intentionally try to get away with paying a low fee, you could be waiting days for your transaction to clear (the backlog tends to catch up over the weekend). And even if you pay what your software deems a decent fee, but for some reason fees skyrocket due to sudden increased demand (making miners consider your fee to be a comparatively "low" fee), then you could be waiting days for your transaction to clear anyway.


The Core devs rock.

Also, in Chimaera, our Lead Blockchain Developer is a Bitcoin Core contributor.

But, for the block size, that's a bit misleading.

The idea is to off-load transactions into Lightning Networks. That will solve scaling issue massively.

Those will take off next year.

This is just the beginning. There's a long way to go.

Right now Bitcoin is NOTHING in the financial world. It's a blip. A curiosity.

If you're not in already, do your due diligence and think about whether BTC has a place in your portfolio.












Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 11, 2017, 11:35 AM
The Core devs rock.

I'm really surprised you support the Core devs (especially Blockstream) after all the censorship they're implicitly advocating and participating in. I would have expected you to be all over the conspiracies that they're being paid off by "the big, evil" banks to cripple or destroy Bitcoin from within. :huh:



While the rest of this is all in response to things you said, it's not necessarily all a direct response to you. :)

But, for the block size, that's a bit misleading.

The idea is to off-load transactions into Lightning Networks. That will solve scaling issue massively.

Those will take off next year.

My understanding is that the Lightning Network has been "18 months away" for over two, maybe three, years. And that they're still saying it's 18 months away. I know this is groundbreaking technology that is still being researched and developed, so delays should be expected. I'm just saying I don't think we'll see it next year. But it would be cool if I was wrong about that.

Lightning does sound like a cool scaling solution. But when I learned more about it and thought about what life would be like with Lightning, in real-life, practical, every-day use, I came to the conclusion that it naturally leads to something that is very much like the current traditional banking system. They advertise Lightning as a way to "open channels" with anybody you want so you can send funds back and forth to each other off-chain, to avoid the high fees associated with doing transactions on-chain. Sounds cool, until you realize that (1) there would not be any high fees to perform on-chain transactions if the blocksize limit was increased, so in that regard Lightning is a solution to an artificially created problem. That's not to say that it won't be a valid way to assist in scaling in the future, but at the very least there is an artificial demand being created for off-chain scaling (with technology that doesn't exist yet, such as Lightning) when currently on-chain scaling is very simple to accomplish and very doable with current technology that exists right now. But ignoring all that, (2) in order to create a Lightning channel you need to lock your funds up in the channel before you can use them. In other words, it's kind of like a pre-paid gift card. You have to preload it, and then you can pay any amount up to how much you preloaded it with, over many smaller transactions. Of course, that's not a great analogy because those people can also pay you, so you can send funds back and forth to each other. But I don't know about you, but the people I pay generally don't pay me. And the people who pay me generally don't get paid by me. In other words, for the vast majority of entities I interact with financially, the payments are largely unidirectional. So I'd need to open separate channels with each of these people in order to send/receive funds to/from them, which is a lot like the gift-card analogy after all. And don't forget that each time you open (or close) a channel it costs an expensive BTC transaction fee. It's a mess.

So the next obvious solution is for the "hub and spoke" system, where there are a few big Lightning Hubs that people create channels with, and those hubs have channels opened with each other, and instead of sending your funds straight to Alice, you send them to your hub, which sends them to Alice's hub, which sends them to Alice. And everybody (for the most part) uses one or two of the few/several big hubs and no one interacts directly with each other anymore because on-chain fees have gotten prohibitively expensive.

Starting to sound familiar? Isn't that just like our current banking system? I don't actually pay Walmart or Home Depot. I deposit my money into my bank (create a channel with a hub) and then when I want to buy something from someone, I tell my bank (my hub) to pay their bank (their hub). Only lightning is worse than the current banking system because the limited blocksize limit means it will be expensive to deposit your money into your "bank," and it will be expensive to withdraw your money from your "bank," should you ever need or want to use Bitcoin as cash (person to person) without involving one or more third-parties.

And (3) since these big banks/hubs will need a lot of money for these big channels being opened with everyone, they'll likely need to follow KYC laws, requiring you to give them your personal information so they can make sure you're not laundering money or supporting terrorists or whatever. As such, if they know who you are, and they don't like you or the causes you support (or the people you're trying to send money to), they can refuse to process your transactions, and now you've reached a point where BTC itself is too expensive to use because the blocks are full, and the Lightning networks can censor transactions they don't like (or are compelled to by governments).

I'm not saying Lightning is intrinsically bad. I think it could be a very useful tool in some circumstances. But I do think the consequences of essentially forcing it onto everyone in the BTC ecosystem is bad for everyone and is bad for BTC itself.


This is just the beginning. There's a long way to go.

Indeed. IMO, fees will continue to rise without on-chain scaling.

Right now Bitcoin is NOTHING in the financial world. It's a blip. A curiosity.

Imagine where Bitcoin could be if adoption and use hadn't been stalled for the past ~two years because of increasing fees and confirmation times. :(


If you're not in already, do your due diligence and think about whether BTC has a place in your portfolio.

I think that Segwit2X was Bitcoin's last hope of being usable as originally intended. With the cancellation of it, and it having sealed Core's scaling roadmap, I am no longer interested in what Bitcoin has to offer, technologically. It offers me virtually no benefit over the current fiat system (I've only ever wired money once in my life, and that was over 15 years ago, but yeah, it was unpleasant and expensive). I'd be a much richer man at the end of my life with inflation slowly devaluing my currency by 2-5% per year than if I had to pay $5-$25 (or more) in fees every time I spend any amount of money. And for anything that Bitcoin does do better than fiat, there are other cryptos that do it even better.

I'm not fully out of BTC yet, but I think I will be soon. I know this is probably premature to say since it has only been a few days, but the market seems to agree with me thus far, given the sharp rise in value of Bitcoin Cash and the not-insignificant drop in value in BTC since Segwit2X was canceled. I'm not saying BTC is dead or that it will be worthless or is a bad long-term investment or whatever. I'm just saying that it is not the technology that I got so excited about a couple years ago. It has been co-opted and changed into something else much less useful and much less interesting.

None of what I've said should be taken as investment advice. I definitely agree that people need to do their due diligence and decide whether BTC has a place in their portfolio. I'm just saying that in the past, Bitcoin's virtually free transactions, relatively instant payments to anyone, anywhere in the world, and at any time, were paradigm-shifting features granting enormous freedoms. But many of those freedoms have disappeared or are in the process of being hobbled. "Nobody" uses Bitcoin anymore. They just HODL (https://archive.is/YCkr2), hoping the price will go up and make them rich. People are buying it because the price is going up. The price is going up because people are buying it. But I don't really see the underlying value anymore in its current form and further down the path that Core is planning to take it.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 12, 2017, 11:36 AM
This is insane!

The fastest and cheapest transaction fee is currently 950 satoshis/byte, shown in green at the top.
For the median transaction size of 226 bytes, this results in a fee of 214,700 satoshis.
-https://bitcoinfees.earn.com

It seems my hypothetical example from the other day was prophetic.

I made a transaction yesterday and paid 310 satoshi/byte which was a recommended value. But there's been such a high demand that fees have shot up and now my transaction has been stuck in limbo for about 24 hours and there's nothing I can do about it.

Meanwhile, the value of my stuck transaction is plummeting and the value of virtually everything else is going up.

The only reason the price of Bitcoin isn't crashing even faster is because no one can move their funds out of it!
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on November 12, 2017, 01:39 PM
What @Deozaan writes would seem to indicate that not only do bitcoin-type assets suffer from price instability, theft/fraud, inadvertent loss (QED), but the trading mechanisms for them are also subject to episodic interruptions, rendering them temporarily illiquid at those times and potentially worthless.
So, if it's not all media "hype" against bitcoins, then we seem to have:
Reminds me of a friend of mine who lost his shirt and his job through betting on the gee-gees, whilst all the time telling me what big wins were in the offing.

So, in the Q: "Does anyone here use Bitcoins?":
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on November 17, 2017, 08:33 PM
Crikey, as if on cue, Falkvinge.net makes similar (and more perspicacious) points to mine:
What if new Google management decided that a search should cost $20, take eight hours, and be deliberately unreliable? (Bitcoin.) (https://falkvinge.net/2017/11/17/new-google-management-decided-search-cost-20-take-eight-hours-deliberately-unreliable-bitcoin/)

Worth a read.

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on November 17, 2017, 10:09 PM
The Blockstream fanboys would further point at bitcoin’s new uselessness as a sign of its success, believe it or not, drawing the analogy “nobody goes to that restaurant anymore, because it’s too crowded”, with the subtext that a crowded restaurant must be successful. But this is not success; this is utter failure to scale exponentially when you’re an Internet startup, and it spells dooooooooooom.
-https://falkvinge.net/2017/11/17/new-google-management-decided-search-cost-20-take-eight-hours-deliberately-unreliable-bitcoin/

It's become a meme to laugh at all the "Bitcoin is dead" articles on the internet. But I think it's finally true. It has many names these days: Bitcoin, Bitcoin Legacy, Bitcoin Segwit, Bitcoin Core. Whatever you call it, it has absolutely failed as a "peer-to-peer electronic cash system (http://satoshinakamoto.me/bitcoin.pdf)."

I don't know what the Bitcoin Segwit fork is. It frustrates me. It befuddles me. I see virtually no utility for it in its current state. I mean, sure, if you're moving hundreds of thousands of dollars worth (or more) around, especially across borders, then sure I guess a $5-$70 fee to get your transaction confirmed in the next hour or so is pretty good. But for the majority of the first-world, the traditional banking system is in many ways superior, or at least as good. And for the much of the third-world, whom Bitcoin was supposed to "bank the unbanked," the fee for a single transaction now costs more than they live on in a single day. Yet for some reason the Bitcoin price keeps going up and I sure can't see why. Maybe Falkvinge is onto something about it being propped up by Tether (i.e., it has essentially become a ponzi (or--and I can't believe I'm actually saying this--tulip mania), backed by nothing, and it's gonna come crashing down hard in a few years).

And so here we are in 2017, with a bitcoin that nobody I know uses for anything practical (last time I used it for something was about six weeks ago, when I bought a burger with bitcoin, which cost me about $2.50 in transaction fees, just as much as the burger itself; at least I didn’t have to wait eight to ten hours for the burger). What’s new on the scene in 2017 is something called a US Dollar Tether.

You see, you can’t buy big quantities of bitcoin — which is more or less “Blockstream stock” at this point — directly, not in amounts of millions of US Dollars. So this thing called Tether popped up, where a company named Tether claimed to issue US Dollar Tether, where one Tether was supposed to be good for exactly one US dollar. Today, the bitcoin price (the price of something that is unreliable, slow, and expensive, and which nobody uses anymore for anything remotely practical) isn’t driven up by people buying it for US Dollars anymore, but by institutions buying it for large amounts of Tether, which is “kind-of-dollars-but-not-really-but-we-still-pretend-so”.

The company Tether insists that they have backing; every Tether has a US Dollar backing it. There has been no proof to this. There have just been regular conjurings-up of new batches of ten, twenty, thirty million Tethers — not US Dollars, but Tethers — that are spent pushing up the bitcoin price as though the Tethers were dollars, and this happens basically every time the Blockstream PR machine happens to need a little boost. Maybe the Tethers are backed by dollars on a one-to-one ratio, as is asserted and refused to be proven. Maybe they aren’t. Sure as hell doesn’t look like they are.

This whole story reeks of a lot of people going to a lot of prison in a few years.
-https://falkvinge.net/2017/11/17/new-google-management-decided-search-cost-20-take-eight-hours-deliberately-unreliable-bitcoin/

Everybody's buying it hoping the price will go up. The price is going up because everybody's buying it. But Blockstream/Core have removed the foundation by intentionally crippling it. Adoption has stalled. Nobody really uses it for anything but speculation/trading/hodling. Maybe I lack vision, but as long as it continues down this path, I don't see how it won't come crumbling down eventually.

Bitcoin has a problem when one its most ardent supporters you know says things like this:

I don't send my friends BTC. I send fiat.

Whatever Bitcoin Segwit is, it is definitely not the Bitcoin I got obsessed with a mere 2 years ago. Bitcoin Cash, on the other hand, has me cautiously optimistic. I think is has the potential to be the David to Bitcoin Segwit's Goliath, and return Bitcoin (Cash) to what it was originally intended to be: Peer-to-peer electronic cash which you actually can (and want to) send to your friends.

But I'm not confident it can overcome the massive censorship and smear campaign(s). I'm not sure it can overcome the public perception that Bitcoin (Segwit) is the "real" Bitcoin and Bitcoin Cash is just some "pump and dump altcoin" (to put it nicely).

And I'm also not sure what any variant of Bitcoin offers these days over other cryptos that haven't had development stalled for the past 2 years. I think Dash has integrated some cool features (like InstantSend, PrivateSend, and their treasury to help fund continued development). I think Ethereum is pretty interesting because you can run programs on the blockchain.

Right now, Bitcoin is the top dog in the crypto-space. There's no denying it. And it's rather telling that every other form of cryptocurrency (including the Bitcoin forks) is generally referred to as an altcoin. But innovation has continued in the cryptocurrency scene the past couple years while Bitcoin has stalled and even regressed in its usefulness, adoption, and marketshare. And I'm starting to wonder if, in another decade or so, we'll think of Bitcoin as we now think of MySpace.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 17, 2017, 10:38 PM
Bitcoin has a problem when one its most ardent supporters you know says things like this:

Quote from: Renegade on November 11, 2017, 01:21 AM
I don't send my friends BTC. I send fiat.


That was taken horribly out of context.

I don't send my friends BTC. I send fiat. Because it's less valuable. I HODL.

In other words, he sends fiat because fiat won't go up in value.  Bitcoin will.  BTW, HODL means to hold, as many people do with stocks.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 18, 2017, 03:58 AM
^ quotes got a bit messed up there wraith, but point still clear.

Out-of-context quotes aside, what you write Deozaan, sounds very convincing to me.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on November 18, 2017, 09:19 AM
quotes got a bit messed up there wraith, but point still clear.


We'll have to agree to disagree.  He's not sending because of the value is a very salient rebuttal to the he's not sending because of some other reason.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 18, 2017, 11:27 AM
Heh! Seems we have a lot of disagreements on many things.

For Bitcoin Cash, I see it as just another altcoin. The 8MB blocks solve nothing. Further, code screw-ups in it have shown that the bcash team isn't up to the same level as the Bitcoin Core team.

For SegWit2x, some people tried to pull it off. Guess what? It died immediately due to show-stopping bugs. It never got off the ground. Again, solid code review is important. (It had multiple bugs, including an 'off-by-1' bug.)

So, complaints about the Bitcoin Core team being slow are very much unfounded.

One of the greatest allies of Bitcoin is Litecoin (and others too). The Litecoin team has deployed code ahead of Bitcoin in order to provide a production environment testing ground. SegWit was in Litecoin first.

Litecoin is currently proving atomic swaps (not to be confused with atomic transactions). This is a big deal.

https://www.cryptocompare.com/coins/guides/what-are-atomic-swaps/

If recent news is anything to go by, the future of atomic cross-chain trading looks bright. Creator of Litecoin, Charlie Lee, successfully completed atomic swaps using Litecoin in exchange for Bitcoin, Vertcoin and Decred.

As for fees, yes, this is an issue, but give it a bit of time and that will disappear. MimbleWimble/Grin and off-chain scaling techniques will alleviate mempool bloat.

Also, keep in mind that Bitcoin has been under attack for years now, with everything from technical attacks to nation state attacks and political attacks. And it's survived all of them. Bitcoin is highly resilient. And that's in part due to the good judgement of the Bitcoin Core team.

On the topic of Ethereum...

And I'm also not sure what any variant of Bitcoin offers these days over other cryptos that haven't had development stalled for the past 2 years. I think Dash has integrated some cool features (like InstantSend, PrivateSend, and their treasury to help fund continued development). I think Ethereum is pretty interesting because you can run programs on the blockchain.


Ethereum is constantly having to have hard forks due to serious bugs.

As a currency, Bitcoin is far superior to Ethereum because it's stable. The problem is in part due to Ethereum being Turing complete, and Bitcoin being not Turing complete. This is important. The design decision to be not Turning complete was a good one, as Ethereum has shown.

That being said, Ethereum is superior to Bitcoin as a development platform. They do different things.

One to watch is NEO.

https://www.bittrex.com/Market/Index?MarketName=BTC-NEO

Monday should see a pop there. Not sure though. I don't have time to dig too deep. Still mulling over whether to throw some at it and see what happens.



Bitcoin has a problem when one its most ardent supporters you know says things like this:

Quote from: Renegade on November 11, 2017, 01:21 AM
I don't send my friends BTC. I send fiat.


That was taken horribly out of context.

I don't send my friends BTC. I send fiat. Because it's less valuable. I HODL.

In other words, he sends fiat because fiat won't go up in value.  Bitcoin will.  BTW, HODL means to hold, as many people do with stocks.

Yep. I like my friends, but... Nope. Keeping my BTC. They can buy BTC if they want. If I have fiat, I'll settle in fiat. Good money drives out bad. And fiat right now is the ultimate s**tcoin.


Regarding Rick Falkvinge, he's being a dishonest shill. (Yes - he's in on the bcash nonsense.) The fee issue will be resolved, but big blocks aren't the answer -- they only create further problems. If he wants free transactions, there are plenty of coins out there. This isn't about free transactions in the least.

https://cointelegraph.com/news/satoshis-best-kept-secret-why-is-there-a-1-mb-limit-to-bitcoin-block-size

It seems that late in 2010, Satoshi realized there had to be a maximum block size, otherwise some miners might produce bigger blocks than other miners were willing to accept, and the chain could split. Therefore, Satoshi inserted a 1 MB limit into the code.

Rick, Roger, Jihan, and the rest of them are behaving like petulant children. Their temper tantrums over scaling aren't helping anyone. The issue is being addressed, but it's being addressed in a responsible way that takes time.

One only needs to look at the bcash and SegWit2x code failures to see just how idiotic these children have become. The bugs seen there are catastrophic. Their rush to address scaling is reckless at best.





Regarding wire transfers, I had to send money to someone again last night. It cost me less than 10% what a bank wire transfer would cost, and it was there immediately instead of taking 3-5 business days.

And, if I really need faster or cheaper payments, I can always use Monero or Dash or whatever.

But this incessant whining about Bitcoin not being X or Y or Z is silly. Bitcoin is conservative, stable, and resilient. No other coin has been attacked as viciously as Bitcoin. And that probably plays into why Bitcoin development is so cautious.

It's like people complaining that their hammers don't have Philips and Robertson screwdriver heads on them. Well... duh! That's because those tools do different things. Pick the right tool for the job. Bitching about the wrong tool not being the right tool is just silly.









Title: Re: Does anyone here use Bitcoins?
Post by: tomos on November 18, 2017, 01:02 PM
quotes got a bit messed up there wraith, but point still clear.


We'll have to agree to disagree.  He's not sending because of the value is a very salient rebuttal to the he's not sending because of some other reason.
A misunderstanding there: the quote tags got mixed up in your post.
like you I don't like things to be misqouted, nor taken out of context.
Was also saying that I nevertheless found his previous post convincing.

Now to read what Ren has to say about it all :-)
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 18, 2017, 11:46 PM
I just sent a transaction through at the maximum priority level for $4 CAD. Yes, that's a fair amount to spend, but it will arrive sooner than a wire transfer, for less, and a normal transfer of any amount in Canada cost $1.50 anyways.

So, I paid $2.50 over what an insecure, shitty, primitive system based on email would cost me. (Interac in Canada is a minimum of $1.50 per transfer.)

And guess what? I regularly have to wait HOURS for direct transfers here in Canada.

Canada is worse than the third world (I've lived there and banked there and have bank accounts there). Canada is the asshole of the banking world. It sucks. More than I can possibly say.

How much do most people spend in banking fees for their transactions? $4 a month is normal here in Canada for a small number of transactions.

I still hate paying fees, but I still pay less than with the traditional banking system when I use Bitcoin.




Consider this... When you go out for dinner with your family and spent $100, $2.50 of that is transaction fees for credit cards.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 20, 2017, 01:21 PM
Thought this might be interesting to some: Successful completion of the first off-chain atomic swap (https://blog.lightning.engineering/announcement/2017/11/16/ln-swap.html).


Hay, does anybody know how the hell you're supposed to get the BCH from the BTC fork back in August?? I had some coin in an old Multibit wallet back then, but I gots no clue on how to jump the fork (for lack of a better/correct term) with it..
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 20, 2017, 05:02 PM
Hay, does anybody know how the hell you're supposed to get the BCH from the BTC fork back in August?? I had some coin in an old Multibit wallet back then, but I gots no clue on how to jump the fork (for lack of a better/correct term) with it..

It's pretty easy. However, make sure that you are very careful with your private keys, as if anyone sees them, all your coins are GONE.

This is the SHORT version. I recommend doing a search to find out how to do the steps you're unsure of.

1. Find which addresses have coins in your Bitcoin wallet.
2. Export the private keys for those addresses.
3. Transfer all your coins from your Bitcoin wallet to a new address (this is a paranoia step that should be followed - it aims to prevent a replay attack).
4. In your new bcash wallet, import your private keys and you'll see the coins appear in your wallet.

Thought this might be interesting to some: Successful completion of the first off-chain atomic swap (https://blog.lightning.engineering/announcement/2017/11/16/ln-swap.html).

This is a much bigger deal than I think most people realise.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on November 20, 2017, 05:55 PM
I should also mention that for some wallets, if you upgrade them, you can automatically get your bcash.
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on November 21, 2017, 06:12 AM
However, make sure that you are very careful with your private keys, as if anyone sees them, all your coins are GONE

In what context are we using "see"? IRL Shoulder Surfing/Trojan upload, or potential exposure on the chain during the transaction?


Hay, did I mention it's great to see you back? :D
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 25, 2017, 05:21 PM
[ You are not allowed to view attachments ]

How do you link the world’s blockchains? With another blockchain (http://v-shop.info/how-do-you-link-the-worlds-blockchains-with-another-blockchain/)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 28, 2017, 03:31 PM
[ You are not allowed to view attachments ]

Bitcoin’s main rival ethereum hits a fresh record high (https://www.usatoday.com/story/money/markets/2017/11/24/bitcoins-main-rival-ethereum-hits-fresh-record-high/892122001/)
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 07, 2017, 02:57 AM
Bitcoin has a problem when one its most ardent supporters you know says things like this:

Quote from: Renegade on November 11, 2017, 01:21 AM
I don't send my friends BTC. I send fiat.


That was taken horribly out of context.

That was not my intent. Yet I disagree. I felt that I included as much context as was necessary. But maybe I didn't make my point clearly enough.

You used to be able to send your friends BTC and then immediately buy more BTC (with fiat) to replace what you sent, for sub-cent fees (plus a small percentage cut taken by the exchange). Now, ardent supporters of Bitcoin are telling people to use fiat, PayPal, or other cryptocurrencies if they don't like the BTC fees. No other context was necessary to illustrate how broken BTC has become.

You can pretend that the reason you don't want to spend it is because it's going to go up in value, but that's just silly. The reason you don't want to spend it is because it costs too much to do so (and by extension, it costs too much to replenish what you've spent).

It doesn't matter how much BTC might increase in value. If it was usable, like it used to be, you'd still send it to your friends and just keep buying more. You were going to spend that fiat anyway, right? Why send someone $5 USD when you could buy $5 worth of BTC first (or after) and send it to them? If BTC increases in value, then you'd enrich yourself and others. And that friend who you sent $5 worth of BTC who now has $15 worth of BTC is now a true believer who will encourage use and adoption even further. But no, we've got BTC hodlers hodling like they've never hedl before, meanwhile driving others away from BTC and discouraging its use. It's bonkers.

It wasn't a misinterpreted, misleading, or out-of-context twisting of a position. It's a realistic representation of their actual words and behavior:

And, if I really need faster or cheaper payments, I can always use Monero or Dash or whatever.

It's puzzling.

If you're not sending your friends BTC, but instead encouraging the use of fiat or other cryptocurrencies as a payment solution for virtually any reason, then you're actively discouraging the use and adoption of Bitcoin. People who think they are Bitcoin supporters whose actions are actually discouraging Bitcoin adoption should be met with skepticism.

On a related note: You should skeptical of anyone who refers to Bitcoin Cash as "bcash" because there are pretty much only two kinds of people who do that: 1) Troublemakers who are not acting in good faith, and 2) ignorant folks who don't know any better but whose opinions have been shaped by the aforementioned troublemakers.

The only reason to call it "bcash" is to try to intentionally remove "Bitcoin" from the name and confuse people into thinking it is an altcoin instead of a legitimate continuation of the original Bitcoin blockchain. Even Gavin Andresen, the man who Satoshi Nakamoto himself handed the reins over to when he left Bitcoin development and disappeared, says Bitcoin Cash is more aligned with the original Bitcoin he began working on years ago than the current Bitcoin Core is (https://twitter.com/gavinandresen/status/929377620000681984).

Why are so many people insistent on calling it "bcash"? Why are so many people petitioning (harassing) exchanges and other popular websites to call it "bcash" (https://i.redd.it/u8tdwmftoc101.png)? Where's the outcry for other forks, like Bitcoin Gold, to be called "bgold"?

Instead of arguing about the merits of the technology, we instead see namecalling, mudslinging, misinformation campaigns, censorship, character assassinations, etc. I'm really surprised to see Renegade supporting and perpetuating that kind of behavior.

I don't know what happened to Renegade. He used to actually be a renegade who questioned authority and advocated for freedom, but the information in some of his recent posts is "toeing the party line" of would-be dictators, censors, authoritarians, and usurpers. There are outright falsehoods in some of his statements (e.g., "Ethereum is constantly having to have hard forks due to serious bugs."), and while he is entitled to his disdainful opinions about Bitcoin Cash--indeed he has never been one to hide his mockery of things he dislikes--it isn't like him, at least not in my experience, to outright lie about things.

So far his rebuttals to prominent Bitcoin Cash supporters is to attack their character while presenting a strawman misrepresentation of their positions:

Regarding Rick Falkvinge, he's being a dishonest shill. [...] If he wants free transactions, there are plenty of coins out there.

[...]

Rick, Roger, Jihan, and the rest of them are behaving like petulant children. Their temper tantrums over scaling aren't helping anyone.

Both Rick Falkvinge (https://www.donationcoder.com/forum/index.php?topic=32392.msg360584#msg360584) and Roger Ver (https://www.donationcoder.com/forum/index.php?topic=32392.msg391728#msg391728) are people who Renegade has linked to videos of in this very thread, exclaiming (in essence) how their ideas about Bitcoin were right on the money and implicitly endorsing them/their ideas.

What changed? To the best of my knowledge, Roger's ideas about and passion for Bitcoin haven't changed. Rick's ideas about Bitcoin haven't changed. How come in the past they were considered noble and worthwhile, but now they're considered dishonest shills and petulant children? What changed?

It's puzzling.

Why does Renegade keep saying that Bitcoin is stable? Real-world data suggests otherwise. In the past month, Bitcoin's price has almost tripled (~$5,500 to ~$14,500), which is cool and all, but not what I would call stable. Fees have been all over the place (~180 sat/byte to ~900 sat/byte or more), confirmation times have been all over the place. And for a real world example of this instability causing a regression in Bitcoin adoption, Steam just stopped accepting Bitcoin (emphasis added on relevant parts):
As of today, Steam will no longer support Bitcoin as a payment method on our platform due to high fees and volatility in the value of Bitcoin.

In the past few months we've seen an increase in the volatility in the value of Bitcoin and a significant increase in the fees to process transactions on the Bitcoin network. For example, transaction fees that are charged to the customer by the Bitcoin network have skyrocketed this year, topping out at close to $20 a transaction last week (compared to roughly $0.20 when we initially enabled Bitcoin). Unfortunately, Valve has no control over the amount of the fee. These fees result in unreasonably high costs for purchasing games when paying with Bitcoin. The high transaction fees cause even greater problems when the value of Bitcoin itself drops dramatically.

Historically, the value of Bitcoin has been volatile, but the degree of volatility has become extreme in the last few months, losing as much as 25% in value over a period of days.
This creates a problem for customers trying to purchase games with Bitcoin. When checking out on Steam, a customer will transfer x amount of Bitcoin for the cost of the game, plus y amount of Bitcoin to cover the transaction fee charged by the Bitcoin network. The value of Bitcoin is only guaranteed for a certain period of time so if the transaction doesn’t complete within that window of time, then the amount of Bitcoin needed to cover the transaction can change. The amount it can change has been increasing recently to a point where it can be significantly different.

The normal resolution for this is to either refund the original payment to the user, or ask the user to transfer additional funds to cover the remaining balance. In both these cases, the user is hit with the Bitcoin network transaction fee again. This year, we’ve seen increasing number of customers get into this state. With the transaction fee being so high right now, it is not feasible to refund or ask the customer to transfer the missing balance (which itself runs the risk of underpayment again, depending on how much the value of Bitcoin changes while the Bitcoin network processes the additional transfer).

At this point, it has become untenable to support Bitcoin as a payment option. We may re-evaluate whether Bitcoin makes sense for us and for the Steam community at a later date.

We will continue working to resolve any pending issues for customers who are impacted by existing underpayments or transaction fees.
-https://steamcommunity.com/games/593110/announcements/detail/1464096684955433613

He claims show-stopping, "catastrophic" bugs killed Segwit2X and severely hampered Bitcoin Cash. What are those bugs? I haven't heard of them. I was under the impression that Segwit2X was canceled (https://lists.linuxfoundation.org/pipermail/bitcoin-segwit2x/2017-November/000685.html) (not because of bugs, but to prevent disunity in the community) and (virtually) nobody actually tried activating it. I haven't heard of any major bugs in Bitcoin Cash.

He keeps claiming that he's able to send funds with a "low" fee (which is still much too high, IMO) but real-world data (https://bitcoinfees.earn.com) suggests fees are currently about $5.70 on average, at current prices, if you want your transaction to go through in a timely manner. It's not that I doubt he's able to send transactions for the lower fees like he claims. It's that it doesn't represent the experience for the average Bitcoin user. And isn't he the one who keeps trying to tell us not to think of BTC in terms of fiat? Yet here he is finally admitting that his $4 CAD fee is kinda high but at least it's better (in some ways) than the fiat system.

I just sent a transaction through at the maximum priority level for $4 CAD. Yes, that's a fair amount to spend, but it will arrive sooner than a wire transfer, for less, and a normal transfer of any amount in Canada cost $1.50 anyways.

So how about we compare the BTC of today to the BTC of just two years ago? You used to be able to send BTC transactions for about a penny or less, and have your payment confirmed in the next block or two. Now it's not unusual for the fee to be in the $5-$20 USD range, and who knows if it will be included in the next block or in a block 16 hours from now. Yes, it's possible to get lucky (or just wait a very long time, or both) and pay less. It's also possible to pay much more. You could make the argument that the price of Bitcoin has gone up so much in that time (from about $350 when I first got into it 2 years ago to about $14,500 today), so it's natural for the value of fees in terms of USD to go up as well. But if that were the case, we'd still be paying only around 5 satoshis per byte, and fees would still only be about $0.15 even at current prices. The only reason for the high fees we're seeing today is because the blocks are full and the developers who have any say in Bitcoin Core refuse to allow a simple change of a 1 to a 2 (or 8, or 32, or whatever) in the code, and (implicitly if not explicitly) engage in censorship and character assassination of anyone who promotes such an idea. That is, they refuse to allow the blocksize limit to be increased from 1MB to anything larger. Larger blocks may not be the solution for all eternity, but they'd definitely reduce fees immediately and allow adoption to resume/increase while the 2nd layer solutions (lightning/side-chains) finish research and development and gain wider adoption. And if Lightning is to gain widespread adoption in the next 18 months, then allowing larger blocks shouldn't result in a catastrophic increase in the blockchain's storage, but would allow fees to come down and confirmation times to stabilize, making it realistic for companies like Valve to continue to accept Bitcoin.

Basically I just don't see how you go from, "Bitcoin is awesome! You can send it anywhere, to anyone, at any time, almost instantly, for virtually free! (https://www.donationcoder.com/forum/index.php?topic=32392.msg392047#msg392047)" to "Bitcoin is awesome! But I'm gonna use fiat to pay you. And you should use Dash or Monero if you want to use a cryptocurrency that's actually functional (https://www.donationcoder.com/forum/index.php?topic=32392.msg414453#msg414453). Or use PayPal if you want to accept payments (https://twitter.com/AMuse1512/status/936634876534710274)."

It's puzzling.

And just to be clear: I'm kind of sick of all forms of Bitcoin at this point. I see Bitcoin Cash as being the closest thing to the original vision and roadmap for Bitcoin as outlined in Satoshi Nakamoto's whitepaper. And I'm disgusted by the tactics used by Bitcoin Core / Blockstream and their supporters to shape the narrative and censor opposing viewpoints. And I'm frustrated by Bitcoin's slow and/or expensive transactions.

I'm not really here to push for Bitcoin Cash. I just get the feeling that people here look to Renegade as a knowledgeable and authoritative source of factual information about Bitcoin, and felt I had to point out that if you weren't already, you should be skeptical of what he says because some of it is not true. You should be skeptical of what I say, too, and do your own research. I'm certainly no expert. That said, when I first got into Bitcoin and cryptocurrency two years ago, I dove pretty deeply into the rabbit hole, even going so far as recreating my own proof of work algorithm (https://www.donationcoder.com/forum/index.php?topic=32392.msg392125#msg392125), and have been following BTC and (some) other cryptocurrencies fairly closely ever since. So I happen to know a thing or two, and can say for a fact that Renegade has told some falsehoods in his recent posts. But again, my intention isn't to say that you should take my word for it.

And also, to be clear, I'm not trying to say that Renegade is a liar who can't be trusted at all about anything. In fact, the information he gave on how to access your Bitcoin Cash funds was spot on :Thmbsup:. I still deeply respect him and his opinion on most things. But I've learned recently that, at least on the topic of Bitcoin (and cryptos), I need to be skeptical about his matter-of-fact statements. Maybe he's just so passionate about it that he is stating his opinion as if it were fact. I don't know. I'm confused by his repeated statements that seem to contradict both my personal experience and my knowledge of certain objective, verifiable facts. Mostly, I'm puzzled by what seems to be so out of character for him.

I'm very strongly considering getting entirely out of Bitcoin and its variants, mostly because it doesn't make sense anymore. It still has the majority of the network (for now) but it no longer excites or even interests me as a technology or as a currency. I can't say one way or another whether or not that's good a good financial decision. Past results would indicate that it's probably not. But I personally see no value in Bitcoin Core as a technology; there are other cryptocurrencies that can do everything Bitcoin (any of its variants) does and more, and they do it better, faster, and cheaper. And without any merit as a technology (at least none that isn't done better by others), I can't understand why it seems to be valued so highly.

It's puzzling.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on December 07, 2017, 02:14 PM
^ thanks for that post Deozaan.
It's odd how it's been increasing so much in price in the last while. I've always been hoping that something really creative was happening, or going to happen, with Bitcoin. Seems to me like it might 'simply' be people-relations that are getting in the way of that.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on December 07, 2017, 02:50 PM
I still disagree with your assertion and that you quoted enough context, but I do get what you meant a bit more.

I think a lot of it depends on your personal reasons for using Bitcoin, your tolerance for paying for Bitcoins success, and how much you think Bitcoins success should be organuc. Deo, you seem to be on the side that this should be a currency to take a large chunk out of the use of fiat. Renegade seems to be on the side of making money. Unless there is a way to lump the transactions together so there is no chance of volatility entering into the transaction, youre taking a chance that by the time you replace your Bitcoins you've lost money or given the receiver not just tge amount owed, but a windfall.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on December 10, 2017, 01:01 AM
Conclusion
Crypto currencies, with bitcoin and ether leading the pack, have succeeded in financial markets by attracting investors, and in the public discourse by garnering attention, but they have not succeeded (yet) as currencies. I believe that there will be one or more digital currencies competing with fiat currencies for transactions, sooner rather than later, but I am hard pressed to find a winner on the current list, right now, but that could change if the proponents and designers of one of the currencies starts thinking less about it as a speculative asset and more as a transaction medium, and acting accordingly. If that does not happen, we will have to wait for a fresh entrant and the most enduring part of this phase in markets may be the block chain and not the currencies themselves.

The Crypto Currency Debate: Future of Money or Speculative Hype? (https://aswathdamodaran.blogspot.com/2017/08/the-crypto-currency-debate-future-of.html)
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on December 13, 2017, 01:51 PM
Christ my luck is shit these days... Just found out that the Multibit BTC wallet has been killed off - And my current Multibit wallet has become seriously unstable. So...

With the need for importing/exporting private keys and such...(BCH stuff)...what is a good Windows desktop wallet to use these days??
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 13, 2017, 04:52 PM
If you're going for BCH, then I had success claiming my BCH after the split with the Electron Cash Wallet (https://www.electroncash.org/).

If you're wanting a software wallet which supports both BTC and BCH then... I don't have an answer for you. I recently got a hardware wallet (https://www.donationcoder.com/forum/index.php?topic=32886.msg413564#msg413564) which supports both BTC and BCH, so that's what I've been using.
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on December 13, 2017, 07:05 PM
Wow, am I out of the loop. I have an old Bitcoin wallet with about a bitnickel in it (is that a term? .05 bitcoin?), but it's from early 2014. And I have the 0.8.6 software. It occurs to me that I should start figuring out how the heck to get anything out of it...  and the dogecoin, and the litecoin, and the HBC (was that hobbitcoin?)...
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on December 13, 2017, 10:17 PM
I wouldn't mind selling my 1/10th of a bitcoin, only i can't figure out how!
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on December 14, 2017, 04:11 AM
I wouldn't mind selling my 1/10th of a bitcoin, only i can't figure out how!

You can create an account on Coinbase (https://coinbase.com/) and sell it for USD. Shouldn't be too difficult if you know how to send a BTC transaction.

Or maybe find someone you know who is willing to buy it off of you. :)
Title: Re: Does anyone here use Bitcoins?
Post by: mouser on January 01, 2018, 06:04 AM
Nice podcast explaining what bitcoin is, for beginners and experts:
https://after-on.com/episodes/017

Recommended by http://kk.org/cooltools/2017-recomendationsbitcoin-podcasteasy/
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 02, 2018, 03:07 PM
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Criminal underworld is dropping bitcoin for another currency (https://www.msn.com/en-us/news/other/criminal-underworld-is-dropping-bitcoin-for-another-currency/ar-BBHMkGl)
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on January 02, 2018, 03:48 PM
So I got my backed-up wallet file copied into place and rescanned successfully, and it has .17btc in it. What a shame it doesn't let me use the password I had written down for it. (https://www.donationcoder.com/forum/esmileys/gen3/1Small/beksa.gif)  I'm reinstalling the old wallet software hoping it will let me decrypt the wallet or something.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on January 02, 2018, 09:40 PM
If you have your backed up wallet re-scanned successfully, doesn't that mean you have access to spend the coins?
Title: Re: Does anyone here use Bitcoins?
Post by: x16wda on January 03, 2018, 05:39 AM
Yep, scans the wallet, shows me the transactions and balance. It asks for the passphrase when I try to send coin though, and doesn't like what I type.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 17, 2018, 06:24 PM
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Qtum May Have Edge On Ripple, Stellar In Cryptocurrency Market (http://www.ibtimes.com/qtum-may-have-edge-ripple-stellar-cryptocurrency-market-2642309?ft=95p2z)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 19, 2018, 11:30 PM
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THE LIGHTNING NETWORK COULD MAKE BITCOIN FASTER—AND CHEAPER (https://www.wired.com/story/the-lightning-network-could-make-bitcoin-faster-and-cheaper/)

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 23, 2018, 10:27 PM


MobileMiner - Cryptocurrency mining on iPhone! (https://youtu.be/cyYxu3DFong)

With all that I have read about mining being a hardware-intensive operation, does this belong in Silly Humor?

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 25, 2018, 09:00 PM


If You Own Bitcoin, Here's How Much You Owe In Taxes (https://www.youtube.com/watch?v=cu3kdxxJdCo)
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on January 29, 2018, 01:36 PM
Clever.
Title: Beyond the Bitcoin Bubble: Long article on blockchain and cryptocurrency
Post by: mouser on February 11, 2018, 07:45 PM
Beyond the Bitcoin Bubble: Long article on blockchain technology and cryptocurrency and the core ideas that might be useful

Longish article on blockchain and cryptocurrency recommended by Kevin Kelly (http://kk.org/):
https://www.nytimes.com/2018/01/16/magazine/beyond-the-bitcoin-bubble.html

[ You are not allowed to view attachments ] (https://www.nytimes.com/2018/01/16/magazine/beyond-the-bitcoin-bubble.html)

History is replete with stories of new technologies whose initial applications end up having little to do with their eventual use. All the focus on Bitcoin as a payment system may similarly prove to be a distraction, a technological red herring. Nakamoto pitched Bitcoin as a “peer-to-peer electronic-cash system” in the initial manifesto, but at its heart, the innovation he (or she or they) was proposing had a more general structure, with two key features...For our purposes, forget everything else about the Bitcoin frenzy, and just keep these two things in mind: What Nakamoto ushered into the world was a way of agreeing on the contents of a database without anyone being “in charge” of the database, and a way of compensating people for helping make that database more valuable, without those people being on an official payroll or owning shares in a corporate entity. Together, those two ideas solved the distributed-database problem and the funding problem.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on February 12, 2018, 05:11 PM
Beyond the Bitcoin Bubble: Long article on blockchain technology and cryptocurrency and the core ideas that might be useful

I've been really excited about the potential future that could be brought about by Ethereum (or something like it) since I really looked into it around the Spring/Summer of 2016. Especially in combination with something like IPFS, which I posted about here in October 2015 (https://www.donationcoder.com/forum/index.php?topic=41728.0), and Protocol Labs' more recent development into Filecoin.

It's nice to see that I'm not the only person excited by such prospects.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on February 15, 2018, 05:16 PM
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Update on Multiple Charges (https://www.reddit.com/r/CoinBase/comments/7xs1aq/update_on_multiple_charges/)

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Coinbase is erratically overcharging some users and emptying their bank accounts (https://www.theverge.com/2018/2/15/17017374/coinbase-cryptocurrency-bitcoin-ether-unauthorized-charges)

Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on February 16, 2018, 06:22 AM
Coinbase is erratically overcharging some users and emptying their bank accounts

Shit... Better keep an eye on that action.
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on February 18, 2018, 01:49 AM
It wasn't Coinbase (https://techcrunch.com/2018/02/16/visa-coinbase-not-at-fault/)'s fault.

This is a great example of why it would be beneficial if cryptocurrency (as cash, for spending) were more widely adopted. This couldn't happen on the blockchain where you control your own keys and therefore control your own money.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on February 19, 2018, 07:43 PM
[ You are not allowed to view attachments ]

Coinbase Introduces the ‘PayPal of Crpyto’ (http://fortune.com/video/2018/02/15/coinbase-commerce/)

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on February 22, 2018, 04:20 AM
Crypto-art 'Forever Rose' photo sells for $1M, making it the world's most valuable virtual art (https://www.dpreview.com/news/6617425004/crypto-art-forever-rose-photo-sells-for-1m-making-it-the-world-s-most-valuable-virtual-art?utm_source=newsletter&utm_medium=email&utm_campaign=2018-february-21&ref_=pe_1822230_273223460_dpr_nl_300_17)

[ You are not allowed to view attachments ]

A blockchain crypto-art rose titled "Forever Rose" has been sold to a collective of investors for cryptocurrencies with a value equivalent to $1,000,000 USD. The collective is composed of 10 investors, each of whom contributed an equal amount toward the digital rose. The artwork is based on Kevin Abosch's photograph of a rose and was created by Abosch and GIFTO, a decentralized universal gifting protocol.

Blockchain technology is behind cryptocurrencies like bitcoin and rights management platforms like KODAKOne. The tech can also be used for art, as demonstrated by Abosch with "Forever Rose." Abosch previously sold an image of a potato titled "Potato #345" in 2016 for more than $1 million.

More than 150 buyers expressed interest in the Forever Rose, according to a press release detailing the sale. Ten collectors were ultimately chosen using a ballot—the buyers include ORCA Fund, Chinese crypto-investor Ms. Meng Zu, blockchain advisory firm TLDR Capital, and others. Payments were made in IAMA and GTO-by-GIFTO cryptocurrencies, with each buyer paying the crypto-equivalent of $100,000 to get 1/10 of the ROSE, an ERC20 token on the Ethereum blockchain.

Forever Rose is believed to currently be the most valuable virtual artwork in the world. The buyers can choose to hold onto their rose tokens, sell them, or give them away. Abosch and GIFTO will donate the sale proceeds to The CoderDojo Foundation, which provides kids around the world with the opportunity to learn coding skills for free.

Anyone actually understand what's happening there?
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on February 24, 2018, 10:33 AM
Interesting article on bitcoin and the resistance/obstacles it now faces.

Bitcoin’s Final Boss

“Bitcoin ought to be outlawed.”

Those were the ominous words of economist Joseph Stiglitz in an interview with Bloomberg last week.

He’s not the first to say it and he certainly won’t be the last.

more at link: https://hackernoon.com/bitcoins-final-boss-22e2a52f9c7d
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on March 03, 2018, 12:31 PM
[ You are not allowed to view attachments ]

Bitcoin heist: 600 powerful computers stolen in Iceland (https://www.msn.com/en-us/money/markets/bitcoin-heist-600-powerful-computers-stolen-in-iceland/ar-BBJNe9U)

Title: Re: Does anyone here use Bitcoins?
Post by: mwb1100 on March 03, 2018, 05:58 PM
Anyone actually understand what's happening there?

If you have to ask, you can't afford it.
Title: Re: Does anyone here use Bitcoins?
Post by: IainB on March 05, 2018, 09:11 AM
Bill Gates says cryptocurrencies have “caused deaths in a fairly direct way” (https://arstechnica.com/tech-policy/2018/02/bill-gates-says-cryptocurrencies-have-caused-deaths-in-a-fairly-direct-way/)

Well, if BG says it, then it must be true - right? And you're a fascist/racist/denier/Nazi (pick 1 or all) if you don't agree.
Yeah, right.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 07, 2018, 04:09 PM
Interesting...

https://www.engadget.com/2018/03/07/sec-issues-stern-warning-for-potential-cryptocurrency-investors/
Title: Re: Does anyone here use Bitcoins?
Post by: Stoic Joker on March 08, 2018, 07:15 AM
Interesting...

https://www.engadget.com/2018/03/07/sec-issues-stern-warning-for-potential-cryptocurrency-investors/

So... The government wants to "protect us" from the very thing that is supposed to protect us from the (fiat currency) government. o_O
Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on March 08, 2018, 07:57 PM
Interesting...

https://www.engadget.com/2018/03/07/sec-issues-stern-warning-for-potential-cryptocurrency-investors/

So... The government wants to "protect us" from the very thing that is supposed to protect us from the (fiat currency) government. o_O

Yeah, I don't get it. The SEC is saying "buyer beware," which is a basic tenet of cryptocurrency. Crypto puts the responsibility and ownership back in your own hands. But I guess this non-news is useful for people who have no idea what cryptocurrency is or how it works, and are just jumping on the bandwagon because they keep hearing about how much Bitcoin (and others) keeps going up.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 09, 2018, 01:03 AM
Interesting...

https://www.engadget.com/2018/03/07/sec-issues-stern-warning-for-potential-cryptocurrency-investors/

So... The government wants to "protect us" from the very thing that is supposed to protect us from the (fiat currency) government. o_O

Yeah, I don't get it. The SEC is saying "buyer beware," which is a basic tenet of cryptocurrency. Crypto puts the responsibility and ownership back in your own hands. But I guess this non-news is useful for people who have no idea what cryptocurrency is or how it works, and are just jumping on the bandwagon because they keep hearing about how much Bitcoin (and others) keeps going up.

Well, I didn't know if it was a scare tactic, a note that they couldn't regulate it, or a prelude to them trying to regulate it, based on "consumers losing money".
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on March 11, 2018, 12:08 AM
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9 Revealing Bubbles That Will Get You to Ditch Bitcoin (https://www.gobankingrates.com/investing/market-bubble-history-bitcoin/)

Title: Re: Does anyone here use Bitcoins?
Post by: Deozaan on March 11, 2018, 11:47 PM
Well, I didn't know if it was a scare tactic, a note that they couldn't regulate it, or a prelude to them trying to regulate it, based on "consumers losing money".

I dunno. I just think it's a common sense statement. There's not really anything else the SEC can do, due to the uncensorable nature of cryptocurrencies. Even if they try to regulate cryptocurrencies, it kind of can't be done. If someone is determined to buy or sell crypto, there's nothing a law or regulation can do to prevent that or even make it especially difficult for someone to do.

A lot of people are used to being able to appeal to their banks or governments to recover funds in case of fraud. So I suppose it makes sense for an organization whose purpose (or one of their purposes) is to protect people from being scammed financially to say "watch out about cryptocurrencies, because we can't do anything about them." That is, if you lose all your money in a cryptocurrency scam, there's no way for any government authority to seize the crypto and return it (if the scammer has properly safeguarded their private key(s) and refuses to cooperate). Having organizations who can help protect/prevent/recover funds and regulations over things like this is definitely a convenience, but it comes at the cost of not truly owning your money. That is, it requires you to give up some of your freedoms over your money. The same bank/government that can help you recover your defrauded funds can also freeze your account(s), seize all your money, refuse to allow you to send money to people they don't like, not allow you to send/receive money because it's 3 AM or a weekend/holiday, etc.

Crypto grants you a lot of freedom over your own money, but it also comes at a cost of much greater personal responsibility to safeguard it and not be so careless with it. But I'm sure I'm preaching to the choir here. :)
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 12, 2018, 08:17 AM
I dunno. I just think it's a common sense statement. There's not really anything else the SEC can do, due to the uncensorable nature of cryptocurrencies. Even if they try to regulate cryptocurrencies, it kind of can't be done. If someone is determined to buy or sell crypto, there's nothing a law or regulation can do to prevent that or even make it especially difficult for someone to do.

We know that.  They don't.  They think they can regulate anything.  Especially if enough FUD is generated.  And using their simple tactics of very minimal power, it's likely they could brute force it.

Relevant:

(https://imgs.xkcd.com/comics/security.png)
Title: Re: Does anyone here use Bitcoins?
Post by: Mark0 on March 12, 2018, 08:31 AM
 ;D

Crypto currencies: everything you don't understand about money, combined with everything you don't understand about computers!
-John Oliver

Title: Re: Does anyone here use Bitcoins?
Post by: mouser on March 12, 2018, 08:37 AM
 ;D ;D ;D
Great video.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on March 14, 2018, 10:27 AM
No Ads for Bitcoin: Google joins Facebook in banning them.

https://www.engadget.com/2018/03/14/google-ban-cryptocurrency-ads-june/
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on March 24, 2018, 07:35 AM
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Artist Hides Secret Code to $10,000 Worth of Cryptocurrencies in Lego Artworks (https://gizmodo.com/artist-hides-secret-code-to-10-000-worth-of-cryptocurr-1824030024)

Art with intrinsic value?

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 03, 2018, 01:06 AM
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Bitcoin ATMs showing up in odd spots across metro Detroit (https://www.freep.com/story/money/personal-finance/susan-tompor/2018/06/28/bitcoin-atm-stock-cryptocurrency-value/629133002/)

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Over 800 cryptocurrencies are now dead as bitcoin is 70 percent off its record high (https://www.cnbc.com/2018/07/02/over-800-cryptocurrencies-are-now-dead-as-bitcoin-feels-pressure.html)

Title: Re: Does anyone here use Bitcoins?
Post by: tomos on August 14, 2018, 06:28 AM
Bitcoin is still a total disaster (https://www.washingtonpost.com/business/2018/08/10/bitcoin-is-still-total-disaster/?noredirect=on&utm_term=.c5ec53b9c9a4)

comes across as a very snarky article (presumably by someone who is a fan of the status-quo), yet may have some valid points. I dont know enough myself to say.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on August 14, 2018, 10:45 AM
Bitcoin is still a total disaster (https://www.washingtonpost.com/business/2018/08/10/bitcoin-is-still-total-disaster/?noredirect=on&utm_term=.c5ec53b9c9a4)

comes across as a very snarky article (presumably by someone who is a fan of the status-quo), yet may have some valid points. I dont know enough myself to say.


When this thread started, Bitcoin was $12.40.

So, not sure I take the WP seriously when it continually cries about the end of Bitcoin.
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on August 14, 2018, 04:45 PM
So, not sure I take the WP seriously when it continually cries about the end of Bitcoin.

Exactly.  They decry stability in a currency, but Bitcoin at this point is more like a well-performing stock at the beginning stages.
Title: Re: Does anyone here use Bitcoins?
Post by: Torah on October 01, 2018, 03:21 AM
As long as people trust that this currency has value, people will continue to invest in Bitcoin.

Bitcoin is an open-source software, so it has no central control with corrupt bankers and politicians, just really smart people working for free to keep it running.

Given all the problems we see in world economies, people are rapidly beginning to lose faith in conventional legal tender like the EUR and USD. Governments have demonstrated that they can seize your bank-accessible assets if necessary. With Bitcoin, this is not possible as they have no access to your funds. Your Bitcoin wallet is essentially your own bank. It’s similar to the idea of people stuffing cash into their mattresses, except this is a lot more profitable and accessible. People will perhaps one day refer to this era as the gold rush of the 21st century.

As Bitcoins continue to be mined they begin to create more value since more people begin to own them.
Title: Re: Does anyone here use Bitcoins?
Post by: tomos on October 01, 2018, 06:25 AM
You're optimistic there Torah. A bit simplistic too: that an economy based on Bitcoin would be better is very debatable.

As Bitcoins continue to be mined they begin to create more value since more people begin to own them.
again seems very simplistic to me: the real value is fluctuating independent of the mining. Add to that -- mining costs more than Bitcoin is currently worth IIUC (or has that changed again?)
Title: Re: Does anyone here use Bitcoins?
Post by: Shades on October 01, 2018, 08:52 AM
Bitcoin's main issue (in my point of view) is that transactions can take place immediately or take way too long, depending on your willingness to pay for the privilege to be put first on the queue of transactions. That is not only flawed for the person who wants to pay for goods/services, the person or company at the receiving end of the transaction cannot be sure when the transaction takes place and how much the value amount of the received bitcoin is at that moment.

Trading one miserable way of doing financial transactions for another....yay!

The concept of crypto currency is a good one, Bitcoin's implementation isn't.
Title: Re: Does anyone here use Bitcoins?
Post by: Renegade on October 01, 2018, 02:07 PM
You're optimistic there Torah. A bit simplistic too: that an economy based on Bitcoin would be better is very debatable.

It would objectively be better.

Fiat allows governments to debase their currencies. This is flat out theft from people. It steals purchasing power from them through inflation. It's criminal and they should be thrown in prison for it.

There is no such debasement with Bitcoin. That's objectively better.

Bitcoin's main issue (in my point of view) is that transactions can take place immediately or take way too long, depending on your willingness to pay for the privilege to be put first on the queue of transactions. That is not only flawed for the person who wants to pay for goods/services, the person or company at the receiving end of the transaction cannot be sure when the transaction takes place and how much the value amount of the received bitcoin is at that moment.

Trading one miserable way of doing financial transactions for another....yay!

The concept of crypto currency is a good one, Bitcoin's implementation isn't.

The Lightning Network solves those problems. Resolution is instantaneous and near free.

Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on November 17, 2018, 07:29 PM
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Bitcoin Cash clash is costing billions with no end in sight (https://www.msn.com/en-us/news/other/bitcoin-cash-clash-is-costing-billions-with-no-end-in-sight/ar-BBPN0GC)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on January 24, 2019, 06:08 PM
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A faster, more efficient cryptocurrency (http://news.mit.edu/2019/vault-faster-more-efficient-cryptocurrency-0124)
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on June 19, 2019, 05:44 PM
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Would you trust Facebook with your money? What Libra cryptocurrency means for users (https://www.usatoday.com/story/tech/news/2019/06/18/facebook-libra-what-cryptocurrency-means-users/1485972001/)

Title: Re: Does anyone here use Bitcoins?
Post by: kyrathaba on July 12, 2019, 12:42 PM
Has anyone mined any of the Litecoin varieties and, if so, setup cost and return on investment thus far? I'm not about to use *coins for my savings account, but I am intrigued...
Title: Re: Does anyone here use Bitcoins?
Post by: wraith808 on July 12, 2019, 11:09 PM
The largest argument against mining bitcoin: https://www.bbc.com/news/technology-48853230?utm_ca
Title: Re: Does anyone here use Bitcoins?
Post by: 4wd on April 24, 2021, 08:28 AM
So anyway I thought I'd lump this in with Bitcoin rather than start yet another crypto thread.

Not content with causing graphic card shortages it looks like we'll now have to contend with drive shortages caused by crypto.

Behold "Proof of Space and Time" crypto: Chia (https://www.chia.net/)

Hard drive shortage ahead of debut (https://decrypt.co/68617/home-mining-crypto-chia-sparks-hard-drive-shortage-ahead-of-trading-debut)

The sooner this planet suffers a zombie apocalypse, the better.
Title: Re: Does anyone here use Bitcoins?
Post by: Arizona Hot on July 10, 2021, 06:02 PM
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Is Solana Crypto's Hidden Gem? (https://www.msn.com/en-us/money/savingandinvesting/is-solana-crypto-s-hidden-gem/ar-AALZXkJ?ocid=msedgdhp&pc=U531)