Bitcoins? What is up with this for an investment?

[heckler73]

For anyone thinking BTC is a "currency", I'd recommend reading the following:
http://www.theatlantic.com/business/archive/2013/12/why-bitcoin-will-never-be-a-currency-in-2-charts/282364/

What Bitcoin really needs is a central bank to stabilize its value. When the demand for Bitcoin goes up, they need to print more to keep it from skyrocketing. That is, they need to decide whether they want Bitcoin to be a Ponzi scheme for techno-libertarians or an actual medium of exchange. See, the technology of Bitcoin really is revolutionary, but the currency of Bitcoin is holding it back. In other words, Bitcoin really could have use as a payments system if it had a stable value. But it doesn't, so it's just a dotcom stock. And one that could be co-opted by banks that take its technology and use it with dollars instead.

At best, it is a trading vehicle with more horrid volatility than a pump'n'dump venture or OTC stock. Trade wisely and stay disciplined.

 

[Zipz]

For anyone thinking BTC is a "currency", I'd recommend reading the following:

What Bitcoin really needs is a central bank to stabilize its value.

What is great about bitcoin is that it is DECENTRALIZED. It has its drawbacks but the pros outweigh them. A centrallized crypto currency would rely on a single point of faluire. If they did regulate the influx of coins, who would get them?? The whole point of bitcoin is that noone has control of it and their is no need to trust anybody.

 

[heckler73]

What is great about bitcoin is that it is DECENTRALIZED. It has its drawbacks but the pros outweigh them. A centrallized crypto currency would rely on a single point of faluire. If they did regulate the influx of coins, who would get them?? The whole point of bitcoin is that noone has control of it and their is no need to trust anybody.

You're wrong. Anyone with enough financial capital can dominate the market. After all, they are limited by design. This is why there has been such horrendous volatility because those with the means can move the market as they see fit.

 

[nitro harley]

Glad I didn't buy any bitcoins at the top

I didn't buy at the top but I am down right now..

 

[heckler73]

I didn't buy at the top but I am down right now..

What's you plan then?
Cut your losses short, never marry a stock.

It's hard to see losses on paper and even harder to realize them. A disciplined trader sets rules to mitigate such activities. Unfortunately, with BTC the moves can get so crazy, coupled with the illiquidity, it becomes difficult to set rules for them.
However, looking at the Mt.Gox chart, it seems to be in a plateau, so I wouldn't worry about it too much, especially if you aren't down a large amount (i.e. <10%).

 

[nitro harley]

What's you plan then?
Cut your losses short, never marry a stock.

It's hard to see losses on paper and even harder to realize them. A disciplined trader sets rules to mitigate such activities. Unfortunately, with BTC the moves can get so crazy, coupled with the illiquidity, it becomes difficult to set rules for them.
However, looking at the Mt.Gox chart, it seems to be in a plateau, so I wouldn't worry about it too much, especially if you aren't down a large amount (i.e. <10%).

I guess my plan is to hold on for now..I just have 4 coins so it could crash and it will hurt just a little bit..I am down over 10%, my cost was 880.00..We will see what happens after the first of the year..

 

[gfexc]

Just remember egold and Liberty Reserve. When the boys get mad and decide to do the raid thing, everything vanishes.

 

[heckler73]

Just remember egold and Liberty Reserve. When the boys get mad and decide to do the raid thing, everything vanishes.

That's part of the risk in any investment. Outside forces can shut it down.
Take small venture companies that rely on equity financing, for example; they can go to zero overnight if they fail to file their financial statements to the exchange on time. It all starts with a halt, then...you still own shares, but for all intents and purposes, the company has vanished.

 

[helendouglas]

Yeah, the volatility sucks but the great thing about Bitcoin is that it isn’t regulated by any central authority. Plus, the market value and popularity is on the rise. It even tripled in a week. Very unpredictable I say; if you want to invest, take all the risk!​

 

[heckler73]

Yeah, the volatility sucks but the great thing about Bitcoin is that it isn&#8217;t regulated by any central authority.
​

That's not much of a selling point. Furthermore, it is not accurate. Isn't it limited to 21Mn coins?

Plus, the market value and popularity is on the rise. It even tripled in a week. Very unpredictable I say; if you want to invest, take all the risk!

​

That sounds like a cheap pitch for a pump'n'dump to me.

 

[helendouglas]

Yeah, That's true. BTC's total issuance is limited to 21 million.

 

[SunnyJim]

What about this crafty little devil?! Hats off to him.

http://www.zdnet.com/football-fan-holds-up-qr-code-gets-23k-in-bitcoin-7000023858/

 

[Zipz]

That's not much of a selling point. Furthermore, it is not accurate. Isn't it limited to 21Mn coins?



That sounds like a cheap pitch for a pump'n'dump to me.[/QUOT
No central authority is a selling point because it means coins can ever be seized and noone can be stopped from from using the network. If it had a central authority it would be shut down or highly regulated and it would be useless for the many things bitcoin enables. Joe rogan just had a guest on to talk about it the other day, it was by far the best explanation of the possibilities to an audience of that size to date. If you still dont understand or trust bitcoin, deffinitly checkk it out. Even if you think you know about bitcoin youll probably learn something too.
https://www.youtube.com/watch?v=1cexawnOlR8