Bitcoins

[PeaceOnesxWai]

Interesting but skeptical. I saw what bitcoins were sometime ago but never thought it would actually be worth more value then purchased. Its getting out of hand how much each coin is worth but if there are idiots that believe its value and are paying for it, the coin will stay in value.

Also because of all the media attention right now, the value has risen immensely. To me its a big balloon thats going to pop once the government somehow get their hands on it. Its a new age ponzi scheme

[Frank_Jaeger]

Originally Posted by PeaceOnesxWai

Interesting but skeptical. I saw what bitcoins were sometime ago but never thought it would actually be worth more value then purchased. Its getting out of hand how much each coin is worth but if there are idiots that believe its value and are paying for it, the coin will stay in value.

Also because of all the media attention right now, the value has risen immensely. To me its a big balloon thats going to pop once the government somehow get their hands on it. Its a new age ponzi scheme

Cryptocurrencies are only worth what people are willing to pay for them. Nothing in existence has intrinsic value; it's ironic for you to call people idiots who're trading these things because you believe certain currencies have inherent value.

The government has explicitly stated bitcoins are a legitimate form of currency. Due to the nature of the network, no government is in a position to control or regulate the market. The most any government could do is outright attack the network, and I don't see that happening. Also please educate yourself on what a ponzi scheme is, and then educate yourself on the principle behind bitcoin and its introduction. Bitcoin is not a ponzi scheme. In fact no cryptocoin, even the obvious clones which have been cranked out to make a quick buck, are a ponzi scheme.

Originally Posted by zerodameaon

Get that anonymous notion out of your head before it backfires in your face. These coins are not anonymous, anyone can track the blockchain, and with some more in depth forensics they can eventually track down locations based on IP address and such. Yeah its not as easy as looking at bank account names or credit cards etc but it is not anon.

Mixing services are available. By default the use of these networks is not anonymous, however there are steps that can be taken to hinder or even stop tracking.

[NAIRB]

Yea, there is no way that they can be totally anonymous, how do you think they shut down silkroad. There is definitely a way to track you if someone really really wants to. Also I don't think anyone is really mining them anymore, it seams to have become to hard unless you have some ridiculously huge mining machine. I think the main way to make money now is buy LTC when the ltc/usd is low in price, wait for it go up in price, convert to usd, repeat.

[PeaceOnesxWai]

Originally Posted by Frank_Jaeger

Cryptocurrencies are only worth what people are willing to pay for them. Nothing in existence has intrinsic value; it's ironic for you to call people idiots who're trading these things because you believe certain currencies have inherent value.

The government has explicitly stated bitcoins are a legitimate form of currency. Due to the nature of the network, no government is in a position to control or regulate the market. The most any government could do is outright attack the network, and I don't see that happening. Also please educate yourself on what a ponzi scheme is, and then educate yourself on the principle behind bitcoin and its introduction. Bitcoin is not a ponzi scheme. In fact no cryptocoin, even the obvious clones which have been cranked out to make a quick buck, are a ponzi scheme.


Mixing services are available. By default the use of these networks is not anonymous, however there are steps that can be taken to hinder or even stop tracking.

How is this not a ponzi scheme? Its made of out of nothing and sold to investors being told the value of the coin will be able to sell at a higher value later. They then sell to the next ladder of investors, which are bought at a higher value.. The ladder/pyramid continues down the line... Ponzi scheme

I understand what bitcoins do but they are using a peer-to-peer money exchange and taking that electronically exchanged money to pretend it as a real currency. What if the whole market panics and people decided to cash out? Where is the money going to come from? There is no value to the coin, no government backing, it has no secondary value. No bank in the world would take that currency and exchange you into fiat currency.

I only see this as a short term investment because of the popularity of it. There are still new investors buying into this so it will hold value or increase but at present it is close to its cap. I dont see it being accepted as real currency until somehow the cryptographic is worth some kind of value.

[Frank_Jaeger]

Originally Posted by PeaceOnesxWai

How is this not a ponzi scheme? Its made of out of nothing

I'm going to stop you right here and kindly point out all currencies that ever have existed and ever will exist are made out of nothing. Just because you print paper and call it money, doesn't automatically give it value; the market does. Even if a currency is backed by a commodity, the commodity itself has no backing. This is taught in basic college level economics classes.

and sold to investors being told the value of the coin will be able to sell at a higher value later. They then sell to the next ladder of investors, which are bought at a higher value.. The ladder/pyramid continues down the line... Ponzi scheme

What pyramid? Who's they? If you follow the market, it's blatantly obvious this is not how the exchanges work. Bitcoin was in the wild for YEARS before it really took off. Everyone had a fair opportunity to mine and get in on the action, but only a relative few did, because most dismissed Bitcoin or relegated it as a simple curiosity and nothing more.

I understand what bitcoins do but they are using a peer-to-peer money exchange and taking that electronically exchanged money to pretend it as a real currency.

The federal government of the United States of America has declared Bitcoin a real currency. It isn't pretend just because it's digital and not paper-based. Wrap your brain around this now. Some people have difficulty grasping paradigm shifts like this, but you need to do it. It's good for you. Also know that most USD exists only electronically; this isn't even an entirely new concept in that regard.

What if the whole market panics and people decided to cash out? Where is the money going to come from? There is no value to the coin, no government backing, it has no secondary value. No bank in the world would take that currency and exchange you into fiat currency.

If the market panics and people cash out, the price will crash, and if it crashes bad enough, it may be unrecoverable. This is a real possibility, I won't deny that, however this has nothing to do with ponzi schemes and everything to do with a highly volatile market that's still in its infancy. You can bet your ass that if Bitcoin survives to be widespread and implemented in major retailers, it's value is going to go up and stay there.

I only see this as a short term investment because of the popularity of it. There are still new investors buying into this so it will hold value or increase but at present it is close to its cap. I dont see it being accepted as real currency until somehow the cryptographic is worth some kind of value.

It is what I would consider a good short term investment and a long term investment. High risk of course, but really worth it in my eyes. As I mentioned before, it's already been accepted as a real currency, and already has "some kind of value." Once cryptocurrencies are more easily exchanged in the general economy, their prices will stabilize.

[PeaceOnesxWai]

bitcoins r cool

[zerodameaon]

Originally Posted by PeaceOnesxWai

With real currencies you can purchase things with it, behind the bill its commodity is gold. Are you seriously saying gold does not hold value, because the whole world will value in exchange for gold.

So your saying real currency is backed by gold, well then the US dollar is not a good argument for saying what currency is.
FRB: Is U.S. currency still backed by gold?

[zerodameaon]

Originally Posted by PeaceOnesxWai

I dont see it being accepted as real currency until somehow the cryptographic is worth some kind of value.

So you mean like Namecoin already is and possibly Primecoin in the future?