Bitcoin

[scooterscot]

That's fine as long as the bull market is still intact. I'm not sure I'd want to be buying on the way down after the party's ended.

Party does not end until 2019.

[Hobosapien]

Party does not end until 2019.

Prove it.

[Lance]

There's just so much about bitcoin that's not fit for purpose. Transaction fees being an obvious one. $25 to get your transaction through in minutes rather than hours or days.

I think the problem is that it was never expected to be so valuable. Maybe a few dollars per BTC, or a few hundred. That would make the transaction costs reasonable, if not the timings.

The volumes of transactions also increases the competition for transactions. Miners will do the better paid ones first. It's actually a perfect market. Bear in mind that it was designed for real transactions not speculative investments, running on automated platforms placing buy and sell orders constantly.

In that regard it is a victim of it's own 'success'. Assuming success is defined as monetary value rather than usability or acceptability as a currency.

[FrontEnder]

I think the problem is that it was never expected to be so valuable. Maybe a few dollars per BTC, or a few hundred. That would make the transaction costs reasonable, if not the timings.

The volumes of transactions also increases the competition for transactions. Miners will do the better paid ones first. It's actually a perfect market. Bear in mind that it was designed for real transactions not speculative investments, running on automated platforms placing buy and sell orders constantly.

In that regard it is a victim of it's own 'success'. Assuming success is defined as monetary value rather than usability or acceptability as a currency.

These don't happen on the botcoin network though, the buy and sell order goes through immediately on the exchange, but the actual bitcoin will be say on the exchanges own wallet until you withdraw.

[BrilloPad]

Party does not end until 2019.

Tory party?

Will it last as long as that?

[Hobosapien]

I think the problem is that it was never expected to be so valuable. ...

I think that high value was always the intention otherwise why use an algorithm that limits supply? Hence some saying one bitcoin could be worth a million if it goes global and sucks in enough investment similar to other global market caps.

We are seeing that as a tech it is solving none of the problems it was apparently launched to solve, other than anonymity amongst those holding the coins and keeping them away from the authorities, for now. Apparently if you try to transfer out into local currency, following the huge recent gains, you risk getting your bank account frozen due to money laundering rules. Prove where the money came from (i.e. not from illegal activities). Erm, you can't it's all anonymous.

Its perceived value is due to speculation rather than support for its long term survival. Hence a bubble that will collapse when those speculating realise they can't get the massive gains they are seeing currently, without collapsing the bubble in the process, so they have to 'hodl'.

In the meantime, fill your boots, there's plenty of greater fools about.

[_V_]

https://www.coindesk.com/hedge-fund-...ed-in-bitcoin/

Investor Bill Miller said last week that his MVP1 hedge fund has half of its investments in bitcoin.

At the same time, subtle changes could be coming next for Miller's bitcoin-heavy hedge fund. Miller suggested during the podcast that his firm is looking at ways to decrease the amount of cryptocurrency it holds without having to sell any of the holdings.

"I'd be fairly confident to say it won't be 50% of the fund for that much longer, which does not mean necessarily we are going to sell it," Miller explained, adding:

Interesting, he's not a buyer now. Transfer it to something else?

[stonehenge]

Channel 4 News last night.

https://www.channel4.com/news/bitcoi...mate-users-too

"just a thousand people are thought to own 40% of the entire market"

Is that right?

Let's hope they all don't try to leave at the same time.

[Lance]

Channel 4 News last night.

https://www.channel4.com/news/bitcoi...mate-users-too

"just a thousand people are thought to own 40% of the entire market"

Is that right?

Let's hope they all don't try to leave at the same time.

I think Satoshi owns the largest amount. The FBI the second largest (after they gripped the Dread Pirate Roberts of Silk Road). Between them I heard that it was about half of all the coins. That may have changed if the FBI sold up, but being cynical I'd say it's more likely that some FBI staff have some very lucrative retirement pots.

[FrontEnder]

I think Satoshi owns the largest amount. The FBI the second largest (after they gripped the Dread Pirate Roberts of Silk Road). Between them I heard that it was about half of all the coins. That may have changed if the FBI sold up, but being cynical I'd say it's more likely that some FBI staff have some very lucrative retirement pots.

I don't think it's anywhere near as much as half. Satoshi probably own about a million, or at least the wallet the first coin mined was sent to does. They've never moved out of that wallet and might be lost forever for all we know.

There's currently about 16.7 million bitcoins though.