Reply to: Beware of BitCoin scammers

[Hobosapien]

CoinOfCoins fund?

That sounds more like my idea for personalised physical coins that can be opened up to contain the home printed private keys for the actual cryptocoins.

Similar value to chocolate coins but not as edible.

Shiny shiny, ideal crimbo presents.

Collect the 'full set' of physical alt coins to maximise your investment and spread the risk.

Special editions to keep them buying more as the set is never truly complete.

Personal message inscription when buying them as a gift.

The possibilities are endless.

[BrilloPad]

Market gap for someone to come up with an auto balancing wallet that spreads the risk across all the alt coins, and auto rebalances based on profit between buy/sell differences across exchanges.

Similar to what Vanguard Lifestrategy does for traditional investing.



There will be loads of ways to profit from all this rather than just 'hodling' the actual coins.

CoinOfCoins fund?

[Hobosapien]

Market gap for someone to come up with an auto balancing wallet that spreads the risk across all the alt coins, and auto rebalances based on profit between buy/sell differences across exchanges.

Similar to what Vanguard Lifestrategy does for traditional investing.



There will be loads of ways to profit from all this rather than just 'hodling' the actual coins.

[glebe digital]

Coinbase insider trading probe:
https://qz.com/1161391/bitcoin-cash-...trading-probe/

Let's not forget bittrex's warning to 'investors' over being involved in pump n' dump groups, they may take punitive measures and snatch your portfolio if they catch a whiff......

[Hobosapien]

Don't even need to wait for the exit rush to take them down.

S Korean bitcoin exchange hacked and goes bust. My theory NK is behind it all still not blown out of the water.

https://www.ft.com/content/aa9fdd64-...2-916d4fbac0da

"Investors could withdraw about 75% of their digital coins, the rest following may be available following bankruptcy process". i.e. they're using investors coins to pay their debts, or indeed did practice fractional reserve banking and they spent them along the way.

Oh well, one of just many stories of hacked exchanges and dodgy practices. It is an unregulated market after all so expect nothing better. Mr Robot is coming for you.

[glebe digital]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

All these exchanges are massively under-capitalized from what I can gather. All it would take to bring them down is a moderate rush to the door.

[Lance]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

Take the bitcoins out and into your own wallet.

You’re welcome.

[_V_]

Talking of bitcoin scammers, I wonder if sites like coinbase are actually a type of ponzi scheme. If I buy some bitcoin using fiat, it says I have bitcoin, but do I really? What if they are just pocketing the money. There's no access to a private key on their hosted wallet.

Sure, If I send some bitcoin they have to use some they own, but is it a kind of fractional reserve banking, where they've take billions in payments, but only hold a small percentage as actual cryptos, as most people just buy and hodl.

Thoughts?

[darmstadt]

Scammed too...

[greenlake]

I was scammed recently. If there is a cryptocurrency called marriage.....

[BrilloPad]

I was scammed recently. If there is a cryptocurrency called marriage.....

[Hobosapien]

Best time to buy Bitcoins? Just before Kim Jong-Un does something really stupid that provokes a military reaction from the US.

What if the bitcoin inventor (Satoshi Nakamoto) who is apparently hodling a million bitcoins, is really the NK government, who are waiting to dump the coins when they've suckered in enough western money?

Can't say that's not possible either.

No predictions are possible based on fact. It's a ghost currency.

[Lance]

Yes, yes, yes, I understand that.

But with something with literally zero real-world value. At what point would you buy back in? That's my whole point.

If wheat plummetted eventually a baker would buy some to make some bread. If BP shares fell 75% Exxon would pop-up with a takeover. Both of those things have a real-world value.

If USD falls, the Fed's step in, if they cannot stem the fall, we all step in ( by buying up nice and cheap US assets ). It acts as a break.

But with BitCoin? What's the floor? zero is the floor. If it fell 20% in a couple of days why would you buy-in? Most people would probably hold off, forcing down the price again. And so on, in a vicious circle.

The floor is above zero as there will always be some value (I reckon). What will happen next? I have no idea? And anyone who says they do is being economical with the truth. It's a guess. It might be a guess based on good information, but still might be wrong.

I think that the value will grow as global uncertainty increases around Brexit (to the mods - that's a Brexit mention in the context of Bitcoin), the Euro, North Korea, Russia and all other instability. But.... and it's a big but..... will it correct beforehand?

Best time to buy Bitcoins? Just before Kim Jong-Un does something really stupid that provokes a military reaction from the US.

Best time to sell? When you're happy you've made enough. Don't be greedy.

[Hobosapien]

Depends what the cause of the slide in price is. If it's government interference then the price may not recover if those able to still invest decide an alt coin is a better long term proposition.

There is nothing stopping bitcoin falling to zero if the demand disappears in favour of an alternative.

Something like 200 alt coins already. None guaranteed to be winners. The winner may not even have been invented/launched yet.

Conversely the governments may back bitcoin (for whatever ulterior motives they may have) and it conquers the market and all those hodling now turn out to be right.

Feeling lucky? That's all you can base your decision to invest on at the moment.

[tomtomagain]

it's only worth what people are willing to pay for it. Therefore the 'slide' will stop at a point where people are willing to buy it in the volumes required to satisfy the sellers desire to get the best price they can.

Supply and Demand 101.

Yes, yes, yes, I understand that.

But with something with literally zero real-world value. At what point would you buy back in? That's my whole point.

If wheat plummetted eventually a baker would buy some to make some bread. If BP shares fell 75% Exxon would pop-up with a takeover. Both of those things have a real-world value.

If USD falls, the Fed's step in, if they cannot stem the fall, we all step in ( by buying up nice and cheap US assets ). It acts as a break.

But with BitCoin? What's the floor? zero is the floor. If it fell 20% in a couple of days why would you buy-in? Most people would probably hold off, forcing down the price again. And so on, in a vicious circle.