Posted on 11/17/2013 2:04:56 PM PST by Errant
One day before the Senate's digital currency hearing titled "Beyond Silk Road: Potential Risks, Threats, and Promises of Virtual Currencies", Bitcoin is largely oblivious to any potential regulatory threats, either at the legislative or the city level, where as reported previously the New York superintendent is in a rush to enforce BitLicenses on businesses that accept BitCoin, and moments ago crossed $500 for the first time ever. Instead, it appears that as we also reported previously, the Chinese Bitcoin craze has reached the parabolic threshold, going so far as making Bitcoin an acceptable payment for real estate, which means that while for the time being Bitcoin becomes the alternative inflation protection medium for hundreds of millions of Chinese, all bets on how high it can get are off.
(Excerpt) Read more at zerohedge.com ...
So how much are all the bitcoins currently in existence worth? How many are in the hands of the early creators? And even if they create the 21 million bitcoins planned, at the current rate that’s $10 billion worth of value, hardly enough to send world economies into a tailspin
The Chinese are also buying empty apartments in ghost cities. Not someone I would take investing advice from.
Me too... ;-)
I didn’t know about them in ‘09, but I knew about them long enough ago that if I had jumped when I thought about it, it would have may uncle Sam a heck of a lot of tax money, if I sold today. :-)
To each his own. I am playing with their money now anyway. It could drop to $1 and I will still have money in my pocket. It’s returning better than Madoff and the lottery. And it’s more fun.
There will be more stories this week as the Senate is holding hearings on Silk Road. The MSM will be talking about money laundering and drug deals and hit men.
The government will do whatever they can to make this seem dirty, seedy, and illegal.
They will fail.
The Fed does it every day to the tune of a billion and a half dollars.
"Internet Kill Switch".
By all means, do so then. Meh, I like owning something that doesn't require the maintenance that tulips do, and is easier shipped to anywhere in the world. ;)
And what will that do to everything else that relies on the internet (e.g., banking, ordering, ...)?!
Ah yes... I will add that to the list.
“Bitcoin is a Scam”
No moreso than Federal Reserve Notes.
Ask DHS.
Good point! What's DHS gonna do if the internet goes down? For that matter, what's all the other alphabet agencies going to do as well? lol
What they probably WILL do is shut down the wire transfers into US bank accounts from banks dealing with bitcoin. For example, due to federal banking rules, Mt Gox really hinders the movement of dollars through their exchange.
If Bitcoin grows, you will see the Treasury jump ugly over it.
But then that leaves the rest of the world and only 12 million Bitcoins at present. Doesn't take many owning only 1 to suck up that miniscule inventory - only about two thirds of the people living in Hong Kong.
We shall see... Watch who in the senate comes out against it - then you'll know more of what to expect. It might actually be better for our "leaders" to ignore the owners of the Fed, embrace it and tax it to death instead... lol
Oops, I got that wong. I was thinking about the population of Mexico city. lol There are only about 7 million living in HK. ;)
I'm dealing with the estate of a family member, who was into bitcoins. I can see where he bought a bunch at $20. When I first started watching, they were at about $100 each. Now? Mt Gox "Weighted Avg:$499.60693"
bttt
Remember the States can COIN, not PAPER, money.
Though it's fun [and educational, too!] to watch the BitCoin phenomenon unfold, in the end, you're absolutely correct.
Just as wealth is created only by the production of tangible goods, a dependable medium of exchange must be tangible, itself.
BitCoin is nothing more than a fancy debit card. It's only worth something so long as it can be exchanged for existing currencies.
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