Bitcoin hits $1,100 USD

[Train]

Yep, the crazy crypto currency is still around, and setting new records.

Didn't see any thread about it. Anyone on here own any? I've never bought any myself but always found the concept fascinating.

Interesting to note that there are about 4 million more bitcoins in existence now than there were the last time bitcoin was above $1000, in early 2014

 

[pete6032]

Good article.

https://www.technologyreview.com/s/603295/why-bitcoins-1000-value-doesnt-matter/

 

[ImpulsE69]

Maybe that's why MGTI suddenly has went up .30 a share.

 

[Murloc]

they're doing well in China apparently.

 

[[DHT]Osiris]

Good article.

https://www.technologyreview.com/s/603295/why-bitcoins-1000-value-doesnt-matter/

Mattered to me when I sold some for a +30% markup over a week ago.

 

[renz20003]

I still don't understand how this is a form of currency.

I bet running the mining software is helping secretly hack a government.

 

[Train]

I bet running the mining software is helping secretly hacking a government.

Kinda hard to do considering it's open source.

 

[[DHT]Osiris]

I still don't understand how this is a form of currency.

I bet running the mining software is helping secretly hacking a government.

Same way any form of currency not backed by a physical object is a form of currency.

It could still be a govt conspiracy, but as long as I'm seeing $ -> bank account, I'm in for a pound.

 

[ImpulsE69]

I think it's a conspiracy, but not the government. Only people getting rich off it are the thieves that keep popping up. If it's digital, it isn't secure.

 

[[DHT]Osiris]

I think it's a conspiracy, but not the government. Only people getting rich off it are the thieves that keep popping up. If it's digital, it isn't secure.

You talking about Bitcoin, or $_currency? You could probably argue either way.

 

[Elixer]

I think it's a conspiracy, but not the government. Only people getting rich off it are the thieves that keep popping up. If it's digital, it isn't secure.

Pretty much, it is ransomware's / cyber crook's best friend.

 

[cbrunny]

And down again. http://www.reuters.com/article/global-markets-bitcoin-idUSL5N1EV38S

Jan 5 Digital currency bitcoin fell more than 20 percent in the space of four hours of trading on Thursday, putting it on track for its worst daily performance in nearly two years.

The web-based "cryptocurrency" had been on a tear for the two previous weeks, gaining more than 40 percent to hit a three-year high of $1,139.89 on Wednesday, just shy of an all-time high of $1,163 on the Europe-based Bitstamp exchange .

But it dived from around $1.1130 to a low of $885 in between 0925 and 1325 GMT on Thursday, leaving it at its weakest since Dec. 25. (Reporting by Jemima Kelly, Editing by Vikram Subhedar)

 

[Charmonium]

You can thank China's capital controls and lack of controls on speculation in the crypto markets.

If you have money in China you have limited options for investment so people try to move as much as they can overseas. One way to do that is with cryptos. Although I had thought that China had severely limited either how much money you could exchange for bitcoin and other cryptos or they had restricted the banks that could do the exchange. My guess is that someone found a way around those restrictions.

If that's the case and that's the reason for the run up, then this is probably just the beginning of the roller coaster ride, at least until the next round of govt crack downs. This cycle of pump and dump is the hallmark of Chinese trading.

 

[Yakk]

As I write this BTC is at about $885.

I have to say it is an absolutely incredibly *AWESOME* time to be a bitcoin trader, the monster swings up and down like this are like a wet dream that won't end.

 

[ultimatebob]

As I write this BTC is at about $885.

I have to say it is an absolutely incredibly *AWESOME* time to be a bitcoin trader, the monster swings up and down like this are like a wet dream that won't end.

It kind of sucks for anyone actually trying to use it as a currency, though... no? I guess that it would be OK if you're using a service like BitPay that instantly converts it to cash, but I sure as hell wouldn't want to be paid with something that could be worth 25% less than it's current value tomorrow.

 

[mxnerd]

Every now and then one of the exchanges will claim it was hacked, went along with all the coins.........

 

[Yakk]

It kind of sucks for anyone actually trying to use it as a currency, though... no? I guess that it would be OK if you're using a service like BitPay that instantly converts it to cash, but I sure as hell wouldn't want to be paid with something that could be worth 25% less than it's current value tomorrow.

I consider bitcoins a commodity or what I call a "super currency" (a term I made up for myself in my financial portfolio). Meaning when BTC it is high, you convert a small fraction of the normal profit taking to a local currency for transactions. This way you can take advantage of a high bitcoin value, and not sacrifice value when BTC is low.

I calculate using bitcoins directly as currency is very, very expensive, to the point I'd rather convert it to a local currency and taxes and still be ahead instead of being at the mercy of the markets and timing .

 

[sdifox]

I think it's a conspiracy, but not the government. Only people getting rich off it are the thieves that keep popping up. If it's digital, it isn't secure.

Err ok... How secure is your leather wallet in your back pocket?

 

[WhoBeDaPlaya]

I should have kept my last ~700 BTC or so until now, but then the IRS would be all up my ass.

 

[ultimatebob]

I should have kept my last ~700 BTC or so until now, but then the IRS would be all up my ass.

Yeah, I got out of crypto mining awhile back when the IRS started taxing it. I figured that the hassle of declaring the gains on my taxes would have offset the meager profit I was making in it at the time.

 

[[DHT]Osiris]

Yeah, I got out of crypto mining awhile back when the IRS started taxing it. I figured that the hassle of declaring the gains on my taxes would have offset the meager profit I was making in it at the time.

With any luck, the various tax programs will have a section this year on 'Did you mine any bitcoins?' so I can just declare it that way.

 

[Yakk]

I should have kept my last ~700 BTC or so until now, but then the IRS would be all up my ass.

If I had that many as a base to start, I'd have time to deal with it as I'd be semi-retired.

 

[Murloc]

As I write this BTC is at about $885.

I have to say it is an absolutely incredibly *AWESOME* time to be a bitcoin trader, the monster swings up and down like this are like a wet dream that won't end.

if you can tell which way it's gonna go sure, but how do you know?

 

[[DHT]Osiris]

I should have kept my last ~700 BTC or so until now, but then the IRS would be all up my ass.

For $700k, i'd build a new room on my home to let the auditor set up shop for a while.

 

[ImpulsE69]

Err ok... How secure is your leather wallet in your back pocket?

Well we know you don't have x-ray vision. I don't carry a leather wallet, or in my back pocket, because that isn't secure. I also probably wouldn't be carrying thousands in cash in my back pocket that someone can just snatch w/o me noticing either since that's really the only comparison that sort of fits.

I've always carried my essentials in my front pockets. I don't trust humans and while it isn't foolproof, it is certainly more secure than back pockets or coat pockets.