Bitcoin Forum

Gold fags on suecide watch. Bitcoin not affected.

http://hacktribune.com/china-discovers-470-ton-gold-mine/

>Scientists at the Shandong Provincial No. 3 Institute of Geological and Mineral Survey have located a >mega-sized gold deposit, 2000 meters under the north coastal water near Sanshan Island off Laizhou >city in the Shandong province, with at least 470 tons of reserves. The new-found deposit, the largest >undersea gold mine found in China, is currently valued at over $16.4 billion and is estimated to hold at >least 1,500 tons of gold.
>According to Ding Zhengjiang, the deputy director of the Shandong Provincial No. 3 Institute, the gold >deposit is part of a crablike or belt that lies deep at the sea bottom. The marine ground investigation >took three years, and involved over 120 kilometers of drilling, with 67 sea drilling platforms and about >1,000 drillers and geologists.

Do you guys think there actually artificially suppressing/controlling gold supply?

To be honest I would not necessarily be surprised if they are suppressing the gold supply, there's been the same thing with the diamond supply and the deBeurs diamond cartel and everything.

Technically they aren't necessarily suppressing the gold supply, though. If this is a discovery, it just means there might be more gold still left in hard-to-reach places. Or it means there are way more resources than we originally thought located here on earth.

THis is not going to affect the gold price. The mining of deep sea gold will require resources = money.

If the price of gold drop significantly, no one will spend their money on mining "cheap" gold- just like bitcoin mining. Therefore, the price of gold must go up in order for the mining to be profitable.

Nope. Don't believe the hype. Gold is not done for. Why do you think that are so many people trying to hold both bitcoin and gold?

I guess it's the same principle as oil. There are countless billions of extra barrels hidden away but it simply doesn't make economic sense to retrieve them.

Gold doesn't do it for me at all but its link to wealth is in our genetic memory. There'll always be a twinkle of desire for it.

suda123

1)  That gold is too deep under the seafloor to be mined for the foreseeable future.  VERY expensive to mine it.

2)  470 tonnes, were that to be true (and we'll have to wait and see) is not that much compared to the 180,000 tonnes or so in stock worldwide.  Remember, with gold, what is important is the stock:flow ratio, which is higher for gold than any other commodity.  470 tonnes means zip.

3)  Most of the gold to be discovered going forward is likely to be other high-cost-of-production gold.

4)  Yes, I would guess there is price suppression, but that is NOT proven, and many knowledgeable gold observers & analysts doubt that suppression is a big deal.  What is a big deal is the HUGE amount of "paper gold" (futures, options, "allocated gold" (hah!), the GLD, etc.) vs. the amount of physical gold actually available.  Some estimates are that some 280 oz of "paper gold" exist for each oz of physical.  A lot of people may be disappointed when they cannot get the gold they thought they "owned" via paper gold. *


* If you can't stand in front of your gold, and defend it with an AR-15, they you don't own it.
-- Ann Barnhardt

Haha, I love it when bitcoin is mentioned on www.coinflation.com, which has been one of my favorite websites for years now. 

Eh, gold isn't doing too badly.  Stocks are entering the sewage system and will probably stay submerged for a while (yay, cheap stocks!!!), but who knows what the metal market is going to do.  It's so hard to tell.  2011 was kind of a fluke, much like 1980 and I don't expect we'll get to $50 silver anytime soon.  Would be nice, though.

Guys does anyone of you buy stocks in the tech companies by any chance? I am particularly interested in AMD because I think their stocks will raise this year with the launching of their new CPU line.

I'm quoting this for truth.

The price of gold is decided by the market and the mining difficulty. Also, it's true that the price of gold is supposed to plummet as available quantities increase, but since miners get paid less, they might just end up spending more digging than actually earning when selling. They'll quit digging if they don't earn enough. If gold's price rises again at satisfactory levels then the mines will reopen and the price will fall back again and the mines will close again, etc. You can't alter the price just by discovering new mines. The mining difficulty and the market are there to regulate the price.
What I'd be afraid of, in the future, is that mining from asteroids becomes cheap enough so that available gold loses it's rarity. But such thing is not for tomorrow. Space exploration has just restarted, after all.

Also, I agree with OROBTC regarding 4): the inflationary policy behind paper gold is of much higher concern than new gold mines way below the seafloor.  

DimensionZ you might want to create your own thread in order to promote your company's stocks.

What I mean is usually when news comes out like this its going to lead up to something bigger, it's like priming before an event to preprogram people a briefing.

But good reads over all most of you.

i don't believe gold, and i'll never, since it's far more centralized than bitcoin, and a bit comparable to fiat already, the fact that it is not issued by the government does not change mach

they are holding everything about gold anyway, and they know how many do you have, heavy control there for gold, i don't like this....

always believe in diversity and always have gold whether its down or not.

I tend to get more when its lower and sell more after it rises but always try and
have 5%-10%

I don't believe that gold is done, not by a long shot.

Yes there has been some changes with the gold market as to what it was 20 years ago. But come on, gold has been around for so long.

I don't think gold is done yet.

Gold will be always there is not going to end just like that.
Still bitcoin is good and all, but gold for people is always there.
There is some real gold coins that are more worth than bitcoin so yeah.

I wouldn't be surprised either. But I don't think gold is done yet.
The earth is pretty resourceful, if you know where to find gold, you can get rich by yourself like that.

Yes there is no alternative for gold, so gold will never loss its charm.

Mmm hmm.  Gold will never lose its charm, at least not all of it.  Because it's shiny, yellow, heavy and rare.  It is essentially impossible to counterfeit gold (at least to fool a somewhat skilled observer).

Babies reach for gold vs. silver...

OK, I am a real gold fan, but watch.  Gold is not going anywhere.

*   *   *

That said, Bitcoin has other advantages that complement gold.  Bitcoin pretty much moves independently of gold, so BTC is good diversification in a balanced portfolio of assets.

Bitcoin or gold...?   No, the answer is Bitcoin and gold!

Increased supply always has a negative effect on the price of an asset.. this is pretty much physics. Now, would I qualify this as "done for", don't think so. The network effect of gold is too legendary, but the market will remain stagnant. The action for the future is all in Bitcoin.

 :D ;D


Good info on Gold for sure, bitcoin and gold has some similarities that way and if we go by this rule then the price of bitcoin is going to ascend when the quantities decreases and we can expect a decrease in supply after halving?

Dude, start a topic on this if you want to discuss it, and I don't say that in a mean way.  We need a good thread about stocks here, even if it doesn't have anything to do with bitcoin.

Gold at 1085 as I write this and silver at 13.85.  Gold is holding on, seems like.  Silver has gotten absolutely hammered in the last 4 years.  It's ugly.

With the Chinese stock market tumbling, it is possible there is a decreased demand for silver for whatever they would be using it for.

It is brutal though, I completely agree. PMs are taking a beating, and I think it'll be rough to watch them over the next few days.



I fully believe that we are seeing another economic collapse, between oil, PMs, China, and the NYSE, we're going to see a lot more things falling in the next year.

It is not possible for the masses to know for sure whether gold supply is being controlled. Human actions/thoughts are still free from outside control in the same way that fiat cannot really be controlled. With Bitcoin we're moving toward a world where everything is accounted for and control is absolute. Science is making a lot of progress when it comes to techniques for probing the human mind and even mind reading. If humans maintain their current path of evolution, there will come a time when every human action/thought will be known the second they occur and filed away in the 'human ledger'.
The good news is that you'll then be able to know if someone is trying to suppress gold supply  :D

Gold will recover,  it's needed in electronics and various other things so not only is it used as a store of value,  it's actually needed for everyday appliances.  A small dip isn't the end for precious metals.  Until a man made gold is invented gold will always have value.

I dont know. I guess we will see what happens when this(if) gets mined. I think it wont be done fore though.

I doubt it's a huge scheme to control gold currency and just not economically feasible to mine massive quantities of gold under water for a cheap price.

Nothing special here and nothing groundbreaking. This gold deposit is not the biggest, nor the easiest to mine. Gold price is safe imo, stop worrying.
Russians has a lot more natural resources, like the biggest diamond deposit in the world lying fallow now and as result we don't see massive diamond price reduction.

Wish I could buy piles of precious metals right now.
Good time to buy and hold.