Bitcoin Forum

FBI will sell their bitcoins one of these days.

Why will this crash the bitcoin price? Simple:

FBI got: 144,000 bitcoins.

Totale volume of ALL exchanges combined: between 70 and 80 thousand.
About HALF of what the FBI is going to DUMP.

Source: http://bitcoincharts.com/markets/

Sell now people.

Remember: if China sells 25,000 bitcoins, the price will drop between $200 and $250 USD.
We are talking about almost SIX TIMES (6!!) that much. It can't even drop 6 x 200 = 1,200 - that's higher than the bitcoin price!

So, realistically, the price would probably drop to around $80 because a lot of people will buy up. But not enough to make the price go back up fast enough, as 144,000 bitcoins = A LOT MORE than all people combined, on all exchanges, would be able to afford. This would lead to another drop/crash.

So sell now, it's not too late yet!

There surely should be some rule about thread spamming.

Why are you such a saint?

Operation: FUD

Lol. The price would rebound in a matter of minutes. I would buy back hundreds of Bitcoins alone if price falls that hard.

You would buy hundreds of bitcoins at around $100 each?
What, everyone suddenly has $50,000 lying around they can freely spend?

Sir, I must confess that I have strong believes that you might be mentally challenged. If I may, I would like to advise you to visit a psychiatrist. I am confident that it will stabilize your mind. Confirmed sources have confirmed that your mind has a lot of potential to become of average intelligence.

Awesome....love to see BTC faucets pop back into existence.


Typical FUD thread.....

This is dumb. There is some price level where funds like SecondMarket will start bidding and eating up all those coins, like in June.

You are talking to a forum full of Bitcoin early adopters. Surely a few of them sold 50 bitcoins at $1000 each.

If shit that will never happen happens, bitcoin will insert dogma here.

If the Moon crashes into the Earth, Bitcoin will... fuck... this is hard...

If potatoes acquire sentience, bitcoin will buy me a sentient potato UP.

If btc overtakes fiat and becomes a more popular payment method than VISA, then bitcoin will trade at $80,000,000 per coin.

This kind of answers is the only thing that it's more ridiculous than baseless fud.

I am so sick of this shit.  At least put your fucking FUD in one of the dozens of threads on exactly the same crap.

I really doubt it will be the end of Bitcoin..

That'd be awesome. I hope it crashes. I'd love to pick up cheap bitcoins.

I'm holding mostly fiat these days and I this makes me really nervous.   I think the prospect of an economic collapse causing fiat to become worthless is in fact a greater chance than bitcoin crashing and becoming worthless, because bitcoin makes a great deal of logical sense, whereas fiat is mostly imaginary funny money IMHO.

If the Moon crashes into Earth, Bitcoin will be to da moon

That's it! Wonderful!

Max Keiser made them an offer for these bitcoins in one of his shows.
Also difficulty is at 2+ billion and climbing.
 

Max Keiser, who lives in Russia & ranted about Bitcoin on RT, a Russian news network, should prepare his anus for jail, because Russia just announced that Bitcoin users will go to jail! :

Russia Central Bank: Bitcoin Users Will Face Jail Time

http://en.ria.ru/business/20140127/186966541/Russias-Central-Bank-Bitcoin-Users-Can-Face-Jail-Time.html

Max Keiser is going to be raped in his ass in Russian prison, LOL!

Exactly. If you want some cheap coins, buy some alts....

What the ruskis are saying is that if you do something illegal you will be punished for breaking the law. Love how easy it is to scare people just by careful choice of wording though.

yeah and maybe some classes about economics and price mechanism.

Think about this logic: When there are 0.5% of facebook shares get traded everyday and Zuckerberg wants to sell all of his shares (20%), the price will be ZERRROOO. For 19.5% of the shares he will get ZERROOO. That means nobody what to pay a penny for 19.5% of Facebook.  ::)  -> great!

Prepare for the crash folks, but what's causing the price fall now is it due to the arrest of the bitcoin exchange exec by FBI for money laundering?

Lol @ppl actually responding and quoting obvious trolls instead of just pressing ignore

Who ever gets them owes me 2 Bitcoins.
I am kidding !!! But seriously, I want my 2 Bitcoins back. Kidding.

The coins seized and forfeited from SR are supposed to be sold at auction by US Marshals.
But so far there is no mention of the coins on their site, which I'm checking daily:
http://www.usmarshals.gov/assets/sales.htm

Very wise words there! That is the danger of having a parabolic rise based on restriction of supply. If that large quantities of the restricted supply suddenly becomes available for whatever reasons.........


This should be in confirmed facts thread but deserves a thread of its own.

not to mention the fact that only 790 people own 50% of all bitcoins
some of them want to become a millionaire, this might be their last chance!


they will feel EXTREMELY stupid if they do not sell now, as they will soon find out that they have to get back to working at McDonalds as their coins will be worthless. This is their last ONE IN A LIFETIME chance to become a real-money millionaire. THey WILL sell

and they will be smart enough to know that not all them can become millionaires. The mark to market value of their holdings only exists because they have cornered the market and restricted supply turning increasing interest into a mania. A mania that has now all but evaporated. If they all turned up at the exchanges at the same time, they would be lucky to get away with a few years good salary. Only those who cash out first, and most, at the highest prices can really cash in on this falling house of cards. For that reason, they need to conspire to keep the price as highly supported as possible in order to dump as high up as possible which then drives Bitcoin to a lower support range. This is what we have been seeing.

This is a confirmed fact.

Calm down, people.

First, FBI is not going to dump the bitcoins--they will AUCTION them off and institutional buyer(s), not individual trader(s), will pick them up at a competitive price. Nobody's getting them at $100 a piece.

Second, bitcoin has crashed a few times before. Hard. We're still here and price is hovering at around $800 since the last crash.

Please stop the FUD campaign against bitcoins.

Bitcoin fundamentals ARE strong and getting stronger everyday. Due to so many people spread FUD, we are stuck or even going lower in price currently. China syndrome is almost over. Tax refund season is almost upon us in the US. Good times are just around the corner.

Well, FBI is not going to sell them at 800 a piece either.
And I don't see anyone with sense purchasing them at exchange prices.
I bet they will sell them at around $50 each, and the buyer will list them on the auctions for $200 each to make a quick profit.

That's what's going to happen. And then bitcoin will crash. FBI made money, the investor made money, bitcoin threat removed - FBI: success!

some of them want to become a millionaire, this might be their last chance!

they will feel EXTREMELY stupid if they do not sell now, as they will soon find out that they have to get back to working at McDonalds as their coins will be worthless. This is their last ONE IN A LIFETIME chance to become a real-money millionaire. THey WILL sell
[/quote]

Confirmed. Alle the rich guys sell off at the same time, so the coins get cheap that the average guy can buy them up :)

+1
If I had 30 000btc which I bought for 50$ each, I would not sell them over time for 800$ each, but for 200$ each. Why wait? To get 18Mio.(300%) more? Ah there are investment, which are much more profitable...

If the FBI had any brains they would be hanging on to those coins, which will be worth billions one day. Imagine how many years of department funding that would be. But they've got procedure to follow...

Bitcoin's market cap is total bullshit. Just a small fraction of all bitcoins can severally crash the price. In most traditional markets this is not possible at all.

How will they only get $50 per BTC at auction when I would easilly pay $51?  How will I be able to get them for only $51 when I know of many others that will easily bid $52?

I can't wait for the auction.  Getting my cash ready.

This is idiotic. If you somehow managed to get bitcoins at $50 today you would sell them for AT LEAST $600. And more likely 7-800 over a longer period. People are not quite that stupid.

The OP underestimates how many buyers are chomping at the bit ;) for lower bitcoin prices.

And vice versa. Let Wall Street make it "traditional" in 2014.  ;D

Long live the Winklevii bitcoin trust!

There will be moments of despair that even the most optimistic bull loses faith. There are a gazillion examples in financial history.

@Lloydie

The FBI is no company which wants to make profit.


@Dalmar

Same with Facebook shares. What if Zuckerberg sells all of his shares at ones. The price would go to zero, so the stock market price is crap.


@BurtW

The price on the auction will be the current market price. It depends if they sell it to one buyer. Maybe even higher than the current market value. Imagine you have some of these billionaire and want to buy 30 000btc. What will you do? Go on an exchange and make thousands of buys? No, you would find some big wahle or an auction like this and make one transaction.

I was wondering which of their various auction web sites they are going to use.  Can you give me a link showing it will be the US Marshall web site as opposed to one of their other sites?

@porcupine
I respectfully disagree. You may have underestimated the human propensity for greed.  ;D

Crappy example..

Governments and big banks have an incentive to crash bitcoin hard and get it to capitulation levels when you least expect it. A founder obviously doesn't.

LOL. Bitcoin is bigger than government. It is the INTERNET of MONEY. Hahahaha...

I'm not disagreeing with you, as you are precisely correct. Yet at every nadir there are still buyers. Fortunes are made when intrepid investors see blood in the streets and go all in.

Anyone can bid at these PUBLIC auctions, even you if you want to.

You stupid fool. If bitcoin was bigger than the government, your sorry ass (and that of your bitcoin-propaganda spreading foolish friends) wouldn't be excited when the government is having a hearing, or when Bitcoin is getting a little tiny bit of media attention. I bet you get a hard-on when Obama mentions ''bitcoin''.

''Bitcoin bigger than the government.''

HAHAHA, YOU FOOL!

Especially by clueless noobs. Perhaps a good rule would be no starting of threads with less than 100 activity points.


He didn't say that.


Show a little respect for your superiors.
______

***Gives self slap for feeding troll***

You just keep doing your job wage slave. Hahaha!  How does it feel? Going to work paying off the mortgage. Enjoy it while the rest of us buy more bitcoins. Lol.

LOL @ 'source' in OP.

I apologise to all the wage slaves who have missed out and are still missing out. It's too bad you're missing out on the biggest monetary revolution in your entire lives. Don't miss out wage slaves. Buy some for the kids and grand kids. Sure, keep spreading FUD but don't let your offsprings pay the price. They deserve better.

lmao, I am actually self-employed and short bitcoin from time to time.  :D

Hey, don't diss employees.

Every society needs a peasant class.

They said that they won't sell though any market echages... But with a bidding. That is more likely not to cause a crash.

You are shorting Bitcoins? Hahaha... What's your business?

True. Let's hope in the future society will have more middle classes.  :)

It's not my business, but something I do on the side as a sort of hobby. Just made another nice short from 805 to 785.  :)

Shorting bitcoin is so easy as of late. Bitcoin needs to learn its place.

Much easier to hold from $100 to $1000. I guess you enjoy the challenge of risking unlimited losses.

Seriously, bitcoin should learn its place?!? Where do you come from? Bitcoin is a decentralised peer to peer network. It's everywhere. No government can stop it without damaging the Internet and even then bitcoin will still exist. You cannot stop something that is essentially a protocol. It is bigger than government because people choose to use it.

Once people understand that bitcoin is a transaction system that does not rely on third parties, why would they want to rely on third party fee clippers?

I used to hodl for quite a long time. But recently I just can smell doom everywhere. Shorting has been far more profitable since December. Using our proven martingale maxleverage SHOTR strategy you could become even more wealthy, as is confirmed by our facts and all the bad and confirmed news.

Ok. Fair enough. Explains the FUD and all that. Good luck with it. I still reckon you're better off hodling. Won't be long before bitcoins becomes its own investment asset class.

The rumor (from above) is that they will be holding the auction at the US Marshals web site.  They have several different government auction web sites to choose from.  Once I learn for sure which auction web site they will be using then I will register there, do a small "test" auction on some random item to learn the ropes of the site and then get ready for the big day.

Almost smells like a HoneyPot if the government is having their own auction site where you have to register.  Great way for them to collect data on bitcoin users!

This isn't allowed by law.  There is a minimum percentage of market value that they are required to sell for (I believe it's 40% or 60% but don't quote me).

Under that scenario, the minimum they could offer them for would be in the $300 range.  And since they are all auctions, the price should equalize out to what they are worth at the time.

I think it will crash more because of the announcement than the actual sale.

And pretty soon Dalmar will learn his place...

Of course you have to register and give them all your information.  It is a standard government auction with all the standard AML/KYC/IRS reporting requirements.  Just like buying a boat, car, helicopter, jewelry or anything else they confiscate.  They auction off stuff all the time on their various web sites.  This is just another auction to them.  I just need to know exactly which web site they will be using and the rules of the auction.

Buy low sell high. . . . . .

I didn't quite mean it like that. (Although after reading my post it does comes across like that)  I realize governments auction stuff off all the time.  I meant this is a perfect opportunity for them to find out who/what/where Bitcoins are being bought.  They will gain a Birdseye view of what is taking place in the crypto coin market.  Just like they keep tabs on all gun owners, they will know who is into crypto currencies.  May or may not be bad....just depends on how they use the information gained.

The market would tank temporarily if this happened and within a week (or less), it would be back up to the current price it is right now.   There are millions of people around the world sitting on the sidelines (some with a lot of money, and some with only a little money), all waiting for a steep decline in prices so that they can invest. 

If it crashed that hard, I know for a fact I would be putting a lot more money into the exchanges, and fast...

Believe it or not, the FBI is not going to dump 144,000 BTC on an exchange in a dump.  Their job is to maximize revenue from the sale, and you can guarantee that someone is responsible for researching the most efficient way of doing this.  The reality is that for these size transactions, exchanges are not sufficient.  They are sold privately, in chunks of maybe ~10,000 BTC each.  Who knows what they'll actually get for them.  The simple movement within the Blockchain when the sale occurs will almost certainly drive prices down.  The buyers will be smart to hold onto the coins and wait for the initial fear to settle down before actually beginning to liquidate the coin.

If the market can't handle ~1% of BTC being sold then at the end of the day it's a pretty shitty market to begin with.

How many years?

I believe the fed doesn't have the authority to sell all 144k Btc. Only 27k or something like that. The rest is still being disputed by DPR.

They can't sell DPR's coins until he's convicted in a court of law.

The only coins they can sell are those whose ownership is unknown and remain unclaimed.

Yes.

People should claim their btcs, IMHO.  Just because someone has an account at the SR does not mean one has committed a crime.  The crime is committed only when something is purchased that is illegal in the State that you live in.  Again, this is just conjecture from me.

So you do not have to guess at the exact number of BTC and their current market value:

The two addresses in question are the two addresses that are owned by and set up by the FBI.  As they found BTC they transferred them to these two addresses that they control.  I do not know exactly how they found/got the BTC to transfer them, but the fact remains that they control the two addresses:

https://blockchain.info/address/1F1tAaz5x1HUXrCNLbtMDqcw6o5GNn4xqX

about $ 24 23.5 million from the Silk Road web site/server.

https://blockchain.info/address/1FfmbHfnpaZjKFvyi1okTjJJusN455paPH

about $ 120 114.6 million from DPR himself.

They have permission from the courts to auction off the smaller amount - the amount they took from the silk road server.  The larger amount is tied up because DPR has claimed ownership of them.

Some people do, some people don't.

Anyone guestimate how long the court case will take? Because I don't think he's got a great defense so the bitcoins he claims as his own will most likely get sold off as well once the case ends.