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Bitcoin => Bitcoin Discussion => Topic started by: 15_year_old_blonde on June 11, 2011, 12:26:57 AM



Title: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: 15_year_old_blonde on June 11, 2011, 12:26:57 AM
The Bitcoin Triples Again

by Jack Hough
Friday, June 10, 2011

The online currency has minted off-line millionaires. But for how long?

The world's fastest-gaining currency has tripled in price again. Last week, SmartMoney reported that the Bitcoin had exploded from an exchange rate near zero to more than $10 in about a year, making it one of the top-returning assets of any kind. On Wednesday the currency topped $30.

If returns like those seem otherworldly, perhaps its because Bitcoin is a world unto itself. To recap, it's is a purely online currency with no intrinsic value; its worth is based solely on the willingness of holders and merchants to accept it in trade. In that respect, it's not so different from fiat currencies like the dollar or Euro, but whereas governments back such money, Bitcoins lack central control.

In another way, the appeal of the Bitcoin echoes the appeal of gold. Instead of a central bank, a computer algorithm dictates their supply. Today there are six million Bitcoins, a number that will grow at a steadily slowing rate until it approaches 21 million, but no more. As with gold, some see such limited supply as built-in protection against inflation that could result from runaway government budget deficits. Gold, of course, has been a store of value for thousands of years and has at least some industrial use, whereas Bitcoins are brand new and exist only on the Internet.

For some early adopters, Bitcoins have turned from a hobby into a windfall. MtGox.com, the main exchange for users swapping Bitcoins for dollars and other currencies, charges buyers and sellers a fee of 0.65% for its brokerage service. (The name stands for Magic the Gathering Online Exchange, but the Bitcoin dabbler who bought the domain didn't bother to change it.) As recently as a few months ago, the site generated just pennies a day in income. By Wednesday it was making more than $40,000 a day.

Mt. Gox, needless to say, is not a regulated exchange, so its pricing and liquidity data aren't subject to any review or verification. Mt. Gox didn't respond to an email request for comment. The site offers no customer service phone number.

The largest Bitcoin account holder -- who is, of course, anonymous -- has 297,000 units of the start-up currency, according to Donald Norman, a spokesman for the The Bitcoin Consultancy, which offers advisory services for institutions interested in Bitcoin transactions. At $31 per Bitcoin, that's equivalent to $9.2 million.

Bitcoins are accepted by a limited number of merchants for services, such as website design, and some goods, such as music and clothes. The anonymous nature of the currency has also led to brazen use by drug dealers, including ones who hawk their merchandise on Silk Road, a website than can only be reached through a network that cloaks the identity of its owner. Lawmakers are not amused. "The only method of payment for these illegal purchases is an untraceable peer-to-peer currency known as Bitcoins," wrote Sens. Charles Schumer of New York and Joe Manchin of West Virginia this week in a letter to the U.S. Attorney General and the Drug Enforcement Agency.

Cash, Bitcoin advocates are quick to point out, is also an anonymous payment system used to buy drugs, and Norman says the focus on drugs is sensationalistic and misguided. "It would be sad if the growth of Bitcoin was stunted because of this criminal byproduct," he says. "Bitcoin is going to change the world in the same way the Internet did and make societies freer."

It's not clear that U.S. law enforcement agencies could regulate Bitcoins if they wanted to. The currency runs on software similar to the file-sharing software used to download music and movies, technology the entertainment industry has been trying unsuccessfully to quash for years. There's no headquarters, main server or central bank to visit, just a network of thousands of users. It's also not clear whether U.S. regulators would have jurisdiction over a global, virtual currency. Last week, a spokesman for the F.B.I. said he was unaware of Bitcoins and would check into the Bureau's position on them. Subsequent calls for comment have not been returned.
 
Readers tempted to bet on the Bitcoin should resist, not least because it's unclear whether it will have any enduring worth. Beyond what fans say are the currency's design advantages, its chief appeal at the moment is surely that it's soaring in value. As of now, today is the first day in more than a week that the currency didn't hit a new high. And when the gains stall, the fall that follows may be as breathtaking as the rise.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Fleembit on June 11, 2011, 12:34:56 AM
Don't read the comments on the Yahoo article unless you want to rage so hard. Well... unless you want to play a drinking game where you drink every time some one mentions ponzi, beanie babies, or tulips.

http://finance.yahoo.com/banking-budgeting/article/112907/bitcoin-triples-again-smartmoney


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Bit_Happy on June 11, 2011, 12:52:16 AM
Thank you for posting the article.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: dingus on June 11, 2011, 12:55:48 AM
Don't underestimate the stupidity of the general public, especially those who read Yahoo Finance.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: str4wm4n on June 11, 2011, 12:58:28 AM
WTS ~50 BEANIE BABIES FOR 1 BTC, PST


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: AllYourBase on June 11, 2011, 01:04:41 AM
Well it's on yahoo, but it's neither on the yahoo frontpage nor the yahoo finance frontpage so far as I can tell...


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: oneforall on June 11, 2011, 01:23:38 AM
Well it's on yahoo, but it's neither on the yahoo frontpage nor the yahoo finance frontpage so far as I can tell...

thats what i thought at first too, but on the yahoo front page there is the little changing screen that allows you to sift thru 50 articles or so, that has it if you keep clicking next.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: DividingSolid on June 11, 2011, 01:30:44 AM
Maybe the users on Yahoo being stupid is a good thing?


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: oneforall on June 11, 2011, 01:34:31 AM
Maybe the users on Yahoo being stupid is a good thing?

explain yourself?


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: DividingSolid on June 11, 2011, 01:37:29 AM
Maybe the users on Yahoo being stupid is a good thing?

explain yourself?

They won't go with us which means we won't have their stupidity here.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: gigitrix on June 11, 2011, 01:43:36 AM
Particular Highlights:

Quote
Somebody call in Pacman cus @#$% these bitcoins are running wild! lol

Quote
"Bitcoin is going to change the world in the same way the Internet did and make societies freer. Just kidding"
21 million max. 9.2 million owned by one person already. Betting on the future of a digital currency eh?
This sounds like a trial run for a really stupid and horrible dream of the future. But at least this answers why there's a huge buy out for gold and jewelery. Escaping regulations. Cute.

Quote
Here's what's going to happen. SOMEONE (over sea's most likely) will hack the system, and either A. Steal all the digital currency, or B. Hack the main system giving themselves massive amounts of this currency and trading it in for "REAL" money. It will only be time.

Quote
How hard would it be to make yourself a Game Genie to hack as much bitcoin on your comp as you like. I feel a challenge coming on.

and of course, the most convincing argument yet:

Quote
Gay


You heard it here first ladies and gentlemen!


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Mark Oates on June 11, 2011, 03:56:42 AM
gigitrix, those are good hilights (and kinda sad, too :( )

But, yea, it was on the front-page of http://www.smartmoney.com/ under "Must 5 Reads"

I guess if we have another "Black Friday Crash" we can keep most of these trolls at bay for awhile longer ;)

[edit]
Quote
In that respect, it's not so different from fiat currencies like the dollar or Euro,
Ouch!  Well, that's only very wrong.

[edit2]
Quote
Mt. Gox [...] The site offers no customer service phone number.
LOL!  "We tried sending them a message through carrier pigeon, but we never heard back from them.  >:("


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: dstanchfield on June 11, 2011, 04:28:55 AM
http://pic0.picsorlinks.com/ph_or_115925_a6c164c.png


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Longmarch on June 11, 2011, 04:31:43 AM
Quote from: yahoonuckfut
Here's what's going to happen. SOMEONE (over sea's most likely) will hack the system, and either A. Steal all the digital currency, or B. Hack the main system giving themselves massive amounts of this currency and trading it in for "REAL" money. It will only be time.



Lolling @ "they are gonna hack teh systimzzzzz"




Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: bitbitcoincoin on June 11, 2011, 04:36:30 AM
Always hate when these articles neglect to mention the very important fact that bitcoins are divisible by up to 8 decimal points.  It makes a drastic difference when discussing the potential total of units of currency available at the cap.  You then get a large portion of people who have a completely inaccurate assumption on bitcoins based largely on a huge omission.  Whether it's intentional or done just due to the stupidity of the author we'll never know.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Bit_Happy on June 11, 2011, 04:57:25 AM
Yahoo!
Hey that looks great, thanks for the effort.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: hawks5999 on June 11, 2011, 05:06:29 AM
Yahoo is meaningless. The dozens of people who visit Yahoo's front page daily won't have an impact.

When you see BitCoin anywhere on the DrudgeReport - be sure to have a backed up the truck before hand. As of now, there are 0 occurrences of bitcoin in the Drudge Archives. Agree or disagree with him, he drives a ton of traffic.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Bit_Happy on June 11, 2011, 05:07:31 AM
Particular Highlights:

Quote
Somebody call in Pacman cus @#$% these bitcoins are running wild! lol

Quote
"Bitcoin is going to change the world in the same way the Internet did and make societies freer. Just kidding"
21 million max. 9.2 million owned by one person already. Betting on the future of a digital currency eh?
This sounds like a trial run for a really stupid and horrible dream of the future. But at least this answers why there's a huge buy out for gold and jewelery. Escaping regulations. Cute.

Quote
Here's what's going to happen. SOMEONE (over sea's most likely) will hack the system, and either A. Steal all the digital currency, or B. Hack the main system giving themselves massive amounts of this currency and trading it in for "REAL" money. It will only be time.

Quote
How hard would it be to make yourself a Game Genie to hack as much bitcoin on your comp as you like. I feel a challenge coming on.

and of course, the most convincing argument yet:

Quote
Gay


You heard it here first ladies and gentlemen!


This one is a Bit funny:


(From the comments)

YES. It might become the new money system.
YES. It will fight inflation.
YES. It will increase, if successful, much more yet in value. Probably up to a million each.

BUT NO. It will not protect us from the selfish, greedy, unhuman Dinasours that rule the earth.When Bitcons can be bought by money, and are accepted, People with the most money will buy the most.

Thank you.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: billyjoeallen on June 11, 2011, 05:12:02 AM
The article is a retread, but it's timing and placement are suspicious.  Somebody with money and influence wants to get in cheap and is shaking out the weak hands. You can see this in the commodities markets all the time, most recently with silver.

We need to be thinking long-term and big picture.  It could easily get worse before it gets better.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: hawks5999 on June 11, 2011, 05:13:03 AM
The article is a retread, but it's timing and placement are suspicious.  Somebody with money and influence wants to get in cheap and is shaking out the weak hands. You can see this in the commodities markets all the time, most recently with silver.

We need to be thinking long-term and big picture.  It could easily get worse before it gets better.

I think a breakdown to 18-19 is terribly reasonable and probably healthy.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: billyjoeallen on June 11, 2011, 05:34:47 AM
The article is a retread, but it's timing and placement are suspicious.  Somebody with money and influence wants to get in cheap and is shaking out the weak hands. You can see this in the commodities markets all the time, most recently with silver.

We need to be thinking long-term and big picture.  It could easily get worse before it gets better.

I think a breakdown to 18-19 is terribly reasonable and probably healthy.

I agree. I won't get really worried until it drops below $16.  The part that's going to suck is the loooong wait to retest the highs. Silver still hasn't done it yet and probably won't until QE3 is announced.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: hawks5999 on June 11, 2011, 06:25:23 AM
I agree. I won't get really worried until it drops below $16.  The part that's going to suck is the loooong wait to retest the highs. Silver still hasn't done it yet and probably won't until QE3 is announced.

WTH will QE3 do to BTC? I've been thinking in PMs for so long, but I have to think that QE3 will drive up the US$ cost for BTC.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Synaptic on June 11, 2011, 07:54:58 AM
I warn you . . . the quote I'm about to post may cause you indescribable rage. You may suddenly feel the urge to punch small children or kick puppies. If symptoms persist please consult your doctor.
Quote
...and if there is no central "bank" how do you suppose anyone can tell a real Bitcoin from a forgery?! And when "Super Bitcoins" come along, will they be worth more or less than the old ones?? hmmmm... I think I need to start a new website - ha ha ha - after all, the printer of the money, real or not, gets full value for his wares...

Why does this make you rage?  Why should this make any of us rage?

This is exactly the kind of person we want using bitcoin, and what we see is that they simply don't understand it.

That's not a failure of the individual making the comment (who is likely over 40 and a casual computer user), it's the failure of bitcoin.

There is so much fucking hubris here about the "PLEBES WHO DON'T UNDERSTAND HAR HAR," but don't you fucking get it?  These plebes are the only variable that matters for the long term sustainability of bitcoins as a legitimate method of exchange or store of value.

Unless you're happy jerking your pud about printing money for nothing with the rest of your "I just happened to have some powerful cards cause I'm a gamer" and "I'm getting rich cause I print money, BUY MORE CARDS, RALLY" and "This is the way of the future guys, really, I know it" bretheren, then you better hope to the fucking bitcoin god that someone more mature and a better man than you are out there trying to POLITELY educate people who don't understand it.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Montpelerin on June 11, 2011, 08:04:41 AM
The Bitcoin Triples Again

by Jack Hough
Friday, June 10, 2011

The online currency has minted off-line millionaires. But for how long?

Really?...Really???


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Synaptic on June 11, 2011, 08:13:15 AM
The Bitcoin Triples Again

by Jack Hough
Friday, June 10, 2011

The online currency has minted off-line millionaires. But for how long?

Really?...Really???

^^ see what I mean about the hubris?

Anyone here who doesn't understand that this article was just some entry level journalist's weekend piece please raise your hand for an explanation. Pro-tip: Most of you should be raising your hands right now.

This isn't some popular, respected columnist's article.  It's a backwater effort of a dying, and aging demographic's news site.

Get a grip everyone.  Not everyone with a job in journalism is there to represent your obsession with 100% accuracy or insight...


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: herzmeister on June 11, 2011, 11:43:17 AM
That's not a failure of the individual making the comment (who is likely over 40 and a casual computer user), it's the failure of bitcoin.

I'm afraid the generation of people who still print out every eMail they get and every website they occasionally visit will be very hard to make understand, let alone to make accept and use P2P currency. I'm afraid we'll have to wait until they have become extinct.  :-[



Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Synaptic on June 11, 2011, 11:55:21 AM
That's not a failure of the individual making the comment (who is likely over 40 and a casual computer user), it's the failure of bitcoin.

I'm afraid the generation of people who still print out every eMail they get and every website they occasionally visit will be very hard to make understand, let alone to make accept and use P2P currency. I'm afraid we'll have to wait until they have become extinct.  :-[



Which is exactly why $30+/BTC is absolutely hilarious speculative chutzpah...


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: MiningBuddy on June 11, 2011, 11:57:04 AM
I warn you . . . the quote I'm about to post may cause you indescribable rage. You may suddenly feel the urge to punch small children or kick puppies. If symptoms persist please consult your doctor.
Quote
...and if there is no central "bank" how do you suppose anyone can tell a real Bitcoin from a forgery?! And when "Super Bitcoins" come along, will they be worth more or less than the old ones?? hmmmm... I think I need to start a new website - ha ha ha - after all, the printer of the money, real or not, gets full value for his wares...

Why does this make you rage?  Why should this make any of us rage?

This is exactly the kind of person we want using bitcoin, and what we see is that they simply don't understand it.

That's not a failure of the individual making the comment (who is likely over 40 and a casual computer user), it's the failure of bitcoin.

There is so much fucking hubris here about the "PLEBES WHO DON'T UNDERSTAND HAR HAR," but don't you fucking get it?  These plebes are the only variable that matters for the long term sustainability of bitcoins as a legitimate method of exchange or store of value.

Unless you're happy jerking your pud about printing money for nothing with the rest of your "I just happened to have some powerful cards cause I'm a gamer" and "I'm getting rich cause I print money, BUY MORE CARDS, RALLY" and "This is the way of the future guys, really, I know it" bretheren, then you better hope to the fucking bitcoin god that someone more mature and a better man than you are out there trying to POLITELY educate people who don't understand it.
Thank you Synaptic, this has actually made me sit back and think about things in a different light. I'm sure others can learn from this.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: Dansker on June 11, 2011, 12:06:58 PM
Other golden comment highlights:

"oney other than Gold or Silver is insanity!!! Would you rather have a pound of Gold or a pound of paper??? Virtual money.... are you kidding me?!? What's next.... virtual food, air, water?"

"it is a crime to counterfit money and a crime to use the barter system in this country CAREFUL folks"

"Virtual money?Isnt that like trying to use monopoly money?"


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: niemivh on June 11, 2011, 11:50:54 PM
Don't read the comments on the Yahoo article unless you want to rage so hard. Well... unless you want to play a drinking game where you drink every time some one mentions ponzi, beanie babies, or tulips.

http://finance.yahoo.com/banking-budgeting/article/112907/bitcoin-triples-again-smartmoney

LOL, no kidding.  I made the mistake of reading the first 3 comments and these people love that their slave-dollars have many of the negative aspects of BTC without the good.


Title: Re: Bitcoins is on Yahoo frontpage - Brace for impact people.
Post by: SlaveInDebt on June 12, 2011, 12:15:20 AM
http://i54.tinypic.com/2m7stpj.jpg