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281  Bitcoin / Bitcoin Discussion / Re: 2013-06-13 Latest from FinCEN on: June 13, 2013, 08:32:30 PM
Disgusting as usual.
These apparatchiks are using the well-being of children as an argument to legitimize the immoral use force against innocent businesses and people who cannot afford millions to engage in legal Bitcoin businesses.


Exactly... this is right out of the Nazi/Soviet Playbook.

The nice lady mentioned "exploitation of children" at least 4 separate times...
When Bitcoin has absolutely nothing to do with such evil.

US Govt: "Do whatever we say no matter how Draconian... or you favor "exploitation of children".

she mentioned the word "children" three times.

not one of the times did she try to tie exploitation of children to Bitcoin or virtual currencies in general.

In the 20th century people like you were called "useful idiots".
282  Bitcoin / Bitcoin Discussion / Re: Bitcoin Killer App on: June 13, 2013, 08:29:46 PM
No.   A distributed exchange most likely will not work.

Bitcoin was designed from day one to be distributed...  your bank account wasn't.    I don't think you'll find many people willing to upload their bank account info, credit card or traditional form of payment to a distributed system.

Fiat in Bank Accounts is not meant to be P2P distributed...
Meaning random people sending random SMALL amounts to strangers' accounts...
Based on a some network algorithm they trust.

In fact, doing something like this is probably MORE illegal...
Than just running a Bitcoin exchange...
One could make the case it falls under Racketeering and the RICO statutes.
283  Bitcoin / Bitcoin Discussion / Re: 2013-06-13 Latest from FinCEN on: June 13, 2013, 08:21:06 PM
Disgusting as usual.
These apparatchiks are using the well-being of children as an argument to legitimize the immoral use force against innocent businesses and people who cannot afford millions to engage in legal Bitcoin businesses.


Exactly... this is right out of the Nazi/Soviet Playbook.

The nice lady mentioned "exploitation of children" at least 4 separate times...
When Bitcoin has absolutely nothing to do with such evil.

US Govt: "Do whatever we say no matter how Draconian... or you favor "exploitation of children".
284  Alternate cryptocurrencies / Altcoin Discussion / Re: For people who want to trade XRP, read this. on: June 07, 2013, 02:00:46 AM
are you paid to say this?

People here are being totally ripped off for XRPs.

Ironcross360 are you:

(1) Ripping people off?

or

(2) Are you paid to mislead people?

or

(3) Or are just a n00b?

-------------------------------------------------------------------

There are basically zero transaction costs to trade XRPs...
The market is pretty tight for a new currency about 100 spread, eg 6100-6200 buy/sell.

Basic instructions:

(1)  Get BTC or USD in your Ripple account via Bitstamp.

(2)  You have to extend trust to Bitstamp in amount you want... then send to Ripple address.

(3)  Then in Ripple Client go to Advanced, then Trade.

(4)  You can see the Bitstamp Order Book for XRP.

(5)  All orders you enter become part of the Bitstamp Order Book.

(6)  It's a blast to trade with zero fees...
Very DISRUPTIVE with Legacy Bitcoin Exchanges charging 0.5% to 3.0%.

285  Alternate cryptocurrencies / Altcoin Discussion / Re: Why are people buying XRP? on: June 06, 2013, 11:23:54 PM
Bitcoin was a good first attempt at a new type of transfer protocol, but it has issues:

1) It's been in beta for four years due to lack of funding and organized leadership.

People should worry about this... instead of whining about Generation 2.0 networks.

XRP just keeps rising in a thin, but orderly market...
It's up 30% vs BTC in the last 10 days despite an end-of-May giveaway:

http://bitcoincharts.com/charts/rippleXRP#rg10ztgSzm1g10zm2g25
286  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple Price: Do you think this is a bubble ? on: June 04, 2013, 01:24:15 AM

For Market Cap one only counts released XRP.

1.5 billion x $0.018 = $27 million market cap in Beta

At 2% of Bitcoin market cap... Ripple Beta is probably undervalued.




287  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple versus Open Transactions on: June 01, 2013, 04:40:22 PM
Ripple and OT really are apples and oranges. I think the reason people keep comparing them is because there is some overlap, specifically similarities in the currency trading (or at least the trading if OT is combined with Bitmessage.) But even that is accomplished in very different ways.

But exchanging between fiat and crypto is a killer application, I don't find it surprising people are focusing on it.

OT is late to the party = DOA...
Ripple accounts went from 10,000 to 15,000 in the last week or so...
You can watch Ripple's geometric growth on Ripplecharts... then click Dashboard.

https://ripplecharts.com/

They've given out about 1.5 billion XRP (out of 100 billion capped)...
And have managed to keep the price in 6,000 to 8,000 per BTC range...
Which puts Ripple Market Value at about $30,000,000.

People with *** legacy BTC business interests *** are shitting bricks...
Because Ripple/XRP is being rolled out by experienced professionals...
And 1000s of engineers are brainstorming how to leverage and build on Ripple features...
Like instant transactions between ANY currency.. and disruptive stuff like Custom Currencies.

When another large exchange joins Bitstamp on Ripple (MyGox ?)...
Ripple will fucking explode.

This is all gonna be great for Bitcoin...
But it may be bad for *** legacy BTC business interests ***.


288  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple versus Open Transactions on: June 01, 2013, 03:22:57 AM
Is Open Transaction an alternative for Ripple?

I like the Ripple concept, however to my understanding the centralized concept makes it vulnerable for seizure like what happened with Liberty Reserve.

Any thoughts?

This is a good question.

Basically, all cryto-currencies and transaction systems operate in grey area...
But the Feds have limited resources and have to pick and choose.

So a corporate entity like Ripple with high profile investors...
Andreessen Horowitz, FF Angel IV, Lightspeed Venture Partners, Vast Ventures and Bitcoin Opportunity Fund....
Plus Google Ventures (who we hear put in less than $200,000) and IDG Capital Partners...
Likely has a strategy for long-term compliance, is lawyered up... and is actively talking to the Feds.

So the Feds go after low hanging fruit like LR.
289  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple or Bitcoin on: May 31, 2013, 01:49:06 AM

Ripple, a threat to Bitcoin? Let a few people pitch it that way if they want. I think the idea is ridiculous. The space is huge, and there's room for many innovative solutions. Bitcoin's competition is the USD, EUR, YEN, etc... Not Ripple. Slanderers of Ripple are shooting themselves in the foot.

Ripple is not a threat to BTC...
The ability to set up instant exchanges, create custom securities, fast transactions, etc...
Will all benefit the BTC Ecosystem dramatically.

Slanderers of Ripple are are putting THEIR interests AHEAD of Bitcoin...
BTC attracts sociopaths like shit attracts flies...
Behind that thinnest veneer of idealism people here care ONLY about filthy lucre.

And with a tiny $1 billion float BTC is not competing with Fiat currencies...
LOW VELOCITY Bitcoin is not even a "currency", it's a "commodity" people are hoarding...
And it will end up being just that = a GOOD, quaint store of value like gold.

Generation 2.0 networks will take over the crypto-currency space...
Since Bitcoin "development" is dysfunctional, ad hoc, and woefully underfunded...
And grinds to a halt every time Gavin takes a leak.

But in a parallel universe...
Bitcoin's hip, mysterious, post-cultural, omnipotent God-figure...
Will end the Times of Tribulation with His return and the Rapture...
As Early Adopters prevail in the final battle against unworthy Late Adopters... 
But of that day and hour no one knows, not even the angels of heaven.
290  Bitcoin / Bitcoin Discussion / Re: What is the best country to start an exchange in? on: May 30, 2013, 10:41:15 PM
Your best bet would be to convince these guys:

http://www.nasdaq.com/symbol/slv

to create a bitcoin ETF

http://en.wikipedia.org/wiki/Exchange-traded_fund

They are required to purchase the same number of ounces of silver for each share

So if that SLV is trading at 25 dollars,  Silver is roughly worth 25 dollars.

Now if that happened for Bitcoin,  everyone's 401k plan could buy into that,  and force that ETF to buy massive amounts of bitcoins to keep it funded.

That's how you go from $130 to $130,000

Starting an exchange now is like putting a gun to your head.   There are so many regulations designed to keep you out of that type of business.

The ETF idea is a non-starter... here's a long discussion.

"So hey. I structure ETFs for a very large company.

A couple of three things: 1) The biggest issue you're going to run into is related to the concept of exemptive relief- that is, ETC (formerly a company called Faithshares, kind of funny) does not have the requisite permission from the SEC to launch non-index based products. Don't worry about making a bitcoin index, the SEC will only allow securities-based indices. Bitcoins, like all currencies, are not actually securities. 2) The best route for you would be a commodity pool built through the 19b-4 process, whereby you partner with an exchange to request permission from the SEC. Best case scenario this will take at least six months to get through, but honestly, you would not get through. 3) Seed is the last thing you should worry about. Lead market makers/IBs will put this up, provided you have (very) strong relationships with them. 4) Ok, serious here. The biggest issue is the lack of arbitragibility (not a word, but bear with me) between the ETF and the underlying bitcoins. This market is pathetically small and insanely illiquid. It simply is not a mature enough space to package into a product."

http://www.reddit.com/r/Bitcoin/comments/19hxuv/bitcoin_etf/

There are 2 other approaches to this...

(1)  Start a hedge fund with accredited investors. One exits in Malta. Google it.

(2)  Reverse takeover a junior company on the TSX or London Junior or Ireland...
But the Exchange MUST be reputable...
Use all the invested capital to buy/trade BTC...
But you will have to pay Management + Admin costs in the $500K range...
So you would need $5-10 million for this.



291  Bitcoin / Bitcoin Discussion / Re: Liberty Reserve is now dead (Good News For Bitcoin ?) on: May 29, 2013, 12:12:27 PM
MtGox could be closed tomorrow.

This is clearly not the case, because by that rationale, it would have already happened. Mt. Gox can still operate it's Japanese bank accounts denominated in all currencies...

No, shutting down unregulated gambling sites and exchanges is LOW PRIORITY.

The US takes it's sweet time...
Bureaucrats usually spend 2-3 years building a case...
Identifying principals involved and observing an operation...
Then, "suddenly", the site goes down in 5 minutes.

That's what happened with Full Tilt Poker... 5-10 times bigger than MtGox.

The principals are then charged with crimes carrying huge jail sentences...
Linked to drugs, terrorism, porn, etc...
The principals are invariably extradited or have to go on the run...
Then the whole thing is negotiated with $1000/hour lawyers...
But the business disappears overnight.

Rinse and repeat.

One has to be in complete denial...
To think MtGox or Bitstamp is different from LR or FTP.


 
292  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple or Bitcoin on: May 28, 2013, 01:19:25 AM

Concern #1. Are individuals likely to honor each other's IOUs?

Concern #2. Are gateways likely to honor each other's IOUs?

Concern #3. Is there enough incentive for users to use this system over other services out there that already allow people to exchange fiat for crypto and vise-versa?

Concern #4. Is there enough incentive for companies to want to use this system, rather than just doing this on their own? If you are a company wanting to start a gateway, are your IOUs going to be valuable until you get other gateways honoring them? Are people going to be able to take your IOUs and use them to get other currencies?

The problem with people like you...
Is that you are too lazy to try Ripple.

Open a Ripple account, get enough some XRP to function...
Send 2 BTC to Bitstamp, sell 1 BTC for USD...
Transfer some USD and BTC from Bitstamp to your Ripple account...
Now you have an account with XRP, BTC, and USD.

Start exploring the network... start making transactions.

Ripple is a mind-blowing game-changer...
You can make it as simple or as complicated as you like...
People will be doing unbelievably creative things with Ripple.

Bitcoin infrastructure is incredibly primitive...
Everybody is rolling their own exchanges and services the HARD WAY...
None of it is up to business standards...
Ripple replaces all that creaky infrastructure with something BRILLIANT.

People like TradeFortress and all the Exchanges...
Are gonna be on Ripple in 6 months...
Or they will become irrelevant.
293  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple or Bitcoin on: May 25, 2013, 02:30:30 PM

"I am an employee of OpenCoin"

At least you are honest about that. Everyone has to earn a living, but man, I dont know how you sleep at night.

Says a poker hustler whoring a sleazy gambling site on a cryptocurrency forum...
To an elite software engineer making an honest living.

Building >>> Exploiting

I wanna wear a vial of JoelKatz blood around my neck.
294  Bitcoin / Bitcoin Discussion / Re: Banks as Gateways on: May 25, 2013, 12:45:00 AM
For a bank to operate as a Bitcoin exchange (i.e. buy and sell bitcoins using the money in your checking account) or to operate as a Ripple gateway, they would have to have the entire source code audited by a company of their choosing to make absolutely certain that it is robust and reliable (think FIPS).

If there was ever a new version of the code, this auditing would have to take place all over again.

Ripple gateways will not be US banks...
They will be Panama, Slovenia, Malta, etc.

"entire source code audited by a company of their choosing
to make absolutely certain that it is robust and reliable"

You can't possibly be an engineer...
And make comical over-the-top claims like this.

Virtually all commercial software used by banks...
Is proprietary and there is no source code to "audit"...
Replace "Ripple" with "Windows" to get my point.

LOL, complex leading edge systems like Ripple...
Are coded and tested by Rock Star engineers...
They cannot be effectively "audited" drones working in banks.
295  Bitcoin / Legal / Re: TAXATION - Could a case be made for long-term capital gains on BFL Miner income? on: May 24, 2013, 11:48:03 PM

How your income is taxed (capital gains vs straight income)...
Has nothing to do with your equipment...
Though your computer equipment...
Should be expensed and depreciated over 3 years or whatever.

I'm a Professional Trader for 15 years...
So BTC business income is likely analogous to trading business income.

Basically, only non-professionals...
Can take advantage of Capital Gains tax breaks for long-held positions.

For professionals, everything is straight income...
(And I have an office with about 8-10 PCs, etc)...
Though dividends and foreign dividends may be handled in a special way.

296  Bitcoin / Project Development / Re: Ripple: A Distributed Exchange for Bitcoin on: May 24, 2013, 05:11:28 PM
you all know that if you opened the source, there will not be much validators who joins your network, but there will lots of alternative Ripple-XRP system show up, and the ones who distribute the XRP in a predictable and fairly way will win the competition, and at the last, the 100% pre-mined XRP will has no value.

As a validator, I would prefer OpenCoin have a way to make money and pay lots of developers' salaries instead of the Bitcoin open source model where no company is able to profit directly and they have to go around begging for donations to pay Gavin.


this is just a sleezy way to describe the situation and represents a true lack of understanding of what open source represents.  as if Bitcoin is having a problem with developers.  pffft.

Bitcoin is doing fantastic with it's open source model and this weekend's Conference showed just that.

This might have some merit if BTC was competing with LTC...
But it's now competing with Google, EBay, Amazon, PayPal, and the Big Banks...
And Gavin comes across as a Fed Trojan Horse anyway...
Gavin is on record as supporting the "regulation of air guitars".

I have yet to see an intelligent discussion...
About WHY the people who control Gox are focusing their energies on Ripple...
These guys and their Venture backers are Master Strategists.

They must view Gox as the dinosaur that it is...
But, no worries, BTC has BitStamp and the Slovenian Banking System.
297  Bitcoin / Bitcoin Discussion / Re: US Begins Regulating BitCoin on: May 24, 2013, 03:07:56 AM
These guidelines have nothing to do with Bitcoin.  Bitcoin is not mentioned once.  Bitcoin is neither "convertible" nor "virtual", nor does it "substitute for" "real" currencies. 

Actually you are quite mistaken about this.  Bitcoin is CLEARLY a "value transfer system" which is HEAVILY regulated around the world.

My prediction:

1) mt gox gets shut down
2) btc_e gets shut down
3) bitstamp gets shut down
4) fastcash4bitcoins.com gets shut down
5) coingator.com gets shut down

Unless these exchanges (and all others) immediately cease and desist dealing with Americans I predict they get shut down in the next six months.  

People may end up in prison over this issue.  Even filing now as an MSB is too late.  These sites have ALL broken criminal laws within the USA.

Learn more here:  https://bitcointalk.org/index.php?topic=200443.0

And "mark my words".

there is a world outside of the USA. and that world has their own laws and rules. americans can travel to those countries and do legal things there (as long as they don't break the rules of their own country) so no offence, what you are saying is just bullshit

Yes, there are places you can have 5 wives...
And execute them for adultery, no offense...
But if you transfer digital currency to Americans or let them gambool...
The US Authorities will hunt you down like dogs (see Full Tilt Poker).

Basically, compared to Ripple...
The Distributed Exchanges batted round here are a joke.

Viceroy is just being realistic...
And I'm adding that Top 10 BTC Exchanges will be Ripple Gateways in 6 months...
Or it's gonna be the Dark Ages for Bitcoin.
298  Bitcoin / Bitcoin Discussion / Re: Exchange volume is more decentralized now then ever ... on: May 23, 2013, 03:09:44 PM
Quote
I don't believe decentralized exchanges are viable (at least nothing proposed yet).

Have you seen this?:

I have designed a system for a P2P decentralized orderbook:

I have created a system for a P2P orderbook here:

https://bitcointalk.org/index.php?topic=209269.0

I figured out how to make a P2P Orderbook for a decentralized exchange:

I am updating the post daily but will add more in a few minutes:

https://bitcointalk.org/index.php?topic=209269.0





Decentralized Orderbook - BTA System (Bus - Train - Plane)

BTA - Bus. Train. Plane. BTA is a concept I came up with the solve the problem of a decentralized orderbook for P2P systems.

BTA is a system to move orders from Tier I exchange nodes to Tier II exchange nodes to Tier III exchange nodes according to a predetermined cycle.

BTA is a system akin to a mass-transit public transportation system.

example:
In a mass transit system you could have a bus that would route and cycle through a city with 25 bus stops, stopping at every stop to pick up people. The bus would then drop all of the people off at the last stop which for the purposes of this demonstration is the city's train station. The bus would then repeat the cycle continuously bringing more and more people to the train station.

Eventually the train would arrive to that city and pick up the people who got off the bus and are waiting at the train station. The train would then continue on and cycle through all of the cities of that particular province/state picking up people (who were dropped off by the bus) at every city train station. At the end of the train route would be an airport with a planes ready to pick people up and take them to a specific destination. The train would cycle continuously through all of the cities picking up people and dropping them off at the airport.

The people who were first on the bus and then on the train and now at the airport would then board the plane (jumbo jet if you will) and travel on the plane from the province/state they were in to a final location all the while making stops in every major province/state of that country to pick up additional people. After the plane arrived at the final location it would take off again and cycle through all the provinces/states of the country continuously picking up and dropping off people.

Now, imagine if you will a dating and match making service on one of the sides of that county that has a big convention to help people find a spouse. That service decides to utilizes the same aforementioned mass transportation system to bring people together from all over the country.

People would leave their homes and go to the bus stop. Some people would find compatible matches for themselves at the bus stop or while riding on the bus. Those people would get off the bus pay the fee and then go home with no need to go to to the convention. Those people have what they want; a spouse.

The rest of the people would continue on to the train station and get on the train. But again some people would find matches on the train and at the station; so, they too would pay the fee and go home. They have what they want; a spouse.

What remains of the people would continue on to the airport then get on the plane to go to the convention hoping to find a good match for a spouse.

A P2P BTA (Bus-Train-Airplane) exchange would operate the same way only picking up orders instead of people.

(More in a few minutes)

 
More here in a few minutes:

https://bitcointalk.org/index.php?topic=209269.0

Here is how it works:

P2P BTA Application

How does it work?

In a P2P BTA system a "Bus" exchange node would cycle through and collect orders from P2P "home-server" nodes mentioned in the above posts.  "Home-server" nodes house user accounts and wallets in a P2P network.

1. The Bus exchange server node would collect orders from home-server nodes 1 through 25 (for example).

2. Matching orders (if any) are fulfilled in a mini exchange. Receipts are generated. All unfulfilled orders and receipts are then stored for pickup by an "Train" exchange node.

3. On a predetermined cycle the higher Train exchange node would pick up all of the unfulfilled orders and receipts from all four (for example) of the Bus exchange nodes in the P2P network. All matching orders are fulfilled in a medium sized exchange and more receipts are generated.  Again, All unfulfilled orders and collected receipts are then stored for pickup by an "Airplane" exchange node.

4. Finally, on a predetermined cycle the higher Airplane exchange node would pick up all of the unfulfilled orders and receipts from all four (for example) of the Train exchange nodes in the P2P network. The Airplane exchange is the highest exchange on our example P2P network. All orders would attempt to be fulfilled here. Collected receipts are used to generate reports and to display fulfilled orders.

In our example P2P network, if no orders were fulfilled by the Bus or Train exchange nodes then the Airplane exchange node would have picked up 400 orders.

(MORE TO COME LATER TODAY)




https://bitcointalk.org/index.php?topic=209269.0

People keep trying to "solve"...
The network part of "Decentralized BTC Exchanges"...
Which has never been a problem.

The problem is getting USD/EUR/CNY/etc into a specific bank account...
In a decentralized manner (meaning from a random party)...
Which MAY circumvent Banking Regulations if it's, say, < $10,000.

Ripple does solve this...
The only way possible it can be done: BTC to Commodity to Fiat...
Where the Commodity is a Ripple "IOU"...
But Ripple is always explained in an incoherent manner probably for legal reasons.

299  Bitcoin / Bitcoin Discussion / Re: Please simplify the concept of P2P exchange on: May 23, 2013, 02:48:14 PM
best decentralised exchange= ................... dramatic drum roll........... localbitcoins.com

Oh please, enough of this juvenile nonsense.

Nobody can run a serious business by meeting strangers at Starbucks...
My time is worth $300-500/hour and that is typical of a small businessman.

300  Alternate cryptocurrencies / Altcoin Discussion / Re: Ripple Starter Loans on: May 23, 2013, 02:44:03 PM
Haven't used the service yet. Still kind of confused.

rpXbKWewSggvehhe8QGpkyyMPoZDkffbos   Thank you


I see you posted in the "Ripple Giveaway" thread, did you not get any then?

I got 3,000 XRP from the "Ripple Giveaway" thread yesterday May 22nd...
It takes about 24 hours... and is worth about 3/8 BTC = $45 USD.
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