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Regarding M*V=P*Q:
Everyone always says to assume V is constant, but that is a mistake. V is very much higher in a growing economy than in a depression. When things get tough, people save more and spend less. While M has been dramatically increased, the argument goes that this is just an attempt to counteract a falling V. Unfortunately, this doesn't help since the money never actually makes it to the consumer. The only way they can get it is to borrow it. While interest rates are low, people are still being conservative with their money and are unwilling to take out debt for things they don't absolutely need.
By printing more money (increasing M), which is only sitting on bank balance sheets, they are actually driving V further down since V is (total value of all transactions)/M.
If they are able to get things moving again, V will skyrocket and they will have to contract M to keep things in check. Since unprinting money is much harder to do, there is a real risk of hyperinflation if V grows too quickly. In fact, the safest route out of this mess might be long term deflation like Japan has experienced since the 80s. In such a scenario, V will stay low and printing will go primarily to servicing debt. However, using the printed money to reduce government debt will never happen as long as the private banking cartels have first dibs.
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It's a long read, but I'm interested in hearing some of the community's opinions on it.
Personally, I think Bitcoin is a variation on a Ponzi scheme but I do't think this author has written anything that is worthy of consideration. He is so stuck in understanding and explaining his own citations that he can't make up his mind what is he really trying to say. A ponzi has an illusion of production. Bitcoin makes no such (false) promises. |
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I'll just translate for those who aren't in on the central banking crime syndicate. This is talking about a vehicle for the banks to pay for someone to suppress the Bitcoin economy "by other means". As in, "that's a nice business you got there, it would be a shame if something were to happen to it."
That I could believe. |
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An exact alt coin, No changes at all. Think of it as a bitcoin re-launch, a fresh start for those who started mining late.
Oh dear, someone's annoyed they missed the boat. Yeah, you can easy start a new block chain. Won't be worth nothing though. Value == zero. Epic fail. Oh dear, how much did bitcoin value when satoshi launched the genesis block? Sign.... It doesn't work like that. We don't want 2 blockchains on the go. Think of the confusion with addresses. You clearly haven't thought this through properly. What confusion are you talking about? You seemed to be very confused on how competing block chains work. Satoshi himself loved the idea of competing block chains and forks. Maria 2.0 Well lets enter this fictitious world where you've started a new blockchain and the new coins actually have some value. Now can someone send me coins to 1H31sodppAm4SqkYipRBxAa8w6Y4NT94KC What blockchain does that address relate to? The old one or the new one? I would hope she would at least change the address prefix. B and b both appear to be available: https://en.bitcoin.it/wiki/List_of_address_prefixes |
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Phantastisch...... Are you ghost table?
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you didn't answer the question...I know it's a derivative that would trade on wall street....I asked what happens if buyers of btc calls, for example, actually want delivery of btc instead of settlement in fiat?
Your betting on Bitcoin Value not receiving BTC in return.... Wall Stret does NOT give a shit about your coin brother.... Have a good night im driving home now... Tag you "IT" Vic... Haha Al- How is your "sanitized" derivative (all positions are closed out before the settlement date with no actual trading) supposed to influence the bitcoin market? You can't crash the real price without selling real bitcoins. I guess you could hope to have a psychological effect on bitcoin holders, but I'm unconvinced. |
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No. Wrong. The price had dropped to $17 before the Mt.Gox incident.
The Bitcoin community faced another crisis on Sunday afternoon as the price of the currency on the most popular exchange, Mt.Gox, fell from $17 to pennies in a matter of minutes. Trading was quickly suspended and visitors to the home page were redirected to a statement blaming the crash on a compromised user account. Mt.Gox's Mark Karpeles said that the exchange would be taken offline to give administrators time to roll back the suspect transactions.
The extent of the compromise became clear when a copy of Mt.Gox's user database began circulating online. The file included username, email addres, and hashed password for thousands of Mt.Gox users. Karpeles's statement was updated to acknowledge the breach. He warned users who have re-used the Mt.Gox passwords on other sites to change them.
Link: http://arstechnica.com/tech-policy/2011/06/bitcoin-price-plummets-on-compromised-exchange/You just backed up his claim. fell from $17 to pennies If that's what you intended, good job. Tough to say since the only nonquoted text in your post is "link". |
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 Anybody have a clue wtf those rectangle shaped patterns are? I've never seen anything like that. |
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Who is with me?
Not me. I've already done my share of selling without being able to rebuy. What do you mean, "selling without being able to rebuy?" What stops you from re-buying? These flash crashes keep happening, one or more every week. If you sold, then you have cash, so you can place limit buy orders. If you keep a limit order at 10% below the all time high, you automatically get bought back in at the next flash crash. What stops you from doing that? Or are you trying to time the bottom, and then keep getting locked out by the Mt.Gox lags? The solution is to forget about trying to catch the falling knife. Instead, be content to automatically buy at 10% below the all time high, ride it back to a new peak, then repeat. Sure, you could theoretically make more if you could time the bottom right, and not get locked out of trading my the Mt.Gox lags. But neither of those is possible. This strategy maximizes your long-term profit by helping to stabilize the market. I'm not trying to time the bottom. I'm not day trading this time around. I was here in 2011 and even selling at an all time high 2 dollars higher than it was an hour ago could end up with you chasing the train. I'm happy with my bitcoin profits as it is. There is no need to take extra risk for a few extra percent, and I have much less stress. |
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1. The counter just needs to be higher than the last counter that bifloor accepted. If you generate enough new codes it should work.
Ok so I have gone through quite a few OTPs. I have no idea what the count was but I am starting to get to the point where it is unlikely I have used so many. How confident are you in this? I was wrong: https://tools.ietf.org/html/rfc4226#section-7.2Basically, there is a certain range of size n called the look-ahead window that is configurable on the server side. If your counter number is not between the last successful counter c and c+n, it will not validate you. Good luck with that. If I were you, I'd try to get Roman to lift the 2 factor auth on your account. |
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I have yet to try the whole sell high, buy low thing.
...
The few times I've run the numbers of timing it "perfectly" only equalled an extra coin or two. The risk of missing it seems too high, IMO, especially when my goals are to see this disruptive technology change how commerce is done.
Agreed, trying to catch the falling knife is more of a gambling game. If you're more seriously into trading, a classical advice is to pick a simple strategy (the simpler the better) and to stick to this strategy as consistent as possible. You might find this thread from last year worth reading. The author of this thread describes a simple strategy to follow the market, and explains why this can be profitable on average. It's worth the effort, but it might not be worth the risk that it doesn't work out exactly as planned. |
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Not me. I've already done my share of selling without being able to rebuy.
Wait, so you're in? Nope, I said not me, not notme  . |
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Premise #1: New investors help drive up the price of Bitcoin.
Premise #2: Capital is fearful. It runs away at the slightest hint of risk.
Conclusion #1: A volatile Bitcoin market, subject to flash crashes, tends to scare away potential investors.
Conclusion #2: It is in the long-term interest of those who are long Bitcoin to work to prevent any significant dips.
Proposed new investment strategy:
1. When we start to see new all time highs, everyone interested in the long-term success of Bitcoin should temporarily convert 20% of their BTC holdings into USD (or the fiat of your choice) at Mt.Gox (or the exchange of your choice).
2. Place a limit buy order backed by that fiat at 10% below the current price.
3. As the price goes up, keep adjusting your buy order upwards.
4. Next time a flash crash starts, the buy orders will execute, hopefully arresting the downward trend.
5. Repeat.
I say it's better to be 80% invested in a long, sustained rally than 100% invested in a choppy market that scares away new investors. We'll all make more in the long run.
If we had been following this strategy for the past few weeks, today's flash crash would never have gone from 95 to 75, as all our automatic buy orders would have triggered in the 85 range. If the flash crashes are caused by big-money market manipulators, their purpose must be to get us to panic sell when the price starts going down. If we consistently do the opposite of what they want, and buy instead, maybe they will stop disrupting our markets!
Who is with me?
Not me. I've already done my share of selling without being able to rebuy. |
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can you or someone else explain what "bitcoj days destroyed" really means? for a non tech , non geek, please :-) thanks No, I can't explain it to someone completely nontechnical, but I can probably explain it to you. For each address, calculate the amount received * the number of days that have passed since it was received. Sum this up for each address and you have "bitcoin days". When a bitcoin is sent, it resets the bitcoin days to zero. Sending 1 bitcoin that was received 100 days ago, and 100 bitcoins that were received 1 day ago will each destroy 100 bitcoin days. Bitcoin days destroyed, especially with a minimum age filter, is a good indicator of when coins move from long term storage. |
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I do not care price, nor volume, I need some graph of MtGox lag! Seems its on its highs, today.
just caught a few sentences of Magicaltux about this: he's rebuilding the engine. The current lag problem is "by design": allowing users to have orders without necessary funding, because that means you have to trickle down order status updates when a users balance changes. It seems makes sense: a lot of fight between threads reading and writing to/from the orderbook table. So the change is to disallow users to place orders they don't have the funds for and disallow withdrawal of funds allocated to orders. What might the implications of this change be? 1. some bots will break, some sloppy habits will be broken 2. the engine will be capable of executing orders much, much faster 3. MtGox might have a shot at not pissing off all their customers |
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It's not that easy to buy here in the UK. The only place I've seen is localbitcoins.com and you cant buy parts of a coin.
really? wow then those were short-sighted guys at localbitcoins.com  I sell partial bitcoins locally through localbitcoins.com all the time. I didn't realise you could do that. Sorry. I don't suppose you'd trade a Fender USA Standard P Bass for BitCoins would you? Already have one . Cool man. You are obviously a man of great taste. Can you pm me details of how to buy?  |
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It's not that easy to buy here in the UK. The only place I've seen is localbitcoins.com and you cant buy parts of a coin.
really? wow then those were short-sighted guys at localbitcoins.com I sell partial bitcoins locally through localbitcoins.com all the time. I didn't realise you could do that. Sorry. I don't suppose you'd trade a Fender USA Standard P Bass for BitCoins would you? Already have one . |
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Mark Karpeles is a hack
1. Do it better yourself and built a top-notch trading site 2. Use another exchange There is nothing wrong with expecting and demanding quality from the top exchange. They set the bar for the entire community and for the media. This thread shouldn't even exist because it shouldn't be a problem. It won't stay a problem. Either Gox will get their shit together or people will finally understand momentum is the only reason people use Gox. I'm hoping for the latter so we can have a more decentralized exchange environment. |
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Bitfloor is fast/responsive as always.
But they don't carry 80% of the bitcoin transactions do they? I want to see them supporting the same volume. Again, I don't know how big are they in terms of transactions. I never used them MtGox doesn't do 80% anymore. It's a chicken and egg. If you stay with Gox for the volume, volume will never move. |
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It's not that easy to buy here in the UK. The only place I've seen is localbitcoins.com and you cant buy parts of a coin.
really? wow then those were short-sighted guys at localbitcoins.com I sell partial bitcoins locally through localbitcoins.com all the time. |
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