While you were browsing all 68 pages of my history, did you happen to see all the people I've traded with?  I've only purchased hardware, never sold it.  Tell you what.. you pick hardware, anything that I've bought via the forums and I'll post a picture of it. 

Lulz, so those pictures of the shitton of gpus I have running are photoshopped.

EIEIO is completely separate of pirate holdings. I only started the passthrough after the announcing of trust accounts.  Mining, if done correctly, is extremely profitable, even now.

I have a bunch of lenders that I pay 3% a week to. Are you calling me a ponzi?

I am one of the few with a Trust Account.  As a result, I'm going to do what no other passthrough is doing:

I'll give you the full 7% beginning 8/1/2012.

That's right.. you can earn a full 7%/week on your coins.  Minimum investment is 1k coins for a period of 1 month.  If you're interested, send me a pm so we can coordinate the transition.

You're doing a great job.  Where did all my coins go?

10% per year is the low average for fiat money in actually solvent banks (singapore, georgia (the country), mongolia, etc). 15% is not unheard of.

That's beside the point, however, since most bitcoin lending businesses work on a rate similar to "payday loans" and still make yearly interest in the 100s of %s. Given an average of 3.5% per week (not an unusual rate), compounded weekly, that's


498.3% APR. So, by your definition, all bitcoin lenders are ponzis, yes?

So shut the hell up and stop bothering people who do.

Hmm.. I'm skeptical, but I'm still staying in it with "money" (Bitcoin itself is a scam, right?) that I can afford to lose.

Why would I need that? I already had the password for rackspace.

Indeed I had recently reset the root password for one of the virtual machines by using that password.

I can understand how this might be slightly confusing so I'll clarify.

There are two password reset mechanisms at rackspace.

One is for the rackspace control panel, this sends you an email with a password reset link, I had no use for this.

The second is for the root password of the virtual machines, this is accessible from the control panel, this is what I had used.

If you haven't noticed already, nothing you do will change WHAT I DO.  In the end you and a few others will "be caught with your pants down", but keep it up... you seem to get getting... nowhere.

@Vandroiy

Let's say you have 135K USD right now.  I need you to buy Bitcoins without changing the Mt.Gox rate by 2%.  You have 3 days to do it, nah I'll give you 7 days.  GO!!!

Let me know how that works out for you.

bitcoinBull, OK, take it up with Patrick. I'm just retelling a story.

Pirate's primary (and only one, so far as I know) is because if he disclosed his operation, it would allow more competition to come in.  But the thing is, he's the big player in this unknown niche, as often happens when you're first-to-market.  He's already #1 by a HUGE margin.  Why not just disclose the working operations of your business and put all the nay-sayers to rest?  Competition would be fighting an uphill battle at that point. Pirate would have the iPad of investment schemes while others would be scambling to design something competitive to hopefully capture just 5% of the market.

I strongly suggest all the uber geeks to get uber bullish on Bitcoin. Pronto!

Yea, yea, I know, I've been telling this non stop to everyone for 18 month now.

But do not tell me later that I did not warn ya.

Once you're done with a 5-page explanation as to why it could work in theory, I'll just say it again: hedging against risk is much cheaper than 7% a week. And the whole card-house comes tumbling down, no matter how neat its theories.

Ok, let's play through a scenario..

Let's make an assumption that for every lender you have for your business, it eats 15 minutes of your time per week.  Sure some will be more because they're needy and ask a bunch of questions all the time, just like others will be less because they just want a 'set and forget'.  So, on average, you spend 15 minutes per lender per week.

[...]

1) How does any of the above not match with Pirate?
2) How is any of the above not reasonable?

Interesting possibility. So you are saying that they are possibly doing "conversion of drug money" AKA money laundering of USD via BTC and somehow this involves borrowing large amount of BTC and paying 6-10% per week on this. (BTW very interesting biz for it's promoters and "others" to be involved in with full self confessed knowledge of it)

Walk me through please, how it works? What is a plausible biz model here? Sorry for being so slow.

I've been avoiding commenting on this stuff because it's best practice not to discuss your competition, especially with 7%/week which no-one else can possibly compete with. However, I think the above is the most reasonable explanation yet, but with 2 missing pieces.

[...]

In any event, you won't hear anything more from me on this, but I just couldn't help but give out my 2 cents into the crowd since I find the topic very fascinating. However, I'll also take this opportunity to make a shameless plug for my fund, which is 100% pirate-free so it's perfect for skeptics. As for myself, I'm agnostic on it being a scam vs being real; as with any investment, investor beware. But I never invest in things when I don't know what the business is doing as a rule, since my fund always errs on the side of prudence. Many thanks.

[...] The only thing we are guilty of is that Patrick's personal email got added access to critical infrastructure without his knowledge, and that his email was compromised. And now it is us that bears the brunt of processing payouts.

Patrick requested him to be added because he wanted to reset server root passwords. And he did receive several email reset confirmations. Whether the email is his personal email or work email, it shouldn't matter. It's the same email that he use to receive the confirmations and all Bitcoinica sensitive emails.