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6181  Bitcoin / Bitcoin Discussion / Re: If Bitcoins catch on, will people get used to having so few? on: March 07, 2011, 04:33:57 PM
Can 'we' really do this, just start yanking about with the numbers like maniac Bernanke's that have lost all sense of decorum?

If 'we' can suddenly decide to just shift the decimal point around, then I will sell what small amount of bitcoins I have and use the money to purchase a bottle of Żubrówka, then to lament long into the night for what might have been.

Shifting the decimal point does not create new coins, it only alters the representation of the coins in the client.  Every bitcoin is already divisible to 8 decimal places, shifting the decimal point over two places simply resulting is a trade unit that is accurate to 6 decimal places.  Everyone still has exactly the same measurement of value as they possessed before the shift.  The only effect is that it might be easier for people to understand.
6182  Economy / Economics / Re: Attempting to understand difficulty on: March 06, 2011, 10:50:39 PM
All of the clients make this calculation independently, but because it's a deterministic calculation based upon a shared set of data, they all come up with the same answer.

Is that actually right, or do all clients use the new difficulty that was calculated by the node that generated the first block at that new difficulty?

In the latter case, different nodes could calculate slightly different difficulty-adjustments due to lack of perfect time synchronization, but only the "winning" node's calculation is used going forwards.

Actually, I'm not positive, but my own understanding was that all generating nodes calculate this independently.  Whatever differences that could exist would be very small, not likely to cause rejections.
6183  Economy / Economics / Re: Will deflationary model be a hindrance to general acceptance of Bitcoin? on: March 06, 2011, 08:27:46 PM
I don't think bitcoin is going to replace national currencies any time soon. It is more likely to end up working in parallel.


For a time, yes.  But that is how it works already.  Bitcoin is a parallel currency, that's not a future condition, and it's not the end result either.  IF you think about it, there are already many currencies that function in parallel with fiat currencies, but are not those currencies themselves.  One good example of this is Paypal.  They may express a user's account balance in their own national currency, but that balance is most certainly not that currency in any real form.  Paypal uses bits and bytes as much as Bitcoin does, but Paypal ties those bits and bytes to a currency, and takes the exchange fluctuation risks unto itself, which is one reason that Paypal must charge as much as a credit card company even though Paypal doesn't have the overhead of maintaining a massive transaction network itself.

I could give a dozen other examples of parallel currencies also pegged to the national currency, but in every case there is no harm to the national currency because it's pegged, and users think about their value in relation to the national currencies.  In this regard, Bitcoin is different.  There is neither the need, nor the realistic ability, to peg a bitcoin's value to any other currency.  So as laymen begin to discover and use it, their thought processes on value calculations change; from using a national currency as their sole common reference of value, to using more than one reference of value.  In doing so, it becomes impossible not to compare those frames of reference, and one will appear "better" to each individual.  If Bitcoin appears "better" than the fiat currencies, and is useful in this regard, then those fiat currencies begin to fall out of favor.  And it is favor alone that supports their value.  At this point, the values of those same fiat currencies crash, and then there is no more parallel currencies, or there will be, but they will be expressed in Bitcoin as their common value reference instead of the national currencies.

This process could take decades, but I doubt that it really will.
6184  Economy / Economics / Re: Attempting to understand difficulty on: March 06, 2011, 08:02:22 PM

Current difficulty is at 55 589.518126. What is this a measure of? Is this directly related to the # of leading zeros in the SHA256 block hash we are working on? How is it possible to adjust difficulty only marginally every 2016 blocks?


The difficult is a multiple of the minimum difficulty level, which is just an arbitrary 64 bit binary integer that the hash must be less than to qualify.  The leading zeros thing is an approximatation of the method, but not entirely accurate.  If the clients were just counting leading zeros, then the difficulty could only increase as a log of 2 ( each additional leading zero doubles the difficulty).  Basicly, the 'target' is a 64 bit integer that the binary interpretation of the sha-256 hash must be less than, and the target number is adjusted up or down by a process similar to a 'fuzzy logic' type of system; always seeking it's balance.  In this case, the balance point is 6 block per hour, and every two weeks or so, the system makes a calculated guess as to how much the target must be raised or lowered based upon the average blocks per hour seen during the prior two week span.  All of the clients make this calculation independently, but because it's a deterministic calculation based upon a shared set of data, they all come up with the same answer.  The clients don't use the 'difficulty' at all, but use only the 'target'.   The 'difficulty' is just a metric devised to allow us humans to make sense of it all, because for us to look at the targets, it would be difficult for us to draw useful information from the target or it's changes over time.  Since the difficulty is expressed as a ratio (number of times more unlikely for a given hashing attempt will produce a hash below the target) it makes it easier for humans to look at the difficulty number and prior difficulty numbers and derive useful meaning from it.
6185  Bitcoin / Bitcoin Discussion / Re: Number of nodes - graph on: March 06, 2011, 06:58:44 PM
There is a 150ghash supercluster that keeps attaching and de attaching from the network. Is someone renting a supercomputer ?

There are probably network admin who use bitcoin for benchmarking, or idle time.  Bitcoin is ideal for Condor in a commercial network environment.
6186  Other / Archival / Re: Silk Road: anonymous marketplace. Feedback requested :) on: March 06, 2011, 06:48:49 PM
Maybe a courier network to ferry packages around is a good idea.

People order something and the package goes through several hops between the sender and the receiver with the couriers using encrypted messaging to receive address details.

Think of onion routing but in a physical sense .

Could be done, but it would be expensive, and still very risky to the actual participants.
6187  Bitcoin / Bitcoin Discussion / Re: Frustration at the Digital Money Forum on: March 06, 2011, 06:47:18 PM
The masses wont use bitcoin till famous people mention it.

WINNING !!!

Actually, it's enough that one large investor or veeeeeeeeery famous person starts using it.

What is happening now is that everybody who is watching bitcoin is waiting for the first big fish to take the risk. If the big, "alpha-male" fish takes the bait, the herd will follow. After that it will be a massive, unstoppable snowball effect (and bitcoin may rise 10-fold or 100-fold in few days after they announce that they jump on BTC bandwagon).


If a 'big fish' like you describe were to jump into bitcoin, such as Warren Buffet (unlikely), they would be wise to not announce that fact until well after they have accumulated as much as they intended to.  Considering that much of the reason that such 'little fish' follow 'big fish' is that they are perceived to be wise in matters of money, I would be shocked to find out that any such 'big fish' openly advocating for Bitcoin before they were well entrenched.
6188  Bitcoin / Bitcoin Discussion / Re: Frustration at the Digital Money Forum on: March 05, 2011, 02:50:08 PM
It's an entertaining clash of cultures.  

Bitcoin is a bit like going to a Swiss private bank and being attended by a punk sporting facial tattoos and a ripped anarchy t-shirt.

People who work with money tend to be very conservative, parochial, risk-averse, authoritarian, uptight, narrow-minded, detail-oriented, left brained, and ISTJ, because traditionally, those traits were advantageous in this industry.

The Bitcoin ecosystem contradicts pretty much everything they stand for: It's revolutionary, unpredictable, anti-authoritarian, disruptive, concept-oriented, "weird", right-brained, and rather INTP.

It's no surprise these people are not enthusiastic to learn about Bitcoin. There will be a lot of cognitive dissonance once market forces force them to learn about it.


Bravo!!! Particularly love your application of ISTJ and INTP.
 
I bet that current bitcoin population has like 50% or more of INTP's as opposed to 3-5% in general population.



Considering that I'm a strong INTP also, I accept your conclusions as correct, intuitively.
6189  Other / Archival / Re: Silk Road: anonymous marketplace. Feedback requested :) on: March 05, 2011, 08:44:09 AM
It was a joke, but probably a bad one. We will probably have FBI GPS trackers on our cars in the morning.

I wonder how much a FBI GPS tracker goes for in BTC  Grin



Doubt it.  Despite popular opinion, it's not illegal to posses uranium in small quantities.  Regulated, yes.  Prohibited, no.  That's just Hollywood.  Much like firearm suppressors.  Difficult to get, and expensive, but not prohibited.
6190  Other / Archival / Re: Silk Road: anonymous marketplace. Feedback requested :) on: March 05, 2011, 08:11:07 AM
I heard about a guy who made a very small purchase of something quasi-legal here. He knows my cousin's bosses girlfriend. When I hear how it goes I shall report back

the u-232 is two doors down on the left. Upper shelf, in a glass jar. suggest you bring some lead (Pb).

u-232?  I'm not familiar with that one, it must be rare.  U-235 is depleted, and I've held it in my hand.  It's not particularly dangerous, but I made sure to wash my hands before eating.  U-238 is the hot stuff.
6191  Economy / Marketplace / Re: How I can buy weapons and ammunition for bitcoins? on: March 03, 2011, 04:29:24 PM
I have a few boxes of 9mm handgun ammo laying around that I was thinking of selling for BTC. (I've since settled on .45ACP for myself and no longer have any 9mm handguns...)

Where are these 9mm ammo boxes located?
6192  Economy / Economics / Re: Governments will want their TAX ??? The solution is obvious but scary. on: March 03, 2011, 02:20:06 PM

I've never seen a government do anything better than a private company (except mess up or waste money).

Governments, even the best of them are ineficient, and only manage to survive not by competition, but by banning competition, and forcing people to pay for it's services with tax. Once a tax becomes voluntary it ceases to be tax by definition.
   

Try your luck with a privatized fire company then instead of a socialist one (like the USA and most of the world uses).  It has been done and lives and buildings we lost. 

Already private jails in the USA have led to the innocent being jailed for money.  Want to try your luck with private police?


The immediate issue that I have with this statement, is that privately ran public safety organizations have existed in the US in the past, and in many places they still do.



6193  Economy / Marketplace / Re: Selling my 5970 card - card works perfectly I just can't get linux to work. on: March 03, 2011, 02:09:39 PM
Anyone who can't get Ubuntu Linux to work should stop trying to install it onto their toaster and surrender their 'mancard'.  You do know that you need a computer to put that card into, right?

Wow quite the a-hole statement.

I'm not the one selling this card but I tried for two days to get my cards working in Ubuntu. I followed the guides, re-installed tried over and over again but kept getting errors it would never work for me. Im just running them in win7 now. Dont be a dick.


But I am a dick, can't change my nature.  It was a snarky way of me expressing my doubts.
6194  Economy / Marketplace / Re: MtGox is down on: March 03, 2011, 02:07:11 PM
Looks like MtGox's server got pwned.  Here's hoping that he did regular backups!

http://bitcointalk.org/index.php?topic=4073.0

A Hero Member who doesn't use the "search" function. Wink

Nobody's perfect. Tongue
6195  Economy / Marketplace / Re: Have 150 in Paypal and want Bitcoin on: March 03, 2011, 08:00:48 AM
He's lowballing, but your offer is still too high.  There is just too much risk because 1) you have no reputation here and 2) paypal is rife with fraud.  The risk premium would be high enough that if you accepted it, then anyone would be suspicious that you were using a stolen paypal account.  Paypal isn't the way to get started in Bitcoin.
6196  Economy / Marketplace / MtGox is down on: March 03, 2011, 07:50:39 AM
Looks like MtGox's server got pwned.  Here's hoping that he did regular backups!
6197  Economy / Exchanges / Re: mtgox.com has blocked my account with 45 000 USD in it! on: March 02, 2011, 09:30:14 AM
Still, what MTGOX did is far from lawful/good/just. You see, on mtgox.com page, there are no terms of service, no anti-scam policy, nothing. When users register, they do not agree to anything ! So mtgox had no damn right to do anythyng, *INCLUDING* any freezing funds !
Too bad, because in my country mtgox would have to go to prison for up to three years if he didn't lock the funds.  Aiding trade of stolen goods is illegal in most places.  In my country the law will not normally be included in the terms of service either.  It is obvious.
Quote
Time to look for another exchange i guess ?
Good luck with that.  If the exchange declines to follow the law in the country where it is located, your money and coins may disappear very quickly when the owner goes to jail.

Honestly, MtGox isn't in your country, and must abide by the laws within the country that it's owner resides; which I believe is the US.  Regardless, he would still be liable in the US for civil actions if he was aware of theft or fraud and did nothing.
6198  Economy / Marketplace / Re: Selling my 5970 card - card works perfectly I just can't get linux to work. on: March 02, 2011, 09:26:17 AM
Anyone who can't get Ubuntu Linux to work should stop trying to install it onto their toaster and surrender their 'mancard'.  You do know that you need a computer to put that card into, right?
6199  Economy / Economics / Re: The real problem behind inflation on: March 02, 2011, 08:48:31 AM
[Holding bitcoin actually is an investment in production, and that's where I believe your thinking betrays you...you view it simply as an unproductive medium, but that is grossly discounts the value that the platform is creating...you are investing in a community (rather than a company)...you are providing that community with liquidity to expand and improve the platform.
If I'm keeping the currency to myself then I'm doing the exact opposite of providing liquidity.

Providing liquidity is neither saving nor investing.
6200  Economy / Economics / Re: A New Currency for the World by Joseph T. Salerno (mises.org) on: March 01, 2011, 02:36:35 PM
Considering when the lecture was recorded, it'd entirely possible that Satoshi had already heard this before releasing Bitcoin.
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