No my friend, I think my idea is quite accurate, note this passage in your cite: "If the input is worth 50 BTC but you only want to send 25 BTC, Bitcoin will create two outputs worth 25 BTC: one to the destination, and one back to you (known as "change", though you send it to yourself)."

So in fact bitcoin is not fungible, you can always trace smaller amounts, and they don't combine to lose their identity (correct me if I'm wrong)

But there is a problem with BTC that cannot be solved:  what is somebody steals your private keys?  In the real world, you can sue them for theft.  In the BTC world, your money is gone forever.

You are correct about penalties for structuring, but a reader of this thread, unless they remembered your opening sentence above, might think that structuring applies to retail individuals.  It does not, it applies only to banks and other such financial institutions and the people that run them.  So if you are a US bank teller and fail to report on your customers, or even discuss this rule with your customers, you can run afoul of structuring laws.  (http://en.wikipedia.org/wiki/Bank_Secrecy_Act#Sanctions)   But customers don't have any liability other than they must report all transactions greater than 10K overseas, as I am painfully aware, every year.

Good luck with your business.  Moving money these days is so tough, I think it hurts commerce.

Wow thanks dude!  I just learned you can drag and drop an image into Google Images.  Just click, drag into your other tab, which is open to Google Images, and viola! it works.  Very nice.

(your graphic image yields: "PETER GRIFFIN NIPPLE LICK" yuk!)

The trouble with people is that they confuse marginal supply and demand with shifts in the supply and demand curves.

Take this sentence, from the Austrian Mises Institute: "The additional savings must be used to create more capital. As Hayek explains, initially, more production comes at the expense of less consumption."  (http://mises.org/daily/2804)

What's wrong with this sentence?  Nothing--during normal times.  This marginal analysis is correct then (if one goes up, the other must come down).  When the economy is at its maximum potential, indeed more production comes at the expense of less consumption.  But when there is an output gap, like today, you can actually have both more production and more consumption at the same time, as Keynes points out.  You can have your cake and eat it too.  This is because resources are just sitting around, and people are not consuming, out of fear.  If you prime the pump with some easy money, the economy goes back to its maximum potential --this is shown graphically in Econ 101 textbooks as a shift in the supply and/or demand curves-- and then (and only then) do you get the marginal relationship that Hayek is describing.

Of course figuring out when an economy is at its maximum potential and when it is not is a big issue.  Today's "liberals", like NY Times economist and Nobel Prize winner Paul Krugman, argue the US economy is less than full maximum potential, while "conservative" economists argue the opposite, that today's output gap is a result of structural changes that have been going on for years but only became apparent, suddenly, like the fabled straw that broke the camel's back, in 2008.  So, argue these conservative economists, the US economy is already at its full potential today.  Easy money will not make for more production and consumption, say these conservative economists, but may in fact do bad things like cause inflation or just add to the burgeoning national debt.

OMG Brigitte, you should never use your real name on the internet (just in case you are).

Bitcoin is safe IMO, but it may fall in price, just like a stock.  I think it will.

This is interesting if true.  So when you combine two bitcoins together, you are claiming they lose their previous identity?  If so then I concede.  Do you have a cite or this is your understanding?

That doesn't sound good for bitcoin.  If people think Apple Pay is like bitcoin, then they are unlikely to support bitcoin?

Check it out yourself:

http://thepiratebay.se/torrent/11297887/PC_Magazine_-_November_2014

[shows 'the end is near' for cash, in favor of e-currency]

It could be that the maximum profit is low since the 'pot' is so small, since so few actual customers exist at Bikinidice at the moment.  I get this idea from the dooglas thread when he was running his dice shop, he had a high roller come in and started making really big bets.  They had to limit the number and/or size of bets since this guy was making the system unstable.  So perhaps in a smaller way it's the same at Bikinidice.  No customers means small max profit?

That's easy.  Here is a thought experiment:  a thief steals nine guns, all identical, and files off their serial numbers, so they are fungible.  He also buys a gun, legally, and files off its serial number.  The guns are worth $1000 each.  So the total value of guns is $10k  He goes to a pawn shop, and offers all ten guns for $1000.  The pawnshop is busted by the police for receiving stolen property (the low price accepted is a classic giveaway for being charged with this crime), the thief is arrested for theft, and the guns are confiscated, and the defense is:  'you don't know which gun is stolen and which gun is not stolen, so you cannot prosecute either party'.  Do you think this defense will work?  (It has been tried).

So in your example, you know one of the satoshis at 1MzdwP is the stolen one.  Which one?  It doesn't matter.

yes, the Latina Lovelies are making a comeback in this thread, counterattacking the Asian Babes!  Notice the former like dark skin (and will tan) while the latter like white skin (and go outside with a parasol, and use whitening cremes).  

Good one, thanks!  This is big news.  And sad too.  Notice the Italians, as is common there, like to hug and kiss, and this will spread the virus more easily.  Notice also how social they are:  they expect you to come from far away to see you off at the airport, and think you are lazy if you don't.  Imagine that with Americans, lol, who often barely even get off their TV couch to say goodbye as you walk out their front door!  (relax, I am an American) javascript:void(0); <--that's supposed to be a cheesy laugh

Cool.  That's good to know.  I have visited the Philippines and it's pretty nice, once you get past Manila (which has a lot of casinos).  $40k USD does not seem like a lot of money for somebody like dooglas with a good reputation and lots of eager backers.  Dooglas are you reading this? ;-)  But I thought I heard (maybe it was for real estate) that you had to have a 51% Filipino partner in all business deals if you are a foreigner? 

That's an interesting point.... so you are after coins newly minted by miners?  Presumably they are untainted, which works both ways it seems to me.   Being untainted they might be more easy to trace to one owner.

But that was the paper you cited, not me.  Anyway I'm not going to parse this any more...I've leave the last word to you.



It seems you are confused about what Adam meant--perhaps that's the problem?  It's clear to me and I think most people reading this what he meant...

I believe we disagree on how the blockchain works.  You are talking about combining bitcoins, or splitting them, and that's fine, but in the end you can trace them.  If you disagree show me the cite that says you cannot trace a bitcoin.  Remember, a mixer only means you're getting somebody else's bitcoin, not that you cannot trace the bitcoin.

That's not what we're talking about.  Read the thread more carefully.  And tell us how you voted... :-)

Ecuador?  I amended my question to make it clear we're talking about online gambling by an unlicensed entity.  Very hard to do.  Recall Canada was a loophole (see this thread).  Dooglas escaped by the skin of his teeth IMO, as the Canadian gaming industry was trying to shut him down fast.  Where in South America?

What jurisdiction allows online gambling by anybody?  None that I know of, but I'm not in this field.  Arguably Canada was a loophole that was closed.  But are there any other "Canadas" out there?  I can't think of any.  What country?  Certainly not any EU country.  Nor North or South America.  Nor China and the ex-communist countries.  The only country I can think of as I type this might be some African country maybe?