It more closely resembles a pyramid scheme (but so does every other commodity ever traded).
Government currencies are ponzi schemes because when they collapse the central banks come out rich.
So wrong. Commodities are priced on supply & demand. Soybeans, oil, coal..all these commodities are priced on supply demand. Not pyramid at all Government currencies are not Ponzi. Ponzi is taking in new investment money to pay earlier investors. Giving them the impression the investment is profitable so they invest more money. In fairness BTC is not a Ponzi either. Its a pump & dump. Early investors try to draw in new investors to drive up price so they can dump their holdings correct, government currencies are legalized theft of the those at the bottom to benefit those at the top VIA inflation and manipulated interest rates to benefit early users of money created by bond sales. Thats technically a pyramid scheme not ponzi. Social Security would be a better example of a ponzi scheme. Bitcoin is closest to a pump and dump, but only because its highly restricted since it has to interact with the outdated financial system which has loads of laws and regulations. This forces so much rise and fall because of governments changing the rules of their system as they go. Once you have bitcoin and trade/buy things with bitcoin you remove all the costs that are associated with transactions; however the cost of interacting with banks will always be there so bitcoin will never truly be what it is intended to be until all fiat currency dies. (which will never happen) |
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This is the ATM service that makes the system longer, not Bitcoin. remember they still have to interact with the US financial system |
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If you are complaining about how the idea of having a currency that is scare to be your store of value then you do not understand the basics of why people desire a currency system like bitcoin.
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It doesn't matter... to anyone in UK, where its been decided it will be treated as foreign currency  . Sry, cant resist a bit of sniggering at all this, you guys across the pond kicked over taxation but seem to be left with the oddest, harshest tax system around - that's some achievement. I actually wanted to point out the options are pretty acedemic. They wont care if you owned it at 4:30pm or 5:20pm, they'll just want a value noted for the days market price. if its over midnight... that might cause you some problems if there's a sudden spike or crash. I'd confidently predict any judge would rule option two, when you mined/purchased as you done so with the full expectation that the confirmations would occur. Its also the first point at which ownership can be said to occur. America lost it way when the baby boomers demanded the next generation to pay for their free crap. |
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I love it , a goal of mine too , haven't broken past 1% yet at any given time  Keep up the good work neighbor. you probably dont have a seven digit loan of liquidity either |
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holy moley people. Just find ways to spend your coins without them ever touching any fiat that goes into an account. You can spend at least half of your monthly expenses by getting pay cards and things of that nature with mined coins. If everyone just played smart, minimized how much store of value they kept in fiat as much as possible then we would be in a better position.
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Its actually not as bad as people are stating. You can claim all your expenses on your taxes as deductions. Im going to log how many bitcoins in mine at the end of each month, divide by 30 for average per day and if i get audited in the future ill just find the dates per year the value was the lowest, calculate my 15.2% self employment tax, minus my expenses and pay that as tax. with the expenses deduced it will be well below 10%.
That sounds pretty legit. Let me see if I'm following you here because I might adopt a similar practice....basically at the end of the month add up your mined BTC total. Then calculate the average worth of bitcoin over the same month, and then that's your monthly income? yes, I have my own access database that i track all my numbers for my mining. I am just going to create a report that generates at the start of each month that tells me what my last month activity was. Take the average price, divide by 30 and thats my "income". take that number and add it to the other 11 months and minus all my deductions. Thats my "income" |
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no one should ever order anything from BFL. Let them die off
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i would easily preorder one of these, probably more for gifts to others.
Do you have any accessible information other than the website for potential investors? Your website is neat, but i would like to learn more about the individuals (history of entrepreneurship experience), long term business plan and things like that. I know you may want to keep some of that out of the public eye; however it would help your position to convince the fence sitters to throw some coin your way.
If a loan, whats the return % and by what time?
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What currency/financial system has less % owned by less people?
The answer to that is none. Look at the fiat in your wallet. that currency is already majority owned by the top %.
The difference in crypto is that the people can move purchasing power to other coins almost instantly and that counts as a "electronic vote" to how we want to manage our purchasing power.
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underclock, keep A/C running like a champ. Maybe pause a miner during peak heat time in the day if it gets too hot.
need to keep my machines under 65C if i can during summer.
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how would IRS know what you mined?
For those of us who don't want to pay an insane amount of back taxes, maybe lose our home, or worse, end up in jail, let's pretend for the sake of argument that they do know how much you mined. Most miners are eventually going to change their bit coins to USD, and in that case, it will be very hard to cover up. What I really don't understand is that no one seems to be talking about it on this forum. i mine a good bit and even use them everyday. Not a single USD hits my bank account that comes from the exhange of crypto to dollars. There are services out there, in non reporting/taxing countries, that can give you a cash/gift card for bitcoins. There are legal ways to minimize your tax footprint. Also remember you can declare expenses to deduct including the cost of the machine, electricity, internet, etc. Factor in your expenses and i guarantee you wont hit over 10% on mining so either mine for 10%-15% tax or work and get taxes about 40-50% ya.....this is not bad news....at all for miners. |
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 That. Let the dust settle. My $.02.  price is stable, nobody is panicking. Time to start logging all my equipment and energy costs and deduct them at the end of year! |
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Hmm what about overheads, money spent on mining hardware, electricity paid for, do these count as losses? Does that mean those mining at a loss can write it off on tax as a loss?
Surely bitcoin needs legitimacy and of course it will be impossible to trade in it and bypass every nations' laws (none of us expected to anyway), but there's so much to yet be defined...
Its actually not as bad as people are stating. You can claim all your expenses on your taxes as deductions. Im going to log how many bitcoins in mine at the end of each month, divide by 30 for average per day and if i get audited in the future ill just find the dates per year the value was the lowest, calculate my 15.2% self employment tax, minus my expenses and pay that as tax. with the expenses deduced it will be well below 10%. |
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you need a host and every client needs his own instalation of the software you wish to use.
if the clients are on a seperate network, you can set up a router with vpn access (pfsense on an old pentium 4 pc or something) and use that as a proxy for all pc`s that are running behind it.
you basicly enter the network trough the router and have access to all connected devices without instals if you use remote desktop or putty or the likes.
gr
EDIT: do you want to use the vpn to acces the miners, or do you want the miners to acces the internet trough the vpn?
if you want to have the miners acces the internet trough the vpn the easiest way is to connect the router to the vpn and have all traffic run trough the tunnel.
hope this makes sence.
either or. I have a private VPN software i use so i am assuming the most user friendly approach would be to just install the software on all 3 of my miners and just run it from there. preferably for the long term i would like to have my whole network run on a single VPN but i would need a user friendly training module/guide to do that. i am a windows user. |
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Fellow Bitcoin bubbas,
i was curious about a question about VPN services. I am sure some people here have experience with VPNs. When i run a private VPN software on one machine, does that software set my whole IP and hence network on the new VPN tunnel or just that one machine? For instance, do i need to install the same software on all my miners to put the data on the VPN tunnel or can i just run it on my main machines software? I have been learning alot on VPNs over the last couple days but i have not been able to find a solid answer about at what level does the software create a tunnel. From what i understand, if i run it on one machine it creates the tunell and changes my router to reassign all data on my network to be in the tunnel.
My goal is to put most of my mining activity and browsing activity on a VPN tunnel.
Thanks for your time.
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alot of inventions that empower the individual as well as bitcoin is always here to stay...even if governments say you can't have it.
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nobody "loses" 116 million worth of bitcoin and then randomly refinds them. He was planning to steal them and when people were digging deep he realized he wouldnt be able to get away with stealing them slowly over time.
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yes, I support this idea, people want make money using btc, but they want their money to be safe as well, so appropriate regulations are needed!
This sounds like what the ancients said about their gold bars... "we want our money to be safe, lets give all of our gold to the government. They'll know what to do, they'll secure our wealth"... Fast foward a hundred or so years and, all of a sudden, the Gold Bars are no longer and we have been conned into swapping worthless IOU's in the place of actual money. Regulation = systematic theft / fraud / pillaging of the people's wealth - and, with people like you in existence, they will do it again... +1 regulation by others over individual store of wealth is immoral and unnecessary. The people will take care of business. yes Mt. Gox is a sad thing and honestly all those involved should be rounded up and hung. They are thieves and they deserve the retribution of those that they scammed. |
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