We've seen a rush of new alt coins in the past weeks. As we all know it's like money being made out of thin air. Once they hit an exchange early miners and insiders rush to cash in into BTC. Perhaps half of those BTC are sold and the other half is kept in the miner wallets. What effect does it have on the BTC USD price, if any? I would expect a high percentage of newly minted BTC never make it to the USD market, contributing to the rise of BTC/USD.
Any opinions?
I suspect that some of the buying of those newly mined altcoins are speculators hoping to nudge the price up. So unless they already hold bitcoins they would have needed to buy bitcoins in order to trade them for the altcoins. That is new transaction volume for bitcoin that might not have otherwise occurred -- so in that sense, markets for other altcoins benefits the bitcoin exchange rate. Now the amount of funds these altcoins represents though is a relative tiny fraction of the total dollar valuation of bitcoins -- so the impact on the bitcoin exchange rate is minimal. |
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Welcome back! Bitcoin to Cash LLC is offering the following services to the public:
Cash in the mail (Cash For your Bitcoins & Buy Bitcoin for Cash) How is this done? Standard business envelope, or priority mail, or  |
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+1 this is nice  keep up the good work! It's a forum thread, anyone with updates is free (and encouraged) to post! |
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I know this is old but trying to understand. so each physical coin is it's own wallet? Someone had to transfer the coin from a computer wallet at some point onto the coin, right? I guess my question is where does the bitcoin come from that is put on the coin?
Are you asking how bitcoins enter the system? All bitcoins are issued first as the block reward subsidy issued to miners. As far as how Casascius transfers funds to the addresses for the physical coins it can differ based on how they are shipped. The coins shipped domestically are manufactured, funded and then shipped. The coins shipped internationally are manufactured and shipped but because of VAT (taxes), they are not funded until after they've been received by the customer. If the coins never arrive, they are still funded as otherwise that would mean there are unfunded Casascius coins potentially circulating and that would be bad. Since Casascius receives payment in bitcoins, those funds might also be used to load value to the physical coins, or more coins might be purchased from an exchange on an as-needed basis. |
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Those that went out and earned it, probably would like bitcoin. Not necessarily. Even if you look at the philanthropy by these billionaires you'll notice often that the use of public funds is either a contingency or ultimate goal. Again, billionaires benefit from the status quo. Bitcoin disrupts that and the power they hold. |
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virwox allow credit card and paypal to buy bit coins. It is a minor technicality but that's not actually what happens. VirWoX sells Second Life Lindens (SLLs) and accepts PayPal as payment. You are then free to trade those SLLs for BTCs through them and withdraw the BTCs. Why not create a system where if they want to use CC/PayPal they have to have 'cash' or bitcoin balance equal to the amount they want to use.
Credit card chargebacks can occur months after the charge occurred (up to 6 months in most situations), so how long would the funds be parked in this bond before being returned to the customer? |
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So, if the accounting books are never opened to record new transactions, no additional value hits the books — empty rows remain as empty rows.
Please treat the above only as a hint, and not as an explanation of what goes behind the curtain. We're obviously both blindfolded, touching an elephant and describing entirely different animals. If you want to describe the Bitcoin ledger as having rows and each row represents a unit of value, then Bitcoin has 2,100,000,000,000,000 "rows" to work with. (21M BTC, and 1 BTC = 100,000,000 rows (each equal to 1 Satoshi). Most transactions cover millions of "rows" at a time. (e.g., a 0.123 BTC payment covers 12.300,000 "rows"). So even if 99.9% of those rows are locked up with no activity, there are plenty of rows remaining with which commerce can occur through (though yes, that would occur at a higher exchange rate due to supply being restricted to 0.1% of the coins issued). so not to cause a panic prematurely Panic? People understand supply and demand. As the price rises, supply increases from those who previously were hoarding and then have attained the purchasing power that they were targeting. At the same time demand by others decreases as plans to acquire coins at the higher exchange rate due to sticker shock. Bitcoin is not the first commodity or form of money with a limited supply. So, be bold and describe to us how this panic you fear will emerge. |
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BTC is meant to be spent, not hoarded! If I am a speculator wishing to bet that the future exchange rate will rise, then BTCs to me are meant for saving (hoarding, if you prefer that term). That's what their value is to me, if I'm solely a speculator. But that doesn't mean my saving bitcoins prevents someone else from spending theirs. Yes, I do understand that as Bitcoin gains traction as a currency then the current exchange rate value of a bitcoin is more justified but it isn't like everyone holding bitcoins today is preventing that traction from occurring. |
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If nobody spends their money fiat will become useless. Why do you believe that introducing artificial incentives (e.g., "penalizing money that has been sitting in the bank too long") is preferable to just letting fiat money becoming worthless (if that truly is the outcome due to a decline of spending)? Better yet, who elected you (or anyone else) to decide for me what I should be doing with my money? Keep yer grubby mitts off of other people's property. |
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we decided that we could no longer sit out here in the pacific all by ourselves. Looks like the Bitcoin community there is growing. Holton Gallery in Kula, Maui: - http://holtongallery.blogspot.com |
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If I run a gaming site purely using bitcoin, will I be required to pay taxes?
Taxes on profits from operating the site? Certainly there could be differences between jurisdictions but generally for most jurisdictions, yes -- a business would be required to pay taxes on profits regardless of the form the income occurs through. At a minimum, profits from barter income are one example of this already being addressed: - http://www.irs.gov/taxtopics/tc420.html |
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For example, if you had someone designate a long-term Bitcoin address, that would serve as their only destination point for funds, and you as a vendor would accept transferring their funds to that address, I believe you could begin to find the outline of a secure payment system. If you are trying to find a way to let a buyer prove that payment was sent to the seller, then you might want to know about the payment protocol being built into the Bitcoin-Qt/bitcoind client. - https://bitcoinfoundation.org/blog/?p=85 |
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It appears the BitLotto.com site is no longer online, which is good since there were still people happening across it (and sending new wagers, not knowing it was not paying out).
I was going to make an update to the archive of the site that I've maintained on github so that all Bitcoin addresses used were available later if needed. Does anyone remember if the Bitcoin address after BitLotto turned to scam mode was still from the last lottery (that Goat had won), or was it a new address?
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Are my funds going to be locked in limbo forever?
There is no reason other clients wouldn't relay your transaction so the miners should have gotten it. There's no reason a miner wouldn't include your transaction other than since it has no fee it isn't the first to get included. If you had sent the payment using Bitcoin-Qt/bitcoind it would get re-broadcast periodically (e.g., hourly or more) until it gets included in a block. However, there is no guarantee that this is happening from Blockchain.info/wallet and it appears that is the client you had used. With your transaction now aged more than a full day, it is possible that it simply is no longer being re-broadcast and relayed and the mining pools no longer even know of your transaction. If Blockchain.info/wallet eventually drops your transaction (and all your spend transactions since that used those funds from your 6.5 BTC coin) then your funds will re-appear and you can send the funds once again. But there's also a chance a miner does include your transaction and it will confirm at some point ... like in the next 24 hours. There's no way to add a fee after a transaction has been sent. An approach to allowing that (child pays for parent) is something that has been addressed and had already been coded (pull #1647) but is not part of the Bitcoin-Qt/bitcoind client today and is not used by many (or any?) miners. So a workaround today ... without any guarantee of it fixing your problem, is to just import the private key for your 13BXjmv6PCP361wKda63KfqH2kkCgv3Z8B adddress into Bitcoin-Qt and try to spend the funds from there. Another approach is to "redeem" (import the private key) into Mt. Gox and let it try to sweep the funds to your Mt. Gox account. Or wait another few hours or a day and see what happens with the transaction (i.e, either confirms or disappears). |
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It looks like purchasing of Gyft.com gift cards is not limited to Android phone users any more. Gyft has now added the ability to purchase gift cards using Bitcoins directly from it's website: http://www.gyft.com/(Click the link reading "NEW! Buy cards with Bitcoin") Direct link: http://app.gyft.com/me/cards/purchase/I can buy using their web site, but can I spend (in which I first need to get the gift card number, using the reveal process) using the web or do I need an Android for that? |
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I also still need to transfer my sterling into something else before I can use them, so I am no better off! You mean you have GBP and want to purchase bitcoins? How about sending them to CurrencyFair and then withdrawing EUR to your BITSTAMP account? (Just like you could do with TransferWise before TransferWise went away). |
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