Bitcoin Forum
August 20, 2018, 03:37:44 PM *
News: Latest stable version of Bitcoin Core: 0.16.2  [Torrent].
 
  Home Help Search Donate Login Register  
  Show Posts
Pages: [1] 2 3 »
1  Economy / Securities / I'm done with Bitcoin Securities... on: April 03, 2014, 06:45:06 PM
First, I lose 50+ BTC to Labcoin
Then, 250+ coins to Bitfunder/ukyo.loan
Finally, 100+coins to Neo&Bee

Labcoin definitely was a scam. There isn't even enough information about the other two to make a determination as to what happened!

Bitcoin securities are just faaar too risky and there is no regulation and no protection. You might as well just throw your bitcoins away.

The SEC is investigating all of the above (well, I'm not sure about Labcoin), but by the time they get around to going after them, that money will probably be long gone.

btw, bitcoin mining is also a scam. BFL, Avalon, HashFast, etc... pretty much every company has cheated their customers and there is NO RECOURSE.

This simulator may be a joke, but it is actually pretty accurate: http://www.beepboopbitcoin.com/

All of these scams are very bad for bitcoin and from now on, I'm just going to sit and hold my coins.
2  Bitcoin / Legal / Interesting Forbes Article Regarding Taxes on Bitcoins on: January 07, 2014, 06:29:12 PM
http://www.forbes.com/sites/cameronkeng/2014/01/06/bitcoin-is-not-anonymous-and-is-always-taxable-part-2/

There are some things that don't make sense though.

First, I was told by my accountant, and it also seems to be the commonly accepted belief on the forums and elsewhere, that a bitcoin miner owes income tax on the coins he mined at the time he mines them. This article is implying that the tax isn't owed until they are sold. I wish he did a better job justifying why he believes that is true because because it is counter to everything else I've heard.

Second, he doesn't really talk about why it is worthwhile for a bitcoin miner to set up a corporation (LLC or otherwise). How does it help on taxes??
3  Economy / Speculation / What is going to happen when China wakes up today? on: December 18, 2013, 05:57:32 PM
I know the news is already old, but I predict another dip when the sun comes up in China tomorrow morning.

I'm actually surprised we didn't see a drop below $400, and I don't think that $300 is necessarily out of the question right now.

I sold a bunch last night and I'm going to wait to see what happens before I buy back in.


4  Bitcoin / Legal / Possibly dangerous tax situation when mining in US on: December 11, 2013, 10:17:15 PM
I am not an accountant, so please correct me if this is incorrect.

I'm assuming that you are someone who is trying to follow ALL the rules as best as they can (and many of them are unclear right now).

Here is a hypothetical scenario:

- You mine a coin a day for the month of November. Bitcoin is at $1000, so you mine 30 coins worth $30,000.

You would owe income tax on those coins, on that $30,000.

- Now let's say bitcoin crashes to $10 in December. You sell off the 30 coins for $300 and take a $29,700 loss.

You can declare that as a capital loss on your taxes.

Now the problem is the 30 coins you mined aren't a capital gain, they are declared as income. So you can't deduct the $29,700 capital loss from them. You can only deduct up to $3,500 per year off of your income.

So you'll be stuck owing taxes on $26,500 and have no money to pay it as your coins only earned you $300 in fiat!

This seems pretty scary. Am I wrong in this scenario or is this really what would happen?
5  Bitcoin / Alternative clients / Why can't you set a transaction fee on the Blockchain.info iPhone App!!! on: November 07, 2013, 09:02:13 PM
The blockchain.info iPhone app sends transactions without fees. Even though there is a fee setting on the blockchain.info wallet web page and I have it set to "generous" it does not seem to effect the iPhone app and the iPhone app itself has no setting!

This is really annoying and makes the blockchain.info app pretty much useless. Today I went to sell some bitcoins and after waiting a couple of hours for the transaction to be confirmed, it still hadn't been and eventually I just had to leave minus my coins but with no money. Hopefully the transaction will get confirmed by tomorrow and I'll be able to get the money from the buyer then.

Blockchain.info estimates a 20 hour confirmation time for it's transaction! This is not acceptable!

This is not the first time this has happened. I'm going to have to start carrying around a laptop now everytime I need to spend some bitcoins!

6  Economy / Speculation / a REAL cup and handle forming? on: November 05, 2013, 09:40:31 PM
Now I think that most TA is bs but at leas there is some theory behind the cup and handle pattern.

It seems to be that we have a cup formed from the peak in April and the peak we hit today.

Not surprisingly as we tested the previous high today we experienced a drop.

Now if that drop continues slowly over the next few weeks then that would be a very bullish sign for Bitcoin and we could expect to surpass the ATH and continue up within a month or so.

The alternative is the mini-crash we experienced today does not continue and bitcoin continues to rise and so the handle never forms.

Either way it's bullish for bitcoin.

Perhaps this is why TA is bs.
7  Economy / Securities / Idea for a decentralized security exchange on: October 09, 2013, 05:09:00 PM
I was thinking about this some yesterday and I think the simplest way to have a distributed exchange without modifying the bitcoin protocol at all would be something similar to the following (see below). It would require a peer-to-peer network built to facilitate finding buyers and sellers for trading and distributing information regarding the securities but the transactions themselves would be conducted using the blockchain. This basic idea could be extended to facilitate bonds with buyback in addition to stocks although I haven't though through the details yet. The concept is similar to the idea of colored coins.

I'm willing to start building this, but I don't have the time to do it all alone, so if there are any talented programmers out there, please let me know if you are interested.

Here are the details:


   * Each security would be represented by a single bitcoin address. The issuer of the security would hold the private key for this bitcoin address. Information regarding the security, including any news, announcements, or updates to the security would be signed by the issuer using the security's private key thus ensuring that the information is truly coming from the issuer.
   * Shares in the security would be represented by the bitcoins belonging to the bitcoin address. Each satoshi would represent a single share. The security must be funded by a single transaction that represents the number of shares for that security. The total number of shares can never be increased or decreased. Any additional deposits made to the bitcoin address representing the security will be ignored by the Distributed Security Exchange (DSE) protocol. If the issuer wishes to increase the number of shares available he must create a new security.
   * Shares are traded to investors by transacting bitcoins from this address to a investors bitcoin address. For simplicity sake, each investor should have a separate bitcoin address for each security he invests in. In that way, the value of the coins in his address with represent, in satoshis, the number of shares he holds for a given security. There is nothing to stop him or someone else from depositing more coins into an investors address but the DSE protocol will not count coins that come from an address that can not be traced back to the original security issuer's bitcoin address.
   * Transactions of shares of a security would be performed using contracts. In the simplest case, the contract would involve the security seller transferring a number of satoshis equal to the number of shares he is selling to the buyer and the buyer transferring a the cost in bitcoin back to the seller. The contract would only be valid if both transactions have been signed appropriately by both the buyer and seller. A description of how contracts work in the bitcoin protocol is outside the scope of this document. In this way, both the buyer and seller can be sure that neither one can be cheated.
   * The current price of a security can be determine by using a standalone app (or web service) that scans the blockchain and looks at the most recent price a security was traded for. It can also use this method to get average prices, daily highs and lows, and volumes in addition to other useful statistics on a security.
   * Finding a buyer or seller is a little more difficulty. It is necessary to a use peer-to-peer network for buyers and sellers to connect with each other. A seller or buyer will broadcast how many shares they are looking to buy or sell and what price they are willing to buy or sell at. When a match is found, the trading software can automatically perform the transaction as described above and both parties will be notified of the transactions success. Transactions can occur outside of this peer-to-peer network just as easily so buyers and sellers can be located using other methods such as IRC, forums, and word of mouth, if desired.
8  Bitcoin / Bitcoin Technical Support / Mac Bitcoin-Qt Transaction Bug on: September 06, 2013, 07:32:58 AM

Every once in a while I send a transaction on my Mac with Bitcoin-Qt and the transaction just sits there and never gets broadcast out to the network. I'm not sure why this happens but it seems to happen more often if I send the transaction right away without letting the client sit for a little while first.

What happens is the transaction gets stuck in limbo. It never gets broadcast so it never gets confirmed. But my wallet thinks those coins have already been sent so the money is unspendable. It doesn't matter how many times I restart bitcoin-qt or wait (I've waited hours if not days), the transaction will sit there and never get broadcast.

The only solution I've found has been to delete my wallet and restore from a backup of the wallet that was made before the transaction. This is not an acceptable solution though as it is possible the old wallet may not include all the addresses the new wallet has and I could lose coins.

I suppose I could only try using pywallet although I haven't tried that yet.

In my opinion, this is a very serious bug and I don't understand why it has not been fixed yet. I've had this happen to me three times in the past couple of months and I've written posts here and on the technical discussion forum before.

Have others had this bug happen to them? I imagine it must be fairly common. Finally, how can I report this bug more directly to the developers so that it can get fixed.

In my opinion, any bug that causes you to lose coins without resorting to complicated wallet hacks (like pywallet) should be considered a very critical bug.
9  Bitcoin / Pools / Earnings lower than estimate? on: August 24, 2013, 05:28:33 AM
I've only been mining for about a month and a half now (45 days). I have an Avalon, two BFL Jalapenos and a BFL FPGA which total about 100 GHash/sec if everything is working correctly.

I've been mining mostly on Ozcoin and I keep very detailed statistics including the daily hashrate for my miners and the payout for every block found for the pool.

Ozcoin charges a 1% fee and uses DGM payout method (there is also POT but I always use DGM). DGM is similar to PPLNS. Well kind of.

I also keep track of the current difficulty and what my expected earnings for each day should be (minus the 1% fees).

I use that to calculate a "luck percentage" where 100% is when I hit my expected earnings target.

What I've noticed is that of the past 45 days only 9 of the days did I ever reach 100% or above. The other 36 days I was below 100%. There are several days where I was 50% or less and only about 2 or 3 days where I was significantly above 100%. Overall, my payout is just 85.59% of what was expected.

Now, I realize there is a huge amount of variance because this pool pays based on blocks found and every pool has unlucky days when there are fewer blocks found than expected.

What I'm trying to figure out is if it is just the case that Ozcoin has been very unlucky the past 6 weeks or if I am calculating something incorrectly. FYI, I am using the hashrate reported to me by Ozcoin to calculate what my expected earnings should be. 85.59% seems particularly bad. I don't see why I would stick with Ozcoin (as much as I do love it) and not switch to a pool like 50BTC where I would be guarenteed to make 97% of my expected earnings. It seems that extra 2% isn't really worth it when the variance can really hurt you.

As far as I can tell, the reasons for the much lower than expected earnings are one of the following:

1) Variance in the pool. Basically, just bad luck. I would have expected this to have averaged out over 45 days but it seems to me to consistently be underperforming. Maybe I haven't waiting long enough. I dunno.

2) The hashrate Ozcoin is reporting for my miners isn't the exact hashrate that I am getting when it comes to the number of valid shares I'm submitting. I'm not sure why this would be the case. My "efficiency" is always about 99.5% across all my miners when it comes to valid shares. Maybe everything is actually correct but I'm not actually doing the 100 GH/s worth of work Ozcoin is telling me.

3) DGM is underpaying because that of the nature of the algorithm (which is more complicated than most). It seems to underpay even when the pools finds the expected number of blocks each day. I'm not sure why.

4) People are cheating the pool. I always wondered how a pool prevented miners from lying and submitting invalid shares. Obviously the pool can't check every single one, right? They would require to have a hashrate as high as all the miners participating in order to do that, correct? The pools seems to have many more days where it doesn't find the expected number of blocks given the pools reported hashrate. What if people are submitting fake shares making the pool like it has more hashrate that it really does and taking a bigger share of the Ozcoin pie.

5) There are other hidden fees I don't know about. Or perhaps I am calculating my expecting earnings incorrectly. My calculations do seem to match up with what ozcoins own utility bots (in its IRC channel) seem to tell me.

6) Ozcoin itself has some problems. The pool has gone down on occasion and has had problems where the statistics were unavailable for a time (though the owners claimed it was still processing shares correctly). There could be some bugs in its software.

Which of these seem most likely? I'm probably going to give another pool a shot for a while and see if it is any better. I do really like Ozcoin though and I want to continue mining there.

What is the experience that other people have when it comes to expected earnings vs actual earnings?
10  Bitcoin / Development & Technical Discussion / Missing transactions! Rescan broken on Mac OS in Bitcoin-QT?? on: August 08, 2013, 06:37:09 AM
This has happened to me twice so far. Here are the details:

- I've tried to send some bitcoins from my wallet (using bitcoinqt) to an address. The transaction appears to go through, but I don't leave bitcoinqt open to wait for confirmations.
- Some point later I load bitcoinqt back up and I see that the transaction is "unconfirmed" with 0 of 6 confirmations. This is the case even though many blocks have been found.
- Looking at the transaction ID on blockchain.info shows no transaction with that id!
- The coins are gone from my wallet and I can't spend them

So it seems like the transaction was created but never sent out to the network for some reason. But bitcoinqt and my wallet still thinks that the transaction took place so I can access that money anymore.

How do I fix this??

Here is an example of a transaction id, which should be 100 coins sent to 1BQoA9BJHTgFTHSYWKzJmhLfsGxReEsE8A. The transaction id is: 64076b4bc091a61d080bd504339ac130bef45fb7d659df24f4a6b2bab53062a9
It also included a 0.005 fee.
I've had another transaction "stuck" like this for over a week.
What can I do?
11  Bitcoin / Hardware / Troubleshooting a Broken Avalon on: July 27, 2013, 10:41:44 PM
I have an Avalon Batch 2 that has been mining without issue for the past 3 weeks or so.

All of a sudden today it crashed and stopped working and I can't figure out whats wrong with it.

I turn it on and the lights go on and the fans spin up momentarily and then it just sits there. There is a solid blue light by the ethernet jack. And a green and orange light in the front. It's hard for me to tell those colors though, since I'm colorblind. I could be wrong.

I can't connect to the miner on the IP address I set up for it nor at the 192.168.0.101 address it came with by default. If it's listening on another address, I can't tell. If definitely isn't mining either. The fans aren't running and it isn't connecting to the mining pool.

What can I do? Is there a way to reflash it if I can't connect to it's web interface? What about buying a new TP-LINK WR703N for it?

Oh, I already tried replacing the power supply with a Corsair GS800. Still the same thing.

12  Economy / Speculation / Bitcoin will go back up tonight on: July 01, 2013, 06:44:30 PM
Asia is always more bullish on bitcoin than we are.

I predict that bitcoin could go as high as 95 tonight.
13  Economy / Speculation / Well we are back to the double digits again on: June 28, 2013, 01:42:26 AM
There hasn't been any good news from the Bitcoin market in about a month now.

I've just been watching the value slowly decrease every day.

It's a lot more disheartening than the sudden drops we've seen in the past because with those we know that what drops fast can go up fast too.

But Bitcoin has not risen fast in quite a while.

It still feels like the bubble is deflating and it seemed to many that the wall at $100 would hold it. But that doesn't seem to be the case and unless something good in Bitcoin news happens soon I fear it will continue to deflate with no bottom in sight. Bitcoin needs to something exciting to generate interest in it again but I don't know what that it is or when it is coming. Sad
14  Economy / Speculation / Big crash again, are we going under 100? on: June 09, 2013, 05:59:28 AM
I really don't know why bitcoin has been slumping recently.

Hopefully the past week will at least convince people that difficulty does NOT drive price. If anything price drives difficulty.

I hope we don't go under 100, but I wouldn't be too surprised if we do.
15  Economy / Service Discussion / Anyone in the US able to get dollars out of MtGox? on: May 17, 2013, 05:09:25 PM
I know Dwolla is shut down now.

Have people been able to do international bank transfers?

How about OKPay?

Is CampBX the only other exchange available to US residents right now?
16  Bitcoin / Hardware / Legit Avalon Batch #2 Order? on: May 16, 2013, 09:20:08 PM
Sorry to bother everyone again but it seems like there are so many fraudulent Avalon miner sales out there.

For those of you who have ordered an Avalon miner, does this order receipt look legit? (3 images):

http://imageshack.us/photo/my-images/15/miner1.jpg/
http://imageshack.us/photo/my-images/69/miner2.jpg/
http://imageshack.us/photo/my-images/69/miner3.jpg/

One thing that seems odd is the Order Status page has a '$' instead of a bitcoin symbol. I'm not sure if that is normal or not.

Thanks so much.
17  Bitcoin / Hardware / Remember last October when BFL said they would ship by the end of the month? on: May 16, 2013, 01:13:48 AM
Given that it is now the second half of May and they haven't even finished development of 3 of the 4 of their products how could they have legitimately believed they were going to ship within a month at the time? Even if they had a working prototype they couldn't have done it. They didn't even have a working ASIC!

It should be quite obvious to anyone that that claim at the time (last fall) was nothing more than pure fraud intended to boost their pre-orders and scare off competitors.

Why are they not being investigated by state attorney generals or why is there no class action lawsuit being organized against them?

There is no way they can claim that they actually believed they would be able to ship a product at that time. No one is going to believe that a company was that completely ignorant as to the sechedule it takes to develop, test, produce, and ship an ASIC.

I'd like to see their e-mails and records subpoenaed so we can really see what was going on in the company at that time.

Now that Avalon Batch 2 is shipping, with batch 3 and the discrete chips not far behind, BFL hardware with be worthless when it finally does arrive. And a honest, fair estimate is about 3-4 months for just the first 10,000 units. Let's look at the schedule:

2-4 weeks for BFL to figure out the kinks in their single SC board.
2 weeks to order chips, assemble a couple of single SC machines, and ship them out to reviewers
2 weeks to receive enough chips and get the new PCBs made in large enough quantity
2 weeks to ramp up assembly
2 weeks to package and ship
10 weeks of production to make 10,000 units assuming they can make 1000 a week (it's ambitious).
Add in another 4 weeks for potential delays, of which there is always something

That's about 3-4 months just to get started making a dent in the backlog of pre-orders they have. By then we might even be seeing home-made Avalon ASIC machines out there mining.

If you don't believe it will take this long, look how long it's been since they got the first Jalapeno working and how many people have them? It takes a while to go from "prototype" to ramping up production to significant volume. And they don't even have a working prototype for the single SC/minirig right now.
18  Economy / Goods / Thinking of selling gold and silver for bitcoins... on: May 15, 2013, 08:03:16 AM
As to not to compete with Amagimetals, I am thinking of focusing on products that they do not seem to carry such as Austrian Philharmonics, Chinese Pandas, Credit Suisse bars, and gold bars in larger sizes such as 10 oz and 1 kg. Escrow would also be an option for those who want it. Prices would be in the same range as Amagimetals and much cheaper than coinabul. I already have a collection that I am currently getting rid of so I might start there. I'm trying to gauge interest right now. Is there a desire out there for people who wish to buy gold/silver with their bitcoin?
19  Economy / Speculation / Yay MtGox and the panic buy on: May 15, 2013, 06:05:55 AM
Price is shooting up so fast there is major goxlag.

Bitcoin never ceases to amaze me.

I guess Asia doesn't have the same MtGox money transfer problems that we have in the US Wink.
20  Economy / Service Discussion / Coinabul is gone? on: May 15, 2013, 04:38:53 AM
Something weird is going on. It's not like the website is just down. It is simply gone.
I was just on there earlier today.

Does it have something to do with the dwolla/mtgox fiasco?
Pages: [1] 2 3 »
Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!