There is no problem in capitalism. There is a problem with governments interfering with capitalism. These governments just need to get lost!

The server just keeps a balance of who owns which coins, but does not store coins themselves.

When user deposits or withdraws coins, an admin can manually send or record the coins on the server, without have the coins actually sent to the server.

This is how we do it at www.bitfication.com

I thought i had the finger on the pulse of the market. However with this recent rise, Im not so sure. Bear trap or new bull market?

Unfortunately dont have the time to study it more atm. However these things must be taken in context with what else is going on in the world right now.

please remember - nothing ever goes up in a straight line

Btw, sorry to bump up old post, but anyone thinking about US deficit should check out this article by Warren Buffet from Fortune in 2003

http://www.berkshirehathaway.com/letters/growing.pdf

It's for sure an old article but still relevant to the current situation. The pundits who keep talking about a 'recovery' are incredibly irritating. The reality is, there is no recovery - just a slow and painful repayment of the extra hours the US has been 'borrowing' from China since the 1990's. (read the article to get what I'm talking about!)

It seems that we are in for a continuation of this. I can't make sense of the macro stuff, but looking at the US debt clock - http://www.usdebtclock.org/ - , my intuition says we are in for a long, slow, painful grind. Maybe no economic collapse then. But that doesn't rule out investment bubbles generated by central bank money printing. (*cough* stock market *cough*)

As for a US dollar collapse??? I see it only happening if China sells its USD holdings. This scenario is not likely at all. So, no USD collapse.

Also , please can they stop calling it 'stimulus', 'easing', etc. These terms used by central bankers are really just trying to cover up the US inflating away its debt. I guess they are trying to avoid being more honest to keep the peace with the country's main creditors.

EDIT

I just was reading some other posts here, I thought I'd add a small rant about Bitcoin and how it could evolve. - just for fun!

As someone earlier mentioned, the level of integrity amongst politicians, bankers is just incredibly low right now. I don't know if this will have any immediate consequences, but I see in the future society will continue to evolve (ignoring any wars or conflicts *).. will continue to evolve so that we are each more independent of centralized control structures - corporates and politicians. The internet has been the most recent iteration of this, a technology that removes power from corporates and gives it to the individual - in this case the power for easy access to information principally, but many other powers besides. Bitcoin is the latest iteration of the internet , but is even more disruptive than the internet itself. In the future - ignoring any wars as stated - , human nature (greed, corruption, dishonest) will not change, but those in power will have less influence on the individual, so such weaknesses amongst our politicians will have less effect on the average citizen. Bitcoin is removing the power of control over us from central bankers. The financial crisis / events of the last 5 years have shown politicians and central bankers so be utterly incapable of managing the economy. It is therefore fitting that Bitcoin should come about at this time to relieve them of repeating the same mistakes that have caused this crisis. Bitcoin is the internet's replacement to the fed. I have no doubt that this technology will one day replace all currencies. With the world using bitcoin (or some more technologically advanced replacement), hopefully this financial crisis and the devastation caused by it may no longer feature in human history.

* Note: Wars are truly the worst events that can happen - I truly hope that any world wars do not occur in our lifetimes - if this could be true, then we would have a lot to be thankful for - really, I can imagine that all of our day to day worries would fade into insignificance if WW3 was to start - let's hope that is a place where the world *never* goes in our lifetimes or after

Cool! I'll check it out tomorrow..

See you guys at the conference..

Is this deal still open?

I dont think bitcoin is in the same category as either of these. P2P torrents did not go down after governments stepped in, because they cannot be blocked easily by government . Drugs also are very addictive and cannot be easily blocked, however they would be used alot more if it wasn't for government regulation. Bitcoin however can be easily blocked by government, by blocking bank transfers to exchanges. Any illegalization would also prevent any legitimate business from transacting in Bitcoin, resulting in no 'mass adoption'.

It's a nice comparison you're making in theory, but in practice it doesn't work.

Wow guys. This is big news.

The start of a US led attack on Bitcoin is beginning.

How ironic that it begins in the USA, land of the free. It seems in this 21st century, USA is no longer land of the free. It's land of the heavily indebted ,  where government sponsored elitist cronies dictate everything in their own interest at the expense of the people at the bottom. I only hope this is not the beginning of increasing online state censorship. The internet is truly the one remaining outlet that can provide total freedom from government interference to the average citizen. Perhaps ,then, in some years US gov't will be shipping that statue of liberty back to Europe.

Please stop trying to move the price upwards.

These posts smack of desparation. Everybody knows, there are no new suckers to buy into the bubble. The bitcoin bubble already burst a while ago, it cannot be propped up for much longer before people loose patience and start selling.

This will not move the price at all. It simply shows how desparate some bitcoin holders are become. Sell bitcoin.

Sorry, no. It's bear time. We're going down, dont sell too quickly.

Please reword the original post.

Start with 'what point will you sell at' ? $0-10, $10-20, $20-40, $40-60, $60-80, $80-110

I think i might do this myself actually.

$0

Here are some wild speculations. Lets see if any of them come true ( if these forums still exist in 8 years )

In order of most probable, IMO

1- people abandon bitcoin because of scalability issue
2- government block bitcoin exchanges and ask ISP to filter the protocol
3- sha-256 encryption is broken
4- bitcoin developers make stupid design decision that causes bitcoin to implode and other all coin to take stage
5- people realise idea of distributed currency system technically in feasible and all alt coins die out
6- bitcoin still going but goes underground after government regulation
7- governments realise unable to regulate bitcoin , bitcoin gains mass adoption and all existing world currencies cease to exist, to be replaced by bitcoin
8- governments and banks introduce their own version of bitcoin that successfully outcompetes bitcoin, due to government ability to legislate against bitcoin

Nice post. It looks like we are at a critical juncture , we're either going up or down. I think we could see a big movement downwards in the next week, as people realise price is not going up. With the price holding so stable recently, a large downwards movement is overdue.

The market is still in a bit of a bubble mode. Many people still holding coins waiting for price to increase. When they realize it will not increase, they will sell and price will go down.

Hi guys

Is USA debt repayable? Or are governments just hiding the truth - that infact western governments can never repay their debts, and that eventually sovereign bonds will collapse.

Does anyone actually have an answer to this? Is USA government heading down a road of responsible payback of its debt, or a road of full-on Keynesianism that will eventually lead to financial catastrophe.

I know that it would be in government's interest to hide the fact that debt was , at current economic growth rates , unrepayable. But I just want to know the truth. Lets assume USA economy continues to grow at current rate and deficit continues to grow/shrink at current rate. Where are we in 10 years? Is the debt repaid, halved or has it grown more?

Side question - If the debt is repayable, panic over. If it's not, how long will it take for markets to reflect this. Also - If anyone has some numbers, all the better.

Cheers

 

Well u got used to a bubble, an influx of new people moving money to gox

Now the hype is over there is nobody to buy. Only sellers who bought in high anxiously watching the price hoping it will go up.

What has happened is we moved from a bull to a bear market. As people realize volumes are not going anywhere for the timebeing, the price will continue trending downwards.

Lol

HOLD, moving to SELL if no new buyers emerge soon to push up volume