I think the theory is that if you provide consumer incentive to use XPY, then the buying of XPY will offset the selling by the merchant. XPY will just be the medium of exchange.

It won't work for a number of reasons, but it's not just as simple as looking at current market depth. If people have a reason to buy XPY to use at a retailer, that depth increases.

Long term, merchant acceptance raises the price because consumers want cash-on-hand to buy things right away. I keep some BTC around simply because it makes checking out easier.

You need more than just one or two merchants for that to make sense, though, unless you can get some big auction site or something else that demands urgency regularly.

This thread is so weird. suchmoon, "Scott" and, later, Mr. Felt and Coinfire are the posters who have been the most reasonable and realistic all along. I have no idea why people are attacking Coinfire so hard when he's posted perfectly reasonable articles about this fiasco.

The probably faked leaked emails are weird because the idea for Paycoin 2.0 is actually a pretty good idea. It's just that Garza is such a liar and so poor at executing that an idea like that in his hands is useless. I love the idea, though. Release information that only merchants would care about as a reward for holding coins, thereby giving merchants an incentive to hold that consumers don't have. That's a really good idea in concept.

How exactly do you report that to the authorities?

"Yes, police? Hi. Someone just wrote me a mean message on the internet."

"Oh."

"You don't seem to understand. He mentioned my family."

"Okay. I'll print it and put it in our special internet message board file. . . . Jackass."

If I had time to work on this, I'd look at the code from which Paycoin was ripped (ppcoin or something, right?), find out what they do to the fees in that code, and see how that segment of code is changed in the Paycoin code.

No, what I'm saying is that PRI64d is just a placeholder in the string for any integer.

So if I had printf("The Number Is %"PRI64d" In Case You Care\n", 4);

I'd get

"The Number Is 4 In Case You Care"

I'm pretty sure PRI64d is just formatting an integer. So that would be where "nFees" goes in the string.

I can't wait to find out, and some day we will find out, how much of GAW is/was real. Browsing linkedin, it looks like he contracted programmers out of Mississippi, probably because Mordica knew them from college or something. They probably never visted the office. Was there even a GAW Miners or Paycoin office, or did he just pose for pictures in front of his Great Auk office with the staff for that company? How many employees? 4? 24? 50? How many of his "staff" are teams of Indian contractors paid by the job?

Just how much of this operation was in Mississippi? Was their warehouse for unsold miners in MS? Did they even have a warehouse? How many times did the CTO visit New England (VT, MA, wherever the office is located), anyway?

This whole thing stinks of making an operation look much bigger than it is. But they got a lot of money from hashlets, and then from selling the premine/stake output. I'm pretty sure in the millions. If they're out of cash, which is another hunch, they must have paid themselves some pretty high salaries.

Could be.

I would love a list of 50 possible positions GAW could have. He probably needs a graphic designer, a couple of developers, a couple of paid internet shills, and one person cold calling businesses trying to encourage adoption. Maybe one more to fill the orders in case someone buys the miners he has left. Assuming he has one in-house counsel, two customer service reps, and two people working compliance, that's still only about 11 people.

Here's a theory.

GAW Miners only has a staff of a few people. Most of the "50" employees are employees of his, sure, but of his telecom company. He just includes them in the count because they're all his employees, right?

Also, nothing here:

http://www.sec.gov/litigation/litreleases.shtml

I'm not a lawyer, but wouldn't they have to litigate to get a subpoena?

I have a pacer account. What am I searching exactly? I can't find anything under "GAW" or "Geniuses", and there's nothing recent for a "Homero Garza".

I completely disagree. Remember when there was that bug that allowed users to see the balance of an arbitrary account? That gave us an idea of the scope of this thing, as it showed us the (at the time) millions of dollars worth of Paycoin held by consumers, and it's right in line with what those investigative report shows cover.

It's becoming pretty obvious that GAW is paying expenses by selling premined and illictly mined XPY. Aside from a few stray miners they can sell, it's their only source of revenue.

So, is this thing now too complicated for an episode of American Greed or NPR Marketplace? Do you think they'll be able to explain the crypto scam, especially selling a premine, to normal viewers? Not providing a floor and lying about merchant support are pretty easy to explain, but it's hard to explain what's happening now without some knowledge of crypto.

"So they have a staker that creates coins, well everybody can create coins, but theirs creates a LOT of coins, and the coins from one of those addresses were supposed to go to a burn address, but they didn't, and this is in addition to the first block award..." None of that makes a lick of sense unless you have a working knowledge of the technology.

Agreed.

Lol - If they gave a crap, they would have sent the payout to an address that no one has any chance of having the private key to. Like PMyNameisJoshmQj2jHudUA1Z928iKr6Vh or something.

He never GAVE GAW a penny. He "invested" his "capital."

Man, a guy can't take a day trip to Montreal without the internet all over his ass.

I think that Bitcoin Bar guy just deleted his old posts to remove evidence of him selling off his XPY. He probably thought it easiest to just wipe everything.

I say that because his latest post appears in his history.

@lolwut, you're either insane or making shit up for an agenda. Please let us know which. The former can be funny, but the latter's just annoying.