Thoughts on "holding" Bitcoin

[dothebeats]

I have high hopes that one day, bitcoin would be widely-used and accepted around the globe and thus be a currency in which you hold and control all your money. I hold bitcoins, mainly for the purpose of using them one day on buying everyday goods/things such as food, toiletries, other stuff etc.

[deisik]

I have high hopes that one day, bitcoin would be widely-used and accepted around the globe and thus be a currency in which you hold and control all your money. I hold bitcoins, mainly for the purpose of using them one day on buying everyday goods/things such as food, toiletries, other stuff etc.

So you are holding your bitcoins and, at the same time, hope that someone else will start using Bitcoin for selling and buying real stuff, right?

Why would they, en masse?

[Searing]

Hey the usa says btc is a 'commodity' now ..and IRS 2013 Guidelines treat it like land and subject to capital gains.......


so hey they just have caught up to me I've held it all ..by the time my titans die I plan to convert all LTC to BTC and be at hopefully 111 btc
by the time it all goes home mining titan doorstops

then i will sit on my hoard and brood about price (conan the barbarian like pose) er more a (Searing the nerd pose) I guess

and one of 2 things will happen


1) BTC will maintain and modestly or otherwise increase in price and use

or

2) I will have more compassion for those sad sad folk that collected 'beanie babies' etc because I will resemble them in their despair

flip a coin ..this is why they call what we are doing no matter what it is (hold/use/mine/whatever) SPECULATION

if it was 'safe' I'd have ALL MY FIAT in BTC (alas no balls)

anyway my 2 satoshis on this whole heaven or hell choice of the crypto afterlife

[~Bitcoin~]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

[irfan01]

actually it depends on the individual plan
if he is able to analyze the development of market prices, maybe it would not hurt to hold bitcoin to high price

[oblivi]

I have high hopes that one day, bitcoin would be widely-used and accepted around the globe and thus be a currency in which you hold and control all your money. I hold bitcoins, mainly for the purpose of using them one day on buying everyday goods/things such as food, toiletries, other stuff etc.

It will be impossible to buy real state unless Bitcoin is goverment regulated and taxed... tell me how are you going to be able to buy a house or a flat, or even a car, without the goverment knowing that you are using a currency that it's outside the system and non regulated and you didn't pay any taxes?
As long as goverment exist Bitcoin will depend on it like it or not.

[Russtie Beerkan]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

But is the halving of the reward guaranteed to have that much of an effect on price?

[neurotypical]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

But is the halving of the reward guaranteed to have that much of an effect on price?

It will theoretically, no demand needs to be increased, just mainated. If the demand is maintained and the total supply is cut in half... then we should be at 500 usd at least post halving given current price, so yes, it's good news, but of course, this is all theoretical, we'll see hw it performs under real world situation.

[deisik]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

But is the halving of the reward guaranteed to have that much of an effect on price?

It will theoretically, no demand needs to be increased, just mainated. If the demand is maintained and the total supply is cut in half... then we should be at 500 usd at least post halving given current price, so yes, it's good news, but of course, this is all theoretical, we'll see hw it performs under real world situation.

You obviously forget two things. 1) Miners are not the only ones who sell bitcoins, and 2) they don't sell all their bitcoins...

Though it may happen that they will have to sell even more than what they will be mining after the halving

[Russtie Beerkan]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

But is the halving of the reward guaranteed to have that much of an effect on price?

It will theoretically, no demand needs to be increased, just mainated. If the demand is maintained and the total supply is cut in half... then we should be at 500 usd at least post halving given current price, so yes, it's good news, but of course, this is all theoretical, we'll see hw it performs under real world situation.

You obviously forget two things. 1) Miners are not the only ones who sell bitcoins, and 2) they don't sell all their bitcoins...

Though it may happen that they will have to sell even more than what they will be mining after the halving

Interesting point, which is what I was thinking about when I asked that question. The price to mine obviously increases, do people think miners will retire/stop, or will technology by then be able to compensate for some of the current problems, like electricity usage etc. I see the new S7's seem to use a bit less electricity. Perhaps it's feasible that mining hardware will just get better, and overall cheaper (not the gear but maybe the overhead, I mean). ?

[randy8777]

i am indeed holding bitcoin to sell it later with profit. but that doesn't mean i am not spending coins. i have a cold wallet for coins i want to hold for a longer time. and i also have a wallet that i use to spend and receive bitcoins.

[Lazada]

I save and hold bitcoin wallet because for play money, make trades and get a number of advantages. if I take all my bitcoin, I did not have enough money to get it back.

[Searing]

I have high hopes that one day, bitcoin would be widely-used and accepted around the globe and thus be a currency in which you hold and control all your money. I hold bitcoins, mainly for the purpose of using them one day on buying everyday goods/things such as food, toiletries, other stuff etc.

It will be impossible to buy real state unless Bitcoin is goverment regulated and taxed... tell me how are you going to be able to buy a house or a flat, or even a car, without the goverment knowing that you are using a currency that it's outside the system and non regulated and you didn't pay any taxes?
As long as goverment exist Bitcoin will depend on it like it or not.

In USA they (the IRS)  assume you are honest and report such things as btc etc......IF NOT they come down you you HARD so my assumption is when they regs get more
clarified ..there will be a period where they will let you declare the btc or crypto you have etc...but after that point it will be treated more harshly imho

myself due to bank error in 2013 on an over 10k wire xfer to knc (btc was evil they thought i was a drug lord lol) my 'previous' bank sic'd the SEC on me...So I filed
under the 2013 IRS Guidelines on mining ie it is treated like land taxed on what i mine out of thin air at 25% BUT as a home biz etc I get equip depreciation etc

again I'd just sit on your hoard and wait till IRS and other stuff is clarified and then say in 2018 you had a good year if you want to declare some/all etc but this is
from someone who had to file with IRS from the get go

It looks like all in all I will lose 25% on what I mined but gain 25% in the equip depreciation so coincidentally will be in the same boat $$$ wise anyway by luck when this
all wraps up next year (5 years for a biz of which 3 years you have to show a profit ..whatever that may be over equip ded etc) so a long way around to get to the
same point of just hoarding and waiting till the rules by govt IRS etc are more clear..but again the above is unigue to me covering my butt in 2013.

Then again if BTC does to to 5k etc I will be as clean as a babies backside ...no need to hide zip (all my coin came from mining)

anyway my 'assumption' is they would rather make you a legal miner or a legal bitcoin biz and have you succeed in either of the above..but lets be real hear no way would
the IRS ever let any biz (esp now with it all going centralized and data halls) MINE virtual money out of AIR and not pay taxes on it of 25%....as to the trading and speculation
of crypto I'd gather they'd just use the same rules sorta/kinda they use for traders...now etc capital gains 40% if you sell within a year and a day or 20% on capital gains
after WITH THE CHANGE that btc is a commodity ...which IRS currently in guidelines does NOT say

whatever I got caught in the barb wire...so from where I sit..the rest of you will have to lobby etc with the revolution of how this all comes out without me...

but anyway .....if something really stupid changes according to my CPA this year or next I'll let folk know here...but my revised 2013 Tax form using guidelines by CPA
I had to file due to the bank issues went thru and was signed off as correct ..so at least in 2013 I'm golden....2014 took some losses 2015 will show some profit but still
less then equip deduction and home biz stuff (even) 2106 also ok equip ded wise and 2017 may have to pay the IRS a token 400 or 500 bucks in some manner just to
wrap it all up vs previous equip deductions (last year prob as a virtual biz)

anyway just an fyi on the 'current' hoops if you find yourself in my boat I also suspect (hope) my situation may get better now that btc is considered a 'commodity' as seen
in this link

http://www.newsbtc.com/2015/09/27/bitcoin-as-a-commodity-seriously/

So I think the IRS will have to adjust to the above which again imho will help me (if no one else) in my situation at this time.

So hopefully it will be if you 'hold' btc you only pay 20% capital gains when you sell it at the price at that time. Assuming you feel the need in a couple years to move some coin legit.

anyway I'm the lab rat I'll let you know

[deisik]

I like to say i am currently collecting rather than holding. For me i am not collecting to selll at higher price, i want to first collect and than hold. My only intention right now is to reach 1 btc and hold it till july 2016 when there will be halving of block reward.

But is the halving of the reward guaranteed to have that much of an effect on price?

It will theoretically, no demand needs to be increased, just mainated. If the demand is maintained and the total supply is cut in half... then we should be at 500 usd at least post halving given current price, so yes, it's good news, but of course, this is all theoretical, we'll see hw it performs under real world situation.

You obviously forget two things. 1) Miners are not the only ones who sell bitcoins, and 2) they don't sell all their bitcoins...

Though it may happen that they will have to sell even more than what they will be mining after the halving

3) The supply does not decrease. Bitcoins are not consumed

Bitcoins indeed are not consumed, though they can still be irrevocably lost

But that's not my point. Bitcoins would be consumed (in a sense) if they were used for real trade (as opposed to trading and gambling). The bitcoins that facilitate the commodity turnover are effectively removed from the supply&demand price determination mechanism (exchange) since in that case they would never be exchanged for fiat but only for goods and services. The problem is that the real Bitcoin economy is pathetic at best...

[avatar_kiyoshi]

Bitcoin can be both, can be as currency and commodity.

Hold some bitcoin for long term is nice investment than HYIP or MLM. i have plan to hold some bitcoin and let's see for the next halving time.

[Mickeyb]

Bitcoin can be both, can be as currency and commodity.

Hold some bitcoin for long term is nice investment than HYIP or MLM. i have plan to hold some bitcoin and let's see for the next halving time.

Yes, Bitcoin has many possible use cases for the future. Some are still not developed and some are more ready than the others. But Bitcoin is very versatile and this is what makes Bitcoin a very interesting investment since it has a great potential.

Everyone should definitely stick few coins in the cold storage and just let them sit there for the next 5 years. We will all see what's going to happen, but the end result should be quite nice for its holders.

[fuddudle]

There are probably better assets to be 'held' in the near to middle term than Bitcoin.

However if you're bullish long term, it's still probably better to put your money else where and watch that grow, then come back to Bitcoin when we finally have a confirmed bullish run.

On the other hand, Stock markets have the crazy bullish runs we hope to see in Bitcoin every decade or so. Perhaps the next run will occur in a much longer time frame than we all expect.

[Lazada]

you will not only be holding bitcoin. you have to move and get more bitcoin.

[neonshium]

Holding bitcoin can be based on two thoughts 1. for long run for their retirement purpose 2. Short run just like a trader. The short run traders will hit their heads when the price moves beyond their selling prices like in 2013 many people did. Long run people will face situations like today we face, fall after big bounce.

[deisik]

Holding bitcoin can be based on two thoughts 1. for long run for their retirement purpose 2. Short run just like a trader. The short run traders will hit their heads when the price moves beyond their selling prices like in 2013 many people did. Long run people will face situations like today we face, fall after big bounce.

You are obviously confusing one-off traders with day traders