Bitcoin going to zero - Karl Denninger Tickerforum.org

[digitalfog]

Roger...but neither have stocks when you look at the manipulation of the S&P500 and DJIA (the stocks specifically added and deleted from these indexes to represent "all is right with the market") adjusted for inflation.  It has always boiled down to timing. 

Wall Street fanboys count on people forgetting about: 

1929-1949.  (20 years of nothing.)
1966-1982.  (16 years of nothing.)

And if you look at 2001 to 2013 and adjust for inflation, it makes one yawn. 

So, I guess my argument is that I view Bitcoin as an asset.  Some people love it.  Some people hate it.   It is bound to fluctuate.  The key is:  There is a real market for it.  There is a real demand for Bitcoin.  Wall Street snubs its nose at anything that they can't get their fingers into.  Give them some time...they'll figure out a way to conjure up a new crypto-currency derivative market.

So while Karl denigrates (pardon the pun) those who use Bitcoin, it just shows his usual transparent pissed-off stance when it is obvious he has missed the boat again on making some real coin.  (Pun intended.)

To finish:   I have never held anything for 30 years...usually 10 years at the most...but each of these "holding periods" have favored certain assets.  I couldn't give a hoot about 30 year cycles.  10 year cycles favor those who have their eyes open.

[freedomno1]

Karl May say One thing But I'm watching O'leary
http://www.cbc.ca/player/News/Business/ID/2375415659/

[digitalfog]

Karl May say One thing But I'm watching O'leary
http://www.cbc.ca/player/News/Business/ID/2375415659/

Thank you! 

[marcus_of_augustus]

Karl May say One thing But I'm watching O'leary
http://www.cbc.ca/player/News/Business/ID/2375415659/

Great catch! Sound, sensible hard nosed financial adviser ... "market cap bigger than $1 bill and people are willing to exchange hard assets for it? ... yep it's a currency"

O'Leary funds has how much under management?
http://www.olearyfunds.com/

So say he has foreign currency fund with NV ~ $1 bill
And he's looking at dabbling with 2%-3% of NV into BTC. Sounds like a good plan ... 2%-3%.

[donjoe]

Bitcoin offers that plus financial incentive to try it out and encourage others to do so as well.

No, actually Bitcoin offers an incentive to grab it and hold it, i.e. keep it out of circulation, and a currency that doesn't circulate isn't much of a currency at all.

[Cluster2k]

Bitcoin offers that plus financial incentive to try it out and encourage others to do so as well.

No, actually Bitcoin offers an incentive to grab it and hold it, i.e. keep it out of circulation, and a currency that doesn't circulate isn't much of a currency at all.

Well, in the past few days we've seen people very eager to spend their bitcoins on MtGox 

Bitcoin does have one huge Black Swan that no one seems to address: the hundreds of thousands of early bitcoins that have never moved.  Are they lost?  Is someone holding them and looking to dump in the future?  Who knows?  Even the most strident anti bankster Libertarian must be tempted to cash out and set up themselves and their family and friends for life.

[ManBearPig]

Calling a drop to zero and seeing a $50 double bottom is not getting it right.

I'm guessing those who lost money probably think the perma-bears are suddenly paragons of wisdom.

[justusranvier]

Calling a drop to zero and seeing a $50 double bottom is not getting it right.

There's a better than average chance he's talking his book.

Some of the things he's said in recent posts match almost word for word how he would talk about gold and silver.

What happened there is he would loudly  trash talk them as investments in his blog but quietly mention somewhere in the middle they might be fine for trading and speculation. Then in his donator-only videos he'd mention the positions he was taking.

[AlgoSwan]

BTC is not going to zero, we just saw a manipulation made by insiders. First it broke-out $40 level and gone parabolic, their media friends gave them boost, and after that they decide enough,,, and sold everything... and made huge profits! Shame on you bast....s. Who lost? Of course the poor and uneducated one lost. Last 30 days has no meaning to keen miners. Remove the last 30 days data from the charts, really just remove the last 30 days of end of day data (EOD) from the charts and verify what is changed. N o t h i n g!

[Gabi]

So, price is back at 20 days ago->omg bitcoin going to zero for this "karl denninger" ? (i don't even know him)  Yeah sure

Anyway call me when price reach 0, so i'll buy some millions of bitcoin 

[BitDreams]

http://market-ticker.org/akcs-www?post=209282

One Dollar Of Capital - A Definition And Challenge

Simply put, for every dollar of alleged GDP there must be one of dollar of credit or currency with which to buy the goods and services produced.  If you increase the denominator, that is, the number of units of either credit or currency in the system then each unit must inevitably be worth less than it was before.  Only when those units are exactly in balance with economic output is there zero inflation and protection of the currency's purchasing power.

RE: NY "BitLicenses"

http://www.forbes.com/sites/timworstall/2014/07/19/how-to-stop-bitcoin-banking-give-it-a-bitlicense-in-new-york/?utm_source=twitterfeed&utm_medium=twitter

There’s much to like about the initiative. I’m particularly taken by the way in which Ben Lawsky, of the NYDFS, took to the Reddit Bitcoin forum to ask the Redditors what they thought of the regulations proposed. That’s real engagement with the user base going on.

The aim is to develop “BitLicenses” which detail what a company may do with Bitcoin, what it must do, capital adequacy ratios and so on. All useful stuff during the development of part of the financial system. However, as the excellent Matt Levine points out there is a problem with part of the suggestions:

What this means is that if you’re in the business of bitcoinery — “receiving Virtual Currency for transmission or transmitting the same; securing, storing, holding, or maintaining custody or control of Virtual Currency on behalf of others; buying and selling Virtual Currency as a customer business; performing retail conversion service … or controlling, administering, or issuing a Virtual Currency” — and you owe bitcoins to customers, then you need to have 100 percent of those bitcoins sitting in your bitcoin vault. And you can’t borrow against them. And you need to have some extra cash in dollars, just in case (in case what?). And you need to have however much capital Ben Lawsky decides you should have.

[theblacksquid]

Man... We've come a long way, have we?

[BitDreams]

Man... We've come a long way, have we?

Sure have, never forgetting 

[FUR11]

Man... We've come a long way, have we?

I don't quite get why someone dug out especially this thread... I though this was a new thread when I read the headline because, well, the FUD actually never changes. Even if someone bought at $200, they's be at over 300% even now so, yeah... a Prof. Bitcorn quality prediction, I'd say...

[freedomno1]

Well O'leary made his money  
Probally still making a killing when hes not on Shark Tank Dragons Den or yelling at people on CBC  

This was after it hit a record high of 266 dollars (Deja Vu) (Dude made a killing in Edmonton for selling his house in Bitcoins too lol)

Sitting at 600 seems kind of calming when I think of it that way lol.

[BitDreams]

Man... We've come a long way, have we?

I don't quite get why someone dug out especially this thread... I though this was a new thread when I read the headline because, well, the FUD actually never changes. Even if someone bought at $200, they's be at over 300% even now so, yeah... a Prof. Bitcorn quality prediction, I'd say...

I brought this thread out because of NY's BitLicense efforts. In the proposed legislation one of the fundamental regulations is one dollar of capital.

I thought it fascinating that one of Bitcoins biggest detractors makes an excellent point for 100% reserves.

[justusranvier]

I thought it fascinating that one of Bitcoins biggest detractors makes an excellent point for 100% reserves.

It's just a quirk of fate that Tickerguy is an enemy of Bitcoin.

He's completely devoted to the cult of the State, despite making it his life's work to expose how corrupt and evil it is.

He's got a strong background in programming, finance, and macro economics, so he knows exactly what Bitcoin represents. That's why he opposes it.

Karl Denninger does not want a world to exist in which governments no longer control the money.

[knightcoin]

IF bitcoin hit 0 (absolute zero) then it's not a discrete data anymore, so we going to use an analogue scale ...

My miner hardware weight more than 1 kilo ...

[BitDreams]

I thought it fascinating that one of Bitcoins biggest detractors makes an excellent point for 100% reserves.

It's just a quirk of fate that Tickerguy is an enemy of Bitcoin.

He's completely devoted to the cult of the State, despite making it his life's work to expose how corrupt and evil it is.

He's got a strong background in programming, finance, and macro economics, so he knows exactly what Bitcoin represents. That's why he opposes it.

Karl Denninger does not want a world to exist in which governments no longer control the money.

That's twisted      Bitcoin certainly challenges rule makers, many things appear to be starting over from scratch with bitcoin.  Maybe he's afraid that people can't control government and bitcoin is govcoin? Personally, I see past it because I can count 100 good things for every 1 bad thing and I can see government as the consensus of the local/county/state/country blockchains.

- goodexcuses-one-satoshi

[okthen]

Man... We've come a long way, have we?

I don't quite get why someone dug out especially this thread... I though this was a new thread when I read the headline because, well, the FUD actually never changes. Even if someone bought at $200, they's be at over 300% even now so, yeah... a Prof. Bitcorn quality prediction, I'd say...

I brought this thread out because of NY's BitLicense efforts. In the proposed legislation one of the fundamental regulations is one dollar of capital.

I thought it fascinating that one of Bitcoins biggest detractors makes an excellent point for 100% reserves.

Always enjoy it when someone diggs up this old relics.
Nothing makes me feel more bullish!