WallStreet Whales are coming: FIG Bitcoin MegaFund

[medUSA]

As far as I know wall street won't be buying BTC directly but will invest in companies supporting or adapting to bitcoin.

Yes, I think so too. I believe the fund would buy-in existing companies, or provide capital for startups like an venture capital funds.  May not boost bitcoin prices directly, but if we see licensed exchanges and more online stores because of this, it would be encouraging news

[Ducky1]

Fortress might already have bought their first bitcoins:

http://www.reddit.com/r/Bitcoin/comments/1u4fc6/record_number_of_bitcoin_days_destroyed_and_10/

[windjc]

Fortress might already have bought their first bitcoins:

http://www.reddit.com/r/Bitcoin/comments/1u4fc6/record_number_of_bitcoin_days_destroyed_and_10/

Wild speculation.

[windjc]

As far as I know wall street won't be buying BTC directly but will invest in companies supporting or adapting to bitcoin.

Yes, I think so too. I believe the fund would buy-in existing companies, or provide capital for startups like an venture capital funds.  May not boost bitcoin prices directly, but if we see licensed exchanges and more online stores because of this, it would be encouraging news

Wall Street won't be investing directly?  There is a pending ETF that says otherwise.

[Ducky1]

Fortress might already have bought their first bitcoins:

http://www.reddit.com/r/Bitcoin/comments/1u4fc6/record_number_of_bitcoin_days_destroyed_and_10/

Wild speculation.

Yes, but it makes a lot of sense imho.

[HairyMaclairy]

FIG is forming a Bitcoin MegaFund larger than SecondMarket

I'll believe it when I see it. 

[windjc]

FIG is forming a Bitcoin MegaFund larger than SecondMarket

I'll believe it when I see it. 

That's fine with the rest of us.

Just sit over there in the corner with the millions of others that have doubted bitcoin news for the last 5 years. You'll have lots of company.

[HairyMaclairy]

I've been waiting awhile for the Winkelvii to get to market.

Fortress' owner owns Bitcoins.  He's just talking it up.

[Grafzep]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

We here have a very rare (for a random public individual) chance to front run the Street. Our time to accumulate is nearly over. When your cold storage is full, just sit tight and get on with life.

In a few years time, when you happen to see the mass market papers telling people to buy into the proven Winklevoss fund - then slowly start selling.

[T.Stuart]

We here have a very rare (for a random public individual) chance to front run the Street.

+1

Whatever you do realise this point. And then decide whether or not you want to sell your coins to these new, big, ugly sharks who are starting to circle. There's never been a better time to hodl in my opinion! 

[BitchicksHusband]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

We here have a very rare (for a random public individual) chance to front run the Street. Our time to accumulate is nearly over. When your cold storage is full, just sit tight and get on with life.

In a few years time, when you happen to see the mass market papers telling people to buy into the proven Winklevoss fund - then slowly start selling.

This is the most salient point about bitcoin that most people miss.  This opportunity just doesn't come along every day.  Maybe only once a lifetime.

[solex]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

We here have a very rare (for a random public individual) chance to front run the Street. Our time to accumulate is nearly over. When your cold storage is full, just sit tight and get on with life.

In a few years time, when you happen to see the mass market papers telling people to buy into the proven Winklevoss fund - then slowly start selling.

This is the most salient point about bitcoin that most people miss.  This opportunity just doesn't come along every day.  Maybe only once a lifetime.

A similar profit-making event was buying common domain names in the late 1980s, early 1990s.
http://en.wikipedia.org/wiki/List_of_the_oldest_currently_registered_Internet_domain_names

Few people thought of it then.

[Peter R]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

Do we have confirmation that the Fortress fund will only be open to Qualified Investors, similar to the Second Market offering?  I haven't seen many clear details. 

Is it not possible that someone with better connections/experience (not necessarily Fortress) could try to beat the Winklevosses to get an ETF running?

[bassclef]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

We here have a very rare (for a random public individual) chance to front run the Street. Our time to accumulate is nearly over. When your cold storage is full, just sit tight and get on with life.

In a few years time, when you happen to see the mass market papers telling people to buy into the proven Winklevoss fund - then slowly start selling.

This is the most salient point about bitcoin that most people miss.  This opportunity just doesn't come along every day.  Maybe only once a lifetime.

A similar profit-making event was buying common domain names in the late 1980s, early 1990s.
http://en.wikipedia.org/wiki/List_of_the_oldest_currently_registered_Internet_domain_names

Few people thought of it then.

I did! Unfortunately I was 14 at the time and had little business sense.

With Bitcoin, I vowed not to let the opportunity pass me by again.

[Grafzep]

The Winkles are setting up a retail fund - a completely different set of hoops to jump through.

Second Market and Fortress are effectively Street insiders front running the twins.

We here have a very rare (for a random public individual) chance to front run the Street. Our time to accumulate is nearly over. When your cold storage is full, just sit tight and get on with life.

In a few years time, when you happen to see the mass market papers telling people to buy into the proven Winklevoss fund - then slowly start selling.

This is the most salient point about bitcoin that most people miss.  This opportunity just doesn't come along every day.  Maybe only once a lifetime.

A similar profit-making event was buying common domain names in the late 1980s, early 1990s.
http://en.wikipedia.org/wiki/List_of_the_oldest_currently_registered_Internet_domain_names

Few people thought of it then.

Actually, plenty of people thought about it - I remember emails going round suggesting it as an easy way to make money off wealthy corps or individuals who would eventually have to pay your price. It took one phone call to have it confirmed that IP law wouldn't stand for "passing off". Most settled out of court, but it was a bit of joke really to think that McDonalds' lawyers would advise paying off Joe Basementdweller rather than enjoy some easy fees. The ones that did get money were those who could show that they had a fair entitlement to use the domain, or had a great generic shout like "sex.com". Later, the Man made sure with the Anticybersquatting Act

http://en.wikipedia.org/wiki/Anticybersquatting_Consumer_Protection_Act

[solex]

Actually, plenty of people thought about it - I remember emails going round suggesting it as an easy way to make money off wealthy corps or individuals who would eventually have to pay your price. It took one phone call to have it confirmed that IP law wouldn't stand for "passing off". Most settled out of court, but it was a bit of joke really to think that McDonalds' lawyers would advise paying off Joe Basementdweller rather than enjoy some easy fees. The ones that did get money were those who could show that they had a fair entitlement to use the domain, or had a great generic shout like "sex.com". Later, the Man made sure with the Anticybersquatting Act

http://en.wikipedia.org/wiki/Anticybersquatting_Consumer_Protection_Act

Generic names were the way to go. "if.com" was purchased by Intelligent Finance for $1m from its early owner.

[BitchicksHusband]

Actually, plenty of people thought about it - I remember emails going round suggesting it as an easy way to make money off wealthy corps or individuals who would eventually have to pay your price. It took one phone call to have it confirmed that IP law wouldn't stand for "passing off". Most settled out of court, but it was a bit of joke really to think that McDonalds' lawyers would advise paying off Joe Basementdweller rather than enjoy some easy fees. The ones that did get money were those who could show that they had a fair entitlement to use the domain, or had a great generic shout like "sex.com". Later, the Man made sure with the Anticybersquatting Act

http://en.wikipedia.org/wiki/Anticybersquatting_Consumer_Protection_Act

Generic names were the way to go. "if.com" was purchased by Intelligent Finance for $1m from its early owner.

Unfortunately, I was 18-20 and broke then.  I knew that buying common domain names was a "land grab".  But I didn't do it for some reason.

[Lloydie]

So what is the purpose of these Bitcoin funds? Right now probably only 10% of the Bitcoins mined are actively being traded or used as currency and the rest are being held as a form of investment. So here are these two large trusts holding 200k-300k coins? eliminating them from ever being used as what Bitcoins were design for, which is currency. I am pretty sure these trusts are going to get larger and hold larger reserves of Bitcoins. What is the purpose of these trusts holding onto a large reserve of Bitcoins other than placing a value on them. I understand if Bitcoins can be actively used as a form of currency and be used to purchase goods and services, but if the majority of the coins that are traded are owned by trust funds and the value of Bitcoins are dictated by these funds, which means they are associated hand in hand with traditional currency it simply defeats the purpose of Bitcoins.      

The purpose is to push up the value of bitcoins to a very high amount. Early adopters with bitcoins will then spend satoshis which will hopefully be worth $0.10 or whatever amount you think.

Get comfortable with the idea of large open ended trusts holding bitcoins. They won't want to destroy the value of bitcoins either. They will protect the value of bitcoins because it will be their lifeblood.

[HairyMaclairy]

We here have a very rare (for a random public individual) chance to front run the Street.

+1

Whatever you do realise this point. And then decide whether or not you want to sell your coins to these new, big, ugly sharks who are starting to circle. There's never been a better time to hodl in my opinion!  

I don't disagree but why would a whale telegraph their intentions. It doesn't make sense.   Why encourage front running?

[Wilhelm]

As far as I know wall street won't be buying BTC directly but will invest in companies supporting or adapting to bitcoin.

Yes, I think so too. I believe the fund would buy-in existing companies, or provide capital for startups like an venture capital funds.  May not boost bitcoin prices directly, but if we see licensed exchanges and more online stores because of this, it would be encouraging news

Wall Street won't be investing directly?  There is a pending ETF that says otherwise.

The pending ETF is for the bitcoin trust I presume. I'm no expert but the trust is just a share of the Winklevoss twins fixed bitcoins account. No bitcoins will be traded directly by wallstreet nor will bitcoins be bought or mined. They are just valuing the bitcoin wallet of the Winklevoss twins through shares. Yes this will influence the price of bitcoins but I think it's effect might be overrated.

I believe many bitcoin companies will soon start issueing shares or get taken over by companies already on wallstreet putting more money in the development of bitcoin infrastructure. This will make bitcoin more widespread and usable pushing up the price.

My 2 cents.