Diversification into alt coins.

[chessnut]

That post about the $5000 bitcoins scenario made me think, should I have some litecoins?

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

What percentage of your bitcoins do you keep in alt coins such as peercoins, dogecoins, etc.....

Thanks for your thoughts.

[windjc]

That post about the $5000 bitcoins scenario made me think, should I have some litecoins?

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

What percentage of your bitcoins do you keep in alt coins such as bitcoins, dogecoins, etc.....

Thanks for your thoughts.

I would and am diversified. Part of the reason is as a hedge, but the main reason is that as more money flows into bitcoin, more money will make its way into alts. Alts have a much greater chance of large increase short to medium term as a result. Bitcoin could go up 1%-1000% this year. Alts could go up 1%-10000%+ this year. Not every alt is created equal though, so I would suggest researching. They are definitely higher risk plays.

Btw, some alts have gone up 100000%+ already this year.

So, investing in alts is not a bad idea.

[fonzie]

50% doge 50% ripple 0% Bitcoin 

[KFR]

That post about the $5000 bitcoins scenario made me think, should I have some litecoins?

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

What percentage of your bitcoins do you keep in alt coins such as peercoins, dogecoins, etc.....

Thanks for your thoughts.

50% BTC cold storage
40% LTC cold storage
5% FTC & PPC cold storage
4% on exchanges for trading other cryptos
1% fiat

[Dalmar]

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

Zerocoin:

http://www.forbes.com/sites/andygreenberg/2014/01/13/bitcoin-anonymity-upgrade-zerocoin-to-become-its-own-cryptocurrency/

[BitcoinAshley]

Eh, I started out with about 5% in alts but it grew to around 40-50% in USD terms... litecoin's fault, I didn't actually buy any more.

Diversification is good because it reminds authorities that if they crush Bitcoin, even easier ways for people to circumvent legacy banking will arise.

[Hyena]

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

Zerocoin:

http://www.forbes.com/sites/andygreenberg/2014/01/13/bitcoin-anonymity-upgrade-zerocoin-to-become-its-own-cryptocurrency/

Seems interesting. I hope they will use PoS like Peercoin. Right now my personal belief is that once this whole crypto currency fever is over PoS coins will be dominant. In concept a PoS coin can have lower transaction fees than PoW coin and free market will then probably prefer PoS. Also the blockchain should be decaying so that very old transactions could be safely forgotten by the network.

[999Fine]

Approx:

85% BTC
5% LTC
10% PPC

[Bitcopia]

50% doge 50% ripple 0% Bitcoin  

Interesting choices. I think XRP has the least potential as it is not typically viewed as a store of value the same way other crypto-coins are.

That said:


98% BTC
1.5% PPC
0.25% QRK
0.25% DOGE

I don't think BTC is going anywhere. The network effect is too big, and the U.S. is not going to ban it. They're going to regulate it. This is pretty clear if you just consider all of the hearings, rulings, guidance, and statements that have been issued in the past two years.

[Bitcopia]

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

I think the purpose of this statement is solely to reinforce the idea that banning bitcoin because it can be used for nefarious purposes is counterintuitive. It would push for a larger network effect into a protocol that uses a "tumbled ledger" that would have been otherwise reserved only for those seeking absolute anonymity. Whereas, by leaving bitcoin alone, or at least not banning it, you won't push legitimate users to such an extreme need for privacy.

[Hyena]

I'd recommend something like this:
40% PPC <- PoS overpowers PoW
30% BTC
20% LTC
10% NMC

edit:
however, I myself are not a perfect follower of this plan because I hold my stuff in cold storage so I cannot balance the percentages out very easily. I'm still 80% BTC and I think it's a safe bet.

[Miz4r]

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

Zerocoin:

http://www.forbes.com/sites/andygreenberg/2014/01/13/bitcoin-anonymity-upgrade-zerocoin-to-become-its-own-cryptocurrency/

Seems interesting. I hope they will use PoS like Peercoin. Right now my personal belief is that once this whole crypto currency fever is over PoS coins will be dominant. In concept a PoS coin can have lower transaction fees than PoW coin and free market will then probably prefer PoS. Also the blockchain should be decaying so that very old transactions could be safely forgotten by the network.

I agree, PoW will probably become outdated in a few years from now when people realize how much energy is needed and wasted on securing the Bitcoin network while all of that can be done just as well (and perhaps even better) with a PoS coin. This is also why I have diversified into Nxt and PPC. I also own and mine some Dogecoins for fun but they aren't keepers for me, that hype will die down in a couple of months from now.

[TERA]

That post about the $5000 bitcoins scenario made me think, should I have some litecoins?

At the NY meeting the Winkelvii mentioned that if Bitcoin is banned or crushed, an altcoin with a tumbled public ledger is likely to replace it.

What percentage of your bitcoins do you keep in alt coins such as peercoins, dogecoins, etc.....

Thanks for your thoughts.

None of the altcoins you mentioned have a tumbled public ledger or any advanced features like a decentralized exchange so none of them would serve as a hedge against Bitcoin in the scenario you mentioned. I would think of something more like NXT.

[El Dude]

peercoin is centralized crap , nxt is a premined scam.


buy Litecoin

[Hyena]

peercoin is centralized crap , nxt is a premined scam.


buy Litecoin

How is peercoin centralized? It's way better by design than by Litecoin. I was selling my litecoins to buy more peercoins.

[Miz4r]

peercoin is centralized crap , nxt is a premined scam.


buy Litecoin

Litecoin has no real advantages over Bitcoin. I will only buy Litecoin to sell it quickly afterwards at a higher price. NXT may be premined but its distribution is actually less concentrated than BTC currently is.

[HeliKopterBen]

For those invested in Dogecoin.  May I ask why?  Some of the others may have some benefit such as Peercoin's POS but Dogecoin is and was intended to be a joke.

[gentlemand]

If enough people like the idea of turds wrapped in clingfilm as a currency, it would be a currency.

It appeals to people. You don't really need any technical fundamentals if that's the case. I don't have any Doge myself but it might end up surprising people.

[TERA]

For those invested in Dogecoin.  May I ask why?  Some of the others may have some benefit such as Peercoin's POS but Dogecoin is and was intended to be a joke.

I'm not invested in Doge but I trade it to scalp extra btc. From what I saw it seemed to be a very successful marketing experiment and the community even raised $30K for a jamaican bobsled team. I'd imagine the investors there are in because they think that the success will continue and it's going even higher. Some of them even think they're doing some good for the crypto community by experimenting with different use cases, casual adoption by everyday people, and marketing techniques that bitcoiners haven't thought of or bothered with yet. Some of them claim "dogecoin is bitcoin the way it was intended to be used" - small decentralized transactions by every day people rather than all this talk about big merchants and wall street which bores them. It's like a nostalgic trip back to the early adopter phase when things were new, easy, and fun. Who knows , there might still be things to learn back there which we left behind.  Ultimately these innovations will be brought back to Bitcoin and make Bitcoin stronger.

[VladWest]

I see more point into investing for those alts with real implementation value, such as lottocoin and sexcoin. Lottocoin might become a huge asset towards newer funding casino gigs without having to get a loan as a starting funding while sexcoin holds a potential to become an exclusive pay method for.... Well, a more of a red carpet entry to purchase "goods" off the adult industry

I think most people don't really give a damn for any technical alterations of the original source code needless to say. It's all about hype, integration and of it's implementation in the market.