FBI Seized coins on the move

[beetcoin]

forbes article, they are auctioning the coins at the end of the month.

this might actually be a good thing.. maybe it's time for wallstreet to group their money up and enter the game. the price will be relatively cheap too, considering the crater it has caused today.

http://www.forbes.com/sites/kashmirhill/2014/06/12/silk-road-bitcoin-on-the-move-as-government-prepares-to-auction-off-18-million-worth/

[1715029938]

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[1715029938]

1715029938

[Tzupy]

interesting:

http://www.usmarshals.gov/assets/2014/bitcoins/

The real thing. Good find. Selling SR forfeited coins.

[Melbustus]

forbes article, they are auctioning the coins at the end of the month.

this might actually be a good thing.. maybe it's time for wallstreet to group their money up and enter the game. the price will be relatively cheap too, considering the crater it has caused today.

http://www.forbes.com/sites/kashmirhill/2014/06/12/silk-road-bitcoin-on-the-move-as-government-prepares-to-auction-off-18-million-worth/

It's also worth noting that coins purchased directly from the US Marshall's office will be unequivocally legal. Any large US-based purchaser would want to be assured of such before taking a large position. I can't really think of a better way to be absolutely sure your large stash of coins won't run into legal hassles than to purchase directly from the gov...

Interesting times, as always.

[Stevenrm87]

Looks like a good lite to jump into Litecoin seeing as they wont have this rush of supply problem

[MonadTran]

The real thing. Good find. Selling SR forfeited coins.

Then let the price drop as low as possible. The less money they get in exchange for their stolen coins, the better.

[megashira1]

This is a great entry point for institutional investors who want to buy coins without driving the market price up.

The market is definitely overreacting and i'm about to double my holdings.

[bitcon]

how low do you folks think this is going before bottoming out?

[RoadStress]

@ 600/coin its around 17mil, wouldn't that only help to boost the price of BTC?

I can promise you no one is going to bid anywhere near market price on these. Most investors top mark of a investment is 70% of the value after expenses. @ 600 a coin they would bid around the $420 mark.

Why not? Someone buying 3k BTC right now will move the price up. By auctioning near the market price they don't move the price at all.

[Tzupy]

I saw some opinions that this sale could be like the SR takedown event, a precursor to a rally.
But no, these two events are different: the SR crash happened because the market was primed for it,
bad news only enhanced it. In that confusion, some believed that bitcoin was going down hard. What followed
was a quick recovery, because the feds removed the coins from circulation and SR clones filled the market,
fueling demand for bitcoins into circulation in the real bitcoin economy.

[BurtW]

Block Transactions. The USMS will only sell the bitcoins in the Series A and B Blocks as described above. No bitcoin transfer will be made until the USMS has confirmed receipt of all purchase funds from the buyer. The USMS will not transfer bitcoins to an obscene public address, a public address apparently in a country restricted by the Office of Foreign Assets Control (OFAC), a public address apparently associated with terrorism, other criminal activities, or otherwise hostile to the United States.

I guess I can't have them sent to my 1fbisucks.... or 1bigtits... vanity addresses.

So I need a $200,000 deposit and I have to buy 3,000 BTC.  Assuming I bid, let's call it $500, I need about $1.5 million in cash to participate.

Looking under the couch seat cushions now...

[Don007]

interesting:

http://www.usmarshals.gov/assets/2014/bitcoins/

Shit

$300 pe BTC if the buyer sells on exchanges! I suspect auction buying price will be 70-80%, right?

Anyone making a bid for that much BTC wouldn't turn around and dump it on exchanges. As for the price, could end up being higher than market rate, seeing as you can't easily get that many coins on exchanges without driving up the price.

I admit, good point. Nobody can buy 29k coins withound market impact.

Dumping all these Bitcoins are the market will definately ruin the market. I think it really needs a long time afterwards to gain a value like we do currently if that is going to happen.

However, I don't think buyers will dump ALL of their coins. The current price will decrease now though, as this really looks true.

[lynn_402]

The 30000 Btc are worth less than 18M$, which is half of today's volume. There's no need to panic about the fact that the buyer may sell some on an exchange; the market can handle it.

[BurtW]

I was really hoping that they would do this in smaller blocks so I could participate.  Oh well.

I think the goobermint could make more USD on the sale by doing smaller blocks and running an ebay like auction to the general public.  Oh well, maybe next time.

It will be really interesting to see what they go for - and we don't have to wait that long to find out!  

The whole thing will be done by the end of the month.

[BurtW]

The 30000 Btc are worth less than 18M$, which is half of today's volume. There's no need to panic about the fact that the buyer may sell some on an exchange; the market can handle it.

This.  People are so dramatic all the time.  

Time to put in some "OMG the FBI coins are going to get DUMPED and CRASH the whole market" buy orders to pick up some cheap coins.  After the sale, when nothing happens, all the panic sellers will be jumping back in to try to get their (now fewer in number) coins back.

[lordoliver]

current buys on bitstamp:
560 66
555 321
550 1239
545 1801
540 2611
535 2852
530 3103
525 3539
520 3974
515 4127
510 4334
505 4557
500 4970
495 5265
490 5418

and there you come with your 30000.
It will cause a drop from 560 to about 500 if they would be sold in one time. Ridiculous.
2 Minutes later, the price would be at least at 540 again.

[BurtW]

Don't bother these panic sellers with facts.  It only annoys them.

[Malin Keshar]

So this is why the price drowned so hard while I was busy with World Cup? That caused a trade of mine gone to big profit to small loss  

For me they learned with the chinese how manipulate the market to get some money, and we will see many news about this that will drive the price lower and lower. Perfect time to sell all your things and all family member, get as many loans as you can, and have a huge profit in some months.

[lordoliver]

So this is why the price drowned so hard while I was busy with World Cup? That caused a trade of mine gone to big profit to small loss  

For me they learned with the chinese how manipulate the market to get some money, and we will see many news about this that will drive the price lower and lower. Perfect time to sell all your things and all family member, get as many loans as you can, and have a huge profit in some months.

be happy, you can buy cheap. It will be on 650 again probably in this week already.

[BTCfan1]

Great time to buy

[Don007]

So this is why the price drowned so hard while I was busy with World Cup? That caused a trade of mine gone to big profit to small loss  

I'm sure this "crash" is all about the seized coins from SR by the FBI.    If you don't want to get even more loss short term, you might should sell some now. I really think the price will decrease even more from now on. I don't really see it increase again as long as these amounts of Bitcoins are for sale by the FBI. I wasn't really up to date about the size of all the coins that were offered during I made this post. According to http://www.coindesk.com/vc-firm-bid-fbi-silk-road-bitcoins/ a guess is made that the FBI owns 5%-10% of all Bitcoin, but it looks like they're "just" selling the coins seized from SR by an auction later on.

For me they learned with the chinese how manipulate the market to get some money, and we will see many news about this that will drive the price lower and lower. Perfect time to sell all your things and all family member, get as many loans as you can, and have a huge profit in some months.

Looks like the famous "Tulip story" that has passed in the history. I'm told you were able to buy a house over here in The Netherlands when you had some Tulip-... (I don't know the word, > kind of seed).      However, when this way to earn money crashed, most people had nothing but a flower.    Moral of this story: you should loan money to invest (in something).   Yes, it may succeed and it may make you rich, but hey, it may fail too.